Annual report [Section 13 and 15(d), not S-K Item 405]

RETIREMENT AND SAVINGS BENEFIT PLANS (Tables)

v3.25.1
RETIREMENT AND SAVINGS BENEFIT PLANS (Tables)
 12 Months Ended
Mar. 29, 2025
Retirement Benefits [Abstract]  
Schedule of Components of Pension Cost
The components of pension cost for VF’s defined benefit plans were as follows:
Year Ended March
(In thousands) 2025 2024 2023
Service cost — benefits earned during the period $ 9,796  $ 8,924  $ 10,632 
Interest cost on projected benefit obligations 46,789  47,079  44,732 
Expected return on plan assets (61,225) (63,569) (63,157)
Settlement charges —  3,538  93,731 
Curtailments (936) —  — 
Amortization of deferred amounts:
Net deferred actuarial losses 20,205  16,656  16,395 
Deferred prior service credits (589) (541) (453)
Net periodic pension cost $ 14,040  $ 12,087  $ 101,880 
Weighted average actuarial assumptions used to determine pension cost:
Discount rate in effect for determining service cost 2.05  % 2.50  % 1.42  %
Discount rate in effect for determining interest cost 4.59  % 4.85  % 4.09  %
Expected long-term return on plan assets 5.90  % 5.99  % 5.24  %
Rate of compensation increase (a)
2.15  % 2.19  % 1.95  %
(a)Rate of compensation increase is calculated as the weighted average rate of compensation increase for active plans. Frozen plans are excluded from the calculation.
Schedule of Reconciliation of Changes in Fair Value of Defined Benefit Plan Assets and Projected Benefit Obligations
The following provides a reconciliation of the changes in fair value of VF’s defined benefit plan assets and projected benefit obligations for each period, and the funded status at the end of each period:
(In thousands) March 2025 March 2024
Fair value of plan assets, beginning of period $ 1,085,242  $ 1,111,710 
Actual return on plan assets 33,976  17,332 
VF contributions 15,478  30,167 
Participant contributions 5,469  5,447 
Benefits paid (66,132) (81,150)
Currency translation 2,982  1,736 
Fair value of plan assets, end of period 1,077,015  1,085,242 
Projected benefit obligations, beginning of period 995,357  1,021,333 
Service cost 9,796  8,924 
Interest cost 46,789  47,079 
Participant contributions 5,469  5,447 
Actuarial gain (12,184) (7,518)
Benefits paid (66,132) (81,150)
Plan amendments 129  (489)
Curtailments (781) — 
Currency translation 3,563  1,731 
Projected benefit obligations, end of period
982,006  995,357 
Funded status, end of period $ 95,009  $ 89,885 
Pension benefits are reported in the Consolidated Balance Sheets as a net asset or liability based on the overfunded or underfunded status of the defined benefit plans, assessed on a plan-by-plan basis.
(In thousands) March 2025 March 2024
Amounts included in Consolidated Balance Sheets:
Other assets (Note 11)
 $ 179,596  $ 175,110 
Accrued liabilities (Note 14)
 (6,899) (6,597)
Other liabilities (Note 16)
 (77,688) (78,628)
Funded status $ 95,009 $ 89,885 
Accumulated other comprehensive loss, pretax:
Net deferred actuarial losses $ 256,027 $ 260,512 
Net deferred prior service credits (3,666) (4,290)
Total accumulated other comprehensive loss, pretax $ 252,361 $ 256,222 
Accumulated benefit obligations $ 963,373 $ 976,120 
Weighted average actuarial assumptions used to determine pension obligations:
Discount rate 5.05  % 4.94  %
Rate of compensation increase (a)
1.98  % 2.11  %
(a)Rate of compensation increase is calculated as the weighted average rate of compensation increase for active plans. Frozen plans are excluded from the calculation.
Schedule of Components of Pension Plans with an Accumulated Benefit Obligation and Projected Benefit Obligation in Excess of Plan Assets
The following provides information for VF's defined benefit plans with projected benefit obligations and accumulated benefit obligations in excess of plan assets:
(In thousands) March 2025 March 2024
Projected benefit obligations $ 190,404  $ 183,329 
Accumulated benefit obligations 171,771  164,092 
Fair value of plan assets 105,817  98,104 
The net amount of projected benefit obligations and plan assets for underfunded defined benefit plans was $84.6 million and $85.2 million as of March 2025 and 2024, respectively, and was reported in accrued liabilities and other liabilities in the Consolidated Balance Sheets.
Schedule of Fair Value of Investments Held by Pension Plan
The fair value of investments held by VF’s defined benefit plans at March 2025 and March 2024, by asset class, is summarized below. Refer to Note 24 for a description of the three levels of the fair value measurement hierarchy.
  Total Plan
Assets		 Fair Value Measurements
(In thousands) Level 1 Level 2 Level 3
March 2025
Plan assets
Cash equivalents $ 16,716  $ 16,716  $ —  $ — 
Fixed income securities:
U.S. Treasury and government agencies 2  —  2  — 
Insurance contracts 111,992  —  111,992  — 
Futures contracts 1,900  1,900  —  — 
Total plan assets in the fair value hierarchy 130,610  $ 18,616  $ 111,994  $ — 
Plan assets measured at net asset value
Cash equivalents 121,450 
Equity securities:
Domestic 5,109 
International 27,324 
Fixed income securities:
Corporate and international bonds 784,724 
Alternative investments 7,798 
Total plan assets measured at net asset value 946,405 
Total plan assets $ 1,077,015 
  Total Plan
Assets		 Fair Value Measurements
(In thousands) Level 1 Level 2 Level 3
March 2024
Plan assets
Cash equivalents $ 4,428  $ 4,428  $ —  $ — 
Fixed income securities:
U.S. Treasury and government agencies 2  —  2  — 
Insurance contracts 103,362  —  103,362  — 
Futures contracts 2,661  2,661  —  — 
Total plan assets in the fair value hierarchy 110,453  $ 7,089  $ 103,364  $ — 
Plan assets measured at net asset value
Cash equivalents 87,748 
Equity securities:
Domestic 33,510 
International 40,933 
Fixed income securities:
Corporate and international bonds 751,147 
Alternative investments 61,451 
Total plan assets measured at net asset value 974,789 
Total plan assets $ 1,085,242