Document and Entity Information
Document and Entity Information Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 26, 2024 | Jun. 30, 2023 | |
Document and Entity Information [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Entity File Number | 001-35419 | ||
Entity Registrant Name | KAMAN CORPORATION | ||
Entity Incorporation, State or Country Code | CT | ||
Entity Tax Identification Number | 06-0613548 | ||
Entity Address, Address Line One | 1332 Blue Hills Avenue, | ||
Entity Address, City or Town | Bloomfield, | ||
Entity Address, State or Province | CT | ||
Entity Address, Postal Zip Code | 06002 | ||
City Area Code | (860) | ||
Local Phone Number | 243-7100 | ||
Title of 12(b) Security | Common Stock ($1 par value) | ||
Trading Symbol | KAMN | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 674,099,089 | ||
Entity Common Stock, Shares Outstanding | 28,319,136 | ||
Entity Central Index Key | 0000054381 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Document Transition Report | false | ||
Auditor Firm ID | 238 | ||
Auditor Location | Hartford, Connecticut | ||
Auditor Name | PricewaterhouseCoopers LLP | ||
Document Financial Statement Error Correction [Flag] | true | ||
Document Financial Statement Restatement Recovery Analysis [Flag] | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 35,183 | $ 24,154 |
Accounts receivable, net | 96,882 | 87,659 |
Contract with Customer, Asset, Net, Current | 94,091 | 113,182 |
Inventories | 207,607 | 172,383 |
Income tax refunds receivable | 1,276 | 14,843 |
Other current assets | 17,400 | 16,114 |
Total current assets | 452,439 | 428,335 |
Accumulated depreciation | 290,279 | 268,089 |
Property, plant and equipment, net of accumulated depreciation of $290,279 and $268,089, respectively | 205,210 | 201,606 |
Operating Lease, Right-of-Use Asset | 7,774 | 7,391 |
Goodwill | 383,997 | 379,854 |
Other intangible assets, net | 347,424 | 372,331 |
Deferred Tax Assets, Net | 46,917 | 47,385 |
Other assets | 54,894 | 51,207 |
Total assets | 1,498,655 | 1,488,109 |
Long-term Debt, Current Maturities | 199,128 | 0 |
Current liabilities: | ||
Accounts payable – trade | 51,862 | 48,277 |
Accrued salaries and wages | 37,005 | 31,395 |
Contract with Customer, Liability, Current | 12,284 | 4,081 |
Operating Lease, Liability, Current | 3,492 | 3,332 |
Income taxes payable | 707 | 393 |
Other current liabilities | 38,322 | 39,097 |
Total current liabilities | 342,800 | 126,575 |
Long-term debt, excluding current portion, net of debt issuance costs | 358,000 | 561,061 |
Deferred Income Tax Liabilities, Net | 8,082 | 6,079 |
Underfunded pension | 42,268 | 52,309 |
Contract with Customer, Liability, Noncurrent | 19,787 | 20,515 |
Operating Lease, Liability, Noncurrent | 4,646 | 4,534 |
Other long-term liabilities | 31,305 | 36,280 |
Commitments and contingencies (Note 19) | ||
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Preferred stock, shares authorized (in shares) | 200,000 | 200,000 |
Preferred stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares issued (in shares) | 30,954,296 | 30,640,068 |
Common stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Shareholders’ equity: | ||
Preferred stock, $1 par value, 200,000 shares authorized; none outstanding | $ 0 | $ 0 |
Common stock, $1 par value, 50,000,000 shares authorized; voting; 30,954,296 and 30,640,068 shares issued, respectively | 30,954 | 30,640 |
Additional paid-in capital | 254,727 | 245,436 |
Retained earnings | 670,607 | 685,234 |
Accumulated other comprehensive income (loss) | $ (141,584) | $ (158,421) |
Shares of common stock held in treasury at cost (in shares) | 2,663,532 | 2,607,841 |
Less 2,663,532 and 2,607,841 shares of common stock, respectively, held in treasury, at cost | $ (122,937) | $ (122,133) |
Total shareholders’ equity | 691,767 | 680,756 |
Total liabilities and shareholders’ equity | $ 1,498,655 | $ 1,488,109 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Accumulated depreciation | $ 290,279 | $ 268,089 |
Stockholders' Equity, Number of Shares, Par Value and Other Disclosures [Abstract] | ||
Preferred stock, par value (in dollars per share) | $ 1 | $ 1 |
Preferred stock, shares authorized (in shares) | 200,000 | 200,000 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares issued (in shares) | 30,954,296 | 30,640,068 |
Shares of common stock held in treasury at cost (in shares) | 2,663,532 | 2,607,841 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Statement [Abstract] | |||
Revenues | $ 775,854 | $ 687,961 | $ 708,993 |
Cost of Goods and Services Sold | 504,646 | 467,445 | 472,382 |
Program inventory impairment | 1,064 | 44,542 | 0 |
Gross profit | 270,144 | 175,974 | 236,611 |
Selling, general and administrative expenses | 170,910 | 166,447 | 152,474 |
Goodwill and Intangible Asset Impairment | 0 | 25,306 | 0 |
Program contract costs impairment | 0 | 9,135 | 0 |
Research and development costs | 20,704 | 19,552 | 16,072 |
Intangible assets amortization expense | 25,509 | 15,331 | 10,468 |
Costs of Transition Services Agreement | 0 | 0 | 1,728 |
Restructuring and severance costs (Note 6) | 3,392 | 9,842 | 6,154 |
Gain (Loss) on Disposition of Business | 0 | (457) | 234 |
Net loss (gain) on disposition of assets | 526 | 136 | (8) |
Operating income (loss) | 49,103 | (69,318) | 49,489 |
Interest expense, net | 39,997 | 16,874 | 16,290 |
Net Periodic Defined Benefits Expense (Reversal of Expense), Excluding Service Cost Component | (1,240) | (20,574) | (26,229) |
Income from transition services agreement | 0 | 0 | (931) |
Other (income) expense, net | (339) | 315 | (142) |
Earnings (loss) before income taxes | 10,685 | (65,933) | 60,501 |
Income tax expense (benefit) | 2,738 | (17,360) | 16,831 |
Net earnings | 7,947 | (48,573) | 43,670 |
Net earnings | $ 7,947 | $ (48,573) | $ 43,670 |
Earnings per share: | |||
Income (Loss) from Continuing Operations, Per Basic Share | $ 0.28 | $ (1.73) | $ 1.57 |
Earnings Per Share, Basic (in dollars per share) | 0.28 | (1.73) | 1.57 |
Income (Loss) from Continuing Operations, Per Diluted Share | 0.28 | (1.73) | 1.57 |
Diluted earnings per share (in dollars per share) | $ 0.28 | $ (1.73) | $ 1.57 |
Basic: | |||
Basic (in shares) | 28,208 | 28,011 | 27,865 |
Diluted(1): | |||
Diluted (in shares) | 28,343 | 28,011 | 27,891 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Supplemental Income Statement Elements [Abstract] | |||
Net earnings (loss) | $ 7,947 | $ (48,573) | $ 43,670 |
Other comprehensive income (loss), net of tax: | |||
Foreign currency translation adjustments and other | 5,415 | (10,836) | 9,489 |
Pension plan adjustments, net of tax expense (benefit) of $3,243, $(10,890), and $2,949, respectively | 10,922 | (36,193) | 9,947 |
Other comprehensive income (loss) | 16,837 | (47,036) | 19,436 |
Total comprehensive income (loss) | 24,784 | (95,609) | 63,106 |
Pension plan adjustments, net of tax expense (benefit) | 3,243 | (10,890) | 2,949 |
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, Tax | 149 | 0 | 0 |
Other Comprehensive Income, Other, Net of Tax | $ 500 | $ (7) | $ 0 |
Consolidated Statement of Share
Consolidated Statement of Shareholders' Equity - USD ($) | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock, Common |
Beginning Balance (in shares) at Dec. 31, 2020 | 30,278,668 | |||||
Beginning Balance at Dec. 31, 2020 | $ 745,568,000 | $ 30,279,000 | $ 238,829,000 | $ 727,894,000 | $ (130,821,000) | $ (120,613,000) |
Beginning Balance (in shares) at Dec. 31, 2020 | 2,555,785 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings (loss) | 43,670,000 | 0 | 0 | 43,670,000 | 0 | $ 0 |
Income Tax Effects Allocated Directly to Equity, Cumulative Effect of Change in Accounting Principle | (274,000) | 0 | 0 | (274,000) | 0 | 0 |
Other comprehensive income | $ 19,436,000 | 0 | 0 | 0 | 19,436,000 | 0 |
Common Stock, Dividends, Per Share, Declared | $ 0.80 | |||||
Dividends (per share of common stock, $0.80) | $ (22,269,000) | $ 0 | $ 0 | $ (22,269,000) | $ 0 | $ 0 |
Purchase of treasury shares (in shares) | 0 | 0 | 0 | 0 | 12,992 | |
Purchase of treasury shares | (618,000) | $ 0 | $ (618,000) | |||
Employee stock plans (in shares) | 71,945 | |||||
Employee stock plans | 2,705,000 | $ 72,000 | $ 2,716,000 | $ 0 | $ 0 | |
Employee stock plans (in shares) | 1,416 | |||||
Employee stock plans | $ (83,000) | |||||
Share-based compensation expense (in shares) | 83,656 | |||||
Share-based compensation expense | 6,687,000 | $ 83,000 | 6,608,000 | 0 | 0 | |
Share-based compensation expense (in shares) | 3,703 | |||||
Share-based compensation expense | $ (4,000) | |||||
Ending Balance (in shares) at Dec. 31, 2021 | 30,434,269 | |||||
Ending Balance at Dec. 31, 2021 | 795,453,000 | $ 30,434,000 | 248,153,000 | 749,569,000 | (111,385,000) | $ (121,318,000) |
Ending Balance (in shares) at Dec. 31, 2021 | 2,573,896 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings (loss) | (48,573,000) | 0 | 0 | (48,573,000) | 0 | $ 0 |
Other comprehensive income | $ (47,036,000) | 0 | 0 | 0 | (47,036,000) | 0 |
Common Stock, Dividends, Per Share, Declared | $ 0.80 | |||||
Dividends (per share of common stock, $0.80) | $ (22,397,000) | 0 | 0 | (22,397,000) | 0 | 0 |
Impact of change in debt accounting standard | (5,854,000) | $ 0 | (12,489,000) | 6,635,000 | 0 | $ 0 |
Purchase of treasury shares (in shares) | 0 | 19,651 | ||||
Purchase of treasury shares | (801,000) | $ 0 | 0 | 0 | 0 | $ (801,000) |
Employee stock plans (in shares) | 71,795 | |||||
Employee stock plans | 2,143,000 | $ 72,000 | 2,071,000 | 0 | 0 | |
Employee stock plans (in shares) | 0 | |||||
Employee stock plans | $ 0 | |||||
Share-based compensation expense (in shares) | 134,004 | |||||
Share-based compensation expense | 7,821,000 | $ 134,000 | 7,701,000 | 0 | 0 | |
Share-based compensation expense (in shares) | 14,294 | |||||
Share-based compensation expense | $ (14,000) | |||||
Ending Balance (in shares) at Dec. 31, 2022 | 30,640,068 | |||||
Ending Balance at Dec. 31, 2022 | $ 680,756,000 | $ 30,640,000 | 245,436,000 | 685,234,000 | (158,421,000) | $ (122,133,000) |
Ending Balance (in shares) at Dec. 31, 2022 | 2,607,841 | 2,607,841 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net earnings (loss) | $ 7,947,000 | 0 | 0 | 0 | $ 0 | |
Other comprehensive income | $ 16,837,000 | 0 | 0 | 0 | 16,837,000 | 0 |
Common Stock, Dividends, Per Share, Declared | $ 0.80 | |||||
Dividends (per share of common stock, $0.80) | $ (22,574,000) | $ 0 | 0 | (22,574,000) | 0 | $ 0 |
Purchase of treasury shares (in shares) | 0 | 33,306 | ||||
Purchase of treasury shares | (782,000) | $ 0 | 0 | 0 | 0 | $ (782,000) |
Employee stock plans (in shares) | 100,697 | |||||
Employee stock plans | 1,902,000 | $ 101,000 | 1,801,000 | 0 | 0 | |
Employee stock plans (in shares) | 0 | |||||
Employee stock plans | $ 0 | |||||
Share-based compensation expense (in shares) | 213,531 | |||||
Share-based compensation expense | 7,681,000 | $ 213,000 | 7,490,000 | 0 | 0 | |
Share-based compensation expense (in shares) | 22,385 | |||||
Share-based compensation expense | $ (22,000) | |||||
Ending Balance (in shares) at Dec. 31, 2023 | 30,954,296 | |||||
Ending Balance at Dec. 31, 2023 | $ 691,767,000 | $ 30,954,000 | $ 254,727,000 | $ 670,607,000 | $ (141,584,000) | $ (122,937,000) |
Ending Balance (in shares) at Dec. 31, 2023 | 2,663,532 | 2,663,532 |
Consolidated Statement of Sha_2
Consolidated Statement of Shareholders' Equity (Parentheticals) - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Dividends Declared [Abstract] | |||
Common Stock, Dividends, Per Share, Declared | $ 0.80 | $ 0.80 | $ 0.80 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Cash Flows [Abstract] | |||
Cash, Including Discontinued Operations | $ 24,154 | $ 140,800 | |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | $ 35,183 | 24,154 | |
Net earnings (loss) | 7,947 | (48,573) | 43,670 |
Cash flows from operating activities: | |||
Net earnings (loss) | 7,947 | (48,573) | 43,670 |
Adjustments to reconcile earnings (loss), net of tax to net cash provided by operating activities: | |||
Depreciation and amortization | 50,038 | 40,712 | 36,654 |
Amortization of debt issuance costs | 3,654 | 2,750 | 1,836 |
Accretion of convertible notes discount | 0 | 0 | 2,957 |
Provision for doubtful accounts | 1,998 | 1,301 | 575 |
Gain (Loss) on Disposition of Business, Non Cash | 0 | (457) | 234 |
Net loss (gain) on disposition of assets | 526 | 136 | (8) |
Goodwill and Intangible Asset Impairment | 0 | 25,306 | 0 |
Program inventory impairment | 1,064 | 44,542 | 0 |
Program contract costs impairment | 0 | 9,135 | 0 |
Net loss on derivative instruments | 97 | 1,175 | 1,025 |
Stock compensation expense | 7,681 | 7,821 | 6,687 |
Noncash Consideration on Sale of Aircraft | (1,309) | (827) | 0 |
Deferred income taxes | (1,123) | (19,054) | 20,998 |
Changes in assets and liabilities, excluding effects of acquisitions/divestitures: | |||
Accounts receivable | (10,749) | (8,387) | 78,367 |
Increase (Decrease) in Contract with Customer, Asset | 19,117 | (707) | (3,482) |
Inventories | (35,721) | (14,873) | (10,350) |
Income tax refunds receivable | 13,567 | (772) | (8,566) |
Increase (Decrease) in Operating Right of Use Assets | (350) | 3,551 | 1,798 |
Other assets | (469) | (2,262) | 4,175 |
Accounts payable - trade | 3,439 | 1,959 | (18,398) |
Increase (Decrease) in Contract with Customer, Liability | 7,436 | 4,433 | (30,708) |
Increase (Decrease) in Operating Lease Liabilities | 239 | (3,707) | (1,918) |
Payments for Retention Plans | 0 | 0 | 25,108 |
Other current liabilities | 5,083 | (2,860) | (8,880) |
Income taxes payable | 260 | 12 | 295 |
Pension liabilities | 4,007 | (17,745) | (37,580) |
Other long-term liabilities | (3,717) | (1,640) | (5,575) |
Net cash provided by operating activities | 72,715 | 20,969 | 48,698 |
Cash flows from investing activities: | |||
Proceeds from Sales of Business, Affiliate and Productive Assets | 0 | 1,200 | |
Proceeds from Divestiture of Businesses, Net of Cash Divested | (3,428) | ||
Expenditures for property, plant & equipment | (26,002) | (23,689) | (17,530) |
Acquisition of businesses | (1,487) | (441,340) | 0 |
Payments to Acquire Investments | 0 | (10,000) | 0 |
Other, net | (1,627) | 778 | (154) |
Net Cash Provided by (Used in) Investing Activities | (29,116) | (473,051) | (21,112) |
Cash flows from financing activities: | |||
Net (repayments) borrowings under revolving credit agreement | (5,000) | 363,000 | 0 |
Purchase of treasury shares | (782) | (801) | (618) |
Dividends paid | (22,522) | (22,363) | (22,241) |
Debt issuance costs | (4,828) | (4,380) | 0 |
Other, net | 260 | 467 | 626 |
Net cash (used in) provided by financing activities | (32,872) | 335,923 | (22,233) |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Excluding Exchange Rate Effect | 10,727 | (116,159) | 5,353 |
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Continuing Operations | 302 | (487) | (642) |
Cash and cash equivalents and restricted cash at beginning of period (See Note 3) | 24,154 | 140,800 | |
Cash and cash equivalents and restricted cash at end of period (See Note 3) | $ 35,183 | $ 24,154 | $ 140,800 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Kaman Corporation, headquartered in Bloomfield, Connecticut, was incorporated in 1945 and is a diversified company that conducts business in the aerospace and defense, medical and industrial markets. Kaman Corporation reports information for itself and its subsidiaries (collectively, the "Company") in three business segments: Engineered Products, Precision Products and Structures. Basis of Presentation The accompanying consolidated financial statements include the accounts of the Company and its subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Certain amounts in prior year financial statements and notes thereto have been reclassified to conform to current year presentation. During the second quarter of 2023, the Company identified errors related to (1) the accounting for certain labor costs at one business in the Precision Products segment and (2) the net realizable value on certain portions of the Company's inventory at another business in the Structures segment, each resulting in an overstatement of inventory and an understatement of cost of sales and related tax impacts. See Note 2, Accounting Changes , to the Consolidated Financial Statements for further information on the revision of the Company's previously issued consolidated financial statements. Use of Estimates The preparation of the consolidated financial statements in accordance with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Significant items subject to such estimates and assumptions include the carrying amount of property, plant and equipment, goodwill and other intangible assets; valuation allowances for receivables, inventories and income taxes; valuation of share-based compensation; assets and obligations related to employee benefits; and accounting for long-term contracts including claims. Actual results could differ from those estimates. Foreign Currency Translation The Company has certain operations outside the United States that prepare financial statements in currencies other than the U.S. dollar. For these operations, results of operations and cash flows are translated using the average exchange rate throughout the period. Assets and liabilities are generally translated at end of period rates. The gains and losses associated with these translation adjustments are included as a component of accumulated other comprehensive income (loss) in shareholders’ equity. Concentration of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of trade accounts receivable. The carrying amounts of these items, as well as trade accounts payable and notes payable, approximate fair value due to the short-term maturity of these instruments. At December 31, 2023 and 2022, no individual customer accounted for more than 10% of consolidated accounts receivable. In the year ended December 31, 2023, two individual customers, The Boeing Company and Lockheed Martin Corporation, accounted for more than 10% of consolidated net sales. Sales to The Boeing Company were primarily made by the Engineered Products and Structures segments, while sales to Lockheed Martin Corporation were primarily made by the Precision Products and Structures segments. In the year ended December 31, 2022, one individual customer, The Boeing Company, accounted for more than 10% of consolidated net sales, which were primarily made by the Engineered Products and Structures segments. Foreign sales were approximately 42.5%, 37.2% and 41.6% of the Company’s net sales in 2023, 2022 and 2021, respectively, and are concentrated in Germany, the Middle East, United Kingdom, Canada, Switzerland, Italy, France, Japan, Poland, New Zealand and China. 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Additional Cash Flow Information Non-cash operating activities in 2023 included a barter transaction with one of our operators for K-MAX® aircraft blades with a value of $1.3 million. Non-cash investing activities in 2023 include an accrual of $2.0 million for purchases of property and equipment. Non-cash financing activities in 2023 include an adjustment to other comprehensive income related to the underfunding of the pension and SERP plans. The total net adjustment was $10.9 million, net of tax of $3.2 million. Additionally, non-cash financing activities in 2023 include $5.7 million of dividends declared but not yet paid. Non-cash operating activities in 2022 included a barter transaction with one of our operators for K-MAX® aircraft blades with a value of $0.8 million. Non-cash investing activities in 2022 include an accrual of $1.7 million for purchases of property and equipment. Non-cash financing activities in 2022 include an adjustment to other comprehensive income related to the underfunding of the pension and SERP plans. The total net adjustment was $36.2 million, net of tax of $10.9 million. Additionally, non-cash financing activities in 2022 include $5.6 million of dividends declared but not yet paid. Non-cash investing activities in 2021 include an accrual of $2.0 million for purchases of property and equipment. Non-cash financing activities in 2021 include an adjustment to other comprehensive income related to the underfunding of the pension and SERP plans. The total net adjustment was $9.9 million, net of tax of $2.9 million. Additionally, non-cash financing activities in 2021 include $5.6 million of dividends declared but not yet paid. Revenue Recognition Under Accounting Standard Codification ("ASC") 606 - Revenue from Contracts with Customers, the amount of revenue recognized for any goods or services reflects the consideration that the Company expects to be entitled to receive in exchange for these goods or services. To achieve this core principle, the Company applies the following five step approach: (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to performance obligations in the contract; and (5) recognize revenue when or as a performance obligation is satisfied. A contract is accounted for when there has been approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance and collectability of consideration is probable. Performance obligations under a contract are identified based on the goods or services that will be transferred to the customer that are both capable of being distinct and are distinct in the context of the contract. In certain instances, the Company has concluded distinct goods or services should be accounted for as a single performance obligation when they are a series of distinct goods or services that have the same pattern of transfer to the customer. To the extent a contract includes multiple promised goods or services, the Company must apply judgment to determine whether the customer can benefit from the goods or services either on their own or together with other resources that are readily available to the customer (the goods or services are distinct) and if the promise to transfer the goods or services to the customer is separately identifiable from other promises in the contract (the goods or services are distinct in the context of the contract). If these criteria are not met, the promised services are accounted for as a single performance obligation. The transaction price is determined based on the consideration that the Company will be entitled to in exchange for transferring goods or services to the customer. To the extent the transaction price includes variable consideration, the Company estimates the amount of variable consideration that should be included in the transaction price, generally utilizing the most likely amount method. Determining the transaction price requires significant judgment. If the contract contains a single performance obligation, the entire transaction price is allocated to the single performance obligation. Contracts that contain multiple performance obligations require an allocation of the transaction price to each performance obligation based on a relative standalone selling price basis. Standalone selling price is determined by the price at which the performance obligation is sold separately. If the standalone selling price is not observable through past transactions, the Company estimates the standalone selling price by taking into account available information such as market conditions and internally approved pricing guidelines related to the performance obligations. Performance obligations are satisfied either over time or at a point in time as discussed in further detail below. In addition, the Company's contracts with customers generally do not include significant financing components or non-cash consideration. 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Revenue Recognition - continued In certain instances, the Company has accounted for contracts using the portfolio approach, a practical expedient permissible under the standard. The determination of when the use of the portfolio approach is appropriate requires judgment from management based on consideration of all the facts and circumstances. The Company uses the portfolio approach when the effect of accounting for a group of contracts or a group of performance obligations would not differ materially from considering each contract or performance obligation separately. This determination requires the use of estimates and assumptions that reflect the size and composition of the portfolio. The Company primarily uses the portfolio approach for its commercial and defense bearings and structures businesses. The Company's primary criteria considered when using the portfolio approach is the commonality of economic factors, which generally follow the product type based on consistent production costs and standard pricing for the products. To determine the appropriate revenue recognition model for long-term contracts, the Company evaluates whether a contract exists, considering whether multiple contracts should be combined as one single contract and then whether the contract should be accounted for as more than one performance obligation. This evaluation requires significant judgment, as these decisions could change the amount of revenue and profit recorded in a given period. For certain programs, the Company may promise to provide distinct goods or services within a contract, in which case these are separated into more than one performance obligation. For certain programs, the Company recognizes revenue over time because of continuous transfer of control to the customer. For USG contracts, this continuous transfer of control to the customer is supported by clauses in the contract that provide lien rights to the customer over the work in progress, thereby control transfers as costs are incurred. For non-USG contracts, the customer typically controls the work in progress because the Company is producing products that do not have an alternative use to the Company and where contractual termination clauses provide the Company rights to payment for work performed to date plus a reasonable profit. Revenue is recognized based on the extent of progress towards completion of the performance obligation. The selection of the method to measure progress towards completion requires judgment and is based on the nature of the products or services to be provided. The Company generally uses the cost-to-cost measure of progress for its contracts because it best depicts the transfer of assets to the customer which occurs as cost is incurred under the contracts. Under the cost-to-cost method, the extent of progress towards completion is measured based on the ratio of costs incurred to date to the total estimated costs at completion of the performance obligation. Revenues, including estimated fees or profits, are recorded proportionally as costs are incurred. Total estimated contract costs generally include labor, materials and subcontractors’ costs, other direct costs and related overhead costs. These estimates also include the estimated cost of satisfying offset obligations, as required under certain contracts. The complexity of certain programs as well as technical risks and uncertainty as to the future availability of materials and labor resources could affect the Company’s ability to accurately estimate future contract costs. For contracts that recognize revenue over time, the Company performs detailed quarterly reviews of the progress and execution of its performance obligations under these contracts. As part of this process, management reviews information including, but not limited to, any outstanding key contract matters, progress towards completion and the related program schedule, identified risks and opportunities and the related changes in estimates of revenues and costs. The risks and opportunities include management's judgment about the ability and cost to achieve the schedule (e.g. the number and type of milestone events), technical requirements (e.g., a newly-developed product versus a mature product) and other contract requirements. Management must make assumptions and estimates regarding labor productivity and availability, the complexity of the work to be performed, the availability of materials, the length of time to complete the performance obligation (e.g. to estimate increases in wages and prices for materials and related support cost allocations), execution by subcontractors, the availability and timing of funding from customers and overhead cost rates, among other variables. Based upon these reviews, the Company will record the effects of adjustments in profit estimates each period. If at any time management determines that in the case of a particular contract total costs will exceed total contract revenue, a provision for the entire anticipated contract loss is recorded at that time. The Company recognized reductions in revenue of $12.4 million, $3.5 million and $2.6 million in the years ended December 31, 2023, 2022 and 2021, respectively, due to changes in profit estimates. These decreases were primarily related to cost growth on certain legacy fuzing contracts and certain structures contracts, partially offset by favorable cost performance on the JPF contract with the USG and the JASSM® program. 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Revenue Recognition - continued Due to the nature of the work required to be performed on many of the Company's performance obligations, the estimation of total revenue and cost at completion is complex, subject to many variables and requires significant judgment. From time-to-time the Company enters into long-term contracts with the USG and other customers that contain award fees, incentive fees or other provisions that can either increase or decrease the transaction price. These variable amounts generally are awarded upon achievement of certain performance metrics, program milestones or cost targets and can be based upon customer discretion. The Company estimates variable consideration at the most likely amount to which it expects to be entitled. Estimated amounts are included in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved. Estimates of variable consideration and determination of whether to include estimated amounts in the transaction price are based largely on an assessment of the Company's anticipated performance and all information (historical, current and forecasted) that is reasonably available. The Company does not include financing components as variable consideration if less than one year. At December 31, 2023, the Company did not have any significant financing components. Contracts are often modified to account for changes in contract specifications and requirements. The Company considers contract modifications to exist when the modification either creates new or makes changes to the existing enforceable rights and obligations. Contract modifications for goods or services that are not distinct from the existing contract are accounted for as if they were part of that existing contract. In these cases, the effect of the contract modification on the transaction price and the measure of progress for the performance obligation to which it relates is recognized as an adjustment to revenue (either as an increase in or a reduction of revenue) on a cumulative catch-up basis, except when such modifications relate to a performance obligation that is a series of substantially the same distinct goods or services. If the modification relates to a performance obligation for a series of substantially the same distinct goods or services, the modification is treated prospectively. Contract modifications for goods or services that are considered distinct from the existing contract are accounted for as separate contracts. For other contracts, excluding the long-term contracts discussed above, revenue is primarily recognized at the point in time when the title transfers to the customer, as this is when the performance obligation is controlled by the customer. Additionally, a small percentage of revenue related to certain contracts for repairs and overhauls is accounted for over time under ASC 606. Under these contracts, revenue is generally recognized as work is performed in proportion to the actual costs incurred as compared to total estimated contract costs. Cost of Sales and Selling, General and Administrative Expenses Cost of sales includes costs of products and services sold (i.e., purchased product, raw material, direct labor, engineering labor, outbound freight charges, depreciation and amortization, indirect costs and overhead charges). Selling expenses primarily consist of advertising, promotion, bid and proposal, employee payroll and corresponding benefits and commissions paid to sales and marketing personnel. General and administrative expenses primarily consist of employee payroll including executive, administrative and financial personnel and corresponding benefits, incentive compensation, consulting expenses, warehousing costs and depreciation. Legal costs are expensed as incurred and are generally included in general and administrative expenses. Cash and Cash Equivalents Cash and cash equivalents include cash on hand, demand deposits and short-term cash investments. These investments are liquid in nature and have original maturities of three months or less. The Company's cash and cash equivalents at December 31, 2023 and 2022 included $2.3 million and $0.1 million of Level 1 money market funds. Bank overdraft positions, which occur when total outstanding issued checks exceed available cash balances at a single financial institution at the end of a reporting period, are reclassified to other current liabilities within the consolidated balance sheets. At December 31, 2023 and 2022, the Company had bank overdrafts of $1.6 million and $1.5 million, respectively, included in other current liabilities. 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Accounts Receivable The Company's accounts receivable, net is comprised of three elements: (a) Trade receivables, which consist of amounts billed and currently due from customers; (b) USG contracts, which consist of (1) amounts billed, and (2) costs and accrued profit – not billed; and (c) Commercial and other government contracts, which consist of (1) amounts billed, and (2) costs and accrued profit – not billed. The amounts due are stated at their net estimated realizable value. The allowance for doubtful accounts reflects management’s best estimate of probable losses inherent in the trade accounts receivable and billed contracts balance. Management performs ongoing evaluations of its customers’ current creditworthiness, as determined by the review of their credit information to determine if events have occurred subsequent to the recognition of revenue and the related receivable that provide evidence that such receivable will be realized in an amount less than that recognized at the time of sale. Estimates of credit losses are based on historical losses, current economic conditions, geographic considerations, and in some cases, evaluating specific customer accounts for risk of loss. Contract Assets The Company's contract assets include unbilled amounts typically resulting from sales under long-term contracts when the cost-to-cost method of revenue recognition is applied and revenue recognized exceeds the amount billed to the customer, and right to payment is not just subject to the passage of time. Amounts do not exceed their net realizable value. Contract assets are generally classified as current as such amounts are billable and collectible within twelve months. Contract Costs Contract costs consist of costs to fulfill and obtain a contract. Costs to fulfill a contract primarily consist of nonrecurring engineering costs incurred at the start of a new program for which such costs are expected to be recovered under existing and future contracts. Such costs are amortized over the estimated revenue amount of the contract. Costs to obtain a contract consist of commissions and agent fees paid in connection with the award of a contract. If these costs are determined to have an amortization period of less than one year, the Company applies the practical expedient and the related costs are expensed as incurred. If the amortization period is determined to be greater than a year and the incremental costs to obtaining the contract qualify as an asset, then the contract costs are recorded and amortized over the estimated contract revenue. Inventories The Company has the following types of inventory: (a) raw materials, (b) contracts in process and other work in process, and (c) finished goods. Raw material includes certain general stock materials but primarily relates to purchases that were made in anticipation of specific programs for which production has not been started as of the balance sheet date. Raw materials are stated at the lower of the cost of the inventory or its fair market value. Contracts in process and other work in process and finished goods are valued at production cost represented by raw material, labor and overhead. Contracts in process and other work in process and finished goods are not reported at amounts in excess of net realizable values. Property, Plant and Equipment Property, plant and equipment is recorded at cost. Depreciation is computed primarily on a straight-line basis over the estimated useful lives of the assets. The estimated useful lives for buildings generally range from 15 to 40 years and for leasehold improvements range from 1 to 20 years, whereas machinery, office furniture and equipment generally have useful lives ranging from 3 to 15 years. At the time of retirement or disposal, the acquisition cost of the asset and related accumulated depreciation are eliminated and any gain or loss is credited to or charged against income. Long-lived assets, such as property, plant and equipment and purchased intangible assets subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset be tested for possible impairment, the Company first compares undiscounted cash flows expected to be generated by an asset to the carrying value of the asset. If the carrying value of the long-lived asset is not recoverable on an undiscounted cash flow basis, an impairment is recognized to the extent that the carrying value exceeds its fair value. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary. 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Property, Plant and Equipment - continued Maintenance and repair items are charged against income as incurred, whereas renewals and betterments are capitalized and depreciated. Leasing The Company accounts for leases in accordance with ASC 842 - Leases. Under ASC 842, the Company determines if a contract contains a lease at the inception date of the contract. To determine if the contract contains a lease, the Company evaluates if there is an identified asset in the contract and if the Company has control over the use of the identified asset. The Company has elected not to apply the recognition requirements of ASC 842 to short-term leases (leases that, at the commencement date, have a lease term of twelve months or less and do not include an option to purchase the underlying asset that the lessee is reasonably certain to exercise) as permissible under the standard. For short-term leases, the Company recognizes lease payments on a straight-line basis and variable payments in the period in which the obligation for those payments is incurred. The Company must classify each lease as a finance lease or an operating lease. The Company's finance leases are included in machinery, office furniture and equipment. Amortization of these assets is included in depreciation and amortization expense. The Company's operating leases consist of rent commitments under various leases for office space, warehouses, land and buildings. At the commencement date, the right-of-use asset and lease liability are recorded to the Company's Consolidated Balance Sheets when the Company obtains control of the use of the asset. Lease liabilities are recognized at commencement based on the present value of the unpaid lease payments over the lease term. The initial measurement of the right-of-use asset is equal to the total of the initial measurement of the lease liability, incremental costs to obtain the lease and prepaid lease payments, less any lease incentives received. Some of the Company's leases have fixed amount rent escalations or contingent rent that are recognized on a straight-line basis over the entire lease term. Material leasehold improvements and other landlord incentives are amortized over the shorter of their economic lives or the lease term, including renewal periods, if reasonably assured. Substantially all real estate taxes, insurance and maintenance expenses associated with leased facilities are obligations of the Company. The Company elected the practical expedient allowing the Company to combine lease and non-lease components by class as a single lease component for its real estate leases. Non-lease components for the Company's vehicles and other equipment leases are not material. The Company uses the discount rate implicit in a lease contract, if available. As most of the Company's leases do not provide an implicit rate, the Company uses the incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. Certain leases are renewable for varying periods and certain leases include options to terminate the leases. For renewal options, the Company performs an assessment at commencement if it is reasonably likely to exercise the option. The assessment is based on the Company's intentions, past practices, estimates and factors that create an economic incentive for the Company. Generally, the Company is not reasonably certain to exercise the renewal option in a lease contract as it performs an assessment for most real estate leases within six months prior to termination comparing the renewal rents under the option with the fair market returns for equivalent property under similar terms and conditions. Although the Company does not historically change locations often, it is not reasonably certain the Company will exercise the renewal option; therefore, the periods covered by the renewal option are not typically included in the lease term at commencement. While some of the Company's leases include options allowing early termination of the lease, the Company historically has not terminated its lease agreements early unless there is an economic, financial or business reason to do so; therefore, the Company does not typically consider the termination option in its lease term at commencement. 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Leasing - continued Subsequent to the initial measurement, the lease liability continues to be measured at the present value of unpaid lease payments throughout the lease term. The lease liability is remeasured if the lease is modified and the modification is not accounted for as a separate contract, there is a change in the assessment of the lease term, the assessment of a purchase option exercise or the amount probable of being owed under a residual value guarantee, or a contingency is resolved resulting in some or all of the variable lease payments becoming fixed payments. Subsequent to the initial measurement, the right-of-use asset for a finance lease is equivalent to the initial measurement less accumulated amortization and any accumulated impairment losses. Generally, amortization of finance leases is recorded to cost of sales on a straight-line basis over the lease term. Subsequent to initial measurement, the right-of-use asset for an operating lease is equivalent to initial measurement less accumulated amortization (the difference between the straight-line lease cost for the period and the accretion of the lease liability using the effective interest method). Goodwill and Other Intangible Assets Goodwill represents the excess of the aggregate purchase price over the fair value of the net identifiable assets acquired in a purchase business combination and is reviewed for impairment at least annually. ASC 350 - Intangibles - Goodwill and Other permits the assessment of qualitative factors to determine whether events and circumstances lead to the conclusion that it is necessary to perform the quantitative goodwill impairment test required under ASC 350. The qualitative assessment management performs takes into consideration the following factors: general economic conditions, industry specific performance, changes in carrying values of the reporting units or asset groups, the assessment of assumptions used in the previous fair value calculation and changes in transaction multiples. In the quantitative goodwill impairment test, the fair value of the reporting unit is compared with its carrying value (including goodwill). If the fair value of the reporting unit is less than its carrying value, an impairment charge is recognized for the amount by which the carrying amount exceeds the reporting unit's fair value, assuming the loss recognized does not exceed the total amount of goodwill for the reporting unit. Fair value of the reporting unit is determined using an income methodology based on management’s estimates of forecasted cash flows for each reporting unit, with those cash flows discounted to present value using rates commensurate with the risks associated with those cash flows. In accordance with ASC 350, the Company evaluates goodwill for possible impairment on at least an annual basis. Goodwill and intangible assets with indefinite lives are evaluated annually for impairment in the fourth quarter, based on annual forecast information. Intangible assets with finite lives are amortized over their estimated period of benefit. Additionally, goodwill and other intangible assets are reviewed for possible impairment whenever changes in conditions indicate that the fair value of a reporting unit is more likely than not below its carrying value. Debt The Company relies on bank financing as an important source of liquidity for its business activities. Outstanding debt is classified as current or long-term based on the maturity of the Company's financing arrangements. Current and long-term debt balances are reported net of debt issuance costs. Contract Liabilities The Company's contract liabilities consist of advance payments and billings in excess of revenue recognized and deferred revenue. Contract liabilities are classified as current or noncurrent based on the timing of when recognition of revenue is expected. 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Unfulfilled Performance Obligations Unfulfilled performance obligations ("backlog") repres |
Accounting Changes and Error Co
Accounting Changes and Error Corrections | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Changes and Error Corrections [Abstract] | |
Change in Accounting Estimate | ACCOUNTING CHANGES Revision of Previously Issued Consolidated Financial Statements During the second quarter of 2023, the Company identified errors related to (1) the accounting for certain labor costs at one business in the Precision Products segment and (2) the net realizable value on certain portions of the Company's inventory at another business in the Structures segment, each resulting in an overstatement of inventory and an understatement of cost of sales and related tax impacts. The Company concluded that these errors were not material, either individually or in aggregate, to previously issued consolidated financial statements; however, the Company has determined it was appropriate to revise its previously issued consolidated financial statements as of December 31, 2022, and for the years ended December 31, 2022 and 2021 and its unaudited condensed consolidated financial statements as of and for the quarters and year-to-date fiscal periods ended July 1, 2022, September 30, 2022 and March 31, 2023. Accordingly, the accompanying financial statements and relevant footnotes to the condensed consolidated financial statements in this Annual Report on Form 10-K have been revised to correct for these errors. The Company will present the revision of its previously issued unaudited condensed consolidated financial statements for the quarter ended March 31, 2023 with the future filing of its Quarterly Report on Form 10-Q for the quarter ending March 29, 2024. The revision to the accompanying unaudited condensed consolidated balance sheet, condensed consolidated statements of operations, condensed consolidated statements of comprehensive income and condensed consolidated statement of cash flows are as follows. There were no changes to the consolidated statement of stockholders' equity that have not otherwise been reflected in the condensed consolidated balance sheets, condensed consolidated statements of operations, and condensed consolidated statements of comprehensive income as detailed in the tables below. Condensed Consolidated Balance Sheet In thousands December 31, 2022 As Previously Reported Adjustments As Corrected Assets Inventories (1) $ 176,468 $ (4,085) $ 172,383 Income tax refunds receivable 13,981 862 14,843 Total $ 190,449 $ (3,223) $ 187,226 Shareholders' equity Retained earnings $ 688,457 $ (3,223) $ 685,234 December 31, 2021 As Previously Reported Adjustments As Corrected Assets Inventories (2) $ 193,100 $ (1,110) $ 191,990 Income tax refunds receivable 13,832 234 14,066 Total $ 206,932 $ (876) $ 206,056 Shareholders' equity Retained earnings $ 750,445 $ (876) $ 749,569 (1) At December 31, 2022, the adjustments to inventories consisted of an adjustment of $2.5 million for certain labor costs at a business within the Precision Products segment and an adjustment of $1.6 million for the net realizable value on certain portions of the inventory at a business within the Structures segment. (2) At December 31, 2021, the adjustments to inventories consisted of an adjustment of $1.1 million for certain labor costs at a business within the Precision Products segment. 2. ACCOUNTING CHANGES (CONTINUED) Revision of Previously Issued Consolidated Financial Statements - continued Condensed Consolidated Statements of Operations In thousands, except per share amounts December 31, 2022 As Previously Reported Adjustments As Corrected Cost of sales $ 464,470 $ 2,975 $ 467,445 Income tax benefit (16,732) (628) (17,360) Net loss (46,226) (2,347) (48,573) Basic loss per share $ (1.65) $ (0.08) $ (1.73) Diluted loss per share $ (1.65) $ (0.08) $ (1.73) December 31, 2021 As Previously Reported Adjustments As Corrected Cost of sales $ 472,375 $ 7 $ 472,382 Income tax expense 16,832 (1) 16,831 Net earnings 43,676 (6) 43,670 Basic earnings per share $ 1.57 $ — $ 1.57 Diluted earnings per share $ 1.57 $ — $ 1.57 Condensed Consolidated Statements of Comprehensive (Loss) Income In thousands December 31, 2022 As Previously Reported Adjustments As Corrected Comprehensive loss $ (93,262) $ (2,347) $ (95,609) December 31, 2021 As Previously Reported Adjustments As Corrected Comprehensive income $ 63,112 $ (6) $ 63,106 Condensed Consolidated Statement of Cash Flows In thousands December 31, 2022 As Previously Reported Adjustments As Corrected Net loss $ (46,226) $ (2,347) $ (48,573) Inventories (17,848) 2,975 (14,873) Income tax refunds receivable (144) (628) (772) Net cash provided by operating activities 20,969 — 20,969 December 31, 2021 As Previously Reported Adjustments As Corrected Net earnings $ 43,676 $ (6) $ 43,670 Inventories (10,357) 7 (10,350) Income tax refunds receivable (8,565) (1) (8,566) Net cash provided by operating activities 48,698 — 48,698 |
Discontinued Operations (Notes)
Discontinued Operations (Notes) | 12 Months Ended |
Dec. 31, 2023 | |
Discontinued Operations [Abstract] | |
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | 3. DISPOSALS Mexico Business In the third quarter of 2022, the Company sold certain assets and liabilities of its Mexico operations in the Structures segment. The transaction did not meet the criteria for discontinued operations set forth in ASC 205-20 - Presentation of Financial Statements - Discontinued Operations ("ASC 205-20"), as it does not reflect a significant strategic shift that would have a major effect on the Company's operations or financial results. For the year ended December 31, 2022, the Company recorded a gain on the sale of $0.5 million, which was included in (gain) loss on sale of business on the Company's Consolidated Statement of Operations. UK Composites Business In the fourth quarter of 2020, the Company received approval from its Board of Directors to sell its UK Composites division. Subsequent to the end of the year, the Company sold its UK Composites division in a transaction that closed on February 2, 2021. An additional loss of $0.2 million was recorded in the year ended December 31, 2021 as a result of the closing. The sale of the UK Composites business did not meet the criteria set forth in ASC 205-20 , for discontinued operations as it did not reflect a significant strategic shift that would have a major effect on the Company's operations and financial results. Financial results for the UK Composites division were included in the Structures segment for the year ended December 31, 2021 within Note 5, Segment and Geographic Information . Cash and cash equivalents and restricted cash at the beginning of the period on the Company’s Consolidated Statement of Cash Flows for the year ended December 31, 2021 includes $6.6 million of cash that was included in the UK Composites business disposal group. However, given the assets of the disposal group are recognized net of the impairment charge recorded in December 31, 2020, such amounts were not reflected on the Company’s Consolidated Balance Sheet at December 31, 2020. Distribution Business On August 26, 2019, the Company completed the sale of its Distribution business for total cash consideration of $700.0 million, excluding certain working capital adjustments. The sale of the Distribution business was a result of the Company's shift in strategy to be a highly focused, technologically differentiated aerospace and engineered products company. Upon closing, the Company entered into a transition services agreement ("TSA") with the buyer, pursuant to which the Company agreed to support the information technology ("IT"), human resources and benefits, tax and treasury functions of the Distribution business for six to twelve months. The buyer exercised the option to extend the support period for up to a maximum of an additional year for certain IT services. During the third quarter of 2021, the TSA expired and all services were completed as of the end of the period. As such, there was no activity associated with the TSA in 2023 and 2022. Through the term of the TSA, the Company incurred $18.9 million in costs and earned $13.0 million in income associated with the TSA. The Company incurred $1.7 million in costs associated with the TSA in 2021, which was included in costs from transition services agreement on the Company's Consolidated Statement of Operations. The Company earned $0.9 million in income associated with the TSA in 2021, which was included in income from transition services agreement on the Company's Consolidated Statement of Operations. |
Business Combinations
Business Combinations | 12 Months Ended |
Dec. 31, 2023 | |
Business Combinations [Abstract] | |
Business Combination Disclosure | 4. BUSINESS COMBINATIONS AND INVESTMENTS Business Combinations Aircraft Wheel & Brake On September 16, 2022, the Company acquired all of the assets and related liabilities of Parker-Hannifin Corporation's ("Parker") Aircraft Wheel and Brake division, of Avon, Ohio, at a purchase price of $442.8 million. Aircraft Wheel and Brake is a leader in the design, development, qualification, manufacturing and assembly, product support and repair of wheels, brakes and related hydraulic components for fixed-wing aircraft and rotorcraft. With this acquisition, the Company has expanded its portfolio of engineered products, broadening the number of offerings available to serve customers across a range of critical applications and has increased the Company's exposure within the aerospace and defense end markets. This acquisition was accounted for under the acquisition method. The assets acquired and liabilities assumed were recorded based on their fair values at the date of acquisition as follows (in thousands): Accounts receivable $ 7,635 Contract assets 171 Inventories 11,246 Property, plant and equipment 7,686 Goodwill 171,277 Other intangible assets 250,500 Contract costs, noncurrent 41 Liabilities (5,729) Net assets acquired $ 442,827 Less cash received — Net consideration $ 442,827 The Company utilized the practical expedient associated with ASU 2021-08, "Business Combinations (Topic 805), Accounting for Contract Assets and Contract Liabilities from Contracts with Customers", which allowed the Company to utilize the terms that existed as of the latest contract modification date to determine the transaction price and performance obligations for the contract assets and liabilities acquired. The use of this practical expedient did not have a material impact on the Company's consolidated financial statements. The principal area of the purchase price allocation that was not yet finalized as of December 31, 2022 related to the finalization of the working capital adjustment. Subsequent to December 31, 2022, the Company paid Parker an additional $1.5 million for the working capital adjustment finalized in the first quarter of 2023, which resulted in an increase to goodwill. All purchase price allocations were finalized within the one-year measurement period. The goodwill associated with this acquisition is tax deductible and is the result of expected synergies from combining the operations of the acquired business with the Company's operations and intangible assets that do not qualify for separate recognition, such as an assembled workforce. The goodwill associated with this acquisition was recognized in the Engineered Products segment. The fair value of the identifiable intangible assets totaling $250.5 million, consisting of customer relationships and acquired backlog, was determined using the income approach, specifically, a multi-period excess earnings method. The fair value of the customer relationships of $237.7 million is being amortized based on the economic period of benefit over periods ranging from 23 to 25 years, and the fair value of the backlog of $12.8 million is being amortized based on the economic period of benefit over a period of two 4. BUSINESS COMBINATIONS AND INVESTMENTS (CONTINUED) Business Combinations - continued Aircraft Wheel & Brake - continued The Company determines the useful lives of the intangibles through contracting with a third party valuation expert and discussions with the management team of Aircraft Wheel and Brake. As the business specializes in wheels, brakes and related hydraulic components for helicopters, fixed-wing and UAV aircraft, it was determined that a useful life range of 23 to 25 years for customer relationships was reasonable, as the length of customer relationships are typically longer given the nature of the industry and the useful lives of aircraft. Considerations were also given to the history of serving on the programs, nature of competition, probability of renewals, sole source positions, information on the strength of the incumbency, nature of the aircraft program, and corroboration of the program forecast duration with information from Forecast International, General Aviation Manufacturer Association data, Federal Aviation Administration data, as well as Department of Defense disclosures. Aircraft Wheel and Brake's results of operations have been included in the Company's financial statements for the periods subsequent to the completion of the acquisition on September 16, 2022. Aircraft Wheel and Brake contributed $76.3 million and $20.8 million of revenue and $9.5 million of operating income and $2.4 million of operating loss for the years ended December 31, 2023 and 2022, respectively. Pro Forma Information (Unaudited) The following table reflects the unaudited pro forma operating results of the Company for the years ended December 31, 2022 and 2021 which assumes the acquisition of Aircraft Wheel and Brake occurred on January 1, 2021. The pro forma results are based on assumptions that the Company believes are reasonable under the circumstances. The pro forma results are not necessarily indicative of the operating results that would have occurred had the acquisition of Aircraft Wheel and Brake been effective January 1, 2021, nor are they intended to be indicative of results that may occur in the future. The underlying pro forma information includes the historical financial results of the Company and the acquired business adjusted for certain items discussed below. The pro forma information does not include the effects of any synergies, cost reduction initiatives or anticipated integration costs related to the acquisitions. For the year ended December 31, 2022 2021 In thousands Net sales $ 740,960 $ 778,167 Net (loss) earnings $ (44,026) $ 13,834 These pro forma results include adjustments such as inventory step-up, amortization of acquired intangible assets, depreciation of acquired plant, property, and equipment and interest expense on debt financing in connection with the acquisition. Material pro forma adjustments directly attributable to the acquisition of Aircraft Wheel and Brake for the year ended December 31, 2022 include: • Increase in amortization of $9.1 million relating to intangible assets acquired; • Decrease in selling, general & administrative costs of $12.8 million relating to transaction costs for the acquisition; • Increase in interest expense of $20.5 million relating to debt financing in connection with the acquisition; • Decrease in cost of sales of $3.1 million relating to the step-up of acquired inventory; and • Decrease in income tax expense of $3.0 million relating to the above adjustments. Material pro forma adjustments directly attributable to the acquisition of Aircraft Wheel and Brake for the year ended December 31, 2021 include: • Increase in amortization of $18.2 million relating to intangible assets acquired; • Increase in selling, general & administrative costs of $12.8 million relating to transaction costs for the acquisition; • Increase in interest expense of $29.1 million relating to debt financing in connection with the acquisition; • Increase in cost of sales of $3.1 million relating to the step-up of acquired inventory; and • Decrease in income tax expense of $13.4 million relating to the above adjustments. 4. BUSINESS COMBINATIONS AND INVESTMENTS (CONTINUED) Investments Near Earth Autonomy On June 22, 2022, the Company invested $10.0 million in Near Earth Autonomy, Inc. ("Near Earth"), in exchange for a minority interest in the outstanding equity of Near Earth and one seat on its Board of Directors. This investment supports Near Earth's mission to accelerate its technology to establish an industry standard in autonomous solutions for the next generation of aviation and leverages the Company's core competency in precision parts manufacturing as the preferred manufacturer of autonomous parts and components for Near Earth. Near Earth has been a partner on the Company's autonomous technology since 2019, most recently for the KARGO UAV unmanned aerial system, a purpose built autonomous medium lift logistics vehicle. In accordance with ASC 321 - Investments - Equity Securities, the Company elected to apply the measurement alternative and accounted for the investment as an equity interest, initially measured at cost. The investment was included in other assets on the Company's Consolidated Balance Sheets as of December 31, 2023 and 2022. Upon observable transaction prices or impairment, the Company will remeasure the investment at fair value. |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure | . SEGMENT AND GEOGRAPHIC INFORMATION Segment Information The Company is organized based upon the nature of its products and services, and is composed of three operating segments each overseen by a segment manager. These segments are reflective of how the Company’s Chief Executive Officer, who is its CODM, reviews operating results for the purposes of allocating resources and assessing performance. The Company has not aggregated operating segments for purposes of identifying reportable segments. The Engineered Products segment serves the aerospace and defense, industrial and medical markets providing sophisticated proprietary aircraft bearings and components; super precision, miniature ball bearings; and proprietary spring energized seals, springs and contacts; and wheels, brakes and related hydraulic components for helicopters and fixed-wing and UAV aircraft. The Precision Products segment serves the aerospace and defense markets providing precision safe and arming solutions for missile and bomb systems for the U.S. and allied militaries; subcontract helicopter work; restoration, modification and support of the Company's SH-2G Super Seasprite maritime helicopters; support of the heavy lift K-MAX ® manned helicopter; and development of the KARGO UAV unmanned aerial system, a purpose built autonomous medium lift logistics vehicle. The Structures segment serves the aerospace and defense and medical end markets providing sophisticated complex metallic and composite aerostructures for commercial, military and general aviation fixed and rotary wing aircraft, and medical imaging solutions. 5. SEGMENT AND GEOGRAPHIC INFORMATION (CONTINUED) Segment Information - continued Summarized financial information by business segment is as follows: For the year ended December 31, 2023 2022 2021 In thousands Net sales: Engineered Products $ 512,831 $ 377,241 $ 317,683 Precision Products 129,147 185,023 256,329 Structures 133,876 125,697 134,981 Net sales (1) $ 775,854 $ 687,961 $ 708,993 Operating income (loss): Engineered Products $ 107,863 $ 57,833 $ 43,097 Precision Products (4,532) 16,353 55,359 Structures (9,169) (4,623) (340) Corporate expense (40,077) (50,377) (40,519) Other unallocated expenses, net (2) (4,982) (88,504) (8,108) Operating income (loss) $ 49,103 $ (69,318) $ 49,489 Interest expense, net 39,997 16,874 16,290 Non-service pension and post retirement benefit income, net (1,240) (20,574) (26,229) Income from transition services agreement — — (931) Other (income) expense, net (339) 315 (142) Earnings (loss) before income taxes $ 10,685 $ (65,933) $ 60,501 (1) Net sales under contracts with USG agencies (including sales to foreign governments through foreign military sales contracts with USG agencies) totaled $174.8 million, $205.0 million and $230.6 million in 2023, 2022 and 2021, respectively, and represent direct and indirect sales to the USG and related agencies. (2) Other unallocated expenses, net include program inventory impairment, goodwill and other intangibles impairments, program contract costs impairment, costs from the TSA, restructuring and severance costs, gain (loss) on sale of business, and net loss (gain) on disposition of assets. 5. SEGMENT AND GEOGRAPHIC INFORMATION (CONTINUED) Segment Information - continued The following table disaggregates segment revenue by major product line: In thousands 2023 Engineered Products Precision Products Structures Total Defense $ 77,533 $ 25,846 $ 75,793 $ 179,172 Safe and Arm Devices — 69,445 — 69,445 Commercial, Business, & General Aviation 264,968 29,035 50,775 344,778 Medical 93,280 — 7,308 100,588 Industrial & Other 77,050 4,821 — 81,871 Total revenue $ 512,831 $ 129,147 $ 133,876 $ 775,854 2022 Engineered Products Precision Products Structures Total Defense $ 49,982 $ 22,367 $ 73,597 $ 145,946 Safe and Arm Devices — 125,685 — 125,685 Commercial, Business, & General Aviation 166,748 31,663 44,208 242,619 Medical 86,659 — 7,892 94,551 Industrial & Other 73,852 5,308 — 79,160 Total revenue $ 377,241 $ 185,023 $ 125,697 $ 687,961 2021 Engineered Products Precision Products Structures Total Defense $ 51,033 $ 30,062 $ 87,575 $ 168,670 Safe and Arm Devices — 191,524 — 191,524 Commercial, Business, & General Aviation 115,576 28,995 40,115 184,686 Medical 79,424 — 7,291 86,715 Industrial & Other 71,650 5,748 — 77,398 Total revenue $ 317,683 $ 256,329 $ 134,981 $ 708,993 5. SEGMENT AND GEOGRAPHIC INFORMATION (CONTINUED) Segment Information - continued The following table illustrates the approximate percentage of segment revenue recognized by product types. 2023 Engineered Products Precision Products Structures Total Original Equipment Manufacturer 46 % 6 % 17 % 69 % Aftermarket 20 % 4 % — % 24 % Safe and Arm Devices — % 7 % — % 7 % Total revenue 66 % 17 % 17 % 100 % 2022 Engineered Products Precision Products Structures Total Original Equipment Manufacturer 41 % 4 % 18 % 63 % Aftermarket 14 % 5 % — % 19 % Safe and Arm Devices — % 18 % — % 18 % Total revenue 55 % 27 % 18 % 100 % 2021 Engineered Products Precision Products Structures Total Original Equipment Manufacturer 35 % 5 % 19 % 59 % Aftermarket 10 % 4 % — % 14 % Safe and Arm Devices — % 27 % — % 27 % Total revenue 45 % 36 % 19 % 100 % The timing related to the satisfaction of performance obligations and the typical timing of payment could vary between military, safe and arm devices and commercial, medical and industrial contracts. For military and safe and arm device contracts with the USG, payment terms typically include progress payments, and the satisfaction of these performance obligations does not vary significantly from timing of payment. For firm-fixed price military and safe and arm device contracts with foreign militaries, the satisfaction of performance obligations could occur at a point in time or over time, depending on the nature of the performance obligations and the right to payment terms in the contracts. Generally, payment terms for these types of contracts range from 30 to 60 days from delivery; however, at times, the Company may negotiate advance payments to cover a portion of the initial costs. Payment terms for firm-fixed price commercial, medical and industrial contracts generally range from 30 to 90 days from delivery. The satisfaction of these performance obligations could occur at a point in time or over time, depending on the nature of the performance obligations and the right to payment terms in the contracts. For certain commercial contracts, the Company may negotiate advance payments for long-lead materials. The following table presents research and development costs by segment: For the year ended December 31, 2023 2022 2021 In thousands Engineered Products $ 9,382 $ 8,842 $ 8,399 Precision Products 11,215 10,508 7,443 Structures 107 202 230 Total research and development costs $ 20,704 $ 19,552 $ 16,072 5. SEGMENT AND GEOGRAPHIC INFORMATION (CONTINUED) Segment Information - continued Summarized asset and cash flow information by business segment is as follows: For the year ended December 31, 2023 2022 2021 In thousands Identifiable assets (1): Engineered Products $ 1,086,672 $ 1,052,576 $ 623,899 Precision Products 176,903 190,801 249,270 Structures 136,909 133,834 125,027 Corporate (2) 98,171 110,898 199,410 Total assets $ 1,498,655 $ 1,488,109 $ 1,197,606 Capital expenditures: Engineered Products $ 18,714 $ 14,667 $ 9,537 Precision Products 5,323 4,658 3,554 Structures 1,283 1,940 2,075 Corporate 682 2,424 2,364 Total capital expenditures $ 26,002 $ 23,689 $ 17,530 Depreciation and amortization (3): Engineered Products $ 40,408 $ 30,461 $ 26,306 Precision Products 3,292 3,663 4,148 Structures 3,106 3,519 3,462 Corporate 3,232 3,069 2,738 Total depreciation and amortization $ 50,038 $ 40,712 $ 36,654 (1) Identifiable assets are year-end assets at their respective net carrying values segregated as to segment and corporate use. (2) For the periods presented, the corporate identifiable assets are principally comprised of cash, short-term and long-term deferred income tax assets, cash surrender value of life insurance policies and fixed assets. (3) Depreciation and amortization amounts exclude amortization of debt issuance costs. Geographic Information Sales are attributed to geographic regions based on the location to which the product is shipped. Geographic distribution of sales recorded is as follows: For the year ended December 31, 2023 2022 2021 In thousands North America $ 482,113 $ 452,392 $ 442,432 Europe 200,885 141,657 113,811 Middle East 32,859 41,948 107,408 Asia 41,866 35,691 27,638 Oceania 10,791 10,208 14,160 Other 7,340 6,065 3,544 Total revenue $ 775,854 $ 687,961 $ 708,993 5. SEGMENT AND GEOGRAPHIC INFORMATION (CONTINUED) Geographic Information - continued Geographic distribution of long-lived assets is as follows: At December 31, 2023 2022 In thousands United States $ 851,182 $ 865,659 Germany 142,413 140,626 Czech Republic 4,587 4,827 Netherlands 413 509 Switzerland 663 708 Hong Kong 41 60 Total long-lived assets (1) $ 999,299 $ 1,012,389 (1) For the purpose of this disclosure the Company excluded deferred tax assets of $46.9 million and $47.4 million as of December 31, 2023 and 2022, respectively. |
Restructuring Costs (Notes)
Restructuring Costs (Notes) | 12 Months Ended |
Dec. 31, 2023 | |
Restructuring Costs [Abstract] | |
Restructuring Costs | RESTRUCTURING AND SEVERANCE COSTS Transformation Restructuring In December 2022, the Company began a review of all businesses and programs to increase efficiencies, improve working capital management and focus on sustainable and consistent revenue and profit generating activities. As a result of this review, the Company identified areas to reduce annualized costs primarily in the Precision Products segment and at Corporate through streamlining processes, consolidating the production of fuzes for the JPF program at its Middletown facility, discontinuing K-MAX® helicopter production and right-sizing the Company's total cost structure. In the years ended December 31, 2023 and 2022, the Company incurred $3.4 million and $6.6 million, respectively, in severance costs associated with these actions. Of this amount, $0.3 million was related to share-based compensation expense in the year ended December 31, 2023. No share-based compensation expense related to this initiative was recorded to restructuring and severance costs in the year ended December 31, 2022. The following table summarizes the accrual balances by cost type for the restructuring actions: Severance Other (1) Total In thousands Restructuring accrual balance at December 31, 2022 (2) $ 6,629 $ — $ 6,629 Provision 2,223 919 3,142 Cash payments (6,282) (919) (7,201) Changes in foreign currency exchange rates 38 — 38 Restructuring accrual balance at December 31, 2023 (2) $ 2,608 $ — $ 2,608 (1) Includes non-severance costs associated with the consolidation of facilities. (2) Of the accrual balance, $2.6 million and $5.6 million were included in other current liabilities on the Company's Consolidated Balance Sheets as of December 31, 2023 and December 31, 2022. The remainder was included in other long-term liabilities. Cost Reduction Initiative |
Accounts Receivable, Net
Accounts Receivable, Net | 12 Months Ended |
Dec. 31, 2023 | |
Accounts Receivable, after Allowance for Credit Loss [Abstract] | |
Accounts Receivable, Net | ACCOUNTS RECEIVABLE, NET Accounts receivable consist of the following: At December 31, 2023 2022 In thousands Trade receivables $ 39,645 $ 31,126 U.S. Government contracts: Billed 11,353 14,150 Costs and accrued profit – not billed 779 661 Commercial and other government contracts: Billed 46,139 41,520 Costs and accrued profit – not billed 1,984 2,268 Less allowance for doubtful accounts (3,018) (2,066) Accounts receivable, net $ 96,882 $ 87,659 There were no amounts included in accounts receivable, net for matters such as contract changes, negotiated settlements and claims for unanticipated contract costs at December 31, 2023 and December 31, 2022. The following table summarizes the activity in the allowance for doubtful accounts in the year ended December 31, 2023: In thousands Balance at December 31, 2022 $ (2,066) Provision (1,998) Amounts written off 676 Recoveries 380 Changes in foreign currency exchange rates (10) Balance at December 31, 2023 $ (3,018) |
Contract Assets, Contract Costs
Contract Assets, Contract Costs and Contract Liabilities (Notes) | 12 Months Ended |
Dec. 31, 2023 | |
Contract Assets, Contract Costs and Contract Liabilities [Abstract] | |
Contract Assets, Contract Costs and Contract Liabilities [Text Block] | . CONTRACT ASSETS, CONTRACT COSTS AND CONTRACT LIABILITIES Activity related to contract assets, contract costs and contract liabilities is as follows: December 31, 2023 December 31, 2022 $ Change % Change In thousands Contract assets (1) $ 94,091 $ 113,182 $ (19,091) (16.9) % Contract costs, current portion (2) $ 58 $ 695 $ (637) (91.7) % Contract costs, noncurrent portion (3) $ 577 $ 673 $ (96) (14.3) % Contract liabilities, current portion $ 12,284 $ 4,081 $ 8,203 201.0 % Contract liabilities, noncurrent portion $ 19,787 $ 20,515 $ (728) (3.5) % (1) The Company's contract assets were net of unliquidated progress payments, primarily from the U.S. Government, of $38.1 million and $43.3 million at December 31, 2023 and December 31, 2022, respectively. (2) Contract costs, current portion are included within other current assets on the Company's Condensed Consolidated Balance Sheets. (3) Contract costs, noncurrent portion are included within other assets on the Company's Condensed Consolidated Balance Sheets. 8. CONTRACT ASSETS, CONTRACT COSTS AND CONTRACT LIABILITIES (CONTINUED) Contract Assets The decrease in contract assets was primarily due to amounts billed in the current period on the JPF program and higher unliquidated progress payments on our legacy fuzing contracts, partially offset by the recognition of revenue related to the satisfaction or partial satisfaction of performance obligations for work performed and not yet billed on certain legacy fuzing contracts, the SH-2G and KARGO UAV unmanned aerial system programs and the relief of unliquidated progress payments on the JPF program. There were no significant impairment losses related to the Company's contract assets during the years ended December 31, 2023 and December 31, 2022. Contract assets includes amounts for matters such as contract changes, negotiated settlements and claims for unanticipated contract costs. These amounts are as follows: At December 31, 2023 2022 In thousands Contract changes, negotiated settlements and claims for unanticipated contract costs $ 1,620 $ — Contract Costs At December 31, 2023 and 2022, costs to fulfill a contract were $0.6 million and $1.4 million, respectively. There were no costs to obtain a contract at December 31, 2023 and 2022. Contract costs, current portion at December 31, 2023 decreased when compared to December 31, 2022, primarily attributable to the write-off of contract costs on the A-10 contract and amortization of contract costs, totaling $0.6 million. For the year ended December 31, 2022, amortization of contract costs was $0.7 million. Contract costs, noncurrent portion at December 31, 2023 remained relatively flat when compared to the balance at December 31, 2022. In December 2022, management began a review of all businesses and programs to increase efficiencies, improve working capital management and focus on sustainable and consistent revenue and profit generating activities. As a result of this review, management determined that we would discontinue the production of the K-MAX® medium-to-heavy lift helicopters and TITAN UAV unmanned aerial system in 2023. In the year ended December 31, 2022, the Company wrote off $9.1 million of contract costs associated with the TITAN UAV unmanned aerial system. Refer to Note 11, Inventories , for further information regarding the discontinuation of the K-MAX® program. Contract Liabilities The increase in contract liabilities, current portion was primarily driven by advances received on the K-MAX® program and the A-10 program and the FireBurst™ enhanced fuzing capability program. For the years ended December 31, 2023 and December 31, 2022, revenue recognized related to contract liabilities, current portion was $3.3 million and $2.1 million, respectively. The decrease in contract liabilities, noncurrent portion was due to the reclassification of liabilities on the FireBurst TM |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | FAIR VALUE MEASUREMENTS Fair value is defined as the exchange price that would be received for an asset or the price paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. The Company uses a three-level fair value hierarchy that prioritizes the inputs used to measure fair value. This hierarchy requires us to maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of inputs used to measure fair value are as follows: • Level 1 — Quoted prices in active markets for identical assets or liabilities. • Level 2 — Observable inputs other than quoted prices included in Level 1, such as quoted prices for markets that are not active or other inputs that are observable or can be corroborated by observable market data. • Level 3 — Unobservable inputs that are supported by little or no market activity and are significant to the fair value of the assets or liabilities. This includes certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs. The following table provides the carrying value and fair value of financial instruments that are not carried at fair value at December 31, 2023 and 2022: 2023 2022 Carrying Value Fair Value Carrying Value Fair Value In thousands Debt (1) $ 557,500 $ 541,915 $ 562,500 $ 547,393 (1) These amounts are classified within Level 2. The above fair values were computed based on quoted market prices and discounted future cash flows (observable inputs), as applicable. Differences from carrying values are attributable to interest rate changes subsequent to when the transactions occurred. The fair values of cash and cash equivalents, accounts receivable, net, and accounts payable - trade approximate their carrying amounts due to the short-term maturities of these instruments. The Company's cash and cash equivalents at December 31, 2023 and 2022 included $2.3 million and $0.1 million, respectively, of Level 1 money market funds. Recurring Fair Value Measurements The Company holds derivative instruments for foreign exchange contracts and interest rate swaps that are measured at fair value using observable market inputs such as forward rates and its counterparties’ credit risks. Based on these inputs, the derivative instruments are classified within Level 2 of the valuation hierarchy. At December 31, 2023, the interest rate swaps were included in other assets on the Company's Condensed Consolidated Balance Sheets. At December 31, 2023 and December 31, 2022, the foreign exchange contracts were included in other current assets and other current liabilities on the Company's Condensed Consolidated Balance Sheets. Based on the Company's continued ability to trade and enter into forward contracts and interest rate swaps, the Company considers the markets for its fair value instruments to be active. The Company evaluated the credit risk associated with the counterparties to these derivative instruments and determined that as of December 31, 2023, such credit risks have not had an adverse impact on the fair value of these instruments. |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | DERIVATIVE FINANCIAL INSTRUMENTS Cash Flow Hedges Interest Rate Swaps The Company's Credit Agreement contains floating rate obligations and is subject to interest rate fluctuations. At December 31, 2023, the Company had interest rate swap agreements with a notional value of $175.0 million, for the purposes of hedging the eight quarterly variable-rate Credit Agreement interest payments throughout 2023 and 2024. These interest rate swap agreements were designated as cash flow hedges and intended to manage interest rate risk associated with the Company's variable-rate borrowings and minimize the impact on earnings and cash flows of interest rate fluctuations attributable to changes in SOFR rates. These interest rate swaps were not material to the Company's financial statements as of and in the years ended December 31, 2023 and 2022. Over the next twelve months, the income related to cash flow hedges expected to be reclassified from other comprehensive income is $0.6 million. Forward Exchange Contracts The Company held forward exchange contracts designed to hedge forecasted transactions denominated in foreign currencies and to minimize the impact of foreign currency fluctuations on the Company’s earnings and cash flows. The Company will include in earnings amounts currently included in accumulated other comprehensive income upon recognition of cost of sales related to the underlying transaction. The Company reports expense related to these contracts in other (income) expense, net on the Consolidated Statements of Operations. The Company held forward exchange contracts that were not designated as hedging instruments as of December 31, 2023 and 2022. The balances associated with the contracts and the gains or losses reported in other (income) expense, net were not material as of and for the years ended December 31, 2023, 2022 or 2021. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories | INVENTORIES Inventories consist of the following: At December 31, 2023 2022 In thousands Raw materials $ 35,826 $ 24,572 Contracts in process: US Government 11,505 5,835 Commercial and other government contracts 97,013 85,436 Contracts and other work in process (including certain general stock materials) 21,017 16,532 Finished goods 42,246 40,008 Inventories $ 207,607 $ 172,383 There were no amounts included in inventories associated with matters such as contract changes, negotiated settlements and claims for unanticipated contract costs at December 31, 2023 and December 31, 2022. 11. INVENTORIES (CONTINUED) In December 2022, the Company began a review of all businesses and programs to increase efficiencies, improve working capital management and focus on sustainable and consistent revenue and profit generating activities. As a result of this review, the Company discontinued the production of the K-MAX® medium-to-heavy lift helicopters and TITAN UAV unmanned aerial system in 2023. The Company will continue to support the existing K-MAX® fleet in operation, including providing operators with repair, spare parts and fleet services, as well as training. As a result of this decision, management wrote off $1.1 million and $44.5 million of inventory associated with these programs in the years ended December 31, 2023 and 2022. These amounts were included in program inventory impairment on the Company's Consolidated Statements of Operations. The amount written off in 2023 was comprised of unusable inventory, while the amount written off in 2022 was comprised of a lower of cost or net realizable value write down on three unsold aircraft and unusable inventory. Unusable inventory included long lead parts made specifically for the production of the K-MAX® for which there are no alternative uses and spare parts and blades that were in excess of the amounts needed to support the existing fleet. At December 31, 2023 and 2022, $18.9 million and $24.7 million, respectively, of K-MAX® inventory was included in the contracts and other work in process and finished goods portions of inventories on the Company's Consolidated Balance Sheets. Management believes that approximately $12.1 million of the K-MAX® inventory will be sold after December 31, 2024, based upon supporting the fleet for the foreseeable future. At December 31, 2023 and 2022, $5.5 million and $6.2 million, respectively, of SH-2G(I) inventory was included in the contracts and other work in process portion of inventories on the Company's Consolidated Balance Sheets. Management believes that approximately $4.2 million of the SH-2G(I) inventory will be sold after December 31, 2024. This balance represents spares requirements and inventory to be used in SH-2G programs. |
Property Plant and Equipment, N
Property Plant and Equipment, Net | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment, Net [Abstract] | |
Property, Plant and Equipment, Net | PROPERTY, PLANT AND EQUIPMENT, NET Property, plant and equipment, net is summarized as follows: At December 31, 2023 2022 In thousands Land $ 39,318 $ 38,743 Buildings 140,305 137,777 Leasehold improvements 15,761 15,778 Machinery, office furniture and equipment 282,230 260,801 Construction in process 17,875 16,596 Total 495,489 469,695 Less accumulated depreciation (290,279) (268,089) Property, plant and equipment, net $ 205,210 $ 201,606 Depreciation expense was $24.5 million, $25.4 million and $26.2 million for 2023, 2022 and 2021, respectively. Finance Leases For the years ended December 31, 2023 and 2022, $6.9 million and $9.8 million, respectively, of assets included in machinery, office furniture and equipment were accounted for as finance leases. At December 31, 2023 and 2022, the Company had accumulated depreciation of $2.7 million and $3.2 million, respectively, associated with these assets. Depreciation expense associated with the finance leases was $1.1 million, $0.9 million and $0.8 million for 2023, 2022 and 2021, respectively. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets, Net | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets, Net | GOODWILL AND OTHER INTANGIBLE ASSETS, NET Goodwill The following table sets forth the change in the carrying amount of goodwill for the Company: 2023 Engineered Products Precision Products Structures Total In thousands Gross balance at beginning of period $ 363,785 $ 41,375 $ 66,559 $ 471,719 Accumulated impairment — (25,306) (66,559) (91,865) Net balance at beginning of period 363,785 16,069 — 379,854 Additions (1) 1,487 — — 1,487 Impairments — — — — Foreign currency translation 2,656 — — 2,656 Net balance at end of period $ 367,928 $ 16,069 $ — $ 383,997 Accumulated impairment at end of period $ — $ (25,306) $ (66,559) $ (91,865) (1) The additions to goodwill in the year ended December 31, 2023 were attributable to the working capital adjustment for the Aircraft Wheel and Brake acquisition. 2022 Engineered Products Precision Products Structures Total In thousands Gross balance at beginning of period $ 199,306 $ 41,375 $ 66,559 $ 307,240 Accumulated impairment — — (66,559) (66,559) Net balance at beginning of period 199,306 41,375 — 240,681 Additions (1) 169,790 — — 169,790 Impairments (2) — (25,306) — (25,306) Foreign currency translation (5,311) — — (5,311) Net balance at end of period $ 363,785 $ 16,069 $ — $ 379,854 Accumulated impairment at end of period $ — $ (25,306) $ (66,559) $ (91,865) (1) The additions to goodwill in the year ended December 31, 2022 were attributable to the acquisition of Aircraft Wheel and Brake. (2) The impairment to goodwill in the year ended December 31, 2022 related to the KPP-Orlando reporting unit. 2023 Analysis In accordance with ASC 350, the Company evaluates goodwill for possible impairment on at least an annual basis. The Company performed a qualitative assessment for the Engineered Products reporting unit, while a quantitative assessment was performed for the Precision Products reporting unit. The qualitative assessment performed for the Engineered Products reporting unit took into consideration the following factors: general economic conditions, industry specific performance, changes in carrying values of the reporting unit, the assessment of assumptions used in the previous fair value calculations and changes in transaction multiples. The results of the analysis indicated that it is more likely than not that goodwill is not impaired and this reporting unit did not need to proceed to a quantitative assessment. 13. GOODWILL AND OTHER INTANGIBLE ASSETS, NET (CONTINUED) Goodwill - continued 2023 Analysis - continued The results of the quantitative analysis performed for the Precision Products reporting unit indicated that the fair value of the reporting unit exceeded its respective carrying value. The Company performed a sensitivity analysis relative to the discount rate and growth rate selected and determined a decrease of one percentage point in the terminal growth rate or an increase of one percentage point in the discount rate would not result in a fair value calculation less than the carrying value for the reporting unit. 2022 Analysis Qualitative assessments were performed for the Specialty Bearings, Bal Seal and Aircraft Wheel and Brake reporting units, which took into consideration the following factors: general economic conditions, industry specific performance, changes in carrying values of the reporting units, the assessment of assumptions used in the previous fair value calculations and changes in transaction multiples. The results of these analyses indicated that it is more likely than not that goodwill is not impaired and these reporting units did not need to proceed to a quantitative assessment The Company is required to evaluate goodwill for possible impairment testing if an event occurs or circumstances change that indicate that the fair value of the reporting entity may be below its carrying amount. In December 2022, the Company announced it would consolidate the production of JPF fuzes to its Middletown facility resulting in the closure of the Orlando facility in 2024 due to reduced demand as the JPF program continues to move through its life cycle. The Company considered the reduction in demand, as well as the updated forecasts for the reporting unit, which indicated the forecasted cash flows for the KPP-Orlando reporting unit were lower than amounts previously forecasted. Management performed a quantitative analysis on the KPP-Orlando reporting unit using an income methodology based on management's estimates of forecasted cash flows, with those cash flows discounted to present value using a rate commensurate with the risks associated with those cash flows. The quantitative analysis resulted in a conclusion that the fair value of the KPP-Orlando reporting unit was $25.3 million below its carrying value; therefore, goodwill was impaired. In the year ended December 31, 2022, the Company recorded a goodwill impairment charge of $25.3 million for the KPP-Orlando reporting unit resulting in an additional $16.1 million remaining. This impairment charge was included in goodwill and other intangibles impairment on the Company's Statement of Operations. In accordance with ASC 360, the Company is required to evaluate long-lived assets for possible impairment whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. In conjunction with the reduction in JPF demand and lower forecasted cash flows, the company evaluated the long-lived assets of the KPP-Orlando location for possible impairment. No such impairment was determined. Other Intangible Assets Other intangible assets consisted of: At December 31, At December 31, 2023 2022 Amortization Gross Accumulated Gross Accumulated In thousands Customer lists / relationships 6-38 years $ 364,227 $ (55,205) $ 363,549 $ (41,695) Developed technologies 7-20 years 45,281 (21,846) 45,028 (17,508) Trademarks / trade names 15-40 years 16,832 (3,850) 16,681 (3,153) Non-compete agreements and other 1-15 years 17,397 (15,515) 17,336 (7,974) Patents 2-19 years 602 (499) 551 (484) Total $ 444,339 $ (96,915) $ 443,145 $ (70,814) 13. GOODWILL AND OTHER INTANGIBLE ASSETS, NET (CONTINUED) Other Intangible Assets - continued Intangible asset amortization expense of $25.5 million, $15.3 million and $10.5 million in 2023, 2022 and 2021, respectively, was included in intangible asset amortization expense on the Company's Consolidated Statements of Operations. Estimated amortization expense for the next five years associated with intangible assets existing as of December 31, 2023 is as follows: In thousands 2024 $ 21,729 2025 $ 20,611 2026 $ 20,596 2027 $ 20,402 2028 $ 20,023 In order to determine the useful life of acquired intangible assets, the Company considers numerous factors, most importantly the industry considerations associated with the acquired entities. The Company determines the amortization period for acquired intangible assets, such as customer relationships, based primarily on an analysis of their historical customer sales attrition information and the period over which the assets are expected to deliver meaningful cash flow generation in support of the fair value of the asset. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Debt | DEBT Long-Term Debt The Company has long-term debt as follows: At December 31, 2023 2022 In thousands Revolving credit agreement $ 358,000 $ 363,000 Convertible notes 199,500 199,500 Total 557,500 562,500 Less current portion 199,500 — Total excluding current portion $ 358,000 $ 562,500 At December 31, 2023 and 2022, the current portion of long-term debt and long-term debt balances on the Company's Consolidated Balance Sheets were net of debt issuance costs of $0.4 million and $1.4 million, respectively. The weighted average interest rate on long-term borrowings outstanding as of December 31, 2023 and 2022 was 5.56% and 5.71%, respectively. The aggregate annual maturities of long-term debt for each of the next five years are approximately as follows: In thousands 2024 $ 199,500 2025 $ — 2026 $ — 2027 $ — 2028 $ 358,000 14. DEBT (CONTINUED) Convertible Notes Overview During May 2017, the Company issued $200.0 million aggregate principal amount of convertible senior unsecured notes due May 2024 (the "2024 Notes") pursuant to an indenture (the "Indenture"), dated May 12, 2017, between the Company and U.S. Bank National Association, as trustee. In connection therewith, the Company entered into certain capped call transactions that cover, collectively, the number of shares of the Company's common stock underlying the 2024 Notes. 2024 Notes On May 12, 2017, the Company issued $175.0 million in principal amount of 2024 Notes, in a private placement offering. On May 24, 2017, the Company issued an additional $25.0 million in principal amount of 2024 Notes pursuant to the initial purchasers' exercise of their overallotment option, resulting in the issuance of an aggregate $200.0 million principal amount of 2024 Notes. The 2024 Notes bear 3.25% interest per annum on the principal amount, payable semiannually in arrears on May 1 and November 1 of each year, beginning on November 1, 2017. The 2024 Notes will mature on May 1, 2024, unless earlier repurchased by the Company or converted. The Company will settle any conversions of the 2024 Notes in cash, shares of the Company's common stock or a combination of cash and shares of common stock, at the Company's election. The sale of the Distribution business in the third quarter of 2019 was deemed to be a "Fundamental Change" and a "Make-Whole Fundamental Change" pursuant to the terms and conditions of the indenture governing the 2024 Notes. As a result, the sale triggered the right of the holders of our 2024 Notes to require us to repurchase all of the 2024 Notes, or any portion thereof that is a multiple of $1,000 principal amount on September 27, 2019. The aggregate principal amount of the 2024 Notes validly tendered and not validly withdrawn was $0.5 million, representing 0.25% of all outstanding notes. Holders of such notes received the purchase price equal to 100% of the principal amount of the 2024 Notes being purchased, plus accrued and unpaid interest. The following table illustrates the conversion rate at the date of issuance of the 2024 Notes: 2024 Notes Conversion Rate per $1,000 principal amount (1) 15.3227 Conversion Price (2) $ 65.2626 Contingent Conversion Price (3) $ 84.8413 Aggregate shares to be issued upon conversion (4) 3,056,879 (1) Represents the number of shares of Common Stock hypothetically issuable per each $1,000 principal amount of 2024 Notes, subject to adjustments upon the occurrence of certain specified events in accordance with the terms of the Indenture. (2) Represents $1,000 divided by the conversion rate as of such date. The conversion price reflects the strike price of the embedded option within the 2024 Notes. If the Company's share price exceeds the conversion price at conversion, the noteholders would be entitled to receive additional consideration either in cash, shares or a combination thereof, the form of which is at the sole discretion of the Company. (3) Prior to November 1, 2023, the notes were convertible only in the following circumstances: (1) during any fiscal quarter commencing after July 1, 2017, and only during any such fiscal quarter, if the last reported sale price of the Company's common stock was greater than or equal to 130% of the applicable conversion price for at least 20 trading days (whether or not consecutive) during the 30 consecutive trading days ending on, and including, the last trading day of the immediately preceding fiscal quarter, (2) during the five consecutive business day period following any ten consecutive trading day period (the "measurement period") in which the trading price per $1,000 principal amount of 2024 Notes for each trading day of the measurement period was less than 98% of the product of the last reported sale price of the Company's common stock and the conversion rate on each such trading day or (3) upon the occurrence of specified corporate events. On or after November 1, 2023, until the close of business on the second scheduled trading day immediately preceding the maturity date, holders may convert their notes at any time, regardless of the foregoing circumstances. If the Company undergoes a fundamental change (as defined in the Indenture), holders of the notes may require the Company to repurchase all or a portion of their notes for cash at a repurchase price equal to 100% of the principal amount to be repurchased, plus any accrued and unpaid interest. As of December 31, 2023, none of the conditions permitting the holders of the 2024 Notes to convert had been met. (4) This represents the number of shares hypothetically issuable upon conversion of 100% of the outstanding aggregate principal amount of the 2024 Notes at each date; however, the terms of the 2024 Notes state that the Company may pay or deliver, as the case may be, cash, shares of the Company's common stock or a combination of cash and shares of common stock, at the Company's election. The Company will settle the Convertible notes with cash using available borrowing capacity under our Credit Agreement. 14. DEBT (CONTINUED) Convertible Notes - continued 2024 Notes - continued In connection with the 2024 Notes offering, the Company entered into capped call transactions with certain of the initial purchasers or their respective affiliates. These transactions are intended to reduce the potential dilution to the Company's shareholders and/or offset the cash payments the Company is required to make in excess of the principal amount upon any future conversion of the notes in the event that the market price per share of the Company's common stock is greater than the strike price of the capped call transactions, with such reduction and/or offset subject to a cap based on the cap price of the capped call transactions. Under the terms of the capped call transactions, the strike price ($65.2626) and the cap price ($88.7570) are each subject to adjustment in certain circumstances. In connection with establishing their initial hedges of the capped call transactions, the option counterparties or their respective affiliates entered into various derivative transactions with respect to the Company’s common stock concurrently with or shortly after the pricing of the notes. The capped call transactions, which cost an aggregate $20.5 million, were recorded as a reduction of additional paid-in capital. ASC Topic 815 - Derivatives and Hedging ("ASC 815") provides that contracts are initially classified as equity if (1) the contract requires physical settlement or net-share settlement, or (2) the contract gives the company a choice of net-cash settlement or settlement in its own shares (physical settlement or net-share settlement). The settlement terms of our capped call transactions require net-share settlement. Based on the guidance in ASC 815, the capped call transactions were recorded as a reduction of equity as of the trade date. ASC 815 states that a reporting entity shall not consider contracts to be derivative instruments if the contract issued or held by the reporting entity is both indexed to its own stock and classified in shareholders' equity in its balance sheet. The Company concluded the capped call transactions should be accounted for in shareholders' equity and are, therefore, not to be considered a derivative instrument. At issuance, ASC 470-20 - Debt with Conversion and Other Options (“ASC 470-20”) clarified the accounting for convertible debt instruments that may be settled in cash upon conversion, including partial cash settlement. ASC 470-20 specified that an issuer of such instruments should separately account for the liability and equity components of the instruments in a manner that reflects the issuer's non-convertible debt borrowing rate which interest costs are to be recognized in subsequent periods. The note payable principal balance for the 2024 Notes at the date of issuance of $200.0 million was bifurcated into the debt component of $179.5 million and the equity component of $20.5 million. The difference between the note payable principal balance and the fair value of the debt component representing the debt discount was being accreted to interest expense over the term of the 2024 Notes. The fair value of the debt component was recognized using a 5.0% discount rate, representing the Company's borrowing rate at the date of issuance for a similar debt instrument without a conversion feature with an expected life of seven years. At January 1, 2022, the Company adopted ASU 2020-06, which removed certain separation models between a debt component and equity component for certain convertible instruments. As a result, the convertible notes balance consists solely of a debt component as of the adoption. The Company incurred $7.4 million of debt issuance costs in connection with the sale of the 2024 Notes, which was allocated between the debt and equity components of the instrument at issuance. Of the total amount, $0.7 million was recorded as an offset to additional paid-in capital. The balance, $6.7 million, was recorded as a contra-debt balance and was being amortized over the term of the 2024 Notes. As a result of the adoption of ASU 2020-06, the amount recorded to additional paid-in capital was reclassified to retained earnings in the cumulative effect adjustment recorded on January 1, 2022. The remaining balance of debt issuance costs is being amortized over the term of the convertible notes. Total amortization expense for the years ended December 31, 2023, 2022 and 2021 was $1.1 million, $1.0 million and $1.1 million. Because the embedded conversion option is indexed to the Company’s own stock and would be classified in shareholders’ equity, it does not meet the criterion under ASC 815 that would require separate accounting as a derivative instrument. As of December 31, 2023, the "if converted value" did not exceed the principal amount of the 2024 Notes since the closing sales price of the Company's common stock was less than the conversion price of the 2024 Notes. 14. DEBT (CONTINUED) Convertible Notes - continued 2024 Notes - continued Interest expense associated with the 2024 Notes consisted of the following: For the year ended December 31, 2023 2022 2021 In thousands Contractual coupon rate of interest $ 6,484 $ 6,484 $ 6,484 Accretion of convertible notes discount (1) — — 2,957 Interest expense - convertible notes $ 6,484 $ 6,484 $ 9,441 (1) In accordance with ASU 2020-06, entities that previously required separate accounting for conversion features will report less interest expense as those conversion features were recorded as debt discounts which were amortized over the term of the debt. Revolving Credit Agreement On June 21, 2023 (the "Closing Date"), the Company closed an amended and restated $740.0 million Credit Agreement (the "Credit Agreement") with JPMorgan Chase Bank, N.A., as Administrative Agent and as Collateral Agent. The Credit Agreement amends and restates the Company's previously existing credit facility in its entirety to, among other things: (i) extend the maturity date to June 21, 2028; (ii) reduce the aggregate amount of revolving commitments from $800.0 million to $740.0 million; (iii) modify the financial covenants set forth in Article 6 of the previously existing credit facility; and (iv) effectuate certain additional modifications set forth in the previously existing facility, including its pricing. Capitalized terms used but not defined within this discussion of the Credit Agreement have the meanings ascribed thereto in the Credit Agreement, which, as amended, is included as Exhibit 10.42 of this Annual Report on Form 10-K. The financial covenants associated with the Credit Agreement require that (i) the Consolidated Total Net Leverage Ratio, as defined by the Credit Agreement, cannot be greater than 5.00 to 1.00 for any quarter ending on or after the Closing Date through September 28, 2023, 4.75 to 1.00 for each quarter ending thereafter through September 26, 2024, and 4.50 to 1.00 for each quarter ending thereafter through September 25, 2025 and 4.00 to 1.00 for each quarter thereafter. The Company may elect to increase the Consolidated Total Net Leverage Ratio by 0.50 to 1.00 if the Company consummates a Material Permitted Investment, which shall not exceed 5.00 to 1.00 for each of the four consecutive quarters that included the fiscal quarter in which the Material Permitted Investment is consummated. As of December 31, 2023, the Consolidated Total Net Leverage Ratio was 4.00, as calculated in accordance with the Credit Agreement. In addition to the Consolidated Total Net Leverage Ratio, as defined in the Credit Agreement and discussed above, the financial covenants associated with the Credit Agreement also include a requirement that (i) the Interest Coverage Ratio cannot be less than 3.00 to 1.00; and (ii) Liquidity cannot be less than (a) an amount equal to 50% of the aggregate principal amount of the Convertible Notes as of the last day of the third quarter of 2023 and (b) an amount equal to 100% of the aggregate principal of the 2024 Convertible Notes in the fourth quarter of 2023 and the first quarter of 2024. The Company was in compliance with these financial covenants as of and for the quarter ended December 31, 2023, and management does not anticipate noncompliance in the foreseeable future. 14. DEBT (CONTINUED) Revolving Credit Agreement - continued The following table shows the amounts available for borrowing under the Company's revolving credit facility: At December 31, 2023 2022 In thousands Total facility $ 740,000 $ 800,000 Amounts outstanding, excluding letters of credit 358,000 363,000 Amounts available for borrowing, excluding letters of credit 382,000 437,000 Letters of credit under the credit facility (1)(2) 62,798 51,630 Amounts available for borrowing $ 319,202 $ 385,370 Amounts available for borrowing subject to EBITDA, as defined by the Credit Agreement (3) $ 104,325 $ 196,256 (1) The Company has entered into standby letters of credit issued on the Company's behalf by financial institutions, and directly issued guarantees to third parties primarily related to advances received from customers and the guarantee of future performance on certain contracts. Letters of credit generally are available for draw down in the event the Company does not perform its obligations, but are not included in the calculation of available for borrowing subject to EBITDA, as defined by the Credit Agreement. (2) Of these amounts, $57.4 million and $46.1 million letters of credit relate to a certain JPF DCS contract in 2023 and 2022, respectively. (3) The Company's Convertible Notes will mature in 2024. The Company will settle the Convertible notes with cash using available borrowing capacity under our Credit Agreement. With the extension of the Credit Agreement, the Company maintained sufficient capacity to use proceeds from this facility to repay the Convertible Notes. The amounts available for borrowing subject to EBITDA represents amounts available for borrowing after considering the Company's total debt obligations including its Credit Agreement and Convertible Notes. Debt issuance costs in connection with the Credit Agreement have been capitalized. The Company incurred $4.8 million of debt issuance costs in connection with the amendment of the Credit Agreement in 2023, which are being amortized over the term of the agreement with the debt issuance costs associated with the previous existing credit facility for the lenders that remained in the Credit Agreement. In the second quarter of 2023, the Company recorded a write-off of debt issuance costs of $0.6 million related to lenders that are no longer participating in the Credit Agreement. Total amortization expense for the years ended December 31, 2023, 2022 and 2021 was $2.0 million, $1.8 million and $0.7 million, respectively. Interest rates on amounts outstanding under the Credit Agreement are variable based on the Secured Overnight Financing Rate ("SOFR"). At December 31, 2023, the interest rate was 7.23%. In addition, the Company is required to pay a quarterly commitment fee on the unused revolving loan commitment amount at a rate ranging from 0.200% to 0.350% per annum, based on the Senior Secured Net Leverage Ratio. Fees for outstanding letters of credit range from 1.375% to 2.250%, based on the Senior Secured Net Leverage Ratio. At December 31, 2023 and December 31, 2022, there was $358.0 million and $363.0 million, respectively, outstanding on the revolving credit facility. At December 31, 2022, the interest rate was 7.07%. Interest Payments Cash payments for interest were $35.6 million, $15.3 million and $11.5 million in 2023, 2022 and 2021, respectively. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2023 | |
Stockholders' Equity Note [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The components of accumulated other comprehensive income (loss) are shown below: 2023 2022 In thousands Foreign currency translation and other: Beginning balance $ (2,071) $ 8,765 Net gain (loss) on foreign currency translation 5,415 (10,836) Other comprehensive income (loss), net of tax 5,415 (10,836) Ending balance $ 3,344 $ (2,071) Pension and other post-retirement benefits (1) : Beginning balance $ (156,350) $ (120,157) Reclassification to net income Amortization of net loss, net of tax expense of $1,761 and $999, respectively 5,932 3,320 Change in net gain (loss), net of tax expense (benefit) of $1,482 and $(11,889), respectively 4,990 (39,513) Other comprehensive income (loss), net of tax 10,922 (36,193) Ending balance $ (145,428) $ (156,350) Derivative instruments: Beginning balance $ — $ 7 Gain on derivative instruments, net of tax expense of $495 and $0, respectively 1,665 — Reclassification to net income, net of tax benefit of $(346) and $0, respectively (1,165) (7) Other comprehensive income (loss), net of tax 500 (7) Ending balance $ 500 $ — Total accumulated other comprehensive loss $ (141,584) $ (158,421) (1) These accumulated other comprehensive income components are included in the computation of net periodic pension cost. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES The components of income tax expense (benefit) are as follows: For the year ended December 31, 2023 2022 2021 In thousands Current: Federal $ 2,930 $ 1,942 $ (5,614) State 728 (761) 1,061 Foreign 189 441 266 3,847 1,622 (4,287) Deferred: Federal (4,020) (15,655) 17,533 State 1,097 (3,347) 2,526 Foreign 1,814 20 1,059 (1,109) (18,982) 21,118 Income tax expense (benefit) $ 2,738 $ (17,360) $ 16,831 16. INCOME TAXES (CONTINUED) The provision for income taxes differs from that computed at the federal statutory corporate tax rate as follows: For the year ended December 31, 2023 2022 2021 In thousands Federal tax at 21% statutory rate $ 2,244 $ (13,830) $ 12,706 State income taxes, net of federal benefit 720 (3,175) 1,459 Tax effect: Research and development credits (1,570) (1,550) (1,995) Impact of entity classification election — — 894 Foreign derived intangible income benefit — (158) (494) Foreign losses for which no tax benefit has been recorded — 38 308 Change in valuation allowance 367 (94) 2,697 Equity compensation benefit 695 236 77 Nondeductible compensation 615 1,320 1,372 Cash surrender value of life insurance (408) 164 (329) Deferred tax adjustments 330 (83) — Federal benefit of NOL Carryback (253) — — Foreign rate differential 815 138 (110) Unrecognized tax benefits (1,094) (86) 47 Other, net 277 (280) 199 Income tax expense (benefit) $ 2,738 $ (17,360) $ 16,831 The 2023 effective tax rate includes a charge in the amount of $0.6 million for nondeductible compensation and $0.7 million for equity compensation. Additionally, the Company recognized benefits relating to federal research and development credits in the amount of $1.6 million and the reversal of unrecognized tax benefits in the amount of $1.1 million. The 2022 effective tax rate includes a charge in the amount of $1.3 million, for nondeductible compensation, with a portion relating to post termination payments and benefits of former executive officers. Additionally, the Company recognized benefits relating to federal research and development credits in the amount of $1.6 million. The 2021 effective tax rate includes a charge to record additiona l valuation allowances relating to the Company’s foreign and state tax loss carryforwards in the amount of $1.5 million and $1.2 million, respectively. The Company also incurred a charge in the amount of $1.4 million, primarily attributable to nondeductible compensation relating to post termination payments and benefits of former executive officers. Additionally, the Company recognized benefits relating to federal research and development credits in the amount of $2.0 million. In 2023, income tax refunds exceeded cash paid for income taxes by $8.8 million, primarily due to a federal net operating loss carryback claim. Cash payments for income taxes, net of refunds, were $2.7 million and $4.7 million in 2022 and 2021, respectively. 16. INCOME TAXES (CONTINUED) The tax effects of temporary differences that give rise to deferred tax assets and liabilities are presented below: At December 31, 2023 2022 In thousands Deferred tax assets: Deferred employee benefits $ 22,323 $ 25,763 Tax loss and credit carryforwards 21,728 17,049 Contract accounting differences 5,117 4,079 Inventory 10,216 12,069 Capitalized research and development costs 8,699 5,385 Other items 7,335 7,944 Total deferred tax assets 75,418 72,289 Deferred tax liabilities: Property, plant and equipment (11,789) (10,714) Intangibles (20,519) (15,201) Other items — (43) Total deferred tax liabilities (32,308) (25,958) Net deferred tax assets before valuation allowance 43,110 46,331 Valuation allowance (4,276) (5,025) Net deferred tax assets after valuation allowance $ 38,834 $ 41,306 As of December 31, 2023, the Company had foreign tax loss carryforwards of $1.7 million, federal and state tax loss carryforwards of $15.9 million and state credit carryforwards of $4.1 million. Tax loss and credit carryforwards associated with approximately $13.2 million of deferred tax assets have no expiration period. The remainders of the loss and credit carryforwards will expire between 2024 and 2043. As of December 31, 2022, the Company had foreign tax loss carryforwards of $4.5 million, federal and state tax loss carryforwards of $8.9 million and state credit carryforwards of $3.6 million. Tax loss and credit carryforwards associated with approximately $9.4 million of deferred tax assets have no expiration period. The remainders of the loss and credit carryforwards will expire between 2023 and 2040. A valuation allowance is required to be established unless management determines it is more likely than not that the Company will ultimately utilize the tax benefit associated with a deferred tax asset. At December 31, 2023, the Company has foreign valuation allowances of $0.7 million, and federal and state valuation allowances of $3.6 million. Management will continue to evaluate the appropriate level of valuation allowance on all deferred tax assets considering such factors as prior earnings history, expected future earnings, carryback and carryforward periods, and tax and business strategies that could potentially enhance the likelihood of realization of the deferred tax assets. Pre-tax amounts from foreign operations amounted to losses of $1.5 million in 2023, income of $2.0 million in 2022, and losses of $1.5 million in 2021. The Tax Cuts and Jobs Act required the Company to effectively recognize all foreign earnings in U.S. taxable income in the year ended December 31, 2017. Due to this provision and foreign losses incurred in prior years, there were no accumulated earnings in foreign subsidiaries for which U.S income taxes were required to be provided in 2023. The Company records a benefit for uncertain tax positions in the financial statements only when it determines it is more likely than not that such a position will be sustained upon examination by taxing authorities. Unrecognized tax benefits represent the difference between the position taken and the benefit reflected in the financial statements. 16. INCOME TAXES (CONTINUED) The change in the unrecognized tax benefits liability for 2023, 2022 and 2021 is explained as follows: 2023 2022 2021 In thousands Balance at January 1 $ 3,455 $ 3,592 $ 3,612 Additions based on current year tax positions 14 — 32 Changes for tax positions of prior years 172 211 (52) Settlements (167) (67) — Lapse of statute of limitations (1,287) (281) — Balance at December 31 (1) $ 2,187 $ 3,455 $ 3,592 (1) Including interest and penalties of $0.5 million per year in 2023, 2022 and 2021. Included in unrecognized tax benefits at December 31, 2023, were items approximating $1.7 million that, if recognized, would favorably affect the Company’s effective tax rate in future periods. The Company files tax returns in numerous U.S. and foreign jurisdictions, with returns subject to examination for varying periods, but generally back to and including 2016. During 2023, 2022 and 2021, $0.1 million or less of interest and penalties was recognized each year as a component of income tax expense. It is the Company’s policy to record interest and penalties on unrecognized tax benefits as income taxes. The Company does not anticipate any significant increases or decreases to unrecognized tax benefits during the next twelve months. |
Pension Plans
Pension Plans | 12 Months Ended |
Dec. 31, 2023 | |
Payment for Pension and Other Postretirement Benefits [Abstract] | |
Pension Plans | PENSION PLANS The Company has a non-contributory qualified defined benefit pension plan (the “Qualified Pension Plan”). On February 23, 2010, the Company’s Board of Directors approved an amendment to the Qualified Pension Plan that, among other things, closed the Qualified Pension Plan to all new hires on or after March 1, 2010, and stipulated that years of service would continue to be added for purposes of the benefit calculations only through December 31, 2015, with no further accrual of benefits for service thereafter. As a result, effective December 31, 2015, the qualified pension plan was frozen with respect to future benefit accruals. The measurement date for this plan is December 31. The Company also has a Supplemental Employees’ Retirement Plan (“SERP”), which is considered a non-qualified pension plan. The SERP provides certain key executives, whose compensation is in excess of the limitations imposed by federal law on the qualified defined benefit pension plan, with supplemental benefits based upon eligible earnings, years of service and age at retirement. During 2010, the Company's Board of Directors also approved an amendment to the SERP that made changes consistent with the pension plan amendment. The Board's Compensation Committee and the Board have not approved any new participants to the SERP since February 28, 2010, and do not intend to do so at any time in the future. The measurement date for this plan is December 31. 17. PENSION PLANS (CONTINUED) Obligations and Funded Status The changes in the actuarial present value of the projected benefit obligation and fair value of plan assets are as follows: For the year ended December 31, Qualified Pension Plan SERP 2023 2022 2023 2022 In thousands Projected benefit obligation at beginning of year $ 596,951 $ 785,795 $ 3,832 $ 5,017 Service cost 5,782 3,363 — — Interest cost 29,183 17,198 177 86 Actuarial liability loss (gain) (1) 11,973 (169,342) 240 (737) Benefit payments (44,801) (40,063) (534) (534) Projected benefit obligation at end of year $ 599,088 $ 596,951 $ 3,715 $ 3,832 Fair value of plan assets at beginning of year $ 544,642 $ 764,009 $ — $ — Actual return on plan assets 56,979 (179,304) — — Employer contributions — — 534 534 Benefit payments (44,801) (40,063) (534) (534) Fair value of plan assets at end of year $ 556,820 $ 544,642 $ — $ — Funded status at end of year $ (42,268) $ (52,309) $ (3,715) $ (3,832) Accumulated benefit obligation $ 599,088 $ 596,951 $ 3,715 $ 3,832 (1) The actuarial liability (gain) loss amount for the qualified pension plan for 2023 and 2022 was principally due to the effect of changes in the discount rate. The Company has recorded liabilities related to our qualified pension plan and SERP as follows: At December 31, Qualified Pension Plan SERP 2023 2022 2023 2022 In thousands Current liabilities (1) $ — $ — $ (518) $ (520) Noncurrent liabilities (42,268) (52,309) (3,197) (3,312) Total $ (42,268) $ (52,309) $ (3,715) $ (3,832) (1) The SERP current liabilities are included in other current liabilities on the Consolidated Balance Sheets. The following table presents amounts included in accumulated other comprehensive income on the Consolidated Balance Sheets that will be recognized as components of pension cost in future periods. At December 31, Qualified Pension Plan SERP 2023 2022 2023 2022 In thousands Unrecognized loss (gain) $ 192,490 $ 206,896 $ 173 $ (68) Amount included in accumulated other comprehensive income $ 192,490 $ 206,896 $ 173 $ (68) 17. PENSION PLANS (CONTINUED) Obligations and Funded Status - continued The pension plan net periodic benefit costs on the Consolidated Statements of Operations and other amounts recognized in other comprehensive income (loss) on the Consolidated Statements of Comprehensive Income and Consolidated Statements of Shareholders’ Equity were computed using the projected unit credit actuarial cost method and included the following components: For the year ended December 31, Qualified Pension Plan SERP 2023 2022 2021 2023 2022 2021 In thousands Service cost for benefits earned during the year $ 5,782 $ 3,363 $ 1,301 $ — $ — $ — Interest cost on projected benefit obligation 29,183 17,198 14,165 177 86 63 Expected return on plan assets (38,293) (42,177) (45,177) — — — Recognized net loss 7,693 4,258 4,444 — 61 65 Additional amount recognized due to curtailment/settlement — — — — — 211 Net pension benefit (income) cost $ 4,365 $ (17,358) $ (25,267) $ 177 $ 147 $ 339 Change in net (loss) or gain (6,713) 52,139 (8,113) 241 (737) (274) Amortization of net loss (7,693) (4,258) (4,444) — (61) (65) Total recognized in other comprehensive (loss) income $ (14,406) $ 47,881 $ (12,557) $ 241 $ (798) $ (339) Total recognized in net periodic benefit cost and other comprehensive (income) loss $ (10,041) $ 30,523 $ (37,824) $ 418 $ (651) $ — The following tables show the amount of the contributions made to the Qualified Pension Plan and SERP during each period and the amount of contributions the Company expects to make during 2024: Qualified Pension Plan SERP 2023 2022 2023 2022 In thousands Contributions $ — $ — $ 534 $ 534 Qualified Pension Plan SERP In thousands Expected contributions during 2024 $ — $ 518 17. PENSION PLANS (CONTINUED) Obligations and Funded Status - continued Expected future benefit payments are as follows: Qualified SERP In thousands 2024 $ 44,581 $ 518 2025 $ 45,263 $ 482 2026 $ 45,842 $ 447 2027 $ 46,056 $ 411 2028 $ 45,881 $ 376 2029-2033 $ 221,025 $ 1,413 Mortality is a key assumption in developing actuarial estimates, and therefore could significantly impact the valuation of the Company's obligations under the qualified pension plan and SERP. The Company reviewed the mortality data and based on the size and demographics of the plan's participant population, the Company determined the Pri-2012 Blue Collar with Scale MP-2021 mortality table was the most appropriate assumption. The Company uses the Financial Times Stock Exchange ("FTSE") Pension Discount Curve, as it is deemed to be the most appropriate basis for generating the Company's discount rate assumption, as the future cash flows of the plan are most closely aligned to the Above Median Double-A Curve. The discount rates used in determining benefit obligations of the pension plans are as follows: At December 31, Qualified Pension Plan SERP 2023 2022 2023 2022 Discount rate 4.97 % 5.19 % 4.83 % 5.04 % The actuarial assumptions used in determining the net periodic benefit cost of the pension plans are as follows: For the year ended December 31, Qualified Pension Plan SERP 2023 2022 2023 2022 Discount rate 5.19 % 2.71 % 5.04 % 2.33 % Expected return on plan assets 7.40 % 5.70 % N/A N/A Average rate of increase in compensation levels N/A N/A N/A N/A Other The Company utilizes a "spot rate approach" in the calculation of pension interest and service cost. The spot rate approach applies separate discount rates for each projected benefit payment in the calculation of pension interest and service cost. Qualified Pension Plan Assets The expected return on plan assets rate was determined based upon historical returns adjusted for estimated future market fluctuations. For 2023 and 2022, the expected rate of return on plan assets was 7.4% and 5.7%, respectively. During 2023, the actual return on pension plan assets, net of direct expenses, was 11.2%. 17. PENSION PLANS (CONTINUED) Qualified Pension Plan Assets - continued Plan assets are invested in a diversified portfolio consisting of equity and fixed income securities. The investment goals for pension plan assets are to improve and/or maintain the Plan’s funded status by generating long-term asset returns that exceed the rate of growth of the Plan’s liabilities. The Plan invests assets in a manner that seeks to (a) maximize return within reasonable and prudent levels of risk of loss of funded status; and (b) maintain sufficient liquidity to meet benefit payment obligations and other periodic cash flow requirements on a timely basis. The return generation/liability matching asset allocation ratio was 40.3%/59.7% at December 31, 2023. As the plan’s funded status changes, the Pension Administrative Committee (the management committee that is responsible for plan administration) will act through an immediate or gradual process, as appropriate, to reallocate assets. Under the current investment policy, no Investment Manager may invest in investments deemed illiquid by the Investment Manager at the time of purchase, development programs, real estate, mortgages or private equities or securities of Kaman Corporation without prior written authorization from the Pension Administrative Committee. In addition, with the exception of USG securities, managers’ holdings in the securities of any one issuer, at the time of purchase, may not exceed 7.5% of the total market value of that manager’s account. The pension plan assets are valued at fair value. The following is a description of the valuation methodologies used for the investments measured at fair value, including the general classification of such instruments pursuant to the valuation hierarchy. Short-term Investments – This investment category consists of cash and cash equivalents and futures and options contracts. Cash and cash equivalents are comprised of investments with maturities of three months or less when purchased, including certain short-term fixed-income securities, and are classified as Level 1 investments. Futures contracts and options contracts requiring the investment managers to receive from or pay to the broker an amount of cash equal to daily fluctuations are included in short-term investments and are classified as Level 2 investments. Corporate Stock – This investment category consists primarily of domestic common stock issued by U.S. corporations. Common shares are traded actively on exchanges and price quotes for these shares are readily available. Holdings of corporate stock are classified as Level 1 investments. Mutual Funds – Mutual funds are traded actively on public exchanges. The share prices for these mutual funds are published at the close of each business day. Holdings of mutual funds are classified as Level 1 investments. Common Trust Funds – Common trust funds are comprised of shares or units in commingled funds that are not publicly traded. The values of the commingled funds are not publicly quoted and must trade through a broker. For equity and fixed-income commingled funds traded through a broker, the fund administrator values the fund using the net asset value (“NAV”) per fund share, derived from the value of the underlying assets. The underlying assets in these funds (equity securities, fixed income securities and commodity-related securities) are publicly traded on exchanges and price quotes for the assets held by these funds are readily available. Holdings of common trust funds are not subject to leveling. In accordance with ASU 2015-07, Fair Value Measurement (Topic 820), certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented are intended to permit reconciliation of the fair value hierarchy to the amounts presented for the total pension plan assets. Fixed Income Securities - For fixed income securities, multiple prices and price types are obtained from pricing vendors whenever possible, which enables cross-provider validations. A primary price source is identified based on asset type, class or issue for each security. The fair values of fixed income securities are based on evaluated prices that reflect observable market information, such as actual trade information of similar securities, adjusted for observable differences, and are categorized as Level 2. These securities are primarily investment grade securities. 17. PENSION PLANS (CONTINUED) Qualified Pension Plan Assets - continued The fair values of the Company’s qualified pension plan assets at December 31, 2023 and 2022, are as follows: Total Carrying Value at December 31, 2023 Quoted prices in Significant other Significant Not subject to leveling In thousands Short-term investments: Cash and cash equivalents $ 10,029 $ 10,029 $ — $ — $ — Futures contracts - assets 4,841 — 4,841 — — Fixed income securities 267,183 — 267,183 — — Mutual funds 73,073 73,073 — — — Common trust funds 174,026 — — — 174,026 Corporate stock 24,739 24,739 — — — Subtotal $ 553,891 $ 107,841 $ 272,024 $ — $ 174,026 Accrued income/expense 2,929 93 2,836 — — Total $ 556,820 $ 107,934 $ 274,860 $ — $ 174,026 Total Carrying Value at December 31, 2022 Quoted prices in Significant other Significant Not subject to leveling In thousands Short term investments: Cash and cash equivalents $ 14,168 $ 14,168 $ — $ — $ — Futures contracts - assets 145 — 145 — — Futures contracts - liabilities (1,283) — (1,283) — — Fixed income securities 251,317 — 251,317 — — Mutual funds 73,042 73,042 — — — Common trust funds 177,894 — — — 177,894 Corporate stock 26,450 26,450 — — — Subtotal $ 541,733 $ 113,660 $ 250,179 $ — $ 177,894 Accrued income/expense 2,909 107 2,802 — — Total $ 544,642 $ 113,767 $ 252,981 $ — $ 177,894 Derivatives are primarily used to manage risk and gain asset class exposure while still maintaining liquidity. Derivative instruments mainly consist of equity futures and interest rate futures. Other Plans The Company also maintains a Defined Contribution Plan that has been adopted by most of its U.S. subsidiaries. Employees of the adopting employers who meet the eligibility requirements of the plan may participate. Employer matching contributions are made to the plan based on a percentage of each participant’s pre-tax contribution. For each dollar that a participant contributes, up to 5% of compensation, participating subsidiaries make employer contributions of one dollar. Employer contributions to the plan totaled $6.7 million, $6.4 million and $6.1 million in 2023, 2022 and 2021, respectively. One of the Company's foreign subsidiaries maintains a defined benefit plan of its own for its local employees. The net pension liability associated with this plan was not material as of December 31, 2023 and 2022. |
Other Long-term Liabilities
Other Long-term Liabilities | 12 Months Ended |
Dec. 31, 2023 | |
Other Liabilities Disclosure [Abstract] | |
Other Long-Term Liabilities | OTHER LONG-TERM LIABILITIES Other long-term liabilities consist of the following: At December 31, 2023 2022 In thousands Supplemental employees' retirement plan ("SERP") $ 3,197 $ 3,306 Deferred compensation 19,111 19,237 Noncurrent income taxes payable 2,187 3,288 Environmental remediation liability 5,478 5,376 Finance leases 832 2,002 Other 500 3,071 Total other long-term liabilities $ 31,305 $ 36,280 The Company maintains a non-qualified deferred compensation plan for certain of its employees as well as a non-qualified deferred compensation plan for its Board of Directors. Generally, participants in these plans have the ability to defer a certain amount of their compensation, as defined in the agreement. The deferred compensation liability will be paid out either upon retirement or as requested based upon certain terms in the agreements and in accordance with Internal Revenue Code Section 409A. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES Asset Retirement Obligations The Company has unrecorded Asset Retirement Obligation’s (“AROs”) that are conditional upon certain events. These AROs generally include the removal and disposition of non-friable asbestos. The Company has not recorded a liability for these conditional AROs at December 31, 2023, because the Company does not currently believe there is a reasonable basis for estimating a date or range of dates for major renovation or demolition of these facilities. In reaching this conclusion, the Company considered the historical performance of each facility and has taken into account factors such as planned maintenance, asset replacements and upgrades, which, if conducted as in the past, can extend the physical lives of the facilities indefinitely. The Company also considered the possibility of changes in technology and risk of obsolescence in arriving at its conclusion. The Company currently leases various properties under leases that give the lessor the right to make the determination as to whether the lessee must return the premises to their original condition, except for normal wear and tear. The Company does not normally make substantial modifications to leased property, and many of the Company's leases either require lessor approval of planned improvements or transfer ownership of such improvements to the lessor at the termination of the lease. Historically the Company has not incurred significant costs to return leased premises to their original condition. Environmental Costs The following table displays the activity and balances associated with accruals related to environmental costs included in other current liabilities and other long-term liabilities: 2023 2022 In thousands Balance at January 1 $ 5,836 $ 5,958 Net additions to accrual 335 382 Payments (186) (504) Balance at December 31 $ 5,985 $ 5,836 19. COMMITMENTS AND CONTINGENCIES (CONTINUED) Environmental Costs - continued Moosup In 2014, the Company sold its former manufacturing facility in Moosup, Connecticut, to TD Development, LLC ("TD"). Although TD assumed contractual and statutory responsibility for the environmental investigation and remediation work required at this site (subject to a cost-sharing arrangement with the Company), the Company may be liable for the full cost of the investigation, remediation and abatement of the site as a result of TD’s failure to perform its contractual and statutory obligations. In September 2021, TD’s principal filed for personal bankruptcy protection, and during the course of that bankruptcy proceeding, the Company has learned that neither TD nor its principal is expected to have the means to undertake the investigation, remediation and abatement of the site. The Company has filed an objection to the issuance of a discharge in the bankruptcy proceeding. In the first quarter of 2024, the Company signed a settlement agreement with TD and related parties, which provided the Company access to its former facility to update the environmental condition assessment of the property and remaining remediation efforts required, formalize the Company's oversight of the investigation and remediation activities with the Connecticut Department of Energy and Environmental Protection ("CTDEEP") and enables such investigation and remediation to be performed to commercial/industrial standard rather than the more stringent residential standard. Under this settlement agreement, the Company will undertake the investigation, remediation and abatement of the site, with a modest contribution from TD’s principal. The Company has engaged an environmental consultant to gather the appropriate data to calculate a range for the potential environmental obligation, but is currently unable to estimate the costs that are likely to be incurred in connection with these environmental investigation and remediation activities. At December 31, 2023, the Company had $3.1 million accrued for these environmental investigation and remediation activities which reflects the unused funds returned to the Company when TD ceased performing its environmental investigation and remediation efforts. There can be no assurance that this matter would not have an adverse impact on our business, financial condition, results of operation and/or cash flows. Bloomfield In August 2008, the Company completed its purchase of the portion of the Bloomfield campus that Kaman Aerospace Corporation had leased from Naval Air Systems Command ("NAVAIR") for many years. In connection with the purchase, the Company has assumed responsibility for environmental investigation and remediation at the facility as may be required under the Connecticut Transfer Act (the “Transfer Act”) and other environmental laws and it continues the effort to define the scope of the remediation that will be required by the CTDEEP. The transaction was recorded by taking the undiscounted estimated remediation liability of $20.8 million and discounting it at a rate of 8% to its present value. The fair value of the Navy Property asset, which at that time approximated the discounted present value of the assumed environmental liability of $10.3 million, is included in property, plant and equipment, net. This investigation and remediation process will take many years to complete. The total amount paid to date in connection with these environmental investigation and remediation activities is $15.5 million. At December 31, 2023, the Company had $2.3 million accrued for these environmental investigation and remediation activities. A portion ($0.4 million) of the accrual related to this property is included in other current liabilities, and the balance is included in other long-term liabilities. Although it is reasonably possible that additional costs will be paid in connection with the resolution of this matter, the Company is unable to estimate the amount of such additional costs, if any, at this time. The following represents estimated future payments for the undiscounted environmental investigation and remediation liability related to the Bloomfield campus as of December 31, 2023: In thousands 2024 $ 512 2025 — 2026 132 2027 120 2028 213 Thereafter 3,428 Total $ 4,405 19. COMMITMENTS AND CONTINGENCIES (CONTINUED) Environmental Costs - continued New Hartford In connection with sale of the Company’s Music segment in 2007, the Company assumed responsibility for meeting certain requirements of the Transfer Act that applied to the Company's sale of the Ovation guitar manufacturing business, located in New Hartford, Connecticut (“Ovation”). Under the Transfer Act, those responsibilities essentially consist of assessing the formerly leased site's environmental conditions and remediating environmental impairments, if any, caused by Ovation's operations prior to the sale of the Ovation business. The site is a multi-tenant industrial park, in which Ovation leased space. The environmental investigation, active remediation and groundwater monitoring are complete. In accordance with state laws and regulations, the Company is preparing an Environmental Land Use Restriction (i.e., deed restriction) to support closure (i.e., verification) of the Company's Transfer Act responsibilities. The Company's estimate of its portion of the cost to assess the environmental conditions and remediate this site is $2.3 million, all of which has been accrued. The total amount paid to date in connection with these environmental remediation activities is $1.8 million. At December 31, 2023, the Company had $0.5 million accrued for these environmental remediation activities. A portion ($0.1 million) of the accrual related to this property is included in other current liabilities and the balance is included in other long-term liabilities. The remaining balance of the accrual reflects the total anticipated cost of completing these environmental remediation and associated verification activities. Although it is reasonably possible that additional costs will be paid in connection with the resolution of this matter, the Company is unable to estimate the amount of such additional costs, if any, at this time. Other Matters Offset Agreement The Company has entered into offset agreements as a condition to obtaining orders from a foreign customer for the Company's JPF product. Offset agreements are designed to return economic value to the foreign country by requiring the Company to engage in activities supporting local defense or commercial industries, promoting a balance of trade, developing in-country technology capabilities or addressing other local development priorities. Such agreements may be satisfied through activities that do not require a direct cash payment, including transferring technology, providing manufacturing, training and other consulting support to in-country projects and the purchase by third parties of supplies from in-country vendors. The agreements may also be satisfied through the Company's use of cash for activities, such as subcontracting with local partners, purchasing supplies from in-country vendors, providing financial support for in-country projects and making investments in local ventures. At December 31, 2023, the aggregate amount of the Company's offset agreements had an outstanding notional value of approximately $220.9 million, which is equal to sixty percent of the contract value as defined by the agreement between the customer and the Company. The amount ultimately applied against offset agreements is based on negotiations with the customer and may require cash outlays that represent only a fraction of the notional value in the offset agreement. The Company continues to work with the customer to further define the requirements to satisfy the offset agreements. In February 2023, the Company announced that it received a Business Plan Approval Letter to establish a manufacturing and final assembly facility in collaboration with an in-country vendor, which will enhance the technological capabilities available in this country. At December 31, 2023, the Company continues to work with the Tawazun Council to identify a suitable in-country vendor to support the manufacturing and final assembly facility as the Company is no longer working with the previously announced vendor. Offset programs typically extend over several years and may provide for penalties in the event the Company fails to perform according to offset requirements. The satisfaction of the offset requirements will be determined by the customer. In the event the offset requirements of the contract are not met, the Company could be liable for potential penalties up to $18.8 million payable to the customer. Failure to satisfy the offset requirements could also negatively impact the Company's ability to attract future orders from this customer. The Company considers these potential penalties to be a reduction to the transaction price in its determination of the value of the performance obligations within these contracts. At December 31, 2023, $18.8 million in contract liabilities associated with the potential penalties of the offset requirements were included on the Company's Consolidated Balance Sheets. 19. COMMITMENTS AND CONTINGENCIES (CONTINUED) Other Matters - continued Guarantee During 2020, the Company and the USG entered into a Guaranty Agreement, pursuant to which the Company agreed to guarantee the full, complete and satisfactory performance of its subsidiary, Kaman Precision Products, Inc. ("KPPI") under all current and future contracts with the USG. The guaranty was provided in lieu of a periodic financial capability review by the Financial Capacity Team ("FCT") of the Defense Contract Management Agency ("DCMA"). During 2023, the only contract in place between KPPI and the USG related to the production and sale of the JPF. KPPI fulfilled the requirements under this contract in the second quarter of 2023 and the USG has indicated that they will not award the Company any future options. The guaranty was terminated in the fourth quarter of 2023, when the DCMA confirmed that the Company completed all obligations of this contract. On September 16, 2022, the Company acquired all of the assets and related liabilities of Parker's Aircraft Wheel and Brake division. In association with the acquisition, the Company entered into a novation agreement in which Parker's contractual obligations with respect to Aircraft Wheel and Brake at the time of the acquisition were transferred to the Company. There can be no assurance that this agreement will not have a material adverse effect on the Company's results of operations, financial position and cash flows. |
Leases (Notes)
Leases (Notes) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Leases | . LEASES The Company's operating leases consist of rent commitments under various leases for office space, warehouses, land and buildings at varying dates from January 2024 to August 2031. The terms of most of these leases are in the range of 3 to 10 years, with certain leases renewable for varying periods. It is expected that in the normal course of business leases that expire will be renewed or replaced by leases on other similar property. Some of the Company's lease obligations have rent escalations or contingent rent that are recognized on a straight-line basis over the entire lease term. Material leasehold improvements and other landlord incentives are amortized over the shorter of their economic lives or the lease term, including renewal periods, if reasonably assured. Substantially all real estate taxes, insurance and maintenance expenses associated with leased facilities are obligations of the Company. The terms for most machinery and equipment leases range from 3 to 5 years. The Company's finance leases are included in machinery, office furniture and equipment and amortization of these assets is included in depreciation and amortization expense. The terms of these leases range from 3 to 5 years. At December 31, 2023 and 2022, $6.9 million and $9.8 million, respectively, of assets included in property, plant and equipment were accounted for as finance leases. At December 31, 2023 and 2022, the Company had accumulated depreciation of $2.7 million and $3.2 million, respectively, associated with these assets. At the commencement date of a contract containing a lease, a right-of-use asset and lease liability are recorded to the Company's Consolidated Balance Sheets when the Company obtains control of the use of the asset. Right-of-use assets represent the right to use an underlying asset for the lease term and lease liabilities represent the obligation to make payments upon entering into a lease agreement. Right-of-use assets, net consisted of the following: Classification December 31, 2023 December 31, 2022 In thousands Assets Operating lease right of use assets Operating lease right-of-use assets, net $ 7,774 $ 7,391 Finance lease right of use assets Property, plant and equipment, net of accumulated depreciation 4,212 6,626 Total leased assets $ 11,986 $ 14,017 20. LEASES (CONTINUED) The lease liability and future rental payments are required under leases that have initial or remaining non-cancellable lease terms in excess of one year as of December 31, 2023. Lease liabilities consisted of the following: Classification December 31, 2023 December 31, 2022 In thousands Liabilities Current Operating lease liability, current portion Operating lease liabilities, current portion $ 3,492 $ 3,332 Finance lease liability, current portion Other current liabilities 1,213 1,756 Noncurrent Operating lease liability, noncurrent portion Operating lease liabilities, noncurrent portion 4,646 4,534 Finance lease liability, noncurrent portion Other long-term liabilities 832 2,002 Total lease liabilities $ 10,183 $ 11,624 Future rental payments consisted of the following: December 31, 2023 In thousands Operating leases 2024 $ 3,796 2025 1,996 2026 1,403 2027 853 2028 377 Thereafter 466 Total future operating lease payments $ 8,891 Interest (753) Present value of future operating lease payments $ 8,138 Finance leases 2024 $ 1,244 2025 839 2026 — 2027 — 2028 — Thereafter — Total future finance lease payments $ 2,083 Interest (38) Present value of future finance lease payments $ 2,045 Present value of total future lease payments $ 10,183 20. LEASES (CONTINUED) The following table illustrates the components of lease expense for the Company's leases. For the year ended December 31, 2023 2022 2021 In thousands Finance lease cost Amortization of right-of-use assets $ 1,071 $ 894 $ 758 Interest on lease liabilities 67 106 139 Operating lease cost 4,313 5,217 5,245 Short-term lease cost 234 328 242 Variable lease cost 608 461 79 Total lease expense $ 6,293 $ 7,006 $ 6,463 The following table segregates cash paid for the Company's leases. For the year ended December 31, 2023 2022 2021 In thousands Operating cash flows from operating leases $ (4,875) $ (6,144) $ (6,294) Operating cash flows from finance leases (1,450) (1,830) (2,028) Financing cash flows from finance leases (67) (106) (139) Total cash flows from leasing activities $ (6,392) $ (8,080) $ (8,461) During the year ended December 31, 2023, $4.2 million in right-of-use assets were obtained in exchange for new operating lease liabilities and no right-of-use assets were obtained in exchange for new finance lease liabilities. Other information related to leases is as follows: December 31, 2023 Weighted-average remaining lease term (years) Operating leases 3.3 Finance leases 1.7 Weighted-average discount rate Operating leases 4.9 % Finance leases 2.4 % |
Computation of Earnings Per Sha
Computation of Earnings Per Share | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Computation of Earnings Per Share | COMPUTATION OF EARNINGS PER SHARE The computation of basic earnings per share is based on net earnings divided by the weighted average number of shares of common stock outstanding for each year. The computation of diluted earnings per share includes the common stock equivalency of dilutive options granted to employees under the Company's stock incentive plan. For the year ended December 31, 2023 2022 2021 In thousands, except per share amounts Net earnings (loss) $ 7,947 $ (48,573) $ 43,670 Basic: Weighted average number of shares outstanding 28,208 28,011 27,865 Basic earnings (loss) per share $ 0.28 $ (1.73) $ 1.57 Diluted (1) : Weighted average number of shares outstanding 28,208 28,011 27,865 Weighted average shares issuable on exercise of dilutive stock options 135 — 26 Total 28,343 28,011 27,891 Diluted earnings (loss) per share $ 0.28 $ (1.73) $ 1.57 (1) As a result of the adoption of ASU 2020-06, the Company began calculating diluted earnings per share using the if-converted method for its convertible debt instruments in 2022. Prior to the adoption, the Company calculated diluted earnings per share for its convertible debt instruments using the treasury stock method. The Company adopted ASU 2020-06 using the modified retrospective approach; therefore, prior period results have not been retroactively adjusted. Equity awards Excluded from the diluted earnings per share calculation for the years ended December 31, 2023, 2022 and 2021, respectively, were 662,880, 714,474 and 567,741 shares associated with equity awards granted to employees that are anti-dilutive based on the average stock price. All outstanding stock awards were excluded in the computation of diluted earnings per share in the year ended December 31, 2022 because their effect was antidilutive due to the net loss. For the year ended December 31, 2022, an additional 64,767 shares, issuable under equity awards, which would have been dilutive if exercised based on the average market price being higher than the exercise price, were excluded from the computation of diluted earnings per share as their effect was antidilutive due to the net loss. 2024 Convertible Notes For the years ended December 31, 2023 and 2022, 3,056,879 shares issuable under Convertible Notes due 2024 were excluded from the diluted earnings per share calculation because their effect was antidilutive. For the year ended December 31, 2021, shares issuable under the Convertible Notes due 2024 were excluded from the diluted earnings per share calculation because the conversion price was more than the average market price of the Company's stock during the periods. |
Share-Based Arrangements
Share-Based Arrangements | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Share-based Arrangements | SHARE-BASED ARRANGEMENTS General The Company accounts for stock options, RSAs, restricted stock units ("RSUs") and PSUs as equity awards and measures the cost of all share-based payments, including stock options, at fair value on the grant date and recognizes this cost in the statement of operations. The Company also has an employee stock purchase plan which is accounted for as a liability award. The Company currently has an open stock repurchase plan, which would enable the Company to repurchase shares as needed. Since 2008, the Company has generally issued shares related to option exercises, restricted stock and PSUs from its authorized but unissued common stock. In 2023, the Company granted RSAs to non-employee consultants as payment for work performed on the KARGO UAV unmanned aerial system. 22. SHARE-BASED ARRANGEMENTS General - continued The Company's long-term incentive program has an emphasis on equity to align the interests between the Company's named executive officers ("NEOs") and shareholders and help build stock ownership for new executives, supporting both executive retention and the Company's long-term financial performance. The long-term incentive awards granted to the Company's NEOs consist of a combination of service-based RSAs and PSUs which are intended to be settled in shares. RSAs will vest over a three-year period on each of the first three anniversaries of the date of grant. The number of PSUs that will vest will be determined based on TSR and ROIC over a three-year performance period, each of which will remain equally weighted in determining payouts. The achievement level for both factors may range from zero to 200%. At the date of grant, the PSUs are assumed at 100% achievement level. As of December 31, 2023, the PSUs granted in 2023 and 2022 remain at a 100% achievement level and the PSUs granted in 2021 are at a 54% achievement level. Compensation expense for stock options, RSAs, RSUs and PSUs is recognized on a straight-line basis over the vesting period of the awards. Throughout the course of the vesting period, the Company monitors the achievement level for the ROIC metric of the PSUs compared to the ROIC target and adjusts the number of shares expected to be earned, and the related compensation expense recorded thereafter, to reflect the most probable outcome. Share-based compensation expense recorded for the years ended December 31, 2023, 2022 and 2021 was $7.7 million, $7.8 million and $6.7 million, respectively. Of these amounts, $0.3 million, $0.2 million and $0.4 million was recorded to restructuring and severance costs, respectively, and the remaining amounts were recorded to selling, general and administrative expenses on the Company's Consolidated Statements of Operations. Stock Incentive Plan On April 17, 2013, the shareholders of the Company approved the 2013 Management Incentive Plan (the "2013 Plan"), which replaced the 2003 Stock Incentive Plan. The 2013 Plan was designed as a flexible share authorization plan, such that the Company's share authorization is based on the least costly type of award (stock options). Shares issued pursuant to “Full Value Awards” as defined in the 2013 Plan (awards other than stock options or stock appreciation rights which are settled by the issuance of shares, e.g., restricted stock, restricted stock units, performance shares, performance units if settled with stock, or other stock-based awards) count against the 2013 Plan's share authorization at a rate of 3 to 1, while shares issued upon exercise of stock options or stock appreciation rights count against the share authorization at a rate of 1 to 1. This means that every time an option is granted, the authorized pool of shares is reduced by one (1) share and every time a Full Value Award is granted, the authorized pool of shares is reduced by 3 shares. In deriving the valuation ratio used in the 2013 Plan, the Company used the Black Scholes Fair Value model as the basis for determining the approximate value of an option as compared to a "full value share." The 2013 Plan provided the Company with the ability to use equity-based awards of up to 2,250,000 authorized shares. On April 18, 2018 and April 19, 2023, the shareholders of the Company approved an amendment and restatement of the 2013 Plan, which increased the number of authorized shares by 2,250,000 and 1,715,000 shares, respectively. As of December 31, 2023, there were 1,941,888 shares available for grant under the plan. Stock options were granted with an exercise price equal to the average market price of our stock at the date of grant. Stock options and Stock Appreciation Rights ("SARs") granted under the plan generally expire ten years from the date of grant and vest 20% each year over a 5-year period on each of the first five anniversaries of the date of grant. Stock options granted in 2023 and 2022 vest 33.3% each year over a 3-year period on each of the first three anniversaries of the date of grant. RSAs granted prior to 2021 were generally granted with restrictions that lapse at the rate of 20% per year over a 5-year period on each of the first five anniversaries of the date of grant. RSAs granted beginning in 2021 are generally granted with restrictions that lapse at the rate of 33.3% over a 3-year period on each of the first three anniversaries of the grant. Generally, these awards are subject to forfeiture if a recipient separates from service with the Company. Stock option activity was as follows: Options Weighted average- Options outstanding at December 31, 2022 710,782 $ 54.12 Granted 48,987 $ 24.48 Exercised — $ — Forfeited or expired (121,406) $ 53.69 Options outstanding at December 31, 2023 638,363 $ 51.93 22. SHARE-BASED ARRANGEMENTS (CONTINUED) Stock Incentive Plan - continued The following table presents information regarding options outstanding as of December 31, 2023: Weighted-average remaining contractual term - options outstanding (years) 3.5 Aggregate intrinsic value - options outstanding (in thousands) $ — Weighted-average exercise price - options outstanding $ 51.93 Options exercisable 520,278 Weighted-average remaining contractual term - options exercisable (years) 2.6 Aggregate intrinsic value - options exercisable (in thousands) $ — Weighted-average exercise price - options exercisable $ 54.64 The intrinsic value represents the amount by which the market price of the stock on the measurement date exceeds the exercise price of the option. The intrinsic value of options exercised in 2023 and 2022 was not material. The intrinsic value of options exercised in 2021 was $0.3 million. The fair value of each option award is estimated on the date of grant using the Black-Scholes option valuation model. The following table indicates the weighted-average assumptions used in estimating fair value: 2023 2022 2021 Expected option term (years) 6.9 6.5 4.9 Expected volatility 40.2 % 35.5 % 35.7 % Risk-free interest rate 4.0 % 2.9 % 0.5 % Expected dividend yield 3.3 % 2.0 % 1.6 % Per share fair value of options granted $ 8.17 $ 10.22 $ 14.89 The expected term of options granted represents the period of time option grants are expected to be outstanding based upon historical exercise patterns. Forfeitures of options are estimated based upon historical data and are adjusted based upon actual occurrences. The cumulative effect of stock award forfeitures was immaterial. The volatility assumption is based on the historical daily price data of the Company’s stock over a period equivalent to the weighted-average expected term of the options. Management evaluated whether there were factors during that period that were unusual and would distort the volatility figure if used to estimate future volatility and concluded that there were no such factors. The Company relies only on historical volatility since future volatility is expected to be consistent with historical volatility. The risk-free interest rate assumption is based upon the interpolation of various U.S. Treasury rates determined at the date of option grant. Expected dividends are based upon a historical analysis of our dividend yield over the past year. RSA and RSU activity was as follows: Restricted Stock Weighted- Restricted Stock outstanding at December 31, 2022 159,521 $ 45.78 Granted 185,353 $ 24.22 Vested (99,539) $ 45.12 Forfeited or expired (22,385) $ 35.58 Restricted Stock outstanding at December 31, 2023 222,950 $ 29.17 The grant date fair value for restricted stock is the closing price the day prior to the grant. The total fair value of restricted stock awards vested during 2023, 2022 and 2021 was $2.3 million, $3.4 million and $2.7 million, respectively. 22. SHARE-BASED ARRANGEMENTS (CONTINUED) Stock Incentive Plan - continued PSU activity was as follows: Performance Stock Weighted- Performance Stock outstanding at December 31, 2022 172,144 $ 60.44 Granted 178,385 $ 32.03 Vested — $ — Forfeited or expired (70,682) $ 48.89 Performance Stock outstanding at December 31, 2023 279,847 $ 45.25 The fair value of the PSUs based on TSR was estimated on the date of grant using a Monte-Carlo simulation model. The following table indicates the weighted-average assumptions used in estimating fair value: 2023 2022 2021 Expected term (years) 2.9 2.9 2.9 Expected volatility 41.2 % 39.4 % 41.3 % Risk-free interest rate 4.4 % 1.7 % 0.2 % Expected dividend yield 3.3 % 1.9 % 1.4 % Per share fair value of performance stock granted $ 38.83 $ 68.10 $ 84.49 The Company records a tax benefit and associated deferred tax asset for compensation expense recognized on non-qualified stock options and restricted stock for which the Company is allowed a tax deduction. For 2023, 2022 and 2021, respectively, the Company recorded a tax benefit of $0.8 million, $1.1 million and $1.4 million for these two types of compensation expense. As of December 31, 2023, future compensation costs related to non-vested stock options, restricted stock grants and PSUs is $8.7 million. The Company anticipates that this cost will be recognized over a weighted-average period of 1.8 years. Employees Stock Purchase Plan The Kaman Corporation Employees Stock Purchase Plan (“ESPP”) allows employees to purchase common stock of the Company, through payroll deductions, at 85% of the market value of shares at the time of purchase. The plan provides for the grant of rights to employees to purchase a maximum of 2,000,000 shares of common stock. During 2023, 100,697 shares were issued to employees at prices ranging from $18.61 to $26.00. During 2022, 64,143 shares were issued to employees at prices ranging from $20.37 to $43.48. During 2021, 51,225 shares were issued to employees at prices ranging from $35.67 to $58.35. At December 31, 2023, there were 287,523 shares available for purchase under the plan. |
Subsequent Event
Subsequent Event | 12 Months Ended |
Dec. 31, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Events | SUBSEQUENT EVENTS On January 19, 2024, the Company announced that it has entered into a definitive agreement to be acquired by an affiliate of Arcline Investment Management, L.P. (“Arcline”), a growth-oriented private equity firm with deep experience investing in technology-driven, meaningful-to-the-world industrial businesses, in an all-cash transaction with a total enterprise value of approximately $1.8 billion. Upon completion of the transaction, Kaman will become a privately held company. The transaction, which has been unanimously approved by the Company's Board of Directors, is expected to close in the first half of 2024, subject to customary closing conditions, including approval by the Company's shareholders and receipt of required regulatory approvals. The transaction is not subject to a financing condition. Arcline intends to fund the transaction with a combination of committed debt and equity financing. Upon completion of the transaction, the Company will become a wholly-owned subsidiary of investment funds managed by Arcline and its common stock will no longer be listed on any public stock exchange. The Company has evaluated subsequent events through the issuance date of these financial statements. Other than the matter noted above or those previously disclosed in the Notes to Consolidated Financial Statements, no material subsequent events were identified that require disclosure. |
Schedule II (Notes)
Schedule II (Notes) | 12 Months Ended |
Dec. 31, 2023 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule II - Valuation and Qualifying Accounts | KAMAN CORPORATION AND SUBSIDIARIES SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS YEARS ENDED DECEMBER 31, 2023, 2022 AND 2021 (Dollars in Thousands) Additions DESCRIPTION Balance Charged to Others (A) Deductions (B) Balance End of 2023 Allowance for doubtful accounts $ 2,066 $ 1,998 $ — $ 1,046 $ 3,018 2022 Allowance for doubtful accounts $ 1,547 $ 1,301 $ 67 $ 849 $ 2,066 2021 Allowance for doubtful accounts $ 2,008 $ 575 $ — $ 1,036 $ 1,547 (A) Additions to allowance for doubtful accounts attributable to acquisitions. (B) Recoveries and write-off of bad debts. Additions (Reductions) DESCRIPTION Balance Current Year Others Balance End 2023 Valuation allowance on deferred tax assets $ 5,025 $ 656 $ (1,405) $ 4,276 2022 Valuation allowance on deferred tax assets $ 6,022 $ 1,263 $ (2,260) $ 5,025 2021 Valuation allowance on deferred tax assets $ 10,216 $ 910 $ (5,104) $ 6,022 (a)(3) EXHIBITS. Page Number in Form 10-K An index to the exhibits filed or incorporated by reference immediately precedes such exhibits. 125 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pay vs Performance Disclosure | |||
Net earnings (loss) | $ 7,947 | $ (48,573) | $ 43,670 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements include the accounts of the Company and its subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Certain amounts in prior year financial statements and notes thereto have been reclassified to conform to current year presentation. During the second quarter of 2023, the Company identified errors related to (1) the accounting for certain labor costs at one business in the Precision Products segment and (2) the net realizable value on certain portions of the Company's inventory at another business in the Structures segment, each resulting in an overstatement of inventory and an understatement of cost of sales and related tax impacts. See Note 2, Accounting Changes , to the Consolidated Financial Statements for further information on the revision of the Company's previously issued consolidated financial statements. |
Use of Estimates | Use of Estimates The preparation of the consolidated financial statements in accordance with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Significant items subject to such estimates and assumptions include the carrying amount of property, plant and equipment, goodwill and other intangible assets; valuation allowances for receivables, inventories and income taxes; valuation of share-based compensation; assets and obligations related to employee benefits; and accounting for long-term contracts including claims. Actual results could differ from those estimates. |
Foreign Currency Translations | Foreign Currency Translation The Company has certain operations outside the United States that prepare financial statements in currencies other than the U.S. dollar. For these operations, results of operations and cash flows are translated using the average exchange rate throughout the period. Assets and liabilities are generally translated at end of period rates. The gains and losses associated with these translation adjustments are included as a component of accumulated other comprehensive income (loss) in shareholders’ equity. |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of trade accounts receivable. The carrying amounts of these items, as well as trade accounts payable and notes payable, approximate fair value due to the short-term maturity of these instruments. At December 31, 2023 and 2022, no individual customer accounted for more than 10% of consolidated accounts receivable. In the year ended December 31, 2023, two individual customers, The Boeing Company and Lockheed Martin Corporation, accounted for more than 10% of consolidated net sales. Sales to The Boeing Company were primarily made by the Engineered Products and Structures segments, while sales to Lockheed Martin Corporation were primarily made by the Precision Products and Structures segments. In the year ended December 31, 2022, one individual customer, The Boeing Company, accounted for more than 10% of consolidated net sales, which were primarily made by the Engineered Products and Structures segments. Foreign sales were approximately 42.5%, 37.2% and 41.6% of the Company’s net sales in 2023, 2022 and 2021, respectively, and are concentrated in Germany, the Middle East, United Kingdom, Canada, Switzerland, Italy, France, Japan, Poland, New Zealand and China. |
Additional Cash Flow Information | Additional Cash Flow Information Non-cash operating activities in 2023 included a barter transaction with one of our operators for K-MAX® aircraft blades with a value of $1.3 million. Non-cash investing activities in 2023 include an accrual of $2.0 million for purchases of property and equipment. Non-cash financing activities in 2023 include an adjustment to other comprehensive income related to the underfunding of the pension and SERP plans. The total net adjustment was $10.9 million, net of tax of $3.2 million. Additionally, non-cash financing activities in 2023 include $5.7 million of dividends declared but not yet paid. Non-cash operating activities in 2022 included a barter transaction with one of our operators for K-MAX® aircraft blades with a value of $0.8 million. Non-cash investing activities in 2022 include an accrual of $1.7 million for purchases of property and equipment. Non-cash financing activities in 2022 include an adjustment to other comprehensive income related to the underfunding of the pension and SERP plans. The total net adjustment was $36.2 million, net of tax of $10.9 million. Additionally, non-cash financing activities in 2022 include $5.6 million of dividends declared but not yet paid. Non-cash investing activities in 2021 include an accrual of $2.0 million for purchases of property and equipment. Non-cash financing activities in 2021 include an adjustment to other comprehensive income related to the underfunding of the pension and SERP plans. The total net adjustment was $9.9 million, net of tax of $2.9 million. Additionally, non-cash financing activities in 2021 include $5.6 million of dividends declared but not yet paid. |
Revenue Recognition | Revenue Recognition Under Accounting Standard Codification ("ASC") 606 - Revenue from Contracts with Customers, the amount of revenue recognized for any goods or services reflects the consideration that the Company expects to be entitled to receive in exchange for these goods or services. To achieve this core principle, the Company applies the following five step approach: (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to performance obligations in the contract; and (5) recognize revenue when or as a performance obligation is satisfied. A contract is accounted for when there has been approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance and collectability of consideration is probable. Performance obligations under a contract are identified based on the goods or services that will be transferred to the customer that are both capable of being distinct and are distinct in the context of the contract. In certain instances, the Company has concluded distinct goods or services should be accounted for as a single performance obligation when they are a series of distinct goods or services that have the same pattern of transfer to the customer. To the extent a contract includes multiple promised goods or services, the Company must apply judgment to determine whether the customer can benefit from the goods or services either on their own or together with other resources that are readily available to the customer (the goods or services are distinct) and if the promise to transfer the goods or services to the customer is separately identifiable from other promises in the contract (the goods or services are distinct in the context of the contract). If these criteria are not met, the promised services are accounted for as a single performance obligation. The transaction price is determined based on the consideration that the Company will be entitled to in exchange for transferring goods or services to the customer. To the extent the transaction price includes variable consideration, the Company estimates the amount of variable consideration that should be included in the transaction price, generally utilizing the most likely amount method. Determining the transaction price requires significant judgment. If the contract contains a single performance obligation, the entire transaction price is allocated to the single performance obligation. Contracts that contain multiple performance obligations require an allocation of the transaction price to each performance obligation based on a relative standalone selling price basis. Standalone selling price is determined by the price at which the performance obligation is sold separately. If the standalone selling price is not observable through past transactions, the Company estimates the standalone selling price by taking into account available information such as market conditions and internally approved pricing guidelines related to the performance obligations. Performance obligations are satisfied either over time or at a point in time as discussed in further detail below. In addition, the Company's contracts with customers generally do not include significant financing components or non-cash consideration. 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Revenue Recognition - continued In certain instances, the Company has accounted for contracts using the portfolio approach, a practical expedient permissible under the standard. The determination of when the use of the portfolio approach is appropriate requires judgment from management based on consideration of all the facts and circumstances. The Company uses the portfolio approach when the effect of accounting for a group of contracts or a group of performance obligations would not differ materially from considering each contract or performance obligation separately. This determination requires the use of estimates and assumptions that reflect the size and composition of the portfolio. The Company primarily uses the portfolio approach for its commercial and defense bearings and structures businesses. The Company's primary criteria considered when using the portfolio approach is the commonality of economic factors, which generally follow the product type based on consistent production costs and standard pricing for the products. To determine the appropriate revenue recognition model for long-term contracts, the Company evaluates whether a contract exists, considering whether multiple contracts should be combined as one single contract and then whether the contract should be accounted for as more than one performance obligation. This evaluation requires significant judgment, as these decisions could change the amount of revenue and profit recorded in a given period. For certain programs, the Company may promise to provide distinct goods or services within a contract, in which case these are separated into more than one performance obligation. For certain programs, the Company recognizes revenue over time because of continuous transfer of control to the customer. For USG contracts, this continuous transfer of control to the customer is supported by clauses in the contract that provide lien rights to the customer over the work in progress, thereby control transfers as costs are incurred. For non-USG contracts, the customer typically controls the work in progress because the Company is producing products that do not have an alternative use to the Company and where contractual termination clauses provide the Company rights to payment for work performed to date plus a reasonable profit. Revenue is recognized based on the extent of progress towards completion of the performance obligation. The selection of the method to measure progress towards completion requires judgment and is based on the nature of the products or services to be provided. The Company generally uses the cost-to-cost measure of progress for its contracts because it best depicts the transfer of assets to the customer which occurs as cost is incurred under the contracts. Under the cost-to-cost method, the extent of progress towards completion is measured based on the ratio of costs incurred to date to the total estimated costs at completion of the performance obligation. Revenues, including estimated fees or profits, are recorded proportionally as costs are incurred. Total estimated contract costs generally include labor, materials and subcontractors’ costs, other direct costs and related overhead costs. These estimates also include the estimated cost of satisfying offset obligations, as required under certain contracts. The complexity of certain programs as well as technical risks and uncertainty as to the future availability of materials and labor resources could affect the Company’s ability to accurately estimate future contract costs. For contracts that recognize revenue over time, the Company performs detailed quarterly reviews of the progress and execution of its performance obligations under these contracts. As part of this process, management reviews information including, but not limited to, any outstanding key contract matters, progress towards completion and the related program schedule, identified risks and opportunities and the related changes in estimates of revenues and costs. The risks and opportunities include management's judgment about the ability and cost to achieve the schedule (e.g. the number and type of milestone events), technical requirements (e.g., a newly-developed product versus a mature product) and other contract requirements. Management must make assumptions and estimates regarding labor productivity and availability, the complexity of the work to be performed, the availability of materials, the length of time to complete the performance obligation (e.g. to estimate increases in wages and prices for materials and related support cost allocations), execution by subcontractors, the availability and timing of funding from customers and overhead cost rates, among other variables. Based upon these reviews, the Company will record the effects of adjustments in profit estimates each period. If at any time management determines that in the case of a particular contract total costs will exceed total contract revenue, a provision for the entire anticipated contract loss is recorded at that time. The Company recognized reductions in revenue of $12.4 million, $3.5 million and $2.6 million in the years ended December 31, 2023, 2022 and 2021, respectively, due to changes in profit estimates. These decreases were primarily related to cost growth on certain legacy fuzing contracts and certain structures contracts, partially offset by favorable cost performance on the JPF contract with the USG and the JASSM® program. 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Revenue Recognition - continued Due to the nature of the work required to be performed on many of the Company's performance obligations, the estimation of total revenue and cost at completion is complex, subject to many variables and requires significant judgment. From time-to-time the Company enters into long-term contracts with the USG and other customers that contain award fees, incentive fees or other provisions that can either increase or decrease the transaction price. These variable amounts generally are awarded upon achievement of certain performance metrics, program milestones or cost targets and can be based upon customer discretion. The Company estimates variable consideration at the most likely amount to which it expects to be entitled. Estimated amounts are included in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved. Estimates of variable consideration and determination of whether to include estimated amounts in the transaction price are based largely on an assessment of the Company's anticipated performance and all information (historical, current and forecasted) that is reasonably available. The Company does not include financing components as variable consideration if less than one year. At December 31, 2023, the Company did not have any significant financing components. Contracts are often modified to account for changes in contract specifications and requirements. The Company considers contract modifications to exist when the modification either creates new or makes changes to the existing enforceable rights and obligations. Contract modifications for goods or services that are not distinct from the existing contract are accounted for as if they were part of that existing contract. In these cases, the effect of the contract modification on the transaction price and the measure of progress for the performance obligation to which it relates is recognized as an adjustment to revenue (either as an increase in or a reduction of revenue) on a cumulative catch-up basis, except when such modifications relate to a performance obligation that is a series of substantially the same distinct goods or services. If the modification relates to a performance obligation for a series of substantially the same distinct goods or services, the modification is treated prospectively. Contract modifications for goods or services that are considered distinct from the existing contract are accounted for as separate contracts. For other contracts, excluding the long-term contracts discussed above, revenue is primarily recognized at the point in time when the title transfers to the customer, as this is when the performance obligation is controlled by the customer. Additionally, a small percentage of revenue related to certain contracts for repairs and overhauls is accounted for over time under ASC 606. Under these contracts, revenue is generally recognized as work is performed in proportion to the actual costs incurred as compared to total estimated contract costs. |
Cost of Sales and Selling, General and Administrative Expenses | Cost of Sales and Selling, General and Administrative Expenses Cost of sales includes costs of products and services sold (i.e., purchased product, raw material, direct labor, engineering labor, outbound freight charges, depreciation and amortization, indirect costs and overhead charges). Selling expenses primarily consist of advertising, promotion, bid and proposal, employee payroll and corresponding benefits and commissions paid to sales and marketing personnel. General and administrative expenses primarily consist of employee payroll including executive, administrative and financial personnel and corresponding benefits, incentive compensation, consulting expenses, warehousing costs and depreciation. Legal costs are expensed as incurred and are generally included in general and administrative expenses. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include cash on hand, demand deposits and short-term cash investments. These investments are liquid in nature and have original maturities of three months or less. The Company's cash and cash equivalents at December 31, 2023 and 2022 included $2.3 million and $0.1 million of Level 1 money market funds. Bank overdraft positions, which occur when total outstanding issued checks exceed available cash balances at a single financial institution at the end of a reporting period, are reclassified to other current liabilities within the consolidated balance sheets. At December 31, 2023 and 2022, the Company had bank overdrafts of $1.6 million and $1.5 million, respectively, included in other current liabilities. |
Accounts Receivable | Accounts Receivable The Company's accounts receivable, net is comprised of three elements: (a) Trade receivables, which consist of amounts billed and currently due from customers; (b) USG contracts, which consist of (1) amounts billed, and (2) costs and accrued profit – not billed; and (c) Commercial and other government contracts, which consist of (1) amounts billed, and (2) costs and accrued profit – not billed. The amounts due are stated at their net estimated realizable value. |
Contract with Customer, Asset | Contract Assets The Company's contract assets include unbilled amounts typically resulting from sales under long-term contracts when the cost-to-cost method of revenue recognition is applied and revenue recognized exceeds the amount billed to the customer, and right to payment is not just subject to the passage of time. Amounts do not exceed their net realizable value. Contract assets are generally classified as current as such amounts are billable and collectible within twelve months. |
Capitalized Contract Cost | Contract Costs Contract costs consist of costs to fulfill and obtain a contract. Costs to fulfill a contract primarily consist of nonrecurring engineering costs incurred at the start of a new program for which such costs are expected to be recovered under existing and future contracts. Such costs are amortized over the estimated revenue amount of the contract. Costs to obtain a contract consist of commissions and agent fees paid in connection with the award of a contract. If these costs are determined to have an amortization period of less than one year, the Company applies the practical expedient and the related costs are expensed as incurred. If the amortization period is determined to be greater than a year and the incremental costs to obtaining the contract qualify as an asset, then the contract costs are recorded and amortized over the estimated contract revenue. |
Inventories | nventories The Company has the following types of inventory: (a) raw materials, (b) contracts in process and other work in process, and (c) finished goods. Raw material includes certain general stock materials but primarily relates to purchases that were made in anticipation of specific programs for which production has not been started as of the balance sheet date. Raw materials are stated at the lower of the cost of the inventory or its fair market value. Contracts in process and other work in process and finished goods are valued at production cost represented by raw material, labor and overhead. Contracts in process and other work in process and finished goods are not reported at amounts in excess of net realizable values. |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment is recorded at cost. Depreciation is computed primarily on a straight-line basis over the estimated useful lives of the assets. The estimated useful lives for buildings generally range from 15 to 40 years and for leasehold improvements range from 1 to 20 years, whereas machinery, office furniture and equipment generally have useful lives ranging from 3 to 15 years. At the time of retirement or disposal, the acquisition cost of the asset and related accumulated depreciation are eliminated and any gain or loss is credited to or charged against income. Long-lived assets, such as property, plant and equipment and purchased intangible assets subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset be tested for possible impairment, the Company first compares undiscounted cash flows expected to be generated by an asset to the carrying value of the asset. If the carrying value of the long-lived asset is not recoverable on an undiscounted cash flow basis, an impairment is recognized to the extent that the carrying value exceeds its fair value. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary. 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Property, Plant and Equipment - continued Maintenance and repair items are charged against income as incurred, whereas renewals and betterments are capitalized and depreciated. Leasing The Company accounts for leases in accordance with ASC 842 - Leases. Under ASC 842, the Company determines if a contract contains a lease at the inception date of the contract. To determine if the contract contains a lease, the Company evaluates if there is an identified asset in the contract and if the Company has control over the use of the identified asset. The Company has elected not to apply the recognition requirements of ASC 842 to short-term leases (leases that, at the commencement date, have a lease term of twelve months or less and do not include an option to purchase the underlying asset that the lessee is reasonably certain to exercise) as permissible under the standard. For short-term leases, the Company recognizes lease payments on a straight-line basis and variable payments in the period in which the obligation for those payments is incurred. The Company must classify each lease as a finance lease or an operating lease. The Company's finance leases are included in machinery, office furniture and equipment. Amortization of these assets is included in depreciation and amortization expense. The Company's operating leases consist of rent commitments under various leases for office space, warehouses, land and buildings. At the commencement date, the right-of-use asset and lease liability are recorded to the Company's Consolidated Balance Sheets when the Company obtains control of the use of the asset. Lease liabilities are recognized at commencement based on the present value of the unpaid lease payments over the lease term. The initial measurement of the right-of-use asset is equal to the total of the initial measurement of the lease liability, incremental costs to obtain the lease and prepaid lease payments, less any lease incentives received. Some of the Company's leases have fixed amount rent escalations or contingent rent that are recognized on a straight-line basis over the entire lease term. Material leasehold improvements and other landlord incentives are amortized over the shorter of their economic lives or the lease term, including renewal periods, if reasonably assured. Substantially all real estate taxes, insurance and maintenance expenses associated with leased facilities are obligations of the Company. The Company elected the practical expedient allowing the Company to combine lease and non-lease components by class as a single lease component for its real estate leases. Non-lease components for the Company's vehicles and other equipment leases are not material. The Company uses the discount rate implicit in a lease contract, if available. As most of the Company's leases do not provide an implicit rate, the Company uses the incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. Certain leases are renewable for varying periods and certain leases include options to terminate the leases. For renewal options, the Company performs an assessment at commencement if it is reasonably likely to exercise the option. The assessment is based on the Company's intentions, past practices, estimates and factors that create an economic incentive for the Company. Generally, the Company is not reasonably certain to exercise the renewal option in a lease contract as it performs an assessment for most real estate leases within six months prior to termination comparing the renewal rents under the option with the fair market returns for equivalent property under similar terms and conditions. Although the Company does not historically change locations often, it is not reasonably certain the Company will exercise the renewal option; therefore, the periods covered by the renewal option are not typically included in the lease term at commencement. While some of the Company's leases include options allowing early termination of the lease, the Company historically has not terminated its lease agreements early unless there is an economic, financial or business reason to do so; therefore, the Company does not typically consider the termination option in its lease term at commencement. 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Leasing - continued |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Goodwill represents the excess of the aggregate purchase price over the fair value of the net identifiable assets acquired in a purchase business combination and is reviewed for impairment at least annually. ASC 350 - Intangibles - Goodwill and Other permits the assessment of qualitative factors to determine whether events and circumstances lead to the conclusion that it is necessary to perform the quantitative goodwill impairment test required under ASC 350. The qualitative assessment management performs takes into consideration the following factors: general economic conditions, industry specific performance, changes in carrying values of the reporting units or asset groups, the assessment of assumptions used in the previous fair value calculation and changes in transaction multiples. In the quantitative goodwill impairment test, the fair value of the reporting unit is compared with its carrying value (including goodwill). If the fair value of the reporting unit is less than its carrying value, an impairment charge is recognized for the amount by which the carrying amount exceeds the reporting unit's fair value, assuming the loss recognized does not exceed the total amount of goodwill for the reporting unit. Fair value of the reporting unit is determined using an income methodology based on management’s estimates of forecasted cash flows for each reporting unit, with those cash flows discounted to present value using rates commensurate with the risks associated with those cash flows. |
Debt, Policy | Debt |
Unfulfilled Performance Obligations | Unfulfilled Performance Obligations Unfulfilled performance obligations ("backlog") represents the transaction price of firm orders for which work has not been performed and excludes unexercised contract options and potential orders under ordering-type contracts. As of December 31, 2023, the aggregate amount of the transaction price allocated to backlog was $749.9 million. The Company expects to recognize revenue on approximately $514.5 million of this amount over the next 12 months, with the remaining amount to be recognized thereafter. At December 31, 2022, the aggregate amount of the transaction price allocated to backlog was $720.9 million. |
Self-Insured Retentions | Self-Insured Retentions To limit exposure to losses related to group health, workers’ compensation, auto and product general liability claims, the Company obtains third-party insurance coverage. The Company has varying levels of deductibles for these claims. The total liability/deductible for group health is limited to $0.3 million per claim, workers’ compensation is limited to $0.4 million per claim and for product/general liability the limit is $0.3 million per claim. The Company pays a fixed premium for its auto liability policy; therefore, there is no deductible on claims. The cost of such benefits is recognized as expense based on claims filed in each reporting period and an estimate of claims incurred but not reported (“IBNR”) during such period. The estimates for the IBNR are based upon historical trends and information provided to us by the claims administrators, and are periodically revised to reflect changes in loss trends. These amounts are included in other current liabilities on the Consolidated Balance Sheets. Liabilities associated with these claims are estimated in part by considering historical claims experience, severity factors and other actuarial assumptions. Projections of future losses are inherently uncertain because of the random nature of insurance claim occurrences and the potential for differences between actual developments and actuarial assumptions. Such self-insurance accruals will likely include claims for which the ultimate losses will be settled over a period of years. |
Research and Development | Research and Development |
Income Taxes | Income Taxes Income taxes are accounted for using the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss, capital loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The Company records a benefit for uncertain tax positions in the financial statements only when it determines it is more likely than not that such a position will be sustained upon examination by taxing authorities based on the technical merits of the position. Unrecognized tax benefits represent the difference between the position taken in the tax return and the benefit reflected in the financial statements. |
Share-Based Payment Arrangements | Share-Based Payment Arrangements |
Environmental Costs, Policy | Environmental Remediation |
Derivative Financial Instruments | Derivative Financial Instruments |
Pension Accounting | Pension Accounting The Company accounts for its defined benefit pension plan by recognizing the overfunded or underfunded status of the plan, calculated as the difference between the plan assets and the projected benefit obligation, as an asset or liability on the balance sheet, with changes in the funded status recognized in comprehensive income in the year in which they occur. Vested benefit obligations are determined based on the present value of vested benefits to which an employee is currently entitled based on his or her expected date of separation or retirement. Expenses and liabilities associated with the plan are determined based upon actuarial valuations. Integral to the actuarial valuations are a variety of assumptions including expected return on plan assets and discount rate. The Company regularly reviews the assumptions, which are updated at the measurement date, December 31 st |
Recent Accounting Standards | Recent Accounting Standards Recent Accounting Standards Adopted In August 2020, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2020-06, "Debt - Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity". The objective of this standard update was to simplify the accounting for certain financial instruments with characteristics of liabilities and equity. The update removed certain separation models between a debt component and equity or derivative component for certain convertible instruments. Entities that previously required separate accounting for conversion features are reporting less interest expense as those conversion features were recorded as debt discounts which were amortized over the term of the debt. In addition, this ASU added new disclosure requirements for convertible instruments to improve the decision usefulness and relevance of the information being provided to users of financial statements, clarified the guidance for determining whether a contract qualifies for a scope exception from derivative accounting, and required the application of the if-converted method when calculating diluted EPS guidance to improve consistency. The standard update was effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2021. Early adoption of the standard was permitted, but no earlier than fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. An entity should adopt the guidance as of the beginning of its annual fiscal year and can do so using a modified retrospective method or fully retrospective method of transition. On January 1, 2022, the Company adopted ASU 2020-06 using the modified retrospective basis which resulted in a cumulative effect adjustment to the opening balance sheet. The prior period consolidated financial statements have not been retroactively adjusted and continue to be reported under the accounting standard in effect for the period. The cumulative effect of the adjustments recorded to the opening balance sheet on January 1, 2022 for the adoption of ASU 2020-06 was as follows: in thousands Balance at December 31, 2021 Adjustments due to ASU 2020-06 Balance at January 1, 2022 Assets Deferred income taxes (1) $ 15,717 $ 1,770 $ 17,487 Liabilities Long-term debt, excluding current portion, net of debt issuance costs (2) $ 189,421 $ 7,624 $ 197,045 Equity Additional paid-in capital (3) $ 248,153 $ (12,489) $ 235,664 Retained earnings (4)(5) $ 749,569 $ 6,635 $ 756,204 (1) Reflects the removal of the deferred tax liability associated with the portion of the convertible notes recorded to equity. (2) Reflects the adjustment to the total carrying value of the convertible senior notes to the full principal amount of the convertible notes outstanding net of issuance costs. (3) Reflects the removal of the equity component separately recorded for the conversion features associated with the convertible notes. (4) Reflects the cumulative-effect adjustment recorded to retained earnings as of January 1, 2022 as a result of adopting ASU 2020-06 using the modified retrospective method. (5) Reflects corrected errors related to the accounting for certain labor costs and the net realizable value on certain portions of the Company's inventory. See Note 2, Accounting Changes , for further information. Beginning in 2022, the Company began calculating diluted EPS using the if-converted method for its convertible debt instruments, which is not expected to have a material impact on the consolidated results. Historically, the Company used the treasury stock method to calculate diluted EPS for its convertible debt instruments. In the year ended December 31, 2022, there was no impact as diluted loss per share calculated to $1.73, using both the if-converted method and treasury stock method. Refer to Note 14, Debt, for further information on the Company's convertible notes. 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Recent Accounting Standards - continued Recent Accounting Standards Adopted - continued In March 2020, the FASB issued ASU 2020-04, "Reference Rate Reform (Topic 848) - Facilitation of the Effects of Reference Rate Reform on Financial Reporting". The objective of the standard was to address operational challenges likely to arise in accounting for contract modifications and hedge accounting due to reference rate reform. The amendments in this ASU provided optional expedients and exceptions for applying GAAP to contracts, hedging relationships and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The standard update was effective for all entities as of March 12, 2020 through December 31, 2022. Subsequent updates extended the sunset date from December 31, 2022 to December 31, 2024. An entity may elect to apply the amendments for contract modifications by topic or industry subtopic as of any date from the beginning of an interim period that includes or is subsequent to March 12, 2020, or prospectively from a date within an interim period that includes or is subsequent to March 12, 2020. Once elected for a topic or industry subtopic, the amendments in this standard update must be applied prospectively for all eligible contract modifications for that topic or industry subtopic. An entity may elect to apply the amendments for eligible hedging relationships existing as of the beginning of the interim period that includes March 12, 2020 and to new eligible hedging relationships entered into after the beginning of the interim period that includes March 12, 2020. If an entity elects to apply any of the amendments for an eligible hedging relationship existing as of the beginning of the interim period that includes March 12, 2020, any adjustments as a result of those elections must be reflected as of the beginning of that interim period. If an entity elects to apply any of the amendments for a new hedging relationship entered into between the beginning of the interim period that includes March 12, 2020 and March 12, 2020, any adjustments as a result of those elections must be reflected as of the beginning of the hedging relationship. On June 21, 2023, the Company closed an amended and restated $740.0 million Credit Agreement based on SOFR. The Company adopted this standard in 2023, which did not have a material impact on the Company's consolidated financial statements. Subsequent to the issuance of ASU 2020-04, the FASB issued the following updates: ASU 2021-01, "Reference Rate Reform (Topic 848) - Scope" and ASU 2022-06, "Reference Rate Reform (Topic 848) - Deferral of the Sunset Date of Topic 848". The amendments in these updates affect the guidance within ASU 2020-04 and were assessed with ASU 2020-04. Recent Accounting Standards Yet to be Adopted In December 2023, the FASB issued ASU 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures". The amendments in this update enhance the decision usefulness and transparency of qualitative and quantitative income tax disclosures through further disaggregation of information in the tax rate reconciliation and jurisdiction of income taxes paid discussions. This standard update is effective for fiscal years beginning after December 15, 2024, though early adoption is permitted. Retrospective application is permitted. The Company is currently assessing the impact of this standard on the Company's consolidated financial statements. In November 2023, the FASB issued ASU 2023-07, "Segment Reporting (Topic 280) - Improvements to Reportable Segment Disclosures". The amendments in this standard improve qualitative and quantitative reportable segment requirements, primarily through enhanced annual and interim disclosures of significant segment expenses that are regularly reported to the Chief Operating Decision Maker ("CODM") and included within reported measures of segment profit or loss. This standard update is effective for fiscal years beginning after December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. Once adopted, these amendments should be applied retrospectively, with segment expense categories disclosed in prior periods based on the categories identified in the period of adoption. The Company is currently assessing the impact of this standard on the Company's consolidated financial statements. |
Treasury Stock | Treasury Stock Repurchases of share awards or common stock are accounted for at cost, and are included as a component of shareholders’ equity in the Consolidated Balance Sheets. Shares repurchased by the Company are held in treasury for general purposes, including issuances under stock incentive plans. |
Contracts with Customer, Liability | Contract Liabilities The Company's contract liabilities consist of advance payments and billings in excess of revenue recognized and deferred revenue. Contract liabilities are classified as current or noncurrent based on the timing of when recognition of revenue is expected. |
Accounting Policies (Tables)
Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Table Text Block] | The cumulative effect of the adjustments recorded to the opening balance sheet on January 1, 2022 for the adoption of ASU 2020-06 was as follows: in thousands Balance at December 31, 2021 Adjustments due to ASU 2020-06 Balance at January 1, 2022 Assets Deferred income taxes (1) $ 15,717 $ 1,770 $ 17,487 Liabilities Long-term debt, excluding current portion, net of debt issuance costs (2) $ 189,421 $ 7,624 $ 197,045 Equity Additional paid-in capital (3) $ 248,153 $ (12,489) $ 235,664 Retained earnings (4)(5) $ 749,569 $ 6,635 $ 756,204 |
Accounting Changes and Error _2
Accounting Changes and Error Corrections (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Changes and Error Corrections [Abstract] | |
Schedule of Changes in Accounting Estimates - Revision | The revision to the accompanying unaudited condensed consolidated balance sheet, condensed consolidated statements of operations, condensed consolidated statements of comprehensive income and condensed consolidated statement of cash flows are as follows. There were no changes to the consolidated statement of stockholders' equity that have not otherwise been reflected in the condensed consolidated balance sheets, condensed consolidated statements of operations, and condensed consolidated statements of comprehensive income as detailed in the tables below. Condensed Consolidated Balance Sheet In thousands December 31, 2022 As Previously Reported Adjustments As Corrected Assets Inventories (1) $ 176,468 $ (4,085) $ 172,383 Income tax refunds receivable 13,981 862 14,843 Total $ 190,449 $ (3,223) $ 187,226 Shareholders' equity Retained earnings $ 688,457 $ (3,223) $ 685,234 December 31, 2021 As Previously Reported Adjustments As Corrected Assets Inventories (2) $ 193,100 $ (1,110) $ 191,990 Income tax refunds receivable 13,832 234 14,066 Total $ 206,932 $ (876) $ 206,056 Shareholders' equity Retained earnings $ 750,445 $ (876) $ 749,569 (1) At December 31, 2022, the adjustments to inventories consisted of an adjustment of $2.5 million for certain labor costs at a business within the Precision Products segment and an adjustment of $1.6 million for the net realizable value on certain portions of the inventory at a business within the Structures segment. (2) At December 31, 2021, the adjustments to inventories consisted of an adjustment of $1.1 million for certain labor costs at a business within the Precision Products segment. 2. ACCOUNTING CHANGES (CONTINUED) Revision of Previously Issued Consolidated Financial Statements - continued Condensed Consolidated Statements of Operations In thousands, except per share amounts December 31, 2022 As Previously Reported Adjustments As Corrected Cost of sales $ 464,470 $ 2,975 $ 467,445 Income tax benefit (16,732) (628) (17,360) Net loss (46,226) (2,347) (48,573) Basic loss per share $ (1.65) $ (0.08) $ (1.73) Diluted loss per share $ (1.65) $ (0.08) $ (1.73) December 31, 2021 As Previously Reported Adjustments As Corrected Cost of sales $ 472,375 $ 7 $ 472,382 Income tax expense 16,832 (1) 16,831 Net earnings 43,676 (6) 43,670 Basic earnings per share $ 1.57 $ — $ 1.57 Diluted earnings per share $ 1.57 $ — $ 1.57 Condensed Consolidated Statements of Comprehensive (Loss) Income In thousands December 31, 2022 As Previously Reported Adjustments As Corrected Comprehensive loss $ (93,262) $ (2,347) $ (95,609) December 31, 2021 As Previously Reported Adjustments As Corrected Comprehensive income $ 63,112 $ (6) $ 63,106 Condensed Consolidated Statement of Cash Flows In thousands December 31, 2022 As Previously Reported Adjustments As Corrected Net loss $ (46,226) $ (2,347) $ (48,573) Inventories (17,848) 2,975 (14,873) Income tax refunds receivable (144) (628) (772) Net cash provided by operating activities 20,969 — 20,969 December 31, 2021 As Previously Reported Adjustments As Corrected Net earnings $ 43,676 $ (6) $ 43,670 Inventories (10,357) 7 (10,350) Income tax refunds receivable (8,565) (1) (8,566) Net cash provided by operating activities 48,698 — 48,698 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 24 Months Ended |
Dec. 31, 2021 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Details of Impairment of Long-Lived Assets Held and Used by Asset | 3. DISPOSALS Mexico Business In the third quarter of 2022, the Company sold certain assets and liabilities of its Mexico operations in the Structures segment. The transaction did not meet the criteria for discontinued operations set forth in ASC 205-20 - Presentation of Financial Statements - Discontinued Operations ("ASC 205-20"), as it does not reflect a significant strategic shift that would have a major effect on the Company's operations or financial results. For the year ended December 31, 2022, the Company recorded a gain on the sale of $0.5 million, which was included in (gain) loss on sale of business on the Company's Consolidated Statement of Operations. UK Composites Business In the fourth quarter of 2020, the Company received approval from its Board of Directors to sell its UK Composites division. Subsequent to the end of the year, the Company sold its UK Composites division in a transaction that closed on February 2, 2021. An additional loss of $0.2 million was recorded in the year ended December 31, 2021 as a result of the closing. The sale of the UK Composites business did not meet the criteria set forth in ASC 205-20 , for discontinued operations as it did not reflect a significant strategic shift that would have a major effect on the Company's operations and financial results. Financial results for the UK Composites division were included in the Structures segment for the year ended December 31, 2021 within Note 5, Segment and Geographic Information . Cash and cash equivalents and restricted cash at the beginning of the period on the Company’s Consolidated Statement of Cash Flows for the year ended December 31, 2021 includes $6.6 million of cash that was included in the UK Composites business disposal group. However, given the assets of the disposal group are recognized net of the impairment charge recorded in December 31, 2020, such amounts were not reflected on the Company’s Consolidated Balance Sheet at December 31, 2020. |
Business Combinations (Tables)
Business Combinations (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Business Combinations [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | This acquisition was accounted for under the acquisition method. The assets acquired and liabilities assumed were recorded based on their fair values at the date of acquisition as follows (in thousands): Accounts receivable $ 7,635 Contract assets 171 Inventories 11,246 Property, plant and equipment 7,686 Goodwill 171,277 Other intangible assets 250,500 Contract costs, noncurrent 41 Liabilities (5,729) Net assets acquired $ 442,827 Less cash received — Net consideration $ 442,827 |
Business Acquisition, Pro Forma Information | Pro Forma Information (Unaudited) The following table reflects the unaudited pro forma operating results of the Company for the years ended December 31, 2022 and 2021 which assumes the acquisition of Aircraft Wheel and Brake occurred on January 1, 2021. The pro forma results are based on assumptions that the Company believes are reasonable under the circumstances. The pro forma results are not necessarily indicative of the operating results that would have occurred had the acquisition of Aircraft Wheel and Brake been effective January 1, 2021, nor are they intended to be indicative of results that may occur in the future. The underlying pro forma information includes the historical financial results of the Company and the acquired business adjusted for certain items discussed below. The pro forma information does not include the effects of any synergies, cost reduction initiatives or anticipated integration costs related to the acquisitions. For the year ended December 31, 2022 2021 In thousands Net sales $ 740,960 $ 778,167 Net (loss) earnings $ (44,026) $ 13,834 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment [Table] | Summarized financial information by business segment is as follows: For the year ended December 31, 2023 2022 2021 In thousands Net sales: Engineered Products $ 512,831 $ 377,241 $ 317,683 Precision Products 129,147 185,023 256,329 Structures 133,876 125,697 134,981 Net sales (1) $ 775,854 $ 687,961 $ 708,993 Operating income (loss): Engineered Products $ 107,863 $ 57,833 $ 43,097 Precision Products (4,532) 16,353 55,359 Structures (9,169) (4,623) (340) Corporate expense (40,077) (50,377) (40,519) Other unallocated expenses, net (2) (4,982) (88,504) (8,108) Operating income (loss) $ 49,103 $ (69,318) $ 49,489 Interest expense, net 39,997 16,874 16,290 Non-service pension and post retirement benefit income, net (1,240) (20,574) (26,229) Income from transition services agreement — — (931) Other (income) expense, net (339) 315 (142) Earnings (loss) before income taxes $ 10,685 $ (65,933) $ 60,501 (1) Net sales under contracts with USG agencies (including sales to foreign governments through foreign military sales contracts with USG agencies) totaled $174.8 million, $205.0 million and $230.6 million in 2023, 2022 and 2021, respectively, and represent direct and indirect sales to the USG and related agencies. (2) Other unallocated expenses, net include program inventory impairment, goodwill and other intangibles impairments, program contract costs impairment, costs from the TSA, restructuring and severance costs, gain (loss) on sale of business, and net loss (gain) on disposition of assets. |
Research and Development | The following table presents research and development costs by segment: For the year ended December 31, 2023 2022 2021 In thousands Engineered Products $ 9,382 $ 8,842 $ 8,399 Precision Products 11,215 10,508 7,443 Structures 107 202 230 Total research and development costs $ 20,704 $ 19,552 $ 16,072 |
Reconciliation of Assets from Segment to Consolidated | For the year ended December 31, 2023 2022 2021 In thousands Identifiable assets (1): Engineered Products $ 1,086,672 $ 1,052,576 $ 623,899 Precision Products 176,903 190,801 249,270 Structures 136,909 133,834 125,027 Corporate (2) 98,171 110,898 199,410 Total assets $ 1,498,655 $ 1,488,109 $ 1,197,606 Capital expenditures: Engineered Products $ 18,714 $ 14,667 $ 9,537 Precision Products 5,323 4,658 3,554 Structures 1,283 1,940 2,075 Corporate 682 2,424 2,364 Total capital expenditures $ 26,002 $ 23,689 $ 17,530 Depreciation and amortization (3): Engineered Products $ 40,408 $ 30,461 $ 26,306 Precision Products 3,292 3,663 4,148 Structures 3,106 3,519 3,462 Corporate 3,232 3,069 2,738 Total depreciation and amortization $ 50,038 $ 40,712 $ 36,654 (1) Identifiable assets are year-end assets at their respective net carrying values segregated as to segment and corporate use. (2) For the periods presented, the corporate identifiable assets are principally comprised of cash, short-term and long-term deferred income tax assets, cash surrender value of life insurance policies and fixed assets. (3) Depreciation and amortization amounts exclude amortization of debt issuance costs. |
Revenue from External Customers by Geographic Areas | Sales are attributed to geographic regions based on the location to which the product is shipped. Geographic distribution of sales recorded is as follows: For the year ended December 31, 2023 2022 2021 In thousands North America $ 482,113 $ 452,392 $ 442,432 Europe 200,885 141,657 113,811 Middle East 32,859 41,948 107,408 Asia 41,866 35,691 27,638 Oceania 10,791 10,208 14,160 Other 7,340 6,065 3,544 Total revenue $ 775,854 $ 687,961 $ 708,993 |
Reconciliation of Revenue from Segments to Consolidated | Summarized financial information by business segment is as follows: For the year ended December 31, 2023 2022 2021 In thousands Net sales: Engineered Products $ 512,831 $ 377,241 $ 317,683 Precision Products 129,147 185,023 256,329 Structures 133,876 125,697 134,981 Net sales (1) $ 775,854 $ 687,961 $ 708,993 Operating income (loss): Engineered Products $ 107,863 $ 57,833 $ 43,097 Precision Products (4,532) 16,353 55,359 Structures (9,169) (4,623) (340) Corporate expense (40,077) (50,377) (40,519) Other unallocated expenses, net (2) (4,982) (88,504) (8,108) Operating income (loss) $ 49,103 $ (69,318) $ 49,489 Interest expense, net 39,997 16,874 16,290 Non-service pension and post retirement benefit income, net (1,240) (20,574) (26,229) Income from transition services agreement — — (931) Other (income) expense, net (339) 315 (142) Earnings (loss) before income taxes $ 10,685 $ (65,933) $ 60,501 (1) Net sales under contracts with USG agencies (including sales to foreign governments through foreign military sales contracts with USG agencies) totaled $174.8 million, $205.0 million and $230.6 million in 2023, 2022 and 2021, respectively, and represent direct and indirect sales to the USG and related agencies. (2) Other unallocated expenses, net include program inventory impairment, goodwill and other intangibles impairments, program contract costs impairment, costs from the TSA, restructuring and severance costs, gain (loss) on sale of business, and net loss (gain) on disposition of assets. |
Disaggregation of Revenue [Table Text Block] | The following table disaggregates segment revenue by major product line: In thousands 2023 Engineered Products Precision Products Structures Total Defense $ 77,533 $ 25,846 $ 75,793 $ 179,172 Safe and Arm Devices — 69,445 — 69,445 Commercial, Business, & General Aviation 264,968 29,035 50,775 344,778 Medical 93,280 — 7,308 100,588 Industrial & Other 77,050 4,821 — 81,871 Total revenue $ 512,831 $ 129,147 $ 133,876 $ 775,854 2022 Engineered Products Precision Products Structures Total Defense $ 49,982 $ 22,367 $ 73,597 $ 145,946 Safe and Arm Devices — 125,685 — 125,685 Commercial, Business, & General Aviation 166,748 31,663 44,208 242,619 Medical 86,659 — 7,892 94,551 Industrial & Other 73,852 5,308 — 79,160 Total revenue $ 377,241 $ 185,023 $ 125,697 $ 687,961 2021 Engineered Products Precision Products Structures Total Defense $ 51,033 $ 30,062 $ 87,575 $ 168,670 Safe and Arm Devices — 191,524 — 191,524 Commercial, Business, & General Aviation 115,576 28,995 40,115 184,686 Medical 79,424 — 7,291 86,715 Industrial & Other 71,650 5,748 — 77,398 Total revenue $ 317,683 $ 256,329 $ 134,981 $ 708,993 5. SEGMENT AND GEOGRAPHIC INFORMATION (CONTINUED) Segment Information - continued The following table illustrates the approximate percentage of segment revenue recognized by product types. 2023 Engineered Products Precision Products Structures Total Original Equipment Manufacturer 46 % 6 % 17 % 69 % Aftermarket 20 % 4 % — % 24 % Safe and Arm Devices — % 7 % — % 7 % Total revenue 66 % 17 % 17 % 100 % 2022 Engineered Products Precision Products Structures Total Original Equipment Manufacturer 41 % 4 % 18 % 63 % Aftermarket 14 % 5 % — % 19 % Safe and Arm Devices — % 18 % — % 18 % Total revenue 55 % 27 % 18 % 100 % 2021 Engineered Products Precision Products Structures Total Original Equipment Manufacturer 35 % 5 % 19 % 59 % Aftermarket 10 % 4 % — % 14 % Safe and Arm Devices — % 27 % — % 27 % Total revenue 45 % 36 % 19 % 100 % |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas | Geographic distribution of long-lived assets is as follows: At December 31, 2023 2022 In thousands United States $ 851,182 $ 865,659 Germany 142,413 140,626 Czech Republic 4,587 4,827 Netherlands 413 509 Switzerland 663 708 Hong Kong 41 60 Total long-lived assets (1) $ 999,299 $ 1,012,389 (1) For the purpose of this disclosure the Company excluded deferred tax assets of $46.9 million and $47.4 million as of December 31, 2023 and 2022, respectively. |
Restructuring Costs (Tables)
Restructuring Costs (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Restructuring Costs [Abstract] | |
Restructuring and Related Costs | The following table summarizes the accrual balances by cost type for the restructuring actions: Severance Other (1) Total In thousands Restructuring accrual balance at December 31, 2022 (2) $ 6,629 $ — $ 6,629 Provision 2,223 919 3,142 Cash payments (6,282) (919) (7,201) Changes in foreign currency exchange rates 38 — 38 Restructuring accrual balance at December 31, 2023 (2) $ 2,608 $ — $ 2,608 |
Accounts Receivable, Net (Table
Accounts Receivable, Net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounts Receivable, after Allowance for Credit Loss [Abstract] | |
Schedule of Accounts Receivable | Accounts receivable consist of the following: At December 31, 2023 2022 In thousands Trade receivables $ 39,645 $ 31,126 U.S. Government contracts: Billed 11,353 14,150 Costs and accrued profit – not billed 779 661 Commercial and other government contracts: Billed 46,139 41,520 Costs and accrued profit – not billed 1,984 2,268 Less allowance for doubtful accounts (3,018) (2,066) Accounts receivable, net $ 96,882 $ 87,659 There were no amounts included in accounts receivable, net for matters such as contract changes, negotiated settlements and claims for unanticipated contract costs at December 31, 2023 and December 31, 2022. |
Accounts Receivable, Allowance for Credit Loss | The following table summarizes the activity in the allowance for doubtful accounts in the year ended December 31, 2023: In thousands Balance at December 31, 2022 $ (2,066) Provision (1,998) Amounts written off 676 Recoveries 380 Changes in foreign currency exchange rates (10) Balance at December 31, 2023 $ (3,018) |
Contract Assets, Contract Cos_2
Contract Assets, Contract Costs and Contract Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Contract Assets, Contract Costs and Contract Liabilities [Abstract] | |
Contract with Customer, Asset and Liability [Table Text Block] | Activity related to contract assets, contract costs and contract liabilities is as follows: December 31, 2023 December 31, 2022 $ Change % Change In thousands Contract assets (1) $ 94,091 $ 113,182 $ (19,091) (16.9) % Contract costs, current portion (2) $ 58 $ 695 $ (637) (91.7) % Contract costs, noncurrent portion (3) $ 577 $ 673 $ (96) (14.3) % Contract liabilities, current portion $ 12,284 $ 4,081 $ 8,203 201.0 % Contract liabilities, noncurrent portion $ 19,787 $ 20,515 $ (728) (3.5) % (1) The Company's contract assets were net of unliquidated progress payments, primarily from the U.S. Government, of $38.1 million and $43.3 million at December 31, 2023 and December 31, 2022, respectively. (2) Contract costs, current portion are included within other current assets on the Company's Condensed Consolidated Balance Sheets. (3) Contract costs, noncurrent portion are included within other assets on the Company's Condensed Consolidated Balance Sheets. |
Contract Assets Due to Contract Changes, Negotiated Settlements and Claims for Unanticipated Costs [Table Text Block] | Contract assets includes amounts for matters such as contract changes, negotiated settlements and claims for unanticipated contract costs. These amounts are as follows: At December 31, 2023 2022 In thousands Contract changes, negotiated settlements and claims for unanticipated contract costs $ 1,620 $ — |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Financial Instruments not Carried at Fair Value | The following table provides the carrying value and fair value of financial instruments that are not carried at fair value at December 31, 2023 and 2022: 2023 2022 Carrying Value Fair Value Carrying Value Fair Value In thousands Debt (1) $ 557,500 $ 541,915 $ 562,500 $ 547,393 (1) These amounts are classified within Level 2. |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of inventory | Inventories consist of the following: At December 31, 2023 2022 In thousands Raw materials $ 35,826 $ 24,572 Contracts in process: US Government 11,505 5,835 Commercial and other government contracts 97,013 85,436 Contracts and other work in process (including certain general stock materials) 21,017 16,532 Finished goods 42,246 40,008 Inventories $ 207,607 $ 172,383 |
Property Plant and Equipment,_2
Property Plant and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment, Net [Abstract] | |
Property, plant and equipment | Property, plant and equipment, net is summarized as follows: At December 31, 2023 2022 In thousands Land $ 39,318 $ 38,743 Buildings 140,305 137,777 Leasehold improvements 15,761 15,778 Machinery, office furniture and equipment 282,230 260,801 Construction in process 17,875 16,596 Total 495,489 469,695 Less accumulated depreciation (290,279) (268,089) Property, plant and equipment, net $ 205,210 $ 201,606 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of goodwill | The following table sets forth the change in the carrying amount of goodwill for the Company: 2023 Engineered Products Precision Products Structures Total In thousands Gross balance at beginning of period $ 363,785 $ 41,375 $ 66,559 $ 471,719 Accumulated impairment — (25,306) (66,559) (91,865) Net balance at beginning of period 363,785 16,069 — 379,854 Additions (1) 1,487 — — 1,487 Impairments — — — — Foreign currency translation 2,656 — — 2,656 Net balance at end of period $ 367,928 $ 16,069 $ — $ 383,997 Accumulated impairment at end of period $ — $ (25,306) $ (66,559) $ (91,865) (1) The additions to goodwill in the year ended December 31, 2023 were attributable to the working capital adjustment for the Aircraft Wheel and Brake acquisition. 2022 Engineered Products Precision Products Structures Total In thousands Gross balance at beginning of period $ 199,306 $ 41,375 $ 66,559 $ 307,240 Accumulated impairment — — (66,559) (66,559) Net balance at beginning of period 199,306 41,375 — 240,681 Additions (1) 169,790 — — 169,790 Impairments (2) — (25,306) — (25,306) Foreign currency translation (5,311) — — (5,311) Net balance at end of period $ 363,785 $ 16,069 $ — $ 379,854 Accumulated impairment at end of period $ — $ (25,306) $ (66,559) $ (91,865) (1) The additions to goodwill in the year ended December 31, 2022 were attributable to the acquisition of Aircraft Wheel and Brake. (2) |
Schedule of acquired finite-lived intangible assets by major class | Other intangible assets consisted of: At December 31, At December 31, 2023 2022 Amortization Gross Accumulated Gross Accumulated In thousands Customer lists / relationships 6-38 years $ 364,227 $ (55,205) $ 363,549 $ (41,695) Developed technologies 7-20 years 45,281 (21,846) 45,028 (17,508) Trademarks / trade names 15-40 years 16,832 (3,850) 16,681 (3,153) Non-compete agreements and other 1-15 years 17,397 (15,515) 17,336 (7,974) Patents 2-19 years 602 (499) 551 (484) Total $ 444,339 $ (96,915) $ 443,145 $ (70,814) |
Schedule of finite-lived intangible assets, future amortization expense | Estimated amortization expense for the next five years associated with intangible assets existing as of December 31, 2023 is as follows: In thousands 2024 $ 21,729 2025 $ 20,611 2026 $ 20,596 2027 $ 20,402 2028 $ 20,023 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debt Instrument | |
Schedule of long-term debt instruments | The Company has long-term debt as follows: At December 31, 2023 2022 In thousands Revolving credit agreement $ 358,000 $ 363,000 Convertible notes 199,500 199,500 Total 557,500 562,500 Less current portion 199,500 — Total excluding current portion $ 358,000 $ 562,500 |
Schedule of maturities of long-term debt | The aggregate annual maturities of long-term debt for each of the next five years are approximately as follows: In thousands 2024 $ 199,500 2025 $ — 2026 $ — 2027 $ — 2028 $ 358,000 |
Schedule of line of credit facilities | The following table shows the amounts available for borrowing under the Company's revolving credit facility: At December 31, 2023 2022 In thousands Total facility $ 740,000 $ 800,000 Amounts outstanding, excluding letters of credit 358,000 363,000 Amounts available for borrowing, excluding letters of credit 382,000 437,000 Letters of credit under the credit facility (1)(2) 62,798 51,630 Amounts available for borrowing $ 319,202 $ 385,370 Amounts available for borrowing subject to EBITDA, as defined by the Credit Agreement (3) $ 104,325 $ 196,256 |
2024 Notes | |
Debt Instrument | |
Schedule of changes in conversion rate for convertible notes | The following table illustrates the conversion rate at the date of issuance of the 2024 Notes: 2024 Notes Conversion Rate per $1,000 principal amount (1) 15.3227 Conversion Price (2) $ 65.2626 Contingent Conversion Price (3) $ 84.8413 Aggregate shares to be issued upon conversion (4) 3,056,879 (1) Represents the number of shares of Common Stock hypothetically issuable per each $1,000 principal amount of 2024 Notes, subject to adjustments upon the occurrence of certain specified events in accordance with the terms of the Indenture. (2) Represents $1,000 divided by the conversion rate as of such date. The conversion price reflects the strike price of the embedded option within the 2024 Notes. If the Company's share price exceeds the conversion price at conversion, the noteholders would be entitled to receive additional consideration either in cash, shares or a combination thereof, the form of which is at the sole discretion of the Company. (3) Prior to November 1, 2023, the notes were convertible only in the following circumstances: (1) during any fiscal quarter commencing after July 1, 2017, and only during any such fiscal quarter, if the last reported sale price of the Company's common stock was greater than or equal to 130% of the applicable conversion price for at least 20 trading days (whether or not consecutive) during the 30 consecutive trading days ending on, and including, the last trading day of the immediately preceding fiscal quarter, (2) during the five consecutive business day period following any ten consecutive trading day period (the "measurement period") in which the trading price per $1,000 principal amount of 2024 Notes for each trading day of the measurement period was less than 98% of the product of the last reported sale price of the Company's common stock and the conversion rate on each such trading day or (3) upon the occurrence of specified corporate events. On or after November 1, 2023, until the close of business on the second scheduled trading day immediately preceding the maturity date, holders may convert their notes at any time, regardless of the foregoing circumstances. If the Company undergoes a fundamental change (as defined in the Indenture), holders of the notes may require the Company to repurchase all or a portion of their notes for cash at a repurchase price equal to 100% of the principal amount to be repurchased, plus any accrued and unpaid interest. As of December 31, 2023, none of the conditions permitting the holders of the 2024 Notes to convert had been met. (4) This represents the number of shares hypothetically issuable upon conversion of 100% of the outstanding aggregate principal amount of the 2024 Notes at each date; however, the terms of the 2024 Notes state that the Company may pay or deliver, as the case may be, cash, shares of the Company's common stock or a combination of cash and shares of common stock, at the Company's election. The Company will settle the Convertible notes with cash using available borrowing capacity under our Credit Agreement. |
Interest expense associated with convertible notes | Interest expense associated with the 2024 Notes consisted of the following: For the year ended December 31, 2023 2022 2021 In thousands Contractual coupon rate of interest $ 6,484 $ 6,484 $ 6,484 Accretion of convertible notes discount (1) — — 2,957 Interest expense - convertible notes $ 6,484 $ 6,484 $ 9,441 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The components of accumulated other comprehensive income (loss) are shown below: 2023 2022 In thousands Foreign currency translation and other: Beginning balance $ (2,071) $ 8,765 Net gain (loss) on foreign currency translation 5,415 (10,836) Other comprehensive income (loss), net of tax 5,415 (10,836) Ending balance $ 3,344 $ (2,071) Pension and other post-retirement benefits (1) : Beginning balance $ (156,350) $ (120,157) Reclassification to net income Amortization of net loss, net of tax expense of $1,761 and $999, respectively 5,932 3,320 Change in net gain (loss), net of tax expense (benefit) of $1,482 and $(11,889), respectively 4,990 (39,513) Other comprehensive income (loss), net of tax 10,922 (36,193) Ending balance $ (145,428) $ (156,350) Derivative instruments: Beginning balance $ — $ 7 Gain on derivative instruments, net of tax expense of $495 and $0, respectively 1,665 — Reclassification to net income, net of tax benefit of $(346) and $0, respectively (1,165) (7) Other comprehensive income (loss), net of tax 500 (7) Ending balance $ 500 $ — Total accumulated other comprehensive loss $ (141,584) $ (158,421) (1) These accumulated other comprehensive income components are included in the computation of net periodic pension cost. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Components of income tax expense (benefit) associated with earnings from continuing operations | The components of income tax expense (benefit) are as follows: For the year ended December 31, 2023 2022 2021 In thousands Current: Federal $ 2,930 $ 1,942 $ (5,614) State 728 (761) 1,061 Foreign 189 441 266 3,847 1,622 (4,287) Deferred: Federal (4,020) (15,655) 17,533 State 1,097 (3,347) 2,526 Foreign 1,814 20 1,059 (1,109) (18,982) 21,118 Income tax expense (benefit) $ 2,738 $ (17,360) $ 16,831 |
Schedule of effective income tax rate reconciliation | The provision for income taxes differs from that computed at the federal statutory corporate tax rate as follows: For the year ended December 31, 2023 2022 2021 In thousands Federal tax at 21% statutory rate $ 2,244 $ (13,830) $ 12,706 State income taxes, net of federal benefit 720 (3,175) 1,459 Tax effect: Research and development credits (1,570) (1,550) (1,995) Impact of entity classification election — — 894 Foreign derived intangible income benefit — (158) (494) Foreign losses for which no tax benefit has been recorded — 38 308 Change in valuation allowance 367 (94) 2,697 Equity compensation benefit 695 236 77 Nondeductible compensation 615 1,320 1,372 Cash surrender value of life insurance (408) 164 (329) Deferred tax adjustments 330 (83) — Federal benefit of NOL Carryback (253) — — Foreign rate differential 815 138 (110) Unrecognized tax benefits (1,094) (86) 47 Other, net 277 (280) 199 Income tax expense (benefit) $ 2,738 $ (17,360) $ 16,831 |
Tax effects of temporary differences that give rise to deferred tax assets and liabilities | The tax effects of temporary differences that give rise to deferred tax assets and liabilities are presented below: At December 31, 2023 2022 In thousands Deferred tax assets: Deferred employee benefits $ 22,323 $ 25,763 Tax loss and credit carryforwards 21,728 17,049 Contract accounting differences 5,117 4,079 Inventory 10,216 12,069 Capitalized research and development costs 8,699 5,385 Other items 7,335 7,944 Total deferred tax assets 75,418 72,289 Deferred tax liabilities: Property, plant and equipment (11,789) (10,714) Intangibles (20,519) (15,201) Other items — (43) Total deferred tax liabilities (32,308) (25,958) Net deferred tax assets before valuation allowance 43,110 46,331 Valuation allowance (4,276) (5,025) Net deferred tax assets after valuation allowance $ 38,834 $ 41,306 |
Change in the liability for uncertain tax positions | The change in the unrecognized tax benefits liability for 2023, 2022 and 2021 is explained as follows: 2023 2022 2021 In thousands Balance at January 1 $ 3,455 $ 3,592 $ 3,612 Additions based on current year tax positions 14 — 32 Changes for tax positions of prior years 172 211 (52) Settlements (167) (67) — Lapse of statute of limitations (1,287) (281) — Balance at December 31 (1) $ 2,187 $ 3,455 $ 3,592 |
Pension Plans (Tables)
Pension Plans (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Payment for Pension and Other Postretirement Benefits [Abstract] | |
Changes in the actuarial present value of the projected benefit obligation and fair value of plan assets | The changes in the actuarial present value of the projected benefit obligation and fair value of plan assets are as follows: For the year ended December 31, Qualified Pension Plan SERP 2023 2022 2023 2022 In thousands Projected benefit obligation at beginning of year $ 596,951 $ 785,795 $ 3,832 $ 5,017 Service cost 5,782 3,363 — — Interest cost 29,183 17,198 177 86 Actuarial liability loss (gain) (1) 11,973 (169,342) 240 (737) Benefit payments (44,801) (40,063) (534) (534) Projected benefit obligation at end of year $ 599,088 $ 596,951 $ 3,715 $ 3,832 Fair value of plan assets at beginning of year $ 544,642 $ 764,009 $ — $ — Actual return on plan assets 56,979 (179,304) — — Employer contributions — — 534 534 Benefit payments (44,801) (40,063) (534) (534) Fair value of plan assets at end of year $ 556,820 $ 544,642 $ — $ — Funded status at end of year $ (42,268) $ (52,309) $ (3,715) $ (3,832) Accumulated benefit obligation $ 599,088 $ 596,951 $ 3,715 $ 3,832 (1) The actuarial liability (gain) loss amount for the qualified pension plan for 2023 and 2022 was principally due to the effect of changes in the discount rate. |
Liabilities related to the qualified pension plan and SERP | The Company has recorded liabilities related to our qualified pension plan and SERP as follows: At December 31, Qualified Pension Plan SERP 2023 2022 2023 2022 In thousands Current liabilities (1) $ — $ — $ (518) $ (520) Noncurrent liabilities (42,268) (52,309) (3,197) (3,312) Total $ (42,268) $ (52,309) $ (3,715) $ (3,832) (1) The SERP current liabilities are included in other current liabilities on the Consolidated Balance Sheets. |
Schedule of pension costs in future periods | The following table presents amounts included in accumulated other comprehensive income on the Consolidated Balance Sheets that will be recognized as components of pension cost in future periods. At December 31, Qualified Pension Plan SERP 2023 2022 2023 2022 In thousands Unrecognized loss (gain) $ 192,490 $ 206,896 $ 173 $ (68) Amount included in accumulated other comprehensive income $ 192,490 $ 206,896 $ 173 $ (68) |
Pension plan net periodic benefit costs and other amounts recognized in other comprehensive loss | The pension plan net periodic benefit costs on the Consolidated Statements of Operations and other amounts recognized in other comprehensive income (loss) on the Consolidated Statements of Comprehensive Income and Consolidated Statements of Shareholders’ Equity were computed using the projected unit credit actuarial cost method and included the following components: For the year ended December 31, Qualified Pension Plan SERP 2023 2022 2021 2023 2022 2021 In thousands Service cost for benefits earned during the year $ 5,782 $ 3,363 $ 1,301 $ — $ — $ — Interest cost on projected benefit obligation 29,183 17,198 14,165 177 86 63 Expected return on plan assets (38,293) (42,177) (45,177) — — — Recognized net loss 7,693 4,258 4,444 — 61 65 Additional amount recognized due to curtailment/settlement — — — — — 211 Net pension benefit (income) cost $ 4,365 $ (17,358) $ (25,267) $ 177 $ 147 $ 339 Change in net (loss) or gain (6,713) 52,139 (8,113) 241 (737) (274) Amortization of net loss (7,693) (4,258) (4,444) — (61) (65) Total recognized in other comprehensive (loss) income $ (14,406) $ 47,881 $ (12,557) $ 241 $ (798) $ (339) Total recognized in net periodic benefit cost and other comprehensive (income) loss $ (10,041) $ 30,523 $ (37,824) $ 418 $ (651) $ — |
Contributions made to the Qualified Pension Plan and SERP | The following tables show the amount of the contributions made to the Qualified Pension Plan and SERP during each period and the amount of contributions the Company expects to make during 2024: Qualified Pension Plan SERP 2023 2022 2023 2022 In thousands Contributions $ — $ — $ 534 $ 534 Qualified Pension Plan SERP In thousands Expected contributions during 2024 $ — $ 518 |
Actuarial assumptions used in determining benefit obligations and net periodic benefit of the pension plans | Expected future benefit payments are as follows: Qualified SERP In thousands 2024 $ 44,581 $ 518 2025 $ 45,263 $ 482 2026 $ 45,842 $ 447 2027 $ 46,056 $ 411 2028 $ 45,881 $ 376 2029-2033 $ 221,025 $ 1,413 |
Schedule of actuarial assumptions used in determining benefit obligations and net periodic benefit cost of the pension plans | The discount rates used in determining benefit obligations of the pension plans are as follows: At December 31, Qualified Pension Plan SERP 2023 2022 2023 2022 Discount rate 4.97 % 5.19 % 4.83 % 5.04 % The actuarial assumptions used in determining the net periodic benefit cost of the pension plans are as follows: For the year ended December 31, Qualified Pension Plan SERP 2023 2022 2023 2022 Discount rate 5.19 % 2.71 % 5.04 % 2.33 % Expected return on plan assets 7.40 % 5.70 % N/A N/A Average rate of increase in compensation levels N/A N/A N/A N/A |
Fair value of the Company’s qualified pension plan assets | The fair values of the Company’s qualified pension plan assets at December 31, 2023 and 2022, are as follows: Total Carrying Value at December 31, 2023 Quoted prices in Significant other Significant Not subject to leveling In thousands Short-term investments: Cash and cash equivalents $ 10,029 $ 10,029 $ — $ — $ — Futures contracts - assets 4,841 — 4,841 — — Fixed income securities 267,183 — 267,183 — — Mutual funds 73,073 73,073 — — — Common trust funds 174,026 — — — 174,026 Corporate stock 24,739 24,739 — — — Subtotal $ 553,891 $ 107,841 $ 272,024 $ — $ 174,026 Accrued income/expense 2,929 93 2,836 — — Total $ 556,820 $ 107,934 $ 274,860 $ — $ 174,026 Total Carrying Value at December 31, 2022 Quoted prices in Significant other Significant Not subject to leveling In thousands Short term investments: Cash and cash equivalents $ 14,168 $ 14,168 $ — $ — $ — Futures contracts - assets 145 — 145 — — Futures contracts - liabilities (1,283) — (1,283) — — Fixed income securities 251,317 — 251,317 — — Mutual funds 73,042 73,042 — — — Common trust funds 177,894 — — — 177,894 Corporate stock 26,450 26,450 — — — Subtotal $ 541,733 $ 113,660 $ 250,179 $ — $ 177,894 Accrued income/expense 2,909 107 2,802 — — Total $ 544,642 $ 113,767 $ 252,981 $ — $ 177,894 |
Other Long-Term Liabilities (Ta
Other Long-Term Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of other long-term liabilities | Other long-term liabilities consist of the following: At December 31, 2023 2022 In thousands Supplemental employees' retirement plan ("SERP") $ 3,197 $ 3,306 Deferred compensation 19,111 19,237 Noncurrent income taxes payable 2,187 3,288 Environmental remediation liability 5,478 5,376 Finance leases 832 2,002 Other 500 3,071 Total other long-term liabilities $ 31,305 $ 36,280 |
Commitment and Contingencies (T
Commitment and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of change in environmental remediation | The following table displays the activity and balances associated with accruals related to environmental costs included in other current liabilities and other long-term liabilities: 2023 2022 In thousands Balance at January 1 $ 5,836 $ 5,958 Net additions to accrual 335 382 Payments (186) (504) Balance at December 31 $ 5,985 $ 5,836 |
Schedule of future payments for environmental remediation | The following represents estimated future payments for the undiscounted environmental investigation and remediation liability related to the Bloomfield campus as of December 31, 2023: In thousands 2024 $ 512 2025 — 2026 132 2027 120 2028 213 Thereafter 3,428 Total $ 4,405 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Schedule of Lease Right of Use Assets [Table Text Block] | Right-of-use assets, net consisted of the following: Classification December 31, 2023 December 31, 2022 In thousands Assets Operating lease right of use assets Operating lease right-of-use assets, net $ 7,774 $ 7,391 Finance lease right of use assets Property, plant and equipment, net of accumulated depreciation 4,212 6,626 Total leased assets $ 11,986 $ 14,017 |
Schedule of Lease Liabilities [Table Text Block] | Lease liabilities consisted of the following: Classification December 31, 2023 December 31, 2022 In thousands Liabilities Current Operating lease liability, current portion Operating lease liabilities, current portion $ 3,492 $ 3,332 Finance lease liability, current portion Other current liabilities 1,213 1,756 Noncurrent Operating lease liability, noncurrent portion Operating lease liabilities, noncurrent portion 4,646 4,534 Finance lease liability, noncurrent portion Other long-term liabilities 832 2,002 Total lease liabilities $ 10,183 $ 11,624 |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | Future rental payments consisted of the following: December 31, 2023 In thousands Operating leases 2024 $ 3,796 2025 1,996 2026 1,403 2027 853 2028 377 Thereafter 466 Total future operating lease payments $ 8,891 Interest (753) Present value of future operating lease payments $ 8,138 Finance leases 2024 $ 1,244 2025 839 2026 — 2027 — 2028 — Thereafter — Total future finance lease payments $ 2,083 Interest (38) Present value of future finance lease payments $ 2,045 Present value of total future lease payments $ 10,183 |
Lease, Cost [Table Text Block] | The following table illustrates the components of lease expense for the Company's leases. For the year ended December 31, 2023 2022 2021 In thousands Finance lease cost Amortization of right-of-use assets $ 1,071 $ 894 $ 758 Interest on lease liabilities 67 106 139 Operating lease cost 4,313 5,217 5,245 Short-term lease cost 234 328 242 Variable lease cost 608 461 79 Total lease expense $ 6,293 $ 7,006 $ 6,463 |
Schedule of Cash Flows, Leasing | The following table segregates cash paid for the Company's leases. For the year ended December 31, 2023 2022 2021 In thousands Operating cash flows from operating leases $ (4,875) $ (6,144) $ (6,294) Operating cash flows from finance leases (1,450) (1,830) (2,028) Financing cash flows from finance leases (67) (106) (139) Total cash flows from leasing activities $ (6,392) $ (8,080) $ (8,461) |
Lessee, Additional Lease Information [Table Text Block] | Other information related to leases is as follows: December 31, 2023 Weighted-average remaining lease term (years) Operating leases 3.3 Finance leases 1.7 Weighted-average discount rate Operating leases 4.9 % Finance leases 2.4 % |
Computation of Earnings Per S_2
Computation of Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of earnings per share, basic and diluted | For the year ended December 31, 2023 2022 2021 In thousands, except per share amounts Net earnings (loss) $ 7,947 $ (48,573) $ 43,670 Basic: Weighted average number of shares outstanding 28,208 28,011 27,865 Basic earnings (loss) per share $ 0.28 $ (1.73) $ 1.57 Diluted (1) : Weighted average number of shares outstanding 28,208 28,011 27,865 Weighted average shares issuable on exercise of dilutive stock options 135 — 26 Total 28,343 28,011 27,891 Diluted earnings (loss) per share $ 0.28 $ (1.73) $ 1.57 (1) As a result of the adoption of ASU 2020-06, the Company began calculating diluted earnings per share using the if-converted method for its convertible debt instruments in 2022. Prior to the adoption, the Company calculated diluted earnings per share for its convertible debt instruments using the treasury stock method. The Company adopted ASU 2020-06 using the modified retrospective approach; therefore, prior period results have not been retroactively adjusted. |
Share-Based Arrangements (Table
Share-Based Arrangements (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of share-based compensation, stock options, activity | Stock option activity was as follows: Options Weighted average- Options outstanding at December 31, 2022 710,782 $ 54.12 Granted 48,987 $ 24.48 Exercised — $ — Forfeited or expired (121,406) $ 53.69 Options outstanding at December 31, 2023 638,363 $ 51.93 |
Schedule of share-based compensation arrangement by share-based payment award, options, vested and expected to vest, outstanding | The following table presents information regarding options outstanding as of December 31, 2023: Weighted-average remaining contractual term - options outstanding (years) 3.5 Aggregate intrinsic value - options outstanding (in thousands) $ — Weighted-average exercise price - options outstanding $ 51.93 Options exercisable 520,278 Weighted-average remaining contractual term - options exercisable (years) 2.6 Aggregate intrinsic value - options exercisable (in thousands) $ — Weighted-average exercise price - options exercisable $ 54.64 |
Schedule of share-based payment award, stock options, valuation assumptions | The fair value of each option award is estimated on the date of grant using the Black-Scholes option valuation model. The following table indicates the weighted-average assumptions used in estimating fair value: 2023 2022 2021 Expected option term (years) 6.9 6.5 4.9 Expected volatility 40.2 % 35.5 % 35.7 % Risk-free interest rate 4.0 % 2.9 % 0.5 % Expected dividend yield 3.3 % 2.0 % 1.6 % Per share fair value of options granted $ 8.17 $ 10.22 $ 14.89 |
Schedule of share-based compensation, restricted stock and restricted stock units activity | RSA and RSU activity was as follows: Restricted Stock Weighted- Restricted Stock outstanding at December 31, 2022 159,521 $ 45.78 Granted 185,353 $ 24.22 Vested (99,539) $ 45.12 Forfeited or expired (22,385) $ 35.58 Restricted Stock outstanding at December 31, 2023 222,950 $ 29.17 |
Share-Based Payment Arrangement, Performance Shares, Activity | PSU activity was as follows: Performance Stock Weighted- Performance Stock outstanding at December 31, 2022 172,144 $ 60.44 Granted 178,385 $ 32.03 Vested — $ — Forfeited or expired (70,682) $ 48.89 Performance Stock outstanding at December 31, 2023 279,847 $ 45.25 |
Schedule of Share-Based Payment Award, Performance Share, Valuation Assumptions | The following table indicates the weighted-average assumptions used in estimating fair value: 2023 2022 2021 Expected term (years) 2.9 2.9 2.9 Expected volatility 41.2 % 39.4 % 41.3 % Risk-free interest rate 4.4 % 1.7 % 0.2 % Expected dividend yield 3.3 % 1.9 % 1.4 % Per share fair value of performance stock granted $ 38.83 $ 68.10 $ 84.49 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Segments) (Details) | 12 Months Ended |
Dec. 31, 2023 segment | |
Accounting Policies [Abstract] | |
Primary business segments number | 3 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Basis of Presentation) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Basis of Presentation [Abstract] | |||
Gain (Loss) on Disposition of Business | $ 0 | $ 457 | $ (234) |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Concentration) (Details) - Customers | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Sales Revenue, Net | |||
Concentration Risk [Line Items] | |||
Concentration Risk, Threshold Percentage | 10% | ||
Accounts receivable | |||
Concentration Risk [Line Items] | |||
Number of customers that exceeded threshold | 0 | 0 | |
Sales [Member] | |||
Concentration Risk [Line Items] | |||
Number of customers that exceeded threshold | 2 | 1 | |
Foreign sales | Sales Revenue, Net | Geographic Distribution, Foreign | |||
Concentration Risk [Line Items] | |||
Concentration risk | 42.50% | 37.20% | 41.60% |
Customer Concentration Risk | Sales Revenue, Net | |||
Concentration Risk [Line Items] | |||
Concentration Risk, Threshold Percentage | 10% | ||
Customer Concentration Risk | Accounts receivable | |||
Concentration Risk [Line Items] | |||
Concentration Risk, Threshold Percentage | 10% | 10% |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Additional Cash Flow) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Noncash or Part Noncash Acquisitions [Line Items] | |||
Total net adjustment | $ 10,900 | $ (36,200) | $ 9,900 |
Adjustments to other comprehensive income related to underfunding of pension and SERP plans and changes in fair value of derivative financial instruments, tax | 3,200 | (10,900) | 2,900 |
Dividends declared but not yet paid | 5,700 | 5,600 | 5,600 |
Accrual for purchases of property and equipment | 2,000 | 1,700 | 2,000 |
Gain (Loss) on Disposition of Business | 0 | 457 | (234) |
Gain (Loss) on Disposition of Business, Non Cash | 0 | 457 | (234) |
Noncash Consideration on Sale of Aircraft | (1,309) | (827) | 0 |
K-MAX® program | |||
Noncash or Part Noncash Acquisitions [Line Items] | |||
Noncash Consideration on Sale of Aircraft | $ 1,300 | $ 800 | |
U.K. Composites [Member] | |||
Noncash or Part Noncash Acquisitions [Line Items] | |||
Gain (Loss) on Disposition of Business | $ 200 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies (Revenue Recognition) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenue, Remaining Performance Obligation, Amount | $ 749,900 | $ 720,900 | |
Revenues | 775,854 | 687,961 | $ 708,993 |
Performance obligations satisfied in previous periods [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Reductions in revenue | $ (12,400) | $ (3,500) | $ (2,600) |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies (Cash and Cash Equivalents, Accounts Receivable, Inventory, & Contract Assets) (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 USD ($) Integer | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Accounting Policies [Abstract] | |||
Money Market Funds, at Carrying Value | $ 2,300 | $ 100 | |
Bank overdrafts | $ 1,600 | 1,500 | |
Number of types of accounts receivable | Integer | 3 | ||
Program inventory impairment | $ 1,064 | 44,542 | $ 0 |
Program contract costs impairment | $ 0 | $ 9,135 | $ 0 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies (Property Plant and Equipment) (Details) | Dec. 31, 2023 |
Minimum [Member] | Buildings | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 15 years |
Minimum [Member] | Leasehold improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 1 year |
Minimum [Member] | Machinery and Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 3 years |
Maximum [Member] | Buildings | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 40 years |
Maximum [Member] | Leasehold improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 20 years |
Maximum [Member] | Machinery and Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 15 years |
Summary of Significant Accou_10
Summary of Significant Accounting Policies (Leasing) (Details) | Dec. 31, 2023 |
Minimum [Member] | |
Lessee, Lease, Description [Line Items] | |
Lessee, Finance Lease, Term of Contract | 3 years |
Maximum [Member] | |
Lessee, Lease, Description [Line Items] | |
Lessee, Finance Lease, Term of Contract | 5 years |
Real Estate [Member] | Minimum [Member] | |
Lessee, Lease, Description [Line Items] | |
Lessee, Operating Lease, Term of Contract | 3 years |
Real Estate [Member] | Maximum [Member] | |
Lessee, Lease, Description [Line Items] | |
Lessee, Operating Lease, Term of Contract | 10 years |
Machinery and Equipment [Member] | Minimum [Member] | |
Lessee, Lease, Description [Line Items] | |
Lessee, Operating Lease, Term of Contract | 3 years |
Machinery and Equipment [Member] | Maximum [Member] | |
Lessee, Lease, Description [Line Items] | |
Lessee, Operating Lease, Term of Contract | 5 years |
Summary of Significant Accou_11
Summary of Significant Accounting Policies (Goodwill and Other Intangible Assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Goodwill [Line Items] | |||
Goodwill, Impairment Loss | $ 0 | $ 25,306 | |
Gain (Loss) on Disposition of Business | 0 | 457 | $ (234) |
Goodwill | 383,997 | 379,854 | 240,681 |
Goodwill | $ 383,997 | 379,854 | 240,681 |
KPP-Orlando | |||
Goodwill [Line Items] | |||
Reporting Unit, Amount of Fair Value in Excess of Carrying Amount | 25,300 | ||
Goodwill, Impairment Loss | 25,300 | ||
Goodwill | 16,100 | ||
Goodwill | $ 16,100 | ||
U.K. Composites [Member] | |||
Goodwill [Line Items] | |||
Gain (Loss) on Disposition of Business | $ 200 |
Summary of Significant Accou_12
Summary of Significant Accounting Policies (Unfulfilled Performance Obligations) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, Remaining Performance Obligation, Amount | $ 749.9 | $ 720.9 |
Revenue, Remaining Performance Obligation, Amount, Current | $ 514.5 |
Summary of Significant Accou_13
Summary of Significant Accounting Policies (Self-Insured Retentions) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Accounting Policies [Abstract] | |
Total Liability/Deductible for Group Health Insurance Per Claim | $ 0.3 |
Total Liability/Deductible for Workers Compensation Per Claim | 0.4 |
Total Liability/Deductible for Product/General and Auto Insurance Per Claim | $ 0.3 |
Summary of Significant Accou_14
Summary of Significant Accounting Policies (Research and Development) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||
Research and development costs | $ 20,704 | $ 19,552 | $ 16,072 |
Cost of sales | |||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||
Customer funded research expenditures | $ 200 | $ 400 | $ 400 |
Summary of Significant Accou_15
Summary of Significant Accounting Policies (Recent Accounting Standards) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Accounting Changes and Error Corrections [Abstract] | ||||
Income Tax Effects Allocated Directly to Equity, Cumulative Effect of Change in Accounting Principle | $ (274) | |||
Deferred Tax Assets, Net | 15,717 | $ 46,917 | $ 47,385 | $ 17,487 |
Long-term debt, excluding current portion, net of debt issuance costs | 189,421 | 358,000 | 561,061 | 197,045 |
Additional paid-in capital | 248,153 | 254,727 | 245,436 | 235,664 |
Retained earnings | 749,569 | 670,607 | 685,234 | 756,204 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Deferred Tax Assets, Net | 15,717 | 46,917 | 47,385 | 17,487 |
Long-term debt, excluding current portion, net of debt issuance costs | 189,421 | 358,000 | 561,061 | 197,045 |
Additional paid-in capital | 248,153 | 254,727 | 245,436 | 235,664 |
Retained earnings | $ 749,569 | $ 670,607 | $ 685,234 | 756,204 |
Accounting Standards Update 2020-06 | ||||
Accounting Changes and Error Corrections [Abstract] | ||||
Deferred Tax Assets, Net | 1,770 | |||
Long-term debt, excluding current portion, net of debt issuance costs | 7,624 | |||
Additional paid-in capital | 12,489 | |||
Retained earnings | 6,635 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Deferred Tax Assets, Net | 1,770 | |||
Long-term debt, excluding current portion, net of debt issuance costs | 7,624 | |||
Additional paid-in capital | 12,489 | |||
Retained earnings | $ 6,635 |
Accounting Changes and Error _3
Accounting Changes and Error Corrections (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Jan. 01, 2022 | |
Change in Accounting Estimate [Line Items] | ||||
Inventories | $ 207,607 | $ 172,383 | $ 191,990 | |
Income tax refunds receivable | 1,276 | 14,843 | 14,066 | |
Total Revision to Assets | 187,226 | 206,056 | ||
Retained earnings | 670,607 | 685,234 | 749,569 | $ 756,204 |
Cost of Goods and Services Sold | 504,646 | 467,445 | 472,382 | |
Income tax expense (benefit) | 2,738 | (17,360) | 16,831 | |
Net earnings (loss) | 7,947 | (48,573) | 43,670 | |
Inventories | (35,721) | (14,873) | (10,350) | |
Income tax refunds receivable | 13,567 | (772) | (8,566) | |
Net cash provided by operating activities | $ 72,715 | $ 20,969 | $ 48,698 | |
Earnings Per Share, Basic (in dollars per share) | $ 0.28 | $ (1.73) | $ 1.57 | |
Diluted earnings per share (in dollars per share) | $ 0.28 | $ (1.73) | $ 1.57 | |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ 24,784 | $ (95,609) | $ 63,106 | |
Previously Reported | ||||
Change in Accounting Estimate [Line Items] | ||||
Inventories | 176,468 | 193,100 | ||
Income tax refunds receivable | 13,981 | 13,832 | ||
Total Revision to Assets | 190,449 | 206,932 | ||
Retained earnings | 688,457 | 750,445 | ||
Cost of Goods and Services Sold | 464,470 | 472,375 | ||
Income tax expense (benefit) | (16,732) | 16,832 | ||
Net earnings (loss) | (46,226) | 43,676 | ||
Inventories | 17,848 | 10,357 | ||
Income tax refunds receivable | 144 | 8,565 | ||
Net cash provided by operating activities | $ 20,969 | $ 48,698 | ||
Earnings Per Share, Basic (in dollars per share) | $ (1.65) | $ 1.57 | ||
Diluted earnings per share (in dollars per share) | $ (1.65) | $ 1.57 | ||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ (93,262) | $ 63,112 | ||
Revision of Prior Period, Adjustment | ||||
Change in Accounting Estimate [Line Items] | ||||
Inventories | (4,085) | (1,110) | ||
Income tax refunds receivable | 862 | 234 | ||
Total Revision to Assets | (3,223) | (876) | ||
Retained earnings | (3,223) | (876) | ||
Cost of Goods and Services Sold | 2,975 | 7 | ||
Income tax expense (benefit) | (628) | (1) | ||
Net earnings (loss) | (2,347) | (6) | ||
Inventories | (2,975) | (7) | ||
Income tax refunds receivable | 628 | 1 | ||
Net cash provided by operating activities | $ 0 | $ 0 | ||
Earnings Per Share, Basic (in dollars per share) | $ (0.08) | $ 0 | ||
Diluted earnings per share (in dollars per share) | $ (0.08) | $ 0 | ||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ (2,347) | $ (6) | ||
Revision of Prior Period, Adjustment | Precision Products | ||||
Change in Accounting Estimate [Line Items] | ||||
Inventories | 2,500 | $ 1,100 | ||
Revision of Prior Period, Adjustment | Structures | ||||
Change in Accounting Estimate [Line Items] | ||||
Inventories | $ 1,600 |
Discontinued Operations (Detail
Discontinued Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | 52 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2023 | Aug. 26, 2019 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Costs of Transition Services Agreement | $ 0 | $ 0 | $ 1,728 | ||
Income from transition services agreement | 0 | 0 | 931 | ||
Assets | 1,498,655 | 1,488,109 | 1,197,606 | $ 1,498,655 | |
Gain (Loss) on Disposition of Business | 0 | (457) | 234 | ||
Distribution [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Costs of Transition Services Agreement | 1,700 | 18,900 | |||
Income from transition services agreement | 900 | 13,000 | |||
Disposal Group, Including Discontinued Operation, Consideration | $ 700,000 | ||||
U.K. Composites [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Disposal Group, Including Discontinued Operation, Cash and Cash Equivalents | $ 6,600 | ||||
Gain (Loss) on Disposition of Business | (200) | ||||
Mexico Operations | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Gain (Loss) on Disposition of Business | $ (500) | ||||
Cash Outflows [Member] | Distribution [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Discontinued Operation, Amount of Continuing Cash Flows after Disposal | 600 | 8,700 | |||
Cash Inflows [Member] | Distribution [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Discontinued Operation, Amount of Continuing Cash Flows after Disposal | $ 2,000 | $ 19,800 |
Business Combinations (Details)
Business Combinations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Sep. 16, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 22, 2022 | |
Business Acquisition [Line Items] | |||||
Working Capital adjustment | $ 1,500 | ||||
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | This acquisition was accounted for under the acquisition method. The assets acquired and liabilities assumed were recorded based on their fair values at the date of acquisition as follows (in thousands): Accounts receivable $ 7,635 Contract assets 171 Inventories 11,246 Property, plant and equipment 7,686 Goodwill 171,277 Other intangible assets 250,500 Contract costs, noncurrent 41 Liabilities (5,729) Net assets acquired $ 442,827 Less cash received — Net consideration $ 442,827 | ||||
Near Earth Autonomy | |||||
Business Acquisition [Line Items] | |||||
Equity Method Investments | $ 10,000 | ||||
Aircraft Wheel and Brake | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net | $ 442,800 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Receivables | 7,635 | ||||
Business Combinations, Recognized Identifiable Assets Acquired and Liabilities Assumed, Contract Assets | 171 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Inventory | 11,246 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment | 7,686 | ||||
Business Acquisition, Goodwill, Expected Tax Deductible Amount | 171,277 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 250,500 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Assets | 41 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities | (5,729) | ||||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net | 442,827 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liability Assumed, Cash and Cash Equivalents and Restricted Cash | 0 | ||||
Business Combination, Consideration Transferred | 442,827 | ||||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | $ 76,300 | $ 20,800 | |||
Business Combination, Pro Forma Information, Earnings or Loss of Acquiree since Acquisition Date, Actual | $ 9,500 | (2,400) | |||
Business Acquisition, Pro Forma Revenue | 740,960 | $ 778,167 | |||
Business Acquisition, Pro Forma Net Income (Loss) | (44,026) | 13,834 | |||
Pro Forma, Nonrecurring Adjustment, Reduction in Acquisition Related Expense | 12,800 | ||||
Pro Forma, Nonrecurring Adjustment, Finite Lived Assets Amortization | 9,100 | 18,200 | |||
Pro Forma, Nonrecurring Adjustment, Acquisition Related Expense | 12,800 | ||||
Pro Forma Nonrecurring Adjustment, Increase in Interest Expense | 20,500 | 29,100 | |||
Pro Forma Nonrecurring Adjustment, Reduction in Income Tax Expense | 3,000 | 13,400 | |||
Pro Forma Nonrecurring Adjustment, Increase in Cost of Sales | $ 3,100 | $ 3,100 | |||
Aircraft Wheel and Brake | Customer Relationships [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | $ 237,700 | ||||
Aircraft Wheel and Brake | Customer Relationships [Member] | Minimum [Member] | |||||
Business Acquisition [Line Items] | |||||
Amortization Period | 23 years | ||||
Aircraft Wheel and Brake | Customer Relationships [Member] | Maximum [Member] | |||||
Business Acquisition [Line Items] | |||||
Amortization Period | 25 years | ||||
Aircraft Wheel and Brake | Order or Production Backlog [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | $ 12,800 | ||||
Amortization Period | 2 years |
Segment Reporting (Details)
Segment Reporting (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting Information [Line Items] | |||
Revenues | $ 775,854 | $ 687,961 | $ 708,993 |
Revenues, Percentage | 100% | 100% | 100% |
Operating income | $ 49,103 | $ (69,318) | $ 49,489 |
Assets | 1,498,655 | 1,488,109 | 1,197,606 |
Expenditures for property, plant & equipment | 26,002 | 23,689 | 17,530 |
Depreciation and amortization | 50,038 | 40,712 | 36,654 |
Long-Lived Assets | 999,299 | 1,012,389 | |
Deferred Tax Assets, Net | 46,900 | 47,400 | |
Research and development costs | $ 20,704 | 19,552 | 16,072 |
Schedule of Segment Reporting Information, by Segment [Table] | Summarized financial information by business segment is as follows: For the year ended December 31, 2023 2022 2021 In thousands Net sales: Engineered Products $ 512,831 $ 377,241 $ 317,683 Precision Products 129,147 185,023 256,329 Structures 133,876 125,697 134,981 Net sales (1) $ 775,854 $ 687,961 $ 708,993 Operating income (loss): Engineered Products $ 107,863 $ 57,833 $ 43,097 Precision Products (4,532) 16,353 55,359 Structures (9,169) (4,623) (340) Corporate expense (40,077) (50,377) (40,519) Other unallocated expenses, net (2) (4,982) (88,504) (8,108) Operating income (loss) $ 49,103 $ (69,318) $ 49,489 Interest expense, net 39,997 16,874 16,290 Non-service pension and post retirement benefit income, net (1,240) (20,574) (26,229) Income from transition services agreement — — (931) Other (income) expense, net (339) 315 (142) Earnings (loss) before income taxes $ 10,685 $ (65,933) $ 60,501 (1) Net sales under contracts with USG agencies (including sales to foreign governments through foreign military sales contracts with USG agencies) totaled $174.8 million, $205.0 million and $230.6 million in 2023, 2022 and 2021, respectively, and represent direct and indirect sales to the USG and related agencies. (2) Other unallocated expenses, net include program inventory impairment, goodwill and other intangibles impairments, program contract costs impairment, costs from the TSA, restructuring and severance costs, gain (loss) on sale of business, and net loss (gain) on disposition of assets. | ||
U.S. Government contracts | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 174,800 | 205,000 | 230,600 |
North America [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 482,113 | 452,392 | 442,432 |
Europe [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 200,885 | 141,657 | 113,811 |
Middle East [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 32,859 | 41,948 | 107,408 |
Asia [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 41,866 | 35,691 | 27,638 |
Oceania [Domain] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 10,791 | 10,208 | 14,160 |
Segment, Geographical, Groups of Countries, Group Six [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 7,340 | 6,065 | 3,544 |
UNITED STATES | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets | 851,182 | 865,659 | |
GERMANY | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets | 142,413 | 140,626 | |
CZECH REPUBLIC | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets | 4,587 | 4,827 | |
NETHERLANDS | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets | 413 | 509 | |
SWITZERLAND | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets | 663 | 708 | |
HONG KONG | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets | 41 | 60 | |
Military and Defense, other than fuzes [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 179,172 | 145,946 | 168,670 |
Missile and Bomb Fuzes [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 69,445 | $ 125,685 | $ 191,524 |
Revenues, Percentage | 7% | 18% | 27% |
Commercial Aerospace [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 344,778 | $ 242,619 | $ 184,686 |
Medical | |||
Segment Reporting Information [Line Items] | |||
Revenues | 100,588 | 94,551 | 86,715 |
Other | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 81,871 | $ 79,160 | $ 77,398 |
Original Equipment Manufacturer [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues, Percentage | 69% | 63% | 59% |
Aftermarket [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues, Percentage | 24% | 19% | 14% |
Engineered Products | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 512,831 | $ 377,241 | $ 317,683 |
Revenues, Percentage | 66% | 55% | 45% |
Operating income | $ 107,863 | $ 57,833 | $ 43,097 |
Assets | 1,086,672 | 1,052,576 | 623,899 |
Expenditures for property, plant & equipment | 18,714 | 14,667 | 9,537 |
Depreciation and amortization | 40,408 | 30,461 | 26,306 |
Research and development costs | 9,382 | 8,842 | 8,399 |
Engineered Products | Military and Defense, other than fuzes [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 77,533 | 49,982 | 51,033 |
Engineered Products | Missile and Bomb Fuzes [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 0 | $ 0 | $ 0 |
Revenues, Percentage | 0% | 0% | 0% |
Engineered Products | Commercial Aerospace [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 264,968 | $ 166,748 | $ 115,576 |
Engineered Products | Medical | |||
Segment Reporting Information [Line Items] | |||
Revenues | 93,280 | 86,659 | 79,424 |
Engineered Products | Other | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 77,050 | $ 73,852 | $ 71,650 |
Engineered Products | Original Equipment Manufacturer [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues, Percentage | 46% | 41% | 35% |
Engineered Products | Aftermarket [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues, Percentage | 20% | 14% | 10% |
Precision Products | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 129,147 | $ 185,023 | $ 256,329 |
Revenues, Percentage | 17% | 27% | 36% |
Operating income | $ (4,532) | $ 16,353 | $ 55,359 |
Assets | 176,903 | 190,801 | 249,270 |
Expenditures for property, plant & equipment | 5,323 | 4,658 | 3,554 |
Depreciation and amortization | 3,292 | 3,663 | 4,148 |
Research and development costs | 11,215 | 10,508 | 7,443 |
Precision Products | Military and Defense, other than fuzes [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 25,846 | 22,367 | 30,062 |
Precision Products | Missile and Bomb Fuzes [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 69,445 | $ 125,685 | $ 191,524 |
Revenues, Percentage | 7% | 18% | 27% |
Precision Products | Commercial Aerospace [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 29,035 | $ 31,663 | $ 28,995 |
Precision Products | Medical | |||
Segment Reporting Information [Line Items] | |||
Revenues | 0 | 0 | 0 |
Precision Products | Other | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 4,821 | $ 5,308 | $ 5,748 |
Precision Products | Original Equipment Manufacturer [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues, Percentage | 6% | 4% | 5% |
Precision Products | Aftermarket [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues, Percentage | 4% | 5% | 4% |
Structures | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 133,876 | $ 125,697 | $ 134,981 |
Revenues, Percentage | 17% | 18% | 19% |
Operating income | $ (9,169) | $ (4,623) | $ (340) |
Assets | 136,909 | 133,834 | 125,027 |
Expenditures for property, plant & equipment | 1,283 | 1,940 | 2,075 |
Depreciation and amortization | 3,106 | 3,519 | 3,462 |
Research and development costs | 107 | 202 | 230 |
Structures | Military and Defense, other than fuzes [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 75,793 | 73,597 | 87,575 |
Structures | Missile and Bomb Fuzes [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 0 | $ 0 | $ 0 |
Revenues, Percentage | 0% | 0% | 0% |
Structures | Commercial Aerospace [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 50,775 | $ 44,208 | $ 40,115 |
Structures | Medical | |||
Segment Reporting Information [Line Items] | |||
Revenues | 7,308 | 7,892 | 7,291 |
Structures | Other | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 0 | $ 0 | $ 0 |
Structures | Original Equipment Manufacturer [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues, Percentage | 17% | 18% | 19% |
Structures | Aftermarket [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues, Percentage | 0% | 0% | 0% |
Corporate Segment | |||
Segment Reporting Information [Line Items] | |||
Operating income | $ (40,077) | $ (50,377) | $ (40,519) |
Assets | 98,171 | 110,898 | 199,410 |
Expenditures for property, plant & equipment | 682 | 2,424 | 2,364 |
Depreciation and amortization | 3,232 | 3,069 | 2,738 |
Other unallocated expenses, net | |||
Segment Reporting Information [Line Items] | |||
Operating income | $ (4,982) | $ (88,504) | $ (8,108) |
Payment (Details)
Payment (Details) | 12 Months Ended |
Dec. 31, 2023 | |
Time-and-materials Contract [Member] | Minimum [Member] | |
Disaggregation of Revenue [Line Items] | |
Revenue, Performance Obligation, Description of Timing | 30 |
Time-and-materials Contract [Member] | Maximum [Member] | |
Disaggregation of Revenue [Line Items] | |
Revenue, Performance Obligation, Description of Timing | 60 days |
Fixed-price Contract [Member] | Minimum [Member] | |
Disaggregation of Revenue [Line Items] | |
Revenue, Performance Obligation, Description of Timing | 30 |
Fixed-price Contract [Member] | Maximum [Member] | |
Disaggregation of Revenue [Line Items] | |
Revenue, Performance Obligation, Description of Timing | 90 days |
Restructuring Costs (Details)
Restructuring Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restructuring Reserve [Roll Forward] | |||
Restructuring and severance costs (Note 6) | $ 3,392 | $ 9,842 | $ 6,154 |
Gain (Loss) on Disposition of Business | 0 | (457) | 234 |
Increase (Decrease) in Restructuring Reserve | 3,142 | ||
Restructuring Reserve, Period Increase (Decrease) | (7,201) | ||
Restructuring Reserve, Foreign Currency Translation Gain (Loss) | 38 | ||
Restructuring accrual, ending balance | 2,608 | ||
Restructuring Charges | 3,400 | 6,600 | |
Share-based compensation expense | 7,681 | 7,821 | 6,687 |
Restructuring accrual, current portion | 2,600 | 5,600 | |
Restructuring accrual, beginning balance | 6,629 | ||
Restructuring & Severance | |||
Restructuring Reserve [Roll Forward] | |||
Share-based compensation expense | 300 | 200 | 400 |
GA Reduction Effort [Member] | |||
Restructuring Reserve [Roll Forward] | |||
Severance Costs | 3,200 | $ 6,200 | |
Transformation severance | |||
Restructuring Reserve [Roll Forward] | |||
Increase (Decrease) in Restructuring Reserve | 2,223 | ||
Restructuring Reserve, Period Increase (Decrease) | (6,282) | ||
Restructuring Reserve, Foreign Currency Translation Gain (Loss) | 38 | ||
Restructuring accrual, ending balance | 2,608 | ||
Restructuring accrual, beginning balance | 6,629 | ||
Transformation other | |||
Restructuring Reserve [Roll Forward] | |||
Increase (Decrease) in Restructuring Reserve | 919 | ||
Restructuring Reserve, Period Increase (Decrease) | (919) | ||
Restructuring Reserve, Foreign Currency Translation Gain (Loss) | 0 | ||
Restructuring accrual, ending balance | $ 0 | ||
Restructuring accrual, beginning balance | $ 0 |
Accounts Receivable, Net (Detai
Accounts Receivable, Net (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts Receivable, after Allowance for Credit Loss, Current | $ 96,882 | $ 87,659 |
Allowance for Doubtful Other Receivables, Current | (3,018) | (2,066) |
Less allowance for doubtful accounts | (3,018) | (2,066) |
Provision for Other Credit Losses | (1,998) | |
Accounts Receivable, Allowance for Credit Loss, Writeoff | 676 | |
Accounts Receivable, Allowance for Credit Loss, Recovery | 380 | |
Financing Receivable, Allowance for Credit Loss, Foreign Currency Translation | (10) | |
Contracts Receivable, Claims and Uncertain Amounts | 0 | 0 |
Trade receivables | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross accounts receivable | 39,645 | 31,126 |
U.S. Government contracts | Billed | Contract receivables | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross accounts receivable | 11,353 | 14,150 |
U.S. Government contracts | Costs and accrued profit – not billed | Contract receivables | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross accounts receivable | 779 | 661 |
Commercial and other government contracts | Billed | Contract receivables | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross accounts receivable | 46,139 | 41,520 |
Commercial and other government contracts | Costs and accrued profit – not billed | Contract receivables | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross accounts receivable | $ 1,984 | $ 2,268 |
Contract Assets, Contract Cos_3
Contract Assets, Contract Costs and Contract Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disaggregation of Revenue [Line Items] | |||
Contract with Customer, Asset, Net, Current | $ 94,091 | $ 113,182 | |
Increase (Decrease) in Contract with Customer, Asset Current | $ (19,091) | ||
Increase (Decrease) in Contract with Customer Asset, Current, Percentage | (16.90%) | ||
Capitalized Contract Cost, Net, Current | $ 58 | 695 | |
increase (Decrease) in Capitalized Contract Cost Current | $ (637) | ||
Increase (Decrease) in Capitalized Contract Cost, Current, Percentage | (91.70%) | ||
Capitalized Contract Cost, Net, Noncurrent | $ 577 | 673 | |
Increase (Decrease) in Capitalized Contract Cost Noncurrent | $ (96) | ||
Increase (Decrease) in Capitalized Contract Cost, Noncurrent, Percentage | (14.30%) | ||
Contract with Customer, Liability, Current | $ 12,284 | 4,081 | |
Increase (Decrease) in Contract with Customer Liability, Current | $ 8,203 | ||
Increase (Decrease) in Contract with Customer Liability, Current, Percentage | 201% | ||
Contract with Customer, Liability, Noncurrent | $ 19,787 | 20,515 | |
Increase (Decrease) in Contract with Customer Liability, Noncurrent | $ (728) | ||
Increase (Decrease) in Contract with Customer Liability, Noncurrent, Percentage | (3.50%) | ||
Government Contract Receivable, Progress Payment Offset | $ 38,100 | 43,300 | |
Capitalized Contract Cost, Amortization | 600 | 700 | |
Contract with Customer, Liability, Revenue Recognized | 3,300 | 2,100 | |
Program contract costs impairment | 0 | 9,135 | $ 0 |
K-MAX® program | |||
Disaggregation of Revenue [Line Items] | |||
Program contract costs impairment | 9,100 | ||
Contract Changes Negotiated Settlements and Claims [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Contract with Customer, Asset, Net, Current | 1,620 | 0 | |
Costs to Fulfill [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Capitalized Contract Cost, Net | 600 | 1,400 | |
Costs to Obtain [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Capitalized Contract Cost, Net | $ 0 | $ 0 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Money Market Funds, at Carrying Value | $ 2,300 | $ 100 | |
Goodwill, Impairment Loss | 0 | 25,306 | |
Program inventory impairment | 1,064 | 44,542 | $ 0 |
KPP-Orlando | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Goodwill, Impairment Loss | 25,300 | ||
Debt(1) | Carrying Value | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Debt, Long-term and Short-term, Combined Amount | 557,500 | 562,500 | |
Debt(1) | Fair Value | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Debt, Long-term and Short-term, Combined Amount | $ 541,915 | $ 547,393 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Derivative [Line Items] | |
Derivative, Notional Amount | $ 175 |
Cash Flow Hedge Gain (Loss) to be Reclassified within 12 Months | $ 0.6 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Schedule of Inventory [Line Items] | |||
Raw materials | $ 35,826 | $ 24,572 | |
Contracts and other work in process (including certain general stock materials) | 21,017 | 16,532 | |
Finished goods | 42,246 | 40,008 | |
Inventories | 207,607 | 172,383 | $ 191,990 |
Segment work in progress | 21,017 | 16,532 | |
Program inventory impairment | 1,064 | 44,542 | $ 0 |
K-MAX® program | |||
Schedule of Inventory [Line Items] | |||
Total program inventory | 18,900 | 24,700 | |
Inventory, Noncurrent | 12,100 | ||
SH-2G(I) | |||
Schedule of Inventory [Line Items] | |||
Contracts and other work in process (including certain general stock materials) | 5,500 | 6,200 | |
Segment work in progress | 5,500 | 6,200 | |
Inventory, Noncurrent | 4,200 | ||
U.S. Government contracts | |||
Schedule of Inventory [Line Items] | |||
U.S. Government | 11,505 | 5,835 | |
Commercial and other government contracts | |||
Schedule of Inventory [Line Items] | |||
Commercial and other government contracts | $ 97,013 | $ 85,436 |
Property Plant and Equipment,_3
Property Plant and Equipment, Net (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 495,489 | $ 469,695 | |
Less accumulated depreciation | (290,279) | (268,089) | |
Property, plant and equipment, net | 205,210 | 201,606 | |
Depreciation | 24,500 | 25,400 | $ 26,200 |
Land | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 39,318 | 38,743 | |
Buildings | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 140,305 | 137,777 | |
Leasehold improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 15,761 | 15,778 | |
Machinery, office furniture and equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 282,230 | 260,801 | |
Construction in process | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 17,875 | 16,596 | |
Assets Held under Finance Leases [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Depreciation | 1,100 | 900 | $ 800 |
Finance Lease, Right-of-Use Asset, before Accumulated Amortization | 6,900 | 9,800 | |
Finance Lease, Right-of-Use Asset, Accumulated Amortization | $ 2,700 | $ 3,200 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets, Net (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Goodwill [Roll Forward] | |||
Gross balance at beginning of period | $ 471,719 | $ 307,240 | |
Accumulated impairment | $ (91,865) | (91,865) | (66,559) |
Net balance at beginning of period | 379,854 | 240,681 | |
Goodwill, Acquired During Period | 1,487 | 169,790 | |
Goodwill, Impairment Loss | 0 | (25,306) | |
Foreign currency translation | 2,656 | (5,311) | |
Net balance at end of period | 383,997 | 379,854 | |
Engineered Products | |||
Goodwill [Roll Forward] | |||
Gross balance at beginning of period | 363,785 | 199,306 | |
Accumulated impairment | 0 | 0 | 0 |
Net balance at beginning of period | 363,785 | 199,306 | |
Goodwill, Acquired During Period | 1,487 | 169,790 | |
Goodwill, Impairment Loss | 0 | 0 | |
Foreign currency translation | 2,656 | (5,311) | |
Net balance at end of period | 367,928 | 363,785 | |
Precision Products | |||
Goodwill [Roll Forward] | |||
Gross balance at beginning of period | 41,375 | 41,375 | |
Accumulated impairment | (25,306) | (25,306) | 0 |
Net balance at beginning of period | 16,069 | 41,375 | |
Goodwill, Acquired During Period | 0 | 0 | |
Goodwill, Impairment Loss | 0 | 25,306 | |
Foreign currency translation | 0 | 0 | |
Net balance at end of period | 16,069 | 16,069 | |
Structures | |||
Goodwill [Roll Forward] | |||
Gross balance at beginning of period | 66,559 | 66,559 | |
Accumulated impairment | (66,559) | (66,559) | $ (66,559) |
Net balance at beginning of period | 0 | 0 | |
Goodwill, Acquired During Period | 0 | 0 | |
Goodwill, Impairment Loss | 0 | 0 | |
Foreign currency translation | 0 | 0 | |
Net balance at end of period | 0 | 0 | |
KPP-Orlando | |||
Goodwill [Roll Forward] | |||
Net balance at beginning of period | $ 16,100 | ||
Goodwill, Impairment Loss | (25,300) | ||
Net balance at end of period | 16,100 | ||
Reporting Unit, Amount of Fair Value in Excess of Carrying Amount | $ 25,300 | ||
Minimum [Member] | Patents | |||
Goodwill [Roll Forward] | |||
Amortization Period | 2 years | ||
Maximum [Member] | Patents | |||
Goodwill [Roll Forward] | |||
Amortization Period | 19 years | ||
Measurement Input, Long-term Revenue Growth Rate [Member] | |||
Goodwill [Roll Forward] | |||
Fair Value, Sensitivity Analysis | 1% | ||
Measurement Input, Discount Rate [Member] | |||
Goodwill [Roll Forward] | |||
Fair Value, Sensitivity Analysis | 1% |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets, Net (Other Intangible Assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Finite-Lived Intangible Assets [Line Items] | |||
Gross Amount | $ 444,339 | $ 443,145 | |
Accumulated Amortization | (96,915) | (70,814) | |
Intangible assets amortization expense | 25,509 | 15,331 | $ 10,468 |
Finite-Lived Intangible Assets, Net, Amortization Expense, Rolling Maturity [Abstract] | |||
Finite-Lived Intangible Asset, Expected Amortization, Year One | 21,729 | ||
Finite-Lived Intangible Asset, Expected Amortization, Year Two | 20,611 | ||
Finite-Lived Intangible Asset, Expected Amortization, Year Three | 20,596 | ||
Finite-Lived Intangible Asset, Expected Amortization, Year Four | 20,402 | ||
Finite-Lived Intangible Asset, Expected Amortization, Year Five | 20,023 | ||
Customer lists / relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Amount | 364,227 | 363,549 | |
Accumulated Amortization | $ (55,205) | (41,695) | |
Customer lists / relationships | Minimum [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization Period | 6 years | ||
Customer lists / relationships | Maximum [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization Period | 38 years | ||
Developed technologies | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Amount | $ 45,281 | 45,028 | |
Accumulated Amortization | $ (21,846) | (17,508) | |
Developed technologies | Minimum [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization Period | 7 years | ||
Developed technologies | Maximum [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization Period | 20 years | ||
Trademarks / trade names | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Amount | $ 16,832 | 16,681 | |
Accumulated Amortization | $ (3,850) | (3,153) | |
Trademarks / trade names | Minimum [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization Period | 15 years | ||
Trademarks / trade names | Maximum [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization Period | 40 years | ||
Noncompete agreements | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Amount | $ 17,397 | 17,336 | |
Accumulated Amortization | $ (15,515) | (7,974) | |
Noncompete agreements | Minimum [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization Period | 1 year | ||
Noncompete agreements | Maximum [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization Period | 15 years | ||
Patents | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Amount | $ 602 | 551 | |
Accumulated Amortization | $ (499) | $ (484) | |
Patents | Minimum [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization Period | 2 years | ||
Patents | Maximum [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization Period | 19 years |
Debt (Schedule of Long-term Deb
Debt (Schedule of Long-term Debt and Maturities) (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Instrument | ||
Long-term debt, gross | $ 557,500 | $ 562,500 |
Less current portion | 199,500 | 0 |
Total excluding current portion | 358,000 | 562,500 |
Debt issuance costs | $ 400 | $ 1,400 |
Long-term debt, weighted average interest rate | 5.56% | 5.71% |
Other long-term liabilities | $ 31,305 | $ 36,280 |
Long-Term Debt, Maturity, Year One | 199,500 | |
Long-Term Debt, Maturity, Year Two | 0 | |
Long-Term Debt, Maturity, Year Three | 0 | |
Long-Term Debt, Maturity, Year Four | 0 | |
Long-Term Debt, Maturity, Year Five | 358,000 | |
Revolving Credit Facility | ||
Debt Instrument | ||
Long-term debt, gross | 358,000 | 363,000 |
Convertible Notes | ||
Debt Instrument | ||
Long-term debt, gross | $ 199,500 | $ 199,500 |
Debt (Convertible Debt) (Detail
Debt (Convertible Debt) (Details) | 12 Months Ended | |||||
May 12, 2017 USD ($) $ / shares | Dec. 31, 2023 USD ($) Integer shares | Dec. 31, 2022 USD ($) shares | Dec. 31, 2021 USD ($) | Oct. 01, 2021 USD ($) | May 24, 2017 USD ($) | |
Debt Instrument | ||||||
Outstanding balance under revolving credit agreement | $ 557,500,000 | $ 562,500,000 | ||||
Amortization of debt issuance costs | 3,654,000 | 2,750,000 | $ 1,836,000 | |||
Purchase of call options related to convertible notes | $ 20,500,000 | |||||
Convertible Debt [Abstract] | ||||||
Capped call transaction cap price (in dollars per share) | $ / shares | $ 88.7570 | |||||
Effective interest rate | 5% | |||||
Interest Expense, Debt [Abstract] | ||||||
Accretion of convertible notes discount | $ 0 | 0 | 2,957,000 | |||
Conversion Feature, Repurchase Price Percentage of Principal Amount | 100% | |||||
2024 Notes | ||||||
Debt Instrument | ||||||
Convertible notes face amount | $ 200,000,000 | |||||
Amount before overallotment | $ 175,000,000 | |||||
Debt Instrument face amount overallotment | 25,000,000 | |||||
Annual principal interest rate | 3.25% | |||||
Multiple, Debt Instrument | $ 1,000 | $ 1,000 | ||||
Debt Instrument, Repurchased Face Amount | $ 500,000 | |||||
Percent, Debt Instrument, Repurchase Amount | 0.25% | |||||
Equity component | 20,500,000 | |||||
Deferred finance costs, gross | (7,400,000) | |||||
Amortization of debt issuance costs | $ 1,100,000 | $ 1,000,000 | 1,100,000 | |||
Convertible Debt [Abstract] | ||||||
Conversion rate | 15.3227 | |||||
Conversion price (in dollars per share) | $ / shares | $ 65.2626 | |||||
Contingent conversion price (in dollars per shares) | $ / shares | $ 84.8413 | |||||
Aggregate shares to be issued upon conversion, convertible (in shares) | shares | 3,056,879 | 3,056,879 | ||||
Convertible debt stock price threshold trigger percent | 130% | |||||
Convertible debt trading days threshold | Integer | 20 | |||||
Convertible, threshold consecutive trading days | Integer | 30 | |||||
Percentage of average of closing price of common stock | 98% | |||||
Debt issuance costs, recorded to APIC | 700,000 | |||||
Debt issuance costs, recorded as contra-debt | 6,700,000 | |||||
Interest Expense, Debt [Abstract] | ||||||
Contractual coupon rate of interest | $ 6,484,000 | $ 6,484,000 | 6,484,000 | |||
Accretion of convertible notes discount | 0 | 0 | 2,957,000 | |||
Interest expense | 6,484,000 | 6,484,000 | 9,441,000 | |||
Debt Instrument, Convertible, Debt Instrument | $ 179,500,000 | |||||
Revolving Credit Facility | ||||||
Debt Instrument | ||||||
Outstanding balance under revolving credit agreement | 358,000,000 | 363,000,000 | ||||
Amortization of debt issuance costs | $ 2,000,000 | $ 1,800,000 | $ 700,000 |
Debt (Revolving Credit and Term
Debt (Revolving Credit and Term Loan Agreements) (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | |||
Jun. 30, 2023 USD ($) | Mar. 29, 2024 | Sep. 29, 2023 | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 13, 2019 USD ($) | May 06, 2015 USD ($) | |
Debt Instrument | |||||||
Consolidated Total Net Leverage Ratio | 4 | ||||||
Write off of Deferred Debt Issuance Cost | $ 600 | ||||||
Credit Agreement 2019 [Member] | |||||||
Debt Instrument | |||||||
Line of credit, amount outstanding | $ 358,000 | $ 363,000 | |||||
Interest rate at period end | 7.23% | 7.07% | |||||
Consolidated total indebtedness to consolidated EBITDA, ratio | 4 | ||||||
Debt instrument, basis points | 1 | ||||||
Minimum liquidity debt covenant under credit agreement | 50% | ||||||
Consolidated Total Leverage Ratio, pre-amendment | 5 | ||||||
Consolidated Total Leverage Ratio, First Anniversary | 5 | ||||||
Consolidated Total Leverage Ratio, Between First and Second Anniversaries | 4.75 | ||||||
Consolidated Total Leverage Ratio, Second Anniversary | 4.50 | ||||||
Increase to Consolidated Total Net Leverage Ratio if Material Permitted Investment Occurs | 0.50 | ||||||
Credit Agreement 2019 [Member] | Revolving Credit Facility | |||||||
Debt Instrument | |||||||
Line of credit, credit agreement | $ 740,000 | $ 740,000 | |||||
Debt Issuance Costs, Line of Credit Arrangements, Gross | $ 4,800 | ||||||
Line of credit, amount outstanding | 358,000 | ||||||
Remaining borrowing capacity excluding letters of credit | 382,000 | ||||||
Available borrowing capacity | 319,202 | ||||||
Remaining borrowing capacity subject to EBITDA limitations | $ 104,325 | ||||||
Credit Agreement 2019 [Member] | Minimum [Member] | |||||||
Debt Instrument | |||||||
Debt Instrument, Interest Coverage Ratio | 1 | ||||||
Credit Agreement 2019 [Member] | Minimum [Member] | Revolving Credit Facility | |||||||
Debt Instrument | |||||||
Commitment fee percentage | 0.20% | ||||||
Credit Agreement 2019 [Member] | Minimum [Member] | Letter of Credit | |||||||
Debt Instrument | |||||||
Commitment fee percentage | 1.375% | ||||||
Credit Agreement 2019 [Member] | Maximum [Member] | |||||||
Debt Instrument | |||||||
Debt Instrument, Interest Coverage Ratio | 3 | ||||||
Credit Agreement 2019 [Member] | Maximum [Member] | Revolving Credit Facility | |||||||
Debt Instrument | |||||||
Commitment fee percentage | 0.35% | ||||||
Credit Agreement 2019 [Member] | Maximum [Member] | Letter of Credit | |||||||
Debt Instrument | |||||||
Commitment fee percentage | 2.25% | ||||||
Credit Agreement 2015 | Revolving Credit Facility | |||||||
Debt Instrument | |||||||
Line of credit, credit agreement | $ 800,000 | ||||||
Line of credit, amount outstanding | 363,000 | ||||||
Remaining borrowing capacity excluding letters of credit | 437,000 | ||||||
Available borrowing capacity | 385,370 | ||||||
Remaining borrowing capacity subject to EBITDA limitations | 196,256 | ||||||
Credit Agreement 2015 | Co-lead Arrangers Bank of America Securities LLC, JP Morgan Securities LLC, and RBS Citizens N.A. and a Syndicate of Lenders | Revolving Credit Facility | |||||||
Debt Instrument | |||||||
Line of credit, credit agreement | $ 800,000 | ||||||
Letter of Credit | Revolving Credit Facility | |||||||
Debt Instrument | |||||||
Letters of credit outstanding amount | $ 62,798 | 51,630 | |||||
Letter of Credit | Revolving Credit Facility | JPF [Member] | |||||||
Debt Instrument | |||||||
Letters of credit outstanding amount | $ 57,400 | $ 46,100 | |||||
Forecast [Member] | Credit Agreement 2019 [Member] | |||||||
Debt Instrument | |||||||
Minimum liquidity debt covenant under credit agreement | 100% |
Debt (Debt Issuance Costs) (Det
Debt (Debt Issuance Costs) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | May 24, 2017 | |
Debt Instrument | ||||
Amortization of debt issuance costs | $ 3,654 | $ 2,750 | $ 1,836 | |
Interest paid | 35,600 | 15,300 | 11,500 | |
2024 Notes | ||||
Debt Instrument | ||||
Deferred finance costs, gross | $ 7,400 | |||
Amortization of debt issuance costs | 1,100 | 1,000 | 1,100 | |
Revolving Credit Facility | ||||
Debt Instrument | ||||
Amortization of debt issuance costs | $ 2,000 | $ 1,800 | $ 700 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | $ (158,421) | |||
Other comprehensive income (loss) | 16,837 | $ (47,036) | $ 19,436 | |
Ending balance | (141,584) | (158,421) | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | (1,165) | (7) | ||
Other Comprehensive Income, Other, Net of Tax | 500 | (7) | 0 | |
Other Comprehensive Income, Derivative Instruments | 500 | 0 | 7 | |
Other Comprehensive Income (Loss), Derivative Instruments, Unrealized Loss / Gain, Tax | 495 | 0 | ||
Unrealized Gain (Loss) on Cash Flow Hedging Instruments | 1,665 | 0 | ||
Other Comprehensive Income (Loss), Derivative Instruments, Reclassification to Net Income, Tax | (346) | 0 | ||
Foreign currency translation | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (2,071) | 8,765 | ||
Other comprehensive income (loss), before reclassifications | 5,415 | (10,836) | ||
Reclassification to net income | (5,415) | 10,836 | ||
Ending balance | 3,344 | (2,071) | 8,765 | |
Pension and other post-retirement benefits | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | [1] | (156,350) | (120,157) | |
Other comprehensive income (loss) | [1] | 10,922 | (36,193) | |
Ending balance | [1] | (145,428) | (156,350) | $ (120,157) |
Amortization of net loss | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Defined Benefit Plan, Amortization of Gain (Loss) | [1] | (5,932) | (3,320) | |
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss), Reclassification Adjustment from AOCI, Tax | (1,761) | (999) | ||
Change in net gain | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Reclassification to net income | [1] | 4,990 | (39,513) | |
Reclassification from AOCI, tax | $ 1,482 | $ (11,889) | ||
[1]These accumulated other comprehensive income components are included in the computation of net periodic pension cost |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Current: | |||
Federal | $ 2,930 | $ 1,942 | $ (5,614) |
State | 728 | (761) | 1,061 |
Foreign | 189 | 441 | 266 |
Total, Current | 3,847 | 1,622 | (4,287) |
Deferred: | |||
Federal | (4,020) | (15,655) | 17,533 |
State | 1,097 | (3,347) | 2,526 |
Foreign | 1,814 | 20 | 1,059 |
Total, Deferred | (1,109) | (18,982) | 21,118 |
Income tax (benefit) expense | $ 2,738 | $ (17,360) | $ 16,831 |
Federal statutory rate | 21% | 21% | 21% |
Tax loss and credit carryforwards | $ 21,728 | $ 17,049 | |
Deferred Tax Assets, Valuation Allowance | 4,276 | 5,025 | |
Deferred Tax Assets, Tax Credit Carryforwards, Research | 1,600 | 1,600 | $ 2,000 |
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Share-based Payment Arrangement, Amount | 700 | ||
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | $ 367 | $ 94 | $ 2,697 |
Income Taxes (Deferred Income T
Income Taxes (Deferred Income Taxes) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | |||
Deferred Tax Assets, Operating Loss Carryforwards, Not Subject to Expiration | $ 13,200 | $ 9,400 | |
Deferred tax assets: | |||
Deferred employee benefits | 22,323 | 25,763 | |
Tax loss and credit carryforwards | 21,728 | 17,049 | |
Deferred Tax Assets, Tax Deferred Expense, Other | 5,117 | 4,079 | |
Deferred Tax Assets, Deferred Tax Expense, Inventory | 10,216 | 12,069 | |
Deferred Tax Assets, Deferred Tax Expense, Capitalized Expense | 8,699 | 5,385 | |
Deferred tax assets, other items | 7,335 | 7,944 | |
Total deferred tax assets | 75,418 | 72,289 | |
Deferred tax liabilities: | |||
Property, plant and equipment | (11,789) | (10,714) | |
Intangibles | (20,519) | (15,201) | |
Deferred Tax Liabilities, Gross | 32,308 | 25,958 | |
Net Deferred Tax Assets Before Valuation Allowance | 43,110 | 46,331 | |
Valuation allowance | (4,276) | (5,025) | |
Net deferred tax assets after valuation allowance | 38,834 | 41,306 | |
Pre-tax income (loss) from foreign operations | (1,500) | 2,000 | $ (1,500) |
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | 367 | 94 | 2,697 |
Deferred Tax Liabilities, Other | 0 | (43) | |
8888 Foreign Governments | |||
Deferred tax assets: | |||
Tax loss and credit carryforwards | 1,700 | 4,500 | |
Deferred tax liabilities: | |||
Valuation allowance | (700) | ||
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | 1,500 | ||
Domestic Tax Authority | |||
Deferred tax assets: | |||
Tax loss and credit carryforwards | 15,900 | 8,900 | |
Deferred tax liabilities: | |||
Valuation allowance | (3,600) | ||
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | $ 4,100 | $ 3,600 | $ 1,200 |
Income Taxes (Tax Rate Reconcil
Income Taxes (Tax Rate Reconciliation) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Effective Income Tax Rate Reconciliation [Line Items] | |||
Effective Income Tax Rate Reconciliation at Federal Statutory Income Tax Rate, Amount | $ 2,244 | $ (13,830) | $ 12,706 |
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Amount | (720) | (3,175) | (1,459) |
Effective Income Tax Rate Reconciliation, Tax Credit, Research, Amount | (1,570) | (1,550) | (1,995) |
Effective Income Tax Rate Reconciliation, Tax Credit, Foreign, Amount | 0 | 38 | 308 |
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | (367) | (94) | (2,697) |
Effective Income Tax Rate Reconciliation, Change in Enacted Tax Rate, Amount | (253) | 0 | 0 |
Effective Income Tax Rate Reconciliation, Foreign Income Tax Rate Differential, Percent | (815) | (138) | (110) |
Effective Income Tax Rate Reconciliation, Other Reconciling Items, Amount | $ (277) | $ (280) | $ (199) |
Federal statutory rate | 21% | 21% | 21% |
Income tax expense (benefit) | $ 2,738 | $ (17,360) | $ 16,831 |
Deferred Tax Assets, Tax Credit Carryforwards, Research | 1,600 | 1,600 | 2,000 |
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Share-based Payment Arrangement, Amount | 700 | ||
Unrecognized tax benefits that would impact effective tax rate | (1,094) | (86) | (47) |
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Life Insurance, Amount | (408) | (164) | (329) |
Effective Income Tax Rate Reconciliation, Other Adjustments, Amount | (330) | (83) | 0 |
8888 Foreign Governments | |||
Effective Income Tax Rate Reconciliation [Line Items] | |||
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | (1,500) | ||
Domestic Tax Authority | |||
Effective Income Tax Rate Reconciliation [Line Items] | |||
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | (4,100) | (3,600) | (1,200) |
Entity Classification Election [Member] | |||
Effective Income Tax Rate Reconciliation [Line Items] | |||
Effective Income Tax Rate Reconciliation, Deduction, Amount | 0 | 0 | 894 |
Foreign Derived Intangible Income Benefit [Member] | |||
Effective Income Tax Rate Reconciliation [Line Items] | |||
Effective Income Tax Rate Reconciliation, Deduction, Amount | 0 | 158 | 494 |
Equity awards granted to employees | |||
Effective Income Tax Rate Reconciliation [Line Items] | |||
Effective Income Tax Rate Reconciliation, Deduction, Amount | 695 | 236 | 77 |
Compensation [Member] | |||
Effective Income Tax Rate Reconciliation [Line Items] | |||
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Amount | 615 | 1,320 | 1,372 |
Nondeductible compensation | |||
Effective Income Tax Rate Reconciliation [Line Items] | |||
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Amount | 600 | $ 1,300 | $ 1,400 |
Unrecognized tax benefits | |||
Effective Income Tax Rate Reconciliation [Line Items] | |||
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Amount | $ 1,100 |
Income Taxes (Uncertain Tax Pos
Income Taxes (Uncertain Tax Positions) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Unrecognized tax benefits, income tax penalties and interest accrued | $ 500 | $ 500 | $ 500 |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Balance at January 1 | 3,455 | 3,592 | 3,612 |
Additions based on current year tax positions | 14 | 0 | 32 |
Changes for tax positions of prior years | (52) | ||
Changes for tax positions of prior years | (172) | (211) | |
Settlements | (167) | (67) | 0 |
Unrecognized Tax Benefits, Reduction Resulting from Lapse of Applicable Statute of Limitations | (1,287) | (281) | 0 |
Balance at December 31 | 2,187 | 3,455 | 3,592 |
Unrecognized tax benefits that would impact effective tax rate | 1,700 | ||
Unrecognized tax benefits, income tax penalties and interest expense ($0.1 million or less) | 100 | 100 | 100 |
Income taxes paid, net | (8,800) | 2,700 | $ 4,700 |
Tax loss and credit carryforwards | 21,728 | 17,049 | |
Deferred Tax Assets, Operating Loss Carryforwards, Not Subject to Expiration | 13,200 | 9,400 | |
Deferred Tax Assets, Valuation Allowance | $ 4,276 | $ 5,025 |
Pension Plans (Obligations and
Pension Plans (Obligations and Funded Status) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||||
Fair value of plan assets at beginning of year | $ 544,642 | ||||
Fair value of plan assets at end of year | 556,820 | $ 544,642 | |||
Noncurrent liabilities | (42,268) | (52,309) | |||
Qualified Pension Plan | |||||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||||
Projected benefit obligation at beginning of year | 596,951 | 785,795 | |||
Service cost | 5,782 | 3,363 | $ 1,301 | ||
Interest cost | 29,183 | 17,198 | 14,165 | ||
Actuarial liability loss (gain)(1) | [1] | 11,973 | (169,342) | ||
Benefit payments | 44,801 | 40,063 | |||
Projected benefit obligation at end of year | 599,088 | 596,951 | 785,795 | ||
Fair value of plan assets at beginning of year | 544,642 | 764,009 | |||
Actual return on plan assets | 56,979 | (179,304) | |||
Employer contributions | 0 | 0 | |||
Fair value of plan assets at end of year | 556,820 | 544,642 | 764,009 | ||
Funded status at end of year | (42,268) | (52,309) | |||
Accumulated benefit obligation | 599,088 | 596,951 | |||
Current liabilities | 0 | [2] | 0 | ||
Noncurrent liabilities | (42,268) | (52,309) | |||
Total | (42,268) | (52,309) | |||
Unrecognized loss (gain) | 192,490 | 206,896 | |||
Amount included in accumulated other comprehensive income | 192,490 | 206,896 | |||
SERP | |||||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||||
Projected benefit obligation at beginning of year | 3,832 | 5,017 | |||
Service cost | 0 | 0 | 0 | ||
Interest cost | 177 | 86 | 63 | ||
Actuarial liability loss (gain)(1) | [1] | 240 | (737) | ||
Benefit payments | 534 | 534 | |||
Projected benefit obligation at end of year | 3,715 | 3,832 | 5,017 | ||
Fair value of plan assets at beginning of year | 0 | 0 | |||
Actual return on plan assets | 0 | 0 | |||
Employer contributions | 534 | 534 | |||
Fair value of plan assets at end of year | 0 | 0 | $ 0 | ||
Funded status at end of year | (3,715) | (3,832) | |||
Accumulated benefit obligation | 3,715 | 3,832 | |||
Current liabilities | (518) | (520) | |||
Noncurrent liabilities | (3,197) | (3,312) | |||
Total | (3,715) | (3,832) | |||
Unrecognized loss (gain) | 173 | (68) | |||
Amount included in accumulated other comprehensive income | $ 173 | $ (68) | |||
[1] The actuarial liability (gain) loss amount for the qualified pension plan for 2023 and 2022 was principally due to the effect of changes in the discount rate. (1) |
Pension Plans (Pension Plan Net
Pension Plans (Pension Plan Net Periodic Benefit Costs) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Qualified Pension Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost for benefits earned during the year | $ 5,782 | $ 3,363 | $ 1,301 |
Interest cost on projected benefit obligation | (29,183) | (17,198) | (14,165) |
Expected return on plan assets | (38,293) | (42,177) | (45,177) |
Recognized net loss | 7,693 | 4,258 | 4,444 |
Additional amount recognized due to curtailment/settlement | 0 | 0 | 0 |
Net pension benefit (income) cost | 4,365 | (17,358) | (25,267) |
Change in net (loss) or gain | (6,713) | 52,139 | (8,113) |
Amortization of net loss | (7,693) | (4,258) | (4,444) |
Total recognized in other comprehensive (loss) income | (14,406) | 47,881 | (12,557) |
Total recognized in net periodic benefit cost and other comprehensive (income) loss | (10,041) | 30,523 | (37,824) |
SERP | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost for benefits earned during the year | 0 | 0 | 0 |
Interest cost on projected benefit obligation | (177) | (86) | (63) |
Expected return on plan assets | 0 | 0 | 0 |
Recognized net loss | 0 | 61 | 65 |
Additional amount recognized due to curtailment/settlement | 0 | 0 | 211 |
Net pension benefit (income) cost | 177 | 147 | 339 |
Change in net (loss) or gain | 241 | (737) | (274) |
Amortization of net loss | 0 | (61) | (65) |
Total recognized in other comprehensive (loss) income | 241 | (798) | (339) |
Total recognized in net periodic benefit cost and other comprehensive (income) loss | $ 418 | $ (651) | $ 0 |
Pension Plans (Contributions) (
Pension Plans (Contributions) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Qualified Pension Plan | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | $ 0 | $ 0 |
Expected contributions during 2024 | 0 | |
SERP | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 534 | $ 534 |
Expected contributions during 2024 | $ 518 |
Pension Plans (Expected Future
Pension Plans (Expected Future Benefits) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Actual return on pension plan assets | 11.20% | |
Qualified Pension Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Year One | $ 44,581 | |
Year Two | 45,263 | |
Year Three | 45,842 | |
Year Four | 46,056 | |
Year Five | 45,881 | |
2029-2033 | $ 221,025 | |
Discount rate | 4.97% | 5.19% |
Discount rate for calculating net periodic benefit cost | 5.19% | 2.71% |
Expected return on plan assets | 7.40% | 5.70% |
SERP | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Year One | $ 518 | |
Year Two | 482 | |
Year Three | 447 | |
Year Four | 411 | |
Year Five | 376 | |
2029-2033 | $ 1,413 | |
Discount rate | 4.83% | 5.04% |
Discount rate for calculating net periodic benefit cost | 5.04% | 2.33% |
Pension Plans (Plan Assets for
Pension Plans (Plan Assets for Qualified Pension Plan) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value plan assets before accrued income | $ 553,891 | $ 541,733 | |
Total carrying value | $ 556,820 | 544,642 | |
Liquidity | 59.70% | ||
Maximize return | 40.30% | ||
Qualified Pension Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | $ 556,820 | $ 544,642 | $ 764,009 |
Expected return on plan assets | 7.40% | 5.70% | |
Managers’ securities holdings percentage maximum limit of total market value | 7.50% | ||
Quoted prices in active markets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value plan assets before accrued income | $ 107,841 | $ 113,660 | |
Total carrying value | 107,934 | 113,767 | |
Significant other observable inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value plan assets before accrued income | 272,024 | 250,179 | |
Total carrying value | 274,860 | 252,981 | |
Significant unobservable inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value plan assets before accrued income | 0 | 0 | |
Defined benefit plan, fair value of plan assets, accrued income | 0 | 0 | |
Total carrying value | 0 | 0 | |
Not Subject to Leveling [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined benefit plan, fair value plan assets before accrued income | 174,026 | 177,894 | |
Total carrying value | 174,026 | 177,894 | |
Cash and cash equivalents | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 10,029 | 14,168 | |
Cash and cash equivalents | Quoted prices in active markets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 10,029 | 14,168 | |
Cash and cash equivalents | Significant other observable inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Cash and cash equivalents | Significant unobservable inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Cash and cash equivalents | Not Subject to Leveling [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Derivative | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 4,841 | 145 | |
Derivative | Significant other observable inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 4,841 | 145 | |
Future [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | (1,283) | ||
Future [Member] | Significant other observable inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | (1,283) | ||
Fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 267,183 | 251,317 | |
Fixed income securities | Quoted prices in active markets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Fixed income securities | Significant other observable inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 267,183 | 251,317 | |
Fixed income securities | Significant unobservable inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Fixed income securities | Not Subject to Leveling [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Mutual funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 73,073 | 73,042 | |
Mutual funds | Quoted prices in active markets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 73,073 | 73,042 | |
Mutual funds | Significant other observable inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Mutual funds | Significant unobservable inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Mutual funds | Not Subject to Leveling [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Common trust funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 174,026 | 177,894 | |
Common trust funds | Quoted prices in active markets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Common trust funds | Significant other observable inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Common trust funds | Significant unobservable inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Common trust funds | Not Subject to Leveling [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 174,026 | 177,894 | |
Corporate stock | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 24,739 | 26,450 | |
Corporate stock | Quoted prices in active markets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 24,739 | 26,450 | |
Corporate stock | Significant other observable inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Corporate stock | Significant unobservable inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Corporate stock | Not Subject to Leveling [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Other Income | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 2,929 | 2,909 | |
Other Income | Quoted prices in active markets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 93 | 107 | |
Other Income | Significant other observable inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 2,836 | 2,802 | |
Other Income | Not Subject to Leveling [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Assets | Future [Member] | Quoted prices in active markets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Assets | Future [Member] | Significant unobservable inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | 0 | |
Assets | Future [Member] | Not Subject to Leveling [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | $ 0 | 0 | |
Liability | Future [Member] | Quoted prices in active markets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | ||
Liability | Future [Member] | Significant unobservable inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | 0 | ||
Liability | Future [Member] | Not Subject to Leveling [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total carrying value | $ 0 |
Pension Plans (Other Plans) (De
Pension Plans (Other Plans) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Maximize return | 40.30% | ||
Liquidity | 59.70% | ||
Defined contribution, maximum contribution limit | 5% | ||
Qualified Pension Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Expected return on plan assets | 7.40% | 5.70% | |
Managers’ securities holdings percentage maximum limit of total market value | 7.50% | ||
Continuing Operations [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined contribution plan, employer contributions | $ 6.7 | $ 6.4 | $ 6.1 |
Other Long-Term Liabilities (De
Other Long-Term Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Other Long-Term Liabilities [Line Items] | ||
Supplemental employees' retirement plan ("SERP") | $ 42,268 | $ 52,309 |
Other long-term liabilities | 31,305 | 36,280 |
Other Liabilities | ||
Other Long-Term Liabilities [Line Items] | ||
Supplemental employees' retirement plan ("SERP") | 3,197 | 3,306 |
Deferred compensation | 19,111 | 19,237 |
Noncurrent income taxes payable | 2,187 | 3,288 |
Accrued Environmental Loss Contingencies, Noncurrent, Other Liabilities | 5,478 | 5,376 |
Finance lease liability, noncurrent, statement of financial position | 832 | 2,002 |
Other Accrued Liabilities, Noncurrent | $ 500 | $ 3,071 |
Commitments and Contingencies (
Commitments and Contingencies (Textuals) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Aug. 31, 2008 | |
Accruals and Payable and Other Long Term Liabilities | ||||
Loss Contingencies [Line Items] | ||||
Accrual for environmental loss contingencies, payments | $ 186 | $ 504 | ||
Accrual for Environmental Loss Contingencies, Accruals & Payables and Other Long-Term Liabilities | 5,985 | 5,836 | $ 5,958 | |
Accrual for Environmental Loss Contingencies, Charges to Expense for New Losses | 335 | $ 382 | ||
New Hartford | ||||
Loss Contingencies [Line Items] | ||||
Accrual for environmental loss contingencies | 2,300 | |||
Accrual for environmental loss contingencies, payments | 1,800 | |||
Accrual for payments due to customer under agreement | 500 | |||
New Hartford | Liabilities, Other Accruals and Payables | ||||
Loss Contingencies [Line Items] | ||||
Accrual for Environmental Loss Contingencies, Liabilities, Other Accruals & Payables | 100 | |||
Bloomfield | ||||
Loss Contingencies [Line Items] | ||||
Undiscounted estimated remediation liability | 4,405 | $ 20,800 | ||
Discount rate | 8% | |||
Accrual for environmental loss contingencies | $ 10,300 | |||
Accrual for environmental loss contingencies, payments | 15,500 | |||
Accrual for payments due to customer under agreement | 2,300 | |||
Year One | 512 | |||
Year Two | 0 | |||
Year Three | 132 | |||
Year Four | 120 | |||
Year Five | 213 | |||
Accrual for Environmental Loss Contingency, Undiscounted, to be Paid, after Year Five | 3,428 | |||
Bloomfield | Liabilities, Other Accruals and Payables | ||||
Loss Contingencies [Line Items] | ||||
Accrual for Environmental Loss Contingencies, Liabilities, Other Accruals & Payables | 400 | |||
Moosup | ||||
Loss Contingencies [Line Items] | ||||
Accrual for payments due to customer under agreement | 3,100 | |||
Offset Agreement [Member] | ||||
Loss Contingencies [Line Items] | ||||
Notional Amount of Nonderivative Instruments | $ 220,900 | |||
Notional Value of Contract, Percent | 60% | |||
Loss Contingency, Estimate of Possible Loss | $ 18,800 | |||
Contract with Customer, Liability | $ 18,800 |
Leases (Details)
Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Lessee, Lease, Description [Line Items] | |||
Finance Lease, Liability | $ 2,045 | ||
Finance Lease, Right-of-Use Asset | $ 4,212 | $ 6,626 | |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Property, plant and equipment, net of accumulated depreciation of $290,279 and $268,089, respectively | Property, plant and equipment, net of accumulated depreciation of $290,279 and $268,089, respectively | |
Finance Lease, Liability, Current | $ 1,213 | $ 1,756 | |
Finance Lease, Liability, Noncurrent | $ 832 | $ 2,002 | |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other long-term liabilities | Other long-term liabilities | |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Other current liabilities | Other current liabilities | |
Operating Lease, Right-of-Use Asset | $ 7,774 | $ 7,391 | |
Finance Lease, Right-of-Use Asset | 4,212 | 6,626 | |
Lease, Right-of-Use Assets | 11,986 | 14,017 | |
Operating Lease, Liability, Current | 3,492 | 3,332 | |
Operating Lease, Liability, Noncurrent | 4,646 | 4,534 | |
Lease Liabilities | 10,183 | 11,624 | |
Lessee, Operating Lease, Liability, Payments, Due Next Twelve Months | 3,796 | ||
Lessee, Operating Lease, Liability, Payments, Due Year Two | 1,996 | ||
Lessee, Operating Lease, Liability, Payments, Due Year Three | 1,403 | ||
Lessee, Operating Lease, Liability, Payments, Due Year Four | 853 | ||
Lessee, Operating Lease, Liability, Payments, Due Year Five | 377 | ||
Lessee, Operating Lease, Liability, Payments, Due after Year Five | 466 | ||
Lessee, Operating Lease, Liability, Payments, Due | 8,891 | ||
Lessee, Operating Lease, Liability, Undiscounted Excess Amount | (753) | ||
Operating Lease, Liability | 8,138 | ||
Finance Lease, Liability, Payments, Due Next Twelve Months | 1,244 | ||
Finance Lease, Liability, Payments, Due Year Two | 839 | ||
Finance Lease, Liability, Payments, Due Year Three | 0 | ||
Finance Lease, Liability, Payments, Due Year Four | 0 | ||
Finance Lease, Liability, Payments, Due Year Five | 0 | ||
Finance Lease, Liability, Payments, Due after Year Five | 0 | ||
Finance Lease, Liability, Payment, Due | 2,083 | ||
Finance Lease, Liability, Undiscounted Excess Amount | (38) | ||
Finance Lease, Liability | 2,045 | ||
Finance Lease, Right-of-Use Asset, Amortization | 1,071 | 894 | $ 758 |
Finance Lease, Interest Expense | 67 | 106 | 139 |
Operating Lease, Cost | 4,313 | 5,217 | 5,245 |
Short-term Lease, Cost | 234 | 328 | 242 |
Variable Lease, Cost | 608 | 461 | 79 |
Lease, Cost | 6,293 | 7,006 | 6,463 |
Operating Lease, Payments | (4,875) | (6,144) | (6,294) |
Finance Lease, Principal Payments | (1,450) | (1,830) | (2,028) |
Finance Lease, Interest Payment on Liability | (67) | (106) | (139) |
Lessee, Lease Payments | (6,392) | (8,080) | $ (8,461) |
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | 4,200 | ||
Right-of-Use Asset Obtained in Exchange for Finance Lease Liability | $ 0 | ||
Operating Lease, Weighted Average Remaining Lease Term | 3 years 3 months 18 days | ||
Finance Lease, Weighted Average Remaining Lease Term | 1 year 8 months 12 days | ||
Operating Lease, Weighted Average Discount Rate, Percent | 4.90% | ||
Finance Lease, Weighted Average Discount Rate, Percent | 2.40% | ||
Minimum [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Lessee, Finance Lease, Term of Contract | 3 years | ||
Maximum [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Lessee, Finance Lease, Term of Contract | 5 years | ||
Machinery and Equipment [Member] | Minimum [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Lessee, Operating Lease, Term of Contract | 3 years | ||
Machinery and Equipment [Member] | Maximum [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Lessee, Operating Lease, Term of Contract | 5 years | ||
Real Estate [Member] | Minimum [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Lessee, Operating Lease, Term of Contract | 3 years | ||
Real Estate [Member] | Maximum [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Lessee, Operating Lease, Term of Contract | 10 years | ||
Assets Held under Finance Leases [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Finance Lease, Right-of-Use Asset, Accumulated Amortization | $ 2,700 | 3,200 | |
Finance Lease, Right-of-Use Asset, before Accumulated Amortization | $ 6,900 | $ 9,800 |
Computation of Earnings Per S_3
Computation of Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 100% | 100% | |
Net earnings (loss) | $ 7,947 | $ (48,573) | $ 43,670 |
Net earnings (loss) | $ 7,947 | $ (48,573) | $ 43,670 |
Basic: | |||
Weighted average number of shares outstanding (in shares) | 28,208,000 | 28,011,000 | 27,865,000 |
Income (Loss) from Continuing Operations, Per Basic Share | $ 0.28 | $ (1.73) | $ 1.57 |
Earnings Per Share, Basic (in dollars per share) | $ 0.28 | $ (1.73) | $ 1.57 |
Diluted(1): | |||
Weighted average number of shares outstanding (in shares) | 28,208,000 | 28,011,000 | 27,865,000 |
Weighted average shares issuable on exercise of dilutive stock options (in shares) | 135,000 | 0 | 26,000 |
Weighted average shares issuable on exercise of convertible notes (in shares) | 64,767 | ||
Weighted average number of shares outstanding, diluted (in shares) | 28,343,000 | 28,011,000 | 27,891,000 |
Income (Loss) from Continuing Operations, Per Diluted Share | $ 0.28 | $ (1.73) | $ 1.57 |
Diluted earnings per share (in dollars per share) | $ 0.28 | $ (1.73) | $ 1.57 |
2024 Notes | |||
Diluted(1): | |||
Aggregate shares to be issued upon conversion, convertible (in shares) | 3,056,879 | 3,056,879 | |
Equity awards granted to employees | |||
Diluted(1): | |||
Antidilutive securities excluded from computation of earnings per share (in shares) | 662,880 | 714,474 | 567,741 |
Stock Options | |||
Diluted(1): | |||
Share-based payment award, vesting period | 5 years |
Share-Based Arrangements (Compe
Share-Based Arrangements (Compensation Arrangements by Share-based Payment Award) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award | |||
Share-based compensation expense | $ 7,681 | $ 7,821 | $ 6,687 |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 100% | 100% | |
2021 PSUs | |||
Share-based Compensation Arrangement by Share-based Payment Award | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 54% | ||
Continuing Operations [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award | |||
Share-based compensation expense | $ 7,700 | $ 7,800 | 6,700 |
Restructuring & Severance | |||
Share-based Compensation Arrangement by Share-based Payment Award | |||
Share-based compensation expense | $ 300 | $ 200 | $ 400 |
Share-Based Arrangements (Stock
Share-Based Arrangements (Stock Incentive Plan) (Details) | 12 Months Ended | ||||
Dec. 31, 2023 shares | Dec. 31, 2022 | Apr. 19, 2023 shares | Apr. 18, 2018 shares | Apr. 17, 2013 shares | |
Share-based Compensation Arrangement by Share-based Payment Award | |||||
Number of shares authorized under the plan for each award issued, fair value awards | 3 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 100% | 100% | |||
Stock Options | |||||
Share-based Compensation Arrangement by Share-based Payment Award | |||||
Award vesting rate | 0.20 | ||||
Share-based payment award, vesting period | 5 years | ||||
2013 Management Incentive Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award | |||||
Number of shares authorized (in shares) | 1,715,000 | 2,250,000 | 2,250,000 | ||
Number of shares available for grant (in shares) | 1,941,888 | ||||
Prior to 2021 | Restricted Stock | |||||
Share-based Compensation Arrangement by Share-based Payment Award | |||||
Award vesting rate | 0.20 | ||||
Share-based payment award, vesting period | 5 years | ||||
Beginning in 2021 | Restricted Stock | |||||
Share-based Compensation Arrangement by Share-based Payment Award | |||||
Award vesting rate | 0.333 | ||||
Share-based payment award, vesting period | 3 years | ||||
2022 | Stock Options | |||||
Share-based Compensation Arrangement by Share-based Payment Award | |||||
Award vesting rate | 0.333 | ||||
Share-based payment award, vesting period | 3 years |
Share-Based Arrangements (Sto_2
Share-Based Arrangements (Stock Options Activity) (Details) - Stock Options - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Options, Outstanding [Roll Forward] | |||
Outstanding at beginning of period (in shares) | 710,782 | ||
Granted (in shares) | 48,987 | ||
Exercised (in shares) | 0 | ||
Forfeited or expired (in shares) | (121,406) | ||
Outstanding at end of period (in shares) | 638,363 | 710,782 | |
Options, Weighted Average Exercise Price [Roll Forward] | |||
Outstanding at beginning of period (in dollars per share) | $ 54.12 | ||
Granted (in dollars per share) | 24.48 | ||
Exercised (in dollars per share) | 0 | ||
Forfeited or expired (in dollars per share) | 53.69 | ||
Outstanding at end of period (in dollars per share) | $ 51.93 | $ 54.12 | |
Options, Additional Disclosures [Abstract] | |||
Weighted-average remaining contractual term - options outstanding | 3 years 6 months | ||
Aggregate intrinsic value - options outstanding | $ 0 | ||
Weighted-average exercise price - options outstanding (in dollars per share) | $ 51.93 | $ 54.12 | |
Options exercisable (in shares) | 520,278 | ||
Weighted-average remaining contractual term - options exercisable | 2 years 7 months 6 days | ||
Aggregate intrinsic value - options exercisable | $ 0 | ||
Weighted-average exercise price - options exercisable (in dollars per share) | $ 54.64 | ||
Intrinsic value of options exercised | $ 300 | ||
Options, Fair Value Assumptions and Methodology [Abstract] | |||
Expected option term | 6 years 10 months 24 days | 6 years 6 months | 4 years 10 months 24 days |
Expected volatility | 40.20% | 35.50% | 35.70% |
Risk-free interest rate | 4% | 2.90% | 0.50% |
Expected dividend yield | 3.30% | 2% | 1.60% |
Per share fair value of options granted | $ 8.17 | $ 10.22 | $ 14.89 |
Share-Based Arrangements (Restr
Share-Based Arrangements (Restricted Stock Activity) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restricted Stock | |||
Restricted Stock, Outstanding [Roll Forward] | |||
Outstanding at beginning of period (in shares) | 159,521 | ||
Granted (in shares) | 185,353 | ||
Vested (in shares) | (99,539) | ||
Forfeited or expired (in shares) | (22,385) | ||
Outstanding at end of period (in shares) | 222,950 | 159,521 | |
Restricted Stock, Weighted-Average Grant Date Fair Value [Roll Forward] | |||
Outstanding at beginning of period (in dollars per share) | $ 45.78 | ||
Granted (in dollars per share) | 24.22 | ||
Vested (in dollars per share) | 45.12 | ||
Forfeited or expired (in dollars per share) | 35.58 | ||
Outstanding at end of period (in dollars per share) | $ 29.17 | $ 45.78 | |
Total fair value of restricted stock awards vested | $ 2.3 | $ 3.4 | $ 2.7 |
Nonqualified Stock Options and Restricted Stock | |||
Restricted Stock, Weighted-Average Grant Date Fair Value [Roll Forward] | |||
Tax benefit from compensation expense | 0.8 | $ 1.1 | $ 1.4 |
Compensation cost not yet recognized | $ 8.7 | ||
Compensation cost recognized, period | 1 year 9 months 18 days |
Share-Based Arrangements (Emplo
Share-Based Arrangements (Employee Stock Purchase Plan) (Details) - ESPP Stock - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award | |||
Market price after discount, purchase date | 85% | ||
Number of shares authorized (in shares) | 2,000,000 | ||
Employee stock issued (in shares) | 100,697 | 64,143 | 51,225 |
Number of shares available for purchase (in shares) | 287,523 | ||
Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award | |||
Employee stock issued (in dollars per share) | $ 18.61 | $ 20.37 | $ 35.67 |
Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award | |||
Employee stock issued (in dollars per share) | $ 26 | $ 43.48 | $ 58.35 |
Share-Based Arrangements (Perfo
Share-Based Arrangements (Performance Share Units) (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 222,950 | 159,521 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 185,353 | ||
Vested (in shares) | (99,539) | ||
Forfeited or expired (in shares) | (22,385) | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 29.17 | $ 45.78 | |
Granted (in dollars per share) | 24.22 | ||
Vested (in dollars per share) | 45.12 | ||
Forfeited or expired (in dollars per share) | $ 35.58 | ||
Performance Shares | |||
Share-based Compensation Arrangement by Share-based Payment Award | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 279,847 | 172,144 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 178,385 | ||
Vested (in shares) | 0 | ||
Forfeited or expired (in shares) | (70,682) | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 45.25 | $ 60.44 | |
Granted (in dollars per share) | 32.03 | ||
Vested (in dollars per share) | 0 | ||
Forfeited or expired (in dollars per share) | $ 48.89 | ||
Expected option term | 2 years 10 months 24 days | 2 years 10 months 24 days | 2 years 10 months 24 days |
Expected volatility | 41.20% | 39.40% | 41.30% |
Risk-free interest rate | 4.40% | 1.70% | 0.20% |
Expected dividend yield | 3.30% | 1.90% | 1.40% |
Per share fair value of options granted | $ 38.83 | $ 68.10 | $ 84.49 |
Stock Options | |||
Share-based Compensation Arrangement by Share-based Payment Award | |||
Expected option term | 6 years 10 months 24 days | 6 years 6 months | 4 years 10 months 24 days |
Expected volatility | 40.20% | 35.50% | 35.70% |
Risk-free interest rate | 4% | 2.90% | 0.50% |
Expected dividend yield | 3.30% | 2% | 1.60% |
Per share fair value of options granted | $ 8.17 | $ 10.22 | $ 14.89 |
Schedule II (Details)
Schedule II (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Allowance for Doubtful Accounts | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance Beginning of Period | $ 2,066 | $ 1,547 | $ 2,008 |
Additions Charged to Costs and Expenses / Provision Benefit | 1,998 | 1,301 | 575 |
Additions Other | 0 | (67) | 0 |
Deductions | (1,046) | (849) | (1,036) |
Balance End of Period | 3,018 | 2,066 | 1,547 |
Valuation Allowance of Deferred Tax Assets | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance Beginning of Period | 5,025 | 6,022 | 10,216 |
Additions Charged to Costs and Expenses / Provision Benefit | 656 | 1,263 | 910 |
Additions Other | (1,405) | (5,104) | |
Deductions | (2,260) | ||
Balance End of Period | $ 4,276 | $ 5,025 | $ 6,022 |
Uncategorized Items - kamn-2023
Label | Element | Value |
Cash, Including Discontinued Operations | us-gaap_CashIncludingDiscontinuedOperations | $ 136,089,000 |