Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2019 | Jul. 22, 2019 | |
Document and Entity Information | ||
Document Transition Report | false | |
Document Quarterly Report | true | |
Entity Registrant Name | CTS CORPORATION | |
Title of 12(b) Security | Common stock, without par value | |
City Area Code | 630 | |
Entity Address, Address Line One | 4925 Indiana Avenue | |
Entity Incorporation, State or Country Code | IN | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | CTS | |
Entity Registrant Name | 1-4639 | |
Entity Central Index Key | 0000026058 | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 32,668,801 | |
Entity Tax Identification Number | 35-0225010 | |
Entity Address, City or Town | Lisle, | |
Entity Address, State or Province | IL | |
Entity Address, Postal Zip Code | 60532 | |
Local Phone Number | 577-8800 | |
Security Exchange Name | NYSE | |
Entity Small Business | false |
Consolidated Statements of Earn
Consolidated Statements of Earnings - Unaudited - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Statement [Abstract] | ||||
Net sales | $ 120,684 | $ 118,021 | $ 238,308 | $ 231,551 |
Cost of goods sold | 79,480 | 76,208 | 156,490 | 151,305 |
Gross Margin | 41,204 | 41,813 | 81,818 | 80,246 |
Selling, general and administrative expenses | 17,036 | 19,621 | 34,597 | 36,993 |
Research and development expenses | 6,257 | 6,476 | 13,048 | 12,983 |
Restructuring charges | 911 | 1,172 | 2,995 | 2,367 |
Gain (Loss) on Disposition of Property Plant Equipment | 83 | 0 | 122 | 0 |
Operating earnings | 17,083 | 14,544 | 31,300 | 27,903 |
Other income (expense): | ||||
Interest expense | (467) | (571) | (933) | (1,112) |
Interest income | 440 | 472 | 872 | 954 |
Other expense, net | (1,107) | (2,874) | (1,010) | (870) |
Total other expense, net | (1,134) | (2,973) | (1,071) | (1,028) |
Earnings before income taxes | 15,949 | 11,571 | 30,229 | 26,875 |
Income tax expense | 4,006 | 4,362 | 6,867 | 8,118 |
Net earnings | $ 11,943 | $ 7,209 | $ 23,362 | $ 18,757 |
Earnings per share: | ||||
Basic (in dollars per share) | $ 0.36 | $ 0.22 | $ 0.71 | $ 0.57 |
Diluted (in dollars per share) | $ 0.36 | $ 0.21 | $ 0.70 | $ 0.56 |
Basic weighted - average common shares outstanding (in shares): | 32,799 | 33,051 | 32,803 | 33,014 |
Effect of dilutive securities (in shares) | 406 | 513 | 422 | 513 |
Diluted weighted - average common shares outstanding (in shares) | 33,205 | 33,564 | 33,225 | 33,527 |
Cash dividends declared per share (in dollars per share) | $ 0.04 | $ 0.04 | $ 0.08 | $ 0.08 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive Earnings - Unaudited - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Statement of Comprehensive Income [Abstract] | ||||
Net earnings | $ 11,943 | $ 7,209 | $ 23,362 | $ 18,757 |
Other comprehensive income: | ||||
Changes in fair market value of derivatives, net of tax | (294) | 67 | (216) | 874 |
Changes in unrealized pension cost, net of tax | 1,026 | 1,249 | 2,048 | 2,356 |
Cumulative translation adjustment, net of tax | (87) | (375) | 4 | (132) |
Other comprehensive income | 645 | 941 | 1,836 | 3,098 |
Comprehensive income | $ 12,588 | $ 8,150 | $ 25,198 | $ 21,855 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - Unaudited - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Current Assets | ||
Cash and cash equivalents | $ 105,578 | $ 100,933 |
Accounts receivable, net | 84,876 | 79,518 |
Inventories, net | 43,154 | 43,486 |
Other current assets | 16,811 | 15,422 |
Total current assets | 250,419 | 239,359 |
Property, plant and equipment, net | 99,878 | 99,401 |
Operating Lease, Right-of-Use Asset | 23,846 | 0 |
Other Assets | ||
Prepaid pension asset | 56,331 | 54,100 |
Goodwill | 71,057 | 71,057 |
Other intangible assets, net | 56,805 | 60,180 |
Deferred income taxes | 19,596 | 22,201 |
Other | 2,769 | 2,043 |
Total other assets | 206,558 | 209,581 |
Total Assets | 580,701 | 548,341 |
Current Liabilities | ||
Accounts payable | 50,942 | 51,975 |
Operating Lease, Liability, Current | 2,076 | 0 |
Accrued payroll and benefits | 9,901 | 14,671 |
Accrued liabilities | 33,396 | 37,347 |
Total current liabilities | 96,315 | 103,993 |
Long-term debt | 50,000 | 50,000 |
Operating Lease, Liability, Noncurrent | 24,702 | 0 |
Long-term pension and other post-retirement obligations | 6,363 | 6,510 |
Deferred Tax Liabilities, Net, Noncurrent | 3,823 | 3,990 |
Other long-term obligations | 3,953 | 5,919 |
Total Liabilities | 185,156 | 170,412 |
Shareholders’ Equity | ||
Common stock | 307,775 | 306,697 |
Additional contributed capital | 41,786 | 42,820 |
Retained earnings | 499,585 | 478,847 |
Accumulated other comprehensive loss | (95,903) | (97,739) |
Total shareholders’ equity before treasury stock | 753,243 | 730,625 |
Treasury stock | (357,698) | (352,696) |
Total shareholders’ equity | 395,545 | 377,929 |
Total Liabilities and Shareholders’ Equity | $ 580,701 | $ 548,341 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Cash Flows - Unaudited - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net earnings | $ 23,362 | $ 18,757 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||
Depreciation and amortization | 11,919 | 10,961 |
Pension and Other Postretirement Expense (Income) | 502 | 213 |
Stock-based compensation | 2,793 | 2,186 |
Deferred income taxes | 1,937 | (648) |
Restructuring impairment charges | 892 | 0 |
Gain (Loss) on Disposition of Assets | 122 | (2) |
Loss (gain) on foreign currency hedges, net of cash | 88 | (76) |
Changes in assets and liabilities: | ||
Accounts receivable | (5,394) | (5,452) |
Inventories | 360 | (5,275) |
Other assets | (4,126) | 1,280 |
Accounts payable | (1,582) | 4,779 |
Accrued payroll and benefits | (4,713) | (2,028) |
Accrued liabilities | (3,622) | 247 |
Income taxes payable | (588) | 3,034 |
Other liabilities | 2,622 | (101) |
Pension and other post-retirement plans | (144) | (158) |
Net cash provided by operating activities | 24,184 | 27,721 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Capital expenditures | (9,430) | (14,910) |
Proceeds from sale of assets | 122 | 1 |
Net cash used in investing activities | (9,308) | (14,909) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Payments of long-term debt | (309,100) | (749,200) |
Proceeds from borrowings of long-term debt | 309,100 | 729,900 |
Payments for Repurchase of Common Stock | (5,002) | 0 |
Dividends paid | (2,625) | (2,638) |
Payments Related to Tax Withholding for Share-based Compensation | (2,637) | (1,429) |
Net cash used in financing activities | (10,264) | (23,367) |
Effect of exchange rate changes on cash and cash equivalents | 33 | (156) |
Net increase (decrease) in cash and cash equivalents | 4,645 | (10,711) |
Cash and cash equivalents at beginning of period | 100,933 | 113,572 |
Cash and cash equivalents at end of period | 105,578 | 102,861 |
Supplemental cash flow information: | ||
Cash paid for interest | 574 | 995 |
Cash paid for income taxes, net | 5,448 | 3,724 |
Capital expenditures incurred but not yet paid | $ 4,807 | $ 3,944 |
Condensed Consolidated Statem_3
Condensed Consolidated Statement of Shareholders' Equity Condensed Consolidated Statement of Shareholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated other comprehensive (loss) income | Treasury Stock |
Beginning Balance at Dec. 31, 2017 | $ 343,805 | $ 304,777 | $ 41,084 | $ 420,160 | $ (78,960) | $ (343,256) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 11,548 | 11,548 | ||||
Changes in fair market value of derivatives, net of tax | 807 | 807 | ||||
Changes in unrealized pension cost, net of tax | 1,107 | 1,107 | ||||
Cumulative translation adjustment, net of tax | 243 | 243 | ||||
Cash Dividends | (1,320) | (1,320) | ||||
Issued shares on vesting of restricted stock units | (1,423) | 945 | (2,368) | |||
Stock compensation | 965 | 965 | ||||
Ending Balance at Mar. 31, 2018 | 355,732 | 305,722 | 39,681 | 430,388 | (76,803) | (343,256) |
Beginning Balance at Dec. 31, 2017 | 343,805 | 304,777 | 41,084 | 420,160 | (78,960) | (343,256) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 18,757 | |||||
Changes in fair market value of derivatives, net of tax | 874 | |||||
Changes in unrealized pension cost, net of tax | 2,356 | |||||
Cumulative translation adjustment, net of tax | (132) | |||||
Ending Balance at Jun. 30, 2018 | 363,760 | 306,570 | 40,034 | 436,274 | (75,862) | (343,256) |
Beginning Balance at Mar. 31, 2018 | 355,732 | 305,722 | 39,681 | 430,388 | (76,803) | (343,256) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 7,209 | 7,209 | ||||
Changes in fair market value of derivatives, net of tax | 67 | 67 | ||||
Changes in unrealized pension cost, net of tax | 1,249 | 1,249 | ||||
Cumulative translation adjustment, net of tax | (375) | (375) | ||||
Cash Dividends | (1,323) | (1,323) | ||||
Issued shares on vesting of restricted stock units | (5) | 848 | (853) | |||
Stock compensation | 1,206 | 1,206 | ||||
Ending Balance at Jun. 30, 2018 | 363,760 | 306,570 | 40,034 | 436,274 | (75,862) | (343,256) |
Beginning Balance at Dec. 31, 2018 | 377,929 | 306,697 | 42,820 | 478,847 | (97,739) | (352,696) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 11,419 | 11,419 | ||||
Changes in fair market value of derivatives, net of tax | 78 | 78 | ||||
Changes in unrealized pension cost, net of tax | 1,022 | 1,022 | ||||
Cumulative translation adjustment, net of tax | 91 | 91 | ||||
Cash Dividends | 1,315 | 1,315 | ||||
Treasury Stock, Value, Acquired, Cost Method | (849) | (849) | ||||
Issued shares on vesting of restricted stock units | (2,636) | 967 | (3,603) | |||
Stock compensation | 1,154 | 1,154 | ||||
Ending Balance at Mar. 31, 2019 | 386,893 | 307,664 | 40,371 | 488,951 | (96,548) | (353,545) |
Beginning Balance at Dec. 31, 2018 | 377,929 | 306,697 | 42,820 | 478,847 | (97,739) | (352,696) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 23,362 | |||||
Changes in fair market value of derivatives, net of tax | (216) | |||||
Changes in unrealized pension cost, net of tax | 2,048 | |||||
Cumulative translation adjustment, net of tax | 4 | |||||
Ending Balance at Jun. 30, 2019 | 395,545 | 307,775 | 41,786 | 499,585 | (95,903) | (357,698) |
Beginning Balance at Mar. 31, 2019 | 386,893 | 307,664 | 40,371 | 488,951 | (96,548) | (353,545) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings | 11,943 | 11,943 | ||||
Changes in fair market value of derivatives, net of tax | (294) | (294) | ||||
Changes in unrealized pension cost, net of tax | 1,026 | 1,026 | ||||
Cumulative translation adjustment, net of tax | (87) | (87) | ||||
Cash Dividends | 1,309 | 1,309 | ||||
Treasury Stock, Value, Acquired, Cost Method | (4,153) | (4,153) | ||||
Issued shares on vesting of restricted stock units | 0 | 111 | (111) | |||
Stock compensation | 1,526 | 1,526 | ||||
Ending Balance at Jun. 30, 2019 | $ 395,545 | $ 307,775 | $ 41,786 | $ 499,585 | $ (95,903) | $ (357,698) |
Condensed Consolidated Statem_4
Condensed Consolidated Statement of Shareholders' Equity Condensed Consolidated Statement of Shareholders Equity (parenthetical) - $ / shares | 3 Months Ended | 12 Months Ended | |
Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | |
Statement of Stockholders' Equity [Abstract] | |||
Cash dividends declared per share (in dollars per share) | $ 0.04 | $ 0.04 | |
Treasury Stock, Shares, Acquired | 148,466 | 31,500 | 342,100 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation | NOTE 1—Basis of Presentation The accompanying condensed consolidated financial statements have been prepared by CTS Corporation (“CTS” "we", "our", "us" or the "Company”), without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been omitted pursuant to such rules and regulations. The unaudited condensed consolidated financial statements should be read in conjunction with the financial statements, notes thereto, and other information included in the Company’s Annual Report on Form 10‑K for the year ended December 31, 2018 . The accompanying unaudited condensed consolidated financial statements reflect, in the opinion of management, all adjustments (consisting of normal recurring items) necessary for a fair statement, in all material respects, of the financial position and results of operations for the periods presented. The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reported period. Actual results could differ materially from those estimates. The results of operations for the interim periods are not necessarily indicative of the results for the entire year. Changes in Accounting Principles Beginning in January 2019, CTS adopted the provisions of Accounting Standards Update ("ASU") 2016-02, "Leases (Topic 842) " under the optional transition method, which requires, if necessary, a cumulative effect adjustment to the opening balance of retained earnings. The lease liability is based on the present value of minimum lease payments discounted using our secured incremental borrowing rate at the date of adoption. Existing deferred rent liabilities, resulting from our historical practice of using the straight line method for recognizing lease expense, were reclassified upon adoption to reduce the measurement of the lease assets. We elected the package of practical expedients permitted under the transition guidance, which among other things, allows us to carry forward the historical accounting relating to lease identification and classification for existing leases at adoption. Our leases are classified as operating leases and expense is recorded in a manner similar to historical accounting guidance. We have also elected the practical expedient to not separate lease and non-lease components for the majority of our leases and the election to keep leases with an initial term of 12 months or less off of the balance sheet. Upon adoption we recorded a lease liability of $24,792 and a right of use asset of $22,066 . No adjustment to the opening balance of retained earnings was required. Subsequent Events We have evaluated subsequent events and transactions for potential recognition or disclosure in the financial statements through the date the condensed consolidated financial statements are issued. |
Revenue Recognition (Notes)
Revenue Recognition (Notes) | 6 Months Ended |
Jun. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer [Text Block] | NOTE 2 – Revenue Recognition The core principle of Topic 606 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance provides a five-step process to achieve that core principle: • Identify the contract(s) with a customer • Identify the performance obligations • Determine the transaction price • Allocate the transaction price • Recognize revenue when the performance obligations are met We recognize revenue when the performance obligations specified in our contracts have been satisfied, after considering the impact of variable consideration and other factors that may affect the transaction price. Our contracts normally contain a single performance obligation that is fulfilled on the date of delivery based on shipping terms stipulated in the contract. We usually expect payment within 30 to 90 days from the shipping date, depending on our terms with the customer. None of our contracts as of June 30, 2019 , contained a significant financing component. Differences between the amount of revenue recognized and the amount invoiced, collected from, or paid to our customers are recognized as contract assets or liabilities. Contract assets will be reviewed for impairment when events or circumstances indicate that they may not be recoverable. To the extent the transaction price includes variable consideration, we estimate the amount of variable consideration that should be included in the transaction price utilizing the most likely amount method based on an analysis of historical experience and current facts and circumstances, which requires significant judgment. Variable consideration is included in the transaction price if, in our judgment, it is probable that a significant future reversal of cumulative revenue under the contract will not occur. Contract Assets and Liabilities Contract assets and liabilities included in our Condensed Consolidated Balance Sheets are as follows: As of June 30, December 31, 2019 2018 Contract Assets Prepaid rebates included in Other current assets $ 65 $ 65 Prepaid rebates included in Other assets 1,501 999 Total Contract Assets $ 1,566 $ 1,064 Contract Liabilities Customer discounts and price concessions included in Accrued liabilities $ (1,799 ) $ (1,656 ) Customer rights of return included in Accrued liabilities (464 ) (325 ) Total Contract Liabilities $ (2,263 ) $ (1,981 ) During the three and six months ended June 30, 2019 , we recognized revenues of $37 and $106 , respectively, for amounts that were included in contract liabilities at the beginning of the period. Disaggregated Revenue The following table presents revenues disaggregated by the major markets we serve: Three Months Ended Six Months Ended June 30, 2019 June 30, 2018 June 30, 2019 June 30, 2018 Aero & Defense $ 6,988 $ 6,024 $ 14,511 $ 11,127 Industrial 19,500 22,773 37,656 43,129 Medical 8,973 9,793 18,639 19,034 Telecom & IT 4,880 5,525 8,318 10,050 Transportation 80,343 73,906 159,184 148,211 Total $ 120,684 $ 118,021 $ 238,308 $ 231,551 |
Accounts Receivable
Accounts Receivable | 6 Months Ended |
Jun. 30, 2019 | |
Receivables [Abstract] | |
Accounts Receivable | NOTE 3 – Accounts Receivable The components of accounts receivable are as follows: As of June 30, December 31, 2019 2018 Accounts receivable, gross $ 85,002 $ 79,902 Less: Allowance for doubtful accounts (126 ) (384 ) Accounts receivable, net $ 84,876 $ 79,518 |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Inventories | NOTE 4 – Inventories Inventories consist of the following: As of June 30, December 31, 2019 2018 Finished goods $ 7,247 $ 10,995 Work-in-process 14,835 12,129 Raw materials 26,197 25,746 Less: Inventory reserves (5,125 ) (5,384 ) Inventories, net $ 43,154 $ 43,486 |
Property, Plant and Equipment
Property, Plant and Equipment | 6 Months Ended |
Jun. 30, 2019 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | NOTE 5 – Property, Plant and Equipment Property, plant and equipment is comprised of the following: As of June 30, December 31, 2019 2018 Land $ 1,136 $ 1,136 Buildings and improvements 73,735 70,522 Machinery and equipment 225,513 231,619 Less: Accumulated depreciation (200,506 ) (203,876 ) Property, plant and equipment, net $ 99,878 $ 99,401 Depreciation expense for the six months ended June 30, 2019 $ 8,537 Depreciation expense for the six months ended June 30, 2018 $ 7,537 |
Retirement Plans
Retirement Plans | 6 Months Ended |
Jun. 30, 2019 | |
Retirement Benefits [Abstract] | |
Retirement Plans | Retirement Plans Pension Plans Net pension expense for our domestic and foreign plans included in other income (expense) in the condensed consolidated statement of earnings is as follows: Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Net pension expense $ 249 $ 78 $ 499 $ 157 The components of net pension expense for our domestic and foreign plans include the following: Domestic Pension Plans Foreign Pension Plans Three Months Ended Three Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Service cost $ — $ — $ 9 $ 11 Interest cost 1,931 1,781 7 11 Expected return on plan assets (1) (3,047 ) (3,225 ) (4 ) (6 ) Amortization of loss 1,311 1,466 42 40 Total expense, net $ 195 $ 22 $ 54 $ 56 (1) Expected return on plan assets is net of expected investment expenses and certain administrative expenses. Domestic Pension Plans Foreign Pension Plans Six Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Service cost $ — $ — $ 18 $ 22 Interest cost 3,862 3,562 15 22 Expected return on plan assets (1) (6,094 ) (6,450 ) (9 ) (13 ) Amortization of loss 2,623 2,932 84 82 Total expense, net $ 391 $ 44 $ 108 $ 113 (1) Expected return on plan assets is net of expected investment expenses and certain administrative expenses. Other Post-retirement Benefit Plan Net post-retirement expense for our other post-retirement plan includes the following components: Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Service cost $ 1 $ — $ 1 $ 1 Interest cost 43 39 85 78 Amortization of gain (42 ) (11 ) (83 ) (23 ) Total expense, net $ 2 $ 28 $ 3 $ 56 |
Other Intangible Assets
Other Intangible Assets | 6 Months Ended |
Jun. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Other Intangible Assets | NOTE 7 – Other Intangible Assets Intangible assets consist of the following components: As of June 30, 2019 Gross Accumulated Net Amount Customer lists/relationships $ 64,323 $ (38,787 ) $ 25,536 Technology and other intangibles 44,460 (15,391 ) 29,069 In process research and development 2,200 — 2,200 Other intangible assets, net $ 110,983 $ (54,178 ) $ 56,805 Amortization expense for the three months ended June 30, 2019 $ 1,692 Amortization expense for the six months ended June 30, 2019 $ 3,382 As of December 31, 2018 Gross Accumulated Net Amount Customer lists/relationships $ 64,323 $ (37,088 ) $ 27,235 Technology and other intangibles 44,460 (13,715 ) 30,745 In process research and development 2,200 — 2,200 Other intangible assets, net $ 110,983 $ (50,803 ) $ 60,180 Amortization expense for the three months ended June 30, 2018 $ 1,704 Amortization expense for the six months ended June 30, 2018 $ 3,424 Remaining amortization expense for other intangible assets as of June 30, 2019 is as follows: Amortization 2019 $ 3,377 2020 6,624 2021 6,467 2022 6,230 2023 4,224 Thereafter 29,883 Total amortization expense $ 56,805 |
Costs Associated with Exit and
Costs Associated with Exit and Restructuring Activities | 6 Months Ended |
Jun. 30, 2019 | |
Restructuring and Related Activities [Abstract] | |
Costs Associated with Exit and Restructuring Activities | NOTE 8 – Costs Associated with Exit and Restructuring Activities Costs associated with exit and restructuring activities are recorded in the Condensed Consolidated Statement of Earnings as a separate component of Operating earnings. Total restructuring charges is as follows: Three Months Ended June 30, 2019 June 30, 2018 Restructuring charges $ 911 $ 1,172 Six Months Ended June 30, 2019 June 30, 2018 Restructuring charges $ 2,995 $ 2,367 In June 2016, we announced plans to restructure operations by phasing out production at our Elkhart facility and transitioning it into a research and development center supporting our global operations ("June 2016 Plan"). Additional organizational changes were also implemented in various other locations. During the third quarter of 2017, we revised the June 2016 Plan. The amendment added an additional $1,100 in planned costs related to the relocation of our corporate headquarters in Lisle, IL and our plant in Bolingbrook, IL, both of which have now been consolidated into a single facility. The total restructuring liability related to severance and other one-time benefit arrangements under the June 2016 Plan was $501 at June 30, 2019 , and $668 at December 31, 2018 . Additional costs related to production line movements, equipment charges, and other costs will be expensed as incurred. The following table displays the planned restructuring charges associated with the June 2016 Plan as well as a summary of the actual costs incurred through June 30, 2019 : Actual costs Planned incurred through June 2016 Plan Costs June 30, 2019 Workforce reduction $ 3,075 $ 3,162 Building and equipment relocation 9,025 9,952 Other charges 1,300 1,875 Total restructuring charges $ 13,400 $ 14,989 In April 2014, we announced plans to restructure our operations and consolidate our Canadian operations into other existing facilities as part of our overall plan to simplify our business model and rationalize our global footprint (“April 2014 Plan”). These restructuring actions were completed in 2015. The remaining restructuring liability related to the April 2014 Plan was $701 at June 30, 2019 , and $918 at December 31, 2018 . The following table displays the restructuring liability activity for all plans for the six months ended June 30, 2019 : Restructuring liability at January 1, 2019 $ 1,586 Restructuring charges 2,995 Cost paid (2,216 ) Other activity (1) (1,163 ) Restructuring liability at June 30, 2019 $ 1,202 (1) Other activity includes the effects of currency translation, non-cash asset write-downs and other charges that do not flow through restructuring expense. |
Accrued Liabilities
Accrued Liabilities | 6 Months Ended |
Jun. 30, 2019 | |
Other Liabilities Disclosure [Abstract] | |
Accrued Liabilities | NOTE 9 – Accrued Liabilities The components of accrued liabilities are as follows: As of June 30, December 31, 2019 2018 Accrued product related costs $ 4,036 $ 4,377 Accrued income taxes 6,315 6,914 Accrued property and other taxes 1,810 1,976 Accrued professional fees 2,474 3,350 Contract liabilities 2,263 1,981 Dividends payable 1,309 1,310 Remediation reserves 10,564 11,274 Other accrued liabilities 4,625 6,165 Total accrued liabilities $ 33,396 $ 37,347 |
Contingencies
Contingencies | 6 Months Ended |
Jun. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies | NOTE 10 – Commitments and Contingencies Certain processes in the manufacture of our current and past products create by-products classified as hazardous waste. We have been notified by the U.S. Environmental Protection Agency, state environmental agencies, and in some cases, groups of potentially responsible parties, that we may be potentially liable for environmental contamination at several sites currently and formerly owned or operated by us. Some sites, such as Asheville, North Carolina and Mountain View, California, are designated National Priorities List sites under the U.S. Environmental Protection Agency’s Superfund program. We accrue a liability for probable remediation activities, claims and proceedings against us with respect to environmental matters if the amount can be reasonably estimated, and provide disclosures including the nature of a loss whenever it is probable or reasonably possible that a potentially material loss may have occurred but cannot be estimated. We record contingent loss accruals on an undiscounted basis. In the opinion of management, based upon presently available information relating to such matters, adequate provision for probable and estimable losses have been recorded. Due to the inherent nature of environmental obligations, we cannot provide assurance that our ultimate environmental liability will not materially exceed the amount of our accrued losses. A roll-forward of remediation reserves included in accrued liabilities on the balance sheet is comprised of the following: As of June 30, 2019 December 31, 2018 Balance at beginning of period $ 11,274 $ 17,067 Remediation expense 276 1,182 Net remediation payments (979 ) (6,967 ) Other activity (1) (7 ) (8 ) Balance at end of the period $ 10,564 $ 11,274 (1) Other activity includes currency translation adjustments not recorded through remediation expense. Unrelated to the environmental claims described above, certain other claims are pending against us with respect to matters arising in the ordinary conduct of our business. Although the ultimate outcome of any potential litigation resulting from these claims cannot be predicted with certainty, and some may be disposed of unfavorably to us, we believe that adequate provision for probable and estimable costs have been established based upon all presently available information. Except as noted herein, we do not believe we have any pending loss contingencies that are probable or reasonably possible of having a material impact on our consolidated financial position, results of operations, or cash flows. Our accrued liabilities and disclosures will be adjusted accordingly if additional information becomes available in the future. |
Debt
Debt | 6 Months Ended |
Jun. 30, 2019 | |
Debt Disclosure [Abstract] | |
Debt | NOTE 11 - Debt Long-term debt is comprised of the following: As of June 30, December 31, 2019 2018 Total credit facility $ 300,000 $ 300,000 Balance outstanding $ 50,000 $ 50,000 Standby letters of credit $ 1,800 $ 1,940 Amount available $ 248,200 $ 248,060 Weighted-average interest rate 3.54 % 3.10 % Commitment fee percentage per annum 0.20 % 0.20 % On February 12, 2019, we entered into an amended and restated five-year Credit Agreement with a group of banks (the "Credit Agreement") to extend the term of the facility. The Credit Agreement provides for a revolving credit facility of $300,000 , which may be increased by $150,000 at the request of the Company, subject to the administrative agent's approval. This new unsecured credit facility replaces the prior $300,000 unsecured credit facility, which would have expired August 10, 2020. Borrowings of $50,000 under the prior credit agreement were refinanced into the Credit Agreement. The prior agreement was terminated as of February 12, 2019. The Revolving Credit Facility includes a swing line sublimit of $15,000 and a letter of credit sublimit of $10,000 . Borrowings under the Revolving Credit Facility bear interest, at our option, at the base rate plus the applicable margin for base rate loans or London Interbank Offered Rate ("LIBOR") plus the applicable margin for LIBOR loans. We also pay a quarterly commitment fee on the unused portion of the Revolving Credit Facility. The commitment fee ranges from 0.20% to 0.30% based on the our total leverage ratio. The Revolving Credit Facility requires, among other things, that we comply with a maximum total leverage ratio and a minimum fixed charge coverage ratio. Failure to comply with these covenants could reduce the borrowing availability under the Revolving Credit Facility. We were in compliance with all debt covenants at June 30, 2019 . The Revolving Credit Facility requires that we deliver quarterly financial statements, annual financial statements, auditor certifications, and compliance certificates within a specified number of days after the end of a quarter and year. Additionally, the Revolving Credit Facility contains restrictions limiting our ability to: dispose of assets; incur certain additional debt; repay other debt or amend subordinated debt instruments; create liens on assets; make investments, loans or advances; make acquisitions or engage in mergers or consolidations; engage in certain transactions with our subsidiaries and affiliates; and make stock repurchases and dividend payments. Interest rates on the Revolving Credit Facility fluctuate based upon the LIBOR and the Company’s quarterly total leverage ratio. We have debt issuance costs related to our long-term debt that are being amortized using the straight-line method over the life of the debt. Amortization expense was approximately $41 and $46 for the three months ended June 30, 2019 and 2018 , respectively and approximately $77 and $93 |
Derivative Financial Instrument
Derivative Financial Instruments | 6 Months Ended |
Jun. 30, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments Our earnings and cash flows are subject to fluctuations due to changes in foreign currency exchange rates and interest rates. We selectively use derivative financial instruments including foreign currency forward contracts and interest rate swaps to manage our exposure to these risks. The use of derivative financial instruments exposes the Company to credit risk, which relates to the risk of nonperformance by a counterparty to the derivative contracts. We manage our credit risk by entering into derivative contracts with only highly rated financial institutions and by using netting agreements. The effective portion of derivative gains and losses are recorded in accumulated other comprehensive (loss) income until the hedged transaction affects earnings upon settlement, at which time they are reclassified to cost of goods sold or net sales. If it is probable that an anticipated hedged transaction will not occur by the end of the originally specified time period, we reclassify the gains or losses related to that hedge from accumulated other comprehensive (loss) income to other income (expense). We assess hedge effectiveness qualitatively by verifying that the critical terms of the hedging instrument and the forecasted transaction continue to match, and that there have been no adverse developments that have increased the risk that the counterparty will default. No recognition of ineffectiveness was recorded in our Condensed Consolidated Statement of Earnings for the three and six months ended June 30, 2019 . Foreign Currency Hedges We use forward contracts to mitigate currency risk related to a portion of our forecasted foreign currency revenues and costs. The currency forward contracts are designed as cash flow hedges and are recorded in the Condensed Consolidated Balance Sheets at fair value. We continue to monitor the Company’s overall currency exposure and may elect to add cash flow hedges in the future. At June 30, 2019 , we had a net unrealized gain of $784 in accumulated other comprehensive (loss) income, of which $784 is expected to be reclassified to income within the next 12 months. At June 30, 2018 we had a net unrealized gain of $59 in accumulated other comprehensive (loss) income. The notional amount of foreign currency forward contracts outstanding was $8,625 at June 30, 2019 . Interest Rate Swaps We use interest rate swaps to convert our revolving credit facility’s variable rate of interest into a fixed rate. As of June 30, 2019 , we have agreements to fix interest rates on $50,000 of long-term debt through August 2020. The difference to be paid or received under the terms of the swap agreements will be recognized as an adjustment to interest expense when settled. These swaps are treated as cash flow hedges and consequently, the changes in fair value are recorded in other comprehensive (loss) income. The estimated net amount of the existing gains that are reported in accumulated other comprehensive (loss) income that are expected to be reclassified into earnings within the next twelve months is approximately $235 . The location and fair values of derivative instruments designated as hedging instruments in the Condensed Consolidated Balance Sheets as of June 30, 2019 , are shown in the following table: As of June 30, December 31, 2019 2018 Interest rate swaps reported in Other current assets $ 235 $ 576 Interest rate swaps reported in Other assets $ 17 $ 369 Foreign currency hedges reported in Other current assets $ 718 $ 393 The Company has elected to net its foreign currency derivative assets and liabilities in the balance sheet in accordance with ASC 210-20 ( Balance Sheet, Offsetting ). On a gross basis, there were foreign currency derivative assets of $718 and foreign currency derivative liabilities of $0 . The effect of derivative instruments on the Condensed Consolidated Statements of Earnings is as follows: Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Foreign Exchange Contracts: Amounts reclassified from AOCI to earnings: Net sales $ — $ 21 $ — $ (37 ) Cost of goods sold 233 32 276 140 Selling, general and administrative expense 23 (4 ) 39 (5 ) Total amounts reclassified from AOCI to earnings 256 49 315 98 Loss recognized in other expense for hedge ineffectiveness — — — (1 ) Total derivative gain on foreign exchange contracts recognized in earnings $ 256 $ 49 $ 315 $ 97 Interest Rate Swaps: Benefit recorded in Interest expense $ 156 $ 105 $ 313 $ 170 Total gain $ 412 $ 154 $ 628 $ 267 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive (Loss) Income | 6 Months Ended |
Jun. 30, 2019 | |
Equity [Abstract] | |
Accumulated Other Comprehensive (Loss) Income | NOTE 13 – Accumulated Other Comprehensive (Loss) Income Shareholders’ equity includes certain items classified as accumulated other comprehensive (loss) income (“AOCI”) in the Condensed Consolidated Balance Sheets, including: Unrealized gains (losses) on hedges relate to interest rate swaps to convert our revolving credit facility's variable rate of interest into a fixed rate and foreign currency forward contracts used to hedge our exposure to changes in exchange rates affecting certain revenues and costs denominated in foreign currencies. These hedges are designated as cash flow hedges, and we have deferred income statement recognition of gains and losses until the hedged transactions occur, at which time amounts are reclassified into earnings. Further information related to our derivative financial instruments is included in Note 12 - Derivative Financial Instruments and Note 16 – Fair Value Measurements. Unrealized gains (losses) on pension obligations are deferred from income statement recognition until the gains or losses are realized. Amounts reclassified to income from AOCI are included in net periodic pension income (expense). Further information related to our pension obligations is included in Note 6 – Retirement Plans. Cumulative translation adjustments relate to our non-U.S. subsidiary companies that have designated a functional currency other than the U.S. dollar. We are required to translate the subsidiary functional currency financial statements to dollars using a combination of historical, period-end, and average foreign exchange rates. This combination of rates creates the foreign currency translation adjustment component of other comprehensive income. Changes in exchange rates between the functional currency and the currency in which a transaction is denominated are foreign exchange transaction gains or losses. Transaction losses for the three months and six months ended June 30, 2019 were $829 and $355 , respectively and transaction losses for the three and six months ended June 30, 2018 were $2,194 and $918 , respectively, which have been included in other income (expense) in the Condensed Consolidated Statement of Earnings. The components of accumulated other comprehensive (loss) income for the three months ended June 30, 2019 , are as follows: (Gain) Loss As of Gain (Loss) Reclassified As of March 31, Recognized from AOCI June 30, 2019 in OCI to Income 2019 Changes in fair market value of hedges: Gross $ 1,416 $ 32 $ (412 ) $ 1,036 Income tax (expense) benefit (320 ) (7 ) 93 (234 ) Net 1,096 25 (319 ) 802 Changes in unrealized pension cost: Gross (131,135 ) — 1,325 (129,810 ) Income tax benefit (expense) 35,596 — (299 ) 35,297 Net (95,539 ) — 1,026 (94,513 ) Cumulative translation adjustment: Gross (2,203 ) (84 ) — (2,287 ) Income tax benefit (expense) 98 (3 ) — 95 Net (2,105 ) (87 ) — (2,192 ) Total accumulated other comprehensive (loss) income $ (96,548 ) $ (62 ) $ 707 $ (95,903 ) The components of accumulated other comprehensive (loss) income for the three months ended June 30, 2018 , are as follows: (Gain) Loss As of Gain (Loss) Reclassified As of March 31, Recognized from AOCI June 30, 2018 in OCI to Income 2018 Changes in fair market value of hedges: Gross $ 1,332 $ 240 $ (154 ) $ 1,418 Income tax (expense) benefit (341 ) (54 ) 35 (360 ) Net 991 186 (119 ) 1,058 Changes in unrealized pension cost: Gross (128,672 ) — 1,617 (127,055 ) Income tax benefit (expense) 52,520 — (368 ) 52,152 Net (76,152 ) — 1,249 (74,903 ) Cumulative translation adjustment: Gross (1,747 ) (368 ) — (2,115 ) Income tax benefit (expense) 105 (7 ) — 98 Net (1,642 ) (375 ) — (2,017 ) Total accumulated other comprehensive (loss) income $ (76,803 ) $ (189 ) $ 1,130 $ (75,862 ) The components of accumulated other comprehensive (loss) income for the six months ended June 30, 2019 are as follows: (Gain) Loss As of Gain (Loss) Reclassified As of December 31, Recognized from AOCI June 30, 2018 in OCI to Income 2019 Changes in fair market value of hedges: Gross $ 1,316 $ 348 $ (628 ) $ 1,036 Income tax (expense) benefit (298 ) (78 ) 142 (234 ) Net 1,018 270 (486 ) 802 Changes in unrealized pension cost: Gross (132,454 ) — 2,644 (129,810 ) Income tax benefit (expense) 35,893 — (596 ) 35,297 Net (96,561 ) — 2,048 (94,513 ) Cumulative translation adjustment: Gross (2,291 ) 4 — (2,287 ) Income tax benefit 95 — — 95 Net (2,196 ) 4 — (2,192 ) Total accumulated other comprehensive (loss) income $ (97,739 ) $ 274 $ 1,562 $ (95,903 ) The components of accumulated other comprehensive (loss) income for the six months ended June 30, 2018 are as follows: (Gain) Loss As of Gain (Loss) Reclassified As of December 31, Recognized from AOCI June 30, 2017 in OCI to Income 2018 Changes in fair market value of hedges: Gross $ 289 $ 1,397 $ (268 ) $ 1,418 Income tax (expense) benefit (105 ) (315 ) 60 (360 ) Net 184 1,082 (208 ) 1,058 Changes in unrealized pension cost: Gross (130,096 ) — 3,041 (127,055 ) Income tax benefit (expense) 52,837 — (685 ) 52,152 Net (77,259 ) — 2,356 (74,903 ) Cumulative translation adjustment: Gross (1,985 ) (130 ) — (2,115 ) Income tax benefit (expense) 100 (2 ) — 98 Net (1,885 ) (132 ) — (2,017 ) Total accumulated other comprehensive (loss) income $ (78,960 ) $ 950 $ 2,148 $ (75,862 ) |
Shareholders' Equity
Shareholders' Equity | 6 Months Ended |
Jun. 30, 2019 | |
Stockholders' Equity Note [Abstract] | |
Shareholders' Equity | NOTE 14 – Shareholders’ Equity Share count and par value data related to shareholders’ equity are as follows: As of June 30, December 31, 2019 2018 Preferred Stock Par value per share No par value No par value Shares authorized 25,000,000 25,000,000 Shares outstanding — — Common Stock Par value per share No par value No par value Shares authorized 75,000,000 75,000,000 Shares issued 56,923,369 56,786,849 Shares outstanding 32,707,281 32,750,727 Treasury stock Shares held 24,216,088 24,036,122 On February 7, 2019, the Board of Directors authorized a new stock repurchase program with a maximum dollar limit of $25,000 in stock repurchases, which replaced the previous program. During the six months ended June 30, 2019 , 179,966 shares of common stock were repurchased for approximately $5,002 , of which $567 was repurchased under the previous program and $4,435 was repurchased under the most recent board-authorized share repurchase plan. Approximately $20,565 is available for future purchases. A roll-forward of common shares outstanding is as follows: Six Months Ended June 30, June 30, 2019 2018 Balance at the beginning of the year 32,750,727 32,938,466 Repurchases (179,966 ) — Restricted share issuances 136,520 148,577 Balance at the end of the period 32,707,281 33,087,043 Certain potentially dilutive restricted stock units are excluded from diluted earning per share because they are anti-dilutive. The number of awards that were anti-dilutive for the six month periods ended June 30, 2019 and June 30, 2018 were 108,894 and 72,658 , respectively. There were no outstanding anti-dilutive awards impacting the three month periods ended June 30, 2019 and June 30, 2018 . |
Equity-Based Compensation
Equity-Based Compensation | 6 Months Ended |
Jun. 30, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Equity-Based Compensation | NOTE 15 - Stock-Based Compensation At June 30, 2019 , we had five active stock-based compensation plans: the Nonemployee Directors’ Stock Retirement Plan (“Directors’ Plan”), the 2004 Omnibus Long-Term Incentive Plan (“2004 Plan”), the 2009 Omnibus Equity and Performance Incentive Plan (“2009 Plan”), the 2014 Performance & Incentive Plan (“2014 Plan”), and the 2018 Equity and Incentive Compensation Plan ("2018 Plan"). Future grants can only be made under the 2018 Plan. The following table summarizes the compensation expense included in selling, general and administrative expenses in the Condensed Consolidated Statements of Earnings related to stock-based compensation plans: Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Service-based RSUs $ 488 $ 563 $ 1,094 $ 1,018 Performance-based RSUs 1,038 643 1,586 1,153 Cash-settled RSUs 53 57 113 15 Total $ 1,579 $ 1,263 $ 2,793 $ 2,186 Income tax benefit 357 285 631 494 Net $ 1,222 $ 978 $ 2,162 $ 1,692 The following table summarizes the unrecognized compensation expense related to non-vested RSUs by type and the weighted-average period in which the expense is to be recognized: Unrecognized Compensation Weighted- Expense at Average June 30, 2019 Period Service-based RSUs $ 2,168 1.44 Performance-based RSUs 4,039 1.85 Total $ 6,207 1.71 We recognize expense on a straight-line basis over the requisite service period for each separately vesting portion of the award as if the award was, in substance, multiple awards. The following table summarizes the status of these plans as of June 30, 2019 : 2018 Plan 2014 Plan 2009 Plan 2004 Plan Directors' Plan Awards originally available 2,500,000 1,500,000 3,400,000 6,500,000 N/A Performance-based options outstanding — 250,000 — — — Maximum potential RSU and cash settled awards outstanding 243,943 419,793 92,600 35,952 5,522 Maximum potential awards outstanding 243,943 669,793 92,600 35,952 5,522 RSUs and cash settled awards vested and released — — — — — Awards available for grant 2,256,057 — — — — Performance-Based Stock Options During 2015 and 2016, the Compensation Committee of the Board of Directors of the Company (the “Committee”) granted a total of 350,000 performance-based stock option awards (“Performance-Based Option Awards”) for certain employees under the 2014 Plan, of which 250,000 remain outstanding after considering forfeitures. The Performance-Based Option Awards have an exercise price of $18.37 , a term of five years , and generally will become exercisable (provided the optionee remains employed by the Company or an affiliate) upon our attainment of at least $600,000 in revenues during any of our trailing four quarterly periods (as determined by the Committee) during the term. We have not recognized any expense on these Performance-Based Option Awards for the six -month periods ended June 30, 2019 and 2018 , since the revenue target was not deemed likely to be attained based on our current forecast. Service-Based Restricted Stock Units The following table summarizes the service-based RSU activity as of and for the six months ended June 30, 2019 : Units Weighted Outstanding at January 1, 2019 355,590 $ 17.91 Granted 72,591 28.79 Vested and released (65,623 ) 19.91 Forfeited (15,918 ) 26.95 Outstanding at June 30, 2019 346,640 $ 19.39 Releasable at June 30, 2019 207,140 $ 13.79 Performance and Market-Based Restricted Stock Units The following table summarizes the performance and market-based RSU activity as of and for the six months ended June 30, 2019 : Units Weighted Outstanding at January 1, 2019 267,792 $ 21.44 Granted 82,103 30.98 Attained by performance 60,779 13.54 Released (160,889 ) 14.34 Forfeited (26,156 ) 23.81 Outstanding at June 30, 2019 223,629 $ 27.70 Releasable at June 30, 2019 — $ — The following table summarizes each grant of performance awards outstanding at June 30, 2019 . Description Grant Date Vesting Year Vesting Dependency Target Units Outstanding Maximum Number of Units to be Granted 2017 - 2019 Performance RSUs February 9, 2017 2019 35% RTSR, 35% sales growth, 30% operating cash flow 71,188 142,376 2017 - 2019 Performance RSUs February 9, 2017 2018 - 2020 Operating Income 13,556 13,556 2018 - 2020 Performance RSUs February 8, 2018 2020 35% RTSR, 35% sales growth, 30% operating cash flow 34,478 68,956 2018 - 2020 Performance RSUs February 16, 2018 2020 35% RTSR, 35% sales growth, 30% operating cash flow 31,820 63,640 2019 - 2021 Performance RSUs February 7, 2019 2021 35% RTSR, 35% sales growth, 30% operating cash flow 65,642 131,285 2019 Supplemental Performance RSUs February 7, 2019 2021 Succession Planning Targets 6,945 13,890 Cash-Settled Restricted Stock Units Cash-Settled RSUs entitle the holder to receive the cash equivalent of one share of common stock for each unit when the unit vests. These RSUs are issued to key employees residing in foreign locations as direct compensation. Generally, these RSUs vest over a three-year period. Cash-Settled RSUs are classified as liabilities and are remeasured at each reporting date until settled. At June 30, 2019 and December 31, 2018 we had 17,468 and 17,248 cash-settled RSUs outstanding, respectively. At June 30, 2019 and December 31, 2018, liabilities of $211 and $300 , respectively were included in Accrued liabilities on our Condensed Consolidated Balance Sheets. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements We use interest rate swaps to convert our Revolving Credit Facility’s variable rate of interest into a fixed rate and foreign currency forward contracts to hedge the effect of foreign currency changes on certain revenues and costs denominated in foreign currencies. These derivative financial instruments are measured at fair value on a recurring basis. The table below summarizes our financial assets that are measured at fair value on a recurring basis at June 30, 2019 : Quoted Prices Asset in Active Significant Carrying Markets for Other Significant Value at Identical Observable Unobservable June 30, Instruments Inputs Inputs 2019 (Level 1) (Level 2) (Level 3) Interest rate swaps $ 252 $ — $ 252 $ — Foreign currency hedges $ 718 $ — $ 718 $ — The table below summarizes the financial assets (liabilities) that are measured at fair value on a recurring basis as of December 31, 2018 : Quoted Prices Asset in Active Significant Carrying Markets for Other Significant Value at Identical Observable Unobservable December 31, Instruments Inputs Inputs 2018 (Level 1) (Level 2) (Level 3) Interest rate swaps $ 945 $ — $ 945 $ — Foreign currency hedges $ 393 $ — $ 393 $ — The fair value of our interest rate swaps and foreign currency hedges were measured using standard valuation models using market-based observable inputs over the contractual terms, including forward yield curves, among others. There is a readily determinable market for these derivative instruments, but that market is not active and therefore they are classified within Level 2 of the fair value hierarchy. The table below provides a reconciliation of the recurring financial assets (liabilities) for our derivative instruments: Foreign Interest Currency Rate Swaps Hedges Balance at January 1, 2018 $ 971 $ (742 ) Cash settlements paid (received) 421 (402 ) Total gains (losses) for the period: Included in earnings (421 ) 484 Included in other comprehensive income (26 ) 1,053 Balance at December 31, 2018 $ 945 $ 393 Cash settlements received (313 ) (403 ) Total gains (losses) for the period: Included in earnings 313 315 Included in other comprehensive income (693 ) 413 Balance at June 30, 2019 $ 252 $ 718 Our long-term debt consists of the Revolving Credit Facility which is recorded at its carrying value. There is a readily determinable market for our long-term debt and it is classified within Level 2 of the fair value hierarchy as the market is not deemed to be active. The fair value of long-term debt approximates carrying value and was determined by valuing a similar hypothetical coupon bond and attributing that value to our long-term debt under the Revolving Credit Facility. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The effective tax rates for the three and six -month periods ended June 30, 2019 and 2018 are as follows: Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Effective tax rate 25.1 % 37.7 % 22.7 % 30.2 % Our effective income tax rate was 25.1% and 37.7% in the second quarters of 2019 and 2018 , respectively. This decrease was primarily attributed to the 2018 withholding tax payment of $1,703 on a one-time distribution from Taiwan. The tax rate in the second quarter of 2019 was higher than the U.S. statutory federal tax rate primarily due to state taxes and foreign earnings that are taxed at higher rates. The tax rate in the second quarter of 2018 was higher than the U.S. statutory federal tax rate primarily due to foreign withholding taxes, state taxes and foreign earnings that are taxed at higher rates. Our effective income tax rate was 22.7% and 30.2% for the six months ended June 30, 2019 and 2018, respectively. This decrease was primarily attributed to the 2018 withholding tax payment of $1,703 on a one-time distribution from Taiwan. The tax rate in the second quarter of 2019 was higher than the U.S. statutory federal tax rate primarily due to higher foreign tax rates applicable on foreign earnings offset by tax benefits recorded upon vesting of restricted stock units. The tax rate in the second quarter of 2018 was higher than the U.S. statutory federal tax rate primarily due to foreign withholding taxes, state taxes and higher foreign tax rates applicable on foreign earnings. We have elected to recognize the tax on the global intangible low-taxed income (GILTI) as a period expense in the period the tax is incurred, and we have included a provisional estimate for GILTI in our estimated annual effective tax rate. |
Leases Leases
Leases Leases | 6 Months Ended |
Jun. 30, 2019 | |
Disclosure Text Block [Abstract] | |
Lessee, Operating Leases [Text Block] | NOTE 18 — Leases We lease certain land, buildings and equipment under non-cancelable operating leases used in our operations. Operating lease assets represent our right to use an underlying asset for the lease term. Operating lease liabilities represent the present value of lease payments over the lease term, discounted using an estimate of our secured incremental borrowing rate because none of our leases contain a rate implicit in the lease arrangement. The operating lease assets and liabilities are adjusted to include the impact of any lease incentives and non-lease components. We have elected not to separate lease and non-lease components, which include taxes and common area maintenance in some of our leases. Variable lease payments that depend on an index or a rate are included in lease payments using the prevailing index or rate in effect at lease commencement. Options to extend or terminate a lease are included in the lease term when it is reasonably likely that we will exercise that option. We have elected not to record leases with an initial term of 12 months or less on the balance sheet and instead recognize those lease payments on a straight-line basis over the lease term. We determine if an arrangement is a lease or contains a lease at its inception, which normally does not require significant estimates or judgments. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants and we currently have no material sublease agreements. Total lease expense for the three and six months ended June 30, 2019 is as follows: Three Months Ended Six Months Ended June 30, 2019 June 30, 2019 Operating lease cost $ 1,075 $ 2,069 Short-term lease cost 176 249 Total lease cost $ 1,251 $ 2,318 Remaining maturity of our existing lease liabilities as of June 30, 2019 is as follows: Operating Leases (1) 2019 $ 2,014 2020 4,106 2021 4,021 2022 3,819 2023 3,573 Thereafter 20,084 Total $ 37,617 Less: interest (10,839 ) Present value of lease liabilities $ 26,778 (1) Operating lease payments include $4,615 of payments related to options to extend lease terms that are reasonably expected to be exercised. Balance Sheet Classification: Operating lease obligations $ 2,076 Long-term operating lease obligations 24,702 Total lease liabilities $ 26,778 Weighted-average remaining lease terms (years) 9.71 Weighted-average discount rate 6.91 % Supplemental cash flow information related to leases: Cash paid for amounts included in the measurement of lease liabilities $ 1,862 Leased assets obtained in exchange for new operating lease liabilities $ 2,961 |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
New Accounting Pronouncements and Changes in Accounting Principles [Text Block] | Changes in Accounting Principles Beginning in January 2019, CTS adopted the provisions of Accounting Standards Update ("ASU") 2016-02, "Leases (Topic 842) " under the optional transition method, which requires, if necessary, a cumulative effect adjustment to the opening balance of retained earnings. The lease liability is based on the present value of minimum lease payments discounted using our secured incremental borrowing rate at the date of adoption. Existing deferred rent liabilities, resulting from our historical practice of using the straight line method for recognizing lease expense, were reclassified upon adoption to reduce the measurement of the lease assets. We elected the package of practical expedients permitted under the transition guidance, which among other things, allows us to carry forward the historical accounting relating to lease identification and classification for existing leases at adoption. Our leases are classified as operating leases and expense is recorded in a manner similar to historical accounting guidance. We have also elected the practical expedient to not separate lease and non-lease components for the majority of our leases and the election to keep leases with an initial term of 12 months or less off of the balance sheet. Upon adoption we recorded a lease liability of $24,792 and a right of use asset of $22,066 . No adjustment to the opening balance of retained earnings was required. |
Basis of Presentation | NOTE 1—Basis of Presentation The accompanying condensed consolidated financial statements have been prepared by CTS Corporation (“CTS” "we", "our", "us" or the "Company”), without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been omitted pursuant to such rules and regulations. The unaudited condensed consolidated financial statements should be read in conjunction with the financial statements, notes thereto, and other information included in the Company’s Annual Report on Form 10‑K for the year ended December 31, 2018 . The accompanying unaudited condensed consolidated financial statements reflect, in the opinion of management, all adjustments (consisting of normal recurring items) necessary for a fair statement, in all material respects, of the financial position and results of operations for the periods presented. The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reported period. Actual results could differ materially from those estimates. The results of operations for the interim periods are not necessarily indicative of the results for the entire year. |
Recent Accounting Pronouncements | NOTE 19 — Recent Accounting Pronouncements ASU 2018-14 "Compensation - Retirement Benefits - Defined Benefit Plans - General" In August 2018, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2018-14, "Compensation - Retirement Benefits - Defined Benefit Plans - General." This ASU modifies the disclosure requirements for defined benefit and other postretirement plans. This ASU eliminates certain disclosures associated with accumulated other comprehensive income, plan assets, related parties, and the effects of interest rate basis point changes on assumed health care costs; while other disclosures have been added to address significant gains and losses related to changes in benefit obligations. This ASU also clarifies disclosure requirements for projected benefit and accumulated benefit obligations. The amendments in this ASU are effective for fiscal years ending after December 15, 2020 and for interim periods therein with early adoption permitted. Adoption on a retrospective basis for all periods presented is required. This ASU will impact our financial statement disclosures but will not have an impact on our consolidated financial position, results of operations, or cash flows. ASU 2018-13 "Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement" In August 2018, the FASB issued ASU No. 2018-13 "Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement" . This ASU modified the disclosures related to recurring and nonrecurring fair value measurements. Disclosures related to the transfer of assets between Level 1 and Level 2 hierarchies have been eliminated and various additional disclosures related to Level 3 fair value measurements have been added, modified or removed. This ASU is effective for annual periods beginning after December 15, 2019, and interim periods within those fiscal years. Early adoption is permitted upon issuance of the standard for disclosures modified or removed with a delay of adoption of the additional disclosures until their effective date. This ASU is not expected to have an impact on our financial statements. ASU 2016-16 "Income Taxes (Topic 740) Intra-Entity Transfers of Assets Other Than Inventory" In October 2016, the FASB issued ASU No. 2016-16, "Intra-Entity Transfers of Assets Other Than Inventory" . This ASU is meant to improve the accounting for the income tax effect of intra-entity transfers of assets other than inventory. Currently, U.S. GAAP prohibits the recognition of current and deferred income taxes for intra-entity asset transfers until the asset is sold to a third party. This ASU will now require companies to recognize the income tax effect of an intra-entity asset transfer (other than inventory) when the transaction occurs. This ASU is effective for public companies, for fiscal years beginning after December 15, 2019 and interim periods within those annual reporting periods. Early adoption is permitted and is to be applied on a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the period of adoption. This guidance is not expected to have a material impact on our financial statements. ASU 2016-13 "Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments" In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which amends the current accounting guidance and requires the measurement of all expected losses based on historical experience, current conditions and reasonable and supportable forecasts. For trade receivables, loans, and other financial instruments, we will be required to use a forward-looking expected loss model rather than the incurred loss model for recognizing credit losses which reflects losses that are probable. The standard will become effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted. Application of the amendments is through a cumulative-effect adjustment to retained earnings as of the effective date. We plan to adopt this standard on the effective date and are currently evaluating the impact of this new standard on our financial statements. |
Subsequent Events [Text Block] | Subsequent Events We have evaluated subsequent events and transactions for potential recognition or disclosure in the financial statements through the date the condensed consolidated financial statements are issued. |
Separation of Lease and Nonlease Components [Policy Text Block] | We have also elected the practical expedient to not separate lease and non-lease components for the majority of our leases and the election to keep leases with an initial term of 12 months or less off of the balance sheet.The operating lease assets and liabilities are adjusted to include the impact of any lease incentives and non-lease components. We have elected not to separate lease and non-lease components, which include taxes and common area maintenance in some of our leases. |
Short-term Leases [Policy Text Block] | We have also elected the practical expedient to not separate lease and non-lease components for the majority of our leases and the election to keep leases with an initial term of 12 months or less off of the balance sheet.We have elected not to record leases with an initial term of 12 months or less on the balance sheet and instead recognize those lease payments on a straight-line basis over the lease term. |
Leases Policies (Policies)
Leases Policies (Policies) | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Separation of Lease and Nonlease Components [Policy Text Block] | We have also elected the practical expedient to not separate lease and non-lease components for the majority of our leases and the election to keep leases with an initial term of 12 months or less off of the balance sheet.The operating lease assets and liabilities are adjusted to include the impact of any lease incentives and non-lease components. We have elected not to separate lease and non-lease components, which include taxes and common area maintenance in some of our leases. |
Short-term Leases [Policy Text Block] | We have also elected the practical expedient to not separate lease and non-lease components for the majority of our leases and the election to keep leases with an initial term of 12 months or less off of the balance sheet.We have elected not to record leases with an initial term of 12 months or less on the balance sheet and instead recognize those lease payments on a straight-line basis over the lease term. |
Revenue Recognition Contract As
Revenue Recognition Contract Assets and Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Contract Assets and Liabilities [Abstract] | |
Contract with Customer, Asset and Liability [Table Text Block] | Contract assets and liabilities included in our Condensed Consolidated Balance Sheets are as follows: As of June 30, December 31, 2019 2018 Contract Assets Prepaid rebates included in Other current assets $ 65 $ 65 Prepaid rebates included in Other assets 1,501 999 Total Contract Assets $ 1,566 $ 1,064 Contract Liabilities Customer discounts and price concessions included in Accrued liabilities $ (1,799 ) $ (1,656 ) Customer rights of return included in Accrued liabilities (464 ) (325 ) Total Contract Liabilities $ (2,263 ) $ (1,981 ) |
Revenue Recognition Disaggregat
Revenue Recognition Disaggregated Revenue (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Disaggregation of Revenue [Abstract] | |
Disaggregation of Revenue [Table Text Block] | The following table presents revenues disaggregated by the major markets we serve: Three Months Ended Six Months Ended June 30, 2019 June 30, 2018 June 30, 2019 June 30, 2018 Aero & Defense $ 6,988 $ 6,024 $ 14,511 $ 11,127 Industrial 19,500 22,773 37,656 43,129 Medical 8,973 9,793 18,639 19,034 Telecom & IT 4,880 5,525 8,318 10,050 Transportation 80,343 73,906 159,184 148,211 Total $ 120,684 $ 118,021 $ 238,308 $ 231,551 |
Accounts Receivable (Tables)
Accounts Receivable (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Receivables [Abstract] | |
Components of Accounts Receivable | The components of accounts receivable are as follows: As of June 30, December 31, 2019 2018 Accounts receivable, gross $ 85,002 $ 79,902 Less: Allowance for doubtful accounts (126 ) (384 ) Accounts receivable, net $ 84,876 $ 79,518 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Summary of Inventories | Inventories consist of the following: As of June 30, December 31, 2019 2018 Finished goods $ 7,247 $ 10,995 Work-in-process 14,835 12,129 Raw materials 26,197 25,746 Less: Inventory reserves (5,125 ) (5,384 ) Inventories, net $ 43,154 $ 43,486 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Property, Plant and Equipment [Abstract] | |
Summary of Property, Plant and Equipment | Property, plant and equipment is comprised of the following: As of June 30, December 31, 2019 2018 Land $ 1,136 $ 1,136 Buildings and improvements 73,735 70,522 Machinery and equipment 225,513 231,619 Less: Accumulated depreciation (200,506 ) (203,876 ) Property, plant and equipment, net $ 99,878 $ 99,401 Depreciation expense for the six months ended June 30, 2019 $ 8,537 Depreciation expense for the six months ended June 30, 2018 $ 7,537 |
Retirement Plans (Tables)
Retirement Plans (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Retirement Benefits [Abstract] | |
Net Pension Income or Postretirement Expense | Net post-retirement expense for our other post-retirement plan includes the following components: Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Service cost $ 1 $ — $ 1 $ 1 Interest cost 43 39 85 78 Amortization of gain (42 ) (11 ) (83 ) (23 ) Total expense, net $ 2 $ 28 $ 3 $ 56 Net pension expense for our domestic and foreign plans included in other income (expense) in the condensed consolidated statement of earnings is as follows: Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Net pension expense $ 249 $ 78 $ 499 $ 157 The components of net pension expense for our domestic and foreign plans include the following: Domestic Pension Plans Foreign Pension Plans Three Months Ended Three Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Service cost $ — $ — $ 9 $ 11 Interest cost 1,931 1,781 7 11 Expected return on plan assets (1) (3,047 ) (3,225 ) (4 ) (6 ) Amortization of loss 1,311 1,466 42 40 Total expense, net $ 195 $ 22 $ 54 $ 56 (1) Expected return on plan assets is net of expected investment expenses and certain administrative expenses. Domestic Pension Plans Foreign Pension Plans Six Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Service cost $ — $ — $ 18 $ 22 Interest cost 3,862 3,562 15 22 Expected return on plan assets (1) (6,094 ) (6,450 ) (9 ) (13 ) Amortization of loss 2,623 2,932 84 82 Total expense, net $ 391 $ 44 $ 108 $ 113 |
Other Intangible Assets (Tables
Other Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of other intangible assets | Intangible assets consist of the following components: As of June 30, 2019 Gross Accumulated Net Amount Customer lists/relationships $ 64,323 $ (38,787 ) $ 25,536 Technology and other intangibles 44,460 (15,391 ) 29,069 In process research and development 2,200 — 2,200 Other intangible assets, net $ 110,983 $ (54,178 ) $ 56,805 Amortization expense for the three months ended June 30, 2019 $ 1,692 Amortization expense for the six months ended June 30, 2019 $ 3,382 As of December 31, 2018 Gross Accumulated Net Amount Customer lists/relationships $ 64,323 $ (37,088 ) $ 27,235 Technology and other intangibles 44,460 (13,715 ) 30,745 In process research and development 2,200 — 2,200 Other intangible assets, net $ 110,983 $ (50,803 ) $ 60,180 Amortization expense for the three months ended June 30, 2018 $ 1,704 Amortization expense for the six months ended June 30, 2018 $ 3,424 |
Summary of amortization expense remaining for other intangible assets | Remaining amortization expense for other intangible assets as of June 30, 2019 is as follows: Amortization 2019 $ 3,377 2020 6,624 2021 6,467 2022 6,230 2023 4,224 Thereafter 29,883 Total amortization expense $ 56,805 |
Costs Associated with Exit an_2
Costs Associated with Exit and Restructuring Activities (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Restructuring and Related Activities Disclosure [Text Block] | NOTE 8 – Costs Associated with Exit and Restructuring Activities Costs associated with exit and restructuring activities are recorded in the Condensed Consolidated Statement of Earnings as a separate component of Operating earnings. Total restructuring charges is as follows: Three Months Ended June 30, 2019 June 30, 2018 Restructuring charges $ 911 $ 1,172 Six Months Ended June 30, 2019 June 30, 2018 Restructuring charges $ 2,995 $ 2,367 In June 2016, we announced plans to restructure operations by phasing out production at our Elkhart facility and transitioning it into a research and development center supporting our global operations ("June 2016 Plan"). Additional organizational changes were also implemented in various other locations. During the third quarter of 2017, we revised the June 2016 Plan. The amendment added an additional $1,100 in planned costs related to the relocation of our corporate headquarters in Lisle, IL and our plant in Bolingbrook, IL, both of which have now been consolidated into a single facility. The total restructuring liability related to severance and other one-time benefit arrangements under the June 2016 Plan was $501 at June 30, 2019 , and $668 at December 31, 2018 . Additional costs related to production line movements, equipment charges, and other costs will be expensed as incurred. The following table displays the planned restructuring charges associated with the June 2016 Plan as well as a summary of the actual costs incurred through June 30, 2019 : Actual costs Planned incurred through June 2016 Plan Costs June 30, 2019 Workforce reduction $ 3,075 $ 3,162 Building and equipment relocation 9,025 9,952 Other charges 1,300 1,875 Total restructuring charges $ 13,400 $ 14,989 In April 2014, we announced plans to restructure our operations and consolidate our Canadian operations into other existing facilities as part of our overall plan to simplify our business model and rationalize our global footprint (“April 2014 Plan”). These restructuring actions were completed in 2015. The remaining restructuring liability related to the April 2014 Plan was $701 at June 30, 2019 , and $918 at December 31, 2018 . The following table displays the restructuring liability activity for all plans for the six months ended June 30, 2019 : Restructuring liability at January 1, 2019 $ 1,586 Restructuring charges 2,995 Cost paid (2,216 ) Other activity (1) (1,163 ) Restructuring liability at June 30, 2019 $ 1,202 (1) Other activity includes the effects of currency translation, non-cash asset write-downs and other charges that do not flow through restructuring expense. |
Restructuring Reserve Activity | The following table displays the restructuring liability activity for all plans for the six months ended June 30, 2019 : Restructuring liability at January 1, 2019 $ 1,586 Restructuring charges 2,995 Cost paid (2,216 ) Other activity (1) (1,163 ) Restructuring liability at June 30, 2019 $ 1,202 (1) Other activity includes the effects of currency translation, non-cash asset write-downs and other charges that do not flow through restructuring expense. |
June 2016 Plan | |
Restructuring and Related Activities Disclosure [Text Block] | Costs associated with exit and restructuring activities are recorded in the Condensed Consolidated Statement of Earnings as a separate component of Operating earnings. Total restructuring charges is as follows: Three Months Ended June 30, 2019 June 30, 2018 Restructuring charges $ 911 $ 1,172 Six Months Ended June 30, 2019 June 30, 2018 Restructuring charges $ 2,995 $ 2,367 In June 2016, we announced plans to restructure operations by phasing out production at our Elkhart facility and transitioning it into a research and development center supporting our global operations ("June 2016 Plan"). Additional organizational changes were also implemented in various other locations. During the third quarter of 2017, we revised the June 2016 Plan. The amendment added an additional $1,100 in planned costs related to the relocation of our corporate headquarters in Lisle, IL and our plant in Bolingbrook, IL, both of which have now been consolidated into a single facility. The total restructuring liability related to severance and other one-time benefit arrangements under the June 2016 Plan was $501 at June 30, 2019 , and $668 at December 31, 2018 |
Restructuring, Impairment, and Other Activities Disclosure [Text Block] | The following table displays the planned restructuring charges associated with the June 2016 Plan as well as a summary of the actual costs incurred through June 30, 2019 : Actual costs Planned incurred through June 2016 Plan Costs June 30, 2019 Workforce reduction $ 3,075 $ 3,162 Building and equipment relocation 9,025 9,952 Other charges 1,300 1,875 Total restructuring charges $ 13,400 $ 14,989 |
April 2014 Plan | |
Restructuring and Related Activities Disclosure [Text Block] | In April 2014, we announced plans to restructure our operations and consolidate our Canadian operations into other existing facilities as part of our overall plan to simplify our business model and rationalize our global footprint (“April 2014 Plan”). These restructuring actions were completed in 2015. The remaining restructuring liability related to the April 2014 Plan was $701 at June 30, 2019 , and $918 at December 31, 2018 . |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Other Liabilities Disclosure [Abstract] | |
Components of Accrued Liabilities | The components of accrued liabilities are as follows: As of June 30, December 31, 2019 2018 Accrued product related costs $ 4,036 $ 4,377 Accrued income taxes 6,315 6,914 Accrued property and other taxes 1,810 1,976 Accrued professional fees 2,474 3,350 Contract liabilities 2,263 1,981 Dividends payable 1,309 1,310 Remediation reserves 10,564 11,274 Other accrued liabilities 4,625 6,165 Total accrued liabilities $ 33,396 $ 37,347 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Debt Disclosure [Abstract] | |
Summary of Long-Term Debt | Long-term debt is comprised of the following: As of June 30, December 31, 2019 2018 Total credit facility $ 300,000 $ 300,000 Balance outstanding $ 50,000 $ 50,000 Standby letters of credit $ 1,800 $ 1,940 Amount available $ 248,200 $ 248,060 Weighted-average interest rate 3.54 % 3.10 % Commitment fee percentage per annum 0.20 % 0.20 % |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The location and fair values of derivative instruments designated as hedging instruments in the Condensed Consolidated Balance Sheets as of June 30, 2019 , are shown in the following table: As of June 30, December 31, 2019 2018 Interest rate swaps reported in Other current assets $ 235 $ 576 Interest rate swaps reported in Other assets $ 17 $ 369 Foreign currency hedges reported in Other current assets $ 718 $ 393 |
Derivative Instruments, Gain (Loss) | The effect of derivative instruments on the Condensed Consolidated Statements of Earnings is as follows: Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Foreign Exchange Contracts: Amounts reclassified from AOCI to earnings: Net sales $ — $ 21 $ — $ (37 ) Cost of goods sold 233 32 276 140 Selling, general and administrative expense 23 (4 ) 39 (5 ) Total amounts reclassified from AOCI to earnings 256 49 315 98 Loss recognized in other expense for hedge ineffectiveness — — — (1 ) Total derivative gain on foreign exchange contracts recognized in earnings $ 256 $ 49 $ 315 $ 97 Interest Rate Swaps: Benefit recorded in Interest expense $ 156 $ 105 $ 313 $ 170 Total gain $ 412 $ 154 $ 628 $ 267 The table below provides a reconciliation of the recurring financial assets (liabilities) for our derivative instruments: Foreign Interest Currency Rate Swaps Hedges Balance at January 1, 2018 $ 971 $ (742 ) Cash settlements paid (received) 421 (402 ) Total gains (losses) for the period: Included in earnings (421 ) 484 Included in other comprehensive income (26 ) 1,053 Balance at December 31, 2018 $ 945 $ 393 Cash settlements received (313 ) (403 ) Total gains (losses) for the period: Included in earnings 313 315 Included in other comprehensive income (693 ) 413 Balance at June 30, 2019 $ 252 $ 718 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive (Loss) Income (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive (Loss) Income | The components of accumulated other comprehensive (loss) income for the three months ended June 30, 2019 , are as follows: (Gain) Loss As of Gain (Loss) Reclassified As of March 31, Recognized from AOCI June 30, 2019 in OCI to Income 2019 Changes in fair market value of hedges: Gross $ 1,416 $ 32 $ (412 ) $ 1,036 Income tax (expense) benefit (320 ) (7 ) 93 (234 ) Net 1,096 25 (319 ) 802 Changes in unrealized pension cost: Gross (131,135 ) — 1,325 (129,810 ) Income tax benefit (expense) 35,596 — (299 ) 35,297 Net (95,539 ) — 1,026 (94,513 ) Cumulative translation adjustment: Gross (2,203 ) (84 ) — (2,287 ) Income tax benefit (expense) 98 (3 ) — 95 Net (2,105 ) (87 ) — (2,192 ) Total accumulated other comprehensive (loss) income $ (96,548 ) $ (62 ) $ 707 $ (95,903 ) The components of accumulated other comprehensive (loss) income for the three months ended June 30, 2018 , are as follows: (Gain) Loss As of Gain (Loss) Reclassified As of March 31, Recognized from AOCI June 30, 2018 in OCI to Income 2018 Changes in fair market value of hedges: Gross $ 1,332 $ 240 $ (154 ) $ 1,418 Income tax (expense) benefit (341 ) (54 ) 35 (360 ) Net 991 186 (119 ) 1,058 Changes in unrealized pension cost: Gross (128,672 ) — 1,617 (127,055 ) Income tax benefit (expense) 52,520 — (368 ) 52,152 Net (76,152 ) — 1,249 (74,903 ) Cumulative translation adjustment: Gross (1,747 ) (368 ) — (2,115 ) Income tax benefit (expense) 105 (7 ) — 98 Net (1,642 ) (375 ) — (2,017 ) Total accumulated other comprehensive (loss) income $ (76,803 ) $ (189 ) $ 1,130 $ (75,862 ) The components of accumulated other comprehensive (loss) income for the six months ended June 30, 2019 are as follows: (Gain) Loss As of Gain (Loss) Reclassified As of December 31, Recognized from AOCI June 30, 2018 in OCI to Income 2019 Changes in fair market value of hedges: Gross $ 1,316 $ 348 $ (628 ) $ 1,036 Income tax (expense) benefit (298 ) (78 ) 142 (234 ) Net 1,018 270 (486 ) 802 Changes in unrealized pension cost: Gross (132,454 ) — 2,644 (129,810 ) Income tax benefit (expense) 35,893 — (596 ) 35,297 Net (96,561 ) — 2,048 (94,513 ) Cumulative translation adjustment: Gross (2,291 ) 4 — (2,287 ) Income tax benefit 95 — — 95 Net (2,196 ) 4 — (2,192 ) Total accumulated other comprehensive (loss) income $ (97,739 ) $ 274 $ 1,562 $ (95,903 ) The components of accumulated other comprehensive (loss) income for the six months ended June 30, 2018 are as follows: (Gain) Loss As of Gain (Loss) Reclassified As of December 31, Recognized from AOCI June 30, 2017 in OCI to Income 2018 Changes in fair market value of hedges: Gross $ 289 $ 1,397 $ (268 ) $ 1,418 Income tax (expense) benefit (105 ) (315 ) 60 (360 ) Net 184 1,082 (208 ) 1,058 Changes in unrealized pension cost: Gross (130,096 ) — 3,041 (127,055 ) Income tax benefit (expense) 52,837 — (685 ) 52,152 Net (77,259 ) — 2,356 (74,903 ) Cumulative translation adjustment: Gross (1,985 ) (130 ) — (2,115 ) Income tax benefit (expense) 100 (2 ) — 98 Net (1,885 ) (132 ) — (2,017 ) Total accumulated other comprehensive (loss) income $ (78,960 ) $ 950 $ 2,148 $ (75,862 ) |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Stockholders' Equity Note [Abstract] | |
Treasury Stock [Text Block] | On February 7, 2019, the Board of Directors authorized a new stock repurchase program with a maximum dollar limit of $25,000 in stock repurchases, which replaced the previous program. During the six months ended June 30, 2019 , 179,966 shares of common stock were repurchased for approximately $5,002 , of which $567 was repurchased under the previous program and $4,435 was repurchased under the most recent board-authorized share repurchase plan. Approximately $20,565 is available for future purchases. |
Summary of Share Count and Par Value Data Related to Shareholders' Equity | Share count and par value data related to shareholders’ equity are as follows: As of June 30, December 31, 2019 2018 Preferred Stock Par value per share No par value No par value Shares authorized 25,000,000 25,000,000 Shares outstanding — — Common Stock Par value per share No par value No par value Shares authorized 75,000,000 75,000,000 Shares issued 56,923,369 56,786,849 Shares outstanding 32,707,281 32,750,727 Treasury stock Shares held 24,216,088 24,036,122 |
Summary of Common Shares Outstanding | A roll-forward of common shares outstanding is as follows: Six Months Ended June 30, June 30, 2019 2018 Balance at the beginning of the year 32,750,727 32,938,466 Repurchases (179,966 ) — Restricted share issuances 136,520 148,577 Balance at the end of the period 32,707,281 33,087,043 Certain potentially dilutive restricted stock units are excluded from diluted earning per share because they are anti-dilutive. The number of awards that were anti-dilutive for the six month periods ended June 30, 2019 and June 30, 2018 were 108,894 and 72,658 , respectively. There were no outstanding anti-dilutive awards impacting the three month periods ended June 30, 2019 and June 30, 2018 . |
Equity-Based Compensation (Tabl
Equity-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of Equity-Based Compensation Expense | The following table summarizes the compensation expense included in selling, general and administrative expenses in the Condensed Consolidated Statements of Earnings related to stock-based compensation plans: Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Service-based RSUs $ 488 $ 563 $ 1,094 $ 1,018 Performance-based RSUs 1,038 643 1,586 1,153 Cash-settled RSUs 53 57 113 15 Total $ 1,579 $ 1,263 $ 2,793 $ 2,186 Income tax benefit 357 285 631 494 Net $ 1,222 $ 978 $ 2,162 $ 1,692 |
Schedule of Unrecognized Equity-Based Compensation Expense | The following table summarizes the unrecognized compensation expense related to non-vested RSUs by type and the weighted-average period in which the expense is to be recognized: Unrecognized Compensation Weighted- Expense at Average June 30, 2019 Period Service-based RSUs $ 2,168 1.44 Performance-based RSUs 4,039 1.85 Total $ 6,207 1.71 |
Summary of Status of Equity-Based Compensation Plans | The following table summarizes the status of these plans as of June 30, 2019 : 2018 Plan 2014 Plan 2009 Plan 2004 Plan Directors' Plan Awards originally available 2,500,000 1,500,000 3,400,000 6,500,000 N/A Performance-based options outstanding — 250,000 — — — Maximum potential RSU and cash settled awards outstanding 243,943 419,793 92,600 35,952 5,522 Maximum potential awards outstanding 243,943 669,793 92,600 35,952 5,522 RSUs and cash settled awards vested and released — — — — — Awards available for grant 2,256,057 — — — — |
Summary of Service-Based Restricted Stock Units | The following table summarizes the service-based RSU activity as of and for the six months ended June 30, 2019 : Units Weighted Outstanding at January 1, 2019 355,590 $ 17.91 Granted 72,591 28.79 Vested and released (65,623 ) 19.91 Forfeited (15,918 ) 26.95 Outstanding at June 30, 2019 346,640 $ 19.39 Releasable at June 30, 2019 207,140 $ 13.79 |
Schedule of Components of Performance-Based RSU's | The following table summarizes the performance and market-based RSU activity as of and for the six months ended June 30, 2019 : Units Weighted Outstanding at January 1, 2019 267,792 $ 21.44 Granted 82,103 30.98 Attained by performance 60,779 13.54 Released (160,889 ) 14.34 Forfeited (26,156 ) 23.81 Outstanding at June 30, 2019 223,629 $ 27.70 Releasable at June 30, 2019 — $ — The following table summarizes each grant of performance awards outstanding at June 30, 2019 . Description Grant Date Vesting Year Vesting Dependency Target Units Outstanding Maximum Number of Units to be Granted 2017 - 2019 Performance RSUs February 9, 2017 2019 35% RTSR, 35% sales growth, 30% operating cash flow 71,188 142,376 2017 - 2019 Performance RSUs February 9, 2017 2018 - 2020 Operating Income 13,556 13,556 2018 - 2020 Performance RSUs February 8, 2018 2020 35% RTSR, 35% sales growth, 30% operating cash flow 34,478 68,956 2018 - 2020 Performance RSUs February 16, 2018 2020 35% RTSR, 35% sales growth, 30% operating cash flow 31,820 63,640 2019 - 2021 Performance RSUs February 7, 2019 2021 35% RTSR, 35% sales growth, 30% operating cash flow 65,642 131,285 2019 Supplemental Performance RSUs February 7, 2019 2021 Succession Planning Targets 6,945 13,890 |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Summary of Financial Liability Measured at Fair Value on a Recurring Basis | The table below summarizes our financial assets that are measured at fair value on a recurring basis at June 30, 2019 : Quoted Prices Asset in Active Significant Carrying Markets for Other Significant Value at Identical Observable Unobservable June 30, Instruments Inputs Inputs 2019 (Level 1) (Level 2) (Level 3) Interest rate swaps $ 252 $ — $ 252 $ — Foreign currency hedges $ 718 $ — $ 718 $ — The table below summarizes the financial assets (liabilities) that are measured at fair value on a recurring basis as of December 31, 2018 : Quoted Prices Asset in Active Significant Carrying Markets for Other Significant Value at Identical Observable Unobservable December 31, Instruments Inputs Inputs 2018 (Level 1) (Level 2) (Level 3) Interest rate swaps $ 945 $ — $ 945 $ — Foreign currency hedges $ 393 $ — $ 393 $ — |
Reconciliation of Recurring Financial Liability Related to Interest Rate Swaps | The effect of derivative instruments on the Condensed Consolidated Statements of Earnings is as follows: Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Foreign Exchange Contracts: Amounts reclassified from AOCI to earnings: Net sales $ — $ 21 $ — $ (37 ) Cost of goods sold 233 32 276 140 Selling, general and administrative expense 23 (4 ) 39 (5 ) Total amounts reclassified from AOCI to earnings 256 49 315 98 Loss recognized in other expense for hedge ineffectiveness — — — (1 ) Total derivative gain on foreign exchange contracts recognized in earnings $ 256 $ 49 $ 315 $ 97 Interest Rate Swaps: Benefit recorded in Interest expense $ 156 $ 105 $ 313 $ 170 Total gain $ 412 $ 154 $ 628 $ 267 The table below provides a reconciliation of the recurring financial assets (liabilities) for our derivative instruments: Foreign Interest Currency Rate Swaps Hedges Balance at January 1, 2018 $ 971 $ (742 ) Cash settlements paid (received) 421 (402 ) Total gains (losses) for the period: Included in earnings (421 ) 484 Included in other comprehensive income (26 ) 1,053 Balance at December 31, 2018 $ 945 $ 393 Cash settlements received (313 ) (403 ) Total gains (losses) for the period: Included in earnings 313 315 Included in other comprehensive income (693 ) 413 Balance at June 30, 2019 $ 252 $ 718 |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Reconciliation of Effective Income Taxes Rate | The effective tax rates for the three and six -month periods ended June 30, 2019 and 2018 are as follows: Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2019 2018 2019 2018 Effective tax rate 25.1 % 37.7 % 22.7 % 30.2 % |
Leases Lease Cost (Tables)
Leases Lease Cost (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Lease, Cost [Table Text Block] | Total lease expense for the three and six months ended June 30, 2019 is as follows: Three Months Ended Six Months Ended June 30, 2019 June 30, 2019 Operating lease cost $ 1,075 $ 2,069 Short-term lease cost 176 249 Total lease cost $ 1,251 $ 2,318 |
Leases Schedule of Future Minim
Leases Schedule of Future Minimum Rental Payments for Operating Leases (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Remaining maturity of our existing lease liabilities as of June 30, 2019 is as follows: Operating Leases (1) 2019 $ 2,014 2020 4,106 2021 4,021 2022 3,819 2023 3,573 Thereafter 20,084 Total $ 37,617 Less: interest (10,839 ) Present value of lease liabilities $ 26,778 (1) Operating lease payments include $4,615 of payments related to options to extend lease terms that are reasonably expected to be exercised. |
Basis of Presentation (Details)
Basis of Presentation (Details) - USD ($) $ in Thousands | Jan. 01, 2019 | Jun. 30, 2019 | Dec. 31, 2018 |
ASC 842 Implementation [Abstract] | |||
Lease, Practical Expedients, Package [true false] | true | ||
Operating Lease, Liability | $ 24,792 | $ 26,778 | |
Separation of Lease and Nonlease Components [Policy Text Block] | We have also elected the practical expedient to not separate lease and non-lease components for the majority of our leases and the election to keep leases with an initial term of 12 months or less off of the balance sheet.The operating lease assets and liabilities are adjusted to include the impact of any lease incentives and non-lease components. We have elected not to separate lease and non-lease components, which include taxes and common area maintenance in some of our leases. | ||
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets | 0 | ||
Operating Lease, Right-of-Use Asset | $ 22,066 | $ 23,846 | $ 0 |
Revenue Recognition Contract _2
Revenue Recognition Contract Assets and Liabilities (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2019 | Dec. 31, 2018 | |
Contract Assets and Liabilities [Abstract] | |||
Contract with Customer, Liability, Revenue Recognized | $ 37 | $ 106 | |
Contract with Customer, Asset, Net, Current | 65 | 65 | $ 65 |
Contract with Customer, Asset, Net, Noncurrent | 1,501 | 1,501 | 999 |
Contract with Customer, Asset, Net | 1,566 | 1,566 | 1,064 |
Customer Contract Liability Discounts | (1,799) | (1,799) | (1,656) |
Customer Contract Liability Rights of Return | (464) | (464) | (325) |
Contract with Customer, Liability, Current | $ (2,263) | $ (2,263) | $ (1,981) |
Revenue Recognition Disaggreg_2
Revenue Recognition Disaggregated Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 120,684 | $ 118,021 | $ 238,308 | $ 231,551 |
Aerospace and Defense [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 6,988 | 6,024 | 14,511 | 11,127 |
Industrial [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 19,500 | 22,773 | 37,656 | 43,129 |
Medical [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 8,973 | 9,793 | 18,639 | 19,034 |
Telecommunications & IT [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 4,880 | 5,525 | 8,318 | 10,050 |
Transportation [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 80,343 | $ 73,906 | $ 159,184 | $ 148,211 |
Accounts Receivable - Component
Accounts Receivable - Components of Accounts Receivable (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Accounts Receivable | ||
Accounts receivable, gross | $ 85,002 | $ 79,902 |
Less: Allowance for doubtful accounts | (126) | (384) |
Accounts receivable, net | $ 84,876 | $ 79,518 |
Inventories - Summary of Invent
Inventories - Summary of Inventories (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Inventories | ||
Finished goods | $ 7,247 | $ 10,995 |
Work-in-process | 14,835 | 12,129 |
Raw materials | 26,197 | 25,746 |
Less: Inventory reserves | (5,125) | (5,384) |
Inventories, net | $ 43,154 | $ 43,486 |
Property, Plant and Equipment -
Property, Plant and Equipment - Summary of Property, Plant and Equipment (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Property, plant and equipment | |||
Less: Accumulated depreciation | $ (200,506) | $ (203,876) | |
Property, plant and equipment, net | 99,878 | 99,401 | |
Depreciation | 8,537 | $ 7,537 | |
Land | |||
Property, plant and equipment | |||
Property, plant and equipment gross | 1,136 | 1,136 | |
Buildings and improvements | |||
Property, plant and equipment | |||
Property, plant and equipment gross | 73,735 | 70,522 | |
Machinery and equipment | |||
Property, plant and equipment | |||
Property, plant and equipment gross | $ 225,513 | $ 231,619 |
Retirement Plans - Net Pension
Retirement Plans - Net Pension Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Pension Plans | ||||
Defined Benefit Plan Disclosure | ||||
Net pension expense | $ 249 | $ 78 | $ 499 | $ 157 |
Retirement Plans - Net Pensio_2
Retirement Plans - Net Pension Income Domestic and Foreign (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Pension Plans | ||||
Net pension expense (income) | ||||
(Income) expense, net | $ 249 | $ 78 | $ 499 | $ 157 |
Foreign Plan [Member] | ||||
Net pension expense (income) | ||||
Service cost | 9 | 11 | 18 | 22 |
Interest cost | 7 | 11 | 15 | 22 |
Defined Benefit Plan, Expected Return on Plan Assets, Net of Expenses | (4) | (6) | (9) | (13) |
Amortization of loss | 42 | 40 | 84 | 82 |
(Income) expense, net | 54 | 56 | 108 | 113 |
Domestic Plan [Member] | ||||
Net pension expense (income) | ||||
Service cost | 0 | 0 | ||
Interest cost | 1,931 | 1,781 | 3,862 | 3,562 |
Defined Benefit Plan, Expected Return on Plan Assets, Net of Expenses | (3,047) | (3,225) | (6,094) | (6,450) |
Amortization of loss | 1,311 | 1,466 | 2,623 | 2,932 |
(Income) expense, net | $ 195 | $ 22 | $ 391 | $ 44 |
Retirement Plans - Other Postre
Retirement Plans - Other Postretirement Benefit Plan (Details) - Other Postretirement Benefits Plan [Member] - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Defined Benefit Plan Disclosure | ||||
Service cost | $ 1 | $ 0 | $ 1 | $ 1 |
Interest cost | 43 | 39 | 85 | 78 |
Amortization of gain | (42) | (11) | (83) | (23) |
(Income) expense, net | $ 2 | $ 28 | $ 3 | $ 56 |
Other Intangible Assets - Summa
Other Intangible Assets - Summary of Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Other Intangible Assets | |||||
Gross Carrying Amount | $ 110,983 | $ 110,983 | $ 110,983 | ||
Accumulated Amortization | (54,178) | (54,178) | (50,803) | ||
Total amortization expense | 56,805 | 56,805 | 60,180 | ||
Amortization expense | 1,692 | $ 1,704 | 3,382 | $ 3,424 | |
Customer lists/relationships | |||||
Other Intangible Assets | |||||
Gross Carrying Amount | 64,323 | 64,323 | 64,323 | ||
Accumulated Amortization | (38,787) | (38,787) | (37,088) | ||
Total amortization expense | 25,536 | 25,536 | 27,235 | ||
Technology and other intangibles | |||||
Other Intangible Assets | |||||
Gross Carrying Amount | 44,460 | 44,460 | 44,460 | ||
Accumulated Amortization | (15,391) | (15,391) | (13,715) | ||
Total amortization expense | 29,069 | 29,069 | 30,745 | ||
In process research and development | |||||
Other Intangible Assets | |||||
Gross Carrying Amount | 2,200 | ||||
Total amortization expense | 2,200 | 2,200 | $ 2,200 | ||
Indefinite-lived Intangible Assets (Excluding Goodwill) | $ 2,200 | $ 2,200 |
Other Intangible Assets - Sum_2
Other Intangible Assets - Summary of Amortization Expense (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Finite-Lived Intangible Assets, Amortization Expense, Maturity Schedule | ||
2016 | $ 3,377 | |
2017 | 6,624 | |
2018 | 6,467 | |
2019 | 6,230 | |
2020 | 4,224 | |
Thereafter | 29,883 | |
Total amortization expense | $ 56,805 | $ 60,180 |
Costs Associated with Exit an_3
Costs Associated with Exit and Restructuring Activities - Summary (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Operating Earnings | April 2014 Plan and June 2016 Plan [Member] | ||||
Total restructuring, impairment and restructuring related charges | ||||
Restructuring and impairment charges | $ 911 | $ 1,172 | $ 2,995 | $ 2,367 |
Costs Associated with Exit an_4
Costs Associated with Exit and Restructuring Activities Costs Associated with Exit and Restructuring Activities - June 2016 Plan (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2019 | Dec. 31, 2018 | Jun. 03, 2016 | |
Restructuring Cost and Reserve [Line Items] | |||
Document Period End Date | Jun. 30, 2019 | ||
June 2016 Plan | |||
Restructuring Cost and Reserve [Line Items] | |||
Actual costs incurred | $ 9,952 | ||
Total restructuring, impairment and restructuring related charges | |||
Restructuring Reserve | 501 | $ 668 | |
June 2016 Plan | Operating Earnings | |||
Restructuring Cost and Reserve [Line Items] | |||
Planned Costs | $ 13,400 | ||
Actual costs incurred | 14,989 | ||
Equipment relocation | June 2016 Plan | |||
Restructuring Cost and Reserve [Line Items] | |||
Planned Costs | 9,025 | ||
Other charges | June 2016 Plan | |||
Restructuring Cost and Reserve [Line Items] | |||
Planned Costs | 1,300 | ||
Other charges | June 2016 Plan | Operating Earnings | |||
Restructuring Cost and Reserve [Line Items] | |||
Actual costs incurred | 1,875 | ||
Workforce reduction | June 2016 Plan | |||
Restructuring Cost and Reserve [Line Items] | |||
Planned Costs | $ 3,075 | ||
Workforce reduction | June 2016 Plan | Operating Earnings | |||
Restructuring Cost and Reserve [Line Items] | |||
Actual costs incurred | $ 3,162 |
Costs Associated with Exit an_5
Costs Associated with Exit and Restructuring Activities - April 2014 Plan (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | |
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Activities Disclosure [Text Block] | NOTE 8 – Costs Associated with Exit and Restructuring Activities Costs associated with exit and restructuring activities are recorded in the Condensed Consolidated Statement of Earnings as a separate component of Operating earnings. Total restructuring charges is as follows: Three Months Ended June 30, 2019 June 30, 2018 Restructuring charges $ 911 $ 1,172 Six Months Ended June 30, 2019 June 30, 2018 Restructuring charges $ 2,995 $ 2,367 In June 2016, we announced plans to restructure operations by phasing out production at our Elkhart facility and transitioning it into a research and development center supporting our global operations ("June 2016 Plan"). Additional organizational changes were also implemented in various other locations. During the third quarter of 2017, we revised the June 2016 Plan. The amendment added an additional $1,100 in planned costs related to the relocation of our corporate headquarters in Lisle, IL and our plant in Bolingbrook, IL, both of which have now been consolidated into a single facility. The total restructuring liability related to severance and other one-time benefit arrangements under the June 2016 Plan was $501 at June 30, 2019 , and $668 at December 31, 2018 . Additional costs related to production line movements, equipment charges, and other costs will be expensed as incurred. The following table displays the planned restructuring charges associated with the June 2016 Plan as well as a summary of the actual costs incurred through June 30, 2019 : Actual costs Planned incurred through June 2016 Plan Costs June 30, 2019 Workforce reduction $ 3,075 $ 3,162 Building and equipment relocation 9,025 9,952 Other charges 1,300 1,875 Total restructuring charges $ 13,400 $ 14,989 In April 2014, we announced plans to restructure our operations and consolidate our Canadian operations into other existing facilities as part of our overall plan to simplify our business model and rationalize our global footprint (“April 2014 Plan”). These restructuring actions were completed in 2015. The remaining restructuring liability related to the April 2014 Plan was $701 at June 30, 2019 , and $918 at December 31, 2018 . The following table displays the restructuring liability activity for all plans for the six months ended June 30, 2019 : Restructuring liability at January 1, 2019 $ 1,586 Restructuring charges 2,995 Cost paid (2,216 ) Other activity (1) (1,163 ) Restructuring liability at June 30, 2019 $ 1,202 (1) Other activity includes the effects of currency translation, non-cash asset write-downs and other charges that do not flow through restructuring expense. | |
April 2014 Plan | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Activities Disclosure [Text Block] | In April 2014, we announced plans to restructure our operations and consolidate our Canadian operations into other existing facilities as part of our overall plan to simplify our business model and rationalize our global footprint (“April 2014 Plan”). These restructuring actions were completed in 2015. The remaining restructuring liability related to the April 2014 Plan was $701 at June 30, 2019 , and $918 at December 31, 2018 . | |
Restructuring Reserve | $ 701 | $ 918 |
Costs Associated with Exit an_6
Costs Associated with Exit and Restructuring Activities - Restructuring Reserve Activity (Details) - April 2014 Plan and June 2016 Plan [Member] $ in Thousands | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Restructuring reserve activity | |
Restructuring liability at beginning | $ 1,586 |
Restructuring and restructuring-related charges | 2,995 |
Cost paid | (2,216) |
Restructuring liability at ending | 1,202 |
Restructuring Reserve, Translation and Other Adjustment | $ (1,163) |
Accrued Liabilities - Component
Accrued Liabilities - Components of Accrued Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Accrued Liabilities | |||
Accrued product related costs | $ 4,036 | $ 4,377 | |
Accrued income taxes | 6,315 | 6,914 | |
Accrued property and other taxes | 1,810 | 1,976 | |
Accrued professional fees | 2,474 | 3,350 | |
Contract with Customer, Liability | 2,263 | 1,981 | |
Dividends payable | 1,309 | 1,310 | |
Remediation reserves | 10,564 | 11,274 | $ 17,067 |
Other accrued liabilities | 4,625 | 6,165 | |
Total accrued liabilities | $ 33,396 | $ 37,347 |
Contingencies Remediation Liabi
Contingencies Remediation Liability (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Loss Contingencies [Line Items] | |||
Accrued Environmental Loss Contingencies, Current | $ 10,564 | $ 11,274 | $ 17,067 |
Accrual for Environmental Loss Contingencies, Charges to Expense for New Losses | 276 | 1,182 | |
Accrual for Environmental Loss Contingencies Payments, Net of Reimbursements | (979) | (6,967) | |
Accrual for Environmental Loss Contingencies, Foreign Currency Translation Gain (Loss) | $ (7) | $ (8) |
Debt - Long-Term Debt (Details)
Debt - Long-Term Debt (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | Feb. 12, 2019 | May 23, 2016 | |
Long-term debt | |||||||
Total credit facility | $ 300,000 | $ 300,000 | |||||
Amount available | 248,200 | 248,200 | $ 248,060 | ||||
Long-term Line of Credit, Noncurrent | 50,000 | 50,000 | 50,000 | ||||
Letters of Credit Outstanding, Amount | 1,800 | 1,800 | 1,940 | ||||
Amortization of Debt Issuance Costs | 41 | $ 46 | 77 | $ 93 | |||
Line of Credit | Revolving Credit Facility Due 2024 | |||||||
Long-term debt | |||||||
Total credit facility | $ 300,000 | $ 300,000 | $ 300,000 | ||||
Line of Credit Facility Contingent Increase to Maximum Borrowing Capacity | $ 150,000 | ||||||
Long-term Line of Credit, Noncurrent | $ 50,000 | $ 50,000 | |||||
Weighted-average interest rate | 3.54% | 3.54% | 3.10% | ||||
Commitment fee percentage per annum | 0.20% | 0.20% | |||||
Line of Credit | Revolving Credit Facility [Member] | |||||||
Long-term debt | |||||||
Long-term Line of Credit, Noncurrent | $ 50,000 |
Debt - Narratives (Details)
Debt - Narratives (Details) - USD ($) $ in Thousands | Feb. 12, 2019 | Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | May 23, 2016 |
Line of Credit Facility | |||||||
Line of credit maximum borrowing amount | $ 300,000 | $ 300,000 | |||||
Document Period End Date | Jun. 30, 2019 | ||||||
Debt amortization expense | 41 | $ 46 | $ 77 | $ 93 | |||
Long-term Line of Credit, Noncurrent | 50,000 | $ 50,000 | $ 50,000 | ||||
Line of Credit | Revolving Credit Facility Due 2024 | |||||||
Line of Credit Facility | |||||||
Debt instrument, term | 5 years | ||||||
Line of credit maximum borrowing amount | $ 300,000 | $ 300,000 | $ 300,000 | ||||
Line of credit facility contingent increase to maximum borrowing capacity | 150,000 | ||||||
Commitment fee percentage per annum | 0.20% | 0.20% | |||||
Long-term Line of Credit, Noncurrent | $ 50,000 | $ 50,000 | |||||
Line of Credit | Revolving Credit Facility Due 2024 Swingline Sublimit | |||||||
Line of Credit Facility | |||||||
Line of credit maximum borrowing amount | 15,000 | ||||||
Line of Credit | Revolving Credit Facility Due 2024 Letter Of Credit Sublimit | |||||||
Line of Credit Facility | |||||||
Line of credit maximum borrowing amount | $ 10,000 | ||||||
Minimum | Line of Credit | Revolving Credit Facility Due 2024 | |||||||
Line of Credit Facility | |||||||
Commitment fee percentage per annum | 0.20% | ||||||
Maximum | Line of Credit | Revolving Credit Facility Due 2024 | |||||||
Line of Credit Facility | |||||||
Commitment fee percentage per annum | 0.30% |
Derivative Financial Instrume_3
Derivative Financial Instruments - Narratives (Details) - USD ($) $ in Thousands | 6 Months Ended | ||||
Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Sep. 21, 2016 | |
Derivative | |||||
Unrealized Gain (Loss) on Foreign Currency Derivatives, Net, before Tax | $ 784 | $ 59 | |||
Foreign exchange derivative | |||||
Derivative | |||||
Derivative Asset | 718 | ||||
Derivative Liability | 0 | ||||
Cash Flow Hedge | Designated As Hedging | Foreign currency forward contracts | |||||
Derivative | |||||
Foreign currency cash flow hedge gain to be reclassified during next 12 months | 784 | ||||
Derivative, notional amount | 8,625 | ||||
Derivative Asset | 718 | ||||
Derivative Liability | $ 393 | $ (742) | |||
Cash Flow Hedge | Designated As Hedging | Interest rate swap | |||||
Derivative | |||||
Derivative, notional amount | $ 50,000 | ||||
Interest rate cash flow hedge gain (loss) to be reclassified during next 12 months | 235 | ||||
Derivative Asset | $ 252 | $ 945 | $ 971 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Fair Value of Derivative Instruments (Details) - Cash Flow Hedge - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Interest rate swap | Other Current Assets [Member] | |||
Derivative Liability | |||
Derivative Asset | $ 235 | $ 576 | |
Interest rate swap | Other Noncurrent Assets [Member] | |||
Derivative Liability | |||
Derivative Asset | 17 | 369 | |
Foreign currency hedges | Other Current Assets [Member] | |||
Derivative Liability | |||
Derivative Asset | 718 | 393 | |
Designated as Hedging Instrument [Member] | Interest rate swap | |||
Derivative Liability | |||
Derivative Asset | 252 | 945 | $ 971 |
Designated as Hedging Instrument [Member] | Foreign currency hedges | |||
Derivatives, Fair Value [Line Items] | |||
Foreign Currency Cash Flow Hedge Gain (Loss) to be Reclassified During Next 12 Months | 784 | ||
Derivative Liability | |||
Derivative Liability | $ 393 | $ (742) | |
Derivative Asset | $ 718 |
Derivative Financial Instrume_5
Derivative Financial Instruments - Income Statement (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Derivative, Gain (Loss) on Derivative, Net | ||||
Derivative, Gain (Loss) on Derivative, Net | $ 412 | $ 154 | $ 628 | $ 267 |
Foreign exchange derivative | Designated As Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 256 | 49 | 315 | 98 |
Derivative, Gain (Loss) on Derivative, Net | ||||
Derivative, Gain (Loss) on Derivative, Net | 256 | 49 | 315 | 97 |
Foreign exchange derivative | Net sales | Designated As Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 0 | 21 | ||
Derivative, Gain (Loss) on Derivative, Net | ||||
Derivative, Gain (Loss) on Derivative, Net | 0 | (37) | ||
Foreign exchange derivative | Cost of goods sold | Designated As Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 233 | 32 | ||
Derivative, Gain (Loss) on Derivative, Net | ||||
Derivative, Gain (Loss) on Derivative, Net | 276 | 140 | ||
Foreign exchange derivative | Selling, general and administrative expenses | Designated As Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 23 | (4) | ||
Derivative, Gain (Loss) on Derivative, Net | ||||
Derivative, Gain (Loss) on Derivative, Net | 39 | (5) | ||
Foreign exchange derivative | Other income and expenses | Designated As Hedging | ||||
Derivative, Gain (Loss) on Derivative, Net | ||||
Derivative, Gain (Loss) on Derivative, Net | 0 | (1) | ||
Derivative, Net Hedge Ineffectiveness Gain (Loss) | 0 | 0 | ||
Interest rate swap | Interest expense | Designated As Hedging | ||||
Derivative, Gain (Loss) on Derivative, Net | ||||
Derivative, Gain (Loss) on Derivative, Net | $ 156 | $ 105 | $ 313 | $ 170 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive (Loss) Income - Summary of Components of Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Foreign currency transaction loss | ||||
Foreign currency transaction gain (loss) | $ 829 | $ 2,194 | $ 355 | $ (918) |
AOCI Attributable to Parent, Net of Tax | ||||
Total accumulated other comprehensive (loss) income, beginning of period | (97,739) | |||
Total accumulated other comprehensive (loss) income, end of period | (95,903) | (95,903) | ||
Accumulated other comprehensive (loss) income | ||||
AOCI Attributable to Parent, Net of Tax | ||||
Total accumulated other comprehensive (loss) income, beginning of period | (96,548) | (76,803) | (97,739) | (78,960) |
Gain (Loss) recognized in OCI, Net | (62) | (189) | 274 | 950 |
Gain (Loss) reclassified from AOCI to income, Net | 707 | 1,130 | 1,562 | 2,148 |
Total accumulated other comprehensive (loss) income, end of period | (95,903) | (75,862) | (95,903) | (75,862) |
Changes in fair market value of hedges | ||||
Changes in AOCI, Gross | ||||
Gross, beginning of the period | 1,416 | 1,332 | 1,316 | 289 |
Other Comprehensive Income (Loss), before Reclassifications, before Tax | 32 | 240 | 348 | 1,397 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | (412) | (154) | (628) | (268) |
Gross, ending balance | 1,036 | 1,418 | 1,036 | 1,418 |
Changes in AOCI, Income tax (benefit) | ||||
Income tax (benefit), beginning of period | (320) | (341) | (298) | (105) |
Income tax (benefit), Gain (Loss) recognized in OCI | (7) | (54) | (78) | (315) |
Income tax (benefit), Gain (Loss) reclassified from AOCI to income | 93 | 35 | 142 | 60 |
Income tax (benefit), ending of period | (234) | (360) | (234) | (360) |
AOCI Attributable to Parent, Net of Tax | ||||
Total accumulated other comprehensive (loss) income, beginning of period | 1,096 | 991 | 1,018 | 184 |
Gain (Loss) recognized in OCI, Net | 25 | 186 | 270 | 1,082 |
Gain (Loss) reclassified from AOCI to income, Net | (319) | (119) | (486) | (208) |
Total accumulated other comprehensive (loss) income, end of period | 802 | 1,058 | 802 | 1,058 |
Changes in unrealized pension cost | ||||
Changes in AOCI, Gross | ||||
Gross, beginning of the period | (131,135) | (128,672) | (132,454) | (130,096) |
Other Comprehensive Income (Loss), before Reclassifications, before Tax | 0 | 0 | 0 | 0 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 1,325 | 1,617 | 2,644 | 3,041 |
Gross, ending balance | (129,810) | (127,055) | (129,810) | (127,055) |
Changes in AOCI, Income tax (benefit) | ||||
Income tax (benefit), beginning of period | 35,596 | 52,520 | 35,893 | 52,837 |
Income tax (benefit), Gain (Loss) recognized in OCI | 0 | 0 | 0 | 0 |
Income tax (benefit), Gain (Loss) reclassified from AOCI to income | (299) | (368) | (596) | (685) |
Income tax (benefit), ending of period | 35,297 | 52,152 | 35,297 | 52,152 |
AOCI Attributable to Parent, Net of Tax | ||||
Total accumulated other comprehensive (loss) income, beginning of period | (95,539) | (76,152) | (96,561) | (77,259) |
Gain (Loss) recognized in OCI, Net | 0 | 0 | 0 | 0 |
Gain (Loss) reclassified from AOCI to income, Net | 1,026 | 1,249 | 2,048 | 2,356 |
Total accumulated other comprehensive (loss) income, end of period | (94,513) | (74,903) | (94,513) | (74,903) |
Cumulative translation adjustment | ||||
Changes in AOCI, Gross | ||||
Gross, beginning of the period | (2,203) | (1,747) | (2,291) | (1,985) |
Other Comprehensive Income (Loss), before Reclassifications, before Tax | (84) | (368) | 4 | (130) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 0 | 0 | 0 | 0 |
Gross, ending balance | (2,287) | (2,115) | (2,287) | (2,115) |
Changes in AOCI, Income tax (benefit) | ||||
Income tax (benefit), beginning of period | 98 | 105 | 95 | 100 |
Income tax (benefit), Gain (Loss) recognized in OCI | (3) | (7) | 0 | (2) |
Income tax (benefit), Gain (Loss) reclassified from AOCI to income | 0 | 0 | 0 | 0 |
Income tax (benefit), ending of period | 95 | 98 | 95 | 98 |
AOCI Attributable to Parent, Net of Tax | ||||
Total accumulated other comprehensive (loss) income, beginning of period | (2,105) | (1,642) | (2,196) | (1,885) |
Gain (Loss) recognized in OCI, Net | (87) | (375) | 4 | (132) |
Gain (Loss) reclassified from AOCI to income, Net | 0 | 0 | 0 | 0 |
Total accumulated other comprehensive (loss) income, end of period | $ (2,192) | $ (2,017) | $ (2,192) | $ (2,017) |
Shareholders' Equity - Summary
Shareholders' Equity - Summary of Share Count and Par Value Data Related to Shareholders' Equity (Details) - $ / shares | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | |
Preferred Stock | ||||||
Preferred stock, par value per share | $ 0 | $ 0 | $ 0 | |||
Preferred stock, shares authorized | 25,000,000 | 25,000,000 | 25,000,000 | |||
Preferred stock, shares outstanding | 0 | 0 | 0 | |||
Common Stock | ||||||
Common stock, par value per share | $ 0 | $ 0 | $ 0 | |||
Common stock, shares authorized | 75,000,000 | 75,000,000 | 75,000,000 | |||
Common stock, shares issued | 56,923,369 | 56,923,369 | 56,786,849 | |||
Common stock, shares outstanding | 32,707,281 | 33,087,043 | 32,707,281 | 33,087,043 | 32,750,727 | 32,938,466 |
Treasury stock | ||||||
Treasury stock, shares held | 24,216,088 | 24,216,088 | 24,036,122 | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0 | 0 | 108,894 | 72,658 |
Shareholders' Equity - Addition
Shareholders' Equity - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Feb. 07, 2019 | |
Stockholders' Equity Note [Abstract] | |||||
Treasury Shares Authorized to be Purchased | $ 25,000 | ||||
Common stock repurchased, shares | 179,966 | 0 | |||
Common stock repurchased, value | $ 5,002 | ||||
Shares are available for future issuances | $ 20,565 | $ 20,565 | |||
Antidilutive securities excluded from computation of earnings per share (shares) | 0 | 0 | 108,894 | 72,658 |
Shareholders' Equity - Summar_2
Shareholders' Equity - Summary of Common Shares Outstanding (Details) - shares | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Roll forward of common shares outstanding | ||
Balance at the beginning of the year | 32,750,727 | 32,938,466 |
Restricted share issuances | 136,520 | 148,577 |
Balance at the end of the period | 32,707,281 | 33,087,043 |
Equity-Based Compensation - Sum
Equity-Based Compensation - Summary of Equity-Based Compensation Expense (Details) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019USD ($)plan$ / sharesshares | Jun. 30, 2018USD ($) | Jun. 30, 2019USD ($)plan$ / sharesshares | Jun. 30, 2018USD ($) | Dec. 31, 2018$ / sharesshares | |
Share-based Compensation | |||||
Number of Equity-Based Compensation Plans | plan | 5 | 5 | |||
Restricted stock units | $ 2,793 | $ 2,186 | |||
Allocated Share-based Compensation Expense, Net of Tax | $ 1,222 | $ 978 | 2,162 | 1,692 | |
Service-Based RSUs | |||||
Share-based Compensation | |||||
Restricted stock units | 488 | 563 | 1,094 | 1,018 | |
Performance-Based RSUs | |||||
Share-based Compensation | |||||
Restricted stock units | $ 1,038 | 643 | $ 1,586 | 1,153 | |
Cash Settled Awards | |||||
Share-based Compensation | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number | shares | 17,468 | 17,468 | 17,248 | ||
Restricted stock units | $ 53 | $ 113 | 15 | ||
Restricted Stock Expense (Benefit) | 57 | ||||
RSUs | |||||
Share-based Compensation | |||||
Restricted stock units | 1,579 | 1,263 | 2,793 | 2,186 | |
Income tax benefit | $ 357 | $ 285 | $ 631 | $ 494 | |
Officers, key employees, and non-employee directors | Service-Based RSUs | |||||
Share-based Compensation | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Forfeitures | shares | 15,918 | ||||
Releasable - weighted average fair value | $ / shares | $ 13.79 | $ 13.79 | |||
Granted - shares | shares | 72,591 | ||||
Forfeited - weighted average fair value | $ / shares | $ 26.95 | ||||
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Released Number | shares | 65,623 | ||||
Granted - weighted average fair value | $ / shares | $ 28.79 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ / shares | $ 19.39 | 19.39 | $ 17.91 | ||
Converted - weighted average fair value | $ / shares | $ 19.91 | ||||
Releasable - shares | shares | 207,140 | 207,140 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number | shares | 346,640 | 346,640 | 355,590 |
Equity-Based Compensation - S_2
Equity-Based Compensation - Summary of Equity-Based Compensation Expense related to Non-Vested RSUs (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2019USD ($)shares | |
Service-Based RSUs | |
Share-based Compensation | |
Unrecognized compensation cost | $ 2,168 |
Weighted average period | 1 year 5 months 9 days |
Performance-Based RSUs | |
Share-based Compensation | |
Unrecognized compensation cost | $ 4,039 |
Weighted average period | 1 year 8 months 67 days |
RSUs | |
Share-based Compensation | |
Unrecognized compensation cost | $ 6,207 |
Weighted average period | 1 year 7 months 45 days |
Two Thousand Fourteen Plan [Member] | |
Share-based Compensation | |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | shares | 0 |
Equity-Based Compensation - S_3
Equity-Based Compensation - Summary of Status of Equity-Based Compensation Plans (Details) - USD ($) $ / shares in Units, $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | |
Summary of Status of Equity-Based Compensation Plans | ||
Other accrued liabilities | $ 4,625 | $ 6,165 |
2018 Plan | ||
Summary of Status of Equity-Based Compensation Plans | ||
Awards originally available | 2,500,000 | |
Shares outstanding | 243,943 | |
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Released Number | 0 | |
Awards available for grant | 2,256,057 | |
2014 Plan | ||
Summary of Status of Equity-Based Compensation Plans | ||
Awards originally available | 1,500,000 | |
Awards available for grant | 0 | |
2009 Plan | ||
Summary of Status of Equity-Based Compensation Plans | ||
Awards originally available | 3,400,000 | |
2004 Plan | ||
Summary of Status of Equity-Based Compensation Plans | ||
Awards originally available | 6,500,000 | |
RSUs | 2014 Plan | ||
Summary of Status of Equity-Based Compensation Plans | ||
Shares outstanding | 419,793 | |
RSUs | 2009 Plan | ||
Summary of Status of Equity-Based Compensation Plans | ||
Shares outstanding | 92,600 | |
RSUs | 2004 Plan | ||
Summary of Status of Equity-Based Compensation Plans | ||
Shares outstanding | 35,952 | |
RSUs | Directors' Plan | ||
Summary of Status of Equity-Based Compensation Plans | ||
Shares outstanding | 5,522 | |
Performance-Based Stock Options | 2018 Plan | ||
Summary of Status of Equity-Based Compensation Plans | ||
Stock options outstanding | 0 | |
Performance-Based Stock Options | 2014 Plan | ||
Summary of Status of Equity-Based Compensation Plans | ||
Awards originally available | 350,000 | |
Shares outstanding | 250,000 | |
Stock options outstanding | 250,000 | |
Cash Settled Awards | ||
Summary of Status of Equity-Based Compensation Plans | ||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number | 17,468 | 17,248 |
Other accrued liabilities | $ 211 | $ 300 |
Officers, key employees, and non-employee directors | Service-Based RSUs | ||
Share-based Compensation | ||
Releasable - weighted average fair value | $ 13.79 | |
Summary of Status of Equity-Based Compensation Plans | ||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number | 346,640 | 355,590 |
Equity-Based Compensation - Per
Equity-Based Compensation - Performance-Based Stock Options (Details) - USD ($) | May 26, 2015 | Jun. 30, 2019 |
Performance and Market-based Restricted Stock Units | ||
Share-based Compensation | ||
Attained by performance - weighted average fair value | $ 13.54 | |
2014 Plan | ||
Share-based Compensation | ||
Awards granted (in shares) | 1,500,000 | |
2014 Plan | Performance-Based Stock Options | ||
Share-based Compensation | ||
Awards granted (in shares) | 350,000 | |
Grant date fair value (in dollars per share) | $ 18.37 | |
Option term (in years) | 5 years | |
Revenue threshold for award | $ 600,000 |
Equity-Based Compensation - S_4
Equity-Based Compensation - Summary of Service-Based Restricted Stock Units (Details) - Officers, key employees, and non-employee directors - Service-Based RSUs | 6 Months Ended |
Jun. 30, 2019$ / sharesshares | |
Units | |
Outstanding at beginning of year - shares | shares | 355,590 |
Granted - shares | shares | 72,591 |
Released - shares | shares | (65,623) |
Forfeited - shares | shares | (15,918) |
Outstanding at end of year - shares | shares | 346,640 |
Releasable - shares | shares | 207,140 |
Weighted Average Grant Date Fair Value | |
Beginning of year - weighted average fair value | $ / shares | $ 17.91 |
Granted - weighted average fair value | $ / shares | 28.79 |
Converted - weighted average fair value | $ / shares | 19.91 |
Forfeited - weighted average fair value | $ / shares | 26.95 |
End of year - weighted average fair value | $ / shares | 19.39 |
Releasable - weighted average fair value | $ / shares | $ 13.79 |
Equity-Based Compensation - Sch
Equity-Based Compensation - Schedule of Performance-Based RSUs (Details) - shares | Jun. 30, 2019 | Feb. 07, 2019 | Feb. 16, 2018 | Feb. 08, 2018 | Feb. 09, 2017 |
Performance and Market-based Restricted Stock Units | |||||
Share-based Compensation | |||||
Maximum potential units outstanding at June 30, 2016 - shares | 0 | ||||
Performance-Based RSUs | |||||
Share-based Compensation | |||||
Target Units Outstanding | 65,642 | 31,820 | 34,478 | 71,188 | |
Shared Based Compensation Maximum Potential Awards | 131,285 | 63,640 | 68,956 | 142,376 | |
Performance Shares [Member] | |||||
Share-based Compensation | |||||
Target Units Outstanding | 13,556 | ||||
Shared Based Compensation Maximum Potential Awards | 13,556 |
Equity-Based Compensation Equit
Equity-Based Compensation Equity-Based Compensation - Performance and Market Based RSUs (Details) - $ / shares | 6 Months Ended | |
Jun. 30, 2019 | Feb. 07, 2019 | |
Performance Goal [Member] | ||
Units | ||
Target Units Outstanding | 6,945 | |
Shared Based Compensation Maximum Potential Awards | 13,890 | |
Performance and Market-based Restricted Stock Units | ||
Units | ||
Outstanding at beginning of year - shares | 267,792 | |
Granted - shares | 82,103 | |
Attained by performance - shares | 60,779 | |
Vested and released - shares | (160,889) | |
Forfeited - shares | (26,156) | |
Outstanding at end of year - shares | 223,629 | |
Maximum potential units outstanding at June 30, 2016 - shares | 0 | |
Weighted Average Grant Date Fair Value | ||
Beginning of year - weighted average fair value | $ 21.44 | |
Granted - weighted average fair value | 30.98 | |
Attained by performance - weighted average fair value | 13.54 | |
Vested and released - weighted average fair value | 14.34 | |
Forfeited - weighted average fair value | 23.81 | |
End of year - weighted average fair value | 27.70 | |
Maximum potential units outstanding at June 30, 2016 - weighted average fair value | $ 0 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Financial Liability Measured at Fair Value on a Recurring Basis (Details) - Designated As Hedging - Cash Flow Hedge - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Interest rate swap | |||
Recurring financial liability that was measured at carrying value | |||
Realized gain (loss) on cash flow hedge | $ 313 | $ (421) | |
Derivative Asset | 252 | 945 | $ 971 |
Foreign currency hedges | |||
Recurring financial liability that was measured at carrying value | |||
Derivative liability | (393) | $ 742 | |
Realized gain (loss) on cash flow hedge | 315 | 484 | |
Derivative Asset | 718 | ||
Recurring | Significant Other Observable Inputs (Level 2) | Interest rate swap | |||
Recurring financial liability that was measured at carrying value | |||
Derivative liability | (252) | (945) | |
Recurring | Significant Other Observable Inputs (Level 2) | Foreign currency hedges | |||
Recurring financial liability that was measured at carrying value | |||
Derivative liability | (393) | ||
Derivative Asset | 718 | ||
Recurring | Carrying Value | Interest rate swap | |||
Recurring financial liability that was measured at carrying value | |||
Derivative liability | (252) | (945) | |
Recurring | Carrying Value | Foreign currency hedges | |||
Recurring financial liability that was measured at carrying value | |||
Derivative liability | $ (393) | ||
Derivative Asset | $ 718 |
Fair Value Measurements - Recon
Fair Value Measurements - Reconciliation of Recurring Financial Liability Related to Interest Rate Swaps (Details) - Designated As Hedging - Cash Flow Hedge - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2019 | Dec. 31, 2018 | |
Interest rate swap | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative, Cost of Hedge Net of Cash Received | $ (313) | $ 421 |
Reconciliation of the recurring financial derivatives | ||
Beginning balance, derivative asset | 945 | 971 |
Total gains/(losses) for the period: | ||
Included in earnings | 313 | (421) |
Included in other comprehensive income | (693) | (26) |
Ending balance, derivative asset | 252 | 945 |
Foreign currency hedges | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative, Cost of Hedge Net of Cash Received | (403) | (402) |
Reconciliation of the recurring financial derivatives | ||
Beginning balance, derivative liability | (393) | 742 |
Total gains/(losses) for the period: | ||
Included in earnings | 315 | 484 |
Included in other comprehensive income | 413 | 1,053 |
Ending balance, derivative liability | $ (393) | |
Ending balance, derivative asset | $ 718 |
Income Taxes - Schedule of Effe
Income Taxes - Schedule of Effective Income Tax Rate (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | ||||
Effective income tax rate | 25.10% | 37.70% | 22.70% | 30.20% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Taxes [Line Items] | ||||
Document Period End Date | Jun. 30, 2019 | |||
Reconciliation of effective income taxes rate | ||||
Effective income tax rate | 25.10% | 37.70% | 22.70% | 30.20% |
Leases Lease Cost (Details)
Leases Lease Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019 | Jun. 30, 2019 | |
Leases [Abstract] | ||
Operating Lease, Expense | $ 1,075 | $ 2,069 |
Short-term Lease Payments | 176 | 249 |
Operating Leases, Rent Expense, Net | $ 1,251 | $ 2,318 |
Leases Schedule of Future Min_2
Leases Schedule of Future Minimum Rental Payments for Operating Leases (Details) $ in Thousands | Jun. 30, 2019USD ($) |
Leases [Abstract] | |
Lessee, Operating Lease Payment on Extension Option | $ 4,615 |
Lessee, Operating Lease, Liability, Payments, Due Next Twelve Months | 2,014 |
Lessee, Operating Lease, Liability, Payments, Due Year Two | 4,106 |
Lessee, Operating Lease, Liability, Payments, Due Year Three | 4,021 |
Lessee, Operating Lease, Liability, Payments, Due Year Four | 3,819 |
Lessee, Operating Lease, Liability, Payments, Due Year Five | 3,573 |
Lessee, Operating Lease, Liability, Payments, Due after Year Five | 20,084 |
Lessee, Operating Lease, Liability, Payments, Due | 37,617 |
Lessee, Operating Lease, Discount Value | $ (10,839) |
Leases Operating Lease Disclosu
Leases Operating Lease Disclosure (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | |
Leases [Abstract] | |||
Operating Lease, Weighted Average Remaining Lease Term | 9 years 8 months 15 days | ||
Operating Lease, Liability, Current | $ 2,076 | $ 0 | |
Operating Lease, Liability, Noncurrent | 24,702 | $ 0 | |
Operating Lease, Liability | $ 26,778 | $ 24,792 | |
Operating Lease, Weighted Average Discount Rate, Percent | 6.91% | ||
Operating Lease, Payments, Use | $ 1,862 | ||
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | $ 2,961 | ||
Lessee, Operating Lease, Existence of Option to Extend [true false] | true | ||
Lessee, Operating Lease, Existence of Option to Terminate [true false] | true |
Business Combinations - Narrati
Business Combinations - Narratives (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Business Acquisition | ||||
Cost of goods sold | $ 79,480 | $ 76,208 | $ 156,490 | $ 151,305 |
Business Combinations - Acquisi
Business Combinations - Acquisition (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Business Acquisition | ||
Goodwill | $ 71,057 | $ 71,057 |