Gain reclassified from AOCI into earnings is reported in interest, net for securities. We provide organic net sales growth rates for our consolidated net sales and segment net sales. We experienced increased demand for our products in the fourth quarter of fiscal 2020 and were, and continue to be, unable to fill all customer orders. Accordingly, we recognize the amount of tax benefit that has a greater than 50 percent likelihood of being ultimately realized upon settlement. We receive royalty income from certain joint ventures, incur various expenses (primarily research and development), and record the tax impact of certain joint venture operations that are structured as partnerships. He was named Vice President, Marketing for CPW in 2003 and Vice President of the Big G cereal division in 2007. Organic net sales in fiscal 2020 increased 4 percent compared to fiscal 2019, driven by increased contributions from organic volume growth and favorable organic net price realization and mix. None of our VIEs are material to our results of operations, financial condition, or liquidity as of and for the fiscal year ended May 31, 2020. The estimates in the table below are intended to measure the maximum potential fair value we could lose in one day from adverse changes in market interest rates, foreign exchange rates, commodity prices, and equity prices under normal market conditions. Publicly traded common stocks in energy, real estate, and infrastructure for the purpose of total return. The result of the reorganization was the creation of the General Mills Pension Plan I (Plan I) and the 2005 Supplemental Retirement Plan I and the Supplemental Retirement Plan I (Grandfathered) (together, the Supplemental Plans I). The combination of our continued strong levels of Holistic Margin Management (HMM) savings, volume growth, and positive net price realization and mix offset input cost inflation and increased investments in brand building and capabilities, resulting in significant growth in constant-currency adjusted operating profit and adjusted diluted EPS. The increase was primarily driven by a $397 million increase due to higher volume. We evaluate the useful lives of our other intangible assets, mainly brands, to determine if they are finite or indefinite-lived. Deteriorating economic and political conditions in our major markets affected by the COVID-19 pandemic, such as increased unemployment, decreases in disposable income, declines in consumer confidence, or economic slowdowns or recessions, could cause a decrease in demand for our products. Please see Note 15 to the Consolidated Financial Statements in Item 8 of this report. Over the most recent two-year period, our operations have generated $6.5 billion in cash. Our Pet operating segment includes pet food products sold primarily in the United States in national pet superstore chains, e-commerce retailers, grocery stores, regional pet store chains, mass merchandisers, and veterinary clinics and hospitals. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act. The section below provides information regarding our executive officers as of July 2, 2020: Richard C. Allendorf, age 59, is General Counsel and Secretary. Actual future net defined benefit pension, other postretirement benefit, and postemployment benefit plan income or expense will depend on investment performance, changes in future discount rates, changes in health care cost trend rates, and other factors related to the populations participating in these plans. Adjusted effective income tax rates are calculated as follows: Adjusted Operating Profit as a Percent of Net Sales (Adjusted Operating Profit Margin). The fiscal 2020 increase in net sales growth includes approximately 3 points of net sales growth due to the impact of the COVID-19 pandemic. Our devotion to community and planet drives the way we give back and do business. Realized windfall tax benefits and shortfall tax deficiencies related to the exercise or vesting of stock-based awards are recognized in the Consolidated Statement of Earnings. A market-related valuation basis is used to reduce. As of May 31, 2020, the carrying amount of hedged debt designated as the hedged item in a fair value hedge was $670.9 million and was classified on the Consolidated Balance Sheet within. Weighted-average asset allocations for our defined benefit pension and other postretirement benefit plans are as follows: The investment objective for our defined benefit pension and other postretirement benefit plans is to secure the benefit obligations to participants at a reasonable cost to us. During fiscal 2020, we received $263 million of net proceeds from common stock issued on exercised options compared to $241 million in fiscal 2019. All such matters are subject to many uncertainties and outcomes that are not predictable with assurance. Postemployment benefits that do not vest or accumulate with service (such as severance based solely on annual pay rather than years of service) are charged to expense when incurred. Sodiaal holds the remaining interests in each of the entities. Mr. Bruce joined General Mills in 2009 as Vice President, Treasurer after serving in a variety of senior management positions with Ecolab and Ford Motor Company. We work continuously to improve our core products and to create new products that meet consumers' evolving needs and preferences. GENERAL MILLS REPORTS RESULTS FOR FISCAL 2020 AND OUTLINES FISCAL 2021 … While we currently believe that the fair value of each intangible exceeds its carrying value and that those intangibles will contribute indefinitely to our cash flows, materially different assumptions regarding future performance of our businesses or a different weighted-average cost of capital could result in material impairment losses and amortization expense. Fiscal 2020 includes 13 months of Pet operating segment results as we changed the Pet operating segment's reporting period from an April fiscal year end to a May fiscal year end to match our fiscal calendar. Our major product categories in our Convenience Stores & Foodservice operating segment are ready-to-eat cereals, snacks, refrigerated yogurt, frozen meals, unbaked and fully baked frozen dough products, baking mixes. The net proceeds of $969.9 million were used to finance a portion of the acquisition of Blue Buffalo Pet Products, Inc. ("Blue Buffalo"). We evaluated whether these assumptions were consistent with evidence obtained in other areas of the audit. We own our principal executive offices and main research facilities, which are located in the Minneapolis, Minnesota metropolitan area. We look for people who want to bring their best—bold thinkers with big hearts who challenge one another and grow together. We are currently party to a variety of environmental remediation obligations. Mark A. Pallot, age 47, is Vice President, Chief Accounting Officer. Goodwill for each of our reporting units is tested for impairment annually and whenever events or changes in circumstances indicate. We estimate the fair value of each option on the grant date using a Black-Scholesoption-pricing model, which requires us to make predictive assumptions regarding future stock price volatility, employee exercise behavior, dividend yield, and the forfeiture rate. For further information on our customer credit and product return practices, please refer to Note 2 to the Consolidated Financial Statements in Item 8 of this report. Our defined benefit plans in the United States are subject to the requirements of the Pension Protection Act (PPA). Discrete tax benefit related to the reorganization of certain wholly owned subsidiaries in fiscal 2020 and a discrete tax benefit related to a capital loss carryback recorded in fiscal 2019. The impact of the adoption of this standard on our results of operations was a decrease to our operating profit of $87.9 million and $89.4 million and a corresponding increase to benefit plan non-service income of $87.9 million and $89.4 million for fiscal 2019 and fiscal 2018, respectively. Costs related to the acquisition of Blue Buffalo. A summary of our long-term debt is as follows: Euro-denominated 0.45% notes due January 15, 2026, Euro-denominated 2.1% notes due November 16, 2020, Euro-denominated 1.0% notes due April 27, 2023, Euro-denominatedfloating-rate notes due January 15, 2020, Euro-denominated 1.5% notes due April 27, 2027, Euro-denominated 0.0% notes due January 15, 2020, Euro-denominated 2.2% notes due June 24, 2021, Euro-denominated 0.0% notes due November 16, 2020, Medium-term notes, 0.56% to 6.61%, due fiscal 2021 or later, Other, including debt issuance costs and finance leases. We also returned cash to shareholders through dividends totaling $1.2 billion and reduced total debt outstanding by $1.0 billion. If we are unable to use our scale, marketing expertise, product innovation, knowledge of consumers' needs, and category leadership positions to respond to these demands, our profitability and volume growth could be negatively impacted. The 2019 Global Responsibility Report from General Mills describes the company's strategies and performance across four key focus areas: Our Food, Our Planet, Our Workplace and Our Community. BASIS OF PRESENTATION AND RECLASSIFICATIONS. The failure of third parties on which we rely, including those third parties who supply our ingredients, packaging, capital equipment and other necessary operating materials, contract manufacturers, distributors, contractors, commercial banks, and external business partners, to meet their obligations to us, or significant disruptions in their ability to do so, may negatively impact our operations. As of May 31, 2020, we have issued guarantees and comfort letters of $130 million for the debt and other obligations of non-consolidated affiliates, mainly CPW. The group is committed to continuing the long-standing culture of integrity at General Mills. If we are unable to execute those initiatives as planned, we may not realize all or any of the anticipated benefits, which could adversely affect our business and results of operations. The increase in organic net sales includes an increase in contributions from organic volume growth, partially offset by unfavorable organic net price realization and mix. Price changes for the commodities we depend on for raw materials, packaging, and energy may adversely affect our profitability. We did not significantly change our valuation techniques from prior periods. We made no voluntary contributions to our principal U.S. plans in fiscal 2020 or fiscal 2019. The Yoplait trademark and other related trademarks are owned by Yoplait Marques SNC, an entity in which we own a 50 percent interest. The excess fair value as of the fiscal 2020 test date of the Europe & Australia reporting unit and the Progresso brand intangible asset were as follows: In addition, while having significant coverage as of our fiscal 2020 assessment date, the Pillsbury brand intangible asset had risk of decreasing coverage. In advance of planned debt financing, in the fourth quarter of fiscal 2020, we entered into $300.0 million notional amount of treasury locks due January 13, 2022 with an average fixed rate of 0.85 percent. There is currently uncertainty whether certain IBORs will continue to be available after 2021. The agreements under which we have issued indebtedness do not prevent us from incurring additional unsecured indebtedness in the future. We also experienced a COVID-19-related decrease in consumer traffic in away-from-home food outlets during the third and fourth quarters of fiscal 2020. We have no economic interest in these financing arrangements and no direct relationship with the suppliers, the third parties, or any financial institutions concerning this service. Negative posts or comments about us, our brands, or our products on social or digital media could seriously damage our brands and reputation. We also have considered, but did not use, implied volatility in our estimate, because trading activity in options on our stock, especially those with tenors of greater than 6 months, is insufficient to provide a reliable measure of expected volatility. We have additional warehouse, distribution, and office space in our plant locations. Our principal competitors in these categories are manufacturers, as well as retailers with their own branded and private label products. General Mills Annual Reports: 1929–2018. 1-800-245-5703 or We assessed our goodwill and brand intangible assets for potential impairment indicators using quantitative and qualitative factors, including the estimated impacts of the COVID-19 pandemic, as of May 31, 2020, and concluded that no impairment indicators were present as of that date. We also have net investments in foreign subsidiaries that are denominated in euros. 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