Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 28, 2018 | Oct. 26, 2018 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | INTEGER HOLDINGS CORPORATION | |
Entity Central Index Key | 1,114,483 | |
Document Type | 10-Q | |
Document Period End Date | Sep. 28, 2018 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q3 | |
Current Fiscal Year End Date | --12-28 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 32,382,687 | |
Entity Small Business | false | |
Entity Emerging Growth Company | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - Unaudited - USD ($) $ in Thousands | Sep. 28, 2018 | Dec. 29, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 22,881 | $ 37,341 |
Accounts receivable, net of allowance for doubtful accounts of $0.6 million and $0.5 million, respectively | 200,147 | 194,845 |
Inventories | 193,631 | 176,738 |
Prepaid expenses and other current assets | 12,008 | 16,239 |
Current assets of discontinued operations held for sale | 0 | 106,746 |
Total current assets | 428,667 | 531,909 |
Property, plant and equipment, net | 232,108 | 235,180 |
Goodwill | 834,520 | 839,870 |
Other intangible assets, net | 825,359 | 862,873 |
Deferred income taxes | 3,618 | 3,451 |
Other assets | 31,724 | 30,428 |
Disposal Group, Including Discontinued Operation, Assets, Noncurrent | 0 | 344,634 |
Total assets | 2,355,996 | 2,848,345 |
Current liabilities: | ||
Current portion of long-term debt | 37,500 | 30,469 |
Accounts payable | 69,270 | 64,551 |
Income taxes payable | 16,298 | 5,904 |
Accrued expenses | 54,922 | 60,376 |
Current liabilities | 0 | 47,703 |
Total current liabilities | 177,990 | 209,003 |
Long-term debt | 916,694 | 1,578,696 |
Deferred income taxes | 210,303 | 140,964 |
Other long-term liabilities | 11,678 | 11,335 |
Deferred taxes and other long-term liabilities held for sale | 0 | 14,966 |
Total liabilities | 1,316,665 | 1,954,964 |
Stockholders’ equity: | ||
Common stock, $0.001 par value; 100,000,000 shares authorized; 32,501,709 and 31,977,953 shares issued, respectively; 32,382,687 and 31,871,427 shares outstanding, respectively | 33 | 32 |
Additional paid-in capital | 687,644 | 669,756 |
Treasury stock, at cost, 119,022 and 106,526 shares, respectively | (5,668) | (4,654) |
Retained earnings | 318,287 | 176,068 |
Accumulated other comprehensive income | 39,035 | 52,179 |
Total stockholders’ equity | 1,039,331 | 893,381 |
Total liabilities and stockholders’ equity | $ 2,355,996 | $ 2,848,345 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets - Unaudited (Parenthetical) - USD ($) $ in Millions | Sep. 28, 2018 | Dec. 29, 2017 |
Current assets: | ||
Allowance for doubtful accounts | $ 0.6 | $ 0.5 |
Stockholders’ equity: | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 32,501,709 | 31,977,953 |
Common stock, shares outstanding | 32,382,687 | 31,871,427 |
Treasury stock, shares | 119,022 | 106,526 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | |
Income Statement [Abstract] | ||||
Sales | $ 305,088 | $ 286,168 | $ 911,978 | $ 833,820 |
Cost of sales | 213,165 | 196,982 | 637,758 | 573,431 |
Gross profit | 91,923 | 89,186 | 274,220 | 260,389 |
Operating expenses: | ||||
Selling, general and administrative expenses | 34,091 | 35,064 | 107,300 | 105,004 |
Research, development and engineering costs | 12,234 | 12,227 | 38,445 | 35,104 |
Other operating expenses | 4,139 | 6,069 | 12,615 | 24,490 |
Total operating expenses | 50,464 | 53,360 | 158,360 | 164,598 |
Operating income | 41,459 | 35,826 | 115,860 | 95,791 |
Interest expense | 54,526 | 15,808 | 85,355 | 49,233 |
(Gain) loss on cost and equity method investments, net | (291) | (1,906) | (5,545) | 2,919 |
Other loss, net | 1,684 | 2,490 | 257 | 10,654 |
Income (loss) from continuing operations before taxes | (14,460) | 19,434 | 35,793 | 32,985 |
Provision (benefit) for income taxes | (6,157) | (448) | 7,956 | 596 |
Income (loss) from continuing operations | (8,303) | 19,882 | 27,837 | 32,389 |
Income (loss) from discontinued operations before taxes | 195,874 | (7,444) | 188,251 | (21,074) |
Discontinued operations: | ||||
Gain on sale of discontinued operations | 73,492 | (1,252) | 73,869 | (1,026) |
Income (loss) from discontinued operations | 122,382 | (6,192) | 114,382 | (20,048) |
Net income | $ 114,079 | $ 13,690 | $ 142,219 | $ 12,341 |
Basic earnings (loss) per share: | ||||
Income from continuing operations (in dollars per share) | $ (0.26) | $ 0.63 | $ 0.87 | $ 1.03 |
Loss from discontinued operations (in dollars per share) | 3.80 | (0.20) | 3.57 | (0.64) |
Basic (in dollars per share) | 3.54 | 0.43 | 4.44 | 0.39 |
Diluted earnings (loss) per share: | ||||
Income from continuing operations (in dollars per share) | (0.26) | 0.62 | 0.86 | 1.01 |
Loss from discontinued operations (in dollars per share) | 3.80 | (0.19) | 3.52 | (0.63) |
Diluted (in dollars per share) | $ 3.54 | $ 0.43 | $ 4.38 | $ 0.39 |
Weighted average shares outstanding: | ||||
Basic (in shares) | 32,211 | 31,594 | 32,050 | 31,304 |
Diluted (in shares) | 32,211 | 32,173 | 32,451 | 31,947 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ 114,079 | $ 13,690 | $ 142,219 | $ 12,341 |
Other comprehensive income (loss): | ||||
Foreign currency translation gain | (2,809) | 16,728 | (15,253) | 57,863 |
Net change in cash flow hedges, net of tax | 634 | (339) | 1,957 | 1,729 |
Other comprehensive income | (2,175) | 16,389 | (13,296) | 59,592 |
Comprehensive income | $ 111,904 | $ 30,079 | $ 128,923 | $ 71,933 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows - Unaudited - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 28, 2018 | Sep. 29, 2017 | |
Statement of Cash Flows [Abstract] | ||
Proceeds from Divestiture of Businesses | $ 582,359 | $ 0 |
Cash flows from operating activities: | ||
Net income (loss) | 142,219 | 12,341 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 68,447 | 74,584 |
Debt related amortization and extinguishment fees included in interest expense | 47,173 | 8,850 |
Stock-based compensation | 7,684 | 9,895 |
Non-cash (gain) loss on cost and equity method investments | (1,043) | 3,833 |
Other non-cash (gains) losses | (771) | 6,833 |
Deferred income taxes | 66,953 | (6,821) |
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal | (194,734) | 0 |
Discontinued Operation, Income (Loss) from Discontinued Operation, before Income Tax | 188,251 | (21,074) |
Changes in operating assets and liabilities: | ||
Accounts receivable | (4,805) | (13,958) |
Inventories | (19,688) | (20,259) |
Prepaid expenses and other current assets | 5,155 | 8,460 |
Accounts payable | 10,488 | 12,905 |
Accrued expenses | (14,904) | 4,191 |
Income taxes | 8,562 | 14,716 |
Net cash provided by operating activities | 120,736 | 115,570 |
Cash flows from investing activities: | ||
Acquisition of property, plant and equipment | (33,340) | (34,059) |
Proceeds from sale of property, plant and equipment | 1,366 | 464 |
Purchase of cost and equity method investments | (1,230) | (1,316) |
Other investing activities | 0 | (209) |
Net cash provided by (used in) investing activities | 549,155 | (34,702) |
Cash flows from financing activities: | ||
Principal payments of long-term debt | (670,094) | (156,526) |
Proceeds from issuance of long-term debt | 0 | 50,000 |
Proceeds from the exercise of stock options | 11,757 | 17,074 |
Payment of debt issuance and redemption costs | (31,991) | (1,789) |
Tax withholdings related to net share settlements of restricted stock unit awards | (2,568) | (76) |
Net cash used in financing activities | (692,896) | (91,317) |
Effect of foreign currency exchange rates on cash and cash equivalents | 1,790 | 1,970 |
Net decrease in cash and cash equivalents | (21,215) | (8,479) |
Cash and cash equivalents, beginning of period | 44,096 | 52,116 |
Cash and cash equivalents, end of period | 22,881 | 43,637 |
Total cash and cash equivalents, end of period | 44,096 | 52,116 |
Noncash investing and financing activities: | ||
Property, plant and equipment purchases included in accounts payable | $ 2,585 | $ 6,406 |
Condensed Consolidated Statem_4
Condensed Consolidated Statement of Stockholders' Equity - Unaudited - 9 months ended Sep. 28, 2018 - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] |
Balance, shares at Dec. 29, 2017 | 31,978 | 107 | ||||
Balance at Dec. 29, 2017 | $ 893,381 | $ 32 | $ 669,756 | $ (4,654) | $ 176,068 | $ 52,179 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 142,219 | 142,219 | ||||
Other comprehensive loss, net | (13,296) | (13,296) | ||||
Accumulated other comprehensive income, reclassification to earnings, net of tax | 152 | |||||
Stock-based compensation | 7,684 | 7,684 | ||||
Net shares issued, shares | 524 | (12) | ||||
Net shares issued | 9,191 | $ 1 | 10,204 | $ (1,014) | ||
Balance, shares at Sep. 28, 2018 | 32,502 | 119 | ||||
Balance at Sep. 28, 2018 | $ 1,039,331 | $ 33 | $ 687,644 | $ (5,668) | $ 318,287 | $ 39,035 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 28, 2018 | |
Accounting Policies [Abstract] | |
BASIS OF PRESENTATION | BASIS OF PRESENTATION Integer Holdings Corporation (together with its consolidated subsidiaries, “Integer” or the “Company”) is a publicly traded corporation listed on the New York Stock Exchange under the symbol “ITGR.” Integer is one of the largest medical device outsource manufacturers in the world serving the cardiac, neuromodulation, vascular and portable medical markets. The Company provides innovative, high-quality medical technologies that enhance the lives of patients worldwide. In addition, it develops batteries for high-end niche applications in the energy, military, and environmental markets. The Company’s reportable segments are: (1) Medical and (2) Non-Medical. The Company’s customers include large multi-national original equipment manufacturers (“OEMs”) and their affiliated subsidiaries. On May 3, 2018, the Company entered into a definitive agreement to sell the Advanced Surgical and Orthopedic product lines (the “AS&O Product Line”) within its Medical segment to Viant (formerly MedPlast, LLC), and on July 2, 2018 completed the sale. The results of operations of the AS&O Product Line are reported as discontinued operations in the Condensed Consolidated Statements of Operations for all periods presented and the related assets and liabilities associated with the discontinued operations are classified as held for sale in the Condensed Consolidated Balance Sheet as of December 29, 2017. The Condensed Consolidated Statements of Cash Flows includes cash flows related to the discontinued operations due to Integer’s (parent) centralized treasury and cash management processes, and, accordingly, cash flow amounts for discontinued operations are disclosed in Note 2 “Discontinued Operations and Divestiture.” The Condensed Consolidated Balance Sheet as of December 29, 2017 was derived from the Company’s audited financial statements and has been retrospectively adjusted to reflect discontinued operations. All results and information in the condensed consolidated financial statements are presented as continuing operations and exclude the AS&O Product Line unless otherwise noted specifically as discontinued operations. Refer to Note 2 “Discontinued Operations and Divestiture” for additional information. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information (Accounting Standards Codification (“ASC”) 270, Interim Reporting ) and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, these financial statements do not include all of the information necessary for a full presentation of financial position, results of operations, and cash flows in conformity with accounting principles generally accepted in the United States of America (“GAAP”). In the opinion of management, the condensed consolidated financial statements reflect all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation of the results of the Company for the periods presented. Intercompany transactions and balances have been fully eliminated in consolidation. Operating results for interim periods are not necessarily indicative of results that may be expected for the fiscal year as a whole. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, certain components of equity, sales, expenses, and related disclosures at the date of the financial statements and during the reporting period. Actual results could differ materially from these estimates. For further information, refer to the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 29, 2017 . The Company utilizes a fifty-two, fifty-three week fiscal year ending on the Friday nearest December 31. The third quarter of 2018 and 2017 each contained 13 weeks and ended on September 28 and September 29, respectively. The Company’s 2018 and 2017 fiscal years will end or ended on December 28, 2018 and December 29, 2017, respectively. |
Discontinued Operations
Discontinued Operations | 9 Months Ended |
Sep. 28, 2018 | |
Discontinued Operations and Disposal Groups [Abstract] | |
DISCONTINUED OPERATIONS | DISCONTINUED OPERATIONS AND DIVESTITURE On May 3, 2018, the Company entered into a definitive agreement to sell its AS&O Product Line to Viant, and on July 2, 2018, completed the sale, collecting cash proceeds of approximately $582 million , which is net of transaction costs and adjustments set forth in the definitive agreement. In connection with the sale, the parties executed a transition services agreement whereby the Company will provide certain corporate services (including accounting, payroll, and information technology services) to Viant for a period of up to one year from the date of the closing to facilitate an orderly transfer of business operations. Viant will pay Integer for these services, with such payments varying in amount and length of time as specified in the transition services agreement. The Company recognized $1.9 million of income under the transition services agreement for the performance of services during the third quarter of fiscal 2018, of which $0.1 million is within Cost of sales and $1.8 million is within Selling, general and administrative expenses. In addition, the parties executed long-term supply agreements under which the Company and Viant have agreed to supply the other with certain products at prices specified in the agreements for a term of three years. In connection with the closing of the transaction, the Company recognized a pre-tax gain on sale of discontinued operations of $194.7 million . The Company is in the process of finalizing the net working capital adjustment with Viant as provided for in the definitive agreement. The final net working capital adjustment, as determined through the established process outlined in the definitive agreement, may be different from the Company’s estimates. The impact of any changes in the net working capital adjustment will be recorded as an adjustment to the gain on sale from discontinued operations in the period such change occurs. Additionally, the income taxes associated with the gain will be impacted by the final allocation of the sales price, which must be agreed to with Viant as required in the definitive agreement and may be materially different from the Company’s estimates. The impact of any changes in estimated income taxes will be recorded as an adjustment to discontinued operations in the period such change in estimate occurs. The operating results of the AS&O Product Line have been classified as discontinued operations in the Condensed Consolidated Statements of Operations for all periods presented and the assets and liabilities of the AS&O Product Line have been classified as assets and liabilities of discontinued operations in the Condensed Consolidated Balance Sheet at December 29, 2017. The discontinued operations of the AS&O Product Line are reported in the Medical segment. The assets and liabilities of a discontinued operation held for sale, other than goodwill, are measured at the lower of carrying amount or fair value less cost to sell. Accordingly, the assets and liabilities of the AS&O Product Line, other than goodwill, are measured at carrying amount. ASC 350, Intangibles — Goodwill and Other , states that when a portion of a goodwill reporting unit that constitutes a business is to be disposed of, goodwill associated with that business shall be included in the carrying amount of the business based on the relative fair values of the business to be disposed of and the portion of the reporting unit that will be retained. As the AS&O Product Line was a portion of the Medical goodwill reporting unit, and management determined it met the definition of a business, goodwill was allocated to the AS&O Product Line on a relative fair value basis, as prescribed by ASC 350. The fair value of the AS&O Product Line assets was based primarily on the initial purchase price of $600 million . (2.) DISCONTINUED OPERATIONS AND DIVESTITURE (Continued) The carrying amounts of the AS&O Product Line assets and liabilities that were classified as assets and liabilities of discontinued operations held for sale were as follows (in thousands): December 29, Cash and cash equivalents $ 6,755 Accounts receivable, net of allowance for doubtful accounts of $0.3 million 47,611 Inventories 50,796 Prepaid expenses and other current assets 1,584 Current assets of discontinued operations held for sale 106,746 Property, plant and equipment, net 135,195 Goodwill 150,368 Other intangible assets, net 57,520 Other noncurrent assets 1,551 Noncurrent assets of discontinued operations held for sale 344,634 Total assets 451,380 Accounts payable and other current liabilities held for sale 47,703 Deferred taxes and other long-term liabilities held for sale 14,966 Total liabilities 62,669 Net assets $ 388,711 Income (loss) from discontinued operations, net of taxes, were as follows (in thousands): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Sales $ — $ 77,140 $ 178,020 $ 237,620 Cost of sales — 68,091 148,357 209,276 Gross profit — 9,049 29,663 28,344 Selling, general and administrative expenses — 4,669 8,905 13,952 Research, development and engineering costs — 1,380 2,352 4,803 Other operating expenses (income) (1) (2,185 ) 195 1,805 465 Interest expense 976 10,677 22,833 31,792 Gain on sale of discontinued operations (194,734 ) — (194,734 ) — Other (income) loss, net 69 (428 ) 251 (1,594 ) Income (loss) from discontinued operations before taxes 195,874 (7,444 ) 188,251 (21,074 ) Provision (benefit) for income taxes 73,492 (1,252 ) 73,869 (1,026 ) Income (loss) from discontinued operations $ 122,382 $ (6,192 ) $ 114,382 $ (20,048 ) __________ (1) The Company recorded $2.2 million of transaction costs in Other operating expenses (income) from discontinued operations during the three months ended June 29, 2018, which were reclassified to the Gain on sale of discontinued operations during the three months ended September 28, 2018. (2.) DISCONTINUED OPERATIONS AND DIVESTITURE (Continued) The Company allocates interest to discontinued operations if the interest is directly attributable to the discontinued operations or is interest on debt that is required to be repaid as a result of the disposal transaction. Interest expense included in discontinued operations reflects an estimate of interest expense related to the debt that was required to be repaid with the proceeds from the sale of the AS&O Product Line. Cash flow information from discontinued operations was as follows (in thousands): Nine Months Ended September 28, September 29, Cash used in operating activities $ (12,388 ) $ (2,580 ) Cash provided by (used in) investing activities 578,763 (11,659 ) Depreciation and amortization $ 7,450 $ 15,947 Capital expenditures 3,610 11,732 |
Inventories
Inventories | 9 Months Ended |
Sep. 28, 2018 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | INVENTORIES Inventories are comprised of the following (in thousands): September 28, December 29, Raw materials $ 81,443 $ 85,050 Work-in-process 78,966 63,620 Finished goods 33,222 28,068 Total $ 193,631 $ 176,738 Refer to Note 2 “Discontinued Operations and Divestiture” for inventories included in discontinued operations, which are not included above. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets, Net | 9 Months Ended |
Sep. 28, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER INTANGIBLE ASSETS, NET | GOODWILL AND OTHER INTANGIBLE ASSETS, NET Goodwill The changes in the carrying amount of goodwill by reportable segment for the nine months ended September 28, 2018 were as follows (in thousands): Medical Non- Medical Total December 29, 2017 $ 822,870 $ 17,000 $ 839,870 Foreign currency translation (5,350 ) — (5,350 ) September 28, 2018 $ 817,520 $ 17,000 $ 834,520 Intangible Assets Intangible assets at September 28, 2018 and December 29, 2017 were as follows (in thousands): Gross Carrying Amount Accumulated Amortization Net Carrying Amount September 28, 2018 Definite-lived: Purchased technology and patents $ 242,292 $ (121,743 ) $ 120,549 Customer lists 712,795 (98,299 ) 614,496 Other 3,503 (3,477 ) 26 Total $ 958,590 $ (223,519 ) $ 735,071 Indefinite-lived: Trademarks and tradenames $ 90,288 December 29, 2017 Definite-lived: Purchased technology and patents $ 243,679 $ (111,185 ) $ 132,494 Customer lists 718,649 (78,621 ) 640,028 Other 4,660 (4,597 ) 63 Total $ 966,988 $ (194,403 ) $ 772,585 Indefinite-lived: Trademarks and tradenames $ 90,288 Aggregate intangible asset amortization expense is comprised of the following (in thousands): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Cost of sales $ 3,367 $ 3,786 $ 10,756 $ 11,282 Selling, general and administrative expenses 6,490 6,222 20,196 18,684 Research, development and engineering costs 39 137 116 409 Total intangible asset amortization expense $ 9,896 $ 10,145 $ 31,068 $ 30,375 Estimated future intangible asset amortization expense based on the carrying value as of September 28, 2018 is as follows (in thousands): 2018 2019 2020 2021 2022 After 2022 Amortization Expense $ 9,918 $ 40,491 $ 40,804 $ 39,948 $ 38,807 $ 565,103 |
Debt
Debt | 9 Months Ended |
Sep. 28, 2018 | |
Debt Disclosure [Abstract] | |
DEBT | DEBT Long-term debt is comprised of the following (in thousands): September 28, December 29, Senior secured term loan A $ 314,063 $ 335,157 Senior secured term loan B 658,286 873,286 9.125% senior notes due 2023 — 360,000 Revolving line of credit — 74,000 Unamortized discount on term loan B and debt issuance costs (18,155 ) (33,278 ) Total debt 954,194 1,609,165 Current portion of long-term debt (37,500 ) (30,469 ) Total long-term debt $ 916,694 $ 1,578,696 Senior Secured Credit Facilities The Company has senior secured credit facilities (the “Senior Secured Credit Facilities”) consisting of (i) a $200 million revolving credit facility (the “Revolving Credit Facility”), (ii) a $314 million term loan A facility (the “TLA Facility”), and (iii) a $658 million term loan B facility (the “TLB Facility”). The TLA Facility and TLB Facility are collectively referred to as the “Term Loan Facilities.” The TLB Facility was issued at a 1% discount. On June 8, 2018, the Company amended the Senior Secured Credit Facilities to permit the sale of the AS&O Product Line. As required by the amended terms of the Company’s Senior Secured Credit Facilities, the Company paid down indebtedness as a result of the disposition of the AS&O Product Line. On July 10, 2018, the Company completed the redemption in full of its 9.125% senior notes due on November 1, 2023 (the “Senior Notes”) at a redemption price of 100% of the principal amount of the Senior Notes plus the applicable “make-whole” premium of $31.3 million and accrued and unpaid interest through the redemption date. Upon completion of the redemption of the Senior Notes, the indenture governing the Senior Notes was satisfied and discharged. The Company utilized the remaining net proceeds to pay down an additional $188 million in debt outstanding under the Senior Secured Credit Facilities, consisting of $114 million on the TLB Facility and $74 million on the Revolving Credit Facility. Revolving Credit Facility The Revolving Credit Facility matures on October 27, 2020 . The Revolving Credit Facility also includes a $15 million sublimit for swingline loans and a $25 million sublimit for standby letters of credit. The Company is required to pay a commitment fee on the unused portion of the Revolving Credit Facility, which will range between 0.175% and 0.25% , depending on the Company’s Total Net Leverage Ratio (as defined in the Senior Secured Credit Facilities agreement). Interest rates on the Revolving Credit Facility, as well as the TLA Facility, are at the Company’s option, either at: (i) the prime rate plus the applicable margin, which will range between 0.75% and 2.25% , based on the Company’s Total Net Leverage Ratio, or (ii) the applicable LIBOR rate plus the applicable margin, which will range between 1.75% and 3.25% , based on the Company’s Total Net Leverage Ratio. As of September 28, 2018 , the Company had no outstanding borrowings on the Revolving Credit Facility and an available borrowing capacity of $191.3 million after giving effect to $8.7 million of outstanding standby letters of credit. Subject to certain conditions, commitments under the Revolving Credit Facility may be increased through an incremental revolving facility so long as, on a pro forma basis, the Company’s first lien net leverage ratio does not exceed 4.25 :1.00. Due to being variable rate and short-term in nature, the carrying amount of the Revolving Credit Facility approximates fair value. (5.) DEBT (Continued) Term Loan Facilities The TLA Facility and TLB Facility mature on October 27, 2021 and October 27, 2022 , respectively. As a result of the upgrade to the Company’s corporate family credit rating from Moody’s Investors Services, Inc. from B3 to B2 during the third quarter of 2018, the interest rate margin for the TLB Facility was stepped down by 25 basis points. Interest rates on the TLB Facility are, at the Company’s option, either at: (i) the prime rate plus 2.00% or (ii) the applicable LIBOR rate plus 3.00% , with LIBOR subject to a 1.00% floor. As of September 28, 2018 , the interest rates on the TLA Facility and TLB Facility were 4.74% and 5.14% , respectively. Subject to certain conditions, one or more incremental term loan facilities may be added to the Term Loan Facilities so long as, on a pro forma basis, the Company’s first lien net leverage ratio does not exceed 4.25 :1.00. As of September 28, 2018 , the estimated fair value of the TLB Facility was approximately $664 million , based on quoted market prices for the debt, recent sales prices for the debt and consideration of comparable debt instruments with similar interest rates and trading frequency, among other factors, and is classified as Level 2 measurements within the fair value hierarchy. The par amount of the TLA Facility approximated its fair value as of September 28, 2018 based upon the debt being variable rate in nature. Covenants The Revolving Credit Facility and TLA Facility contain covenants requiring (A) a maximum Total Net Leverage Ratio of 5.75 :1.00, subject to periodic step downs in beginning in the fourth quarter of 2018 and (B) a minimum interest coverage ratio of adjusted EBITDA (as defined in the Senior Secured Credit Facilities) to interest expense of not less than 2.75 :1.00 subject to a step up beginning in the first quarter of 2019. As of September 28, 2018 , the Company was in compliance with these financial covenants. The TLB Facility does not contain any financial maintenance covenants. The Senior Secured Credit Facilities also contain negative covenants that restrict the Company’s ability to (i) incur additional indebtedness; (ii) create certain liens; (iii) consolidate or merge; (iv) sell assets, including capital stock of the Company’s subsidiaries; (v) engage in transactions with the Company’s affiliates; (vi) create restrictions on the payment of dividends or other amounts from the Company’s restricted subsidiaries; (vii) pay dividends on capital stock or redeem, repurchase or retire capital stock; (viii) pay, prepay, repurchase or retire certain subordinated indebtedness; (ix) make investments, loans, advances and acquisitions; (x) make certain amendments or modifications to the organizational documents of the Company or its subsidiaries or the documentation governing other senior indebtedness of the Company; and (xi) change the Company’s type of business. These negative covenants are subject to a number of limitations and exceptions that are described in the Senior Secured Credit Facilities agreement. As of September 28, 2018 , the Company was in compliance with all negative covenants under the Senior Secured Credit Facilities. The Senior Secured Credit Facilities provide for customary events of default. Upon the occurrence and during the continuance of an event of default, the outstanding advances and all other obligations under the Senior Secured Credit Facilities become immediately due and payable. 9.125% Senior Notes due 2023 On October 27, 2015, the Company completed a private offering of $360 million aggregate principal amount of 9.125% senior notes due on November 1, 2023 . On July 10, 2018, the Company completed the redemption in full of the Senior Notes at a redemption price of 100% of the principal amount of the Senior Notes plus the applicable “make-whole” premium of $31.3 million and accrued and unpaid interest through the redemption date. The “make-whole” premium is included in Interest Expense in the accompanying Condensed Consolidated Statements of Operations. Upon completion of the redemption of the Senior Notes, the indenture governing the Senior Notes was satisfied and discharged. Contractual maturities under the Senior Secured Credit Facilities for the remainder of 2018 and the next four years and thereafter, excluding any discounts or premiums, as of September 28, 2018 are as follows (in thousands): 2018 2019 2020 2021 2022 Future minimum principal payments $ 9,375 $ 37,500 $ 37,500 $ 229,688 $ 658,286 (5.) DEBT (Continued) Debt Issuance Costs and Discounts The change in deferred debt issuance costs related to the Revolving Credit Facility is as follows (in thousands): December 29, 2017 $ 2,808 Amortization during the period (743 ) September 28, 2018 $ 2,065 The change in unamortized discount and debt issuance costs related to the Term Loan Facilities and Senior Notes is as follows (in thousands): Debt Issuance Costs Unamortized Discount on TLB Facility Total December 29, 2017 $ 26,889 $ 6,389 $ 33,278 Write-off of debt issuance costs and unamortized discount (1) (9,373 ) (1,448 ) (10,821 ) Amortization during the period (3,497 ) (805 ) (4,302 ) September 28, 2018 $ 14,019 $ 4,136 $ 18,155 __________ (1) The Company redeemed its Senior Notes and prepaid portions of its TLB Facility during 2018 and 2017. The Company recognized losses from extinguishment of debt during the three and nine months ended September 28, 2018 of $9.3 million and $10.8 million , respectively. The Company recognized losses from extinguishment of debt during the three and nine months ended September 29, 2017 of $0.8 million and $3.3 million , respectively. The loss from extinguishment of debt represents the unamortized debt issuance costs related to the Senior Notes and the portion of the unamortized discount and debt issuance costs related to the portion of the TLB Facility that was prepaid and is included in Interest Expense in the accompanying Condensed Consolidated Statements of Operations. Interest Rate Swap During 2016, the Company entered into a three -year $200 million interest rate swap to hedge against potential changes in cash flows on the outstanding variable rate debt, which is indexed to the one-month LIBOR rate. The variable rate received on the interest rate swap and the variable rate paid on the outstanding debt will have the same rate of interest, excluding the credit spread, and will reset and pay interest on the same date. The swap is being accounted for as a cash flow hedge. Information regarding the Company’s outstanding interest rate swap designated as a cash flow hedge as of September 28, 2018 is as follows (dollars in thousands): Notional Amount Start Date End Date Pay Fixed Rate Receive Current Floating Rate Fair Value Balance Sheet Location $ 200,000 Jun-17 Jun-20 1.1325 % 2.2300 % $ 5,690 Other Long-Term Assets The estimated fair value of the interest rate swap agreement represents the amount the Company would receive (pay) to terminate the contract. No portion of the change in fair value of the Company’s interest rate swap during the quarters ended September 28, 2018 and September 29, 2017 was considered ineffective. The amounts recorded to Interest Expense during the nine months ended September 28, 2018 and September 29, 2017 related to the Company’s interest rate swap were reductions of $1.1 million and $0.4 million , respectively. The estimated Accumulated Other Comprehensive Income related to the Company’s interest rate swaps that is expected to be reclassified into earnings within the next twelve months is a $2.9 million gain. |
Benefit Plans
Benefit Plans | 9 Months Ended |
Sep. 28, 2018 | |
Defined Benefit Plan [Abstract] | |
BENEFIT PLANS | BENEFIT PLANS The Company is required to provide its employees located in Switzerland and Mexico certain statutorily mandated defined benefits. The following tables set forth the components of the Company’s net periodic expense from continuing operations relating to retirement benefit plans (in thousands): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Service cost $ 54 $ 52 $ 162 $ 150 Interest cost 12 11 36 31 Amortization of net loss 8 11 25 34 Expected return on plan assets (4 ) (4 ) (13 ) (14 ) Net defined benefit cost $ 70 $ 70 $ 210 $ 201 |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 28, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
STOCK-BASED COMPENSATION | STOCK-BASED COMPENSATION The Company maintains certain stock-based compensation plans that were approved by the Company’s stockholders and are administered by the Board of Directors, or the Compensation and Organization Committee of the Board. The stock-based compensation plans provide for the granting of stock options, shares of restricted stock awards (“RSAs”), restricted stock units (“RSUs”), stock appreciation rights and stock bonuses to employees, non-employee directors, consultants, and service providers. The components and classification of stock-based compensation expense were as follows (in thousands): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Stock options $ 215 $ 325 $ 726 $ 1,303 RSAs and RSUs (time-based) 1,161 1,265 4,330 4,142 Performance-based RSUs (“PSUs”) 711 182 2,214 3,695 Stock-based compensation expense - continuing operations 2,087 1,772 7,270 9,140 Discontinued operations (510 ) 173 414 755 Total stock-based compensation expense $ 1,577 $ 1,945 $ 7,684 $ 9,895 Cost of sales $ 222 $ 80 $ 598 $ 417 Selling, general and administrative expenses 1,821 1,839 6,568 6,332 Research, development and engineering costs 44 122 99 367 Other operating expenses — (269 ) 5 2,024 Discontinued operations (510 ) 173 414 755 Total stock-based compensation expense $ 1,577 $ 1,945 $ 7,684 $ 9,895 During the first quarter of 2017, the Company recorded $2.2 million of accelerated stock-based compensation expense in connection with the transition of its former Chief Executive Officer per the terms of his contract, which was classified as Other Operating Expenses. (7.) STOCK-BASED COMPENSATION (Continued) The weighted average fair value and assumptions used to value options granted are as follows: Nine Months Ended September 28, September 29, Weighted average fair value $ 14.89 $ 10.58 Risk-free interest rate 2.21 % 1.69 % Expected volatility 39 % 37 % Expected life (in years) 4.0 4.1 Expected dividend yield — % — % The following table summarizes the Company’s stock option activity: Number of Stock Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (In Years) Aggregate Intrinsic Value (In Millions) Outstanding at December 29, 2017 931,353 $ 30.89 Granted 28,447 45.13 Exercised (381,793 ) 30.80 Forfeited or expired (23,700 ) 41.28 Outstanding at September 28, 2018 554,307 $ 31.24 6.2 $ 28.7 Exercisable at September 28, 2018 433,487 $ 30.16 5.6 $ 22.9 During the nine months ended September 28, 2018 , the Company awarded grants of 0.3 million RSUs to certain members of management, of which 0.2 million are PSUs and the remainder are time-based RSUs that vest ratably over a period of three to four years. Of the PSUs, 0.1 million of the shares subject to each grant will be earned based upon achievement of specific Company performance metrics over a three -year performance period ending January 1, 2021, and 0.1 million of the shares subject to each grant will be earned based on the Company’s achievement of a relative total shareholder return (“TSR”) performance requirement, on a percentile basis, compared to a defined group of peer companies over a three -year performance period ending January 1, 2021. The number of PSUs earned based on the achievement of the Company performance metrics and TSR performance requirements, if any, will vest based on the recipient’s continuous service to the Company over a period of generally one to three years from the grant date. The time-based RSUs generally vest ratably over a three -year period. The grant-date fair value of the TSR portion of the PSUs granted during the nine months ended September 28, 2018 was determined using the Monte Carlo simulation model on the date of grant, assuming the following (i) expected term of 2.92 years , (ii) risk free interest rate of 2.28% , (iii) expected dividend yield of 0.0% and (iv) expected stock price volatility over the expected term of the TSR award of 40% . The grant-date fair value of all other restricted stock awards is equal to the closing market price of Integer common stock on the date of grant. The following table summarizes RSA and RSU activity: Time-Vested Activity Weighted Average Fair Value Nonvested at December 29, 2017 163,431 $ 35.96 Granted 157,608 50.76 Vested (28,197 ) 46.62 Forfeited (50,393 ) 41.97 Nonvested at September 28, 2018 242,449 $ 43.09 (7.) STOCK-BASED COMPENSATION (Continued) The following table summarizes PSU activity: Performance- Vested Activity Weighted Average Fair Value Nonvested at December 29, 2017 469,889 $ 32.37 Granted 159,669 45.37 Vested (146,704 ) 35.16 Forfeited (180,003 ) 35.18 Nonvested at September 28, 2018 302,851 $ 36.20 |
Other Operating Expenses, Net
Other Operating Expenses, Net | 9 Months Ended |
Sep. 28, 2018 | |
Other Income and Expenses [Abstract] | |
OTHER OPERATING EXPENSES, NET | OTHER OPERATING EXPENSES Other Operating Expenses is comprised of the following (in thousands): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Strategic reorganization and alignment $ 2,643 $ — $ 8,424 $ — Manufacturing alignment to support growth 877 — 2,493 — Consolidation and optimization initiatives 137 2,979 698 8,055 Acquisition and integration expenses — 2,267 — 10,057 Asset dispositions, severance and other 482 823 1,000 6,378 Other operating expenses - continuing operations 4,139 6,069 12,615 24,490 Discontinued operations (2,185 ) 195 1,805 465 Total other operating expenses $ 1,954 $ 6,264 $ 14,420 $ 24,955 Strategic Reorganization and Alignment During the fourth quarter of 2017, the Company began to take steps to better align its resources in order to enhance the profitability of its portfolio of products. This includes improving its business processes and redirecting investments away from projects where the market does not justify the investment, as well as aligning resources with market conditions and the Company’s future strategic direction. The Company estimates that it will incur aggregate pre-tax charges in connection with the strategic reorganization and alignment plan, including projects reported in discontinued operations, of between approximately $28 million to $ 30 million , of which an estimated $16 million to $20 million are expected to result in cash outlays. During the nine months ended September 28, 2018 , the Company incurred charges relating to this initiative which primarily included severance and personnel related costs for terminated employees and fees for professional services. These expenses were primarily recorded within the Medical segment. As of September 28, 2018 , total expense incurred for this initiative since inception, including amounts reported in discontinued operations, was $16.0 million . These actions are expected to be substantially completed by the end of 2018. Manufacturing Alignment to Support Growth In 2017, the Company initiated several initiatives designed to reduce costs, improve operating efficiencies and increase manufacturing capacity to accommodate growth. The plan involves the relocation of certain manufacturing operations and expansion of certain of the Company's facilities. The Company estimates that it will incur aggregate pre-tax restructuring related charges in connection with the realignment plan of between approximately $9 million to $11 million , the majority of which are expected to be cash expenditures, and capital expenditures of between approximately $4 million to $6 million . Costs related to the Company’s manufacturing alignment to support growth initiative, were primarily recorded within the Medical segment. As of September 28, 2018 , total expense incurred for this initiative since inception, including amounts reported in discontinued operations, was $2.8 million . These actions are expected to be substantially completed by the end of 2019. (8.) OTHER OPERATING EXPENSES (Continued) Consolidation and Optimization Initiatives In 2014, the Company initiated plans to transfer certain manufacturing functions performed at its facility in Beaverton, OR to a new facility in Tijuana, Mexico. Additionally, during 2016, the Company announced it would be closing its facility in Clarence, NY after transferring the machined component product lines manufactured in that facility to other Integer locations in the U.S. Costs related to the Company’s consolidation and optimization initiatives were primarily recorded within the Medical segment. The Company does not expect to incur any material additional costs associated with these activities as these activities are substantially complete. The following table summarizes the change in accrued liabilities related to the initiatives described above (in thousands): Severance and Retention Other Total December 29, 2017 $ 1,308 $ — $ 1,308 Restructuring charges 5,347 6,268 11,615 Cash payments (5,438 ) (5,981 ) (11,419 ) September 28, 2018 $ 1,217 $ 287 $ 1,504 Acquisition and Integration Expenses The Company did not incur any additional costs associated with these activities during the nine months ended September 28, 2018 . During the three and nine months ended September 29, 2017 , the Company incurred $2.3 million and $10.1 million in acquisition and integration costs related to the acquisition of Lake Region Medical, consisting primarily of integration costs. Integration costs primarily include professional, consulting, severance, retention, relocation, and travel costs. The $0.4 million of acquisition and integration costs accrued as of December 29, 2017 were paid during the first quarter of 2018. These projects were completed as of December 29, 2017. Asset Dispositions, Severance and Other During the first nine months of 2018 and 2017, the Company recorded losses in connection with various asset disposals and/or write-downs. The 2017 amount also includes approximately $5.3 million in expense related to the Company’s leadership transitions, which were recorded within the corporate unallocated segment. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 28, 2018 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES The income tax provision for interim periods is determined using an estimate of the annual effective tax rate, adjusted for discrete items, if any, that are taken into account in the relevant period. Each quarter, the estimate of the annual effective tax rate is updated, and if the estimated effective tax rate changes, a cumulative adjustment is made. There is a potential for volatility of the effective tax rate due to several factors, including discrete items, changes in the mix and amount of pre-tax income and the jurisdictions to which it relates, changes in tax laws and foreign tax holidays, business reorganizations, settlements with taxing authorities and foreign currency fluctuations. On December 22, 2017, the Tax Cuts and Jobs Act of 2017 (the “Tax Reform Act”) was signed into law making significant changes to the Internal Revenue Code. Changes include, but are not limited to, a corporate tax rate decrease from 35% to 21% effective for tax years beginning after December 31, 2017, the transition of U.S international taxation from a worldwide tax system to a territorial system, and a one-time transition tax on the mandatory deemed repatriation of cumulative foreign earnings as of December 31, 2017. (9.) INCOME TAXES (Continued) Under GAAP, the effect of a change in tax laws or rates to be recognized in income from continuing operations for the period that includes the enactment date. As such, the Company recognized an estimate of the impact of the Tax Reform Act in the year ended December 29, 2017. The Company had an estimated $147.5 million of undistributed foreign earnings and profit subject to the deemed mandatory repatriation as of December 29, 2017 and recognized a provisional $14.7 million in 2017 for the one-time transition tax. The Company has sufficient U.S. net operating losses to offset cash tax liabilities associated with the repatriation tax. In addition, as a result of the reduction in the U.S. corporate income tax rate from 35% to 21% under the Tax Reform Act, the Company revalued its ending net deferred tax liabilities at December 29, 2017 and recognized a $56.5 million tax benefit in the Company’s Consolidated Statement of Operations for the year ended December 29, 2017. For further discussion of the impact of the Tax Reform Act for the year ended December 29, 2017, reference is made to Note 12 of the Company’s consolidated financial statements as of and for the year ended December 29, 2017 included in the Company’s 2017 Annual Report on Form 10-K for the year ended December 29, 2017 . On December 22, 2017, the Securities and Exchange Commission issued Staff Accounting Bulletin (“SAB”) No. 118 to address the application of GAAP in situations when a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the Tax Reform Act. The Company recognized the tax impact of the revaluation of deferred tax assets and liabilities and the provisional tax impact related to deemed repatriated earnings and included these amounts in its consolidated financial statements for the year ended December 29, 2017. Based on additional analysis conducted, the Company updated the provisional amount of the one-time transition tax to $18.9 million , representing an increase of $4.2 million over the $14.7 million amount recorded as of December 29, 2017. The Company believes the remeasurement of its 2017 provisional amount is complete. As stated above, the Company has sufficient U.S. net operating losses to offset cash tax liabilities associated with the repatriation tax. In part, due to the utilization of additional net operating losses to offset the additional transition tax, the Company adjusted its revaluation of the adjusted ending net deferred tax liabilities as of December 29, 2017, resulting in a recognized tax benefit of $60.7 million , representing an increase of $4.2 million to the originally recorded $56.5 million tax benefit recorded in the Company’s Consolidated Statement of Operations for the year ended December 29, 2017. The impact of these adjustments has been reflected in the Company’s financial results for the three month period ended September 28, 2018 and its timely filed 2017 U.S. corporate income tax return. In addition to the reduction of the U.S. federal corporate tax rate and the one-time transition tax discussed above, the Tax Reform Act also established new tax laws that affect 2018, including, but not limited to: (i) a general elimination of U.S. federal income taxes on dividends from foreign subsidiaries; (ii) a new U.S. income inclusion on certain earnings of foreign subsidiaries (Global Intangible Low-Taxed Income (“GILTI”)); (iii) the repeal of the domestic production activity deductions; (iv) limitations on the deductibility of certain executive compensation; (v) an elimination of the deduction for certain deemed “base erosion payments” made to foreign affiliates (Base Erosion and Anti-Abuse Tax (“BEAT”)); and (vi) a new provision that allows a domestic corporation an immediate deduction for a portion of its foreign derived intangible income (“FDII”). The GILTI provisions require the Company to include foreign subsidiary earnings in excess of a deemed return on the foreign subsidiary’s tangible assets in its U.S. income tax return. The Company expects that it will be subject to incremental U.S. tax on GILTI income beginning in 2018. Because of the complexity of the new GILTI tax rules and the ongoing regulatory interpretation of the GILTI provisions, the Company is continuing its evaluation of this provision of the Tax Reform Act and the application of ASC 740, Income Taxes . Under GAAP, the Company is allowed to make an accounting policy choice of either (1) treating taxes due on future U.S. inclusions in taxable income related to GILTI as a current period expense when incurred (the “period cost method”) or (2) factoring such amounts into the Company's measurement of its deferred taxes (the “deferred method”). The Company's selection of an accounting policy with respect to the new GILTI tax rules will depend, in part, on analyzing its global income to determine whether it expects to have future U.S. inclusions in taxable income related to GILTI and, if so, what the impact is expected to be. Whether the Company expects to have future U.S. inclusions in taxable income related to GILTI depends on not only the Company's current structure and estimated future results of global operations, but also its intent and ability to modify its structure. While the Company has included an estimate of GILTI in its estimated effective tax rate for 2018, it has not finalized its analysis and is not yet able to determine which method to elect. Adjustments related to the amount of GILTI Tax recorded in its condensed consolidated financial statements may be required based on the outcome of this election. The BEAT provisions in the Tax Reform Act eliminate the deduction of certain base-erosion payments made to related foreign corporations, and impose a minimum tax if greater than regular tax. (9.) INCOME TAXES (Continued) The Company does not expect to be materially impacted by the BEAT or FDII provisions and has not included any impact of the provisions in its estimated effective tax rate for 2018, however, it is still in the process of analyzing the effect of these provisions of the Tax Reform Act. The Company’s worldwide effective tax rate for the third quarter of 2018 was 42.6% on $14.5 million of losses from continuing operations before taxes compared to (2.3)% on $19.4 million of income from continuing operations before taxes for the same period in 2017. The difference between the Company’s effective tax rate and the U.S. federal statutory income tax rate for the third quarter of 2018 is primarily attributable to discrete tax benefits of $3.0 million , which are predominately related to return to provision adjustments and deductible stock based compensation expense. The Company recognized a tax provision of $8.0 million on income from continuing operations before taxes of $35.8 million for the first nine months of 2018 compared to $0.6 million on $33.0 million of income from continuing operations before taxes for the same period of 2017. The 2018 estimated annual effective tax rate includes the estimated impact of all Tax Reform Act provisions. The Company’s effective tax rate for 2018 differs from the U.S. federal statutory tax rate of 21% due principally to the estimated impact of the GILTI tax. The Company’s earnings outside the United States are generally taxed at blended rates that are marginally lower than the U.S. federal rate. The GILTI provisions require the Company to include foreign subsidiary earnings in excess of a deemed return on the foreign subsidiary’s tangible assets in its U.S. income tax return. There is a statutory deduction of 50% of the GILTI inclusion, however the deduction is subject to limitations based on U.S. taxable income. The Company currently has net operating losses to offset forecasted U.S. taxable income and as such, is temporarily subject to the deduction limitation which correspondingly imposes an incremental impact on U.S. income tax. The foreign jurisdictions in which the Company operates and where its foreign earnings are primarily derived, include Switzerland, Mexico, Uruguay, Malaysia and Ireland. The Company’s effective tax rate for 2017 differs from the U.S. federal statutory tax rate of 35% due principally to the Company’s earnings outside the U.S. which are generally taxed at rates lower than the U.S. federal rate. In addition, the Company had positive income before taxes in its foreign jurisdictions but losses before taxes in U.S. jurisdictions. As of September 28, 2018 , the balance of unrecognized tax benefits from continuing operations is approximately $5.2 million . It is reasonably possible that a reduction of up to $1.1 million of the balance of unrecognized tax benefits may occur within the next twelve months as a result of potential audit settlements. Approximately $5.2 million of the balance of unrecognized tax benefits would favorably impact the effective tax rate, net of federal benefit on state issues, if recognized. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 28, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Litigation The Company is subject to litigation arising from time to time in the ordinary course of its business. The Company does not expect that the ultimate resolution of any pending legal actions will have a material effect on its consolidated results of operations, financial position, or cash flows. However, litigation is subject to inherent uncertainties. As such, there can be no assurance that any pending legal action, which the Company currently believes to be immaterial, will not become material in the future. In April 2013, the Company commenced an action against AVX Corporation and AVX Filters Corporation (collectively “AVX”) alleging that AVX had infringed on the Company’s patents by manufacturing and selling filtered feedthrough assemblies used in implantable pacemakers and cardioverter defibrillators that incorporate the Company’s patented technology. On January 26, 2016, a jury in the U.S. District Court for the District of Delaware returned a verdict finding that AVX infringed two Integer patents and awarded Integer $37.5 million in damages. Following a second trial in August 2017, a jury found that AVX infringed an additional Integer patent. On March 30, 2018, the U.S. District Court for the District of Delaware vacated the original damage award and ordered a retrial on damages, which is scheduled for January 2019. The Company has recorded no gains in connection with this litigation as no cash has been received. (10.) COMMITMENTS AND CONTINGENCIES (Continued) Product Warranties The Company generally warrants that its products will meet customer specifications and will be free from defects in materials and workmanship. The Company does not expect future product warranty claims will have a material effect on its condensed consolidated results of operations, financial position, or cash flows. However, there can be no assurance that any future customer complaints or negative regulatory actions regarding the Company’s products, which the Company currently believes to be immaterial, does not become material in the future. The change in product warranty liability was comprised of the following (in thousands): December 29, 2017 $ 2,820 Additions to warranty reserve 570 Warranty claims settled (317 ) September 28, 2018 $ 3,073 Foreign Currency Contracts The Company periodically enters into foreign currency forward contracts to hedge its exposure to foreign currency exchange rate fluctuations in its international operations. The Company has designated these foreign currency forward contracts as cash flow hedges. Accordingly, the effective portions of the unrealized gains and losses on these contracts are reported in Accumulated Other Comprehensive Income in the Condensed Consolidated Balance Sheets and are reclassified to earnings in the same periods during which the hedged transactions affect earnings. The estimated Accumulated Other Comprehensive Income related to the Company’s foreign currency contracts that is expected to be reclassified into earnings within the next twelve months is a $0.7 million gain. The impact to the Company’s results of operations from its forward contract hedges is as follows (in thousands): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Increase (decrease) in sales $ (252 ) $ 594 $ (254 ) $ 733 Increase (decrease) in cost of sales (393 ) (512 ) (988 ) 371 Ineffective portion of change in fair value — — — — Information regarding outstanding foreign currency contracts designated as cash flow hedges as of September 28, 2018 is as follows (dollars in thousands): Aggregate Notional Amount Start Date End Date $/Foreign Currency Fair Value Balance Sheet Location $ 1,050 Jul 2018 Dec 2018 0.0500 Peso $ 62 Prepaid expenses and other current assets 7,599 Jan 2018 Dec 2018 0.0507 Peso 340 Prepaid expenses and other current assets 6,100 Jan 2018 Dec 2018 1.1961 Euro (214 ) Accrued expenses 5,850 Aug 2018 Dec 2018 1.1699 Euro (16 ) Accrued expenses 12,621 Jan 2019 Jun 2019 1.1686 Euro 129 Prepaid expenses and other current assets 10,991 Jan 2019 Jun 2019 0.0523 Peso (95 ) Accrued expenses |
Earnings (Loss) Per Share (EPS)
Earnings (Loss) Per Share (EPS) | 9 Months Ended |
Sep. 28, 2018 | |
Earnings Per Share [Abstract] | |
EARNINGS (LOSS) PER SHARE (EPS) | EARNINGS (LOSS) PER SHARE (“EPS”) The following table sets forth a reconciliation of the information used in computing basic and diluted EPS (in thousands, except per share amounts): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Numerator for basic and diluted EPS: Income (loss) from continuing operations $ (8,303 ) $ 19,882 $ 27,837 $ 32,389 Income (loss) from discontinued operations 122,382 $ (6,192 ) 114,382 (20,048 ) Net income $ 114,079 $ 13,690 $ 142,219 $ 12,341 Denominator for basic and diluted EPS: Weighted average shares outstanding - Basic 32,211 31,594 32,050 31,304 Dilutive effect of assumed exercise of stock options, restricted stock and RSUs — 579 401 643 Weighted average shares outstanding - Diluted 32,211 32,173 32,451 31,947 Basic earnings (loss) per share: Income (loss) from continuing operations $ (0.26 ) $ 0.63 $ 0.87 $ 1.03 Income (loss) from discontinued operations 3.80 (0.20 ) 3.57 (0.64 ) Basic earnings per share 3.54 0.43 4.44 0.39 Diluted earnings (loss) per share: Income (loss) from continuing operations $ (0.26 ) $ 0.62 $ 0.86 $ 1.01 Income (loss) from discontinued operations 3.80 (0.19 ) 3.52 (0.63 ) Diluted earnings per share 3.54 0.43 4.38 0.39 The diluted weighted average share calculations do not include the following securities, which are not dilutive to the EPS calculations or the performance criteria have not been met (in thousands): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Time-vested stock options, restricted stock and RSUs 797 295 436 850 Performance-vested restricted stock and PSUs 303 188 220 320 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 9 Months Ended |
Sep. 28, 2018 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | ACCUMULATED OTHER COMPREHENSIVE INCOME Accumulated Other Comprehensive Income is comprised of the following (in thousands): Defined Benefit Plan Liability Cash Flow Hedges Foreign Currency Translation Adjustment Total Pre-Tax Amount Tax Net-of-Tax Amount June 29, 2018 $ (1,422 ) $ 5,094 $ 37,756 $ 41,428 $ (370 ) $ 41,058 Unrealized gain on cash flow hedges — 1,424 — 1,424 (299 ) 1,125 Realized gain on foreign currency hedges — (141 ) — (141 ) 30 (111 ) Realized gain on interest rate swap hedges — (482 ) — (482 ) 102 (380 ) Foreign currency translation loss — — (2,809 ) (2,809 ) — (2,809 ) Reclassifications to earnings (1) 948 — (514 ) 434 (282 ) 152 September 28, 2018 $ (474 ) $ 5,895 $ 34,433 $ 39,854 $ (819 ) $ 39,035 December 29, 2017 $ (1,422 ) $ 3,418 $ 50,200 $ 52,196 $ (17 ) $ 52,179 Unrealized gain on cash flow hedges — 4,325 — 4,325 (908 ) 3,417 Realized gain on foreign currency hedges — (734 ) — (734 ) 154 (580 ) Realized gain on interest rate swap hedges — (1,114 ) — (1,114 ) 234 (880 ) Foreign currency translation loss — — (15,253 ) (15,253 ) — (15,253 ) Reclassifications to earnings (1) 948 — (514 ) 434 (282 ) 152 September 28, 2018 $ (474 ) $ 5,895 $ 34,433 $ 39,854 $ (819 ) $ 39,035 June 30, 2017 $ (1,475 ) $ 4,601 $ 25,475 $ 28,601 $ (1,398 ) $ 27,203 Unrealized gain on cash flow hedges — 633 — 633 (222 ) 411 Realized gain on foreign currency hedges — (1,106 ) — (1,106 ) 387 (719 ) Realized gain on interest rate swap hedges — (49 ) — (49 ) 18 (31 ) Foreign currency translation gain — — 16,728 16,728 — 16,728 September 29, 2017 $ (1,475 ) $ 4,079 $ 42,203 $ 44,807 $ (1,215 ) $ 43,592 December 30, 2016 $ (1,475 ) $ 1,420 $ (15,660 ) $ (15,715 ) $ (285 ) $ (16,000 ) Unrealized gain on cash flow hedges — 3,414 — 3,414 (1,195 ) 2,219 Realized gain on foreign currency hedges — (362 ) — (362 ) 127 (235 ) Realized gain on interest rate swap hedges — (393 ) — (393 ) 138 (255 ) Foreign currency translation gain — — 57,863 57,863 — 57,863 September 29, 2017 $ (1,475 ) $ 4,079 $ 42,203 $ 44,807 $ (1,215 ) $ 43,592 __________ (1) Accumulated foreign currency translation losses of $0.5 million and defined benefit plan liabilities of $0.7 million (net of income taxes of $0.3 million ) were reclassified to earnings in during the three months ended September 28, 2018 as a result of the divestiture of the AS&O Product Line and are included in “Gain on sale of discontinued operations, net of tax” in the Condensed Consolidated Statements of Operations. The realized loss (gain) relating to the Company’s foreign currency hedges were reclassified from Accumulated Other Comprehensive Income and included in Cost of Sales or Sales as the transactions they are hedging occur. The realized gain relating to the Company’s interest rate swap hedges were reclassified from Accumulated Other Comprehensive Income and included in Interest Expense as interest on the corresponding debt being hedged is accrued. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 28, 2018 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS Assets and Liabilities Measured at Fair Value on a Recurring Basis Fair value measurement standards apply to certain financial assets and liabilities that are measured at fair value on a recurring basis (each reporting period). For the Company, these financial assets and liabilities include its derivative instruments. The Company does not have any nonfinancial assets or liabilities that are measured at fair value on a recurring basis. The Company also holds cost method and equity method investments which are measured at fair value on a nonrecurring basis. Foreign Currency Contracts The fair value of foreign currency contracts were determined through the use of cash flow models that utilize observable market data inputs to estimate fair value. These observable market data inputs included foreign exchange rate and credit spread curves. In addition, the Company received fair value estimates from the foreign currency contract counterparties to verify the reasonableness of the Company’s estimates. The Company’s foreign currency contracts are categorized in Level 2 of the fair value hierarchy. Refer to Note 10 “Commitments and Contingencies” for further discussion regarding the fair value of the Company’s foreign currency contracts. Interest Rate Swaps The fair value of the Company’s interest rate swap contract outstanding were determined through the use of a cash flow model that utilizes observable market data inputs. These observable market data inputs include LIBOR, swap rates, and credit spread curves. In addition, the Company received a fair value estimate from the interest rate swap counterparty to verify the reasonableness of the Company’s estimate. Refer to Note 5 “Debt” for further discussion regarding the fair value of the Company’s interest rate swap. The following table provides information regarding assets and liabilities recorded at fair value on a recurring basis (in thousands): Fair Value Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) September 28, 2018 Assets: Interest rate swap (Note 5) $ 5,690 $ — $ 5,690 $ — Assets: Foreign currency contracts (Note 10) 531 — 531 — Liabilities: Foreign currency contracts (Note 10) 325 — 325 — December 29, 2017 Assets: Interest rate swaps $ 4,279 $ — $ 4,279 $ — Liabilities: Foreign currency contracts 861 — 861 — Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Fair value standards also apply to certain assets and liabilities that are measured at fair value on a nonrecurring basis. The carrying amounts of cash, accounts receivable, accounts payable, and accrued expenses approximate fair value because of the short-term nature of these items. Refer to Note 5 “Debt” for further discussion regarding the fair value of the Company’s Senior Secured Credit Facilities and Senior Notes. A summary of the valuation methodologies for assets and liabilities measured on a nonrecurring basis is as follows: Cost and Equity Method Investments The Company holds investments in equity and other securities that are accounted for as either cost method or equity method investments, which are classified as Other Assets on the Condensed Consolidated Balance Sheets. The total carrying value of these investments is reviewed quarterly for changes in circumstance or the occurrence of events that suggest the Company’s investment may not be recoverable. The fair value of cost method investments are not adjusted if there are no identified events or changes in circumstances that may have a material effect on the fair value of the investments. The aggregate recorded amount of cost and equity method investments at September 28, 2018 and December 29, 2017 was $23.1 million and $20.8 million , respectively. (13.) FAIR VALUE MEASUREMENTS (Continued) As of September 28, 2018 and December 29, 2017 , the recorded amount of the Company’s equity method investment was $15.4 million and $13.8 million , respectively. The Company’s equity method investment is in a Chinese venture capital fund focused on investing in life sciences companies. This fund accounts for its investments at fair value with the unrealized change in fair value of these investments recorded as income or loss to the fund in the period of change. As of September 28, 2018 , the Company owned 6.7% of this fund. During the nine months ended September 28, 2018 and September 29, 2017 , the Company recognized net gains of $5.5 million and $2.3 million , respectively, on its equity method investment. The Company’s recorded amount of cost method investments was $7.7 million and $7.0 million at September 28, 2018 and December 29, 2017, respectively. The Company did not recognize any impairment charges related to cost method investments during the nine months ended September 28, 2018 . The Company recognized impairment charges of $5.3 million related to its cost method investments during the nine months September 29, 2017 . The fair value of these investments is primarily determined by reference to recent sales data of similar shares to independent parties in an inactive market and categorized in Level 2 of the fair value hierarchy. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 28, 2018 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | SEGMENT INFORMATION The Company organizes its business into two reportable segments: (1) Medical and (2) Non-Medical. This segment structure reflects the financial information and reports used by the Company’s management, specifically its Chief Operating Decision Maker (“CODM”), to make decisions regarding the Company’s business, including resource allocations and performance assessments. This segment structure reflects the Company’s current operating focus in compliance with ASC 280, Segment Reporting . There were no sales between segments during the nine months ended September 28, 2018 and September 29, 2017 . The following table presents sales from continuing operations by product line (in thousands). Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Segment sales from continuing operations by product line: Medical Cardio & Vascular $ 150,230 $ 137,712 $ 435,859 $ 391,914 Cardiac & Neuromodulation 109,620 101,612 334,471 311,540 Advanced Surgical, Orthopedics & Portable Medical 32,789 31,715 101,481 88,148 Total Medical 292,639 271,039 871,811 791,602 Non-Medical 12,449 15,129 40,167 42,218 Total sales from continuing operations $ 305,088 $ 286,168 $ 911,978 $ 833,820 The following table presents income from continuing operations for the Company’s reportable segments (in thousands). Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Segment income from continuing operations: Medical $ 58,929 $ 47,363 $ 167,623 $ 146,637 Non-Medical 3,521 3,375 11,112 9,877 Total segment income from continuing operations 62,450 50,738 178,735 156,514 Unallocated operating expenses (20,991 ) (14,912 ) (62,875 ) (60,723 ) Operating income from continuing operations 41,459 35,826 115,860 95,791 Unallocated expenses, net (55,919 ) (16,392 ) (80,067 ) (62,806 ) Income before taxes from continuing operations $ (14,460 ) $ 19,434 $ 35,793 $ 32,985 |
Revenue From Contracts With Cus
Revenue From Contracts With Customers | 9 Months Ended |
Sep. 28, 2018 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE FROM CONTRACTS WITH CUSTOMERS | REVENUE FROM CONTRACTS WITH CUSTOMERS The majority of the Company’s revenues consist of sales of various medical devices and products to large, multinational OEMs and their affiliated subsidiaries. The Company considers the customer’s purchase order, which in some cases is governed by a long-term agreement, and the Company’s corresponding sales order acknowledgment as the contract with the customer. The Company has elected to adopt the practical expedient provided in ASC 340-40-25-4 and recognize the incremental costs of obtaining a contract, which are primarily sales commissions, as expense when incurred because the amortization period is less than one year. Performance Obligations The Company considers each shipment of an individual product included on a purchase order to be a separate performance obligation, as each shipment is separately identifiable and the customer can benefit from each individual product separately from the other products included on the purchase order. Accordingly, a contract can have one or more performance obligations to manufacture products. Standard payment terms range from 30 to 90 days and can include a discount for early payment. The Company does not offer its customers a right of return. Rather, the Company warrants that each unit received by the customer will meet the agreed upon technical and quality specifications and requirements. Only when the delivered units do not meet these requirements can the customer return the non-compliant units as a corrective action under the warranty. The remedy offered to the customer is repair of the returned units or replacement if repair is not viable. Accordingly, the Company records a warranty reserve and any warranty activities are not considered to be a separate performance obligation. Historically, warranty reserves have not been material. Transaction Price Generally, the transaction price of the Company’s contracts consists of a unit price for each individual product included in the contract, which can be fixed or variable based on the number of units ordered. In some instances, the transaction price also includes a rebate for meeting certain volume-based targets over a specified period of time. The transaction price of a contract is determined based on the unit price and the number of units ordered, reduced by the rebate expected to be earned on those units. Rebates are estimated based on the expected achievement of the volume-based target using the most likely amount method and updated quarterly. Any adjustments to these estimates are recognized under the cumulative catch-up method, such that impact of the adjustment is recognized in the period in which it is identified. The transaction price is allocated to each performance obligation on a relative standalone selling price basis. As the majority of products sold to customers are manufactured to meet the specific requirements and technical specifications of that customer, the products are considered unique to that customer and the unit price stated in the contract is considered the standalone selling price. The Company has elected to adopt the practical expedient provided in ASC 606-10-50-14 and not disclose the aggregate amount of the transaction price allocated to unsatisfied performance obligations and an expectation of when those amounts are expected to be recognized as revenue because the majority of contracts have an original expected duration of one year or less. Revenue Recognition The Company recognizes revenue at the point in time when a performance obligation is satisfied and the customer has obtained control of the products. Control is defined as the ability to direct the use of and obtain substantially all of the remaining benefits of the product. The customer obtains control of the products when title and risk of ownership transfers to them, which is primarily based upon shipping terms. Accordingly, the majority of the Company’s revenues are recognized at the point of shipment. In instances where title and risk of ownership do not transfer to the customer until the products have reached the customer’s location, revenue is recognized at that point in time. Revenue is recognized net of sales tax, value-added taxes and other taxes. Contract Modifications Contract modifications, which can include a change in either or both scope and price, most often occur related to contracts that are governed by a long-term arrangement. Contract modifications typically relate to the same products already governed by the long-term arrangement, and therefore, are accounted for as part of the existing contract. If a contract modification is for additional products, it is accounted for as a separate contract. (15.) REVENUE FROM CONTRACTS WITH CUSTOMERS (Continued) Disaggregated Revenue In general, the Company's business segmentation is aligned according to the nature and economic characteristics of its products and customer relationships and provides meaningful disaggregation of each business segment's results of operations. For a summary by disaggregated product line sales for each segment, refer to Note 14, “Segment Information.” Additionally, the tables below disaggregate the Company’s revenues based upon significant customers, which are defined as any customer who individually represents 10% or more of a segment’s total revenues, and ship to country, which is defined as any country where 10% or more of a segment’s total revenues are shipped to. The Company believes that these categories best depict how the nature, amount, timing and uncertainty of revenues and cash flows are affected by economic factors. The following table presents revenues by customer. Three Months Ended Nine Months Ended September 28, 2018 September 28, 2018 Customer Medical Non-Medical Medical Non-Medical Customer A 23 % — % 22 % — % Customer B 20 % — % 19 % — % Customer C 12 % — % 12 % — % Customer D — % 30 % — % 28 % All other customers 45 % 70 % 47 % 72 % The following table presents revenues by ship to country. Three Months Ended Nine Months Ended September 28, 2018 September 28, 2018 Ship to Location Medical Non-Medical Medical Non-Medical United States 58% 65% 56% 68% Puerto Rico 13% —% 13% —% Canada —% 10% —% 10% All other Countries 29% 25% 31% 22% Contract Balances The timing of revenue recognition, billings and cash collections results in billed accounts receivable and less frequently, unearned revenue. Accounts receivable are recorded when the right to consideration becomes unconditional. Unearned revenue is recorded when customers pay or are billed in advance of the Company’s satisfaction of performance obligations. Contract liabilities were $4.1 million and $2.2 million as of September 28, 2018 and December 29, 2017, respectively, and are classified as Accrued Expenses on the Condensed Consolidated Balance Sheets. During the three and nine months ended September 28, 2018, the Company recognized $0.2 million and $0.6 million , respectively, of revenue that was included in the contract liability balance as of December 29, 2017. The Company does no t have any contract assets. |
Impact of Recently Issued Accou
Impact of Recently Issued Accounting Standards | 9 Months Ended |
Sep. 28, 2018 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
IMPACT OF RECENTLY ISSUED ACCOUNTING STANDARDS | IMPACT OF RECENTLY ISSUED ACCOUNTING STANDARDS The following table provides a brief description of recent Accounting Standard Updates ("ASU") issued by the Financial Accounting Standards Board ("FASB"): Standard Description Effective Date Effect on the Financial Statements or Other Significant Matters In August 2018, the FASB issued ASU 2018-15, Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract The new guidance aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop internal-use software, such that costs for implementation activities in the application development stage are capitalized and amortized over the life of term of the hosting arrangement, while costs incurred during the preliminary project and post implementation stages are expensed as performed. January 4, 2020 (beginning of 2020 fiscal year). Early adoption is permitted. The Company is currently evaluating the impact that the adoption of this ASU will have on its consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, Disclosure Framework - Changes to the Disclosure Requirements for Fair Value The new guidance removes certain disclosure requirements from Topic 820, including the amount of and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy, the policy for timing of transfers between levels and the valuation processes for Level 3 fair value measurements. This ASU also clarifies that the measurement uncertainty disclosure is to communicate information about the uncertainty in measurement as of the reporting date and now requires disclosure of the changes in unrealized gains and losses for the period included in other comprehensive income for recurring Level 3 fair value measurements held at the end of the reporting period and the range and weighted average (or other quantitative information if more reasonable) of significant unobservable inputs used to develop Level 3 fair value measurements. January 4, 2020 (beginning of 2020 fiscal year). Early adoption is permitted. The Company is currently evaluating the impact that the adoption of this ASU will have on its consolidated financial statements. In July 2018, the FASB issued ASU 2018-11, Leases Targeted Improvements The new guidance provides entities with an additional (and optional) transition method to adopt the new standard by initially applying the standard at the adoption date (vs. the earliest period presented) and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. Additionally, lessors are provided with a practical expedient to not separate non-lease components from the associated lease component and accounts for those components as a single component if certain criteria are met. December 29, 2018 (beginning of 2019 fiscal year). Early adoption is permitted. The Company plans to adopt ASC Topic 842 using the transition method offered through this ASU; refer to the discussion of ASC 2016-02 below for further detail. (16.) IMPACT OF RECENTLY ISSUED ACCOUNTING STANDARDS (Continued) Standard Description Effective Date Effect on the Financial Statements or Other Significant Matters In July 2018, the FASB issued ASU 2018-10, Codification Improvements to Topic 842 Leases The new guidance amends and clarifies the following areas of Topic 842: residual value guarantees, rate implicit in the lease, lessee reassessment of lease classification, lessor reassessment of lease term and purchase option, variable lease payments that depend on an index or rate, investment tax credits, lease term and purchase option, transition guidance for amounts previously recognized in business combinations, certain transition adjustments, transition guidance for leases previously classified as capital leases under Topic 840, transition guidance for modifications to leases previously classified as direct financing or sales-type leases under Topic 840, transition guidance for sale and leaseback transaction, impairment of net investment in the lease, unguaranteed residual asset, effect of initial direct costs on rate implicit in the lease and failed sale and leaseback transactions. December 29, 2018 (beginning of 2019 fiscal year). Early adoption is permitted. These amendments will be considered and incorporated into the Company’s implementation of ASC Topic 842; refer to the discussion of ASC 2016-02 below for further detail. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. The new guidance allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act and will improve the usefulness of information reported to financial statement users. December 29, 2018 (beginning of 2019 fiscal year). Early adoption is permitted. The Company is currently evaluating the impact that the adoption of this ASU will have on its consolidated financial statements. In August 2017, the FASB issued ASU 2017-12, Targeted Improvements to Accounting for Hedging Activities. The new guidance improves the financial reporting of hedging relationships to better portray the economic results of an entity's risk management activities in its financial statements through changes to both the designation and measurement guidance for qualifying hedging relationships and the presentation of hedge results. December 29, 2018 (beginning of 2019 fiscal year). Early adoption is permitted. The Company does not believe the adoption of this guidance will have a material impact on its consolidated financial statements. In March 2017, the FASB issued ASU 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. The new guidance clarifies the presentation and classification of the components of net periodic benefit costs in the consolidated statement of operations. December 30, 2017 (beginning of 2018 fiscal year). The Company adopted the new guidance effective December 30, 2017, the beginning of its 2018 fiscal year, using the retrospective transition method, as part of the FASB's simplification initiative. See Adoption of ASU 2017-07 section below for additional information. In October 2016, the FASB issued ASU 2016-16, Intra-Entity Transfers of Assets Other Than Inventory. The new guidance requires the income tax consequences of an intra-entity transfer of assets other than inventory to be recognized when the transfer occurs rather than deferring until an outside sale has occurred. December 30, 2017 (beginning of 2018 fiscal year). The Company adopted the new guidance effective December 30, 2017. The adoption of the new guidance did not have a material impact to the Company. (16.) IMPACT OF RECENTLY ISSUED ACCOUNTING STANDARDS (Continued) Standard Description Effective Date Effect on the Financial Statements or Other Significant Matters In August 2016, the FASB issued ASU 2016-15, Classification of Certain Cash Receipts and Cash Payments. The new guidance clarifies the presentation and classification of certain cash receipts and cash payments in the statement of cash flows. December 30, 2017 (beginning of 2018 fiscal year). The Company adopted the new guidance effective December 30, 2017. The adoption of the new guidance did not have a material impact to the Company. In February 2016, the FASB issued ASU 2016-02, Leases. The new guidance supersedes the lease guidance under ASC Topic 840, Leases , resulting in the creation of FASB ASC Topic 842, Leases . The guidance requires a lessee to recognize in the statement of financial position a liability to make lease payments and a right-of-use asset representing its right to use the underlying asset for the lease term for both finance and operating leases. December 29, 2018 (beginning of 2019 fiscal year). Early adoption is permitted. The Company is currently evaluating its population of leases, and is continuing to assess all potential impacts of the standard, but currently believes the most significant impact relates to its accounting for real estate operating leases. The Company anticipates recognition of right of use assets and corresponding lease liabilities related to leases upon adoption, but has not yet quantified these at this time. The Company plans to elect the package of three practical expedients and adopt the standard effective December 29, 2018, using the transition method made available in ASU 2018-11. In January 2016, the FASB issued ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities. The new guidance updates certain aspects of recognition, measurement, presentation and disclosure of financial instruments. December 30, 2017 (beginning of 2018 fiscal year). The Company adopted the new guidance effective December 30, 2017. The adoption of the new guidance did not have a material impact to the Company. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers. Since that date, the FASB has issued additional ASUs clarifying certain aspects of ASU 2014-09. The new guidance requires entities to recognize revenue in a way that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. The new guidance provides alternative methods of adoption. Subsequent guidance issued after May 2014 did not change the core principle of ASU 2014-09. December 30, 2017 (beginning of 2018 fiscal year). The Company adopted the new guidance effective December 30, 2017, using the modified retrospective transition method applied to those contracts which were not completed as of December 30, 2017. Prior period amounts have not been adjusted and continue to be reflected in accordance with the Company’s historical accounting. The adoption of this ASU did not have a material impact on the consolidated financial statements and therefore no cumulative adjustment was recorded to equity. The Company has updated its internal controls for changes and expanded disclosures have been made in the Notes to the Financial Statements as a result of adopting the standard. (See Note 15, “Revenue from Contracts with Customers”). (16.) IMPACT OF RECENTLY ISSUED ACCOUNTING STANDARDS (Continued) Adoption of ASU 2017-07 On December 30, 2017, the Company retrospectively adopted the new accounting guidance on presentation of net periodic pension costs (ASU 2017-07). That guidance requires that the service cost component of net benefit costs be disaggregated and reported in the same line item or items in the Condensed Consolidated Statements of Operations as other compensation costs arising from services rendered by the pertinent employees during the period. The other non-service components of net benefit costs are required to be presented separately from the service cost component. Following the adoption of this guidance, the Company continues to record the service cost component of net benefit costs in Cost of Sales and Selling, General and Administrative expenses. The interest cost component of net benefit costs is now recorded in Interest Expense and the remaining components of net benefit costs, amortization of net losses and expected return on plan assets, are now recorded in Other (Income) Loss, Net. |
Subsequent Event
Subsequent Event | 9 Months Ended |
Sep. 28, 2018 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENT | SUBSEQUENT EVENTS On July 2, 2018, the Company completed the sale of the AS&O Product Line to Viant, for cash consideration of $600 million |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 9 Months Ended |
Sep. 28, 2018 | |
Accounting Policies [Abstract] | |
Interim Basis of Accounting | For further information, refer to the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 29, 2017 . The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information (Accounting Standards Codification (“ASC”) 270, Interim Reporting ) and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, these financial statements do not include all of the information necessary for a full presentation of financial position, results of operations, and cash flows in conformity with accounting principles generally accepted in the United States of America (“GAAP”). In the opinion of management, the condensed consolidated financial statements reflect all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation of the results of the Company for the periods presented. Intercompany transactions and balances have been fully eliminated in consolidation. Operating results for interim periods are not necessarily indicative of results that may be expected for the fiscal year as a whole. |
Use of Estimates | The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, certain components of equity, sales, expenses, and related disclosures at the date of the financial statements and during the reporting period. Actual results could differ materially from these estimates. |
Fiscal Period | The Company utilizes a fifty-two, fifty-three week fiscal year ending on the Friday nearest December 31. The third quarter of 2018 and 2017 each contained 13 weeks and ended on September 28 and September 29, respectively. |
Income Taxes | The income tax provision for interim periods is determined using an estimate of the annual effective tax rate, adjusted for discrete items, if any, that are taken into account in the relevant period. Each quarter, the estimate of the annual effective tax rate is updated, and if the estimated effective tax rate changes, a cumulative adjustment is made. There is a potential for volatility of the effective tax rate due to several factors, including discrete items, changes in the mix and amount of pre-tax income and the jurisdictions to which it relates, changes in tax laws and foreign tax holidays, business reorganizations, settlements with taxing authorities and foreign currency fluctuations. |
Cost And Equity Method Investments | The Company holds investments in equity and other securities that are accounted for as either cost method or equity method investments, which are classified as Other Assets on the Condensed Consolidated Balance Sheets. |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 9 Months Ended |
Sep. 28, 2018 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Summary of discontinued operations | The carrying amounts of the AS&O Product Line assets and liabilities that were classified as assets and liabilities of discontinued operations held for sale were as follows (in thousands): December 29, Cash and cash equivalents $ 6,755 Accounts receivable, net of allowance for doubtful accounts of $0.3 million 47,611 Inventories 50,796 Prepaid expenses and other current assets 1,584 Current assets of discontinued operations held for sale 106,746 Property, plant and equipment, net 135,195 Goodwill 150,368 Other intangible assets, net 57,520 Other noncurrent assets 1,551 Noncurrent assets of discontinued operations held for sale 344,634 Total assets 451,380 Accounts payable and other current liabilities held for sale 47,703 Deferred taxes and other long-term liabilities held for sale 14,966 Total liabilities 62,669 Net assets $ 388,711 Income (loss) from discontinued operations, net of taxes, were as follows (in thousands): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Sales $ — $ 77,140 $ 178,020 $ 237,620 Cost of sales — 68,091 148,357 209,276 Gross profit — 9,049 29,663 28,344 Selling, general and administrative expenses — 4,669 8,905 13,952 Research, development and engineering costs — 1,380 2,352 4,803 Other operating expenses (income) (1) (2,185 ) 195 1,805 465 Interest expense 976 10,677 22,833 31,792 Gain on sale of discontinued operations (194,734 ) — (194,734 ) — Other (income) loss, net 69 (428 ) 251 (1,594 ) Income (loss) from discontinued operations before taxes 195,874 (7,444 ) 188,251 (21,074 ) Provision (benefit) for income taxes 73,492 (1,252 ) 73,869 (1,026 ) Income (loss) from discontinued operations $ 122,382 $ (6,192 ) $ 114,382 $ (20,048 ) Cash flow information from discontinued operations was as follows (in thousands): Nine Months Ended September 28, September 29, Cash used in operating activities $ (12,388 ) $ (2,580 ) Cash provided by (used in) investing activities 578,763 (11,659 ) Depreciation and amortization $ 7,450 $ 15,947 Capital expenditures 3,610 11,732 |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 28, 2018 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory, Current | Inventories are comprised of the following (in thousands): September 28, December 29, Raw materials $ 81,443 $ 85,050 Work-in-process 78,966 63,620 Finished goods 33,222 28,068 Total $ 193,631 $ 176,738 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets, Net (Tables) | 9 Months Ended |
Sep. 28, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The changes in the carrying amount of goodwill by reportable segment for the nine months ended September 28, 2018 were as follows (in thousands): Medical Non- Medical Total December 29, 2017 $ 822,870 $ 17,000 $ 839,870 Foreign currency translation (5,350 ) — (5,350 ) September 28, 2018 $ 817,520 $ 17,000 $ 834,520 |
Schedule of Finite-Lived Intangible Assets, Major Class | Intangible assets at September 28, 2018 and December 29, 2017 were as follows (in thousands): Gross Carrying Amount Accumulated Amortization Net Carrying Amount September 28, 2018 Definite-lived: Purchased technology and patents $ 242,292 $ (121,743 ) $ 120,549 Customer lists 712,795 (98,299 ) 614,496 Other 3,503 (3,477 ) 26 Total $ 958,590 $ (223,519 ) $ 735,071 Indefinite-lived: Trademarks and tradenames $ 90,288 December 29, 2017 Definite-lived: Purchased technology and patents $ 243,679 $ (111,185 ) $ 132,494 Customer lists 718,649 (78,621 ) 640,028 Other 4,660 (4,597 ) 63 Total $ 966,988 $ (194,403 ) $ 772,585 Indefinite-lived: Trademarks and tradenames $ 90,288 |
Schedule of Indefinite-Lived Intangible Assets | Intangible assets at September 28, 2018 and December 29, 2017 were as follows (in thousands): Gross Carrying Amount Accumulated Amortization Net Carrying Amount September 28, 2018 Definite-lived: Purchased technology and patents $ 242,292 $ (121,743 ) $ 120,549 Customer lists 712,795 (98,299 ) 614,496 Other 3,503 (3,477 ) 26 Total $ 958,590 $ (223,519 ) $ 735,071 Indefinite-lived: Trademarks and tradenames $ 90,288 December 29, 2017 Definite-lived: Purchased technology and patents $ 243,679 $ (111,185 ) $ 132,494 Customer lists 718,649 (78,621 ) 640,028 Other 4,660 (4,597 ) 63 Total $ 966,988 $ (194,403 ) $ 772,585 Indefinite-lived: Trademarks and tradenames $ 90,288 |
Schedule of Finite-Lived Intangible Assets, Amortization Expense | Aggregate intangible asset amortization expense is comprised of the following (in thousands): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Cost of sales $ 3,367 $ 3,786 $ 10,756 $ 11,282 Selling, general and administrative expenses 6,490 6,222 20,196 18,684 Research, development and engineering costs 39 137 116 409 Total intangible asset amortization expense $ 9,896 $ 10,145 $ 31,068 $ 30,375 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | Estimated future intangible asset amortization expense based on the carrying value as of September 28, 2018 is as follows (in thousands): 2018 2019 2020 2021 2022 After 2022 Amortization Expense $ 9,918 $ 40,491 $ 40,804 $ 39,948 $ 38,807 $ 565,103 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 28, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt | Long-term debt is comprised of the following (in thousands): September 28, December 29, Senior secured term loan A $ 314,063 $ 335,157 Senior secured term loan B 658,286 873,286 9.125% senior notes due 2023 — 360,000 Revolving line of credit — 74,000 Unamortized discount on term loan B and debt issuance costs (18,155 ) (33,278 ) Total debt 954,194 1,609,165 Current portion of long-term debt (37,500 ) (30,469 ) Total long-term debt $ 916,694 $ 1,578,696 |
Schedule of Maturities of Long-term Debt | Contractual maturities under the Senior Secured Credit Facilities for the remainder of 2018 and the next four years and thereafter, excluding any discounts or premiums, as of September 28, 2018 are as follows (in thousands): 2018 2019 2020 2021 2022 Future minimum principal payments $ 9,375 $ 37,500 $ 37,500 $ 229,688 $ 658,286 |
Schedule of Deferred Financing Fees | The change in deferred debt issuance costs related to the Revolving Credit Facility is as follows (in thousands): December 29, 2017 $ 2,808 Amortization during the period (743 ) September 28, 2018 $ 2,065 The change in unamortized discount and debt issuance costs related to the Term Loan Facilities and Senior Notes is as follows (in thousands): Debt Issuance Costs Unamortized Discount on TLB Facility Total December 29, 2017 $ 26,889 $ 6,389 $ 33,278 Write-off of debt issuance costs and unamortized discount (1) (9,373 ) (1,448 ) (10,821 ) Amortization during the period (3,497 ) (805 ) (4,302 ) September 28, 2018 $ 14,019 $ 4,136 $ 18,155 __________ (1) The Company redeemed its Senior Notes and prepaid portions of its TLB Facility during 2018 and 2017. The Company recognized losses from extinguishment of debt during the three and nine months ended September 28, 2018 of $9.3 million and $10.8 million , respectively. The Company recognized losses from extinguishment of debt during the three and nine months ended September 29, 2017 of $0.8 million and $3.3 million , respectively. The loss from extinguishment of debt represents the unamortized debt issuance costs related to the Senior Notes and the portion of the unamortized discount and debt issuance costs related to the portion of the TLB Facility that was prepaid and is included in Interest Expense in the accompanying Condensed Consolidated Statements of Operations. |
Schedule of Interest Rate Derivatives | Information regarding the Company’s outstanding interest rate swap designated as a cash flow hedge as of September 28, 2018 is as follows (dollars in thousands): Notional Amount Start Date End Date Pay Fixed Rate Receive Current Floating Rate Fair Value Balance Sheet Location $ 200,000 Jun-17 Jun-20 1.1325 % 2.2300 % $ 5,690 Other Long-Term Assets |
Benefit Plans (Tables)
Benefit Plans (Tables) | 9 Months Ended |
Sep. 28, 2018 | |
Defined Benefit Plan [Abstract] | |
Schedule of Net Defined Benefit Cost | The following tables set forth the components of the Company’s net periodic expense from continuing operations relating to retirement benefit plans (in thousands): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Service cost $ 54 $ 52 $ 162 $ 150 Interest cost 12 11 36 31 Amortization of net loss 8 11 25 34 Expected return on plan assets (4 ) (4 ) (13 ) (14 ) Net defined benefit cost $ 70 $ 70 $ 210 $ 201 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 28, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs | The components and classification of stock-based compensation expense were as follows (in thousands): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Stock options $ 215 $ 325 $ 726 $ 1,303 RSAs and RSUs (time-based) 1,161 1,265 4,330 4,142 Performance-based RSUs (“PSUs”) 711 182 2,214 3,695 Stock-based compensation expense - continuing operations 2,087 1,772 7,270 9,140 Discontinued operations (510 ) 173 414 755 Total stock-based compensation expense $ 1,577 $ 1,945 $ 7,684 $ 9,895 Cost of sales $ 222 $ 80 $ 598 $ 417 Selling, general and administrative expenses 1,821 1,839 6,568 6,332 Research, development and engineering costs 44 122 99 367 Other operating expenses — (269 ) 5 2,024 Discontinued operations (510 ) 173 414 755 Total stock-based compensation expense $ 1,577 $ 1,945 $ 7,684 $ 9,895 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | The weighted average fair value and assumptions used to value options granted are as follows: Nine Months Ended September 28, September 29, Weighted average fair value $ 14.89 $ 10.58 Risk-free interest rate 2.21 % 1.69 % Expected volatility 39 % 37 % Expected life (in years) 4.0 4.1 Expected dividend yield — % — % |
Schedule of Share-based Compensation, Stock Options Activity | The following table summarizes the Company’s stock option activity: Number of Stock Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (In Years) Aggregate Intrinsic Value (In Millions) Outstanding at December 29, 2017 931,353 $ 30.89 Granted 28,447 45.13 Exercised (381,793 ) 30.80 Forfeited or expired (23,700 ) 41.28 Outstanding at September 28, 2018 554,307 $ 31.24 6.2 $ 28.7 Exercisable at September 28, 2018 433,487 $ 30.16 5.6 $ 22.9 |
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity | The following table summarizes RSA and RSU activity: Time-Vested Activity Weighted Average Fair Value Nonvested at December 29, 2017 163,431 $ 35.96 Granted 157,608 50.76 Vested (28,197 ) 46.62 Forfeited (50,393 ) 41.97 Nonvested at September 28, 2018 242,449 $ 43.09 (7.) STOCK-BASED COMPENSATION (Continued) The following table summarizes PSU activity: Performance- Vested Activity Weighted Average Fair Value Nonvested at December 29, 2017 469,889 $ 32.37 Granted 159,669 45.37 Vested (146,704 ) 35.16 Forfeited (180,003 ) 35.18 Nonvested at September 28, 2018 302,851 $ 36.20 |
Other Operating Expenses, Net (
Other Operating Expenses, Net (Tables) | 9 Months Ended |
Sep. 28, 2018 | |
Other Income and Expenses [Abstract] | |
Schedule of Other Operating Cost and Expense By Component | Other Operating Expenses is comprised of the following (in thousands): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Strategic reorganization and alignment $ 2,643 $ — $ 8,424 $ — Manufacturing alignment to support growth 877 — 2,493 — Consolidation and optimization initiatives 137 2,979 698 8,055 Acquisition and integration expenses — 2,267 — 10,057 Asset dispositions, severance and other 482 823 1,000 6,378 Other operating expenses - continuing operations 4,139 6,069 12,615 24,490 Discontinued operations (2,185 ) 195 1,805 465 Total other operating expenses $ 1,954 $ 6,264 $ 14,420 $ 24,955 |
Schedule of Changes in Accrued Liabilities | The following table summarizes the change in accrued liabilities related to the initiatives described above (in thousands): Severance and Retention Other Total December 29, 2017 $ 1,308 $ — $ 1,308 Restructuring charges 5,347 6,268 11,615 Cash payments (5,438 ) (5,981 ) (11,419 ) September 28, 2018 $ 1,217 $ 287 $ 1,504 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 28, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Product Warranty Liability | The change in product warranty liability was comprised of the following (in thousands): December 29, 2017 $ 2,820 Additions to warranty reserve 570 Warranty claims settled (317 ) September 28, 2018 $ 3,073 |
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance | The impact to the Company’s results of operations from its forward contract hedges is as follows (in thousands): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Increase (decrease) in sales $ (252 ) $ 594 $ (254 ) $ 733 Increase (decrease) in cost of sales (393 ) (512 ) (988 ) 371 Ineffective portion of change in fair value — — — — |
Schedule of Foreign Exchange Contracts, Statement of Financial Position | Information regarding outstanding foreign currency contracts designated as cash flow hedges as of September 28, 2018 is as follows (dollars in thousands): Aggregate Notional Amount Start Date End Date $/Foreign Currency Fair Value Balance Sheet Location $ 1,050 Jul 2018 Dec 2018 0.0500 Peso $ 62 Prepaid expenses and other current assets 7,599 Jan 2018 Dec 2018 0.0507 Peso 340 Prepaid expenses and other current assets 6,100 Jan 2018 Dec 2018 1.1961 Euro (214 ) Accrued expenses 5,850 Aug 2018 Dec 2018 1.1699 Euro (16 ) Accrued expenses 12,621 Jan 2019 Jun 2019 1.1686 Euro 129 Prepaid expenses and other current assets 10,991 Jan 2019 Jun 2019 0.0523 Peso (95 ) Accrued expenses |
Earnings (Loss) Per Share (EP_2
Earnings (Loss) Per Share (EPS) (Tables) | 9 Months Ended |
Sep. 28, 2018 | |
Earnings Per Share [Abstract] | |
Schedule of Calculation of Numerator and Denominator in Earnings Per Share | (in thousands, except per share amounts): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Numerator for basic and diluted EPS: Income (loss) from continuing operations $ (8,303 ) $ 19,882 $ 27,837 $ 32,389 Income (loss) from discontinued operations 122,382 $ (6,192 ) 114,382 (20,048 ) Net income $ 114,079 $ 13,690 $ 142,219 $ 12,341 Denominator for basic and diluted EPS: Weighted average shares outstanding - Basic 32,211 31,594 32,050 31,304 Dilutive effect of assumed exercise of stock options, restricted stock and RSUs — 579 401 643 Weighted average shares outstanding - Diluted 32,211 32,173 32,451 31,947 Basic earnings (loss) per share: Income (loss) from continuing operations $ (0.26 ) $ 0.63 $ 0.87 $ 1.03 Income (loss) from discontinued operations 3.80 (0.20 ) 3.57 (0.64 ) Basic earnings per share 3.54 0.43 4.44 0.39 Diluted earnings (loss) per share: Income (loss) from continuing operations $ (0.26 ) $ 0.62 $ 0.86 $ 1.01 Income (loss) from discontinued operations 3.80 (0.19 ) 3.52 (0.63 ) Diluted earnings per share 3.54 0.43 4.38 0.39 |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | The diluted weighted average share calculations do not include the following securities, which are not dilutive to the EPS calculations or the performance criteria have not been met (in thousands): Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Time-vested stock options, restricted stock and RSUs 797 295 436 850 Performance-vested restricted stock and PSUs 303 188 220 320 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Sep. 28, 2018 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income is comprised of the following (in thousands): Defined Benefit Plan Liability Cash Flow Hedges Foreign Currency Translation Adjustment Total Pre-Tax Amount Tax Net-of-Tax Amount June 29, 2018 $ (1,422 ) $ 5,094 $ 37,756 $ 41,428 $ (370 ) $ 41,058 Unrealized gain on cash flow hedges — 1,424 — 1,424 (299 ) 1,125 Realized gain on foreign currency hedges — (141 ) — (141 ) 30 (111 ) Realized gain on interest rate swap hedges — (482 ) — (482 ) 102 (380 ) Foreign currency translation loss — — (2,809 ) (2,809 ) — (2,809 ) Reclassifications to earnings (1) 948 — (514 ) 434 (282 ) 152 September 28, 2018 $ (474 ) $ 5,895 $ 34,433 $ 39,854 $ (819 ) $ 39,035 December 29, 2017 $ (1,422 ) $ 3,418 $ 50,200 $ 52,196 $ (17 ) $ 52,179 Unrealized gain on cash flow hedges — 4,325 — 4,325 (908 ) 3,417 Realized gain on foreign currency hedges — (734 ) — (734 ) 154 (580 ) Realized gain on interest rate swap hedges — (1,114 ) — (1,114 ) 234 (880 ) Foreign currency translation loss — — (15,253 ) (15,253 ) — (15,253 ) Reclassifications to earnings (1) 948 — (514 ) 434 (282 ) 152 September 28, 2018 $ (474 ) $ 5,895 $ 34,433 $ 39,854 $ (819 ) $ 39,035 June 30, 2017 $ (1,475 ) $ 4,601 $ 25,475 $ 28,601 $ (1,398 ) $ 27,203 Unrealized gain on cash flow hedges — 633 — 633 (222 ) 411 Realized gain on foreign currency hedges — (1,106 ) — (1,106 ) 387 (719 ) Realized gain on interest rate swap hedges — (49 ) — (49 ) 18 (31 ) Foreign currency translation gain — — 16,728 16,728 — 16,728 September 29, 2017 $ (1,475 ) $ 4,079 $ 42,203 $ 44,807 $ (1,215 ) $ 43,592 December 30, 2016 $ (1,475 ) $ 1,420 $ (15,660 ) $ (15,715 ) $ (285 ) $ (16,000 ) Unrealized gain on cash flow hedges — 3,414 — 3,414 (1,195 ) 2,219 Realized gain on foreign currency hedges — (362 ) — (362 ) 127 (235 ) Realized gain on interest rate swap hedges — (393 ) — (393 ) 138 (255 ) Foreign currency translation gain — — 57,863 57,863 — 57,863 September 29, 2017 $ (1,475 ) $ 4,079 $ 42,203 $ 44,807 $ (1,215 ) $ 43,592 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 28, 2018 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following table provides information regarding assets and liabilities recorded at fair value on a recurring basis (in thousands): Fair Value Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) September 28, 2018 Assets: Interest rate swap (Note 5) $ 5,690 $ — $ 5,690 $ — Assets: Foreign currency contracts (Note 10) 531 — 531 — Liabilities: Foreign currency contracts (Note 10) 325 — 325 — December 29, 2017 Assets: Interest rate swaps $ 4,279 $ — $ 4,279 $ — Liabilities: Foreign currency contracts 861 — 861 — |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 28, 2018 | |
Segment Reconciliation [Abstract] | |
Reconciliation of Revenue from Segments to Consolidated | Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Segment sales from continuing operations by product line: Medical Cardio & Vascular $ 150,230 $ 137,712 $ 435,859 $ 391,914 Cardiac & Neuromodulation 109,620 101,612 334,471 311,540 Advanced Surgical, Orthopedics & Portable Medical 32,789 31,715 101,481 88,148 Total Medical 292,639 271,039 871,811 791,602 Non-Medical 12,449 15,129 40,167 42,218 Total sales from continuing operations $ 305,088 $ 286,168 $ 911,978 $ 833,820 |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | Three Months Ended Nine Months Ended September 28, September 29, September 28, September 29, Segment income from continuing operations: Medical $ 58,929 $ 47,363 $ 167,623 $ 146,637 Non-Medical 3,521 3,375 11,112 9,877 Total segment income from continuing operations 62,450 50,738 178,735 156,514 Unallocated operating expenses (20,991 ) (14,912 ) (62,875 ) (60,723 ) Operating income from continuing operations 41,459 35,826 115,860 95,791 Unallocated expenses, net (55,919 ) (16,392 ) (80,067 ) (62,806 ) Income before taxes from continuing operations $ (14,460 ) $ 19,434 $ 35,793 $ 32,985 |
Revenue From Contracts With C_2
Revenue From Contracts With Customers (Tables) | 9 Months Ended |
Sep. 28, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Summary of Disaggregation of Revenue | The following table presents revenues by customer. Three Months Ended Nine Months Ended September 28, 2018 September 28, 2018 Customer Medical Non-Medical Medical Non-Medical Customer A 23 % — % 22 % — % Customer B 20 % — % 19 % — % Customer C 12 % — % 12 % — % Customer D — % 30 % — % 28 % All other customers 45 % 70 % 47 % 72 % The following table presents revenues by ship to country. Three Months Ended Nine Months Ended September 28, 2018 September 28, 2018 Ship to Location Medical Non-Medical Medical Non-Medical United States 58% 65% 56% 68% Puerto Rico 13% —% 13% —% Canada —% 10% —% 10% All other Countries 29% 25% 31% 22% |
Impact of Recently Issued Acc_2
Impact of Recently Issued Accounting Standards (Tables) | 9 Months Ended |
Sep. 28, 2018 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Summary of Recently Issued Accounting Standards | The following table provides a brief description of recent Accounting Standard Updates ("ASU") issued by the Financial Accounting Standards Board ("FASB"): Standard Description Effective Date Effect on the Financial Statements or Other Significant Matters In August 2018, the FASB issued ASU 2018-15, Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract The new guidance aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop internal-use software, such that costs for implementation activities in the application development stage are capitalized and amortized over the life of term of the hosting arrangement, while costs incurred during the preliminary project and post implementation stages are expensed as performed. January 4, 2020 (beginning of 2020 fiscal year). Early adoption is permitted. The Company is currently evaluating the impact that the adoption of this ASU will have on its consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, Disclosure Framework - Changes to the Disclosure Requirements for Fair Value The new guidance removes certain disclosure requirements from Topic 820, including the amount of and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy, the policy for timing of transfers between levels and the valuation processes for Level 3 fair value measurements. This ASU also clarifies that the measurement uncertainty disclosure is to communicate information about the uncertainty in measurement as of the reporting date and now requires disclosure of the changes in unrealized gains and losses for the period included in other comprehensive income for recurring Level 3 fair value measurements held at the end of the reporting period and the range and weighted average (or other quantitative information if more reasonable) of significant unobservable inputs used to develop Level 3 fair value measurements. January 4, 2020 (beginning of 2020 fiscal year). Early adoption is permitted. The Company is currently evaluating the impact that the adoption of this ASU will have on its consolidated financial statements. In July 2018, the FASB issued ASU 2018-11, Leases Targeted Improvements The new guidance provides entities with an additional (and optional) transition method to adopt the new standard by initially applying the standard at the adoption date (vs. the earliest period presented) and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. Additionally, lessors are provided with a practical expedient to not separate non-lease components from the associated lease component and accounts for those components as a single component if certain criteria are met. December 29, 2018 (beginning of 2019 fiscal year). Early adoption is permitted. The Company plans to adopt ASC Topic 842 using the transition method offered through this ASU; refer to the discussion of ASC 2016-02 below for further detail. (16.) IMPACT OF RECENTLY ISSUED ACCOUNTING STANDARDS (Continued) Standard Description Effective Date Effect on the Financial Statements or Other Significant Matters In July 2018, the FASB issued ASU 2018-10, Codification Improvements to Topic 842 Leases The new guidance amends and clarifies the following areas of Topic 842: residual value guarantees, rate implicit in the lease, lessee reassessment of lease classification, lessor reassessment of lease term and purchase option, variable lease payments that depend on an index or rate, investment tax credits, lease term and purchase option, transition guidance for amounts previously recognized in business combinations, certain transition adjustments, transition guidance for leases previously classified as capital leases under Topic 840, transition guidance for modifications to leases previously classified as direct financing or sales-type leases under Topic 840, transition guidance for sale and leaseback transaction, impairment of net investment in the lease, unguaranteed residual asset, effect of initial direct costs on rate implicit in the lease and failed sale and leaseback transactions. December 29, 2018 (beginning of 2019 fiscal year). Early adoption is permitted. These amendments will be considered and incorporated into the Company’s implementation of ASC Topic 842; refer to the discussion of ASC 2016-02 below for further detail. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. The new guidance allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act and will improve the usefulness of information reported to financial statement users. December 29, 2018 (beginning of 2019 fiscal year). Early adoption is permitted. The Company is currently evaluating the impact that the adoption of this ASU will have on its consolidated financial statements. In August 2017, the FASB issued ASU 2017-12, Targeted Improvements to Accounting for Hedging Activities. The new guidance improves the financial reporting of hedging relationships to better portray the economic results of an entity's risk management activities in its financial statements through changes to both the designation and measurement guidance for qualifying hedging relationships and the presentation of hedge results. December 29, 2018 (beginning of 2019 fiscal year). Early adoption is permitted. The Company does not believe the adoption of this guidance will have a material impact on its consolidated financial statements. In March 2017, the FASB issued ASU 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. The new guidance clarifies the presentation and classification of the components of net periodic benefit costs in the consolidated statement of operations. December 30, 2017 (beginning of 2018 fiscal year). The Company adopted the new guidance effective December 30, 2017, the beginning of its 2018 fiscal year, using the retrospective transition method, as part of the FASB's simplification initiative. See Adoption of ASU 2017-07 section below for additional information. In October 2016, the FASB issued ASU 2016-16, Intra-Entity Transfers of Assets Other Than Inventory. The new guidance requires the income tax consequences of an intra-entity transfer of assets other than inventory to be recognized when the transfer occurs rather than deferring until an outside sale has occurred. December 30, 2017 (beginning of 2018 fiscal year). The Company adopted the new guidance effective December 30, 2017. The adoption of the new guidance did not have a material impact to the Company. (16.) IMPACT OF RECENTLY ISSUED ACCOUNTING STANDARDS (Continued) Standard Description Effective Date Effect on the Financial Statements or Other Significant Matters In August 2016, the FASB issued ASU 2016-15, Classification of Certain Cash Receipts and Cash Payments. The new guidance clarifies the presentation and classification of certain cash receipts and cash payments in the statement of cash flows. December 30, 2017 (beginning of 2018 fiscal year). The Company adopted the new guidance effective December 30, 2017. The adoption of the new guidance did not have a material impact to the Company. In February 2016, the FASB issued ASU 2016-02, Leases. The new guidance supersedes the lease guidance under ASC Topic 840, Leases , resulting in the creation of FASB ASC Topic 842, Leases . The guidance requires a lessee to recognize in the statement of financial position a liability to make lease payments and a right-of-use asset representing its right to use the underlying asset for the lease term for both finance and operating leases. December 29, 2018 (beginning of 2019 fiscal year). Early adoption is permitted. The Company is currently evaluating its population of leases, and is continuing to assess all potential impacts of the standard, but currently believes the most significant impact relates to its accounting for real estate operating leases. The Company anticipates recognition of right of use assets and corresponding lease liabilities related to leases upon adoption, but has not yet quantified these at this time. The Company plans to elect the package of three practical expedients and adopt the standard effective December 29, 2018, using the transition method made available in ASU 2018-11. In January 2016, the FASB issued ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities. The new guidance updates certain aspects of recognition, measurement, presentation and disclosure of financial instruments. December 30, 2017 (beginning of 2018 fiscal year). The Company adopted the new guidance effective December 30, 2017. The adoption of the new guidance did not have a material impact to the Company. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers. Since that date, the FASB has issued additional ASUs clarifying certain aspects of ASU 2014-09. The new guidance requires entities to recognize revenue in a way that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. The new guidance provides alternative methods of adoption. Subsequent guidance issued after May 2014 did not change the core principle of ASU 2014-09. December 30, 2017 (beginning of 2018 fiscal year). The Company adopted the new guidance effective December 30, 2017, using the modified retrospective transition method applied to those contracts which were not completed as of December 30, 2017. Prior period amounts have not been adjusted and continue to be reflected in accordance with the Company’s historical accounting. The adoption of this ASU did not have a material impact on the consolidated financial statements and therefore no cumulative adjustment was recorded to equity. The Company has updated its internal controls for changes and expanded disclosures have been made in the Notes to the Financial Statements as a result of adopting the standard. (See Note 15, “Revenue from Contracts with Customers”). |
Basis of Presentation (Narrativ
Basis of Presentation (Narrative) (Details) | 3 Months Ended | |
Sep. 28, 2018 | Sep. 29, 2017 | |
Accounting Policies [Abstract] | ||
Fiscal Period Duration | 91 days | 91 days |
Discontinued Operations (Assets
Discontinued Operations (Assets and Liabilities of AS&O Business) (Details) - USD ($) $ in Thousands | Jul. 02, 2018 | Sep. 28, 2018 | Sep. 28, 2018 | Sep. 29, 2017 | Dec. 29, 2017 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Proceeds from Divestiture of Businesses | $ 582,000 | $ 582,359 | $ 0 | ||
Income From Transition Services | $ 1,900 | ||||
Transition Services, Cost of Sales | 100 | ||||
Transition Services, Selling, General and Administrative | 1,800 | ||||
Current assets of discontinued operations held for sale | 0 | 0 | $ 106,746 | ||
Noncurrent assets of discontinued operations held for sale | 0 | 0 | 344,634 | ||
Current liabilities of discontinued operations held for sale | 0 | 0 | 47,703 | ||
Deferred taxes and other long-term liabilities held for sale | 0 | 0 | 14,966 | ||
Pre-tax Income From Discontinued Operations | 194,700 | ||||
Discontinued Operations, Held-for-sale [Member] | AS&O Business [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Cash and cash equivalents | 6,755 | ||||
Accounts receivable, net of allowance for doubtful accounts of $0.3 million | 47,611 | ||||
Inventories | 50,796 | ||||
Other current assets | 1,584 | ||||
Current assets of discontinued operations held for sale | 106,746 | ||||
Property, plant and equipment, net | 135,195 | ||||
Goodwill | 150,368 | ||||
Other intangible assets, net | 57,520 | ||||
Other noncurrent assets | 1,551 | ||||
Noncurrent assets of discontinued operations held for sale | 344,634 | ||||
Total assets | 451,380 | ||||
Accounts payable and other current liabilities held for sale | 47,703 | ||||
Deferred taxes and other long-term liabilities held for sale | 14,966 | ||||
Total liabilities | 62,669 | ||||
Net assets divested | 388,711 | ||||
Allowance for doubtful accounts | $ 200 | ||||
Subsequent Event [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Long Term Supply Agreement, Term | 3 years | ||||
Scenario, Forecast [Member] | Subsequent Event [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | AS&O Business [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Proceeds from Divestiture of Businesses | $ 600,000 |
Discontinued Operations (Loss f
Discontinued Operations (Loss from Discontinued Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Income (loss) from discontinued operations before taxes | $ (194,734) | $ 0 | $ (194,734) | $ 0 |
Discontinued Operation, Income (Loss) from Discontinued Operation, before Income Tax | 195,874 | (7,444) | 188,251 | (21,074) |
Gain on sale of discontinued operations | 73,492 | (1,252) | 73,869 | (1,026) |
Income (loss) from discontinued operations | 122,382 | (6,192) | 114,382 | (20,048) |
AS&O Business [Member] | Discontinued Operations, Held-for-sale [Member] | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Sales | 0 | 77,140 | 178,020 | 237,620 |
Cost of sales | 0 | 68,091 | 148,357 | 209,276 |
Gross profit | 0 | 9,049 | 29,663 | 28,344 |
Selling, general and administrative expenses | 0 | 4,669 | 8,905 | 13,952 |
Research, development and engineering costs | 0 | 1,380 | 2,352 | 4,803 |
Other operating expenses (income)(1) | (2,185) | 195 | 1,805 | 465 |
Interest expense | 976 | 10,677 | 22,833 | 31,792 |
Other (income) loss, net | 69 | (428) | 251 | (1,594) |
Gain on sale of discontinued operations | 73,492 | (1,252) | 73,869 | (1,026) |
Income (loss) from discontinued operations | $ 122,382 | $ (6,192) | $ 114,382 | $ (20,048) |
Discontinued Operations Discont
Discontinued Operations Discontinued Operations (Cash Flow Information from Discontinued Operations) (Details) - USD ($) $ in Thousands | Jul. 02, 2018 | Sep. 28, 2018 | Sep. 29, 2017 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Proceeds from Divestiture of Businesses | $ 582,000 | $ 582,359 | $ 0 |
AS&O Business [Member] | Discontinued Operations, Held-for-sale [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Cash used in operating activities | (12,388) | (2,580) | |
Cash provided by (used in) investing activities | 578,763 | (11,659) | |
Depreciation and amortization | 7,450 | 15,947 | |
Capital expenditures | $ 3,610 | $ 11,732 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Sep. 28, 2018 | Dec. 29, 2017 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 81,443 | $ 85,050 |
Work-in-process | 78,966 | 63,620 |
Finished goods | 33,222 | 28,068 |
Total | $ 193,631 | $ 176,738 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets, Net (Schedule of Indefinite-Lived Intangible Assets and Goodwill) (Details) $ in Thousands | 9 Months Ended |
Sep. 28, 2018USD ($) | |
Goodwill [Roll Forward] | |
Goodwill | $ 839,870 |
Foreign currency translation | (5,350) |
Goodwill | 834,520 |
Medical Segment [Member] | |
Goodwill [Roll Forward] | |
Goodwill | 822,870 |
Foreign currency translation | (5,350) |
Goodwill | 817,520 |
Non-Medical Segment [Member] | |
Goodwill [Roll Forward] | |
Goodwill | 17,000 |
Foreign currency translation | 0 |
Goodwill | $ 17,000 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets, Net (Schedule of Finite-Lived Intangible Assets, Major Class) (Details) - USD ($) $ in Thousands | Sep. 28, 2018 | Dec. 29, 2017 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 958,590 | $ 966,988 |
Accumulated Amortization | (223,519) | (194,403) |
Total estimated amortization expense | 735,071 | 772,585 |
Trademarks And Tradenames [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Indefinite-lived Intangible Assets (Excluding Goodwill) | 90,288 | 90,288 |
Purchased Technology And Patents [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 242,292 | 243,679 |
Accumulated Amortization | (121,743) | (111,185) |
Total estimated amortization expense | 120,549 | 132,494 |
Customer Lists [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 712,795 | 718,649 |
Accumulated Amortization | (98,299) | (78,621) |
Total estimated amortization expense | 614,496 | 640,028 |
Other Intangible Assets [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 3,503 | 4,660 |
Accumulated Amortization | (3,477) | (4,597) |
Total estimated amortization expense | $ 26 | $ 63 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets, Net (Schedule of Finite-Lived Intangible Assets, Amortization Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | |
Finite-Lived Intangible Assets [Line Items] | ||||
Total intangible asset amortization expense | $ 9,896 | $ 10,145 | $ 31,068 | $ 30,375 |
Cost of Sales [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Total intangible asset amortization expense | 3,367 | 3,786 | 10,756 | 11,282 |
Selling General And Administrative Expense [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Total intangible asset amortization expense | 6,490 | 6,222 | 20,196 | 18,684 |
Research and Development Expense [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Total intangible asset amortization expense | $ 39 | $ 137 | $ 116 | $ 409 |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets, Net (Schedule of Finite-Lived Intangible Assets, Future Amortization Expense) (Details) $ in Thousands | Sep. 28, 2018USD ($) |
Finite-Lived Intangible Assets, Amortization Expense, Maturity Schedule [Abstract] | |
2,018 | $ 9,918 |
2,019 | 40,491 |
2,020 | 40,804 |
2,021 | 39,948 |
2,022 | 38,807 |
After 2,022 | $ 565,103 |
Debt (Schedule of Long-Term Deb
Debt (Schedule of Long-Term Debt) (Details) - USD ($) $ in Thousands | Sep. 28, 2018 | Dec. 29, 2017 | Oct. 27, 2015 |
Debt Instrument [Line Items] | |||
Unamortized discount on term loan B and debt issuance costs | $ (18,155) | $ (33,278) | |
Total debt | 954,194 | 1,609,165 | |
Current portion of long-term debt | (37,500) | (30,469) | |
Total long-term debt | $ 916,694 | 1,578,696 | |
Senior Notes [Member] | 9.125% Senior Notes due 2023 [Member] | |||
Debt Instrument [Line Items] | |||
Stated interest rate | 9.125% | 9.125% | |
Secured Debt [Member] | Loans Payable [Member] | Term Loan A (TLA) Facility [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | $ 314,063 | 335,157 | |
Secured Debt [Member] | Loans Payable [Member] | Term Loan B (TLB) Facility [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | 658,286 | 873,286 | |
Secured Debt [Member] | Loans Payable [Member] | 9.125% Senior Notes due 2023 [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | 0 | 360,000 | |
Secured Debt [Member] | Revolving Credit Facility [Member] | New Revolving Credit Facility 2015 [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | $ 0 | $ 74,000 |
Debt (Credit Facility) (Details
Debt (Credit Facility) (Details) | Oct. 27, 2015USD ($)loan_facility | Sep. 28, 2018USD ($) |
Senior Notes [Member] | 9.125% Senior Notes due 2023 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Face Amount | $ 360,000,000 | |
Debt Instrument, Maturity Date | Nov. 1, 2023 | |
Stated interest rate | 9.125% | 9.125% |
Secured Debt [Member] | Revolving Credit Facility [Member] | New Revolving Credit Facility 2015 [Member] | ||
Debt Instrument [Line Items] | ||
Credit Facility Maximum Borrowing Capacity | $ 200,000,000 | |
Debt Instrument, Maturity Date | Oct. 27, 2020 | |
Line of Credit Facility, Remaining Borrowing Capacity | $ 191,300,000 | |
Letters of Credit Outstanding, Amount | $ 8,700,000 | |
Secured Debt [Member] | Loans Payable [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Covenant Compliance, Number Of Additional Term Loan Facilities That May Be Added | loan_facility | 1 | |
Secured Debt [Member] | Loans Payable [Member] | Term Loan A (TLA) Facility [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Face Amount | $ 314,000,000 | |
Debt Instrument, Maturity Date | Oct. 27, 2021 | |
Debt Weighted Average Interest Rate | 4.74% | |
Debt Instrument, Covenant Compliance, Maximum Leverage Ratio | 5.8 | |
Debt Instrument, Covenant Compliance, Adjusted EBITDA To Interest Expense Ratio | 2.75 | |
Secured Debt [Member] | Loans Payable [Member] | Term Loan B (TLB) Facility [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Face Amount | $ 658,000,000 | |
Debt Instrument, Discount, Percentage | 1.00% | |
Reduction to the variable rate basis spread | 0.25% | |
Debt Instrument, Maturity Date | Oct. 27, 2022 | |
Debt Weighted Average Interest Rate | 5.14% | |
Long-term Debt, Fair Value | $ 664,000,000 | |
Secured Debt [Member] | Loans Payable [Member] | Term Loan B (TLB) Facility [Member] | Prime Rate [Member] | ||
Debt Instrument [Line Items] | ||
Variable rate basis spread | 2.00% | |
Secured Debt [Member] | Loans Payable [Member] | Term Loan B (TLB) Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||
Debt Instrument [Line Items] | ||
Variable rate basis spread | 3.00% | |
Debt Instrument, Interest Rate, Floor | 1.00% | |
Secured Debt [Member] | Swingline Loans [Member] | New Revolving Credit Facility 2015 [Member] | ||
Debt Instrument [Line Items] | ||
Credit Facility Maximum Borrowing Capacity | $ 15,000,000 | |
Secured Debt [Member] | Standby Letters of Credit [Member] | New Revolving Credit Facility 2015 [Member] | ||
Debt Instrument [Line Items] | ||
Credit Facility Maximum Borrowing Capacity | $ 25,000,000 | |
Secured Debt [Member] | Minimum [Member] | Revolving Credit Facility [Member] | New Revolving Credit Facility 2015 [Member] | ||
Debt Instrument [Line Items] | ||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.175% | |
Secured Debt [Member] | Minimum [Member] | Revolving Credit Facility [Member] | New Revolving Credit Facility 2015 [Member] | Prime Rate [Member] | ||
Debt Instrument [Line Items] | ||
Variable rate basis spread | 0.75% | |
Secured Debt [Member] | Minimum [Member] | Revolving Credit Facility [Member] | New Revolving Credit Facility 2015 [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||
Debt Instrument [Line Items] | ||
Variable rate basis spread | 1.75% | |
Secured Debt [Member] | Minimum [Member] | Loans Payable [Member] | Term Loan A (TLA) Facility [Member] | Prime Rate [Member] | ||
Debt Instrument [Line Items] | ||
Variable rate basis spread | 0.75% | |
Secured Debt [Member] | Minimum [Member] | Loans Payable [Member] | Term Loan A (TLA) Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||
Debt Instrument [Line Items] | ||
Variable rate basis spread | 1.75% | |
Secured Debt [Member] | Maximum [Member] | Senior Secured Credit Facilities [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Covenant Compliance, First Lien Net Leverage Ratio | 4.25 | |
Secured Debt [Member] | Maximum [Member] | Revolving Credit Facility [Member] | New Revolving Credit Facility 2015 [Member] | ||
Debt Instrument [Line Items] | ||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.25% | |
Secured Debt [Member] | Maximum [Member] | Revolving Credit Facility [Member] | New Revolving Credit Facility 2015 [Member] | Prime Rate [Member] | ||
Debt Instrument [Line Items] | ||
Variable rate basis spread | 2.25% | |
Secured Debt [Member] | Maximum [Member] | Revolving Credit Facility [Member] | New Revolving Credit Facility 2015 [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||
Debt Instrument [Line Items] | ||
Variable rate basis spread | 3.25% | |
Secured Debt [Member] | Maximum [Member] | Loans Payable [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Covenant Compliance, First Lien Net Leverage Ratio | 4.25 | |
Secured Debt [Member] | Maximum [Member] | Loans Payable [Member] | Term Loan A (TLA) Facility [Member] | Prime Rate [Member] | ||
Debt Instrument [Line Items] | ||
Variable rate basis spread | 2.25% | |
Secured Debt [Member] | Maximum [Member] | Loans Payable [Member] | Term Loan A (TLA) Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||
Debt Instrument [Line Items] | ||
Variable rate basis spread | 3.25% |
Debt (Long-term Debt Maturity S
Debt (Long-term Debt Maturity Schedule) (Details) $ in Thousands | Sep. 28, 2018USD ($) |
Debt Disclosure [Abstract] | |
2,018 | $ 9,375 |
2,019 | 37,500 |
2,020 | 37,500 |
2,021 | 229,688 |
2,022 | $ 658,286 |
Debt (Schedule of Deferred Fina
Debt (Schedule of Deferred Financing Fees) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | |
Deferred Finance Costs [Roll Forward] | ||||
Total, Beginning Balance | $ 33,278 | |||
Amortization during the period | (47,173) | $ (8,850) | ||
Total, Ending Balance | $ 18,155 | 18,155 | ||
Loss on extinguishment of debt | 9,300 | $ 800 | 10,800 | $ 3,300 |
Revolving Credit Facility [Member] | ||||
Deferred Finance Costs [Roll Forward] | ||||
Deferred Finance Costs, Net, Beginning Balance | 2,808 | |||
Amortization during the period | (743) | |||
Deferred Finance Costs, Net, Ending Balance | 2,065 | 2,065 | ||
Term Loan And Senior Notes [Member] | ||||
Deferred Finance Costs [Roll Forward] | ||||
Deferred Finance Costs, Net, Beginning Balance | 26,889 | |||
Write-off of debt issuance costs and unamortized discount | (9,373) | |||
Amortization during the period | (3,497) | |||
Deferred Finance Costs, Net, Ending Balance | 14,019 | 14,019 | ||
Total, Beginning Balance | 33,278 | |||
Write-off of debt issuance costs and unamortized discount | (10,821) | |||
Amortization during the period | (4,302) | |||
Total, Ending Balance | 18,155 | 18,155 | ||
Term Loan B (TLB) Facility [Member] | ||||
Deferred Finance Costs [Roll Forward] | ||||
Unamortized Discount on TLB Facility, Beginning Balance | 6,389 | |||
Write-off of debt issuance costs and unamortized discount | (1,448) | |||
Amortization during the period | (805) | |||
Unamortized Discount on TLB Facility, Ending Balance | $ 4,136 | $ 4,136 |
Debt (Schedule of Interest Rate
Debt (Schedule of Interest Rate Swaps and Details) (Details) - USD ($) | 1 Months Ended | 9 Months Ended | |
Jun. 30, 2016 | Sep. 28, 2018 | Sep. 29, 2017 | |
Interest Rate Swap 3 [Member] | |||
Derivative [Line Items] | |||
Derivative, Term of Contract | 3 years | ||
Derivative Liability, Notional Amount | $ 200,000,000 | ||
Notional Amount | $ 200,000,000 | ||
Pay Fixed Rate | 1.1325% | ||
Receive Current Floating Rate | 2.23% | ||
Fair Value, Asset | $ 5,690,000 | ||
Interest Rate Swap [Member] | |||
Derivative [Line Items] | |||
Gain (Loss) Recognized In Income Ineffective Portion | 0 | $ 0 | |
Reduction (Increase) to Interest Expense | 1,100,000 | $ (400,000) | |
Gain expected to be reclassified into earnings within the next twelve months | $ 2,900,000 |
Benefit Plans (Schedule of Net
Benefit Plans (Schedule of Net Defined Benefit Cost) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 54 | $ 52 | $ 162 | $ 150 |
Interest cost | 12 | 11 | 36 | 31 |
Amortization of net loss | 8 | 11 | 25 | 34 |
Expected return on plan assets | (4) | (4) | (13) | (14) |
Continuing Operations [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net defined benefit cost | $ 70 | $ 70 | $ 210 | $ 201 |
Stock-Based Compensation (Alloc
Stock-Based Compensation (Allocation of Recognized Period Costs) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Allocated Share-based Compensation Expense | $ 1,577 | $ 1,945 | $ 7,684 | $ 9,895 |
Cost of Sales [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Allocated Share-based Compensation Expense | 222 | 80 | 598 | 417 |
Selling General And Administrative Expense [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Allocated Share-based Compensation Expense | 1,821 | 1,839 | 6,568 | 6,332 |
Research and Development Expense [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Allocated Share-based Compensation Expense | 44 | 122 | 99 | 367 |
Other Operating Income (Expense) [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Allocated Share-based Compensation Expense | 0 | (269) | 5 | 2,024 |
Income Statement Location, Discontinued Operations [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Allocated Share-based Compensation Expense | (510) | 173 | 414 | 755 |
Stock Option [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Allocated Share-based Compensation Expense | 215 | 325 | 726 | 1,303 |
RSAs and RSUs (time-based) [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Allocated Share-based Compensation Expense | 1,161 | 1,265 | 4,330 | 4,142 |
Performance-based RSUs (PSUs) [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Allocated Share-based Compensation Expense | 711 | 182 | 2,214 | 3,695 |
Continuing Operations [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Allocated Share-based Compensation Expense | $ 2,087 | $ 1,772 | $ 7,270 | $ 9,140 |
Stock-Based Compensation (Valua
Stock-Based Compensation (Valuation Assumptions) (Details) - $ / shares | 9 Months Ended | |
Sep. 28, 2018 | Sep. 29, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Weighted average fair value | $ 14.89 | $ 10.58 |
Risk-free interest rate | 2.21% | 1.69% |
Expected volatility | 39.00% | 37.00% |
Expected life (in years) | 4 years | 4 years 1 month 6 days |
Expected dividend yield | 0.00% | 0.00% |
Stock-Based Compensation (Stock
Stock-Based Compensation (Stock Options Activity) (Details) $ / shares in Units, $ in Millions | 9 Months Ended |
Sep. 28, 2018USD ($)$ / sharesshares | |
Stock Option Activity (in shares) | |
Options Outstanding, Beginning | shares | 931,353 |
Granted | shares | 28,447 |
Exercised | shares | (381,793) |
Forfeited or expired | shares | (23,700) |
Options Outstanding, Ending | shares | 554,307 |
Options Exercisable | shares | 433,487 |
Weighted Average Exercise Price (in dollars per share) | |
Options Outstanding, Beginning | $ / shares | $ 30.89 |
Granted | $ / shares | 45.13 |
Exercised | $ / shares | 30.80 |
Forfeited or expired | $ / shares | 41.28 |
Options Outstanding, Ending | $ / shares | 31.24 |
Options Exercisable | $ / shares | $ 30.16 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |
Options Outstanding, Weighted Average Remaining Contractual Term | 6 years 2 months |
Options Exercisable, Weighted Average Remaining Contractual Term | 5 years 7 months |
Options Outstanding, Intrinsic Value | $ | $ 28.7 |
Options Exercisable, Intrinsic Value | $ | $ 22.9 |
Stock-Based Compensation (Restr
Stock-Based Compensation (Restricted Stock and Restricted Stock Units Activity) (Details) | 9 Months Ended |
Sep. 28, 2018$ / sharesshares | |
Restricted Stock And Restricted Stock Units Time Based [Member] | |
Restricted Stock and Restricted Stock Unit Activity (in shares) | |
Nonvested, Beginning | shares | 163,431 |
Granted | shares | 157,608 |
Vested | shares | (28,197) |
Forfeited | shares | (50,393) |
Nonvested, Ending | shares | 242,449 |
Restricted Stock and Restricted Stock Unit Weighted Average Fair Value (in dollars per share) | |
Nonvested, Beginning | $ / shares | $ 35.96 |
Granted | $ / shares | 50.76 |
Vested | $ / shares | 46.62 |
Forfeited | $ / shares | 41.97 |
Nonvested, Ending | $ / shares | $ 43.09 |
Performance-based RSUs (PSUs) [Member] | |
Restricted Stock and Restricted Stock Unit Activity (in shares) | |
Nonvested, Beginning | shares | 469,889 |
Granted | shares | 159,669 |
Vested | shares | (146,704) |
Forfeited | shares | (180,003) |
Nonvested, Ending | shares | 302,851 |
Restricted Stock and Restricted Stock Unit Weighted Average Fair Value (in dollars per share) | |
Nonvested, Beginning | $ / shares | $ 32.37 |
Granted | $ / shares | 45.37 |
Vested | $ / shares | 35.16 |
Forfeited | $ / shares | 35.18 |
Nonvested, Ending | $ / shares | $ 36.20 |
Stock-Based Compensation (Addit
Stock-Based Compensation (Additional Information) (Details) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | |
Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Acceleration of remaining compensation expense | $ 2.2 | ||
Performance period | 3 years | ||
Expected life (in years) | 4 years | 4 years 1 month 6 days | |
Risk-free interest rate | 2.21% | 1.69% | |
Expected dividend yield | 0.00% | 0.00% | |
Expected volatility | 39.00% | 37.00% | |
Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Awards granted | 0.3 | ||
Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Awards granted | 0.2 | ||
Performance Shares [Member] | Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 1 year | ||
Performance Shares [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Financial Performance Stock Units [Member] | Performance Period Ending January 1, 2021 [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Awards granted | 0.1 | ||
TSR Performance Stock Units [Member] | Performance Period Ending January 1, 2021 [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Awards granted | 0.1 | ||
Time-Based Restricted Stock Units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Performance-based RSUs (PSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected life (in years) | 2 years 11 months | ||
Risk-free interest rate | 2.28% | ||
Expected dividend yield | 0.00% | ||
Expected volatility | 40.00% |
Other Operating Expenses, Net_2
Other Operating Expenses, Net (Schedule of Other Operating Cost and Expense By Component) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | |
Other Operating Income Expense Detail [Line Items] | ||||
Other operating expenses - continuing operations | $ 4,139 | $ 6,069 | $ 12,615 | $ 24,490 |
Total other operating expenses | 1,954 | 6,264 | 14,420 | 24,955 |
Strategic Reorganization And Alignment [Member] | ||||
Other Operating Income Expense Detail [Line Items] | ||||
Other operating expenses - continuing operations | 2,643 | 0 | 8,424 | 0 |
Manufacturing Alignment To Support Growth [Member] | ||||
Other Operating Income Expense Detail [Line Items] | ||||
Other operating expenses - continuing operations | 877 | 0 | 2,493 | 0 |
Consolidation And Optimization Initiatives [Member] | ||||
Other Operating Income Expense Detail [Line Items] | ||||
Other operating expenses - continuing operations | 137 | 2,979 | 698 | 8,055 |
Acquisition and Integration Expenses [Member] | ||||
Other Operating Income Expense Detail [Line Items] | ||||
Other operating expenses - continuing operations | 0 | 2,267 | 0 | 10,057 |
Asset Dispositions, Severance And Other [Member] | ||||
Other Operating Income Expense Detail [Line Items] | ||||
Other operating expenses - continuing operations | 482 | 823 | 1,000 | 6,378 |
Discontinued Operations, Held-for-sale [Member] | AS&O Business [Member] | ||||
Other Operating Income Expense Detail [Line Items] | ||||
Other operating expenses (income)(1) | $ (2,185) | $ 195 | $ 1,805 | $ 465 |
Other Operating Expenses, Net_3
Other Operating Expenses, Net (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | Dec. 29, 2017 | |
Restructuring Cost and Reserve [Line Items] | |||||
Other Cost and Expense, Operating | $ 4,139 | $ 6,069 | $ 12,615 | $ 24,490 | |
Strategic Reorganization And Alignment [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Costs incurred since inception | 16,000 | 16,000 | |||
Other Cost and Expense, Operating | 2,643 | 0 | 8,424 | 0 | |
Strategic Reorganization And Alignment [Member] | Minimum [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Expected costs | $ 28,000 | ||||
Expected cash outlays | 16,000 | ||||
Strategic Reorganization And Alignment [Member] | Maximum [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Expected costs | 30,000 | ||||
Expected cash outlays | 20,000 | ||||
Manufacturing Alignment To Support Growth [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Costs incurred since inception | 2,800 | 2,800 | |||
Other Cost and Expense, Operating | 877 | 0 | 2,493 | 0 | |
Manufacturing Alignment To Support Growth [Member] | Minimum [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Expected costs | 9,000 | ||||
Expected capital expenditures | 4,000 | ||||
Manufacturing Alignment To Support Growth [Member] | Maximum [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Expected costs | 11,000 | ||||
Expected capital expenditures | 6,000 | ||||
Acquisition And Integration Costs [Member] | Lake Region Medical [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Acquisition related transaction costs | 2,300 | ||||
Acquisition and integration costs accrued | 400 | ||||
Integration Costs [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Other Cost and Expense, Operating | 0 | 2,267 | 0 | 10,057 | |
Asset Dispositions, Severance And Other [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Other Cost and Expense, Operating | $ 482 | $ 823 | $ 1,000 | $ 6,378 | |
Leadership transition costs | $ 5,300 |
Other Operating Expenses, Net_4
Other Operating Expenses, Net (Schedule of Restructuring Reserve By Type of Cost) (Details) - Consolidation And Optimization Initiatives [Member] $ in Thousands | 9 Months Ended |
Sep. 28, 2018USD ($) | |
Restructuring Reserve [Roll Forward] | |
Restructuring Reserve, Beginning Balance | $ 1,308 |
Restructuring charges | 11,615 |
Cash payments | (11,419) |
Restructuring Reserve, Ending Balance | 1,504 |
Severance And Retention [Member] | |
Restructuring Reserve [Roll Forward] | |
Restructuring Reserve, Beginning Balance | 1,308 |
Restructuring charges | 5,347 |
Cash payments | (5,438) |
Restructuring Reserve, Ending Balance | 1,217 |
Other Restructuring [Member] | |
Restructuring Reserve [Roll Forward] | |
Restructuring Reserve, Beginning Balance | 0 |
Restructuring charges | 6,268 |
Cash payments | (5,981) |
Restructuring Reserve, Ending Balance | $ 287 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | Dec. 29, 2017 | |
Income Tax Disclosure [Abstract] | |||||
Unrecognized foreign earnings and profits | $ 147,500 | ||||
Provisional income tax expense | 14,700 | ||||
Tax benefit from revaluation of net deferred tax liabilities | (56,500) | ||||
Tax Cuts And Jobs Act Of 2017, Incomplete Accounting, Change In Tax Rate, Deferred Tax Liability, Provisional Income Tax (Expense) Benefit, Adjustment | $ 4,200 | ||||
Tax Cuts And Jobs Act Of 2017, Incomplete Accounting, Change In Tax Rate, Deferred Tax Liability, Measurement Period Adjustments, Provisional Income Tax (Expense) Benefit | (60,700) | ||||
Tax Cuts And Jobs Act Of 2017, Measurement Period Adjustment, Transition Tax | $ 18,900 | ||||
Tax Cuts And Jobs Act Of 2017, Measurement Period Adjustment, Transition Tax Adjustment | 4,200 | ||||
Effective income tax rate | 42.60% | (2.30%) | |||
Income (loss) before provision for income taxes | $ 14,460 | $ (19,434) | (35,793) | $ (32,985) | |
Income Tax Expense (Benefit) | (6,157) | $ (448) | $ 7,956 | $ 596 | |
Federal statutory tax rate | 21.00% | 35.00% | |||
Discrete Tax Benefits | 5,200 | $ 5,200 | |||
Unrecognized Tax Benefits | 3,000 | 3,000 | |||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Amount of Unrecorded Benefit | 1,100 | 1,100 | |||
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | $ 5,200 | $ 5,200 |
Commitments and Contingencies_2
Commitments and Contingencies (Narrative) (Details) | Jan. 26, 2016USD ($)patent | Sep. 28, 2018USD ($) |
Gain Contingencies [Line Items] | ||
Gain (Loss) Related to Litigation Settlement | $ 0 | |
Product Warranty Description | The Company generally warrants that its products will meet customer specifications and will be free from defects in materials and workmanship. | |
Positive Outcome of Litigation [Member] | ||
Gain Contingencies [Line Items] | ||
Gain Contingency, Patents Found Infringed upon, Number | patent | 2 | |
Amount awarded from other party | $ 37,500,000 |
Commitments and Contingencies_3
Commitments and Contingencies (Schedule of Product Warranty Liability) (Details) $ in Thousands | 9 Months Ended |
Sep. 28, 2018USD ($) | |
Movement in Standard Product Warranty Accrual [Roll Forward] | |
December 29, 2017 | $ 2,820 |
Additions to warranty reserve | 570 |
Warranty claims settled | (317) |
September 28, 2018 | $ 3,073 |
Commitments and Contingencies_4
Commitments and Contingencies (Foreign Currency Contracts) (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2018USD ($) | Sep. 29, 2017USD ($) | Sep. 28, 2018USD ($) | Sep. 29, 2017USD ($) | |
Foreign Currency Cash Flow Hedges [Abstract] | ||||
Increase (decrease) in sales | $ (252) | $ 594 | $ (254) | $ 733 |
Increase (decrease) in cost of sales | (393) | (512) | (988) | 371 |
Ineffective portion of change in fair value | 0 | $ 0 | 0 | $ 0 |
Foreign Currency Cash Flow Hedge [Line Items] | ||||
Foreign currency cash flow hedge gain (loss) to be reclassified | 700 | 700 | ||
FX Contract 1 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
Aggregate Notional Amount | 1,050 | $ 1,050 | ||
Start Date | Jul. 2, 2018 | |||
End Date | Dec. 28, 2018 | |||
FX Contract 2 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
Aggregate Notional Amount | 7,599 | $ 7,599 | ||
Start Date | Jan. 1, 2018 | |||
End Date | Dec. 28, 2018 | |||
FX Contract 3 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
Aggregate Notional Amount | 6,100 | $ 6,100 | ||
Start Date | Jan. 1, 2018 | |||
End Date | Dec. 28, 2018 | |||
FX Contract 4 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
Aggregate Notional Amount | 5,850 | $ 5,850 | ||
Start Date | Aug. 3, 2018 | |||
End Date | Dec. 31, 2018 | |||
FX Contract 5 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
Aggregate Notional Amount | 12,621 | $ 12,621 | ||
Start Date | Jan. 2, 2019 | |||
End Date | Jun. 28, 2019 | |||
FX Contract 6 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
Aggregate Notional Amount | 10,991 | $ 10,991 | ||
Start Date | Jan. 2, 2019 | |||
End Date | Jun. 28, 2019 | |||
Accrued Expenses [Member] | FX Contract 1 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
Foreign Currency Cash Flow Hedge Asset at Fair Value | 62 | $ 62 | ||
Accrued Expenses [Member] | FX Contract 2 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
Foreign Currency Cash Flow Hedge Asset at Fair Value | 340 | 340 | ||
Accrued Expenses [Member] | FX Contract 3 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
Foreign Currency Cash Flow Hedge Asset at Fair Value | (214) | (214) | ||
Accrued Expenses [Member] | FX Contract 4 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
Foreign Currency Cash Flow Hedge Asset at Fair Value | (16) | (16) | ||
Accrued Expenses [Member] | FX Contract 5 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
Foreign Currency Cash Flow Hedge Asset at Fair Value | 129 | 129 | ||
Accrued Expenses [Member] | FX Contract 6 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
Foreign Currency Cash Flow Hedge Asset at Fair Value | $ (95) | $ (95) | ||
Peso [Member] | FX Contract 1 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
$/Foreign Currency | 0.0500 | 0.0500 | ||
Peso [Member] | FX Contract 2 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
$/Foreign Currency | 0.0507 | 0.0507 | ||
Euro [Member] | FX Contract 3 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
$/Foreign Currency | 1.1961 | 1.1961 | ||
Euro [Member] | FX Contract 4 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
$/Foreign Currency | 1.1699 | 1.1699 | ||
Euro [Member] | FX Contract 5 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
$/Foreign Currency | 1.1686 | 1.1686 | ||
Euro [Member] | FX Contract 6 [Member] | ||||
Foreign Currency Cash Flow Hedge [Line Items] | ||||
$/Foreign Currency | 0.0523 | 0.0523 |
Earnings (Loss) Per Share (EP_3
Earnings (Loss) Per Share (EPS) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | |
Earnings Per Share [Abstract] | ||||
Income (loss) from continuing operations | $ (8,303) | $ 19,882 | $ 27,837 | $ 32,389 |
Income (loss) from discontinued operations | 122,382 | (6,192) | 114,382 | (20,048) |
Net income | $ 114,079 | $ 13,690 | $ 142,219 | $ 12,341 |
Weighted Average Number of Shares Outstanding Reconciliation [Abstract] | ||||
Basic (in shares) | 32,211,000 | 31,594,000 | 32,050,000 | 31,304,000 |
Stock options, restricted stock and restricted stock units (in shares) | 0 | 579,000 | 401,000 | 643,000 |
Denominator for diluted EPS (in shares) | 32,211,000 | 32,173,000 | 32,451,000 | 31,947,000 |
Basic earnings (loss) per share: | ||||
Income from continuing operations (in dollars per share) | $ (0.26) | $ 0.63 | $ 0.87 | $ 1.03 |
Loss from discontinued operations (in dollars per share) | 3.80 | (0.20) | 3.57 | (0.64) |
Basic (in dollars per share) | 3.54 | 0.43 | 4.44 | 0.39 |
Diluted earnings (loss) per share: | ||||
Income from continuing operations (in dollars per share) | (0.26) | 0.62 | 0.86 | 1.01 |
Loss from discontinued operations (in dollars per share) | 3.80 | (0.19) | 3.52 | (0.63) |
Diluted (in dollars per share) | $ 3.54 | $ 0.43 | $ 4.38 | $ 0.39 |
Anitdilutive Securities Excluded From Earnings Per Share [Abstract] | ||||
Time-vested stock options, restricted stock and restricted stock units (in shares) | 797,000 | 295,000 | 436,000 | 850,000 |
Performance-vested stock options and restricted stock units (in shares) | 303,000 | 188,000 | 220,000 | 320,000 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | |
Defined Benefit Plan Liability | ||||
Defined Benefit Plan Liability, Beginning | $ (1,422) | $ (1,475) | $ (1,422) | $ (1,475) |
Defined Benefit Plan, Reclassification to Earnings | 948 | 948 | ||
Defined Benefit Plan Liability, Ending | (474) | (1,475) | (474) | (1,475) |
Cash Flow Hedges | ||||
Cash Flow Hedges, Beginning | 5,094 | 4,601 | 3,418 | 1,420 |
Unrealized loss on cash flow hedges | (1,424) | (633) | (4,325) | (3,414) |
Realized gain loss on foreign currency hedges - before tax | (141) | (1,106) | (734) | (362) |
Realized gain loss on interest rate swaps - before tax | (482) | (49) | (1,114) | (393) |
Cash Flow Hedges, End | 5,895 | 4,079 | 5,895 | 4,079 |
Foreign Currency Translation Adjustment | ||||
Foreign Currency Translation Adjustment, Beginning | 37,756 | 25,475 | 50,200 | (15,660) |
Net foreign currency translation gain (loss) | (2,809) | 16,728 | (15,253) | 57,863 |
Foreign Currency Translation Adjustment, Reclassification to Earnings | (514) | (514) | ||
Foreign Currency Translation Adjustment, End | 34,433 | 42,203 | 34,433 | 42,203 |
Accumulated Other Comprehensive Income, Defined Benefit Plan Liability, Reclassification To Earnings, Net Of Tax | 700 | |||
Total Pre-Tax Amount | ||||
Total Pre-Tax Amount, Beginning | 41,428 | 28,601 | 52,196 | (15,715) |
Unrealized loss on cash flow hedges | (1,424) | (633) | (4,325) | (3,414) |
Realized gain loss on foreign currency hedges - before tax | (141) | (1,106) | (734) | (362) |
Realized gain loss on interest rate swaps - before tax | (482) | (49) | (1,114) | (393) |
Net foreign currency translation gain (loss) | (2,809) | 16,728 | (15,253) | 57,863 |
Reclassification to earnings, total pre-tax amount | 434 | 434 | ||
Total Pre-Tax Amount, End | 39,854 | 44,807 | 39,854 | 44,807 |
Tax | ||||
Tax, Beginning | (370) | (1,398) | (17) | (285) |
Unrealized gain (loss) on cash flow hedges | (299) | (222) | (908) | (1,195) |
Realized gain loss on foreign currency contracts - tax | 30 | 387 | 154 | 127 |
Realized gain loss on interest rate swap hedges - tax | 102 | 18 | 234 | 138 |
Net foreign currency translation gain (loss) | 0 | 0 | 0 | 0 |
Reclassification to earnings, tax | (282) | (282) | ||
Tax, End | (819) | (1,215) | (819) | (1,215) |
Net-of-Tax Amount | ||||
Total Net-of-Tax Amount, Beginning | 41,058 | 27,203 | 52,179 | (16,000) |
Unrealized gain (loss) on cash flow hedges, net of tax | (1,125) | (411) | (3,417) | (2,219) |
Realized gain loss on foreign currency hedges, net of tax | (111) | (719) | (580) | (235) |
Realized gain loss on interest rate swap hedges, net of tax | (380) | (31) | (880) | (255) |
Foreign currency translation gain (loss) | (2,809) | 16,728 | (15,253) | 57,863 |
Reclassification to earnings, net-of-tax | 152 | 152 | ||
Total Net-of-Tax Amount, End | $ 39,035 | $ 43,592 | $ 39,035 | $ 43,592 |
Fair Value Measurements (Schedu
Fair Value Measurements (Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis) (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Sep. 28, 2018 | Dec. 29, 2017 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | $ 531 | |
Foreign currency contracts liabilities | 325 | $ 861 |
Interest Rate Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swap assets | 5,690 | 4,279 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 0 | |
Foreign currency contracts liabilities | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Interest Rate Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swap assets | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 531 | |
Foreign currency contracts liabilities | 325 | 861 |
Fair Value, Inputs, Level 2 [Member] | Interest Rate Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swap assets | 5,690 | 4,279 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 0 | |
Foreign currency contracts liabilities | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Interest Rate Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swap assets | $ 0 | $ 0 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Millions | 9 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Dec. 29, 2017 | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Cost method and equity method investments, carrying value | $ 23.1 | $ 20.8 | |
Cost method investment | 7.7 | 7 | |
Impairment on cost method investments | 0 | $ 0 | |
Asset impairment charges | 5.3 | ||
Fair Value, Inputs, Level 2 [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Gain (loss) on equity method investments | 5.5 | $ (2.3) | |
Chinese Venture Capital Fund [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Equity method investment | $ 15.4 | $ 13.8 | |
Equity method investment ownership (percent) | 6.70% |
Segment Information (Narrative)
Segment Information (Narrative) (Details) | 9 Months Ended |
Sep. 28, 2018Segment | |
Segment Reporting [Abstract] | |
Number of Reportable Segments | 2 |
Segment Information (Reconcilia
Segment Information (Reconciliation of Revenue from Segments to Consolidated) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | |
Segment Reporting, Revenue Reconciling Item [Line Items] | ||||
Total sales from continuing operations | $ 305,088 | $ 286,168 | $ 911,978 | $ 833,820 |
Operating Segments [Member] | Medical Segment [Member] | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||||
Total sales from continuing operations | 292,639 | 271,039 | 871,811 | 791,602 |
Operating Segments [Member] | Medical Segment [Member] | Cardio And Vascular [Member] | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||||
Total sales from continuing operations | 150,230 | 137,712 | 435,859 | 391,914 |
Operating Segments [Member] | Medical Segment [Member] | Cardiac Neuromodulation [Member] | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||||
Total sales from continuing operations | 109,620 | 101,612 | 334,471 | 311,540 |
Operating Segments [Member] | Medical Segment [Member] | Advanced Surgical, Orthopedics, and Portable Medical [Member] | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||||
Total sales from continuing operations | 32,789 | 31,715 | 101,481 | 88,148 |
Operating Segments [Member] | Non-Medical Segment [Member] | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||||
Total sales from continuing operations | $ 12,449 | $ 15,129 | $ 40,167 | $ 42,218 |
Segment Information (Reconcil_2
Segment Information (Reconciliation of Operating Profit (Loss) from Segments to Consolidated) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 28, 2018 | Sep. 29, 2017 | Sep. 28, 2018 | Sep. 29, 2017 | |
Segment Reporting Information [Line Items] | ||||
Operating income from continuing operations | $ 41,459 | $ 35,826 | $ 115,860 | $ 95,791 |
Unallocated expenses, net | (55,919) | (16,392) | (80,067) | (62,806) |
Income (loss) from continuing operations before taxes | (14,460) | 19,434 | 35,793 | 32,985 |
Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Operating income from continuing operations | 62,450 | 50,738 | 178,735 | 156,514 |
Operating Segments [Member] | Medical Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Operating income from continuing operations | 58,929 | 47,363 | 167,623 | 146,637 |
Operating Segments [Member] | Non-Medical Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Operating income from continuing operations | 3,521 | 3,375 | 11,112 | 9,877 |
Segment Reconciling Items [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Operating income from continuing operations | $ (20,991) | $ (14,912) | $ (62,875) | $ (60,723) |
Revenue From Contracts With C_3
Revenue From Contracts With Customers (Disaggregated Revenue) (Details) - Revenue from Contract with Customer [Member] | 3 Months Ended | 9 Months Ended |
Sep. 28, 2018 | Sep. 28, 2018 | |
Medical Segment [Member] | Customer Concentration Risk [Member] | Customer A [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 23.00% | 22.00% |
Medical Segment [Member] | Customer Concentration Risk [Member] | Customer B [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 20.00% | 19.00% |
Medical Segment [Member] | Customer Concentration Risk [Member] | Customer C [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 12.00% | 12.00% |
Medical Segment [Member] | Customer Concentration Risk [Member] | Customer D [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 0.00% | 0.00% |
Medical Segment [Member] | Customer Concentration Risk [Member] | All Other Customers [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 45.00% | 47.00% |
Medical Segment [Member] | Geographic Concentration Risk [Member] | United States [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 58.00% | 56.00% |
Medical Segment [Member] | Geographic Concentration Risk [Member] | Puerto Rico [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 13.00% | 13.00% |
Medical Segment [Member] | Geographic Concentration Risk [Member] | Canada [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 0.00% | 0.00% |
Medical Segment [Member] | Geographic Concentration Risk [Member] | All Other Countries [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 29.00% | 31.00% |
Non-Medical Segment [Member] | Customer Concentration Risk [Member] | Customer A [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 0.00% | 0.00% |
Non-Medical Segment [Member] | Customer Concentration Risk [Member] | Customer B [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 0.00% | 0.00% |
Non-Medical Segment [Member] | Customer Concentration Risk [Member] | Customer C [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 0.00% | 0.00% |
Non-Medical Segment [Member] | Customer Concentration Risk [Member] | Customer D [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 30.00% | 28.00% |
Non-Medical Segment [Member] | Customer Concentration Risk [Member] | All Other Customers [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 70.00% | 72.00% |
Non-Medical Segment [Member] | Geographic Concentration Risk [Member] | United States [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 65.00% | 68.00% |
Non-Medical Segment [Member] | Geographic Concentration Risk [Member] | Puerto Rico [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 0.00% | 0.00% |
Non-Medical Segment [Member] | Geographic Concentration Risk [Member] | Canada [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 10.00% | 10.00% |
Non-Medical Segment [Member] | Geographic Concentration Risk [Member] | All Other Countries [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration risk percentage | 25.00% | 22.00% |
Revenue From Contracts With C_4
Revenue From Contracts With Customers Revenue From Contracts With Customers (Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |
Sep. 28, 2018 | Sep. 28, 2018 | Dec. 29, 2017 | |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||
Contract liabilities | $ 4,100,000 | $ 4,100,000 | $ 2,200,000 |
Revenue recognized that was included in contract liability balance at beginning of period | 200,000 | 600,000 | |
Contract assets | $ 0 | $ 0 | $ 0 |
Minimum [Member] | |||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||
Payment terms | 30 days | ||
Maximum [Member] | |||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||
Payment terms | 90 days |
Subsequent Event (Narrative) (D
Subsequent Event (Narrative) (Details) - USD ($) $ in Thousands | Jul. 10, 2018 | Jul. 02, 2018 | Sep. 28, 2018 | Sep. 28, 2018 | Sep. 29, 2017 |
Subsequent Event [Line Items] | |||||
Proceeds from Divestiture of Businesses | $ 582,000 | $ 582,359 | $ 0 | ||
Subsequent Event [Member] | |||||
Subsequent Event [Line Items] | |||||
Long Term Supply Agreement, Term | 3 years | ||||
Subsequent Event [Member] | Senior Notes [Member] | |||||
Subsequent Event [Line Items] | |||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||
Payment for Debt Extinguishment or Debt Prepayment Cost | $ 31,300 | ||||
Subsequent Event [Member] | Senior Notes [Member] | Senior Secured Credit Facilities [Member] | |||||
Subsequent Event [Line Items] | |||||
Repayments of Debt | 188,000 | ||||
Subsequent Event [Member] | Secured Debt [Member] | Revolving Credit Facility [Member] | New Revolving Credit Facility 2015 [Member] | |||||
Subsequent Event [Line Items] | |||||
Repayments of Debt | 74,000 | ||||
Subsequent Event [Member] | Secured Debt [Member] | Loans Payable [Member] | Term Loan B (TLB) Facility [Member] | |||||
Subsequent Event [Line Items] | |||||
Repayments of Debt | $ 114,000 | ||||
Subsequent Event [Member] | Scenario, Forecast [Member] | AS&O Business [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | |||||
Subsequent Event [Line Items] | |||||
Proceeds from Divestiture of Businesses | $ 600,000 |