Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Oct. 28, 2018 | Dec. 12, 2018 | Apr. 27, 2018 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Oct. 28, 2018 | ||
Document Fiscal Year Focus | 2,018 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | NCI BUILDING SYSTEMS INC | ||
Entity Central Index Key | 883,902 | ||
Current Fiscal Year End Date | --10-28 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Public Float | $ 750,262,999 | ||
Trading Symbol | NCS | ||
Entity Common Stock, Shares Outstanding | 125,347,957 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Income Statement [Abstract] | |||
Sales | $ 2,000,577 | $ 1,770,278 | $ 1,684,928 |
Cost of sales | 1,537,895 | 1,354,214 | 1,257,038 |
Gross profit | 462,682 | 416,064 | 427,890 |
Engineering, selling, general and administrative expenses | 307,106 | 293,145 | 302,551 |
Intangible asset amortization | 9,648 | 9,620 | 9,638 |
Goodwill impairment | 0 | 6,000 | 0 |
Restructuring and impairment charges, net | 1,912 | 5,297 | 4,252 |
Strategic development and acquisition related costs | 17,164 | 1,971 | 2,670 |
Loss on disposition of business | 5,673 | 0 | 0 |
Gain on insurance recovery | (4,741) | (9,749) | 0 |
Income from operations | 125,920 | 109,780 | 108,779 |
Interest income | 140 | 238 | 146 |
Interest expense | (21,808) | (28,899) | (31,019) |
Foreign exchange (loss) gain | (244) | 547 | (1,401) |
Gain from bargain purchase | 0 | 0 | 1,864 |
Loss on extinguishment of debt | (21,875) | 0 | 0 |
Other income, net | 962 | 1,472 | 595 |
Income before income taxes | 83,095 | 83,138 | 78,964 |
Provision for income taxes | 19,989 | 28,414 | 27,937 |
Net income | 63,106 | 54,724 | 51,027 |
Net income allocated to participating securities | (412) | (325) | (389) |
Net income (loss) applicable to common shares | $ 62,694 | $ 54,399 | $ 50,638 |
Income per common share: | |||
Basic (in dollars per share) | $ 0.95 | $ 0.77 | $ 0.70 |
Diluted (in dollars per share) | $ 0.94 | $ 0.77 | $ 0.70 |
Weighted average number of common shares outstanding: | |||
Basic (in shares) | 66,260 | 70,629 | 72,411 |
Diluted (in shares) | 66,362 | 70,778 | 72,857 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Comprehensive income: | |||
Net income | $ 63,106 | $ 54,724 | $ 51,027 |
Other comprehensive income (loss), net of tax: | |||
Foreign exchange translation (losses) gains and other (net of income tax of $0 in 2018, 2017 and 2016) | (93) | 198 | (325) |
Unrecognized actuarial gains (losses) on pension obligation (net of income tax of ($322), ($1,805), and $1,245 in 2018, 2017 and 2016, respectively) | 916 | 2,824 | (1,948) |
Other comprehensive income (loss) | 823 | 3,022 | (2,273) |
Comprehensive income | $ 63,929 | $ 57,746 | $ 48,754 |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Parenthetical] - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Statement of Comprehensive Income [Abstract] | |||
Income tax effects of foreign exchange translation gains (losses) and other | $ 0 | $ 0 | $ 0 |
Income tax (expense) benefit effect from unrecognized actuarial gains (losses) on pension obligation | $ (322) | $ (1,805) | $ 1,245 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Oct. 28, 2018 | Oct. 29, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 54,272 | $ 65,658 |
Restricted cash | 245 | 136 |
Accounts receivable, net | 233,297 | 199,897 |
Inventories, net | 254,531 | 198,296 |
Income taxes receivable | 1,012 | 3,617 |
Investments in debt and equity securities, at market | 5,285 | 6,481 |
Prepaid expenses and other | 34,821 | 31,359 |
Assets held for sale | 7,272 | 5,582 |
Total current assets | 590,735 | 511,026 |
Property, plant and equipment, net | 236,240 | 226,995 |
Goodwill | 148,291 | 148,291 |
Intangible assets, net | 127,529 | 137,148 |
Deferred income taxes | 982 | 2,544 |
Other assets, net | 6,598 | 5,108 |
Total assets | 1,110,375 | 1,031,112 |
Current liabilities: | ||
Current portion of long-term debt | 4,150 | 0 |
Note payable | 497 | 440 |
Accounts payable | 170,663 | 147,772 |
Accrued compensation and benefits | 65,136 | 59,189 |
Accrued interest | 1,684 | 6,414 |
Accrued income taxes | 11,685 | 0 |
Other accrued expenses | 81,884 | 76,897 |
Total current liabilities | 335,699 | 290,712 |
Long-term debt, net of deferred financing costs of $5,699 and $6,857 on October 28, 2018 and October 29, 2017, respectively | 403,076 | 387,290 |
Deferred income taxes | 2,250 | 4,297 |
Other long-term liabilities | 39,085 | 43,566 |
Total long-term liabilities | 444,411 | 435,153 |
Stockholders’ equity: | ||
Common stock, $.01 par value, 100,000,000 shares authorized; 66,264,654 and 68,677,684 shares issued in 2018 and 2017, respectively; and 66,203,841 and 68,386,556 shares outstanding in 2018 and 2017, respectively | 663 | 687 |
Additional paid-in capital | 523,788 | 562,277 |
Accumulated deficit | (186,291) | (248,046) |
Accumulated other comprehensive loss, net | (6,708) | (7,531) |
Treasury stock, at cost (60,813 and 291,128 shares in 2018 and 2017, respectively) | (1,187) | (2,140) |
Total stockholders’ equity | 330,265 | 305,247 |
Total liabilities and stockholders’ equity | $ 1,110,375 | $ 1,031,112 |
CONSOLIDATED BALANCE SHEETS _Pa
CONSOLIDATED BALANCE SHEETS [Parenthetical] - USD ($) $ in Thousands | Oct. 28, 2018 | Oct. 29, 2017 |
Statement of Financial Position [Abstract] | ||
Deferred financing costs | $ 5,699 | $ 6,857 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 66,264,654 | 68,677,684 |
Common stock, shares outstanding | 66,203,841 | 68,386,556 |
Treasury stock, shares | 60,813 | 291,128 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Cash flows from operating activities: | |||
Net income | $ 63,106 | $ 54,724 | $ 51,027 |
Adjustments to reconcile net income to net cash from operating activities: | |||
Depreciation and amortization | 42,325 | 41,318 | 41,924 |
Amortization of deferred financing costs | 1,501 | 1,819 | 1,908 |
Loss on extinguishment of debt | 21,875 | 0 | 0 |
Share-based compensation expense | 11,638 | 10,230 | 10,892 |
Loss on disposition of business, net | 5,092 | 0 | 0 |
(Gains) losses on assets, net | (502) | 1,371 | (2,673) |
Goodwill impairment | 0 | 6,000 | 0 |
Gain on insurance recovery | (4,741) | (9,749) | 0 |
Provision for doubtful accounts | (491) | 1,948 | 1,343 |
(Benefit) provision for deferred income taxes | (889) | 866 | 1,318 |
Changes in operating assets and liabilities, net of effect of acquisitions and dispositions: | |||
Accounts receivable | (35,397) | (19,582) | (18,141) |
Inventories | (58,534) | (11,473) | (29,054) |
Income taxes | 2,605 | (2,637) | (1,953) |
Prepaid expenses and other | (5,479) | (2,271) | 671 |
Accounts payable | 24,465 | 4,858 | (1,598) |
Accrued expenses | 16,284 | (12,320) | 12,656 |
Other, net | (395) | (1,228) | 159 |
Net cash provided by operating activities | 82,463 | 63,874 | 68,479 |
Cash flows from investing activities: | |||
Acquisitions, net of cash acquired | 0 | 0 | (4,343) |
Capital expenditures | (47,827) | (22,074) | (21,024) |
Proceeds from sale of property, plant and equipment | 6,338 | 3,197 | 5,417 |
Business disposition, net | (1,426) | 0 | 0 |
Proceeds from insurance | 4,741 | 8,593 | 10,000 |
Net cash used in investing activities | (38,174) | (10,284) | (9,950) |
Cash flows from financing activities: | |||
(Deposit) refund of restricted cash | (109) | 173 | 370 |
Proceeds from stock options exercised | 1,279 | 1,651 | 12,612 |
Proceeds from ABL facility | 100,000 | 35,000 | 0 |
Payments on ABL facility | (100,000) | (35,000) | 0 |
Proceeds from term loan | 415,000 | 0 | 0 |
Payments on term loan | (146,221) | (10,180) | (40,000) |
Payments on senior notes | (265,470) | 0 | 0 |
Payments on note payable | (1,742) | (1,570) | (1,430) |
Payments of financing costs | (6,546) | 0 | 0 |
Payments related to tax withholding for share-based compensation | (5,068) | (2,389) | (1,141) |
Purchases of treasury stock | (46,705) | (41,214) | (62,874) |
Net cash used in financing activities | (55,582) | (53,529) | (92,463) |
Effect of exchange rate changes on cash and cash equivalents | (93) | 194 | (325) |
Net (decrease) increase in cash and cash equivalents | (11,386) | 255 | (34,259) |
Cash and cash equivalents at beginning of period | 65,658 | 65,403 | 99,662 |
Cash and cash equivalents at end of period | 54,272 | 65,658 | 65,403 |
Supplemental disclosure of cash flow information: | |||
Interest paid, net of amounts capitalized | 24,841 | 27,659 | 28,063 |
Taxes paid, net of amounts refunded | $ 5,972 | $ 28,980 | $ 36,073 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Retained Earnings (Deficit) | Accumulated Other Comprehensive (Loss) Income | Treasury Stock |
Stockholders' equity beginning balance (in shares) at Nov. 01, 2015 | 74,529,750 | (447,426) | ||||
Stockholders' equity beginning balance at Nov. 01, 2015 | $ 271,976 | $ 745 | $ 640,767 | $ (353,733) | $ (8,280) | $ (7,523) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Treasury stock purchases (in shares) | (1,600,000) | (4,589,576) | ||||
Treasury stock purchases | $ (64,015) | $ (64,015) | ||||
Issuance of restricted stock (in shares) | (56,868) | (161,633) | ||||
Issuance of restricted stock | $ 0 | |||||
Retirement of treasury shares (in shares) | 4,000,000 | (4,423,564) | 4,423,564 | |||
Retirement of treasury shares | $ 44 | 62,235 | $ 62,279 | |||
Stock options exercised (in shares) | 1,418,219 | 1,418,219 | ||||
Stock options exercised | $ 12,612 | $ 14 | 12,598 | |||
Excess tax (shortfall) benefits from share-based compensation arrangements | (289) | (289) | ||||
Foreign exchange translation (losses) gains and other, net of taxes | (325) | (325) | ||||
Deferred compensation obligation | 1,387 | 1,387 | ||||
Unrecognized actuarial losses on pension obligations | (1,948) | (1,948) | ||||
Share-based compensation | 10,892 | 10,892 | ||||
Net income | 51,027 | 51,027 | ||||
Stockholders' equity ending balance (in shares) at Oct. 30, 2016 | 71,581,273 | (775,071) | ||||
Stockholders' equity ending balance at Oct. 30, 2016 | $ 281,317 | $ 715 | 603,120 | (302,706) | (10,553) | $ (9,259) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Treasury stock purchases (in shares) | (2,800,000) | (2,957,838) | ||||
Treasury stock purchases | $ (43,603) | $ (43,603) | ||||
Issuance of restricted stock (in shares) | (356,701) | (19,806) | ||||
Issuance of restricted stock | $ 4 | (4) | $ 0 | |||
Retirement of treasury shares (in shares) | 3,000,000 | (3,443,448) | 3,443,448 | |||
Retirement of treasury shares | $ 34 | 50,553 | $ 50,587 | |||
Stock options exercised (in shares) | 182,923 | 182,923 | ||||
Stock options exercised | $ 1,653 | $ 2 | 1,651 | |||
Excess tax (shortfall) benefits from share-based compensation arrangements | 1,515 | 1,515 | ||||
Foreign exchange translation (losses) gains and other, net of taxes | (3,413) | (3,547) | (64) | 198 | ||
Deferred compensation obligation (in shares) | 235 | 18,139 | ||||
Deferred compensation obligation | (135) | $ 135 | ||||
Unrecognized actuarial losses on pension obligations | 2,824 | 2,824 | ||||
Share-based compensation | 10,230 | 10,230 | ||||
Net income | 54,724 | 54,724 | ||||
Stockholders' equity ending balance (in shares) at Oct. 29, 2017 | 68,677,684 | (291,128) | ||||
Stockholders' equity ending balance at Oct. 29, 2017 | $ 305,247 | $ 687 | 562,277 | (248,046) | (7,531) | $ (2,140) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Cumulative effect of accounting change | 1,351 | (1,351) | ||||
Treasury stock purchases (in shares) | (2,700,000) | (2,938,974) | ||||
Treasury stock purchases | $ (51,773) | $ (51,773) | ||||
Issuance of restricted stock (in shares) | (410,520) | 181,439 | ||||
Issuance of restricted stock | $ 4 | (4) | $ 0 | |||
Retirement of treasury shares (in shares) | 2,700,000 | (2,938,974) | 2,938,974 | |||
Retirement of treasury shares | $ 29 | 51,743 | $ 51,772 | |||
Stock options exercised (in shares) | 115,424 | 115,424 | ||||
Stock options exercised | $ 1,279 | $ 1 | 1,278 | |||
Foreign exchange translation (losses) gains and other, net of taxes | (148) | (55) | (93) | |||
Deferred compensation obligation (in shares) | 48,876 | |||||
Deferred compensation obligation | (954) | $ 954 | ||||
Unrecognized actuarial losses on pension obligations | 916 | 916 | ||||
Share-based compensation | 11,638 | 11,638 | ||||
Net income | 63,106 | 63,106 | ||||
Stockholders' equity ending balance (in shares) at Oct. 28, 2018 | 66,264,654 | (60,813) | ||||
Stockholders' equity ending balance at Oct. 28, 2018 | $ 330,265 | $ 663 | $ 523,788 | $ (186,291) | $ (6,708) | $ (1,187) |
NATURE OF BUSINESS AND BASIS OF
NATURE OF BUSINESS AND BASIS OF PRESENTATION | 12 Months Ended |
Oct. 28, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
NATURE OF BUSINESS AND BASIS OF PRESENTATION | NATURE OF BUSINESS AND BASIS OF PRESENTATION Nature of Business NCI Building Systems, Inc. (together with its subsidiaries, unless otherwise indicated, the “Company,” “we,” “us” or “our”) is one of North America’s largest integrated manufacturers and marketers of metal products for the nonresidential construction industry. We provide metal coil coating services and design, engineer, manufacture and market metal components and engineered building systems primarily used in nonresidential construction. We manufacture and distribute extensive lines of metal products for the nonresidential construction market under multiple brand names through a broad network of manufacturing facilities and distribution centers. We sell our products primarily for use in new construction activities and also in repair and retrofit activities, mostly in North America. We have four operating segments: Engineered Building Systems, Metal Components, Insulated Metal Panels and Metal Coil Coating. Operating segments are defined as components of an enterprise that engage in business activities and for which discrete financial information is available that is evaluated on a regular basis by the chief operating decision maker to make decisions about how to allocate resources to the segment and assess the performance of the segment. We market the products in each of our operating segments nationwide primarily through a direct sales force and, in the case of our Engineered Building Systems segment, through authorized builder networks. Basis of Presentation Our consolidated financial statements include the accounts of the Company and all majority-owned subsidiaries. All intercompany accounts, transactions and profits arising from consolidated entities have been eliminated in consolidation. Fiscal Year We use a 52/53 week fiscal year ending on the Sunday closest to October 31. The year end for fiscal 2018 is October 28, 2018 . Fiscal years 2018, 2017, and 2016 were 52-week fiscal years. On November 16, 2018, the board of directors of the Company approved a change to the Company’s fiscal year from a 52/53 week year with the Company’s fiscal year end on the Sunday closest to October 31 to a fiscal year of the 12 month period of January 1 to December 31 of each calendar year, to commence with the fiscal year ending December 31, 2019. The Company will file a transition report on Form 10-Q on or before February 11, 2019 that will cover the transition period from October 29, 2018 to December 31, 2018. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Oct. 28, 2018 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (a) Use of Estimates . The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Examples include provisions for bad debts and inventory reserves, accounting for business combinations, valuation of reporting units for purposes of assessing goodwill and other indefinite-lived intangible assets for impairment, valuation of asset groups for impairment testing, accruals for employee benefits, general liability insurance, warranties and certain contingencies. We base our estimates on historical experience, market participant fair value considerations, projected future cash flows, and various other factors that are believed to be reasonable under the circumstances. Actual results could differ from those estimates. (b) Cash and Cash Equivalents . Cash equivalents are stated at cost plus accrued interest, which approximates fair value. Cash equivalents are highly liquid debt instruments with an original maturity of three months or less and may consist of time deposits with a number of commercial banks with high credit ratings, money market instruments, certificates of deposit and commercial paper. Our policy allows us to also invest excess funds in no-load, open-end, management investment trusts (“mutual funds”). The mutual funds invest exclusively in high quality money market instruments. As of October 28, 2018 , our cash and cash equivalents were only invested in cash. (c) Accounts Receivable and Related Allowance . We report accounts receivable net of the allowance for doubtful accounts. Trade accounts receivable are the result of sales of building systems, metal components, insulated metal panels and metal coating services to customers throughout the United States and Canada and affiliated territories, including international builders who resell to end users. Sales are primarily denominated in U.S. dollars. Credit sales do not normally require a pledge of collateral; however, various types of liens may be filed to enhance the collection process and we require payment prior to shipment for certain international shipments. We establish reserves for doubtful accounts on a customer by customer basis when we believe the required payment of specific amounts owed is unlikely to occur. In establishing these reserves, we consider changes in the financial position of a customer, availability of security, lien rights and bond rights as well as disputes, if any, with our customers. Our allowance for doubtful accounts reflects reserves for customer receivables to reduce receivables to amounts expected to be collected. We determine past due status as of the contractual payment date. Interest on delinquent accounts receivable is included in the trade accounts receivable balance and recognized as interest income when earned and collectability is reasonably assured. Uncollectible accounts are written off when a settlement is reached for an amount that is less than the outstanding historical balance or we have exhausted all collection efforts. The following table represents the rollforward of our uncollectible accounts for the fiscal years ended October 28, 2018 , October 29, 2017 and October 30, 2016 (in thousands): October 28, October 29, October 30, Beginning balance $ 8,325 $ 7,413 $ 7,695 Provision for bad debts (491 ) 1,948 1,343 Amounts charged against allowance for bad debts, net of recoveries (1,585 ) (1,036 ) (1,625 ) Ending balance $ 6,249 $ 8,325 $ 7,413 (d) Inventories . Beginning with our prospective adoption of ASU 2015-11 in the first quarter of fiscal 2018, inventories are stated at the lower of cost or net realizable value less allowance for inventory obsolescence using the First-In, First-Out Method (“FIFO”) for steel coils and other raw materials. Prior inventory balances are stated at the lower of cost or market value less allowance for inventory obsolescence using FIFO. See Note 3 — Accounting Pronouncements. The components of inventory are as follows (in thousands): October 28, October 29, Raw materials $ 205,902 $ 150,919 Work in process and finished goods 48,629 47,377 $ 254,531 $ 198,296 The following table represents the rollforward of reserve for obsolete materials and supplies activity for the fiscal years ended October 28, 2018 , October 29, 2017 and October 30, 2016 (in thousands): October 28, October 29, October 30, Beginning balance $ 5,205 $ 3,984 $ 3,749 Provisions 3,069 1,923 1,463 Dispositions (1,655 ) (702 ) (1,228 ) Ending balance $ 6,619 $ 5,205 $ 3,984 The principal raw material used in the manufacturing of our Engineered Building Systems, Metal Components and Insulated Metal Panels segments is steel which we purchase from multiple steel producers. (e) Assets Held for Sale . We record assets held for sale at the lower of the carrying value or fair value less costs to sell. The following criteria are used to determine if property is held for sale: (i) management has the authority and commits to a plan to sell the property; (ii) the property is available for immediate sale in its present condition; (iii) there is an active program to locate a buyer and the plan to sell the property has been initiated; (iv) the sale of the property is probable within one year; (v) the property is being actively marketed at a reasonable sale price relative to its current fair value; and (vi) it is unlikely that the plan to sell will be withdrawn or that significant changes to the plan will be made. In determining the fair value of the assets less cost to sell, we consider factors including current sales prices for comparable assets in the area, recent market analysis studies, appraisals and any recent legitimate offers. If the estimated fair value less cost to sell of an asset is less than its current carrying value, the asset is written down to its estimated fair value less cost to sell. During fiscal 2018 and 2017, we reclassified $5.0 million and $ 4.7 million , respectively, from property, plant and equipment to assets held for sale for idled facilities in our Metal Components, Insulated Metal Panels and Engineering Building Systems segments that met the held for sale criteria. The total carrying value of assets held for sale (primarily representing idled facilities in our Insulated Metal Panels and Engineered Building Systems segments) is $7.3 million and $5.6 million at October 28, 2018 and October 29, 2017 , respectively. All of these assets continue to be actively marketed for sale or are under contract at October 28, 2018 . During fiscal 2018 and 2017 , we sold certain idled facilities in our Metal Components and Engineered Building Systems segments, along with related equipment, which previously had been classified as held for sale. In connection with the sales of these assets, during fiscal 2018 and 2017 , we received net cash proceeds of $4.1 million and $3.2 million , respectively, and recognized a net gain (loss) of $0.5 million and $(0.2) million , respectively. Certain assets held for sale are valued at fair value and are measured at fair value on a nonrecurring basis. Assets held for sale are reported at fair value, if, on an individual basis, the fair value of the asset is less than cost. The fair value of assets held for sale is estimated using Level 3 inputs, such as broker quotes for like-kind assets or other market indications of a potential selling value that approximates fair value. Assets held for sale, reported at fair value less cost to sell totaled $5.0 million as of October 28, 2018 . Due to uncertainties in the estimation process, it is reasonably possible that actual results could differ from the estimates used in our historical analysis. Our assumptions about property sales prices require significant judgment because the current market is highly sensitive to changes in economic conditions. We determined the estimated fair values of assets held for sale based on current market conditions and assumptions made by management, which may differ from actual results and may result in impairments if market conditions deteriorate. (f) Property, Plant and Equipment and Leases . Property, plant and equipment are stated at cost and depreciated using the straight-line method over their estimated useful lives. Leasehold improvements are capitalized and amortized using the straight-line method over the shorter of their estimated useful lives or the term of the underlying lease. Computer software developed or purchased for internal use is depreciated using the straight-line method over its estimated useful life. Depreciation and amortization are recognized in cost of sales and engineering, selling, general and administrative expenses based on the nature and use of the underlying asset(s). Operating leases are expensed using the straight-line method over the term of the underlying lease. Depreciation expense for fiscal 2018 , 2017 and 2016 was $32.7 million , $31.7 million and $32.3 million , respectively. Of this depreciation expense, $5.8 million , $5.8 million and $6.4 million was related to computer software and equipment depreciation for fiscal 2018 , 2017 and 2016 . Property, plant and equipment consists of the following (in thousands): October 28, October 29, Land $ 17,398 $ 18,473 Buildings and improvements 172,920 178,019 Machinery, equipment and furniture 356,509 336,163 Transportation equipment 4,287 4,599 Computer software and equipment 116,449 117,515 Construction in progress 28,608 15,092 696,171 669,861 Less: accumulated depreciation (459,931 ) (442,866 ) $ 236,240 $ 226,995 Estimated useful lives for depreciation are: Buildings and improvements 15 – 39 years Machinery, equipment and furniture 3 – 15 years Transportation equipment 4 – 10 years Computer software and equipment 3 – 7 years We capitalize interest on capital invested in projects in accordance with Accounting Standards Codification (“ASC”) Topic 835, Interest . For fiscal 2018 , 2017 and 2016 , the total amount of interest capitalized was $0.4 million , $0.2 million and $0.2 million , respectively. Upon commencement of operations, capitalized interest, as a component of the total cost of the asset, is amortized over the estimated useful life of the asset. Involuntary conversions result from the loss of an asset because of an unforeseen event (e.g., destruction due to fire). Some of these events are insurable and result in property damage insurance recovery. Amounts the Company receives from insurance carriers are net of any deductibles related to the covered event. The Company records a receivable from insurance to the extent it recognizes a loss from an involuntary conversion event and the likelihood of recovering such loss is deemed probable at the balance sheet date. To the extent that any of the Company’s insurance claim receivables are later determined not probable of recovery (e.g., due to new information), such amounts are expensed. The Company recognizes gains on involuntary conversions when the amount received from insurers exceeds the net book value of the impaired asset(s). In addition, the Company does not recognize a gain related to insurance recoveries until the contingency related to such proceeds has been resolved, through either receipt of a non-refundable cash payment from the insurers or by execution of a binding settlement agreement with the insurers that clearly states that a non-refundable payment will be made. To the extent that an asset is rebuilt or new assets are acquired, the associated expenditures are capitalized, as appropriate, in the consolidated balance sheets and presented as capital expenditures in the Company’s consolidated statements of cash flows. With respect to business interruption insurance claims, the Company recognizes income only when non-refundable cash proceeds are received from insurers, which are presented in the Company’s consolidated statements of operations as a component of gross profit or operating income and in the consolidated statements of cash flows as an operating activity. In June 2016, the Company experienced a fire at a facility in the Insulated Metal Panels segment. We estimated that fixed assets with a net book value of approximately $6.7 million were impaired as a result of the fire. During the second quarter of fiscal 2017, the Company settled the property damage claims with the insurers for actual cash value of $18.0 million . Of this amount, the Company received proceeds of $10.0 million from our insurers during the fourth quarter of fiscal 2016. The remaining $8.0 million was received in May 2017. Approximately $8.8 million was previously recognized to offset the loss on involuntary conversion and other amounts incurred related to the incident. The remaining $9.2 million was recognized as a gain on insurance recovery in the consolidated statement of operations during the quarter ended April 30, 2017 as all contingencies were resolved. The Company’s property insurance policy is a replacement cost policy. During the third quarter of fiscal 2018, the Company received final proceeds of $4.7 million as reimbursement for new assets acquired and recognized a $4.7 million gain on insurance recovery in the consolidated statements of operations. (g) Internally Developed Software . Internally developed software is stated at cost less accumulated amortization and is amortized using the straight-line method over its estimated useful life ranging from 3 to 7 years. Software assets are reviewed for impairment when events or circumstances indicate the carrying value may not be recoverable over the remaining lives of the assets. During the software application development stage, capitalized costs include external consulting costs, cost of software licenses and internal payroll and payroll related costs for employees who are directly associated with a software project. Upgrades and enhancements are capitalized if they result in added functionality which enable the software to perform tasks it was previously incapable of performing. Software maintenance, training, data conversion and business process reengineering costs are expensed in the period in which they are incurred. (h) Goodwill and Other Intangible Assets . We review the carrying values of goodwill and identifiable intangibles whenever events or changes in circumstances indicate that such carrying values may not be recoverable and annually for goodwill and indefinite lived intangible assets as required by ASC Topic 350, Intangibles — Goodwill and Other . This guidance provides the option to first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. If, based on a review of qualitative factors, it is more likely than not that the fair value of a reporting unit is less than its carrying value, we perform a quantitative analysis. Prior to July 30, 2017, the test for impairment was a two-step process that involved comparing the estimated fair value of each reporting unit to the reporting unit’s carrying value, including goodwill. If the fair value of a reporting unit exceeded its carrying amount, the goodwill of the reporting unit was not considered impaired; therefore the second step of the impairment test would not be deemed necessary. If the carrying amount of the reporting unit exceeded its fair value, we would then perform the second step to the goodwill impairment test, which involved the determination of the fair value of a reporting unit’s assets and liabilities as if those assets and liabilities had been acquired/assumed in a business combination at the impairment testing date, to measure the amount of goodwill impairment loss to be recorded. However, with the adoption of Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) No. 2017-04, we prospectively adopted a new accounting principle that eliminated the second step of the goodwill impairment test. Therefore, beginning with the annual goodwill impairment tests occurring on the first day of the fourth quarter of fiscal 2017, if the carrying value of a reporting unit exceeds its fair value, we measure any goodwill impairment losses as the amount by which the carrying amount of a reporting unit exceeds its fair value, not to exceed the total amount of goodwill allocated to that reporting unit. Unforeseen events, changes in circumstances, market conditions and material differences in the value of intangible assets due to changes in estimates of future cash flows could negatively affect the fair value of our assets and result in a non-cash impairment charge. Some factors considered important that could trigger an impairment review include the following: significant underperformance relative to expected historical or projected future operating results, significant changes in the manner of our use of acquired assets or the strategy for our overall business and significant negative industry or economic trends. We recorded a non-cash loss on goodwill impairment of $6.0 million in fiscal 2017, which is included in goodwill impairment in the consolidated statements of operations. See Note 6 — Goodwill and Other Intangible Assets. (i) Revenue Recognition . We recognize revenues when the following conditions are met: persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the price is fixed or determinable, and collectability is reasonably assured. Generally, these criteria are met at the time product is shipped or services are complete. A portion of our revenue, exclusively within our Engineered Building Systems segment, includes multiple-element revenue arrangements due to multiple deliverables. Each deliverable is generally determined based on customer-specific manufacturing and delivery requirements. Because the separate deliverables have value to the customer on a stand-alone basis, they are typically considered separate units of accounting. A portion of the entire job order value is allocated to each unit of accounting. Revenue allocated to each deliverable is recognized upon shipment. We use estimated selling price (“ESP”) based on underlying cost plus a reasonable margin to determine how to separate multiple-element revenue arrangements into separate units of accounting, and how to allocate the arrangement consideration among those separate units of accounting. We determine ESP based on our normal pricing and discounting practices. Our sales arrangements do not include a general right of return of the delivered product(s). In certain cases, the cancellation terms of a job order provide us with the opportunity to bill for certain incurred costs. In those instances, revenue is not recognized until all revenue recognition criteria are met, including reasonable assurance of collectability. In our Metal Coil Coating segment, our revenue activities broadly consist of cleaning, treating, painting and packaging various flat rolled metals as well as slitting and/or embossing the metal. We enter into two types of sales arrangements with our customers: toll processing sales and package sales. The primary distinction between these two arrangements relates to ownership of the underlying metal coil during treatment. In toll processing arrangements, we do not maintain ownership of the underlying metal coil during treatment and only recognize revenue for the toll processing activities, typically, cleaning, painting, slitting, embossing and packaging. In package sales arrangements, we have ownership of the metal coil during treatment and recognize revenue on both the toll processing activities and the sale of the underlying metal coil. Under either arrangement, revenue and the related direct and indirect costs are recognized when all of the recognition criteria are met, which is generally when the products are shipped to the customer. (j) Equity Raising and Deferred Financing Costs . Equity raising costs are recorded as a reduction to additional paid in capital upon the execution of an equity transaction. Deferred financing costs are capitalized as incurred and amortized using the straight-line method, which approximates the effective interest method, over the expected life of the associated debt. See Note 11 — Long-Term Debt and Note Payable. (k) Cost of Sales . Cost of sales includes the cost of inventory sold during the period, including costs for manufacturing, inbound freight, receiving, inspection, warehousing, and internal transfers less vendor rebates. Costs associated with shipping and handling our products are included in cost of sales. Purchasing costs and engineering and drafting costs are included in engineering, selling, general and administrative expense. Purchasing costs were $3.9 million , $3.9 million and $5.3 million and engineering and drafting costs were $41.1 million , $43.1 million and $44.2 million in each of fiscal 2018 , 2017 and 2016 , respectively. Approximately $2.3 million and $2.6 million of these engineering, selling, general and administrative costs were capitalized and remained in inventory at the end of fiscal 2018 and 2017 , respectively. (l) Warranty . We sell weathertightness warranties to our customers for protection from leaks in our roofing systems related to weather. These warranties range from two years to twenty years. We sell two types of warranties, standard and Single Source ™ , and three grades of coverage for each. The type and grade of coverage determines the price to the customer. For standard warranties, our responsibility for leaks in a roofing system begins after 24 consecutive leak-free months. For Single Source ™ warranties, the roofing system must pass our inspection before warranty coverage will be issued. Inspections are typically performed at three stages of the roofing project: (i) at the project start-up; (ii) at the project mid-point; and (iii) at the project completion. These inspections are included in the cost of the warranty. If the project requires or the customer requests additional inspections, those inspections are billed to the customer. Upon the sale of a warranty, we record the resulting revenue as deferred revenue, which is included in other accrued expenses and other long-term liabilities in our consolidated balance sheets depending on when the revenues are expected to be recognized. Deferred revenue of $25.3 million , classified within other accrued expenses at October 29, 2017 has been reclassified to other long-term liabilities to correct the prior year balance sheet classification. See Note 10 — Warranty. (m) Insurance . Group medical insurance is purchased through Blue Cross Blue Shield (“BCBS”). The plans include a Preferred Provider Organization Plan (“PPO”) and a Consumer Driven Health Plan (“CDHP”). These plans are managed-care plans utilizing networks to achieve discounts through negotiated rates with the providers within these networks. The claims incurred under these plans are self-funded for the first $355,000 of each claim. We purchase individual stop loss reinsurance to limit our claims liability to $355,000 per claim. BCBS administers all claims, including claims processing, utilization review and network access charges. Insurance is purchased for workers compensation and employer liability, general liability, property and auto liability/auto physical damage. We utilize either deductibles or self-insurance retentions (“SIR”) to limit our exposure to catastrophic loss. The workers compensation insurance has a $250,000 per-occurrence deductible. The property and auto liability insurances have per-occurrence deductibles of $500,000 and $250,000 , respectively. The general liability insurance has a $1,000,000 SIR. Umbrella insurance coverage is purchased to protect us against claims that exceed our per-occurrence or aggregate limits set forth in our respective policies. All claims are adjusted utilizing a third-party claims administrator and insurance carrier claims adjusters. Each reporting period, we record the costs of our health insurance plan, including paid claims, an estimate of the change in incurred but not reported (“IBNR”) claims, taxes and administrative fees, when applicable, (collectively the “Plan Costs”) as general and administrative expenses on our consolidated statements of operations. The estimated IBNR claims are based upon (i) a recent average level of paid claims under the plan, (ii) an estimated lag factor and (iii) an estimated growth factor to provide for those claims that have been incurred but not yet reported and paid. We use an actuary to determine the claims lag and estimated liability for IBNR claims. For workers’ compensation costs, we monitor the number of accidents and the severity of such accidents to develop appropriate estimates for expected costs to provide both medical care and indemnity benefits, when applicable, for the period of time that an employee is incapacitated and unable to work. These accruals are developed using independent third-party actuarial estimates of the expected cost for medical treatment, and length of time an employee will be unable to work based on industry statistics for the cost of similar disabilities, to include statutory impairment ratings. For general liability and automobile claims, accruals are developed based on independent third-party actuarial estimates of the expected cost to resolve each claim, including damages and defense costs, based on legal and industry trends and the nature and severity of the claim. Accruals also include estimates for IBNR claims, and taxes and administrative fees, when applicable. Each reporting period, we record the costs of our workers’ compensation, general liability and automobile claims, including paid claims, an estimate of the change in IBNR claims, taxes and administrative fees as general and administrative expenses on our consolidated statements of operations. (n) Advertising Costs . Advertising costs are expensed as incurred. Advertising expense was $9.3 million , $7.1 million and $7.1 million in fiscal 2018 , 2017 and 2016 , respectively. (o) Impairment of Long-Lived Assets . We assess impairment of property, plant and equipment at an asset group level in accordance with the provisions of ASC Topic 360, Property, Plant and Equipment. We assess the recoverability of the carrying amount of property, plant and equipment if certain events or changes in circumstances indicate that the carrying value of such asset groups may not be recoverable, such as a significant decrease in market value of the asset groups or a significant change in our business conditions. If we determine that the carrying value of an asset group is not recoverable based on expected undiscounted future cash flows, excluding interest charges, we record an impairment loss equal to the excess of the carrying amount of the asset group over its fair value. The fair value of an asset group is determined based on prices of similar assets adjusted for their remaining useful life. (p) Share-Based Compensation . Compensation expense is recorded for restricted stock awards under the fair value method. Compensation expense for performance stock units (“PSUs”) granted to our senior executives and Performance Share Awards granted to our key employees is recorded based on the probable outcome of the performance conditions associated with the respective shares, as determined by management. We recorded pre-tax compensation expense relating to restricted stock awards, Performance Share Awards, stock options and performance share unit awards of $11.6 million , $10.2 million and $10.9 million for fiscal 2018 , 2017 and 2016 , respectively. Included in the share-based compensation expense during fiscal 2018 were accelerated awards of $3.6 million due to the retirement of the Company’s former CEO. See Note 7 — Share-Based Compensation. (q) Foreign Currency Re-measurement and Translation . The functional currency for our Mexico operations is the U.S. dollar. Adjustments resulting from the re-measurement of the local currency financial statements into the U.S. dollar functional currency, which uses a combination of current and historical exchange rates, are included in other income in the current period. Net foreign currency re-measurement losses were $0.3 million and $0.8 million for the fiscal years ended October 29, 2017 and October 30, 2016 , respectively. For the fiscal year ended October 28, 2018, the net foreign currency re-measurement gain (loss) was insignificant. The functional currency for our Canadian operations is the Canadian dollar. Translation adjustments resulting from translating the functional currency financial statements into U.S. dollar equivalents are reported separately in accumulated other comprehensive income in stockholders’ equity. The net foreign currency (losses) gains included in other income for the fiscal years ended October 28, 2018 , October 29, 2017 and October 30, 2016 were $(0.2) million , $0.8 million and $(0.6) million , respectively. Net foreign currency translation adjustments, net of tax, and included in other comprehensive income were $(0.1) million , $0.2 million and $(0.3) million for the fiscal years ended October 28, 2018 , October 29, 2017 and October 30, 2016 , respectively. (r) Contingencies . We establish reserves for estimated loss contingencies and unasserted claims when we believe a loss is probable and the amount of the loss can be reasonably estimated. Our contingent liability reserves are related primarily to litigation and environmental matters. Revisions to contingent liability reserves are reflected in income in the period in which there are changes in facts and circumstances that affect our previous assumptions with respect to the likelihood or amount of loss. Reserves for contingent liabilities are based upon our assumptions and estimates regarding the probable outcome of the matter. We estimate the probable cost by evaluating historical precedent as well as the specific facts relating to each particular contingency (including the opinion of outside advisors, professionals and experts). Should the outcome differ from our assumptions and estimates or other events result in a material adjustment to the accrued estimated reserves, revisions to the estimated reserves for contingent liabilities would be required and would be recognized in the period the new information becomes known. (s) Income taxes . The determination of our provision for income taxes requires significant judgment, the use of estimates and the interpretation and application of complex tax laws. Our provision for income taxes reflects a combination of income earned and taxed in the various U.S. federal and state, Canadian federal and provincial, Mexican federal and other jurisdictions. Jurisdictional tax law changes, increases or decreases in permanent differences between book and tax items, accruals or adjustments of accruals for tax contingencies or valuation allowances, and the change in the mix of earnings from these taxing jurisdictions all affect the overall effective tax rate. In assessing the realizability of deferred tax assets, we must consider whether it is more likely than not that some portion, or all, of the deferred tax assets will not be realized. We consider all available evidence, both positive and negative, in determining whether a valuation allowance is required. Such evidence includes the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment, and judgment is required in considering the relative weight of negative and positive evidence. (t) Reclassifications . Certain reclassifications have been made to the prior period amounts in our consolidated balance sheets, consolidated cash flows and notes to the consolidated financial statements to conform to the current presentation. The net effect of these reclassifications was not material to our consolidated financial statements. |
ACCOUNTING PRONOUNCEMENTS
ACCOUNTING PRONOUNCEMENTS | 12 Months Ended |
Oct. 28, 2018 | |
Accounting Changes and Error Corrections [Abstract] | |
ACCOUNTING PRONOUNCEMENTS | ACCOUNTING PRONOUNCEMENTS Adopted Accounting Pronouncements In July 2015, the FASB issued ASU 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory. ASU 2015-11 requires that inventory that is accounted for using first-in, first-out (FIFO) or average cost method be measured at the lower of cost or net realizable value. We adopted this guidance in our first quarter of fiscal 2018 on a prospective basis. The adoption of this guidance did not have a material impact on our financial position or results of operations. In November 2015, the FASB issued ASU 2015-17, Balance Sheet Classification of Deferred Taxes . ASU 2015-17 requires all deferred tax assets and liabilities to be presented on the balance sheet as noncurrent. This guidance did not change the requirement that deferred tax assets and liabilities be offset and presented by tax jurisdiction. We adopted ASU 2015-17 in our first quarter in fiscal 2018 on a retrospective basis. As a result deferred tax assets of $20.1 million that were presented on our October 29, 2017 consolidated balance sheet have been reclassified to non-current deferred tax liabilities and the remaining $2.5 million deferred tax assets have been reclassified to non-current deferred tax assets to be consistent with the current year classification. In March 2016, the FASB issued ASU 2016-09, Improvements to Employee Share-Based Payment Accounting , which simplifies certain aspects of the accounting for share-based payment transactions, including income tax effects, forfeitures, minimum statutory tax withholding requirements, classification as either equity or liability, and classification on the statement of cash flows. We adopted ASU 2016-09 in our first quarter in fiscal 2018. ASU 2016-09 requires all excess tax benefits and tax deficiencies be recognized as income tax expense or benefit in the income statement, thus eliminating additional paid-in capital pools. The Company applied the new standard guidance prospectively to all excess tax benefits and tax deficiencies resulting from settlements after October 29, 2017. The standard also requires a policy election to either estimate the number of awards that are expected to vest or account for forfeitures when they occur. The Company recognized a cumulative effect adjustment of $1.4 million to increase accumulated deficit on a modified retrospective basis as of October 29, 2017 and has elected to account for forfeitures when they occur on a prospective basis. The standard requires that excess tax benefits should be classified along with other income tax cash flows as an operating activity on the statement of cash flows, which differs from the Company’s historical classification of the excess tax benefits as cash inflows from financing activities. The Company elected to apply this provision using the retrospective transition method and reclassified $1.5 million and $(0.3) million of excess tax benefits/(shortfalls) from financing activities to operating activities on the statement of cash flows for the fiscal year ended October 29, 2017 and October 30, 2016 , respectively. Additionally, the standard requires cash paid by an employer when directly withholding shares for tax withholding purposes to be classified in the statement of cash flows as a financing activity. Payments for shares withheld for tax withholding purposes of $5.1 million , $2.4 million and $1.1 million are classified on the consolidated statements of cash flows for the fiscal years ended October 28, 2018 , October 29, 2017 and October 30, 2016 , respectively. In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business . This ASU adds guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. Under the new guidance, if a single asset or group of similar identifiable assets comprise substantially all of the fair value of the gross assets acquired (or disposed of) in a transaction, the assets and related activities are not a business. Also, a minimum of an input process and a substantive process must be present and significantly contribute to the ability to create outputs in order to be considered a business. We early adopted ASU 2017-01 in the third quarter of fiscal 2018, as permitted. The adoption of this guidance did not have a material impact on our consolidated financial position or results of operations. Recent Accounting Pronouncements In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). ASU 2014-09 supersedes the revenue recognition requirements in ASC Topic 605, Revenue Recognition , and most industry-specific guidance. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. During 2016, the FASB also issued ASU 2016-08, Revenue from Contracts with Customers: Principal versus Agent Considerations (Reporting Revenue Gross versus Net); ASU 2016-10, Revenue from Contracts with Customers: Identifying Performance Obligations and Licensing ; ASU 2016-11, Rescission of SEC Guidance Because of Accounting Standards Updates 2014-09 and 2014-16 Pursuant to Staff Announcements at the March 3, 2016 EITF Meeting ; and ASU 2016-12, Revenue from Contracts with Customers: Narrow-Scope Improvements and Practical Expedients; and ASU 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers (collectively, the “new revenue standard”) , all of which were issued to improve and clarify the guidance in ASU 2014-09. These ASUs are effective for our transition period ending December 31, 2018, using either a full or modified retrospective approach. We performed an assessment of the differences between the new revenue standard and current accounting practices. As part of our implementation process, we identified significant revenue streams and evaluated a sample of contracts within each significant revenue stream in order to determine the effect of the standard on our revenue recognition practices. We are substantially complete with this evaluation. We are in the process of establishing new policies, procedures, and internal controls to be put in place upon adoption of the standard. To adopt the new revenue standard, we will apply the modified retrospective approach, pursuant to which we will record an adjustment to the opening balance of accumulated deficit as of October 29, 2018 (the first day of our transition period ending December 31, 2018) for the impact of applying the new revenue standard to all contracts existing as of the date of application. Although this is still under review and not finalized, we expect that the adjustment related to changes in the timing of revenue recognition for: tolling services within the Metal Coil Coating segment, fixed price contracts within the Insulated Metal Panels segment, and our weathertightness warranties offered primarily in the Engineered Building Systems and Metal Components segments will not be material. We do anticipate the adoption will have a material impact on our financial statement disclosures. In February 2016, the FASB issued ASU 2016-02, Leases , which will require lessees to record most leases on the balance sheet and modifies the classification criteria and accounting for sales-type leases and direct financing leases for lessors. ASU 2016-02 is effective for our fiscal year ending December 31,2019, including interim periods within that fiscal year. ASU 2016-02, as amended by ASU 2018-11, Leases: Targeted Improvements, requires entities to use a modified retrospective approach, either, for leases that exist or are entered into after the beginning of the earliest comparative period in the financial statements, or under an alternative transition option, for leases existing at, or entered into after, the adoption date. While we are evaluating the impact that the adoption of this guidance will have on our consolidated financial statements, we currently believe that most of our operating leases will be reflected on the consolidated balance sheet upon adoption. In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. This ASU requires an entity to measure all expected credit losses for financial assets, including trade receivables, held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Entities will now incorporate forward-looking information based on expected losses to estimate credit losses. ASU 2016-13 is effective for our fiscal year ending December 31, 2020, including interim periods within that fiscal year. We are evaluating the impact that the adoption of this ASU will have on our consolidated financial position, result of operations and cash flows. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments , which provides guidance on eight cash flow classification issues with the objective of reducing differences in practice. We will be required to adopt the amendments in this ASU in our transition period ending December 31, 2018. Adoption is required to be on a retrospective basis, unless impracticable for any of the amendments, in which case a prospective application is permitted. We are evaluating the impact that ASU 2016-15 will have on our consolidated financial statements. In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other than Inventory , which eliminates the exception that prohibits the recognition of current and deferred income tax effects for intra-entity transfers of assets other than inventory until the asset has been sold to an outside party. We will be required to adopt the amendments in this ASU in the transition period ending December 31, 2018. The application of the amendments will require the use of a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the period of adoption. We are evaluating the standard and the impact it will have on our consolidated financial statements. In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (a consensus of the FASB Emerging Issues Task Force) , which clarifies how entities should present restricted cash and restricted cash equivalents in the statement of cash flows. Entities will no longer present transfers between cash and cash equivalents and restricted cash and restricted cash equivalents in the statement of cash flows. An entity with a material balance of restricted cash and restricted cash equivalents must disclose information about the nature of the restrictions. We will be required to adopt this guidance on a retrospective basis in the transition period ending December 31, 2018. The adoption of ASU 2016-18 will not have a material impact on our consolidated financial statements. In March 2017, the FASB issued ASU 2017-07, Compensation — Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost , which amends the requirements related to the income statement presentation of the components of net periodic benefit cost for employer sponsored defined benefit pension and other postretirement benefit plans. Under the new guidance, an entity must disaggregate and present the service cost component of net periodic benefit cost in the same income statement line items as other employee compensation costs arising from services rendered during the period, and only the service cost component will be eligible for capitalization. Other components of net periodic benefit cost will be presented separately from the line items that include the service cost. We will be required to adopt this guidance in the transition period ending December 31, 2018. Entities must use a retrospective transition method to adopt the requirement for separate presentation of the income statement service cost and other components, and a prospective transition method to adopt the requirement to limit the capitalization of benefit cost to the service component. We are evaluating the standard and the impact it will have on our consolidated financial statements. In May 2017, the FASB issued ASU 2017-09, Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting , which provides clarity on the accounting for modifications of stock-based awards. We will be required to adopt this guidance on a prospective basis in the transition period ending December 31, 2018 for share-based payment awards modified on or after the adoption date. We do not anticipate the adoption of ASU 2017-09 to have a material impact on our consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement, which modifies disclosure requirements for fair value measurements under ASC 820, Fair Value Measurement. We will be required to adopt this guidance retrospectively in the annual and interim periods for our fiscal year ending December 31, 2020, with early adoption permitted. We are evaluating the impact of adopting this guidance. In August 2018, the FASB issued ASU 2018-14, Compensation—Retirement Benefits—Defined Benefit Plans—General (Subtopic 715-20): Disclosure Framework—Changes to the Disclosure Requirements for Defined Benefit Plans , which removes disclosures no longer considered cost beneficial, clarifies the specific requirements of disclosures and adds disclosure requirements identified as relevant. We will be required to adopt this guidance for our fiscal year ending December 31, 2020, with early adoption permitted. Certain provisions are applied prospectively while others are applied retrospectively. We are evaluating the impact of adopting this guidance. In August 2018, the FASB issued ASU 2018-15, Intangibles—Goodwill and Other—Internal-Use Software—General (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract , which aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). The accounting for the service element of a hosting arrangement that is a service contract is not affected by these amendments. We will be required to adopt this guidance in the annual and interim periods for our fiscal year ending December 31, 2020, with early adoption permitted. The amendments in this ASU may be applied either retrospectively or prospectively. We are evaluating the impact ASU 2018-15 will have on our consolidated financial statements. |
ACQUISITION
ACQUISITION | 12 Months Ended |
Oct. 28, 2018 | |
Business Combinations [Abstract] | |
ACQUISITION | ACQUISITION Fiscal 2016 acquisition On November 3, 2015, we acquired manufacturing operations in Hamilton, Ontario, Canada for cash consideration of $2.2 million , net of post-closing working capital adjustments. This business allows us to service customers more competitively within the Canadian and Northeastern United States insulated metal panel (“IMP”) markets. Because the business was acquired from a seller in connection with a divestment required by a regulatory authority, the fair value of the net assets acquired exceeded the purchase consideration by $1.9 million , which was recorded as a non-taxable gain from bargain purchase in the consolidated statements of operations during the first quarter of fiscal 2016. The fair values of the assets acquired and liabilities assumed as part of this acquisition as of November 3, 2015, as determined in accordance with ASC Topic 805, were as follows (in thousands): November 3, Current assets $ 307 Property, plant and equipment 4,810 Assets acquired 5,117 Current liabilities assumed 380 Fair value of net assets acquired 4,737 Total cash consideration transferred 2,201 Deferred tax liabilities 672 Gain from bargain purchase $ (1,864 ) The results of operations for this business are included in our Insulated Metal Panels segment. Pro forma financial information and other disclosures for this acquisition have not been presented as such is not material to the Company’s financial position or operating results. |
RESTRUCTURING
RESTRUCTURING | 12 Months Ended |
Oct. 28, 2018 | |
Restructuring and Related Activities [Abstract] | |
RESTRUCTURING | RESTRUCTURING As part of the plans developed in the fourth quarter of fiscal 2015 to improve engineering, selling, general and administrative (“ESG&A”) and manufacturing cost efficiency and optimize our combined manufacturing footprint, we incurred restructuring charges of $1.5 million , including $1.3 million , $1.3 million and $0.1 million in the Engineered Building Systems, Insulated Metal Panels and Corporate segments, respectively, partially offset by a net gain of $1.2 million on sales of facilities in our Engineered Metal Buildings and Metal Components segments, for the fiscal year ended October 28, 2018 . For the fiscal year ended October 29, 2017, we incurred restructuring charges, primarily consisting of severance related costs of $4.7 million , including $3.2 million , $1.2 million and $0.3 million in the Engineered Building Systems segment, Metal Components segment and Corporate, respectively. For the fiscal year ended October 30, 2016, we incurred restructuring charges, primarily consisting of severance related costs of $3.6 million , including $1.0 million , $1.7 million and $0.9 million in the Engineered Building Systems segment, Metal Components segment and Corporate, respectively. These charges include severance related costs associated with the consolidation and closing of two manufacturing facilities in our Metal Components segment during fiscal 2016. We also incurred approximately $0.6 million of other costs associated with the restructuring actions during fiscal 2016. The following table summarizes our restructuring plan costs and charges related to the restructuring plans during the fiscal year ended October 28, 2018 and since inception, which are recorded in restructuring and impairment charges in the Company’s consolidated statements of operations (in thousands): Fiscal Year Ended Costs Incurred To Date (since inception) October 28, General severance $ 2,272 $ 11,234 Plant closing severance 31 3,310 Asset impairments 1,171 7,140 Gain on sale of facility (2,049 ) (2,049 ) Other restructuring costs 102 1,415 Total restructuring costs $ 1,527 $ 21,050 The following table summarizes our severance liability and cash payments made pursuant to the restructuring plans from inception through October 28, 2018 (in thousands): General Plant Closing Total Balance, November 2, 2014 $ — $ — $ — Costs incurred 3,887 1,575 5,462 Cash payments (2,941 ) (1,575 ) (4,516 ) Accrued severance (1) 739 — 739 Balance, November 1, 2015 $ 1,685 $ — $ 1,685 Costs incurred (1) 2,725 165 2,890 Cash payments (3,928 ) (165 ) (4,093 ) Balance, October 30, 2016 $ 482 $ — $ 482 Costs incurred 2,350 1,539 3,889 Cash payments (2,549 ) (1,539 ) (4,088 ) Balance, October 29, 2017 $ 283 $ — $ 283 Costs incurred 2,272 31 2,303 Cash payments (2,134 ) (31 ) (2,165 ) Balance at October 28, 2018 $ 421 $ — $ 421 (1) During the second and fourth quarters of fiscal 2015, we entered into transition and separation agreements with certain executive officers. Each terminated executive officer was entitled to severance benefit payments issuable in two installments. The termination benefits were measured initially at the separation dates based on the fair value of the liability as of the termination date and were recognized ratably over the future service period. Costs incurred during fiscal 2016 exclude $0.7 million of amortization expense associated with these termination benefits. We expect to fully execute our plans in phases over the next 3 months and estimate that additional restructuring charges associated with these plans will not be material. |
GOODWILL AND OTHER INTANGIBLE A
GOODWILL AND OTHER INTANGIBLE ASSETS | 12 Months Ended |
Oct. 28, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER INTANGIBLE ASSETS | GOODWILL AND OTHER INTANGIBLE ASSETS Our goodwill balance and changes in the carrying amount of goodwill by operating segment are as follows (in thousands): Engineered Metal Insulated Metal Panels Metal Coil Total Balance, October 30, 2016 $ 14,310 $ 7,110 121,444 $ 11,407 $ 154,271 Impairment (1) — — — (6,000 ) (6,000 ) Other, net — — 20 — 20 Balance, October 29, 2017 $ 14,310 $ 7,110 121,464 5,407 $ 148,291 Balance, October 28, 2018 $ 14,310 $ 7,110 $ 121,464 $ 5,407 $ 148,291 (1) Our July 31, 2017 goodwill impairment testing indicated an impairment as the carrying value of CENTRIA’s coil coating operations, included in our Metal Coil Coating segment, exceeded its fair value. As a result, we recorded a non-cash charge of $6.0 million in goodwill impairment on our consolidated statements of operations for the year ended October 29, 2017. In accordance with ASC Topic 350, Intangibles — Goodwill and Other , goodwill is tested for impairment at least annually at the reporting unit level, which is defined as an operating segment or a component of an operating segment that constitutes a business for which financial information is available and is regularly reviewed by management. Management has determined that we have six reporting units for the purpose of allocating goodwill and the subsequent testing of goodwill for impairment. Our Engineered Building Systems segment has one reporting unit, our Metal Components segment has two reporting units, our Insulated Metal Panels segment has two reporting units and our Metal Coil Coating segment has one reporting unit. In the first quarter of fiscal 2018 we assessed goodwill for impairment upon the change in reporting segments, which changed the composition of the Metal Coil Coating reporting unit. At the beginning of the fourth quarter of each fiscal year, we perform an annual impairment assessment of goodwill and indefinite-lived intangible assets. Additionally, we assess goodwill and indefinite-lived intangible assets for impairment whenever events or changes in circumstances indicate that the fair value may be below the carrying value. We completed our interim impairment test as of January 29, 2018 and our annual impairment assessment of goodwill and indefinite-lived intangible assets as of July 30, 2018. We elected to apply the qualitative assessment for each of the reporting units with goodwill and the indefinite lived intangibles for the interim and annual tests. Under the qualitative assessment, relevant events and circumstances (or factors) that would affect the estimated fair value of a reporting unit are identified. These factors are then classified by the type of impact they would have on the estimated fair value using positive, neutral, and negative categories based on current business conditions. Additionally, an assessment of the level of impact that a particular factor would have on the estimated fair value is determined using relative weightings. Based on our assessment of these tests, we do not believe it is more likely than not that the fair value of these reporting units or the indefinite-lived intangible assets are less than their respective carrying amounts. The following table represents all our intangible assets activity for the fiscal years ended October 28, 2018 and October 29, 2017 (in thousands): Range of Life October 28, October 29, Amortized intangible assets: Cost: Trade names 15 $ 29,167 $ 29,167 Customer lists and relationships 12 – 20 136,210 136,210 $ 165,377 $ 165,377 Accumulated amortization: Trade names $ (12,657 ) $ (10,713 ) Customer lists and relationships (38,646 ) (30,971 ) $ (51,303 ) $ (41,684 ) Net book value $ 114,074 $ 123,693 Indefinite-lived intangible assets: Trade names 13,455 13,455 Total intangible assets at net book value $ 127,529 $ 137,148 The Star and Ceco trade name assets within the Engineered Building Systems segment have an indefinite life and are not amortized, but are reviewed annually and tested for impairment. These trade names were determined to have indefinite lives due to the length of time the trade names have been in place, with some having been in place for decades. Our intention is to maintain these trade names indefinitely. All other intangible assets are amortized on a straight-line basis or a basis consistent with the expected future cash flows over their expected useful lives. As of October 28, 2018 and October 29, 2017 , the weighted average amortization period for all our intangible assets was 14.2 years and 15.0 years, respectively. Amortization expense of intangibles was $9.6 million , $9.6 million and $9.6 million for 2018 , 2017 and 2016 , respectively. We expect to recognize amortization expense over the next five fiscal years as follows (in thousands): 2019 $ 9,620 2020 9,327 2021 9,064 2022 8,721 2023 8,667 In accordance with ASC Topic 350, Intangibles — Goodwill and Other , we evaluate the remaining useful life of intangible assets on an annual basis. We also review finite-lived intangible assets for impairment when events or changes in circumstances indicate the carrying values may not be recoverable in accordance with ASC Topic 360, Property, Plant and Equipment . |
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION | 12 Months Ended |
Oct. 28, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
SHARE-BASED COMPENSATION | SHARE-BASED COMPENSATION Our 2003 Long-Term Stock Incentive Plan (the “Incentive Plan”) is an equity-based compensation plan that allows for the grant of a variety of awards, including stock options, restricted stock, restricted stock units, stock appreciation rights, performance share units (“PSUs”), phantom stock awards, long-term incentive awards with performance conditions (“Performance Share Awards”) and cash awards. Awards are generally granted once per year, with the amounts and types of awards determined by the Compensation Committee of our Board of Directors (the “Committee”). As a general rule, option awards terminate on the earlier of (i) 10 years from the date of grant, (ii) 30 days after termination of employment or service for a reason other than death, disability or retirement, (iii) one year after death or (iv) one year for incentive stock options or five years for other awards after disability or retirement. Awards are non-transferable except by disposition on death or to certain family members, trusts and other family entities as the Committee may approve. Awards may be paid in cash, shares of our Common Stock or a combination, in lump sum or installments and currently or by deferred payment, all as determined by the Committee. As of October 28, 2018 , and for all periods presented, our share-based awards under this plan have consisted of restricted stock grants, PSUs and stock option grants, none of which can be settled through cash payments, and Performance Share Awards. Both our stock options and restricted stock awards are subject only to vesting requirements based on continued employment at the end of a specified time period and typically vest in annual increments over three to four years or earlier upon death, disability or a change in control. Restricted stock awards issued after December 15, 2013 do not vest upon attainment of a specified retirement age, as provided by the agreements governing such awards. The vesting of our Performance Share Awards is described below. A total of approximately 3,771,000 and 2,287,000 shares were available at October 28, 2018 and October 29, 2017 , respectively, under the Incentive Plan for the further grants of awards. Our option awards and time-based restricted stock awards are typically subject to graded vesting over a service period, which is typically three or four years. Our performance-based and market-based restricted stock awards are typically subject to cliff vesting at the end of the service period, which is typically three years. We recognize compensation cost for these awards on a straight-line basis over the requisite service period for each annual award grant. In addition, certain of our awards provide for accelerated vesting upon qualified retirement, after a change in control or upon termination without cause or for good reason. We recognize compensation cost for such awards over the period from grant date to the date the employee first becomes eligible for retirement. We adopted the provisions of ASU 2016-09, Improvements to Employee Share-Based Payment Accounting, in our first quarter in fiscal 2018 . For additional information see Note 3 - Accounting Pronouncements. Stock Option Awards The fair value of each option award is estimated as of the date of grant using a Black-Scholes-Merton option pricing formula. Expected volatility is based on normalized historical volatility of our stock over a preceding period commensurate with the expected term of the option. The risk-free rate for the expected term of the option is based on the U.S. Treasury yield curve in effect at the time of grant. Expected dividend yield was not considered in the option pricing formula since we do not currently pay dividends on our Common Stock and have no current plans to do so in the future. There were 115,424 , 182,923 and 1,418,219 options exercised during fiscal 2018 , 2017 and 2016 , respectively. Cash received from the option exercises was $1.3 million , $1.7 million and $12.6 million during fiscal 2018 , 2017 and 2016 , respectively. The total intrinsic value of options exercised in fiscal 2018 , 2017 and 2016 was $0.8 million , $1.4 million and $9.9 million , respectively. During fiscal 2017 and 2016 , we granted 10,424 and 28,535 stock options, respectively, and the weighted average grant-date fair value of options granted during fiscal 2017 and 2016 was $6.59 and $5.38 , respectively. We did not grant stock options during fiscal 2018. The weighted average assumptions for the option awards granted on December 15, 2016 and December 15, 2015 are as follows: December 15, December 15, Expected volatility 42.63 % 43.71 % Expected term (in years) 5.50 5.50 Risk-free interest rate 2.15 % 1.77 % The following is a summary of stock option transactions during fiscal 2018 , 2017 and 2016 (in thousands, except weighted average exercise prices and weighted average remaining life): Number of Weighted Weighted Aggregate Balance, November 1, 2015 1,904 $ 9.85 Granted 29 12.76 Exercised (1,418 ) (8.89 ) Cancelled (7 ) (227.21 ) Balance, October 30, 2016 508 10.24 Granted 11 15.70 Exercised (183 ) (9.03 ) Balance, October 29, 2017 336 11.06 Exercised (115 ) 11.09 Cancelled (6 ) 15.70 Balance, October 28, 2018 215 $ 10.94 2.9 $ 428 Exercisable at October 28, 2018 212 $ 10.86 2.8 $ 428 The following summarizes additional information concerning outstanding options at October 28, 2018 (in thousands, except weighted average remaining life and weighted average exercise prices): Options Outstanding Number of Weighted Average Weighted Average 194 2.5 years $ 10.30 21 6.4 years 16.90 215 2.9 years $ 10.94 The following summarizes additional information concerning options exercisable at October 28, 2018 (in thousands, except weighted average exercise prices): Options Exercisable Number of Weighted Average 194 $ 10.30 18 16.88 212 $ 10.86 Restricted stock and performance awards Long-term incentive awards granted to our senior executives generally have a three -year performance period. Long-term incentive awards include restricted stock units and PSUs representing 40% and 60% of the total value, respectively. The restricted stock units vest upon continued employment. Vesting of the PSUs is contingent upon continued employment and the achievement of targets with respect to the following metrics, as defined by management: (1) cumulative free cash flow (weighted 40% ); (2) cumulative earnings per share (weighted 40% ); and (3) total shareholder return (weighted 20% ), in each case during the performance period. At the end of the performance period, the number of actual shares to be awarded varies between 0% and 200% of target amounts. The PSUs vest pro rata if an executive’s employment terminates prior to the end of the performance period due to death, disability, or termination by the Company without cause or by the executive for good reason. If an executive’s employment terminates for any other reason prior to the end of the performance period, all outstanding unvested PSUs, whether earned or unearned, will be forfeited and cancelled. If a change in control occurs prior to the end of the performance period, the PSU payout will be calculated and paid assuming that the maximum benefit had been achieved. If an executive’s employment terminates due to death or disability while any of the restricted stock is unvested, then all of the unvested restricted stock will become vested. If an executive’s employment is terminated by the Company without cause or after reaching normal retirement age, the unvested restricted stock will be forfeited. If a change in control occurs prior to the end of the performance period, the restricted stock will fully vest. The fair value of the awards is based on the Company’s stock price as of the date of grant. During the fiscal years 2018 , 2017 and 2016 , we granted PSUs with fair values of approximately $3.8 million , $4.6 million and $4.7 million , respectively, to the Company’s senior executives. The restricted stock units granted in December 2017, 2016 and 2015 to our senior executives vest one-third annually. For the restricted stock units granted in December 2014 to our senior executives, two-thirds vested on December 15, 2016 and one-third vested on December 15, 2017. The PSUs granted in December 2017, 2016 and 2015 to our senior executives cliff vest at the end of the three-year performance period. For the PSUs granted in December 2014 to our senior executives, one-half vested on December 15, 2016 and one-half vested on December 15, 2017. Long-term incentive awards granted to our key employees generally have a three -year performance period. Long-term incentive awards are granted 50% in restricted stock units and 50% in PSUs. Vesting of PSUs is contingent upon continued employment and the achievement of free cash flow and earnings per share targets, as defined by management, over a three -year period. At the end of the performance period, the number of actual shares to be awarded varies between 0% and 150% of target amounts. However, a minimum of 50% of the awards will vest upon continued employment over the three -year period if the minimum targets are not met. The PSUs vest earlier upon death, disability or a change in control. A portion of the awards also vests upon termination without cause or after reaching normal retirement age prior to the vesting date, as defined by the agreements governing such awards. The fair value of Performance Share Awards is based on the Company’s stock price as of the date of grant. The fair value and cash value of Performance Share Awards granted in fiscal 2018 , 2017 and 2016 are as follows (in millions): Fiscal year ended October 28, October 29, October 30, Equity fair value $ 2.8 $ 2.0 $ 2.4 Cash value $ — $ 2.0 $ 2.1 On December 15, 2017, the performance period ended for certain PSUs granted to senior executives and key employees in December 2014. The PSUs vested at 69.4% , and resulted in the issuance of 0.1 million shares, net of shares withheld for taxes. During fiscal 2018 , 2017 and 2016 , we granted time-based restricted stock awards with a fair value of $7.1 million , $4.5 million and $4.2 million , respectively. Restricted stock and performance award transactions during fiscal 2018 , 2017 and 2016 were as follows (in thousands, except weighted average grant prices): Restricted Stock and Performance Awards Time-Based Performance-Based Market-Based Number of Weighted Number of (1) Weighted Number of (1) Weighted Balance, November 1, 2015 828 $ 15.87 343 $ 17.19 40 $ 11.78 Granted 329 12.64 516 12.76 71 14.60 Vested (335 ) 15.09 — — — — Forfeited (60 ) 14.33 (60 ) 15.22 (4 ) 13.81 Balance, October 30, 2016 762 $ 14.91 799 $ 14.82 107 $ 14.02 Granted 285 15.84 362 15.70 58 16.03 Vested (392 ) 15.14 (165 ) 16.07 — — Forfeited (27 ) 14.41 (124 ) 15.88 (21 ) 11.51 Balance, October 29, 2017 628 $ 15.21 872 $ 14.76 144 $ 15.15 Granted 367 19.37 281 19.65 44 19.65 Vested (423 ) 15.67 (94 ) 17.07 — — Forfeited (64 ) 17.15 (183 ) 16.26 (43 ) 16.49 Balance, October 28, 2018 508 $ 17.58 876 $ 16.14 145 $ 16.02 (1) The number of restricted stock shown reflects the shares that would be granted if the target level of performance is achieved. The number of shares actually issued may vary. Share-Based Compensation Expense Share-based compensation expense is recorded over the requisite service or performance period. For awards with performance conditions, the amount of share-based compensation expense recognized is based upon the probable outcome of the performance conditions, as defined and determined by management. With the adoption of ASU 2016-09 in the first quarter of fiscal 2018, we account for forfeitures of outstanding but unvested grants in the period they occur. We estimated a forfeiture rate of 5.0% for our non-officers and 0% for our officers in our calculation of share-based compensation expense for the fiscal years ended October 29, 2017 and October 30, 2016 . These estimates are based on historical forfeiture behavior exhibited by our employees. Share-based compensation expense as well as the unrecognized share-based compensation expense and weighted average period over which expense attributable to unvested awards will be recognized are as follows (in millions, except weighted average remaining years): Fiscal year ended October 28, October 29, October 30, Cost of goods sold $ 0.9 $ 1.0 $ 1.1 Engineering, selling, general and administrative 10.7 9.2 9.8 Total recognized share-based compensation expense $ 11.6 $ 10.2 $ 10.9 Fiscal Year Ended October 28, 2018 Unrecognized Share-Based Compensation Expense Weighted Average Remaining Years Stock options $ — 0.1 Time-based restricted stock 4.8 1.9 Performance- and market-based restricted stock 7.0 1.9 Total unrecognized share-based compensation expense $ 11.8 As of October 28, 2018 , we do not have any amounts capitalized for share-based compensation cost in inventory or similar assets. The total income tax benefit recognized in results of operations for share-based compensation arrangements was $3.2 million , $4.0 million and $4.2 million for the fiscal years ended October 28, 2018 , October 29, 2017 and October 30, 2016 , respectively. |
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE | 12 Months Ended |
Oct. 28, 2018 | |
Earnings Per Share [Abstract] | |
EARNINGS PER COMMON SHARE | EARNINGS PER COMMON SHARE Basic earnings per common share is computed by dividing net income allocated to common shares by the weighted average number of common shares outstanding. Diluted income per common share, if applicable, considers the dilutive effect of common stock equivalents. The reconciliation of the numerator and denominator used for the computation of basic and diluted income per common share is as follows (in thousands, except per share data): Fiscal Year Ended October 28, October 29, October 30, Numerator for Basic and Diluted Earnings Per Common Share: Net income applicable to common shares $ 62,694 $ 54,399 $ 50,638 Denominator for Basic and Diluted Earnings Per Common Share: Weighted average basic number of common shares outstanding 66,260 70,629 72,411 Common stock equivalents: Employee stock options 89 124 446 PSUs and Performance Share Awards 13 25 — Weighted average diluted number of common shares outstanding 66,362 70,778 72,857 Basic earnings per common share $ 0.95 $ 0.77 $ 0.70 Diluted earnings per common share $ 0.94 $ 0.77 $ 0.70 Incentive Plan securities excluded from dilution (1) 1 0 195 (1) Represents securities not included in the computation of diluted earnings per common share because their effect would have been anti-dilutive. We calculate earnings per share using the “two-class” method, whereby unvested share-based payment awards that contain nonforfeitable rights to dividends or dividend equivalents are “participating securities” and, therefore, these participating securities are treated as a separate class in computing earnings per share. The calculation of earnings per share presented here excludes the income attributable to unvested restricted stock units related to our Incentive Plan from the numerator and excludes the dilutive impact of those shares from the denominator. Awards subject to the achievement of performance conditions or market conditions for which such conditions had been met at the end of any of the fiscal periods presented are included in the computation of diluted earnings per common share if their effect was dilutive. |
OTHER ACCRUED EXPENSES
OTHER ACCRUED EXPENSES | 12 Months Ended |
Oct. 28, 2018 | |
Payables and Accruals [Abstract] | |
OTHER ACCRUED EXPENSES | OTHER ACCRUED EXPENSES Other accrued expenses are comprised of the following (in thousands): October 28, October 29, Accrued warranty obligation and deferred warranty revenue $ 7,005 $ 7,082 Deferred revenue 21,040 28,295 Other accrued expenses 53,839 41,520 Total other accrued expenses $ 81,884 $ 76,897 |
WARRANTY
WARRANTY | 12 Months Ended |
Oct. 28, 2018 | |
Product Warranties Disclosures [Abstract] | |
WARRANTY | WARRANTY The following table represents the rollforward of our accrued warranty obligation and deferred warranty revenue activity for the fiscal years ended October 28, 2018 and October 29, 2017 (in thousands): October 28, October 29, Beginning balance $ 32,418 $ 33,122 Warranties sold 3,297 2,149 Revenue recognized (2,656 ) (2,323 ) Cost incurred and other (2,400 ) (530 ) Ending balance 30,659 32,418 Less: Current portion 7,005 7,082 Total warranty reserve, less current portion $ 23,654 $ 25,336 |
LONG-TERM DEBT AND NOTE PAYABLE
LONG-TERM DEBT AND NOTE PAYABLE | 12 Months Ended |
Oct. 28, 2018 | |
Debt Disclosure [Abstract] | |
LONG-TERM DEBT AND NOTE PAYABLE | LONG-TERM DEBT AND NOTE PAYABLE Debt is comprised of the following (in thousands): October 28, October 29, Term loan credit facility, due February 2025 and June 2022, respectively $ 412,925 $ 144,147 8.25% senior notes, due January 2023 — 250,000 Asset-based lending credit facility, due February 2023 and June 2019, respectively — — Less: unamortized deferred financing costs (1) 5,699 6,857 Total long-term debt, net of deferred financing costs 407,226 387,290 Less: current portion of long-term debt 4,150 — Total long-term debt, less current portion $ 403,076 $ 387,290 (1) Includes the unamortized deferred financing costs associated with the term loan credit facilities and 8.25% senior notes due 2023 (the “Notes”). The unamortized deferred financing costs associated with the asset-based lending credit facilities of $1.1 million and $0.7 million as of October 28, 2018 and October 29, 2017 , respectively, are classified in other assets on the consolidated balance sheets. The scheduled maturity of our debt is as follows (in thousands): 2019 $ 4,150 2020 4,150 2021 4,150 2022 4,150 2023 and thereafter 396,325 $ 412,925 Debt Redemption and Refinancing On February 8, 2018, the Company entered into the Pre-merger Term Loan Credit Agreement and the Pre-merger ABL Credit Agreement (each defined below), the proceeds of which, together, were used to redeem the 8.25% senior notes and to refinance the Company’s then existing term loan credit facility and the Company’s then existing asset-based revolving credit facility. Term Loan Credit Agreement On February 8, 2018, the Company entered into a Term Loan Credit Agreement (the “Pre-merger Term Loan Credit Agreement”) which provides for a term loan credit facility in an original aggregate principal amount of $415.0 million (“Pre-merger Term Loan Credit Facility”). Proceeds from borrowings under the Pre-merger Term Loan Credit Facility were used, together with cash on hand, (i) to refinance the existing term loan credit agreement, (ii) to redeem and repay the Notes and (iii) to pay any fees, premiums and expenses incurred in connection with the refinancing. The term loans under the Pre-merger Term Loan Credit Agreement will mature on February 7, 2025 and, prior to such date, will amortize in nominal quarterly installments equal to one percent of the aggregate initial principal amount thereof per annum. The term loans under the Pre-merger Term Loan Credit Agreement may be prepaid at the Company’s option at any time, subject to minimum principal amount requirements. Prepayments in connection with a repricing transaction (as defined in the Pre-merger Term Loan Credit Agreement) during the first six months after the closing of the Pre-merger Term Loan Credit Facility will be subject to a prepayment premium equal to 1% of the principal amount of the term loans being prepaid. Prepayments may otherwise be made without premium or penalty (other than customary breakage costs). The Company will also have the ability to repurchase a portion of the term loans under the Pre-merger Term Loan Credit Agreement subject to certain terms and conditions set forth in the Pre-merger Term Loan Credit Agreement. Subject to certain exceptions, the term loans under the Pre-merger Term Loan Credit Agreement will be subject to mandatory prepayment in an amount equal to: • the net cash proceeds of (1) certain asset sales (subject to reduction to 50% or 0% , if specified leverage ratio targets are met), (2) certain debt offerings, and (3) certain insurance recovery and condemnation events; and • 50% of annual excess cash flow (as defined in the Pre-merger Term Loan Credit Agreement), subject to reduction to 0% if specified leverage ratio targets are met. The obligations under the Pre-merger Term Loan Credit Agreement are guaranteed by each direct and indirect U.S. restricted subsidiary of the Company, other than certain excluded subsidiaries, and are secured by: • a perfected security interest in substantially all tangible and intangible assets of the Company and each guarantor (other than ABL Priority Collateral (as defined below)), including the capital stock of each direct material domestic subsidiary owned by the Company and each guarantor, and 65% of the capital stock of any non-U.S. subsidiary held directly by the Company or any guarantor, subject to customary exceptions (the “Term Loan Priority Collateral”), which security interest will be senior to the security interest in the foregoing assets securing the Pre-merger ABL Credit Facility (as defined below); and • a perfected security interest in the ABL Priority Collateral, which security interest will be junior to the security interest in the ABL Priority Collateral securing the ABL Credit Facility. At the Company’s election, the interest rates applicable to the term loans under the Pre-merger Term Loan Credit Agreement will be based on a fluctuating rate of interest measured by reference to either (i) an adjusted LIBOR plus a borrowing margin of 2.00% per annum or (ii) an alternative base rate not less than 1.00% plus a borrowing margin of 1.00% per annum. At October 28, 2018 , the interest rate on the Term Loans was 4.24% . ABL Credit Agreement On February 8, 2018, the subsidiaries of the Company, NCI Group, Inc. and Robertson-Ceco II Corporation, and the Company as a guarantor, entered into an ABL Credit Agreement (the “Pre-merger ABL Credit Agreement”). The Pre-merger ABL Credit Agreement provides for an asset-based revolving credit facility (the “Pre-merger ABL Credit Facility”) which allows aggregate maximum borrowings by the ABL borrowers of up to $150 million , letters of credit of up to $30 million and up to $20 million for swingline borrowings. Borrowing availability is determined by a monthly borrowing base collateral calculation that is based on specified percentages of the value of accounts receivable, eligible credit card receivables and eligible inventory, less certain reserves and subject to certain other adjustments. Availability is reduced by issuance of letters of credit as well as any borrowings. All borrowings under the Pre-merger ABL Credit Facility mature on February 8, 2023. The obligations under the Pre-merger ABL Credit Agreement are guaranteed by each direct and indirect U.S. restricted subsidiary of the Company, other than certain excluded subsidiaries, and are secured by: • a perfected security interest in all present and after-acquired inventory, accounts receivable, deposit accounts, securities accounts, and any cash or other assets in such accounts (and, to the extent evidencing or otherwise related to such items, all general intangibles, intercompany debt, insurance proceeds, letter of credit rights, commercial tort claims, chattel paper, instruments, supporting obligations, documents, investment property and payment intangibles) and the proceeds of any of the foregoing and all books and records relating to, or arising from, any of the foregoing, except to the extent such proceeds constitute Term Loan Priority Collateral, and subject to customary exceptions (the “ABL Priority Collateral”), which security interest is senior to the security interest in the foregoing assets securing the Pre-merger Term Loan Credit Facility; and • a perfected security interest in the Term Loan Priority Collateral, which security interest will be junior to the security interest in the Term Loan Priority Collateral securing the Pre-merger Term Loan Credit Facility. At October 28, 2018 and October 29, 2017 , the Company’s excess availability under its asset-based lending credit facilities was $141.0 million and $140.0 million , respectively. At October 28, 2018 and October 29, 2017 , the Company had no revolving loans outstanding under its asset-based lending credit facilities. In addition, at October 28, 2018 and October 29, 2017 , standby letters of credit related to certain insurance policies totaling approximately $9.0 million and $10.0 million , respectively, were outstanding but undrawn under the Company’s asset-based lending credit facilities. The Pre-merger ABL Credit Agreement includes a minimum fixed charge coverage ratio of 1.00 :1.00, which will apply if the Company fails to maintain a specified minimum borrowing capacity. The minimum level of borrowing capacity as of October 28, 2018 was $14.1 million . Although the Pre-merger ABL Credit Agreement does not require any financial covenant compliance, at October 28, 2018 , the Company’s fixed charge coverage ratio, which is calculated on a trailing twelve month basis, was 7.70 :1.00. Loans under the Pre-merger ABL Credit Facility bear interest, at NCI’s option, as follows: (1) Base Rate loans at the Base Rate plus a margin. The margin ranges from 0.25% to 0.75% depending on the quarterly average excess availability under such facility; and (2) LIBOR loans at LIBOR plus a margin. The margin ranges from 1.25% to 1.75% depending on the quarterly average excess availability under such facility. A commitment fee is paid on the Pre-merger ABL Credit Facility at an annual rate of 0.25% or 0.35% , depending on the average daily used percentage, based on the amount by which the maximum credit exceeds the average daily principal balance of outstanding loans and letter of credit obligations. Additional customary fees in connection with the Pre-merger ABL Credit Facility also apply. Redemption of 8.25% Senior Notes On January 16, 2015, the Company issued $250.0 million in aggregate principal of 8.25% senior notes due 2023. On February 8, 2018, the Company redeemed the outstanding $250.0 million aggregate principal amount of the Notes for approximately $265.5 million using the proceeds from borrowings under the Pre-merger Term Loan Credit Facility. During the fiscal year ended October 28, 2018 , the Company incurred a pretax loss, primarily on the extinguishment of the Notes, of $21.9 million , of which approximately $15.5 million represents the premium paid on the redemption of the Notes. Debt Covenants The Company’s outstanding debt agreements contain a number of covenants that, among other things, limit or restrict the ability of the Company and its subsidiaries to incur additional indebtedness, make dividends and other restricted payments, create liens securing indebtedness, engage in mergers and acquisitions, enter into restrictive agreements, amend certain documents in respect of other indebtedness, change the nature of the business and engage in certain transactions with affiliates. As of October 28, 2018 , the Company was in compliance with all covenants that were in effect on such date. Insurance Note Payable As of October 28, 2018 and October 29, 2017 , the Company had an outstanding note payable in the amount of $0.5 million and $0.4 million , respectively, related to financed insurance premiums. Insurance premium financings are generally secured by the unearned premiums under such policies. |
CD&R FUND VIII Investor Group
CD&R FUND VIII Investor Group | 12 Months Ended |
Oct. 28, 2018 | |
Temporary Equity Disclosure [Abstract] | |
CD&R FUND VIII Investor Group | CD&R FUND VIII Investor Group On August 14, 2009, the Company entered into an Investment Agreement (as amended, the “Investment Agreement”), by and between the Company and Clayton, Dubilier & Rice Fund VIII L.P. (“CD&R Fund VIII”). In connection with the Investment Agreement and the Stockholders Agreement dated October 20, 2009 (the “Old Stockholders Agreement”), CD&R Fund VIII and CD&R Friends & Family Fund VIII, L.P. (collectively, the “CD&R Fund VIII Investor Group”) purchased convertible preferred stock, which was later converted to shares of our Common Stock on May 14, 2013. In January 2014, the CD&R Fund VIII Investor Group completed a registered underwritten offering, in which the CD&R Fund VIII Investor Group offered 8.5 million shares of Common Stock at a price to the public of $18.00 per share (the “2014 Secondary Offering”). The underwriters also exercised their option to purchase 1.275 million additional shares of Common Stock. In addition, the Company entered into an agreement with the CD&R Fund VIII Investor Group to repurchase 1.15 million shares of its Common Stock at a price per share equal to the price per share paid by the underwriters to the CD&R Fund VIII Investor Group in the underwritten offering (the “2014 Stock Repurchase”). The 2014 Stock Repurchase, which was completed at the same time as the 2014 Secondary Offering, represented a private, non-underwritten transaction between NCI and the CD&R Fund VIII Investor Group that was approved and recommended by the Affiliate Transactions Committee of our board of directors. On July 25, 2016, the CD&R Fund VIII Investor Group completed a registered underwritten offering, in which the CD&R Fund VIII Investor Group offered 9.0 million shares of our Common Stock at a price to the public of $16.15 per share (the “2016 Secondary Offering”). The underwriters also exercised their option to purchase 1.35 million additional shares of our Common Stock from the CD&R Fund VIII Investor Group. The aggregate offering price for the 10.35 million shares sold in the 2016 Secondary Offering was approximately $160.1 million , net of underwriting discounts and commissions. The CD&R Fund VIII Investor Group received all of the proceeds from the 2016 Secondary Offering and no shares in the 2016 Secondary Offering were sold by the Company or any of its officers or directors (although certain of our directors are affiliated with the CD&R Fund VIII Investor Group). In connection with the 2016 Secondary Offering and the 2016 Stock Repurchase (as defined below), we incurred approximately $0.7 million in expenses, which were included in engineering, selling, general and administrative expenses in the consolidated statements of operations for the fiscal year ended October 30, 2016. On July 18, 2016, the Company entered into an agreement with the CD&R Fund VIII Investor Group to repurchase approximately 2.9 million shares of our Common Stock at the price per share equal to the price per share paid by the underwriters to the CD&R Fund VIII Investor Group in the underwritten offering (the “2016 Stock Repurchase”). The 2016 Stock Repurchase, which was completed concurrently with the 2016 Secondary Offering, represented a private, non-underwritten transaction between the Company and the CD&R Fund VIII Investor Group that was approved and recommended by the Affiliate Transactions Committee of our board of directors. See Note 18 — Stock Repurchase Program. On December 11, 2017, the CD&R Fund VIII Investor Group completed a registered underwritten offering of 7,150,000 shares of the Company’s Common Stock at a price to the public of $19.36 per share (the “2017 Secondary Offering”). Pursuant to the underwriting agreement, at the CD&R Fund VIII Investor Group request, the Company purchased 1.15 million of the 7.15 million shares of the Common Stock from the underwriters in the 2017 Secondary Offering at a price per share equal to the price at which the underwriters purchased the shares from the CD&R Fund VIII Investor Group. The total amount the Company spent on these repurchases was $22.3 million . At October 28, 2018 and October 29, 2017 , the CD&R Fund VIII Investor Group owned approximately 34.4% and 43.8% , respectively, of the outstanding shares of our Common Stock. |
RELATED PARTIES
RELATED PARTIES | 12 Months Ended |
Oct. 28, 2018 | |
Related Party Transactions [Abstract] | |
RELATED PARTIES | RELATED PARTIES Pursuant to the Investment Agreement and the Old Stockholders Agreement, the CD&R Fund VIII Investor Group had the right to designate a number of directors to NCI’s board of directors that was equivalent to the CD&R Fund VIII Investor Group’s percentage interest in the Company. Among other directors appointed by the CD&R Fund VIII Investor Group, our Board of Directors appointed to the board of directors James G. Berges, Nathan K. Sleeper and Jonathan L. Zrebiec. Messrs. Berges, Sleeper and Zrebiec are partners of Clayton, Dubilier & Rice, LLC, (“CD&R, LLC”), an affiliate of the CD&R Fund VIII Investor Group. As a result of their respective positions with CD&R, LLC and its affiliates, one or more of Messrs. Berges, Sleeper and Zrebiec may be deemed to have an indirect material interest in certain agreements executed in connection with the Equity Investment. Messrs. Berges, Sleeper and Zrebiec may be deemed to have an indirect material interest in the following agreements: • the Investment Agreement, pursuant to which the CD&R Fund VIII Investor Group acquired a 68.4% interest in the Company, CD&R Fund VIII’s transaction expenses were reimbursed and a deal fee of $8.25 million was paid to CD&R, Inc., the predecessor to the investment management business of CD&R, LLC, on October 20, 2009; • the Old Stockholders Agreement, which set forth certain terms and conditions regarding the Equity Investment and on certain actions of the CD&R Fund VIII Investor Group and their controlled affiliates with respect to the Company, and to provide for, among other things, subscription rights, corporate governance rights and consent rights as well as other obligations and rights; • a Registration Rights Agreement, dated as of October 20, 2009 (the “Old Registration Rights Agreement”), between the Company and the CD&R Fund VIII Investor Group, pursuant to which the Company granted to the CD&R Fund VIII Investor Group, together with any other stockholder of the Company that may become a party to the Old Registration Rights Agreement in accordance with its terms, certain customary registration rights with respect to the shares of our Common Stock held by the CD&R Fund VIII Investor Group; and • an Indemnification Agreement, dated as of October 20, 2009 between the Company, NCI Group, Inc., a wholly owned subsidiary of the Company, Robertson-Ceco II Corporation, a wholly owned subsidiary of the Company, the CD&R Fund VIII Investor Group and CD&R, Inc., pursuant to which the Company, NCI Group, Inc. and Robertson-Ceco II Corporation agreed to indemnify CD&R, Inc., the CD&R Fund VIII Investor Group and their general partners, the special limited partner of CD&R Fund VIII and any other investment vehicle that is a stockholder of the Company and is managed by CD&R, Inc. or any of its affiliates, their respective affiliates and successors and assigns and the respective directors, officers, partners, members, employees, agents, representatives and controlling persons of each of them, or of their respective partners, members and controlling persons, against certain liabilities arising out of the Equity Investment and transactions in connection with the Equity Investment, including, but not limited to, the Pre-merger Term Loan Credit Agreement, the Pre-merger ABL Credit Facility, the Exchange Offer, and certain other liabilities and claims. |
FAIR VALUE OF FINANCIAL INSTRUM
FAIR VALUE OF FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS | 12 Months Ended |
Oct. 28, 2018 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE OF FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS | FAIR VALUE OF FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS Fair Value of Financial Instruments The carrying amounts of cash and cash equivalents, restricted cash, trade accounts receivable and accounts payable approximate fair value as of October 28, 2018 and October 29, 2017 because of the relatively short maturity of these instruments. The carrying amount of revolving loans outstanding under the asset-based lending facilities approximates fair value as the interest rates are variable and reflective of market rates. The fair values of the remaining financial instruments not currently recognized at fair value on our consolidated balance sheets at the respective fiscal year ends were (in thousands): October 28, 2018 October 29, 2017 Carrying Fair Carrying Fair Term loan credit facility, due February 2025 and June 2022, respectively $ 412,925 $ 412,409 $ 144,147 $ 144,147 8.25% senior notes, due January 2023 — — 250,000 267,500 The fair values of the term loan credit facilities and 8.25% senior notes were based on recent trading activities of comparable market instruments, which are level 2 inputs. Fair Value Measurements ASC Subtopic 820-10, Fair Value Measurements and Disclosures , requires us to use valuation techniques to measure fair value that maximize the use of observable inputs and minimize the use of unobservable inputs. These inputs are prioritized as follows: Level 1: Observable inputs such as quoted prices for identical assets or liabilities in active markets. Level 2: Other inputs that are observable directly or indirectly, such as quoted prices for similar assets or liabilities or market-corroborated inputs. Level 3: Unobservable inputs for which there is little or no market data and which require us to develop our own assumptions about how market participants would price the assets or liabilities. The following is a description of the valuation methodologies used for assets and liabilities measured at fair value. There have been no changes in the methodologies used at October 28, 2018 and October 29, 2017 . Money market: Money market funds have original maturities of three months or less. The original cost of these assets approximates fair value due to their short-term maturity. Mutual funds: Mutual funds are valued at the closing price reported in the active market in which the mutual fund is traded. Assets held for sale: Assets held for sale are valued based on current market conditions, prices of similar assets in similar condition and expected proceeds from the sale of the assets. Deferred compensation plan liability : Deferred compensation plan liability is comprised of phantom investments in the deferred compensation plan and is valued at the closing price reported in the active markets in which the money market and mutual funds are traded. The following tables summarize information regarding our financial assets and liabilities that are measured at fair value on a recurring basis as of October 28, 2018 and October 29, 2017 , segregated by level of the valuation inputs within the fair value hierarchy utilized to measure fair value (in thousands): Recurring fair value measurements October 28, 2018 Level 1 Level 2 Level 3 Total Assets: Short-term investments in deferred compensation plan (1) : Money market $ 369 $ — $ — $ 369 Mutual funds – Growth 1,118 — — 1,118 Mutual funds – Blend 2,045 — — 2,045 Mutual funds – Foreign blend 812 — — 812 Mutual funds – Fixed income — 941 — 941 Total short-term investments in deferred compensation plan 4,344 941 — 5,285 Total assets $ 4,344 $ 941 $ — $ 5,285 Liabilities: Deferred compensation plan liability $ — $ 4,639 $ — $ 4,639 Total liabilities $ — $ 4,639 $ — $ 4,639 Recurring fair value measurements October 29, 2017 Level 1 Level 2 Level 3 Total Assets: Short-term investments in deferred compensation plan (1) : Money market $ 1,114 $ — $ — $ 1,114 Mutual funds – Growth 958 — — 958 Mutual funds – Blend 1,948 — — 1,948 Mutual funds – Foreign blend 915 — — 915 Mutual funds – Fixed income — 1,546 — 1,546 Total short-term investments in deferred compensation plan 4,935 1,546 — 6,481 Total assets $ 4,935 $ 1,546 $ — $ 6,481 Liabilities: Deferred compensation plan liability $ — $ 4,923 $ — $ 4,923 Total liabilities $ — $ 4,923 $ — $ 4,923 (1) The unrealized holding gain (loss) was insignificant for the fiscal years ended October 28, 2018 and October 29, 2017 . |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Oct. 28, 2018 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES Income tax expense is based on pretax financial accounting income. Deferred income taxes are recognized for the temporary differences between the recorded amounts of assets and liabilities for financial reporting purposes and such amounts for income tax purposes. The income tax provision for the fiscal years ended 2018 , 2017 and 2016 , consisted of the following (in thousands): Fiscal Year Ended October 28, October 29, October 30, Current: Federal $ 16,850 $ 23,885 $ 22,602 State 3,483 3,218 3,179 Foreign 545 445 838 Total current 20,878 27,548 26,619 Deferred: Federal (2,937 ) (358 ) 105 State 565 769 1,380 Foreign 1,483 455 (167 ) Total deferred (889 ) 866 1,318 Total provision $ 19,989 $ 28,414 $ 27,937 The reconciliation of income tax computed at the United States federal statutory tax rate to the effective income tax rate is as follows: Fiscal Year Ended October 28, October 29, October 30, Statutory federal income tax rate 23.3 % 35.0 % 35.0 % State income taxes 4.2 % 3.2 % 3.8 % Production activities deduction (1.7 )% (3.1 )% (3.4 )% Non-deductible expenses 0.2 % 0.9 % 1.3 % Revaluation of U.S. deferred income tax due to statutory rate reduction (1.2 )% — % — % One-time repatriation tax on foreign earnings 0.6 % — % — % Other (1.3 )% (1.8 )% (1.3 )% Effective tax rate 24.1 % 34.2 % 35.4 % The decrease in the effective tax rate for the fiscal year ended October 28, 2018 is a result of the net impact of the Tax Cuts and Jobs Act (“U.S. Tax Reform”) which was enacted by the United States on December 22, 2017. U.S. Tax Reform incorporates significant changes to U.S. corporate income tax laws including, among other things, a reduction in the federal statutory corporate income tax rate from 35% to 21% , an exemption for dividends received from certain foreign subsidiaries, a one-time repatriation tax on deemed repatriated earnings from foreign subsidiaries, immediate expensing of certain depreciable tangible assets, limitations on the deduction for net interest expense and certain executive compensation and the repeal of the Domestic Production Activities Deduction. The majority of these changes will be effective for the Company’s fiscal year beginning October 29, 2018. However, the corporate income tax rate reduction is effective December 22, 2017. As such, the Company’s statutory federal corporate income tax rate for the fiscal year ended October 28, 2018 is 23.3% . In addition, the one-time repatriation tax was recognized by the Company for the tax year ended October 28, 2018. Under ASC Topic 740, Income Taxes ("ASC 740"), a company is generally required to recognize the effect of changes in tax laws in its financial statements in the period in which the legislation is enacted. U.S. income tax laws are deemed to be effective on the date the president signs tax legislation. The President signed the U.S. Tax Reform legislation on December 22, 2017. In acknowledgment of the substantial changes incorporated in the U.S. Tax Reform, the SEC staff issued Staff Accounting Bulletin 118 (“SAB 118”) to provide certain guidance in determining the accounting for income tax effects of the legislation in the accounting period of enactment as well as provide a measurement period within which to finalize and reflect such final effects associated with U.S. Tax Reform. Further, SAB 118 summarizes a three-step approach to be applied each reporting period within the overall measurement period: (1) amounts should be reflected in the period including the date of enactment for those items which are deemed to be complete, (2) to the extent the effects of certain changes due to U.S. Tax Reform for which the accounting is not deemed complete but for which a reasonable estimate can be determined, such provisional amount(s) should be reflected in the period so determined and adjusted in subsequent periods as such effects are finalized and (3) to the extent a reasonable estimate cannot be determined for a specific effect of the tax law change associated with U.S. Tax Reform, no provisional amount should be recorded but rather, continue to apply ASC 740 based upon the tax law in effect prior to the enactment of U.S. Tax Reform. Such measurement period is deemed to end when all necessary information has been obtained, prepared and analyzed such that a final accounting determination can be concluded, but in no event should the period extend beyond one year. In consideration of this guidance, the Company obtained, prepared and analyzed various information associated with the enactment of U.S. Tax Reform. Based upon this review, the Company recognized an estimated income tax benefit with respect to U.S. Tax Reform of $0.6 million . This net income tax benefit reflects a $1.0 million net estimated income tax benefit associated with the remeasurement of the Company’s net U.S. deferred tax liability, partiality offset with a $0.5 million estimated income tax expense associated with the impact of the deemed repatriated earnings from the Company’s foreign subsidiaries, including the one-time repatriation tax of $1.8 million . Due to the Company’s fiscal year-end of October 28, 2018 and the timing of the various technical provisions provided for under U.S. Tax Reform, the financial statement impacts recorded in fiscal 2018 relating to U.S. Tax Reform are not deemed to be complete but rather are deemed to be reasonable, provisional estimates based upon the current available information. As such, the Company will continue to update and finalize the accounting for the tax effect of the enactment of U.S. Tax Reform in the next interim period in accordance with the guidance as outlined in SAB 118, as deemed necessary. Deferred income taxes reflect the net impact of temporary differences between the amounts of assets and liabilities recognized for financial reporting purposes and such amounts recognized for income tax purposes. The tax effects of the temporary differences for fiscal 2018 and 2017 are as follows (in thousands): October 28, October 29, Deferred tax assets: Inventory obsolescence $ 2,161 $ 2,680 Bad debt reserve 1,007 1,686 Accrued and deferred compensation 14,828 16,003 Accrued insurance reserves 1,122 1,816 Deferred revenue 7,495 10,260 Net operating loss and tax credit carryover 1,815 3,686 Depreciation and amortization 536 434 Pension 2,842 6,510 Other reserves 863 716 Total deferred tax assets 32,669 43,791 Less valuation allowance (11 ) — Net deferred tax assets 32,658 43,791 Deferred tax liabilities: Depreciation and amortization (33,926 ) (42,632 ) U.S. tax on unremitted foreign earnings — (1,107 ) Other — (1,805 ) Total deferred tax liabilities (33,926 ) (45,544 ) Total deferred tax liability, net $ (1,268 ) $ (1,753 ) We carry out our business operations through legal entities in the U.S., Canada, Mexico and Costa Rica, and carried out operations in China until the sale of our manufacturing facility in China during fiscal 2018. These operations require that we file corporate income tax returns that are subject to U.S., state and foreign tax laws. We are subject to income tax audits in these multiple jurisdictions. As of October 28, 2018 , the $1.8 million net operating loss and tax credit carryforward included $0.1 million for U.S. state loss carryforwards. The state net operating loss carryforwards will expire in 2019 to 2029 , if unused. As of October 28, 2018 , our foreign operations have a net operating loss carryforward of approximately $1.7 million , that will start to expire in fiscal 2028 , if unused. The following table represents the rollforward of the valuation allowance on deferred taxes activity for the fiscal years ended October 28, 2018 , October 29, 2017 and October 30, 2016 (in thousands): October 28, October 29, October 30, Beginning balance $ — $ 210 $ 115 Additions (reductions) 11 (210 ) 95 Ending balance $ 11 $ — $ 210 Uncertain tax positions There were no unrecognized tax benefits at October 28, 2018 and October 29, 2017 . We do not anticipate any material change in the total amount of unrecognized tax benefits to occur within the next twelve months. We recognize interest and penalties related to uncertain tax positions in income tax expense. To the extent accrued interest and penalties do not ultimately become payable, amounts accrued will be reduced and reflected as a reduction of the overall income tax provision in the period that such determination is made. We did not have any accrued interest and penalties related to uncertain tax positions as of October 28, 2018 . We file income tax returns in the U.S. federal jurisdiction and multiple state and foreign jurisdictions. Our tax years are closed with the IRS through the year ended October 28, 2014, as the statute of limitations related to these tax years has closed. In addition, open tax years related to state and foreign jurisdictions remain subject to examination but are not considered material. |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE LOSS | 12 Months Ended |
Oct. 28, 2018 | |
Equity [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE LOSS | ACCUMULATED OTHER COMPREHENSIVE LOSS Accumulated other comprehensive loss consists of the following (in thousands): October 28, October 29, Foreign exchange translation adjustments $ (89 ) $ 3 Defined benefit pension plan actuarial losses, net of tax (6,619 ) (7,534 ) Accumulated other comprehensive loss $ (6,708 ) $ (7,531 ) |
OPERATING LEASE COMMITMENTS
OPERATING LEASE COMMITMENTS | 12 Months Ended |
Oct. 28, 2018 | |
Leases [Abstract] | |
OPERATING LEASE COMMITMENTS | OPERATING LEASE COMMITMENTS We have operating lease commitments expiring at various dates, principally for real estate, office space, office equipment and transportation equipment. Certain of these operating leases have purchase options that entitle us to purchase the respective equipment at fair value at the end of the lease. In addition, many of our leases contain renewal options at rates similar to the current arrangements. As of October 28, 2018 , future minimum rental payments related to noncancellable operating leases are as follows (in thousands): 2019 $ 13,951 2020 8,223 2021 6,202 2022 5,001 2023 3,928 Thereafter 7,693 Rental expense incurred from operating leases, including leases with terms of less than one year, for 2018 , 2017 and 2016 was $20.1 million , $19.4 million and $17.8 million , respectively. |
STOCK REPURCHASE PROGRAM
STOCK REPURCHASE PROGRAM | 12 Months Ended |
Oct. 28, 2018 | |
Equity [Abstract] | |
STOCK REPURCHASE PROGRAM | STOCK REPURCHASE PROGRAM Our Board of Directors authorized two stock repurchase programs during the fiscal year ended October 30, 2016, which were publicly announced on January 20, 2016 and September 8, 2016. Together, these stock repurchase programs authorized for up to an aggregate of $106.3 million of the Company’s Common Stock. On July 18, 2016, the Company entered into an agreement with the CD&R Fund VIII Investor Group to repurchase approximately 2.9 million shares of our Common Stock for $45.0 million based on the price per share paid by the underwriters to the CD&R Fund VIII Investor Group in the 2016 Secondary Offering. The 2016 Stock Repurchase (as defined in Item 1. Business) represented a private, non-underwritten transaction between the Company and the CD&R Fund VIII Investor Group that was approved and recommended by the Affiliate Transactions Committee of our board of directors. The closing of the 2016 Stock Repurchase occurred on July 25, 2016 concurrently with the closing of the 2016 Secondary Offering. The 2016 Stock Repurchase was funded by the Company’s cash on hand. In addition to the 2016 Stock Repurchase, the Company repurchased 1.6 million shares of its Common Stock for $17.9 million during fiscal 2016 through open-market purchases under the authorized stock repurchase programs. On October 10, 2017 and March 7, 2018, the Company announced that its Board of Directors authorized new stock repurchase programs for up to an aggregate of $50.0 million and $50.0 million , respectively, of the Company’s Common Stock. During fiscal 2017 and fiscal 2018, the Company repurchased 2.8 million shares of its Common Stock for $41.2 million and 2.7 million shares of its Common Stock for $46.7 million , respectively, through open-market purchases under the authorized stock repurchase programs. The fiscal 2018 repurchases included 1.15 million shares for $22.3 million purchased pursuant to the CD&R Fund VIII Investor Group 2017 Secondary Offering (see Note 12 — CD&R Fund VIII Investor Group). As of October 28, 2018 , approximately $55.6 million remains available for stock repurchases under the programs authorized on October 10, 2017 and March 7, 2018. The authorized programs have no time limit on their duration, but our Pre-merger Term Credit Agreement and Pre-merger ABL Credit Agreement apply certain limitations on our repurchase of shares of our Common Stock. The timing and method of any repurchases, which will depend on a variety of factors, including market conditions, are subject to results of operations, financial conditions, cash requirements and other factors, and may be suspended or discontinued at any time. In addition to the Common Stock repurchases, the Company also withheld shares of restricted stock to satisfy minimum tax withholding obligations arising in connection with the vesting of restricted stock units, which are included in treasury stock purchases in the consolidated statements of stockholders’ equity. The Company canceled 4.0 million of the total shares repurchased during fiscal 2016 as well as 0.4 million shares repurchased in prior fiscal years that had been held in treasury stock, resulting in a $62.3 million decrease in both additional paid in capital and treasury stock during the fiscal year ended October 30, 2016. During the fiscal year ended October 29, 2017, the Company canceled 3.0 million of the total shares repurchased during fiscal 2017 as well as 0.4 million shares repurchased in the prior fiscal year that had been held in treasury stock, resulting in a $50.6 million decrease in both additional paid in capital and treasury stock. During fiscal year ended October 28, 2018, the Company canceled 2.7 million shares repurchased under stock repurchase programs and canceled 0.3 million shares of stock that are included in treasury stock purchases and were used to satisfy minimum tax withholding obligations arising in connection with the vesting of stock awards, resulting in a total $51.8 million decrease in both additional paid in capital and treasury stock. Changes in treasury stock, at cost, were as follows (in thousands): Number of Amount Balance, November 1, 2015 447 $ 7,523 Purchases 4,590 64,015 Issuance of restricted stock 162 — Retirements (4,424 ) (62,279 ) Balance, October 30, 2016 775 $ 9,259 Purchases 2,958 43,603 Issuance of restricted stock 20 — Retirements (3,444 ) (50,587 ) Deferred compensation obligation (18 ) (135 ) Balance, October 29, 2017 291 $ 2,140 Purchases 2,939 51,773 Issuance of restricted stock (181 ) — Retirements (2,939 ) (51,772 ) Deferred compensation obligation (49 ) (954 ) Balance, October 28, 2018 61 $ 1,187 |
EMPLOYEE BENEFIT PLANS
EMPLOYEE BENEFIT PLANS | 12 Months Ended |
Oct. 28, 2018 | |
Retirement Benefits [Abstract] | |
EMPLOYEE BENEFIT PLANS | EMPLOYEE BENEFIT PLANS Defined Contribution Plan — We have a 401(k) profit sharing plan (the “Savings Plan”) that allows participation for all eligible employees. The Savings Plan allows us to match between 50% and 100% of the participant’s contributions up to 6% of a participant’s pre-tax deferrals, based on a calculation of the Company’s annual return-on-assets. Contributions expense for the fiscal years ended October 28, 2018 , October 29, 2017 and October 30, 2016 was $7.6 million , $6.1 million and $5.7 million , respectively, for matching contributions to the Savings Plan. Deferred Compensation Plan — We have an Amended and Restated Deferred Compensation Plan (as amended and restated, the “Deferred Compensation Plan”) that allows our officers and key employees to defer up to 80% of their annual salary and up to 90% of their bonus on a pre-tax basis until a specified date in the future, including at or after retirement. Additionally, the Deferred Compensation Plan allows our directors to defer up to 100% of their annual fees and meeting attendance fees until a specified date in the future, including at or after retirement. The Deferred Compensation Plan also permits us to make contributions on behalf of our key employees who are impacted by the federal tax compensation limits under the NCI 401(k) plan, and to receive a restoration matching amount which, under the current NCI 401(k) terms, mirrors our 401(k) profit sharing plan matching levels based on our Company’s performance. The Deferred Compensation Plan provides for us to make discretionary contributions to employees who have elected to defer compensation under the plan. Deferred Compensation Plan participants will vest in our discretionary contributions ratably over three years from the date of each of our discretionary contributions. On February 26, 2016, the Company amended its Deferred Compensation Plan, with an effective date of January 31, 2016, to require that amounts deferred into the Company Stock Fund remain invested in the Company Stock Fund until distribution. In accordance with the terms of the Deferred Compensation Plan, the deferred compensation obligation related to the Company’s stock may only be settled by the delivery of a fixed number of the Company’s common shares held on the participant’s behalf. The deferred compensation obligation related to the Company Stock Fund recorded within equity in additional paid-in capital on the consolidated balance sheet was $0.7 million and $1.3 million as of October 28, 2018 and October 29, 2017 , respectively. Subsequent changes in the fair value of the deferred compensation obligation classified within equity are not recognized. Additionally, the Company currently holds 60,813 shares in treasury shares, relating to deferred, vested awards, until participants are eligible to receive benefits under the terms of the Deferred Compensation Plan. As of October 28, 2018 and October 29, 2017 , the liability balance of the Deferred Compensation Plan was $4.6 million and $4.9 million , respectively, and was included in accrued compensation and benefits on the consolidated balance sheets. We have not made any discretionary contributions to the Deferred Compensation Plan. A rabbi trust is used to fund the Deferred Compensation Plan and an administrative committee manages the Deferred Compensation Plan and its assets. The investments in the rabbi trust were $5.3 million and $6.5 million as of October 28, 2018 and October 29, 2017 , respectively. The rabbi trust investments include debt and equity securities as well as cash equivalents and are accounted for as trading securities. Defined Benefit Plans — With the acquisition of RCC on April 7, 2006, we assumed a defined benefit plan (the “RCC Pension Plan”). Benefits under the RCC Pension Plan are primarily based on years of service and the employee’s compensation. The RCC Pension Plan is frozen and, therefore, employees do not accrue additional service benefits. Plan assets of the RCC Pension Plan are invested in broadly diversified portfolios of government obligations, mutual funds, stocks, bonds, fixed income securities, master limited partnerships and hedge funds. In accordance with ASC Topic 805, we quantified the projected benefit obligation and fair value of the plan assets of the RCC Pension Plan and recorded the difference between these two amounts as an assumed liability. As a result of the CENTRIA Acquisition on January 16, 2015, we assumed noncontributory defined benefit plans covering certain hourly employees (the “CENTRIA Benefit Plans”). Benefits under the CENTRIA Benefit Plans are calculated based on fixed amounts for each year of service rendered. CENTRIA also sponsors postretirement medical and life insurance plans that cover certain of its employees and their spouses (the “OPEB Plans”). The contributions to the OPEB Plans by retirees vary from none to 25% of the total premiums paid. Plan assets of the CENTRIA Benefit Plans are invested in broadly diversified portfolios of equity mutual funds, international equity mutual funds, bonds, mortgages and other funds. Currently, our policy is to fund the CENTRIA Benefit Plans as required by minimum funding standards of the Internal Revenue Code. In accordance with ASC Topic 805, we remeasured the projected benefit obligation and fair value of the plan assets of the CENTRIA Benefits Plans and OPEB Plans. The difference between the two amounts was recorded as an assumed liability. In addition to the CENTRIA Benefit Plans, CENTRIA contributes to a multi-employer plan, the Steelworkers Pension Trust. The minimum required annual contribution to this plan is $0.3 million . The current contract expires on June 1, 2019. If we were to withdraw our participation from this multi-employer plan, CENTRIA may be required to pay a withdrawal liability representing an amount based on the underfunded status of the plan. The plan is not significant to the Company’s consolidated financial statements. We refer to the RCC Pension Plan and the CENTRIA Benefit Plans collectively as the “Defined Benefit Plans” in this Note. Assumptions —Weighted average actuarial assumptions used to determine benefit obligations were as follows: October 28, 2018 October 29, 2017 Defined OPEB Plans Defined OPEB Plans Discount rate 4.40 % 4.20 % 3.64 % 3.40 % Weighted average actuarial assumptions used to determine net periodic benefit cost (income) were as follows: October 28, 2018 October 29, 2017 Defined OPEB Plans Defined OPEB Plans Discount rate 3.64 % 3.40 % 3.64 % 3.25 % Expected return on plan assets 6.19 % n/a 6.18 % n/a Health care cost trend rate-initial n/a 7.50 % n/a 7.00 % Health care cost trend rate-ultimate n/a 4.00 % n/a 5.00 % The basis used to determine the overall expected long-term asset return assumption for the Defined Benefit Plans was a 10-year forecast of expected return based on the target asset allocation for the plans. The weighted average expected return for the portfolio over the forecast period is 6.19% , net of investment related expenses, and taking into consideration historical experience, anticipated asset allocations, investment strategies and the views of various investment professionals. The health care cost trend rate for the OPEB Plans was assumed at 6.5% for years 2019 to 2024, 5.5% for years 2025 to 2035, 5.0% for years 2036 to 2051 and approximately 4.0% per year thereafter. Funded status —The changes in the projected benefit obligation, plan assets and funded status, and the amounts recognized on our consolidated balance sheets were as follows (in thousands): October 28, 2018 October 29, 2017 Change in projected benefit obligation Defined OPEB Plans Total Defined OPEB Plans Total Accumulated benefit obligation $ 51,032 $ 7,354 $ 58,386 $ 56,378 $ 7,698 $ 64,076 Projected benefit obligation – beginning of fiscal year $ 56,378 $ 7,698 $ 64,076 $ 58,551 $ 8,347 $ 66,898 Interest cost 1,976 247 2,223 2,055 257 2,312 Service cost 87 28 115 97 36 133 Benefit payments (3,838 ) (822 ) (4,660 ) (3,681 ) (546 ) (4,227 ) Plan amendments — — — 275 — 275 Actuarial (gains) losses (3,571 ) 203 (3,368 ) (919 ) (396 ) (1,315 ) Projected benefit obligation – end of fiscal year $ 51,032 $ 7,354 $ 58,386 $ 56,378 $ 7,698 $ 64,076 October 28, 2018 October 29, 2017 Change in plan assets Defined OPEB Plans Total Defined OPEB Plans Total Fair value of assets – beginning of fiscal year $ 49,564 $ — $ 49,564 $ 46,160 $ — $ 46,160 Actual return on plan assets (263 ) — (263 ) 5,041 — 5,041 Company contributions 2,262 822 3,084 2,044 546 2,590 Benefit payments (3,838 ) (822 ) (4,660 ) (3,681 ) (546 ) (4,227 ) Fair value of assets – end of fiscal year $ 47,725 $ — $ 47,725 $ 49,564 $ — $ 49,564 October 28, 2018 October 29, 2017 Funded status Defined OPEB Plans Total Defined OPEB Plans Total Fair value of assets $ 47,725 $ — $ 47,725 $ 49,564 $ — $ 49,564 Benefit obligation 51,032 7,354 58,386 56,378 7,698 64,076 Funded status $ (3,307 ) $ (7,354 ) $ (10,661 ) $ (6,814 ) $ (7,698 ) $ (14,512 ) Benefit obligations in excess of fair value of assets of $10.7 million and $14.5 million as of October 28, 2018 and October 29, 2017 , respectively, are included in other long-term liabilities on the consolidated balance sheets. Plan assets —The investment policy is to maximize the expected return for an acceptable level of risk. Our expected long-term rate of return on plan assets is based on a target allocation of assets, which is based on our goal of earning the highest rate of return while maintaining risk at acceptable levels. As of October 28, 2018 and October 29, 2017 , the weighted average asset allocations by asset category for the Defined Benefit Plans were as follows (in thousands): Investment type October 28, October 29, Equity securities 55 % 58 % Debt securities 7 % 35 % Master limited partnerships 3 % 3 % Cash and cash equivalents 31 % 1 % Real estate 3 % 2 % Other 1 % 1 % Total 100 % 100 % The principal investment objectives are to ensure the availability of funds to pay pension and postretirement benefits as they become due under a broad range of future economic scenarios, to maximize long-term investment return with an acceptable level of risk based on our pension and postretirement obligations, and to be sufficiently diversified across and within the capital markets to mitigate the risk of adverse or unexpected results from one security class will not have an unduly detrimental. Each asset class has broadly diversified characteristics. Decisions regarding investment policy are made with an understanding of the effect of asset allocation on funded status, future contributions and projected expenses. The plans strive to have assets sufficiently diversified so that adverse or unexpected results from one security class will not have an unduly detrimental impact on the entire portfolio. We regularly review our actual asset allocation and the investments are periodically rebalanced to our target allocation when considered appropriate. We have set the target asset allocation for the RCC Pension Plan as follows: 45% US bonds, 17% large cap US equities, 13% foreign equity, 5% master limited partnerships, 2% commodity futures, 4% real estate investment trusts, 8% emerging markets and 6% small cap US equities. The CENTRIA Benefit Plans have a target asset allocation of approximately 80% - 85% equities and 15% - 20% fixed income. The fair values of the assets of the Defined Benefit Plans at October 28, 2018 and October 29, 2017 , by asset category and by levels of fair value, as further defined in Note 14 — Fair Value of Financial Instruments and Fair Value Measurements were as follows (in thousands): October 28, 2018 October 29, 2017 Asset category Level 1 Level 2 Total Level 1 Level 2 Total Cash and cash equivalents $ 14,774 $ — $ 14,774 $ 463 $ — $ 463 Mutual funds: Growth funds 7,235 — 7,235 7,262 — 7,262 Real estate funds 1,245 — 1,245 1,236 — 1,236 Commodity linked funds 528 — 528 544 — 544 Equity income funds 5,043 — 5,043 4,767 — 4,767 Index funds 3,036 35 3,071 2,763 110 2,873 International equity funds 253 1,543 1,796 260 1,726 1,986 Fixed income funds 1,745 1,518 3,263 1,742 1,739 3,481 Master limited partnerships 1,448 — 1,448 1,506 — 1,506 Government securities — — — — 6,400 6,400 Corporate bonds — — — — 7,301 7,301 Common/collective trusts — 9,322 9,322 — 11,745 11,745 Total $ 35,307 $ 12,418 $ 47,725 $ 20,543 $ 29,021 $ 49,564 Net periodic benefit cost (income) —The components of the net periodic benefit cost (income) were as follows (in thousands): October 28, October 29, October 30, Defined OPEB Plans Defined OPEB Plans Defined OPEB Plans Interest cost $ 1,976 $ 247 $ 2,055 $ 257 $ 2,354 $ 261 Service cost 87 28 97 36 137 34 Expected return on assets (2,916 ) — (2,798 ) — (2,979 ) — Amortization of prior service credit 58 — (9 ) — (9 ) — Amortization of net actuarial loss 991 — 1,374 — 1,170 — Net periodic benefit cost $ 196 $ 275 $ 719 $ 293 $ 673 $ 295 The amounts in accumulated other comprehensive income that have not yet been recognized as components of net periodic benefit income are as follows (in thousands): October 28, 2018 October 29, 2017 Defined OPEB Plans Total Defined OPEB Plans Total Unrecognized net actuarial loss $ 10,083 $ 578 $ 10,661 $ 11,468 $ 375 $ 11,843 Unrecognized prior service credit 195 — 195 252 — 252 Total $ 10,278 $ 578 $ 10,856 $ 11,720 $ 375 $ 12,095 Unrecognized actuarial gains, net of income tax, of $0.9 million and $2.8 million during fiscal 2018 and 2017 , respectively, are included in other comprehensive income (loss) in the consolidated statements of comprehensive income. The changes in plan assets and benefit obligation recognized in other comprehensive income are as follows (in thousands): October 28, October 29, October 30, Defined OPEB Plans Defined OPEB Plans Defined OPEB Plans Net actuarial gain (loss) $ 392 $ (203 ) $ 3,144 $ 396 $ (3,443 ) $ (911 ) Amortization of net actuarial loss 991 — 1,374 — 1,170 — Amortization of prior service cost (credit) 58 — (9 ) — (9 ) — New prior service cost — — (276 ) — — — Total recognized in other comprehensive income (loss) $ 1,441 $ (203 ) $ 4,233 $ 396 $ (2,282 ) $ (911 ) The estimated amortization for the next fiscal year for amounts reclassified from accumulated other comprehensive income into the consolidated income statement is as follows (in thousands): October 28, 2018 Defined OPEB Plans Total Amortization of prior service credit $ (143 ) $ — $ (143 ) Amortization of net actuarial loss 1,111 — 1,111 Total estimated amortization $ 968 $ — $ 968 Actuarial gains and losses are amortized using the corridor method based on 10% of the greater of the projected benefit obligation or the market related value of assets over the average remaining service period of active employees. We expect to contribute $1.2 million to the Defined Benefit Plans in fiscal 2019 . We expect the following benefit payments to be made (in thousands): Fiscal years ending Defined OPEB Plans Total 2019 $ 4,222 $ 875 $ 5,097 2020 3,954 798 4,752 2021 3,923 704 4,627 2022 3,847 600 4,447 2023 4,053 609 4,662 2024 - 2028 17,883 2,134 20,017 |
OPERATING SEGMENTS
OPERATING SEGMENTS | 12 Months Ended |
Oct. 28, 2018 | |
Segment Reporting [Abstract] | |
OPERATING SEGMENTS | OPERATING SEGMENTS Operating segments are defined as components of an enterprise that engage in business activities and by which discrete financial information is available and is evaluated on a regular basis by the chief operating decision maker to make decisions regarding the allocation of resources to the segment and assess the performance of the segment. On February 22, 2018, the Company announced changes to NCI’s reportable business segments, effective January 28, 2018, starting with the first quarter of fiscal 2018, to align with changes in how the Company manages its business, reviews operating performance and allocates resources. We have revised our segment reporting to represent how we now manage our business, recasting prior periods to conform to the current segment presentation. We have four operating segments: Engineered Building Systems; Metal Components; Insulated Metal Panels; and Metal Coil Coating. All operating segments operate primarily in the nonresidential construction market. Sales and earnings are influenced by general economic conditions, the level of nonresidential construction activity, metal roof repair and retrofit demand and the availability and terms of financing available for construction. Products of our operating segments use similar basic raw materials enabling us to leverage our supply chain. The Metal Coil Coating segment consists of cleaning, treating, painting and slitting continuous steel coils before the steel is fabricated for use by construction and industrial users. The Metal Components segment products include metal roof and wall panels, doors, metal partitions, metal trim, and other related accessories. The Insulated Metal Panels segment produces panels consisting of rigid foam encased between two sheets of coated metal in a variety of modules, lengths and reveal combinations which are used in architectural, commercial, industrial and cold storage market applications. The Engineered Building Systems segment manufactures custom designed and engineered products such as structural frames, Long Bay® Systems, metal roofing and wall systems, and the related value-added engineering and drafting, to provide customers a complete building envelope solution. The operating segments follow the same accounting policies used for our consolidated financial statements. We evaluate a segment’s performance based primarily upon operating income before corporate expenses. Intersegment sales are recorded based on standard material costs plus a standard markup to cover labor and overhead and consist of (i) structural framing provided by the Engineered Building Systems segment to the Metal Components segment; (ii) building components provided by the Metal Components and Insulated Metal Panels segments to the Engineered Building Systems segment; and (iii) hot-rolled, light gauge painted and slit material and other services provided by the Metal Coil Coating segment to the Engineered Building Systems, Metal Components and Insulated Metal Panels segments. Corporate assets consist primarily of cash, investments, prepaid expenses, current and deferred taxes, and property, plant and equipment associated with our headquarters in Houston, Texas. These items (and income and expenses related to these items) are not allocated to the operating segments. Corporate unallocated expenses include share-based compensation expenses, and executive, legal, finance, tax, treasury, human resources, information technology, strategic sourcing, marketing and corporate travel expenses. Additional unallocated amounts primarily include interest income, interest expense, loss on extinguishment of debt and other (expense) income. The following table represents summary financial data attributable to these operating segments for the periods indicated (in thousands): Fiscal Year Ended October 28, October 29, October 30, Total sales: Engineered Building Systems $ 798,299 $ 693,980 $ 672,235 Metal Components 689,344 636,661 586,690 Insulated Metal Panels 504,413 441,404 396,327 Metal Coil Coating 417,296 368,880 346,348 Intersegment sales (408,775 ) (370,647 ) (316,672 ) Total net sales $ 2,000,577 $ 1,770,278 $ 1,684,928 External sales: Engineered Building Systems $ 755,353 $ 659,863 $ 652,471 Metal Components 612,645 544,669 495,020 Insulated Metal Panels 424,762 372,304 347,771 Metal Coil Coating 207,817 193,442 189,666 Total net sales $ 2,000,577 $ 1,770,278 $ 1,684,928 Operating income (loss): Engineered Building Systems $ 66,689 $ 41,388 $ 62,046 Metal Components 87,593 78,768 70,742 Insulated Metal Panels 47,495 47,932 24,620 Metal Coil Coating 28,588 21,459 32,422 Corporate (104,445 ) (79,767 ) (81,051 ) Total operating income $ 125,920 $ 109,780 $ 108,779 Unallocated other expense (42,825 ) (26,642 ) (29,815 ) Income before income taxes $ 83,095 $ 83,138 $ 78,964 Depreciation and amortization: Engineered Building Systems $ 8,627 $ 9,014 $ 9,767 Metal Components 5,817 5,324 4,944 Insulated Metal Panels 17,604 17,907 17,862 Metal Coil Coating 8,488 8,243 8,284 Corporate 1,789 830 1,067 Total depreciation and amortization expense $ 42,325 $ 41,318 $ 41,924 Fiscal Year Ended October 28, October 29, October 30, Capital expenditures: Engineered Building Systems $ 12,433 $ 5,533 $ 7,571 Metal Components 9,507 5,708 3,245 Insulated Metal Panels 5,975 5,731 4,744 Metal Coil Coating 9,028 3,376 2,949 Corporate 10,884 1,726 2,515 Total capital expenditures $ 47,827 $ 22,074 $ 21,024 Property, plant and equipment, net: Engineered Building Systems $ 53,907 $ 46,620 $ 50,862 Metal Components 52,119 49,016 49,654 Insulated Metal Panels 57,415 70,853 76,899 Metal Coil Coating 53,819 50,855 54,407 Corporate 18,980 9,651 10,390 Total property, plant and equipment, net $ 236,240 $ 226,995 $ 242,212 Total assets: Engineered Building Systems $ 225,304 $ 195,426 $ 194,190 Metal Components 226,083 186,369 172,048 Insulated Metal Panels 376,488 380,308 388,183 Metal Coil Coating 196,558 175,046 181,497 Corporate 85,942 93,963 89,478 $ 1,110,375 $ 1,031,112 $ 1,025,396 The following table represents summary financial data attributable to various geographic regions for the periods indicated (in thousands): Fiscal Year Ended October 28, October 29, October 30, Total sales: United States of America $ 1,874,129 $ 1,666,645 $ 1,589,479 Canada 99,306 73,090 61,781 China 4 8,923 6,733 Mexico 2,460 4,910 4,060 All other 24,678 16,710 22,875 Total net sales $ 2,000,577 $ 1,770,278 $ 1,684,928 Long-lived assets: United States of America $ 494,425 $ 493,203 $ 523,134 Canada 7,041 8,180 9,247 China — 448 170 Mexico 10,594 10,603 10,701 Total long-lived assets $ 512,060 $ 512,434 $ 543,252 Sales are determined based on customers’ requested shipment location. |
CONTINGENCIES
CONTINGENCIES | 12 Months Ended |
Oct. 28, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
CONTINGENCIES | CONTINGENCIES As a manufacturer of products primarily for use in nonresidential building construction, the Company is inherently exposed to various types of contingent claims, both asserted and unasserted, in the ordinary course of business. As a result, from time to time, the Company and/or its subsidiaries become involved in various legal proceedings or other contingent matters arising from claims, or potential claims. The Company insures against these risks to the extent deemed prudent by its management and to the extent insurance is available. Many of these insurance policies contain deductibles or self-insured retentions in amounts the Company deems prudent and for which the Company is responsible for payment. In determining the amount of self-insurance, it is the Company’s policy to self-insure those losses that are predictable, measurable and recurring in nature, such as claims for automobile liability and general liability. The Company regularly reviews the status of on-going proceedings and other contingent matters along with legal counsel. Liabilities for such items are recorded when it is probable that the liability has been incurred and when the amount of the liability can be reasonably estimated. Liabilities are adjusted when additional information becomes available. Management believes that the ultimate disposition of these matters will not have a material adverse effect on the Company’s results of operations, financial position or cash flows. However, such matters are subject to many uncertainties and outcomes are not predictable with assurance. |
QUARTERLY RESULTS (Unaudited)
QUARTERLY RESULTS (Unaudited) | 12 Months Ended |
Oct. 28, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
QUARTERLY RESULTS (Unaudited) | QUARTERLY RESULTS (Unaudited) Shown below are selected unaudited quarterly data (in thousands, except per share data): First Second Third Fourth FISCAL YEAR 2018 Sales $ 421,349 $ 457,069 $ 548,525 $ 573,634 Gross profit $ 91,917 $ 104,083 $ 133,401 $ 133,281 Net income (loss) $ 5,249 $ (5,684 ) $ 35,986 $ 27,555 Net income allocated to participating securities $ (38 ) $ — $ (221 ) $ (138 ) Net income (loss) applicable to common shares (3) $ 5,211 $ (5,684 ) $ 35,765 $ 27,417 Income (loss) per common share: (1)(2) Basic $ 0.08 $ (0.09 ) $ 0.54 $ 0.41 Diluted $ 0.08 $ (0.09 ) $ 0.54 $ 0.41 FISCAL YEAR 2017 Sales $ 391,703 $ 420,464 $ 469,385 $ 488,726 Gross profit $ 83,951 $ 100,839 $ 114,969 $ 116,305 Net income $ 2,039 $ 16,974 $ 18,221 $ 17,490 Net income allocated to participating securities $ (8 ) $ (115 ) $ (102 ) $ (78 ) Net income applicable to common shares (3) $ 2,031 $ 16,859 $ 18,119 $ 17,412 Income per common share: (1)(2) Basic $ 0.03 $ 0.24 $ 0.26 $ 0.25 Diluted $ 0.03 $ 0.24 $ 0.25 $ 0.25 (1) The sum of the quarterly income per share amounts may not equal the annual amount reported, as per share amounts are computed independently for each quarter and for the full year based on the respective weighted average common shares outstanding. (2) Excludes net income allocated to participating securities. The participating securities are treated as a separate class in computing earnings per share (see Note 8 — Earnings per Common Share). (3) The quarterly income before income taxes were impacted by the following special income (expense) items: First Second Third Fourth FISCAL YEAR 2018 Loss on extinguishment of debt $ — $ (21,875 ) $ — $ — (Loss) gain on disposition of business — (6,686 ) 1,013 — Restructuring and impairment charges, net (1,094 ) (488 ) 439 (769 ) Strategic development and acquisition related costs (727 ) (1,134 ) (3,642 ) (11,661 ) Acceleration of CEO retirement benefits (4,600 ) — — — Gain on insurance recovery — — 4,741 — Discrete tax effects of U.S. tax reform 323 — — — Total special income (expense) items in income before income taxes $ (6,098 ) $ (30,183 ) $ 2,551 $ (12,430 ) FISCAL YEAR 2017 Goodwill impairment $ — $ — $ — $ (6,000 ) Restructuring charges and impairment charges, net (2,264 ) (315 ) (1,009 ) (1,710 ) Strategic development and acquisition related costs (357 ) (124 ) (1,297 ) (193 ) Loss on sale of assets and asset recovery — (137 ) — — Gain on insurance recovery — 9,601 148 — Unreimbursed business interruption costs — (191 ) (235 ) (28 ) Total special income (expense) items in income before income taxes $ (2,621 ) $ 8,834 $ (2,393 ) $ (7,931 ) |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Oct. 28, 2018 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS Merger with Ply Gem On July 17, 2018, we entered into an Agreement and Plan of Merger (the “Merger Agreement”) with Ply Gem Parent, LLC (“Ply Gem”), and for certain limited purposes as set forth in the Merger Agreement, Clayton, Dubilier & Rice, LLC, pursuant to which Ply Gem would be merged with and into NCI, with NCI surviving the Merger and continuing its corporate existence (the “Merger”). On November 15, 2018, at a special meeting of shareholders of NCI, NCI’s shareholders approved the Merger Agreement and the issuance of 58,709,067 shares of NCI common stock, par value $0.01 per share (“NCI Common Stock”) in the aggregate, on a pro rata basis, to the holders of all of the equity interests in Ply Gem (the “Stock Issuance”), representing approximately 47% of the total number of shares of NCI Common Stock outstanding after closing. The Merger was consummated on November 16, 2018 and the total value of shares of NCI Common Stock issued pursuant to the Stock Issuance was approximately $713.9 million based on the number of shares issued multiplied by the NCI closing share price of $12.16 on November 16, 2018 (the “Acquisition date”). In connection with the Merger, on November 16, 2018, NCI assumed (i) the obligations of the company formerly known as Ply Gem Midco, Inc. (“Ply Gem Midco”), a subsidiary of Ply Gem immediately prior to the consummation of the Merger, as borrower under the Current Cash Flow Credit Agreement (as defined below), (ii) the obligations of Ply Gem Midco as parent borrower under the Current ABL Credit Agreement (as defined below) and (iii) the obligations of Ply Gem Midco as issuer under the Current Indenture (as defined below). On April 12, 2018, Ply Gem Midco entered into a Cash Flow Credit Agreement (the “Current Cash Flow Credit Agreement”), by and among Ply Gem Midco, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent (the “Current Cash Flow Agent”), and the several banks and other financial institutions from time to time party thereto. As of November 16, 2018, immediately prior to the Merger, the Cash Flow Credit Agreement provided for (i) a term loan facility (the “Current Term Loan Facility”) in an original aggregate principal amount of $1,755.0 million and (ii) a cash flow-based revolving credit facility (the “Current Cash Flow Revolver” and together with the Current Term Loan Facility, the “Current Cash Flow Facilities”) of up to $115.0 million . On November 16, 2018, Ply Gem Midco entered into a Lender Joinder Agreement, by and among Ply Gem Midco, the additional commitment lender party thereto and the Cash Flow Agent, which amended the Current Cash Flow Credit Agreement in order to, among other things, increase the aggregate principal amount of the Current Term Loan Facility by $805.0 million (the “Incremental Term Loans”). Proceeds of the Incremental Term Loans were used to, among other things, (a) finance the Merger and to pay certain fees, premiums and expenses incurred in connection therewith, (b) repay in full amounts outstanding under the Pre-merger Term Loan Credit Agreement and the Pre-merger ABL Credit Agreement (each as defined below) and (c) repay $325.0 million of borrowings outstanding under the Current ABL Facility (as defined below). On November 16, 2018, in connection with the consummation of the Merger, NCI and Ply Gem Midco entered into a joinder agreement with respect to the Current Cash Flow Facilities, and NCI became the Borrower (as defined in the Current Cash Flow Credit Agreement) under the Current Cash Flow Facilities. The Current Term Loan Facility amortizes in nominal quarterly installments equal to one percent of the aggregate initial principal amount thereof per annum, with the remaining balance payable upon final maturity of the Current Term Loan Facility on April 12, 2025. There are no amortization payments under the Current Cash Flow Revolver, and all borrowings under the Current Cash Flow Revolver mature on April 12, 2023. At November 16, 2018, following consummation of the Merger, there was $2,555.6 million outstanding under the Current Term Loan Facility and there were no amounts drawn on the Current Cash Flow Revolver. On April 12, 2018, Ply Gem Midco and certain subsidiaries of Ply Gem Midco entered into an Current ABL Credit Agreement (the “Current ABL Credit Agreement”), by and among Ply Gem Midco, the subsidiary borrowers from time to time party thereto, UBS AG, Stamford Branch, as administrative agent and collateral agent (the “ABL Agent”), and the several banks and other financial institutions from time to time party thereto, which provided for an asset-based revolving credit facility (the “Current ABL Facility”) of up to $360.0 million , consisting of (i) $285.0 million available to U.S. borrowers (subject to U.S. borrowing base availability) (the “ABL U.S. Facility”) and (ii) $75.0 million available to both U.S. borrowers and Canadian borrowers (subject to U.S. borrowing base and Canadian borrowing base availability) (the “ABL Canadian Facility”). On October 15, 2018, Ply Gem Midco entered into Amendment No. 2 to the Current ABL Credit Agreement, by and among Ply Gem Midco, the incremental lender party thereto and the ABL Agent, which amended the Current ABL Credit Agreement in order to, among other things, increase the aggregate commitments under the Current ABL Facility by $36.0 million to $396.0 million overall, and with the (x) ABL U.S. Facility being increased from $285.0 million to $313.5 million and (y) the ABL Canadian Facility being increased from $75.0 million to $82.5 million . On November 16, 2018, Ply Gem Midco entered into Amendment No. 4 to the Current ABL Credit Agreement, by and among Ply Gem Midco, the incremental lenders party thereto and the ABL Agent, which amended the Current ABL Credit Agreement in order to, among other things, increase the aggregate commitments under the Current ABL Facility by $215.0 million (the “Incremental ABL Commitments”) to $611.0 million overall, and with the (x) ABL U.S. Facility being increased from $313.5 million to approximately $483.7 million and (y) the ABL Canadian Facility being increased from $82.5 million to approximately $127.3 million . On November 16, 2018, in connection with the consummation of the Merger, NCI and Ply Gem Midco entered into a joinder agreement with respect to the Current ABL Facility, and NCI became the Parent Borrower (as defined in the Current ABL Credit Agreement) under the Current ABL Facility. The Company and, at the Company’s option, certain of the Company’s subsidiaries are the borrowers under the Current ABL Facility. As of November 16, 2018, and following consummation of the Merger, (a) Ply Gem Industries, Inc., Atrium Windows and Doors, Inc., NCI Group, Inc. and Robertson-Ceco II Corporation were U.S. subsidiary borrowers under the Current ABL Facility, and (b) Gienow Canada Inc., Mitten Inc., North Star Manufacturing (London) Ltd. and Robertson Building Systems Limited were Canadian borrowers under the Current ABL Facility. All borrowings under the Current ABL Facility mature on April 12, 2023. At November 16, 2018, following consummation of the Merger, there were no amounts drawn and $24.7 million of letters of credit issued under the Current ABL Facility. On April 12, 2018, Ply Gem Midco issued $645.0 million aggregate principal amount of 8.00% Senior Notes due 2026 (the “ 8.00% Senior Notes”). The 8.00% Senior Notes were issued pursuant to an Indenture, dated as of April 12, 2018 (as supplemented from time to time, the “Current Indenture”), by and among Ply Gem Midco, as issuer, the subsidiary guarantors from time to time party thereto and Wilmington Trust, National Association, as trustee. On November 16, 2018, in connection with the consummation of the Merger, the Company entered into a supplemental indenture and assumed the obligations of Ply Gem Midco as issuer under the Current Indenture and the 8.00% Senior Notes. The 8.00% Senior Notes bear interest at 8.00% per annum and will mature on April 15, 2026. Interest is payable semi-annually in arrears on April 15 and October 15. On November 16, 2018, in connection with the incurrence by Ply Gem Midco of the Incremental Term Loans and the obtaining by Ply Gem Midco of the Incremental ABL Commitments, following consummation of the Merger, the Company (a) terminated all outstanding commitments and repaid all outstanding amounts under the Term Loan Credit Agreement, dated as of February 8, 2018 (the “Pre-merger Term Loan Credit Agreement”), by and among the Company, as borrower, the several banks and other financial institutions from time to time party thereto and Credit Suisse AG, Cayman Islands Branch, as administrative agent and collateral agent, and (b) terminated all outstanding commitments and repaid all outstanding amounts under the ABL Credit Agreement, dated as of February 8, 2018 (the “Pre-merger ABL Credit Agreement”), by and among NCI Group, Inc. and Robertson-Ceco II Corporation, as borrowers, the Company, as a guarantor, the other borrowers from time to time party thereto, the several banks and other financial institutions from time to time party thereto and Wells Fargo Bank, National Association, as administrative agent and collateral agent. Outstanding letters of credit under the Pre-merger ABL Credit Agreement were cash collateralized. We estimate we will record an immaterial loss on extinguishment, primarily related to the Incremental Term Loans. The Company incurred approximately $15.3 million of acquisition expenses during fiscal 2018 related to the Merger, primarily for various third-party consulting and due-diligence services, and investment bankers’ fees, which are recorded in strategic development and acquisition related costs in the Company’s consolidated statements of operations. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Oct. 28, 2018 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates . The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Examples include provisions for bad debts and inventory reserves, accounting for business combinations, valuation of reporting units for purposes of assessing goodwill and other indefinite-lived intangible assets for impairment, valuation of asset groups for impairment testing, accruals for employee benefits, general liability insurance, warranties and certain contingencies. We base our estimates on historical experience, market participant fair value considerations, projected future cash flows, and various other factors that are believed to be reasonable under the circumstances. Actual results could differ from those estimates. |
Cash and Cash Equivalents | Cash and Cash Equivalents . Cash equivalents are stated at cost plus accrued interest, which approximates fair value. Cash equivalents are highly liquid debt instruments with an original maturity of three months or less and may consist of time deposits with a number of commercial banks with high credit ratings, money market instruments, certificates of deposit and commercial paper. Our policy allows us to also invest excess funds in no-load, open-end, management investment trusts (“mutual funds”). The mutual funds invest exclusively in high quality money market instruments. As of October 28, 2018 , our cash and cash equivalents were only invested in cash. |
Accounts Receivable and Related Allowance | Accounts Receivable and Related Allowance . We report accounts receivable net of the allowance for doubtful accounts. Trade accounts receivable are the result of sales of building systems, metal components, insulated metal panels and metal coating services to customers throughout the United States and Canada and affiliated territories, including international builders who resell to end users. Sales are primarily denominated in U.S. dollars. Credit sales do not normally require a pledge of collateral; however, various types of liens may be filed to enhance the collection process and we require payment prior to shipment for certain international shipments. We establish reserves for doubtful accounts on a customer by customer basis when we believe the required payment of specific amounts owed is unlikely to occur. In establishing these reserves, we consider changes in the financial position of a customer, availability of security, lien rights and bond rights as well as disputes, if any, with our customers. Our allowance for doubtful accounts reflects reserves for customer receivables to reduce receivables to amounts expected to be collected. We determine past due status as of the contractual payment date. Interest on delinquent accounts receivable is included in the trade accounts receivable balance and recognized as interest income when earned and collectability is reasonably assured. Uncollectible accounts are written off when a settlement is reached for an amount that is less than the outstanding historical balance or we have exhausted all collection efforts. |
Inventories | Inventories . Beginning with our prospective adoption of ASU 2015-11 in the first quarter of fiscal 2018, inventories are stated at the lower of cost or net realizable value less allowance for inventory obsolescence using the First-In, First-Out Method (“FIFO”) for steel coils and other raw materials. Prior inventory balances are stated at the lower of cost or market value less allowance for inventory obsolescence using FIFO. |
Assets Held for Sale | Assets Held for Sale . We record assets held for sale at the lower of the carrying value or fair value less costs to sell. The following criteria are used to determine if property is held for sale: (i) management has the authority and commits to a plan to sell the property; (ii) the property is available for immediate sale in its present condition; (iii) there is an active program to locate a buyer and the plan to sell the property has been initiated; (iv) the sale of the property is probable within one year; (v) the property is being actively marketed at a reasonable sale price relative to its current fair value; and (vi) it is unlikely that the plan to sell will be withdrawn or that significant changes to the plan will be made. In determining the fair value of the assets less cost to sell, we consider factors including current sales prices for comparable assets in the area, recent market analysis studies, appraisals and any recent legitimate offers. If the estimated fair value less cost to sell of an asset is less than its current carrying value, the asset is written down to its estimated fair value less cost to sell. |
Property, Plant and Equipment and Leases | Property, Plant and Equipment and Leases . Property, plant and equipment are stated at cost and depreciated using the straight-line method over their estimated useful lives. Leasehold improvements are capitalized and amortized using the straight-line method over the shorter of their estimated useful lives or the term of the underlying lease. Computer software developed or purchased for internal use is depreciated using the straight-line method over its estimated useful life. Depreciation and amortization are recognized in cost of sales and engineering, selling, general and administrative expenses based on the nature and use of the underlying asset(s). Operating leases are expensed using the straight-line method over the term of the underlying lease. |
Internally Developed Software | Internally Developed Software . Internally developed software is stated at cost less accumulated amortization and is amortized using the straight-line method over its estimated useful life ranging from 3 to 7 years. Software assets are reviewed for impairment when events or circumstances indicate the carrying value may not be recoverable over the remaining lives of the assets. During the software application development stage, capitalized costs include external consulting costs, cost of software licenses and internal payroll and payroll related costs for employees who are directly associated with a software project. Upgrades and enhancements are capitalized if they result in added functionality which enable the software to perform tasks it was previously incapable of performing. Software maintenance, training, data conversion and business process reengineering costs are expensed in the period in which they are incurred. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets . We review the carrying values of goodwill and identifiable intangibles whenever events or changes in circumstances indicate that such carrying values may not be recoverable and annually for goodwill and indefinite lived intangible assets as required by ASC Topic 350, Intangibles — Goodwill and Other . This guidance provides the option to first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. If, based on a review of qualitative factors, it is more likely than not that the fair value of a reporting unit is less than its carrying value, we perform a quantitative analysis. Prior to July 30, 2017, the test for impairment was a two-step process that involved comparing the estimated fair value of each reporting unit to the reporting unit’s carrying value, including goodwill. If the fair value of a reporting unit exceeded its carrying amount, the goodwill of the reporting unit was not considered impaired; therefore the second step of the impairment test would not be deemed necessary. If the carrying amount of the reporting unit exceeded its fair value, we would then perform the second step to the goodwill impairment test, which involved the determination of the fair value of a reporting unit’s assets and liabilities as if those assets and liabilities had been acquired/assumed in a business combination at the impairment testing date, to measure the amount of goodwill impairment loss to be recorded. However, with the adoption of Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) No. 2017-04, we prospectively adopted a new accounting principle that eliminated the second step of the goodwill impairment test. Therefore, beginning with the annual goodwill impairment tests occurring on the first day of the fourth quarter of fiscal 2017, if the carrying value of a reporting unit exceeds its fair value, we measure any goodwill impairment losses as the amount by which the carrying amount of a reporting unit exceeds its fair value, not to exceed the total amount of goodwill allocated to that reporting unit. Unforeseen events, changes in circumstances, market conditions and material differences in the value of intangible assets due to changes in estimates of future cash flows could negatively affect the fair value of our assets and result in a non-cash impairment charge. Some factors considered important that could trigger an impairment review include the following: significant underperformance relative to expected historical or projected future operating results, significant changes in the manner of our use of acquired assets or the strategy for our overall business and significant negative industry or economic trends. |
Revenue Recognition | Revenue Recognition . We recognize revenues when the following conditions are met: persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the price is fixed or determinable, and collectability is reasonably assured. Generally, these criteria are met at the time product is shipped or services are complete. A portion of our revenue, exclusively within our Engineered Building Systems segment, includes multiple-element revenue arrangements due to multiple deliverables. Each deliverable is generally determined based on customer-specific manufacturing and delivery requirements. Because the separate deliverables have value to the customer on a stand-alone basis, they are typically considered separate units of accounting. A portion of the entire job order value is allocated to each unit of accounting. Revenue allocated to each deliverable is recognized upon shipment. We use estimated selling price (“ESP”) based on underlying cost plus a reasonable margin to determine how to separate multiple-element revenue arrangements into separate units of accounting, and how to allocate the arrangement consideration among those separate units of accounting. We determine ESP based on our normal pricing and discounting practices. Our sales arrangements do not include a general right of return of the delivered product(s). In certain cases, the cancellation terms of a job order provide us with the opportunity to bill for certain incurred costs. In those instances, revenue is not recognized until all revenue recognition criteria are met, including reasonable assurance of collectability. In our Metal Coil Coating segment, our revenue activities broadly consist of cleaning, treating, painting and packaging various flat rolled metals as well as slitting and/or embossing the metal. We enter into two types of sales arrangements with our customers: toll processing sales and package sales. The primary distinction between these two arrangements relates to ownership of the underlying metal coil during treatment. In toll processing arrangements, we do not maintain ownership of the underlying metal coil during treatment and only recognize revenue for the toll processing activities, typically, cleaning, painting, slitting, embossing and packaging. In package sales arrangements, we have ownership of the metal coil during treatment and recognize revenue on both the toll processing activities and the sale of the underlying metal coil. Under either arrangement, revenue and the related direct and indirect costs are recognized when all of the recognition criteria are met, which is generally when the products are shipped to the customer. |
Equity Raising and Deferred Financing Costs | Equity Raising and Deferred Financing Costs . Equity raising costs are recorded as a reduction to additional paid in capital upon the execution of an equity transaction. Deferred financing costs are capitalized as incurred and amortized using the straight-line method, which approximates the effective interest method, over the expected life of the associated debt. |
Cost of Sales | Cost of Sales . Cost of sales includes the cost of inventory sold during the period, including costs for manufacturing, inbound freight, receiving, inspection, warehousing, and internal transfers less vendor rebates. Costs associated with shipping and handling our products are included in cost of sales. Purchasing costs and engineering and drafting costs are included in engineering, selling, general and administrative expense. |
Warranty | Warranty . We sell weathertightness warranties to our customers for protection from leaks in our roofing systems related to weather. These warranties range from two years to twenty years. We sell two types of warranties, standard and Single Source ™ , and three grades of coverage for each. The type and grade of coverage determines the price to the customer. For standard warranties, our responsibility for leaks in a roofing system begins after 24 consecutive leak-free months. For Single Source ™ warranties, the roofing system must pass our inspection before warranty coverage will be issued. Inspections are typically performed at three stages of the roofing project: (i) at the project start-up; (ii) at the project mid-point; and (iii) at the project completion. These inspections are included in the cost of the warranty. If the project requires or the customer requests additional inspections, those inspections are billed to the customer. Upon the sale of a warranty, we record the resulting revenue as deferred revenue, which is included in other accrued expenses and other long-term liabilities in our consolidated balance sheets depending on when the revenues are expected to be recognized. |
Insurance | Insurance . Group medical insurance is purchased through Blue Cross Blue Shield (“BCBS”). The plans include a Preferred Provider Organization Plan (“PPO”) and a Consumer Driven Health Plan (“CDHP”). These plans are managed-care plans utilizing networks to achieve discounts through negotiated rates with the providers within these networks. The claims incurred under these plans are self-funded for the first $355,000 of each claim. We purchase individual stop loss reinsurance to limit our claims liability to $355,000 per claim. BCBS administers all claims, including claims processing, utilization review and network access charges. Insurance is purchased for workers compensation and employer liability, general liability, property and auto liability/auto physical damage. We utilize either deductibles or self-insurance retentions (“SIR”) to limit our exposure to catastrophic loss. The workers compensation insurance has a $250,000 per-occurrence deductible. The property and auto liability insurances have per-occurrence deductibles of $500,000 and $250,000 , respectively. The general liability insurance has a $1,000,000 SIR. Umbrella insurance coverage is purchased to protect us against claims that exceed our per-occurrence or aggregate limits set forth in our respective policies. All claims are adjusted utilizing a third-party claims administrator and insurance carrier claims adjusters. Each reporting period, we record the costs of our health insurance plan, including paid claims, an estimate of the change in incurred but not reported (“IBNR”) claims, taxes and administrative fees, when applicable, (collectively the “Plan Costs”) as general and administrative expenses on our consolidated statements of operations. The estimated IBNR claims are based upon (i) a recent average level of paid claims under the plan, (ii) an estimated lag factor and (iii) an estimated growth factor to provide for those claims that have been incurred but not yet reported and paid. We use an actuary to determine the claims lag and estimated liability for IBNR claims. For workers’ compensation costs, we monitor the number of accidents and the severity of such accidents to develop appropriate estimates for expected costs to provide both medical care and indemnity benefits, when applicable, for the period of time that an employee is incapacitated and unable to work. These accruals are developed using independent third-party actuarial estimates of the expected cost for medical treatment, and length of time an employee will be unable to work based on industry statistics for the cost of similar disabilities, to include statutory impairment ratings. For general liability and automobile claims, accruals are developed based on independent third-party actuarial estimates of the expected cost to resolve each claim, including damages and defense costs, based on legal and industry trends and the nature and severity of the claim. Accruals also include estimates for IBNR claims, and taxes and administrative fees, when applicable. Each reporting period, we record the costs of our workers’ compensation, general liability and automobile claims, including paid claims, an estimate of the change in IBNR claims, taxes and administrative fees as general and administrative expenses on our consolidated statements of operations. |
Advertising Costs | Advertising Costs . Advertising costs are expensed as incurred. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets . We assess impairment of property, plant and equipment at an asset group level in accordance with the provisions of ASC Topic 360, Property, Plant and Equipment. We assess the recoverability of the carrying amount of property, plant and equipment if certain events or changes in circumstances indicate that the carrying value of such asset groups may not be recoverable, such as a significant decrease in market value of the asset groups or a significant change in our business conditions. If we determine that the carrying value of an asset group is not recoverable based on expected undiscounted future cash flows, excluding interest charges, we record an impairment loss equal to the excess of the carrying amount of the asset group over its fair value. The fair value of an asset group is determined based on prices of similar assets adjusted for their remaining useful life. |
Share-Based Compensation | Share-Based Compensation . Compensation expense is recorded for restricted stock awards under the fair value method. Compensation expense for performance stock units (“PSUs”) granted to our senior executives and Performance Share Awards granted to our key employees is recorded based on the probable outcome of the performance conditions associated with the respective shares, as determined by management. |
Foreign Currency Re-measurement and Translation | Foreign Currency Re-measurement and Translation . The functional currency for our Mexico operations is the U.S. dollar. Adjustments resulting from the re-measurement of the local currency financial statements into the U.S. dollar functional currency, which uses a combination of current and historical exchange rates, are included in other income in the current period. The functional currency for our Canadian operations is the Canadian dollar. Translation adjustments resulting from translating the functional currency financial statements into U.S. dollar equivalents are reported separately in accumulated other comprehensive income in stockholders’ equity. |
Contingencies | Contingencies . We establish reserves for estimated loss contingencies and unasserted claims when we believe a loss is probable and the amount of the loss can be reasonably estimated. Our contingent liability reserves are related primarily to litigation and environmental matters. Revisions to contingent liability reserves are reflected in income in the period in which there are changes in facts and circumstances that affect our previous assumptions with respect to the likelihood or amount of loss. Reserves for contingent liabilities are based upon our assumptions and estimates regarding the probable outcome of the matter. We estimate the probable cost by evaluating historical precedent as well as the specific facts relating to each particular contingency (including the opinion of outside advisors, professionals and experts). Should the outcome differ from our assumptions and estimates or other events result in a material adjustment to the accrued estimated reserves, revisions to the estimated reserves for contingent liabilities would be required and would be recognized in the period the new information becomes known. |
Income taxes | Income taxes . The determination of our provision for income taxes requires significant judgment, the use of estimates and the interpretation and application of complex tax laws. Our provision for income taxes reflects a combination of income earned and taxed in the various U.S. federal and state, Canadian federal and provincial, Mexican federal and other jurisdictions. Jurisdictional tax law changes, increases or decreases in permanent differences between book and tax items, accruals or adjustments of accruals for tax contingencies or valuation allowances, and the change in the mix of earnings from these taxing jurisdictions all affect the overall effective tax rate. In assessing the realizability of deferred tax assets, we must consider whether it is more likely than not that some portion, or all, of the deferred tax assets will not be realized. We consider all available evidence, both positive and negative, in determining whether a valuation allowance is required. Such evidence includes the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment, and judgment is required in considering the relative weight of negative and positive evidence. |
Reclassifications | Reclassifications . Certain reclassifications have been made to the prior period amounts in our consolidated balance sheets, consolidated cash flows and notes to the consolidated financial statements to conform to the current presentation. The net effect of these reclassifications was not material to our consolidated financial statements. |
New Accounting Pronouncements Adopted and Recent Accounting Pronouncements | Adopted Accounting Pronouncements In July 2015, the FASB issued ASU 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory. ASU 2015-11 requires that inventory that is accounted for using first-in, first-out (FIFO) or average cost method be measured at the lower of cost or net realizable value. We adopted this guidance in our first quarter of fiscal 2018 on a prospective basis. The adoption of this guidance did not have a material impact on our financial position or results of operations. In November 2015, the FASB issued ASU 2015-17, Balance Sheet Classification of Deferred Taxes . ASU 2015-17 requires all deferred tax assets and liabilities to be presented on the balance sheet as noncurrent. This guidance did not change the requirement that deferred tax assets and liabilities be offset and presented by tax jurisdiction. We adopted ASU 2015-17 in our first quarter in fiscal 2018 on a retrospective basis. As a result deferred tax assets of $20.1 million that were presented on our October 29, 2017 consolidated balance sheet have been reclassified to non-current deferred tax liabilities and the remaining $2.5 million deferred tax assets have been reclassified to non-current deferred tax assets to be consistent with the current year classification. In March 2016, the FASB issued ASU 2016-09, Improvements to Employee Share-Based Payment Accounting , which simplifies certain aspects of the accounting for share-based payment transactions, including income tax effects, forfeitures, minimum statutory tax withholding requirements, classification as either equity or liability, and classification on the statement of cash flows. We adopted ASU 2016-09 in our first quarter in fiscal 2018. ASU 2016-09 requires all excess tax benefits and tax deficiencies be recognized as income tax expense or benefit in the income statement, thus eliminating additional paid-in capital pools. The Company applied the new standard guidance prospectively to all excess tax benefits and tax deficiencies resulting from settlements after October 29, 2017. The standard also requires a policy election to either estimate the number of awards that are expected to vest or account for forfeitures when they occur. The Company recognized a cumulative effect adjustment of $1.4 million to increase accumulated deficit on a modified retrospective basis as of October 29, 2017 and has elected to account for forfeitures when they occur on a prospective basis. The standard requires that excess tax benefits should be classified along with other income tax cash flows as an operating activity on the statement of cash flows, which differs from the Company’s historical classification of the excess tax benefits as cash inflows from financing activities. The Company elected to apply this provision using the retrospective transition method and reclassified $1.5 million and $(0.3) million of excess tax benefits/(shortfalls) from financing activities to operating activities on the statement of cash flows for the fiscal year ended October 29, 2017 and October 30, 2016 , respectively. Additionally, the standard requires cash paid by an employer when directly withholding shares for tax withholding purposes to be classified in the statement of cash flows as a financing activity. Payments for shares withheld for tax withholding purposes of $5.1 million , $2.4 million and $1.1 million are classified on the consolidated statements of cash flows for the fiscal years ended October 28, 2018 , October 29, 2017 and October 30, 2016 , respectively. In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business . This ASU adds guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. Under the new guidance, if a single asset or group of similar identifiable assets comprise substantially all of the fair value of the gross assets acquired (or disposed of) in a transaction, the assets and related activities are not a business. Also, a minimum of an input process and a substantive process must be present and significantly contribute to the ability to create outputs in order to be considered a business. We early adopted ASU 2017-01 in the third quarter of fiscal 2018, as permitted. The adoption of this guidance did not have a material impact on our consolidated financial position or results of operations. Recent Accounting Pronouncements In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). ASU 2014-09 supersedes the revenue recognition requirements in ASC Topic 605, Revenue Recognition , and most industry-specific guidance. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. During 2016, the FASB also issued ASU 2016-08, Revenue from Contracts with Customers: Principal versus Agent Considerations (Reporting Revenue Gross versus Net); ASU 2016-10, Revenue from Contracts with Customers: Identifying Performance Obligations and Licensing ; ASU 2016-11, Rescission of SEC Guidance Because of Accounting Standards Updates 2014-09 and 2014-16 Pursuant to Staff Announcements at the March 3, 2016 EITF Meeting ; and ASU 2016-12, Revenue from Contracts with Customers: Narrow-Scope Improvements and Practical Expedients; and ASU 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers (collectively, the “new revenue standard”) , all of which were issued to improve and clarify the guidance in ASU 2014-09. These ASUs are effective for our transition period ending December 31, 2018, using either a full or modified retrospective approach. We performed an assessment of the differences between the new revenue standard and current accounting practices. As part of our implementation process, we identified significant revenue streams and evaluated a sample of contracts within each significant revenue stream in order to determine the effect of the standard on our revenue recognition practices. We are substantially complete with this evaluation. We are in the process of establishing new policies, procedures, and internal controls to be put in place upon adoption of the standard. To adopt the new revenue standard, we will apply the modified retrospective approach, pursuant to which we will record an adjustment to the opening balance of accumulated deficit as of October 29, 2018 (the first day of our transition period ending December 31, 2018) for the impact of applying the new revenue standard to all contracts existing as of the date of application. Although this is still under review and not finalized, we expect that the adjustment related to changes in the timing of revenue recognition for: tolling services within the Metal Coil Coating segment, fixed price contracts within the Insulated Metal Panels segment, and our weathertightness warranties offered primarily in the Engineered Building Systems and Metal Components segments will not be material. We do anticipate the adoption will have a material impact on our financial statement disclosures. In February 2016, the FASB issued ASU 2016-02, Leases , which will require lessees to record most leases on the balance sheet and modifies the classification criteria and accounting for sales-type leases and direct financing leases for lessors. ASU 2016-02 is effective for our fiscal year ending December 31,2019, including interim periods within that fiscal year. ASU 2016-02, as amended by ASU 2018-11, Leases: Targeted Improvements, requires entities to use a modified retrospective approach, either, for leases that exist or are entered into after the beginning of the earliest comparative period in the financial statements, or under an alternative transition option, for leases existing at, or entered into after, the adoption date. While we are evaluating the impact that the adoption of this guidance will have on our consolidated financial statements, we currently believe that most of our operating leases will be reflected on the consolidated balance sheet upon adoption. In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. This ASU requires an entity to measure all expected credit losses for financial assets, including trade receivables, held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Entities will now incorporate forward-looking information based on expected losses to estimate credit losses. ASU 2016-13 is effective for our fiscal year ending December 31, 2020, including interim periods within that fiscal year. We are evaluating the impact that the adoption of this ASU will have on our consolidated financial position, result of operations and cash flows. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments , which provides guidance on eight cash flow classification issues with the objective of reducing differences in practice. We will be required to adopt the amendments in this ASU in our transition period ending December 31, 2018. Adoption is required to be on a retrospective basis, unless impracticable for any of the amendments, in which case a prospective application is permitted. We are evaluating the impact that ASU 2016-15 will have on our consolidated financial statements. In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other than Inventory , which eliminates the exception that prohibits the recognition of current and deferred income tax effects for intra-entity transfers of assets other than inventory until the asset has been sold to an outside party. We will be required to adopt the amendments in this ASU in the transition period ending December 31, 2018. The application of the amendments will require the use of a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the period of adoption. We are evaluating the standard and the impact it will have on our consolidated financial statements. In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (a consensus of the FASB Emerging Issues Task Force) , which clarifies how entities should present restricted cash and restricted cash equivalents in the statement of cash flows. Entities will no longer present transfers between cash and cash equivalents and restricted cash and restricted cash equivalents in the statement of cash flows. An entity with a material balance of restricted cash and restricted cash equivalents must disclose information about the nature of the restrictions. We will be required to adopt this guidance on a retrospective basis in the transition period ending December 31, 2018. The adoption of ASU 2016-18 will not have a material impact on our consolidated financial statements. In March 2017, the FASB issued ASU 2017-07, Compensation — Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost , which amends the requirements related to the income statement presentation of the components of net periodic benefit cost for employer sponsored defined benefit pension and other postretirement benefit plans. Under the new guidance, an entity must disaggregate and present the service cost component of net periodic benefit cost in the same income statement line items as other employee compensation costs arising from services rendered during the period, and only the service cost component will be eligible for capitalization. Other components of net periodic benefit cost will be presented separately from the line items that include the service cost. We will be required to adopt this guidance in the transition period ending December 31, 2018. Entities must use a retrospective transition method to adopt the requirement for separate presentation of the income statement service cost and other components, and a prospective transition method to adopt the requirement to limit the capitalization of benefit cost to the service component. We are evaluating the standard and the impact it will have on our consolidated financial statements. In May 2017, the FASB issued ASU 2017-09, Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting , which provides clarity on the accounting for modifications of stock-based awards. We will be required to adopt this guidance on a prospective basis in the transition period ending December 31, 2018 for share-based payment awards modified on or after the adoption date. We do not anticipate the adoption of ASU 2017-09 to have a material impact on our consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement, which modifies disclosure requirements for fair value measurements under ASC 820, Fair Value Measurement. We will be required to adopt this guidance retrospectively in the annual and interim periods for our fiscal year ending December 31, 2020, with early adoption permitted. We are evaluating the impact of adopting this guidance. In August 2018, the FASB issued ASU 2018-14, Compensation—Retirement Benefits—Defined Benefit Plans—General (Subtopic 715-20): Disclosure Framework—Changes to the Disclosure Requirements for Defined Benefit Plans , which removes disclosures no longer considered cost beneficial, clarifies the specific requirements of disclosures and adds disclosure requirements identified as relevant. We will be required to adopt this guidance for our fiscal year ending December 31, 2020, with early adoption permitted. Certain provisions are applied prospectively while others are applied retrospectively. We are evaluating the impact of adopting this guidance. In August 2018, the FASB issued ASU 2018-15, Intangibles—Goodwill and Other—Internal-Use Software—General (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract , which aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). The accounting for the service element of a hosting arrangement that is a service contract is not affected by these amendments. We will be required to adopt this guidance in the annual and interim periods for our fiscal year ending December 31, 2020, with early adoption permitted. The amendments in this ASU may be applied either retrospectively or prospectively. We are evaluating the impact ASU 2018-15 will have on our consolidated financial statements. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Accounting Policies [Abstract] | |
Rollforward of uncollectible accounts | The following table represents the rollforward of our uncollectible accounts for the fiscal years ended October 28, 2018 , October 29, 2017 and October 30, 2016 (in thousands): October 28, October 29, October 30, Beginning balance $ 8,325 $ 7,413 $ 7,695 Provision for bad debts (491 ) 1,948 1,343 Amounts charged against allowance for bad debts, net of recoveries (1,585 ) (1,036 ) (1,625 ) Ending balance $ 6,249 $ 8,325 $ 7,413 |
Components of inventory | The components of inventory are as follows (in thousands): October 28, October 29, Raw materials $ 205,902 $ 150,919 Work in process and finished goods 48,629 47,377 $ 254,531 $ 198,296 |
Rollforward of reserve for obsolete materials and supplies | The following table represents the rollforward of reserve for obsolete materials and supplies activity for the fiscal years ended October 28, 2018 , October 29, 2017 and October 30, 2016 (in thousands): October 28, October 29, October 30, Beginning balance $ 5,205 $ 3,984 $ 3,749 Provisions 3,069 1,923 1,463 Dispositions (1,655 ) (702 ) (1,228 ) Ending balance $ 6,619 $ 5,205 $ 3,984 |
Property, plant and equipment | Property, plant and equipment consists of the following (in thousands): October 28, October 29, Land $ 17,398 $ 18,473 Buildings and improvements 172,920 178,019 Machinery, equipment and furniture 356,509 336,163 Transportation equipment 4,287 4,599 Computer software and equipment 116,449 117,515 Construction in progress 28,608 15,092 696,171 669,861 Less: accumulated depreciation (459,931 ) (442,866 ) $ 236,240 $ 226,995 |
Estimated useful lives for depreciation | Estimated useful lives for depreciation are: Buildings and improvements 15 – 39 years Machinery, equipment and furniture 3 – 15 years Transportation equipment 4 – 10 years Computer software and equipment 3 – 7 years |
ACQUISITION (Tables)
ACQUISITION (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Business Combinations [Abstract] | |
Estimated fair value of assets acquired and liabilities assumed | The fair values of the assets acquired and liabilities assumed as part of this acquisition as of November 3, 2015, as determined in accordance with ASC Topic 805, were as follows (in thousands): November 3, Current assets $ 307 Property, plant and equipment 4,810 Assets acquired 5,117 Current liabilities assumed 380 Fair value of net assets acquired 4,737 Total cash consideration transferred 2,201 Deferred tax liabilities 672 Gain from bargain purchase $ (1,864 ) |
RESTRUCTURING (Tables)
RESTRUCTURING (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Restructuring and Related Activities [Abstract] | |
Summary of restructuring plan costs and charges | The following table summarizes our restructuring plan costs and charges related to the restructuring plans during the fiscal year ended October 28, 2018 and since inception, which are recorded in restructuring and impairment charges in the Company’s consolidated statements of operations (in thousands): Fiscal Year Ended Costs Incurred To Date (since inception) October 28, General severance $ 2,272 $ 11,234 Plant closing severance 31 3,310 Asset impairments 1,171 7,140 Gain on sale of facility (2,049 ) (2,049 ) Other restructuring costs 102 1,415 Total restructuring costs $ 1,527 $ 21,050 |
Summary of restructuring liability and cash payment | The following table summarizes our severance liability and cash payments made pursuant to the restructuring plans from inception through October 28, 2018 (in thousands): General Plant Closing Total Balance, November 2, 2014 $ — $ — $ — Costs incurred 3,887 1,575 5,462 Cash payments (2,941 ) (1,575 ) (4,516 ) Accrued severance (1) 739 — 739 Balance, November 1, 2015 $ 1,685 $ — $ 1,685 Costs incurred (1) 2,725 165 2,890 Cash payments (3,928 ) (165 ) (4,093 ) Balance, October 30, 2016 $ 482 $ — $ 482 Costs incurred 2,350 1,539 3,889 Cash payments (2,549 ) (1,539 ) (4,088 ) Balance, October 29, 2017 $ 283 $ — $ 283 Costs incurred 2,272 31 2,303 Cash payments (2,134 ) (31 ) (2,165 ) Balance at October 28, 2018 $ 421 $ — $ 421 (1) During the second and fourth quarters of fiscal 2015, we entered into transition and separation agreements with certain executive officers. Each terminated executive officer was entitled to severance benefit payments issuable in two installments. The termination benefits were measured initially at the separation dates based on the fair value of the liability as of the termination date and were recognized ratably over the future service period. Costs incurred during fiscal 2016 exclude $0.7 million of amortization expense associated with these termination benefits. |
GOODWILL AND OTHER INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Carrying amount of goodwill by operating segment | Our goodwill balance and changes in the carrying amount of goodwill by operating segment are as follows (in thousands): Engineered Metal Insulated Metal Panels Metal Coil Total Balance, October 30, 2016 $ 14,310 $ 7,110 121,444 $ 11,407 $ 154,271 Impairment (1) — — — (6,000 ) (6,000 ) Other, net — — 20 — 20 Balance, October 29, 2017 $ 14,310 $ 7,110 121,464 5,407 $ 148,291 Balance, October 28, 2018 $ 14,310 $ 7,110 $ 121,464 $ 5,407 $ 148,291 (1) Our July 31, 2017 goodwill impairment testing indicated an impairment as the carrying value of CENTRIA’s coil coating operations, included in our Metal Coil Coating segment, exceeded its fair value. As a result, we recorded a non-cash charge of $6.0 million in goodwill impairment on our consolidated statements of operations for the year ended October 29, 2017. |
Schedule of indefinite-lived intangible activity | The following table represents all our intangible assets activity for the fiscal years ended October 28, 2018 and October 29, 2017 (in thousands): Range of Life October 28, October 29, Amortized intangible assets: Cost: Trade names 15 $ 29,167 $ 29,167 Customer lists and relationships 12 – 20 136,210 136,210 $ 165,377 $ 165,377 Accumulated amortization: Trade names $ (12,657 ) $ (10,713 ) Customer lists and relationships (38,646 ) (30,971 ) $ (51,303 ) $ (41,684 ) Net book value $ 114,074 $ 123,693 Indefinite-lived intangible assets: Trade names 13,455 13,455 Total intangible assets at net book value $ 127,529 $ 137,148 |
Schedule of finite-lived intangible activity | The following table represents all our intangible assets activity for the fiscal years ended October 28, 2018 and October 29, 2017 (in thousands): Range of Life October 28, October 29, Amortized intangible assets: Cost: Trade names 15 $ 29,167 $ 29,167 Customer lists and relationships 12 – 20 136,210 136,210 $ 165,377 $ 165,377 Accumulated amortization: Trade names $ (12,657 ) $ (10,713 ) Customer lists and relationships (38,646 ) (30,971 ) $ (51,303 ) $ (41,684 ) Net book value $ 114,074 $ 123,693 Indefinite-lived intangible assets: Trade names 13,455 13,455 Total intangible assets at net book value $ 127,529 $ 137,148 |
Amortization expense over next five fiscal years | We expect to recognize amortization expense over the next five fiscal years as follows (in thousands): 2019 $ 9,620 2020 9,327 2021 9,064 2022 8,721 2023 8,667 |
SHARE-BASED COMPENSATION (Table
SHARE-BASED COMPENSATION (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Weighted average assumptions for equity awards granted | The weighted average assumptions for the option awards granted on December 15, 2016 and December 15, 2015 are as follows: December 15, December 15, Expected volatility 42.63 % 43.71 % Expected term (in years) 5.50 5.50 Risk-free interest rate 2.15 % 1.77 % |
Summary of stock option transactions | The following is a summary of stock option transactions during fiscal 2018 , 2017 and 2016 (in thousands, except weighted average exercise prices and weighted average remaining life): Number of Weighted Weighted Aggregate Balance, November 1, 2015 1,904 $ 9.85 Granted 29 12.76 Exercised (1,418 ) (8.89 ) Cancelled (7 ) (227.21 ) Balance, October 30, 2016 508 10.24 Granted 11 15.70 Exercised (183 ) (9.03 ) Balance, October 29, 2017 336 11.06 Exercised (115 ) 11.09 Cancelled (6 ) 15.70 Balance, October 28, 2018 215 $ 10.94 2.9 $ 428 Exercisable at October 28, 2018 212 $ 10.86 2.8 $ 428 |
Additional information concerning outstanding options | The following summarizes additional information concerning outstanding options at October 28, 2018 (in thousands, except weighted average remaining life and weighted average exercise prices): Options Outstanding Number of Weighted Average Weighted Average 194 2.5 years $ 10.30 21 6.4 years 16.90 215 2.9 years $ 10.94 The following summarizes additional information concerning options exercisable at October 28, 2018 (in thousands, except weighted average exercise prices): Options Exercisable Number of Weighted Average 194 $ 10.30 18 16.88 212 $ 10.86 |
Fair value and cash value of Performance Share Awards granted | The fair value and cash value of Performance Share Awards granted in fiscal 2018 , 2017 and 2016 are as follows (in millions): Fiscal year ended October 28, October 29, October 30, Equity fair value $ 2.8 $ 2.0 $ 2.4 Cash value $ — $ 2.0 $ 2.1 |
Restricted stock and performance award transactions | Restricted stock and performance award transactions during fiscal 2018 , 2017 and 2016 were as follows (in thousands, except weighted average grant prices): Restricted Stock and Performance Awards Time-Based Performance-Based Market-Based Number of Weighted Number of (1) Weighted Number of (1) Weighted Balance, November 1, 2015 828 $ 15.87 343 $ 17.19 40 $ 11.78 Granted 329 12.64 516 12.76 71 14.60 Vested (335 ) 15.09 — — — — Forfeited (60 ) 14.33 (60 ) 15.22 (4 ) 13.81 Balance, October 30, 2016 762 $ 14.91 799 $ 14.82 107 $ 14.02 Granted 285 15.84 362 15.70 58 16.03 Vested (392 ) 15.14 (165 ) 16.07 — — Forfeited (27 ) 14.41 (124 ) 15.88 (21 ) 11.51 Balance, October 29, 2017 628 $ 15.21 872 $ 14.76 144 $ 15.15 Granted 367 19.37 281 19.65 44 19.65 Vested (423 ) 15.67 (94 ) 17.07 — — Forfeited (64 ) 17.15 (183 ) 16.26 (43 ) 16.49 Balance, October 28, 2018 508 $ 17.58 876 $ 16.14 145 $ 16.02 (1) The number of restricted stock shown reflects the shares that would be granted if the target level of performance is achieved. The number of shares actually issued may vary. |
Schedule of employee service share-based compensation, allocation of recognized period costs | Share-based compensation expense as well as the unrecognized share-based compensation expense and weighted average period over which expense attributable to unvested awards will be recognized are as follows (in millions, except weighted average remaining years): Fiscal year ended October 28, October 29, October 30, Cost of goods sold $ 0.9 $ 1.0 $ 1.1 Engineering, selling, general and administrative 10.7 9.2 9.8 Total recognized share-based compensation expense $ 11.6 $ 10.2 $ 10.9 Fiscal Year Ended October 28, 2018 Unrecognized Share-Based Compensation Expense Weighted Average Remaining Years Stock options $ — 0.1 Time-based restricted stock 4.8 1.9 Performance- and market-based restricted stock 7.0 1.9 Total unrecognized share-based compensation expense $ 11.8 |
EARNINGS PER COMMON SHARE (Tabl
EARNINGS PER COMMON SHARE (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Earnings Per Share [Abstract] | |
Reconciliation of numerator and denominator used for earnings per common share | The reconciliation of the numerator and denominator used for the computation of basic and diluted income per common share is as follows (in thousands, except per share data): Fiscal Year Ended October 28, October 29, October 30, Numerator for Basic and Diluted Earnings Per Common Share: Net income applicable to common shares $ 62,694 $ 54,399 $ 50,638 Denominator for Basic and Diluted Earnings Per Common Share: Weighted average basic number of common shares outstanding 66,260 70,629 72,411 Common stock equivalents: Employee stock options 89 124 446 PSUs and Performance Share Awards 13 25 — Weighted average diluted number of common shares outstanding 66,362 70,778 72,857 Basic earnings per common share $ 0.95 $ 0.77 $ 0.70 Diluted earnings per common share $ 0.94 $ 0.77 $ 0.70 Incentive Plan securities excluded from dilution (1) 1 0 195 (1) Represents securities not included in the computation of diluted earnings per common share because their effect would have been anti-dilutive. |
OTHER ACCRUED EXPENSES (Tables)
OTHER ACCRUED EXPENSES (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Payables and Accruals [Abstract] | |
Other Accrued Expenses | Other accrued expenses are comprised of the following (in thousands): October 28, October 29, Accrued warranty obligation and deferred warranty revenue $ 7,005 $ 7,082 Deferred revenue 21,040 28,295 Other accrued expenses 53,839 41,520 Total other accrued expenses $ 81,884 $ 76,897 |
WARRANTY (Tables)
WARRANTY (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Product Warranties Disclosures [Abstract] | |
Rollforward of accrued warranty obligation and deferred warranty revenue | The following table represents the rollforward of our accrued warranty obligation and deferred warranty revenue activity for the fiscal years ended October 28, 2018 and October 29, 2017 (in thousands): October 28, October 29, Beginning balance $ 32,418 $ 33,122 Warranties sold 3,297 2,149 Revenue recognized (2,656 ) (2,323 ) Cost incurred and other (2,400 ) (530 ) Ending balance 30,659 32,418 Less: Current portion 7,005 7,082 Total warranty reserve, less current portion $ 23,654 $ 25,336 |
LONG-TERM DEBT AND NOTE PAYAB_2
LONG-TERM DEBT AND NOTE PAYABLE (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of debt | Debt is comprised of the following (in thousands): October 28, October 29, Term loan credit facility, due February 2025 and June 2022, respectively $ 412,925 $ 144,147 8.25% senior notes, due January 2023 — 250,000 Asset-based lending credit facility, due February 2023 and June 2019, respectively — — Less: unamortized deferred financing costs (1) 5,699 6,857 Total long-term debt, net of deferred financing costs 407,226 387,290 Less: current portion of long-term debt 4,150 — Total long-term debt, less current portion $ 403,076 $ 387,290 (1) Includes the unamortized deferred financing costs associated with the term loan credit facilities and 8.25% senior notes due 2023 (the “Notes”). The unamortized deferred financing costs associated with the asset-based lending credit facilities of $1.1 million and $0.7 million as of October 28, 2018 and October 29, 2017 , respectively, are classified in other assets on the consolidated balance sheets. |
Schedule of debt maturity | The scheduled maturity of our debt is as follows (in thousands): 2019 $ 4,150 2020 4,150 2021 4,150 2022 4,150 2023 and thereafter 396,325 $ 412,925 |
FAIR VALUE OF FINANCIAL INSTR_2
FAIR VALUE OF FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair value of financial instruments not currently recognized at fair value | The fair values of the remaining financial instruments not currently recognized at fair value on our consolidated balance sheets at the respective fiscal year ends were (in thousands): October 28, 2018 October 29, 2017 Carrying Fair Carrying Fair Term loan credit facility, due February 2025 and June 2022, respectively $ 412,925 $ 412,409 $ 144,147 $ 144,147 8.25% senior notes, due January 2023 — — 250,000 267,500 |
Schedule of fair value of assets and liabilities, by type | The following tables summarize information regarding our financial assets and liabilities that are measured at fair value on a recurring basis as of October 28, 2018 and October 29, 2017 , segregated by level of the valuation inputs within the fair value hierarchy utilized to measure fair value (in thousands): Recurring fair value measurements October 28, 2018 Level 1 Level 2 Level 3 Total Assets: Short-term investments in deferred compensation plan (1) : Money market $ 369 $ — $ — $ 369 Mutual funds – Growth 1,118 — — 1,118 Mutual funds – Blend 2,045 — — 2,045 Mutual funds – Foreign blend 812 — — 812 Mutual funds – Fixed income — 941 — 941 Total short-term investments in deferred compensation plan 4,344 941 — 5,285 Total assets $ 4,344 $ 941 $ — $ 5,285 Liabilities: Deferred compensation plan liability $ — $ 4,639 $ — $ 4,639 Total liabilities $ — $ 4,639 $ — $ 4,639 Recurring fair value measurements October 29, 2017 Level 1 Level 2 Level 3 Total Assets: Short-term investments in deferred compensation plan (1) : Money market $ 1,114 $ — $ — $ 1,114 Mutual funds – Growth 958 — — 958 Mutual funds – Blend 1,948 — — 1,948 Mutual funds – Foreign blend 915 — — 915 Mutual funds – Fixed income — 1,546 — 1,546 Total short-term investments in deferred compensation plan 4,935 1,546 — 6,481 Total assets $ 4,935 $ 1,546 $ — $ 6,481 Liabilities: Deferred compensation plan liability $ — $ 4,923 $ — $ 4,923 Total liabilities $ — $ 4,923 $ — $ 4,923 (1) The unrealized holding gain (loss) was insignificant for the fiscal years ended October 28, 2018 and October 29, 2017 . |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Income Tax Disclosure [Abstract] | |
Schedule of components of income tax expense (benefit) | The income tax provision for the fiscal years ended 2018 , 2017 and 2016 , consisted of the following (in thousands): Fiscal Year Ended October 28, October 29, October 30, Current: Federal $ 16,850 $ 23,885 $ 22,602 State 3,483 3,218 3,179 Foreign 545 445 838 Total current 20,878 27,548 26,619 Deferred: Federal (2,937 ) (358 ) 105 State 565 769 1,380 Foreign 1,483 455 (167 ) Total deferred (889 ) 866 1,318 Total provision $ 19,989 $ 28,414 $ 27,937 |
Schedule of effective income tax rate reconciliation | The reconciliation of income tax computed at the United States federal statutory tax rate to the effective income tax rate is as follows: Fiscal Year Ended October 28, October 29, October 30, Statutory federal income tax rate 23.3 % 35.0 % 35.0 % State income taxes 4.2 % 3.2 % 3.8 % Production activities deduction (1.7 )% (3.1 )% (3.4 )% Non-deductible expenses 0.2 % 0.9 % 1.3 % Revaluation of U.S. deferred income tax due to statutory rate reduction (1.2 )% — % — % One-time repatriation tax on foreign earnings 0.6 % — % — % Other (1.3 )% (1.8 )% (1.3 )% Effective tax rate 24.1 % 34.2 % 35.4 % |
Tax effect of temporary differences | The tax effects of the temporary differences for fiscal 2018 and 2017 are as follows (in thousands): October 28, October 29, Deferred tax assets: Inventory obsolescence $ 2,161 $ 2,680 Bad debt reserve 1,007 1,686 Accrued and deferred compensation 14,828 16,003 Accrued insurance reserves 1,122 1,816 Deferred revenue 7,495 10,260 Net operating loss and tax credit carryover 1,815 3,686 Depreciation and amortization 536 434 Pension 2,842 6,510 Other reserves 863 716 Total deferred tax assets 32,669 43,791 Less valuation allowance (11 ) — Net deferred tax assets 32,658 43,791 Deferred tax liabilities: Depreciation and amortization (33,926 ) (42,632 ) U.S. tax on unremitted foreign earnings — (1,107 ) Other — (1,805 ) Total deferred tax liabilities (33,926 ) (45,544 ) Total deferred tax liability, net $ (1,268 ) $ (1,753 ) |
Rollforward of valuation allowance on deferred tax activity | The following table represents the rollforward of the valuation allowance on deferred taxes activity for the fiscal years ended October 28, 2018 , October 29, 2017 and October 30, 2016 (in thousands): October 28, October 29, October 30, Beginning balance $ — $ 210 $ 115 Additions (reductions) 11 (210 ) 95 Ending balance $ 11 $ — $ 210 |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Equity [Abstract] | |
Schedule of accumulated other comprehensive loss | Accumulated other comprehensive loss consists of the following (in thousands): October 28, October 29, Foreign exchange translation adjustments $ (89 ) $ 3 Defined benefit pension plan actuarial losses, net of tax (6,619 ) (7,534 ) Accumulated other comprehensive loss $ (6,708 ) $ (7,531 ) |
OPERATING LEASE COMMITMENTS (Ta
OPERATING LEASE COMMITMENTS (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Leases [Abstract] | |
Future minimum rental payments related to noncancellable operating leases | As of October 28, 2018 , future minimum rental payments related to noncancellable operating leases are as follows (in thousands): 2019 $ 13,951 2020 8,223 2021 6,202 2022 5,001 2023 3,928 Thereafter 7,693 |
STOCK REPURCHASE PROGRAM (Table
STOCK REPURCHASE PROGRAM (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Equity [Abstract] | |
Changes In treasury common stock, at cost | Changes in treasury stock, at cost, were as follows (in thousands): Number of Amount Balance, November 1, 2015 447 $ 7,523 Purchases 4,590 64,015 Issuance of restricted stock 162 — Retirements (4,424 ) (62,279 ) Balance, October 30, 2016 775 $ 9,259 Purchases 2,958 43,603 Issuance of restricted stock 20 — Retirements (3,444 ) (50,587 ) Deferred compensation obligation (18 ) (135 ) Balance, October 29, 2017 291 $ 2,140 Purchases 2,939 51,773 Issuance of restricted stock (181 ) — Retirements (2,939 ) (51,772 ) Deferred compensation obligation (49 ) (954 ) Balance, October 28, 2018 61 $ 1,187 |
EMPLOYEE BENEFIT PLANS (Tables)
EMPLOYEE BENEFIT PLANS (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Retirement Benefits [Abstract] | |
Schedule of assumptions used | Assumptions —Weighted average actuarial assumptions used to determine benefit obligations were as follows: October 28, 2018 October 29, 2017 Defined OPEB Plans Defined OPEB Plans Discount rate 4.40 % 4.20 % 3.64 % 3.40 % Weighted average actuarial assumptions used to determine net periodic benefit cost (income) were as follows: October 28, 2018 October 29, 2017 Defined OPEB Plans Defined OPEB Plans Discount rate 3.64 % 3.40 % 3.64 % 3.25 % Expected return on plan assets 6.19 % n/a 6.18 % n/a Health care cost trend rate-initial n/a 7.50 % n/a 7.00 % Health care cost trend rate-ultimate n/a 4.00 % n/a 5.00 % |
Schedule of change in projected benefit obligation | The changes in the projected benefit obligation, plan assets and funded status, and the amounts recognized on our consolidated balance sheets were as follows (in thousands): October 28, 2018 October 29, 2017 Change in projected benefit obligation Defined OPEB Plans Total Defined OPEB Plans Total Accumulated benefit obligation $ 51,032 $ 7,354 $ 58,386 $ 56,378 $ 7,698 $ 64,076 Projected benefit obligation – beginning of fiscal year $ 56,378 $ 7,698 $ 64,076 $ 58,551 $ 8,347 $ 66,898 Interest cost 1,976 247 2,223 2,055 257 2,312 Service cost 87 28 115 97 36 133 Benefit payments (3,838 ) (822 ) (4,660 ) (3,681 ) (546 ) (4,227 ) Plan amendments — — — 275 — 275 Actuarial (gains) losses (3,571 ) 203 (3,368 ) (919 ) (396 ) (1,315 ) Projected benefit obligation – end of fiscal year $ 51,032 $ 7,354 $ 58,386 $ 56,378 $ 7,698 $ 64,076 October 28, 2018 October 29, 2017 Change in plan assets Defined OPEB Plans Total Defined OPEB Plans Total Fair value of assets – beginning of fiscal year $ 49,564 $ — $ 49,564 $ 46,160 $ — $ 46,160 Actual return on plan assets (263 ) — (263 ) 5,041 — 5,041 Company contributions 2,262 822 3,084 2,044 546 2,590 Benefit payments (3,838 ) (822 ) (4,660 ) (3,681 ) (546 ) (4,227 ) Fair value of assets – end of fiscal year $ 47,725 $ — $ 47,725 $ 49,564 $ — $ 49,564 |
Schedule of change in plan assets | October 28, 2018 October 29, 2017 Change in plan assets Defined OPEB Plans Total Defined OPEB Plans Total Fair value of assets – beginning of fiscal year $ 49,564 $ — $ 49,564 $ 46,160 $ — $ 46,160 Actual return on plan assets (263 ) — (263 ) 5,041 — 5,041 Company contributions 2,262 822 3,084 2,044 546 2,590 Benefit payments (3,838 ) (822 ) (4,660 ) (3,681 ) (546 ) (4,227 ) Fair value of assets – end of fiscal year $ 47,725 $ — $ 47,725 $ 49,564 $ — $ 49,564 October 28, 2018 October 29, 2017 Funded status Defined OPEB Plans Total Defined OPEB Plans Total Fair value of assets $ 47,725 $ — $ 47,725 $ 49,564 $ — $ 49,564 Benefit obligation 51,032 7,354 58,386 56,378 7,698 64,076 Funded status $ (3,307 ) $ (7,354 ) $ (10,661 ) $ (6,814 ) $ (7,698 ) $ (14,512 ) |
Schedule of funded status | October 28, 2018 October 29, 2017 Funded status Defined OPEB Plans Total Defined OPEB Plans Total Fair value of assets $ 47,725 $ — $ 47,725 $ 49,564 $ — $ 49,564 Benefit obligation 51,032 7,354 58,386 56,378 7,698 64,076 Funded status $ (3,307 ) $ (7,354 ) $ (10,661 ) $ (6,814 ) $ (7,698 ) $ (14,512 ) |
Schedule of weighted average assets allocation by assets category | As of October 28, 2018 and October 29, 2017 , the weighted average asset allocations by asset category for the Defined Benefit Plans were as follows (in thousands): Investment type October 28, October 29, Equity securities 55 % 58 % Debt securities 7 % 35 % Master limited partnerships 3 % 3 % Cash and cash equivalents 31 % 1 % Real estate 3 % 2 % Other 1 % 1 % Total 100 % 100 % |
Schedule of fair value of separate accounts by assets category | The fair values of the assets of the Defined Benefit Plans at October 28, 2018 and October 29, 2017 , by asset category and by levels of fair value, as further defined in Note 14 — Fair Value of Financial Instruments and Fair Value Measurements were as follows (in thousands): October 28, 2018 October 29, 2017 Asset category Level 1 Level 2 Total Level 1 Level 2 Total Cash and cash equivalents $ 14,774 $ — $ 14,774 $ 463 $ — $ 463 Mutual funds: Growth funds 7,235 — 7,235 7,262 — 7,262 Real estate funds 1,245 — 1,245 1,236 — 1,236 Commodity linked funds 528 — 528 544 — 544 Equity income funds 5,043 — 5,043 4,767 — 4,767 Index funds 3,036 35 3,071 2,763 110 2,873 International equity funds 253 1,543 1,796 260 1,726 1,986 Fixed income funds 1,745 1,518 3,263 1,742 1,739 3,481 Master limited partnerships 1,448 — 1,448 1,506 — 1,506 Government securities — — — — 6,400 6,400 Corporate bonds — — — — 7,301 7,301 Common/collective trusts — 9,322 9,322 — 11,745 11,745 Total $ 35,307 $ 12,418 $ 47,725 $ 20,543 $ 29,021 $ 49,564 |
Schedule of net periodic benefit costs (income) | Net periodic benefit cost (income) —The components of the net periodic benefit cost (income) were as follows (in thousands): October 28, October 29, October 30, Defined OPEB Plans Defined OPEB Plans Defined OPEB Plans Interest cost $ 1,976 $ 247 $ 2,055 $ 257 $ 2,354 $ 261 Service cost 87 28 97 36 137 34 Expected return on assets (2,916 ) — (2,798 ) — (2,979 ) — Amortization of prior service credit 58 — (9 ) — (9 ) — Amortization of net actuarial loss 991 — 1,374 — 1,170 — Net periodic benefit cost $ 196 $ 275 $ 719 $ 293 $ 673 $ 295 |
Schedule of the amounts in AOCI net not yet recognized | The amounts in accumulated other comprehensive income that have not yet been recognized as components of net periodic benefit income are as follows (in thousands): October 28, 2018 October 29, 2017 Defined OPEB Plans Total Defined OPEB Plans Total Unrecognized net actuarial loss $ 10,083 $ 578 $ 10,661 $ 11,468 $ 375 $ 11,843 Unrecognized prior service credit 195 — 195 252 — 252 Total $ 10,278 $ 578 $ 10,856 $ 11,720 $ 375 $ 12,095 |
Schedule of change in plan assets and benefit obligations recognized in OCI | The changes in plan assets and benefit obligation recognized in other comprehensive income are as follows (in thousands): October 28, October 29, October 30, Defined OPEB Plans Defined OPEB Plans Defined OPEB Plans Net actuarial gain (loss) $ 392 $ (203 ) $ 3,144 $ 396 $ (3,443 ) $ (911 ) Amortization of net actuarial loss 991 — 1,374 — 1,170 — Amortization of prior service cost (credit) 58 — (9 ) — (9 ) — New prior service cost — — (276 ) — — — Total recognized in other comprehensive income (loss) $ 1,441 $ (203 ) $ 4,233 $ 396 $ (2,282 ) $ (911 ) |
Schedule of the estimated amortization for the next fiscal year | The estimated amortization for the next fiscal year for amounts reclassified from accumulated other comprehensive income into the consolidated income statement is as follows (in thousands): October 28, 2018 Defined OPEB Plans Total Amortization of prior service credit $ (143 ) $ — $ (143 ) Amortization of net actuarial loss 1,111 — 1,111 Total estimated amortization $ 968 $ — $ 968 |
Schedule of expected benefit payments | We expect the following benefit payments to be made (in thousands): Fiscal years ending Defined OPEB Plans Total 2019 $ 4,222 $ 875 $ 5,097 2020 3,954 798 4,752 2021 3,923 704 4,627 2022 3,847 600 4,447 2023 4,053 609 4,662 2024 - 2028 17,883 2,134 20,017 |
OPERATING SEGMENTS (Tables)
OPERATING SEGMENTS (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Segment Reporting [Abstract] | |
Schedule of segment reporting information, by segment | The following table represents summary financial data attributable to these operating segments for the periods indicated (in thousands): Fiscal Year Ended October 28, October 29, October 30, Total sales: Engineered Building Systems $ 798,299 $ 693,980 $ 672,235 Metal Components 689,344 636,661 586,690 Insulated Metal Panels 504,413 441,404 396,327 Metal Coil Coating 417,296 368,880 346,348 Intersegment sales (408,775 ) (370,647 ) (316,672 ) Total net sales $ 2,000,577 $ 1,770,278 $ 1,684,928 External sales: Engineered Building Systems $ 755,353 $ 659,863 $ 652,471 Metal Components 612,645 544,669 495,020 Insulated Metal Panels 424,762 372,304 347,771 Metal Coil Coating 207,817 193,442 189,666 Total net sales $ 2,000,577 $ 1,770,278 $ 1,684,928 Operating income (loss): Engineered Building Systems $ 66,689 $ 41,388 $ 62,046 Metal Components 87,593 78,768 70,742 Insulated Metal Panels 47,495 47,932 24,620 Metal Coil Coating 28,588 21,459 32,422 Corporate (104,445 ) (79,767 ) (81,051 ) Total operating income $ 125,920 $ 109,780 $ 108,779 Unallocated other expense (42,825 ) (26,642 ) (29,815 ) Income before income taxes $ 83,095 $ 83,138 $ 78,964 Depreciation and amortization: Engineered Building Systems $ 8,627 $ 9,014 $ 9,767 Metal Components 5,817 5,324 4,944 Insulated Metal Panels 17,604 17,907 17,862 Metal Coil Coating 8,488 8,243 8,284 Corporate 1,789 830 1,067 Total depreciation and amortization expense $ 42,325 $ 41,318 $ 41,924 Fiscal Year Ended October 28, October 29, October 30, Capital expenditures: Engineered Building Systems $ 12,433 $ 5,533 $ 7,571 Metal Components 9,507 5,708 3,245 Insulated Metal Panels 5,975 5,731 4,744 Metal Coil Coating 9,028 3,376 2,949 Corporate 10,884 1,726 2,515 Total capital expenditures $ 47,827 $ 22,074 $ 21,024 Property, plant and equipment, net: Engineered Building Systems $ 53,907 $ 46,620 $ 50,862 Metal Components 52,119 49,016 49,654 Insulated Metal Panels 57,415 70,853 76,899 Metal Coil Coating 53,819 50,855 54,407 Corporate 18,980 9,651 10,390 Total property, plant and equipment, net $ 236,240 $ 226,995 $ 242,212 Total assets: Engineered Building Systems $ 225,304 $ 195,426 $ 194,190 Metal Components 226,083 186,369 172,048 Insulated Metal Panels 376,488 380,308 388,183 Metal Coil Coating 196,558 175,046 181,497 Corporate 85,942 93,963 89,478 $ 1,110,375 $ 1,031,112 $ 1,025,396 |
Schedule of disclosure on geographic areas, long-lived assets in individual foreign countries by country | The following table represents summary financial data attributable to various geographic regions for the periods indicated (in thousands): Fiscal Year Ended October 28, October 29, October 30, Total sales: United States of America $ 1,874,129 $ 1,666,645 $ 1,589,479 Canada 99,306 73,090 61,781 China 4 8,923 6,733 Mexico 2,460 4,910 4,060 All other 24,678 16,710 22,875 Total net sales $ 2,000,577 $ 1,770,278 $ 1,684,928 Long-lived assets: United States of America $ 494,425 $ 493,203 $ 523,134 Canada 7,041 8,180 9,247 China — 448 170 Mexico 10,594 10,603 10,701 Total long-lived assets $ 512,060 $ 512,434 $ 543,252 |
QUARTERLY RESULTS (Unaudited) (
QUARTERLY RESULTS (Unaudited) (Tables) | 12 Months Ended |
Oct. 28, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of quarterly financial information | Shown below are selected unaudited quarterly data (in thousands, except per share data): First Second Third Fourth FISCAL YEAR 2018 Sales $ 421,349 $ 457,069 $ 548,525 $ 573,634 Gross profit $ 91,917 $ 104,083 $ 133,401 $ 133,281 Net income (loss) $ 5,249 $ (5,684 ) $ 35,986 $ 27,555 Net income allocated to participating securities $ (38 ) $ — $ (221 ) $ (138 ) Net income (loss) applicable to common shares (3) $ 5,211 $ (5,684 ) $ 35,765 $ 27,417 Income (loss) per common share: (1)(2) Basic $ 0.08 $ (0.09 ) $ 0.54 $ 0.41 Diluted $ 0.08 $ (0.09 ) $ 0.54 $ 0.41 FISCAL YEAR 2017 Sales $ 391,703 $ 420,464 $ 469,385 $ 488,726 Gross profit $ 83,951 $ 100,839 $ 114,969 $ 116,305 Net income $ 2,039 $ 16,974 $ 18,221 $ 17,490 Net income allocated to participating securities $ (8 ) $ (115 ) $ (102 ) $ (78 ) Net income applicable to common shares (3) $ 2,031 $ 16,859 $ 18,119 $ 17,412 Income per common share: (1)(2) Basic $ 0.03 $ 0.24 $ 0.26 $ 0.25 Diluted $ 0.03 $ 0.24 $ 0.25 $ 0.25 (1) The sum of the quarterly income per share amounts may not equal the annual amount reported, as per share amounts are computed independently for each quarter and for the full year based on the respective weighted average common shares outstanding. (2) Excludes net income allocated to participating securities. The participating securities are treated as a separate class in computing earnings per share (see Note 8 — Earnings per Common Share). (3) The quarterly income before income taxes were impacted by the following special income (expense) items: First Second Third Fourth FISCAL YEAR 2018 Loss on extinguishment of debt $ — $ (21,875 ) $ — $ — (Loss) gain on disposition of business — (6,686 ) 1,013 — Restructuring and impairment charges, net (1,094 ) (488 ) 439 (769 ) Strategic development and acquisition related costs (727 ) (1,134 ) (3,642 ) (11,661 ) Acceleration of CEO retirement benefits (4,600 ) — — — Gain on insurance recovery — — 4,741 — Discrete tax effects of U.S. tax reform 323 — — — Total special income (expense) items in income before income taxes $ (6,098 ) $ (30,183 ) $ 2,551 $ (12,430 ) FISCAL YEAR 2017 Goodwill impairment $ — $ — $ — $ (6,000 ) Restructuring charges and impairment charges, net (2,264 ) (315 ) (1,009 ) (1,710 ) Strategic development and acquisition related costs (357 ) (124 ) (1,297 ) (193 ) Loss on sale of assets and asset recovery — (137 ) — — Gain on insurance recovery — 9,601 148 — Unreimbursed business interruption costs — (191 ) (235 ) (28 ) Total special income (expense) items in income before income taxes $ (2,621 ) $ 8,834 $ (2,393 ) $ (7,931 ) |
Schedule of quarterly income effects of special income (expense) items | The quarterly income before income taxes were impacted by the following special income (expense) items: First Second Third Fourth FISCAL YEAR 2018 Loss on extinguishment of debt $ — $ (21,875 ) $ — $ — (Loss) gain on disposition of business — (6,686 ) 1,013 — Restructuring and impairment charges, net (1,094 ) (488 ) 439 (769 ) Strategic development and acquisition related costs (727 ) (1,134 ) (3,642 ) (11,661 ) Acceleration of CEO retirement benefits (4,600 ) — — — Gain on insurance recovery — — 4,741 — Discrete tax effects of U.S. tax reform 323 — — — Total special income (expense) items in income before income taxes $ (6,098 ) $ (30,183 ) $ 2,551 $ (12,430 ) FISCAL YEAR 2017 Goodwill impairment $ — $ — $ — $ (6,000 ) Restructuring charges and impairment charges, net (2,264 ) (315 ) (1,009 ) (1,710 ) Strategic development and acquisition related costs (357 ) (124 ) (1,297 ) (193 ) Loss on sale of assets and asset recovery — (137 ) — — Gain on insurance recovery — 9,601 148 — Unreimbursed business interruption costs — (191 ) (235 ) (28 ) Total special income (expense) items in income before income taxes $ (2,621 ) $ 8,834 $ (2,393 ) $ (7,931 ) |
NATURE OF BUSINESS AND BASIS _2
NATURE OF BUSINESS AND BASIS OF PRESENTATION (Details) | 12 Months Ended |
Oct. 28, 2018operating_segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of operating segments | 4 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Rollforward of Uncollectible Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Beginning balance | $ 8,325 | $ 7,413 | $ 7,695 |
Provision for bad debts | (491) | 1,948 | 1,343 |
Amounts charged against allowance for bad debts, net of recoveries | (1,585) | (1,036) | (1,625) |
Ending balance | $ 6,249 | $ 8,325 | $ 7,413 |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Components of Inventory (Details) - USD ($) $ in Thousands | Oct. 28, 2018 | Oct. 29, 2017 |
Accounting Policies [Abstract] | ||
Raw materials | $ 205,902 | $ 150,919 |
Work in process and finished goods | 48,629 | 47,377 |
Inventory, net | $ 254,531 | $ 198,296 |
SUMMARY OF SIGNIFICANT ACCOUN_6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Rollforward of Reserve for Obsolete Materials and Supplies (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Inventory Obsolescence | |||
Beginning balance | $ 5,205 | $ 3,984 | $ 3,749 |
Provisions | 3,069 | 1,923 | 1,463 |
Dispositions | (1,655) | (702) | (1,228) |
Ending balance | $ 6,619 | $ 5,205 | $ 3,984 |
SUMMARY OF SIGNIFICANT ACCOUN_7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Narrative (Details) | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||||
May 31, 2017USD ($) | Oct. 28, 2018USD ($)warranty_typewarranty_coverage_grade | Jul. 29, 2018USD ($) | Apr. 29, 2018USD ($) | Jan. 28, 2018USD ($) | Oct. 29, 2017USD ($) | Jul. 30, 2017USD ($) | Apr. 30, 2017USD ($) | Jan. 29, 2017USD ($) | Oct. 30, 2016USD ($) | Oct. 28, 2018USD ($)warranty_typewarranty_coverage_grade | Oct. 29, 2017USD ($) | Oct. 30, 2016USD ($) | Jun. 30, 2016USD ($) | |
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Reclassification of property, pant and equipment to assets held for sale | $ 5,000,000 | $ 4,700,000 | ||||||||||||
Carrying value of assets held for sale | $ 7,272,000 | $ 5,582,000 | 7,272,000 | 5,582,000 | ||||||||||
Proceeds from sale of property held-for-sale | 4,100,000 | 3,200,000 | ||||||||||||
Gain (loss) on sale of assets and asset recovery | 0 | $ 0 | $ (137,000) | $ 0 | ||||||||||
Fair value of assets held-for-sale | 5,000,000 | 5,000,000 | ||||||||||||
Depreciation expense | 32,700,000 | 31,700,000 | $ 32,300,000 | |||||||||||
Amount of interest capitalized | 400,000 | 200,000 | 200,000 | |||||||||||
Fixed assets net book value | 236,240,000 | 226,995,000 | $ 242,212,000 | 236,240,000 | 226,995,000 | 242,212,000 | ||||||||
Gain on insurance recovery | $ 0 | $ 4,741,000 | $ 0 | $ 0 | 0 | 148,000 | 9,601,000 | 0 | ||||||
Goodwill impairment | 6,000,000 | $ 0 | 0 | $ 0 | 0 | 6,000,000 | 0 | |||||||
Engineering, selling, general and administrative expenses | 307,106,000 | 293,145,000 | 302,551,000 | |||||||||||
Engineering selling general and administrative costs in inventory amount incurred | $ 2,300,000 | 2,600,000 | ||||||||||||
Product warranty expiration period range start | 2 years | |||||||||||||
Product warranty expiration period range end | 20 years | |||||||||||||
Number of warranty types | warranty_type | 2 | 2 | ||||||||||||
Number of grades of coverage for each warranty type | warranty_coverage_grade | 3 | 3 | ||||||||||||
Number of months leak-free before Company assumes warranty responsibility | 24 months | |||||||||||||
Deferred revenue | $ 25,300,000 | 25,300,000 | ||||||||||||
Reinsurance effect on claims and benefits incurred, amount assumed | $ 355,000 | |||||||||||||
Workers' compensation liability | $ 250,000 | 250,000 | ||||||||||||
Property liability insurances | 500,000 | 500,000 | ||||||||||||
Auto liability insurance | 250,000 | 250,000 | ||||||||||||
General liability insurance | $ 1,000,000 | 1,000,000 | ||||||||||||
Advertising expense | 9,300,000 | 7,100,000 | 7,100,000 | |||||||||||
Allocated share-based compensation expense | 11,600,000 | 10,200,000 | 10,900,000 | |||||||||||
Foreign exchange (loss) gain | (244,000) | 547,000 | (1,401,000) | |||||||||||
Other comprehensive income (loss), foreign currency transaction and translation adjustment, net of tax | (100,000) | 200,000 | (300,000) | |||||||||||
Mexico | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Foreign currency transaction remeasurement losses | 300,000 | 800,000 | ||||||||||||
Canada | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Foreign exchange (loss) gain | (200,000) | 800,000 | (600,000) | |||||||||||
Computer software, intangible asset | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Depreciation expense | $ 5,800,000 | 5,800,000 | 6,400,000 | |||||||||||
Computer software, intangible asset | Minimum | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Property, plant and equipment, useful life | 3 years | |||||||||||||
Computer software, intangible asset | Maximum | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Property, plant and equipment, useful life | 7 years | |||||||||||||
Stock Awards And Stock Options | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Allocated share-based compensation expense | $ 11,600,000 | 10,200,000 | 10,900,000 | |||||||||||
Purchasing cost | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Engineering, selling, general and administrative expenses | 3,900,000 | 3,900,000 | 5,300,000 | |||||||||||
Engineering and drafting cost | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Engineering, selling, general and administrative expenses | 41,100,000 | 43,100,000 | 44,200,000 | |||||||||||
Metal Components | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Goodwill impairment | 0 | |||||||||||||
Insulated Metal Panels | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Goodwill impairment | 0 | |||||||||||||
Discontinued operations held-for-sale | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Gain (loss) on sale of assets and asset recovery | 500,000 | (200,000) | ||||||||||||
Natural disasters and other casualty events | Metal Components | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Fixed assets net book value | $ 6,700,000 | |||||||||||||
Insurance proceeds received | $ 8,000,000 | 18,000,000 | $ 10,000,000 | |||||||||||
Natural disasters and other casualty events | Insulated Metal Panels | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Gain on insurance recovery | 4,700,000 | |||||||||||||
Final proceeds received as reimbursement for new assets acquired | $ 4,700,000 | |||||||||||||
Cost of sales | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Allocated share-based compensation expense | 900,000 | 1,000,000 | $ 1,100,000 | |||||||||||
Cost of sales | Natural disasters and other casualty events | Metal Components | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Insurance proceeds received | $ 8,800,000 | |||||||||||||
Other operating income (expense) | Natural disasters and other casualty events | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Gain on insurance recovery | $ 9,200,000 | |||||||||||||
Former CEO | Stock Awards And Stock Options | ||||||||||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||||||||||
Allocated share-based compensation expense | $ 3,600,000 |
SUMMARY OF SIGNIFICANT ACCOUN_8
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Summary of Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 |
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 696,171 | $ 669,861 | |
Less: accumulated depreciation | (459,931) | (442,866) | |
Property, plant and equipment, net | 236,240 | 226,995 | $ 242,212 |
Land | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 17,398 | 18,473 | |
Buildings and improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 172,920 | 178,019 | |
Machinery, equipment and furniture | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 356,509 | 336,163 | |
Transportation equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 4,287 | 4,599 | |
Computer software and equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 116,449 | 117,515 | |
Construction in progress | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 28,608 | $ 15,092 |
SUMMARY OF SIGNIFICANT ACCOUN_9
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Estimated Useful Lives for Depreciation (Details) | 12 Months Ended |
Oct. 28, 2018 | |
Buildings and improvements | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 15 years |
Buildings and improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 39 years |
Machinery, equipment and furniture | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Machinery, equipment and furniture | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 15 years |
Transportation equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 4 years |
Transportation equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 10 years |
Computer software and equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Computer software and equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 7 years |
ACCOUNTING PRONOUNCEMENTS (Deta
ACCOUNTING PRONOUNCEMENTS (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Deferred income taxes | $ 982 | $ 2,544 | |
Payments related to tax withholding for share-based compensation | $ 5,068 | 2,389 | $ 1,141 |
Accounting Standards Update 2015-17 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Deferred tax assets | (20,100) | ||
Deferred tax liabilities | 20,100 | ||
Accounting Standards Update 2016-09 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Decrease in excess tax benefits (shortfalls) from SBC arrangements, financing activities | 1,500 | (300) | |
Increase in excess tax benefits (shortfalls) from SBC arrangements, operating activities | 1,500 | $ (300) | |
Retained Earnings (Deficit) | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Cumulative effect of accounting change | (1,351) | ||
Retained Earnings (Deficit) | Accounting Standards Update 2016-09 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Cumulative effect of accounting change | $ (1,400) |
ACQUISITION - Narrative (Detai
ACQUISITION - Narrative (Details) - USD ($) $ in Thousands | Nov. 03, 2015 | Jan. 31, 2016 | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 |
Business Acquisition [Line Items] | |||||
Gain from bargain purchase | $ 0 | $ 0 | $ 1,864 | ||
Fiscal 2016 - Acquisition, Hamilton, Canada - Manufacturing Operations | |||||
Business Acquisition [Line Items] | |||||
Cash to acquire general partnership interests | $ 2,200 | ||||
Gain from bargain purchase | $ 1,864 | $ 1,900 |
ACQUISITION - Fair Values of A
ACQUISITION - Fair Values of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | Nov. 03, 2015 | Jan. 31, 2016 | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 |
Business Combination Segment Allocation [Line Items] | |||||
Gain from bargain purchase | $ 0 | $ 0 | $ (1,864) | ||
Fiscal 2016 - Acquisition, Hamilton, Canada - Manufacturing Operations | |||||
Business Combination Segment Allocation [Line Items] | |||||
Current assets | $ 307 | ||||
Property, plant and equipment | 4,810 | ||||
Assets acquired | 5,117 | ||||
Current liabilities assumed | 380 | ||||
Fair value of net assets acquired | 4,737 | ||||
Total cash consideration transferred | 2,201 | ||||
Deferred tax liabilities | 672 | ||||
Gain from bargain purchase | $ (1,864) | $ (1,900) |
RESTRUCTURING - Narrative (Det
RESTRUCTURING - Narrative (Details) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018USD ($) | Oct. 29, 2017USD ($) | Oct. 30, 2016USD ($)manufacturing_facility | |
Business Combination Segment Allocation [Line Items] | |||
Restructuring costs | $ 1,527 | $ 4,700 | $ 3,600 |
Restructuring and related activities, completion period | 3 months | ||
Engineered Building Systems | |||
Business Combination Segment Allocation [Line Items] | |||
Restructuring costs | $ 1,300 | 3,200 | 1,000 |
Insulated Metal Panels | |||
Business Combination Segment Allocation [Line Items] | |||
Restructuring costs | 1,300 | ||
Corporate | |||
Business Combination Segment Allocation [Line Items] | |||
Restructuring costs | 100 | 300 | 900 |
Metal Components | |||
Business Combination Segment Allocation [Line Items] | |||
Restructuring costs | $ 1,200 | $ 1,700 | |
Number of manufacturing facilities closed | manufacturing_facility | 2 | ||
Other restructuring costs | |||
Business Combination Segment Allocation [Line Items] | |||
Restructuring costs | 102 | $ 600 | |
Manufacturing Facility | Engineered Building Systems | |||
Business Combination Segment Allocation [Line Items] | |||
Gain (loss) on sale of facility | 1,200 | ||
Manufacturing Facility | Metal Components | |||
Business Combination Segment Allocation [Line Items] | |||
Gain (loss) on sale of facility | $ 1,200 |
RESTRUCTURING - Summary of Res
RESTRUCTURING - Summary of Restructuring Plan Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs | $ 1,527 | $ 4,700 | $ 3,600 |
Costs Incurred To Date (since inception) | 21,050 | ||
General severance | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs | 2,272 | ||
Costs Incurred To Date (since inception) | 11,234 | ||
Plant closing severance | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs | 31 | ||
Costs Incurred To Date (since inception) | 3,310 | ||
Asset impairments | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs | 1,171 | ||
Costs Incurred To Date (since inception) | 7,140 | ||
Gain on sale of facility | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs | (2,049) | ||
Costs Incurred To Date (since inception) | (2,049) | ||
Other restructuring costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs | 102 | $ 600 | |
Costs Incurred To Date (since inception) | $ 1,415 |
RESTRUCTURING - Summary of Sev
RESTRUCTURING - Summary of Severance Liability and Cash Payments (Details) $ in Thousands | 12 Months Ended | ||||
Oct. 28, 2018USD ($) | Oct. 29, 2017USD ($) | Oct. 30, 2016USD ($) | Nov. 01, 2015USD ($) | May 03, 2015installment | |
Restructuring Reserve [Roll Forward] | |||||
Beginning Balance | $ 283 | $ 482 | $ 1,685 | $ 0 | |
Costs incurred | 2,303 | 3,889 | 2,890 | 5,462 | |
Cash payments | (2,165) | (4,088) | (4,093) | (4,516) | |
Accrued severance | 739 | ||||
Ending Balance | 421 | 283 | 482 | 1,685 | |
Severance benefit payment, number of installments | installment | 2 | ||||
General Severance | |||||
Restructuring Reserve [Roll Forward] | |||||
Beginning Balance | 283 | 482 | 1,685 | 0 | |
Costs incurred | 2,272 | 2,350 | 2,725 | 3,887 | |
Cash payments | (2,134) | (2,549) | (3,928) | (2,941) | |
Accrued severance | 739 | ||||
Ending Balance | 421 | 283 | 482 | 1,685 | |
Plant closing severance | |||||
Restructuring Reserve [Roll Forward] | |||||
Beginning Balance | 0 | 0 | 0 | 0 | |
Costs incurred | 31 | 1,539 | 165 | 1,575 | |
Cash payments | (31) | (1,539) | (165) | (1,575) | |
Accrued severance | 0 | ||||
Ending Balance | $ 0 | $ 0 | 0 | $ 0 | |
One-time termination benefits | |||||
Restructuring Reserve [Roll Forward] | |||||
Amortization | $ 700 |
GOODWILL AND OTHER INTANGIBLE_3
GOODWILL AND OTHER INTANGIBLE ASSETS - Carrying Amount of Goodwill by Operating Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||
Oct. 29, 2017 | Jul. 30, 2017 | Apr. 30, 2017 | Jan. 29, 2017 | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Goodwill [Roll Forward] | |||||||
Beginning Balance | $ 154,271 | $ 148,291 | $ 154,271 | ||||
Impairment | $ (6,000) | $ 0 | $ 0 | 0 | 0 | (6,000) | $ 0 |
Other, net | 20 | ||||||
Ending Balance | 148,291 | 148,291 | 148,291 | 154,271 | |||
Ending Balance | 148,291 | 154,271 | 148,291 | 154,271 | 154,271 | ||
CENTRIA | |||||||
Goodwill [Roll Forward] | |||||||
Impairment | (6,000) | ||||||
Engineered Building Systems | |||||||
Goodwill [Roll Forward] | |||||||
Beginning Balance | 14,310 | 14,310 | 14,310 | ||||
Impairment | 0 | ||||||
Other, net | 0 | ||||||
Ending Balance | 14,310 | 14,310 | 14,310 | 14,310 | |||
Ending Balance | 14,310 | 14,310 | 14,310 | 14,310 | 14,310 | ||
Metal Components | |||||||
Goodwill [Roll Forward] | |||||||
Beginning Balance | 7,110 | 7,110 | 7,110 | ||||
Impairment | 0 | ||||||
Other, net | 0 | ||||||
Ending Balance | 7,110 | 7,110 | 7,110 | 7,110 | |||
Ending Balance | 7,110 | 7,110 | 7,110 | 7,110 | 7,110 | ||
Insulated Metal Panels | |||||||
Goodwill [Roll Forward] | |||||||
Beginning Balance | 121,444 | 121,464 | 121,444 | ||||
Impairment | 0 | ||||||
Other, net | 20 | ||||||
Ending Balance | 121,464 | 121,464 | 121,464 | 121,444 | |||
Ending Balance | 121,464 | 121,444 | 121,464 | 121,444 | 121,444 | ||
Metal Coil Coating | |||||||
Goodwill [Roll Forward] | |||||||
Beginning Balance | 11,407 | 5,407 | 11,407 | ||||
Impairment | (6,000) | ||||||
Other, net | 0 | ||||||
Ending Balance | 5,407 | 5,407 | 5,407 | 11,407 | |||
Ending Balance | $ 5,407 | $ 11,407 | $ 5,407 | $ 11,407 | $ 11,407 |
GOODWILL AND OTHER INTANGIBLE_4
GOODWILL AND OTHER INTANGIBLE ASSETS - Narrative (Details) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018USD ($)reporting_unit | Oct. 29, 2017USD ($) | Oct. 30, 2016USD ($) | |
Goodwill [Line Items] | |||
Number of reporting units | 6 | ||
Acquired finite-lived intangible assets, weighted average useful life | 14 years 73 days | 15 years | |
Intangible asset amortization | $ | $ 9,648 | $ 9,620 | $ 9,638 |
Engineered Building Systems | |||
Goodwill [Line Items] | |||
Number of reporting units | 1 | ||
Metal Components | |||
Goodwill [Line Items] | |||
Number of reporting units | 2 | ||
Insulated Metal Panels | |||
Goodwill [Line Items] | |||
Number of reporting units | 2 | ||
Metal Coil Coating | |||
Goodwill [Line Items] | |||
Number of reporting units | 1 |
GOODWILL AND OTHER INTANGIBLE_5
GOODWILL AND OTHER INTANGIBLE ASSETS - Intangible Asset Activity (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Oct. 28, 2018 | Oct. 29, 2017 | |
Goodwill [Line Items] | ||
Amortized intangible assets | $ 165,377 | $ 165,377 |
Accumulated amortization | (51,303) | (41,684) |
Net book value | 114,074 | 123,693 |
Trade names | 13,455 | 13,455 |
Total intangible assets at net book value | 127,529 | 137,148 |
Customer lists and relationships | ||
Goodwill [Line Items] | ||
Amortized intangible assets | 136,210 | 136,210 |
Accumulated amortization | $ (38,646) | (30,971) |
Trade names | ||
Goodwill [Line Items] | ||
Finite-lived intangible asset, useful life | 15 years | |
Amortized intangible assets | $ 29,167 | 29,167 |
Accumulated amortization | $ (12,657) | $ (10,713) |
Minimum | Customer lists and relationships | ||
Goodwill [Line Items] | ||
Finite-lived intangible asset, useful life | 12 years | |
Maximum | Customer lists and relationships | ||
Goodwill [Line Items] | ||
Finite-lived intangible asset, useful life | 20 years |
GOODWILL AND OTHER INTANGIBLE_6
GOODWILL AND OTHER INTANGIBLE ASSETS - Amortization Expense Over Next Five Fiscal Years (Details) $ in Thousands | Oct. 28, 2018USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2,019 | $ 9,620 |
2,020 | 9,327 |
2,021 | 9,064 |
2,022 | 8,721 |
2,023 | $ 8,667 |
SHARE-BASED COMPENSATION - Nar
SHARE-BASED COMPENSATION - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands | Dec. 15, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Common shares effective date of incentive plan | 10 years | |||||||
Award termination period after termination of employment or service | 30 days | |||||||
Award termination period after death | 1 year | |||||||
Award termination period after disability or retirement | 5 years | |||||||
Award vesting period | 3 years | |||||||
Stock options exercises (in shares) | 115,424 | 182,923 | 1,418,219 | |||||
Cash received from option exercises | $ 1,279 | $ 1,651 | $ 12,612 | |||||
Intrinsic value of options exercised | 800 | $ 1,400 | $ 9,900 | |||||
Stock options granted (in shares) | 10,424 | 28,535 | ||||||
Average grant-date fair value of options (in dollars per share) | $ 6.59 | $ 5.38 | ||||||
Capitalized amount of share-based compensation cost in inventory | 0 | |||||||
Income tax benefits recognized as result of operations for share-based compensation arrangement | $ 3,200 | $ 4,000 | $ 4,200 | |||||
Employee stock options | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Award termination period for incentive stock options | 1 year | |||||||
Incentive Plan | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Shares available under Incentive Plan | 3,771,000 | 2,287,000 | ||||||
Performance-Based | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Award vesting period | 3 years | |||||||
Percentage of shares vested at end of performance period | 69.40% | |||||||
Performance-Based | 2014 Executive Awards | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Fair value of PSUs granted | $ 3,800 | $ 4,600 | 4,700 | |||||
Market-Based | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Award vesting period | 3 years | |||||||
Restricted Stock | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Fair value of PSUs granted | $ 7,100 | 4,500 | 4,200 | |||||
Restricted Stock | 2014 Executive Awards | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Allocation percent of awards by value, of the long-term incentive awards plan | 40.00% | |||||||
Restricted Stock | Key Employee Awards | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of performance share awards paid in stock | 50.00% | |||||||
Performance Share Awards | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Award vesting period | 3 years | |||||||
Fair value of PSUs granted | $ 2,800 | $ 2,000 | $ 2,400 | |||||
Performance Share Awards | 2014 Executive Awards | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Allocation percent of awards by value, of the long-term incentive awards plan | 60.00% | |||||||
Performance metric, cumulative free cash flow, percent | 40.00% | |||||||
Performance metric, cumulative earnings per share, percent | 40.00% | |||||||
Performance metric, total shareholder return, percent | 20.00% | |||||||
Minimum percentage of targeted number of shares | 0.00% | |||||||
Maximum percentage of targeted number of shares | 200.00% | |||||||
Stock issued during period, share-based compensation | 100,000 | |||||||
Performance Share Awards | Key Employee Awards | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of performance share awards paid in stock | 50.00% | |||||||
December 15, 2016 | Restricted Stock | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of shares vested at end of performance period | 66.67% | |||||||
December 15, 2016 | Performance Share Awards | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of shares vested at end of performance period | 50.00% | |||||||
December 15, 2017 | Restricted Stock | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of shares vested at end of performance period | 33.33% | |||||||
December 15, 2017 | Performance Share Awards | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of shares vested at end of performance period | 50.00% | |||||||
Non officer | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Forfeiture rate | 5.00% | 5.00% | ||||||
Officer | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Forfeiture rate | 0.00% | 0.00% | ||||||
Officer | Performance-Based | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Award vesting period | 3 years | |||||||
Officer | Vesting period, year one | Restricted Stock | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of shares vested at end of performance period | 33.33% | 33.33% | 33.33% | |||||
Officer | Vesting period, year two | Restricted Stock | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of shares vested at end of performance period | 33.33% | 33.33% | 33.33% | |||||
Officer | Vesting period, year three | Restricted Stock | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of shares vested at end of performance period | 33.33% | 33.33% | 33.33% | |||||
Minimum | Employee stock options | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Award vesting period | 3 years | |||||||
Minimum | Time-Based | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Award vesting period | 3 years | |||||||
Minimum | Performance Share Awards | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Number of actual shares to be awarded, range of target amounts | 0.00% | |||||||
Percentage of shares vested at end of performance period | 50.00% | |||||||
Maximum | Employee stock options | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Award vesting period | 4 years | |||||||
Maximum | Time-Based | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Award vesting period | 4 years | |||||||
Maximum | Performance Share Awards | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Number of actual shares to be awarded, range of target amounts | 150.00% |
SHARE-BASED COMPENSATION - Wei
SHARE-BASED COMPENSATION - Weighted Average Assumptions for Equity Awards Granted (Details) | Dec. 15, 2016 | Dec. 15, 2015 |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||
Expected volatility | 42.63% | 43.71% |
Expected term (in years) | 5 years 6 months | 5 years 6 months |
Risk-free interest rate | 2.15% | 1.77% |
SHARE-BASED COMPENSATION - Sum
SHARE-BASED COMPENSATION - Summary of Stock Option Transactions (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Number of Shares | |||
Beginning balance, number of shares | 336,000 | 508,000 | 1,904,000 |
Granted, number shares | 11,000 | 29,000 | |
Exercised, number of shares | (115,424) | (182,923) | (1,418,219) |
Cancelled, number of shares | (6,000) | (7,000) | |
Ending balance, number of shares | 215,000 | 336,000 | 508,000 |
Exercisable, number of shares | 212,000 | ||
Weighted Average Exercise Price | |||
Beginning balance, weighted-average exercise price (in dollars per share) | $ 11.06 | $ 10.24 | $ 9.85 |
Granted, weighted-average exercise price (in dollars per share) | 15.70 | 12.76 | |
Exercised, weighted-average exercise price (in dollars per share) | (11.09) | (9.03) | (8.89) |
Cancelled, weighted-average exercise price (in dollars per share) | (15.70) | (227.21) | |
Ending balance, weighted-average exercise price (in dollars per share) | 10.94 | $ 11.06 | $ 10.24 |
Exercise, weighted-average exercise price (in dollars per share) | $ 10.86 | ||
Stock Option Transactions | |||
Weighted average remaining life (in years) | 2 years 314 days | ||
Exercisable, weighted average remaining life (in years) | 2 years 299 days | ||
Balance, aggregate intrinsic value | $ 428 | ||
Exercisable, aggregate intrinsic value | $ 428 |
SHARE-BASED COMPENSATION - Add
SHARE-BASED COMPENSATION - Additional Information Concerning Outstanding Options (Details) - $ / shares shares in Thousands | 12 Months Ended | |||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | Nov. 01, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options outstanding, number of options | 215 | 336 | 508 | 1,904 |
Options outstanding, weighted average remaining life (in years) | 2 years 314 days | |||
Options outstanding, weighted average exercise price (in dollars per share) | $ 10.94 | $ 11.06 | $ 10.24 | $ 9.85 |
Options exercisable, number of options | 212 | |||
Options exercisable, weighted average exercise price (in dollars per share) | $ 10.86 | |||
Stock Option 1 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options outstanding, number of options | 194 | |||
Options outstanding, weighted average remaining life (in years) | 2 years 175 days | |||
Options outstanding, weighted average exercise price (in dollars per share) | $ 10.30 | |||
Options exercisable, number of options | 194 | |||
Options exercisable, weighted average exercise price (in dollars per share) | $ 10.30 | |||
Stock Option 2 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options outstanding, number of options | 21 | |||
Options outstanding, weighted average remaining life (in years) | 6 years 142 days | |||
Options outstanding, weighted average exercise price (in dollars per share) | $ 16.90 | |||
Options exercisable, number of options | 18 | |||
Options exercisable, weighted average exercise price (in dollars per share) | $ 16.88 |
SHARE-BASED COMPENSATION - Fai
SHARE-BASED COMPENSATION - Fair Value and Cash Value of Performance Share Awards Granted (Details) - Performance Share Awards - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Equity fair value | $ 2.8 | $ 2 | $ 2.4 |
Cash value | $ 0 | $ 2 | $ 2.1 |
SHARE-BASED COMPENSATION - Res
SHARE-BASED COMPENSATION - Restricted Stock and Performance Award Transactions (Details) - $ / shares shares in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Time-Based | |||
Number of Shares | |||
Number of shares, beginning balance | 628 | 762 | 828 |
Number of shares, granted | 367 | 285 | 329 |
Number of shares, vested | (423) | (392) | (335) |
Number of shares, forfeited | (64) | (27) | (60) |
Number of shares, ending balance | 508 | 628 | 762 |
Weighted Average Grant Price | |||
Weighted average grant price, beginning balance (in dollars per share) | $ 15.21 | $ 14.91 | $ 15.87 |
Weighted average grant price, granted (in dollars per share) | 19.37 | 15.84 | 12.64 |
Weighted average grant price, vested (in dollars per share) | 15.67 | 15.14 | 15.09 |
Weighted average grant price, forfeited (in dollars per share) | 17.15 | 14.41 | 14.33 |
Weighted average grant price, ending balance (in dollars per share) | $ 17.58 | $ 15.21 | $ 14.91 |
Performance-Based | |||
Number of Shares | |||
Number of shares, beginning balance | 872 | 799 | 343 |
Number of shares, granted | 281 | 362 | 516 |
Number of shares, vested | (94) | (165) | 0 |
Number of shares, forfeited | (183) | (124) | (60) |
Number of shares, ending balance | 876 | 872 | 799 |
Weighted Average Grant Price | |||
Weighted average grant price, beginning balance (in dollars per share) | $ 14.76 | $ 14.82 | $ 17.19 |
Weighted average grant price, granted (in dollars per share) | 19.65 | 15.70 | 12.76 |
Weighted average grant price, vested (in dollars per share) | 17.07 | 16.07 | 0 |
Weighted average grant price, forfeited (in dollars per share) | 16.26 | 15.88 | 15.22 |
Weighted average grant price, ending balance (in dollars per share) | $ 16.14 | $ 14.76 | $ 14.82 |
Market-Based | |||
Number of Shares | |||
Number of shares, beginning balance | 144 | 107 | 40 |
Number of shares, granted | 44 | 58 | 71 |
Number of shares, vested | 0 | 0 | 0 |
Number of shares, forfeited | (43) | (21) | (4) |
Number of shares, ending balance | 145 | 144 | 107 |
Weighted Average Grant Price | |||
Weighted average grant price, beginning balance (in dollars per share) | $ 15.15 | $ 14.02 | $ 11.78 |
Weighted average grant price, granted (in dollars per share) | 19.65 | 16.03 | 14.60 |
Weighted average grant price, vested (in dollars per share) | 0 | 0 | 0 |
Weighted average grant price, forfeited (in dollars per share) | 16.49 | 11.51 | 13.81 |
Weighted average grant price, ending balance (in dollars per share) | $ 16.02 | $ 15.15 | $ 14.02 |
SHARE-BASED COMPENSATION - Sch
SHARE-BASED COMPENSATION - Schedules of Employee Service Share-Based Compensation, Allocation of Recognized Period Costs (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized [Abstract] | |||
Allocated share-based compensation expense | $ 11.6 | $ 10.2 | $ 10.9 |
Unrecognized compensation cost related to stock option share-based compensation arrangements | 11.8 | ||
Employee stock options | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized [Abstract] | |||
Employee service share-based compensation, nonvested awards, compensation not yet recognized, stock options | $ 0 | ||
Weighted Average Remaining Years | 47 days | ||
Time-based restricted stock | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized [Abstract] | |||
Employee service share-based compensation, nonvested awards, compensation not yet recognized, share-based awards other than options | $ 4.8 | ||
Weighted Average Remaining Years | 1 year 329 days | ||
Performance- and market-based restricted stock | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized [Abstract] | |||
Employee service share-based compensation, nonvested awards, compensation not yet recognized, share-based awards other than options | $ 7 | ||
Weighted Average Remaining Years | 1 year 318 days | ||
Cost of goods sold | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized [Abstract] | |||
Allocated share-based compensation expense | $ 0.9 | 1 | 1.1 |
Engineering, selling, general and administrative | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized [Abstract] | |||
Allocated share-based compensation expense | $ 10.7 | $ 9.2 | $ 9.8 |
EARNINGS PER COMMON SHARE (Deta
EARNINGS PER COMMON SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Oct. 28, 2018 | Jul. 29, 2018 | Apr. 29, 2018 | Jan. 28, 2018 | Oct. 29, 2017 | Jul. 30, 2017 | Apr. 30, 2017 | Jan. 29, 2017 | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Numerator for Basic and Diluted Earnings Per Common Share: | |||||||||||
Net income applicable to common shares | $ 27,417 | $ 35,765 | $ (5,684) | $ 5,211 | $ 17,412 | $ 18,119 | $ 16,859 | $ 2,031 | $ 62,694 | $ 54,399 | $ 50,638 |
Denominator for Basic and Diluted Earnings Per Common Share: | |||||||||||
Weighted average basic number of common shares outstanding | 66,260 | 70,629 | 72,411 | ||||||||
Common stock equivalents: | |||||||||||
Weighted average diluted number of common shares outstanding (in shares) | 66,362 | 70,778 | 72,857 | ||||||||
Basic earnings per common share (in usd per share) | $ 0.41 | $ 0.54 | $ (0.09) | $ 0.08 | $ 0.25 | $ 0.26 | $ 0.24 | $ 0.03 | $ 0.95 | $ 0.77 | $ 0.70 |
Diluted earnings per common share (in usd per share) | $ 0.41 | $ 0.54 | $ (0.09) | $ 0.08 | $ 0.25 | $ 0.25 | $ 0.24 | $ 0.03 | $ 0.94 | $ 0.77 | $ 0.70 |
Incentive Plan securities excluded from dilution (in shares) | 1 | 0 | 195 | ||||||||
PSUs and Performance Share Awards | |||||||||||
Common stock equivalents: | |||||||||||
Weighted average number diluted shares outstanding adjustment (in shares) | 13 | 25 | 0 | ||||||||
Employee stock options | |||||||||||
Common stock equivalents: | |||||||||||
Weighted average number diluted shares outstanding adjustment (in shares) | 89 | 124 | 446 |
OTHER ACCRUED EXPENSES (Details
OTHER ACCRUED EXPENSES (Details) - USD ($) $ in Thousands | Oct. 28, 2018 | Oct. 29, 2017 |
Payables and Accruals [Abstract] | ||
Accrued warranty obligation and deferred warranty revenue | $ 7,005 | $ 7,082 |
Deferred revenue | 21,040 | 28,295 |
Other accrued expenses | 53,839 | 41,520 |
Total other accrued expenses | $ 81,884 | $ 76,897 |
WARRANTY (Details)
WARRANTY (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Oct. 28, 2018 | Oct. 29, 2017 | |
Movement in Standard Product Warranty Accrual [Roll Forward] | ||
Beginning balance | $ 32,418 | $ 33,122 |
Warranties sold | 3,297 | 2,149 |
Revenue recognized | (2,656) | (2,323) |
Cost incurred and other | (2,400) | (530) |
Ending balance | 30,659 | 32,418 |
Standard and extended product warranty accrual, current | 7,005 | 7,082 |
Total warranty reserve, less current portion | $ 23,654 | $ 25,336 |
LONG-TERM DEBT AND NOTE PAYAB_3
LONG-TERM DEBT AND NOTE PAYABLE - Schedule of Debt (Details) - USD ($) $ in Thousands | Oct. 28, 2018 | Feb. 08, 2018 | Oct. 29, 2017 | Jan. 16, 2015 |
Debt Instrument [Line Items] | ||||
Long-term debt, gross | $ 412,925 | |||
Unamortized deferred financing cost | 5,699 | $ 6,857 | ||
Long-term debt, net | 407,226 | 387,290 | ||
Less: current portion of long-term debt | 4,150 | 0 | ||
Total long-term debt, less current portion | 403,076 | 387,290 | ||
Term loan credit agreement, due 2025 and 2022 | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, gross | 412,925 | 144,147 | ||
8.25% Senior notes due January 2023 | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, gross | 0 | 250,000 | ||
Long-term debt, net | 0 | $ 250,000 | ||
Debt instrument stated rate | 8.25% | 8.25% | 8.25% | |
Asset-based lending credit facility, due 2023 and 2019 | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, gross | 0 | $ 0 | ||
Other Assets | ABL Facility | Asset-based lending credit facility, due 2023 and 2019 | ||||
Debt Instrument [Line Items] | ||||
Unamortized deferred financing costs | $ 1,100 | $ 700 |
LONG-TERM DEBT AND NOTE PAYAB_4
LONG-TERM DEBT AND NOTE PAYABLE - Schedule of Debt Maturity (Details) $ in Thousands | Oct. 28, 2018USD ($) |
Debt Disclosure [Abstract] | |
2,019 | $ 4,150 |
2,020 | 4,150 |
2,021 | 4,150 |
2,022 | 4,150 |
2023 and thereafter | 396,325 |
Long-term debt | $ 412,925 |
LONG-TERM DEBT AND NOTE PAYAB_5
LONG-TERM DEBT AND NOTE PAYABLE - Narrative (Details) | Feb. 08, 2018USD ($) | Oct. 28, 2018USD ($) | Jul. 29, 2018USD ($) | Apr. 29, 2018USD ($) | Jan. 28, 2018USD ($) | Jul. 29, 2018 | Oct. 28, 2018USD ($) | Oct. 29, 2017USD ($) | Oct. 30, 2016USD ($) | Oct. 15, 2018USD ($) | Apr. 12, 2018USD ($) | Jan. 16, 2015USD ($) |
Line of Credit Facility [Line Items] | ||||||||||||
Loss on extinguishment of debt | $ 0 | $ 0 | $ 21,875,000 | $ 0 | $ 21,875,000 | $ 0 | $ 0 | |||||
Note payable | 497,000 | 497,000 | 440,000 | |||||||||
ABL Facility | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Line of credit facility, remaining borrowing capacity | 141,000,000 | 141,000,000 | 140,000,000 | |||||||||
Line of credit facility, amount outstanding | 9,000,000 | 9,000,000 | $ 10,000,000 | |||||||||
Minimum borrowing capacity | $ 14,100,000 | $ 14,100,000 | ||||||||||
Consolidated total net debt to EBITDA leverage ratio | 7.70 | |||||||||||
Minimum | ABL Facility | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Amended net debt to EBITDA leverage ratio | 1 | |||||||||||
Term Loan Credit Facility, due 2025 | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Term loan credit facility, aggregate principal amount | $ 415,000,000 | |||||||||||
Installment payment as a percentage of principal | 1.00% | |||||||||||
Debt instrument, repricing premium | 1.00% | |||||||||||
Mandatory prepayment, percentage of certain asset sales | 50.00% | |||||||||||
Mandatory prepayment, percentage of annual excess cash flow | 50.00% | |||||||||||
Secured debt, percentage of capital stock held by foreign subsidiary | 65.00% | |||||||||||
Alternate base rate percentage | 1.00% | |||||||||||
Debt instrument, interest rate, effective percentage | 4.24% | 4.24% | ||||||||||
8.25% Senior notes due January 2023 | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Debt instrument stated rate | 8.25% | 8.25% | 8.25% | |||||||||
Debt instrument, interest rate, effective percentage | 8.25% | |||||||||||
Senior notes, aggregate principal amount | $ 250,000,000 | $ 250,000,000 | ||||||||||
Repayments of debt | $ 265,500,000 | |||||||||||
Loss on extinguishment of debt | $ 21,900,000 | |||||||||||
Redemption premium paid | 15,500,000 | |||||||||||
Base Rate | Maximum | ABL Facility | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Basis spread on variable rate | 0.75% | |||||||||||
Base Rate | Minimum | ABL Facility | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Basis spread on variable rate | 0.25% | |||||||||||
Base Rate | Term Loan Credit Facility, due 2025 | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Basis spread on variable rate | 1.00% | |||||||||||
London Interbank Offered Rate (LIBOR) | Maximum | ABL Facility | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Basis spread on variable rate | 1.75% | |||||||||||
London Interbank Offered Rate (LIBOR) | Minimum | ABL Facility | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Basis spread on variable rate | 1.25% | |||||||||||
London Interbank Offered Rate (LIBOR) | Term Loan Credit Facility, due 2025 | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Basis spread on variable rate | 2.00% | |||||||||||
Revolving Credit Facility | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Revolving loans outstanding | $ 0 | $ 0 | $ 0 | |||||||||
Revolving Credit Facility | ABL Facility | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Line of credit facility, maximum borrowing capacity | $ 150,000,000 | $ 396,000,000 | $ 360,000,000 | |||||||||
Letter of Credit | ABL Facility | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Line of credit facility, maximum borrowing capacity | 30,000,000 | |||||||||||
Swingline Borrowings | ABL Facility | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Line of credit facility, maximum borrowing capacity | $ 20,000,000 | |||||||||||
Leverage Ratio Target Achieve | Term Loan Credit Facility, due 2025 | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Mandatory prepayment, percentage of certain asset sales | 0.00% | |||||||||||
Mandatory prepayment, percentage of annual excess cash flow | 0.00% | |||||||||||
Commitment Fee Percentage One | Revolving Credit Facility | ABL Facility | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Unused commitment fee, as a percent | 0.25% | |||||||||||
Commitment Fee Percentage Two | Revolving Credit Facility | ABL Facility | ||||||||||||
Line of Credit Facility [Line Items] | ||||||||||||
Unused commitment fee, as a percent | 0.35% |
CD&R FUND VIII Investor Group (
CD&R FUND VIII Investor Group (Details) - USD ($) $ / shares in Units, $ in Thousands | Dec. 11, 2017 | Jul. 25, 2016 | Jul. 18, 2016 | Jan. 31, 2014 | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 |
Schedule Of Cumulative Convertible Preferred Stock [Line Items] | |||||||
Stock issued during period, value, new issues | $ 700 | ||||||
Common stock repurchased (in shares) | 2,700,000 | 2,800,000 | 1,600,000 | ||||
Payments for repurchase of common stock | $ 45,000 | $ 46,705 | $ 41,214 | $ 62,874 | |||
Underwriter | |||||||
Schedule Of Cumulative Convertible Preferred Stock [Line Items] | |||||||
Stock issued during period, shares, new issues | 10,350,000 | ||||||
Stock issued during period, value, new issues | $ 160,100 | ||||||
CDR Fund VIII Investor Group | |||||||
Schedule Of Cumulative Convertible Preferred Stock [Line Items] | |||||||
Stock issued during period, shares, new issues | 9,000,000 | 8,500,000 | |||||
Common stock, par value, new issues (in usd per share) | $ 16.15 | $ 18 | |||||
Additional number of shares issued | 1,350,000 | 1,275,000 | |||||
Stock repurchased during period, shares | 1,150,000 | ||||||
Common stock repurchased (in shares) | 2,900,000 | ||||||
Equity method investment, ownership percentage | 34.40% | 43.80% | |||||
Secondary Offering | CDR Fund VIII Investor Group | |||||||
Schedule Of Cumulative Convertible Preferred Stock [Line Items] | |||||||
Common stock repurchased (in shares) | 1,150,000 | 1,150,000 | |||||
Common stock offered (in shares) | 7,150,000 | ||||||
Common stock price per share (in usd per share) | $ 19.36 | ||||||
Payments for repurchase of common stock | $ 22,300 | $ 22,300 |
RELATED PARTIES (Details)
RELATED PARTIES (Details) $ in Thousands | Oct. 20, 2009USD ($) |
Related Party Transaction [Line Items] | |
Related party transaction, rate | 68.40% |
CD&R Inc | |
Related Party Transaction [Line Items] | |
Related party transaction, amount of transaction | $ 8,250 |
FAIR VALUE OF FINANCIAL INSTR_3
FAIR VALUE OF FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS - Fair Value of Financial Instruments Not Currently Recognized at Fair Value (Details) - USD ($) $ in Thousands | Oct. 28, 2018 | Feb. 08, 2018 | Oct. 29, 2017 | Jan. 16, 2015 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long term debt, carrying amount | $ 407,226 | $ 387,290 | ||
Term loan credit agreement, due 2025 and 2022 | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long term debt, carrying amount | 412,925 | 144,147 | ||
Long-term debt, fair value | 412,409 | 144,147 | ||
8.25% Senior notes due January 2023 | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long term debt, carrying amount | 0 | 250,000 | ||
Long-term debt, fair value | $ 0 | $ 267,500 | ||
Debt instrument stated rate | 8.25% | 8.25% | 8.25% |
FAIR VALUE OF FINANCIAL INSTR_4
FAIR VALUE OF FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS - Schedule of Fair Value of Assets and Liabilities, By Type (Details) - USD ($) $ in Thousands | Oct. 28, 2018 | Oct. 29, 2017 |
Assets: | ||
Assets, recurring fair value measurements | $ 5,285 | $ 6,481 |
Liabilities: | ||
Liabilities, recurring fair value measurements | 4,639 | 4,923 |
Level 1 | ||
Assets: | ||
Assets, recurring fair value measurements | 4,344 | 4,935 |
Liabilities: | ||
Liabilities, recurring fair value measurements | 0 | 0 |
Level 2 | ||
Assets: | ||
Assets, recurring fair value measurements | 941 | 1,546 |
Liabilities: | ||
Liabilities, recurring fair value measurements | 4,639 | 4,923 |
Level 3 | ||
Assets: | ||
Assets, recurring fair value measurements | 0 | 0 |
Liabilities: | ||
Liabilities, recurring fair value measurements | 0 | 0 |
Deferred compensation plan liability | ||
Liabilities: | ||
Liabilities, recurring fair value measurements | 4,639 | 4,923 |
Deferred compensation plan liability | Level 1 | ||
Liabilities: | ||
Liabilities, recurring fair value measurements | 0 | 0 |
Deferred compensation plan liability | Level 2 | ||
Liabilities: | ||
Liabilities, recurring fair value measurements | 4,639 | 4,923 |
Deferred compensation plan liability | Level 3 | ||
Liabilities: | ||
Liabilities, recurring fair value measurements | 0 | 0 |
Total short-term investments in deferred compensation plan | ||
Assets: | ||
Assets, recurring fair value measurements | 5,285 | 6,481 |
Total short-term investments in deferred compensation plan | Level 1 | ||
Assets: | ||
Assets, recurring fair value measurements | 4,344 | 4,935 |
Total short-term investments in deferred compensation plan | Level 2 | ||
Assets: | ||
Assets, recurring fair value measurements | 941 | 1,546 |
Total short-term investments in deferred compensation plan | Level 3 | ||
Assets: | ||
Assets, recurring fair value measurements | 0 | 0 |
Money market | ||
Assets: | ||
Assets, recurring fair value measurements | 369 | 1,114 |
Money market | Level 1 | ||
Assets: | ||
Assets, recurring fair value measurements | 369 | 1,114 |
Money market | Level 2 | ||
Assets: | ||
Assets, recurring fair value measurements | 0 | 0 |
Money market | Level 3 | ||
Assets: | ||
Assets, recurring fair value measurements | 0 | 0 |
Mutual funds – Growth | ||
Assets: | ||
Assets, recurring fair value measurements | 1,118 | 958 |
Mutual funds – Growth | Level 1 | ||
Assets: | ||
Assets, recurring fair value measurements | 1,118 | 958 |
Mutual funds – Growth | Level 2 | ||
Assets: | ||
Assets, recurring fair value measurements | 0 | 0 |
Mutual funds – Growth | Level 3 | ||
Assets: | ||
Assets, recurring fair value measurements | 0 | 0 |
Mutual funds – Blend | ||
Assets: | ||
Assets, recurring fair value measurements | 2,045 | 1,948 |
Mutual funds – Blend | Level 1 | ||
Assets: | ||
Assets, recurring fair value measurements | 2,045 | 1,948 |
Mutual funds – Blend | Level 2 | ||
Assets: | ||
Assets, recurring fair value measurements | 0 | 0 |
Mutual funds – Blend | Level 3 | ||
Assets: | ||
Assets, recurring fair value measurements | 0 | 0 |
Mutual funds – Foreign blend | ||
Assets: | ||
Assets, recurring fair value measurements | 812 | 915 |
Mutual funds – Foreign blend | Level 1 | ||
Assets: | ||
Assets, recurring fair value measurements | 812 | 915 |
Mutual funds – Foreign blend | Level 2 | ||
Assets: | ||
Assets, recurring fair value measurements | 0 | 0 |
Mutual funds – Foreign blend | Level 3 | ||
Assets: | ||
Assets, recurring fair value measurements | 0 | 0 |
Mutual funds – Fixed income | ||
Assets: | ||
Assets, recurring fair value measurements | 941 | 1,546 |
Mutual funds – Fixed income | Level 1 | ||
Assets: | ||
Assets, recurring fair value measurements | 0 | 0 |
Mutual funds – Fixed income | Level 2 | ||
Assets: | ||
Assets, recurring fair value measurements | 941 | 1,546 |
Mutual funds – Fixed income | Level 3 | ||
Assets: | ||
Assets, recurring fair value measurements | $ 0 | $ 0 |
INCOME TAXES - Schedule of Com
INCOME TAXES - Schedule of Components of Income Tax Provision (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Current: | |||
Federal | $ 16,850 | $ 23,885 | $ 22,602 |
State | 3,483 | 3,218 | 3,179 |
Foreign | 545 | 445 | 838 |
Total current | 20,878 | 27,548 | 26,619 |
Deferred: | |||
Federal | (2,937) | (358) | 105 |
State | 565 | 769 | 1,380 |
Foreign | 1,483 | 455 | (167) |
Total deferred | (889) | 866 | 1,318 |
Total provision | $ 19,989 | $ 28,414 | $ 27,937 |
INCOME TAXES - Schedule of Eff
INCOME TAXES - Schedule of Effective Income Tax Rate Reconciliation (Details) | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Income Tax Disclosure [Abstract] | |||
Statutory federal income tax rate | 23.30% | 35.00% | 35.00% |
State income taxes | 4.20% | 3.20% | 3.80% |
Production activities deduction | (1.70%) | (3.10%) | (3.40%) |
Non-deductible expenses | 0.20% | 0.90% | 1.30% |
Revaluation of U.S. deferred income tax due to statutory rate reduction | (1.20%) | 0.00% | 0.00% |
One-time repatriation tax on foreign earnings | 0.60% | 0.00% | 0.00% |
Other | (1.30%) | (1.80%) | (1.30%) |
Effective tax rate | 24.10% | 34.20% | 35.40% |
INCOME TAXES - Narrative (Deta
INCOME TAXES - Narrative (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||
Oct. 28, 2018 | Jul. 29, 2018 | Apr. 29, 2018 | Jan. 28, 2018 | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Schedule Of Income Tax [Line Items] | |||||||
Effective income tax | 23.30% | 35.00% | 35.00% | ||||
Tax Act, estimated net income tax (expense) benefit | $ 0 | $ 0 | $ 0 | $ (323,000) | $ (600,000) | ||
Tax Act, estimated (expense) benefit from remeasurement of deferred tax liability | 1,000,000 | ||||||
Tax Act, tax expense on repatriated foreign earnings | 500,000 | ||||||
Tax Act, one-time repatriation tax | 1,800,000 | ||||||
Operating loss carryforwards | 1,800,000 | 1,800,000 | |||||
Deferred tax assets, operating loss carryforwards, domestic | 100,000 | 100,000 | |||||
Unrecognized tax benefits | 0 | 0 | $ 0 | ||||
Accrued interest and penalties related to uncertain tax positions | 0 | 0 | |||||
Foreign tax authority | |||||||
Schedule Of Income Tax [Line Items] | |||||||
Operating loss carryforwards | $ 1,700,000 | $ 1,700,000 |
INCOME TAXES - Tax Effect of T
INCOME TAXES - Tax Effect of Temporary Differences (Details) - USD ($) $ in Thousands | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | Nov. 01, 2015 |
Deferred tax assets: | ||||
Inventory obsolescence | $ 2,161 | $ 2,680 | ||
Bad debt reserve | 1,007 | 1,686 | ||
Accrued and deferred compensation | 14,828 | 16,003 | ||
Accrued insurance reserves | 1,122 | 1,816 | ||
Deferred revenue | 7,495 | 10,260 | ||
Net operating loss and tax credit carryover | 1,815 | 3,686 | ||
Depreciation and amortization | 536 | 434 | ||
Pension | 2,842 | 6,510 | ||
Other reserves | 863 | 716 | ||
Total deferred tax assets | 32,669 | 43,791 | ||
Less valuation allowance | (11) | 0 | $ (210) | $ (115) |
Net deferred tax assets | 32,658 | 43,791 | ||
Deferred tax liabilities: | ||||
Depreciation and amortization | (33,926) | (42,632) | ||
U.S. tax on unremitted foreign earnings | 0 | (1,107) | ||
Other | 0 | (1,805) | ||
Total deferred tax liabilities | (33,926) | (45,544) | ||
Total deferred tax liability, net | $ (1,268) | $ (1,753) |
INCOME TAXES - Rollforward of
INCOME TAXES - Rollforward of Valuation Allowance on Deferred Taxes Activity (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Beginning balance | $ 0 | $ 210 | $ 115 |
Additions (reductions) | 11 | (210) | 95 |
Ending balance | $ 11 | $ 0 | $ 210 |
ACCUMULATED OTHER COMPREHENSI_3
ACCUMULATED OTHER COMPREHENSIVE LOSS (Details) - USD ($) $ in Thousands | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | Nov. 01, 2015 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | $ 330,265 | $ 305,247 | $ 281,317 | $ 271,976 |
Foreign exchange translation adjustments | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | (89) | 3 | ||
Defined benefit pension plan actuarial losses, net of tax | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | (6,619) | (7,534) | ||
Accumulated other comprehensive loss | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive loss | $ (6,708) | $ (7,531) | $ (10,553) | $ (8,280) |
OPERATING LEASE COMMITMENTS -
OPERATING LEASE COMMITMENTS - Schedule of Future Minimum Rental Payments of Operating Leases (Details) $ in Thousands | Oct. 28, 2018USD ($) |
Leases [Abstract] | |
2,019 | $ 13,951 |
2,020 | 8,223 |
2,021 | 6,202 |
2,022 | 5,001 |
2,023 | 3,928 |
Thereafter | $ 7,693 |
OPERATING LEASE COMMITMENTS _2
OPERATING LEASE COMMITMENTS - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Leases [Abstract] | |||
Operating leases, rent expenses, net | $ 20.1 | $ 19.4 | $ 17.8 |
STOCK REPURCHASE PROGRAM - Nar
STOCK REPURCHASE PROGRAM - Narrative (Details) | Dec. 11, 2017USD ($)shares | Jul. 18, 2016USD ($)shares | Oct. 28, 2018USD ($)shares | Oct. 29, 2017USD ($)shares | Oct. 30, 2016USD ($)repurchase_programshares | Mar. 07, 2018USD ($) | Oct. 10, 2017USD ($) |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of stock repurchase programs authorized | repurchase_program | 2 | ||||||
Stock repurchase program, authorized amount | $ | $ 106,300,000 | $ 50,000,000 | $ 50,000,000 | ||||
Treasury stock purchases (in shares) | shares | 2,700,000 | 2,800,000 | 1,600,000 | ||||
Purchase of treasury stock | $ | $ 45,000,000 | $ 46,705,000 | $ 41,214,000 | $ 62,874,000 | |||
Stock repurchase program, remaining authorized repurchase amount | $ | $ 55,600,000 | ||||||
Retirements (in shares) | shares | 2,700,000 | 3,000,000 | 4,000,000 | ||||
Retirement of shares repurchased during prior year | shares | 300,000 | 400,000 | 400,000 | ||||
CDR Fund VIII Investor Group | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Treasury stock purchases (in shares) | shares | 2,900,000 | ||||||
Treasury Stock | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Treasury stock purchases (in shares) | shares | 2,938,974 | 2,957,838 | 4,589,576 | ||||
Retirements (in shares) | shares | 2,938,974 | 3,443,448 | 4,423,564 | ||||
Retirement of treasury shares | $ | $ 51,772,000 | $ 50,587,000 | $ 62,279,000 | ||||
Additional Paid-In Capital | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Retirement of treasury shares | $ | 51,743,000 | 50,553,000 | 62,235,000 | ||||
2016 Stock Repurchase Program | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Purchase of treasury stock | $ | $ 46,700,000 | $ 41,200,000 | $ 17,900,000 | ||||
Secondary Offering | CDR Fund VIII Investor Group | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Treasury stock purchases (in shares) | shares | 1,150,000 | 1,150,000 | |||||
Purchase of treasury stock | $ | $ 22,300,000 | $ 22,300,000 |
STOCK REPURCHASE PROGRAM - Cha
STOCK REPURCHASE PROGRAM - Change in Treasury Common Stock, At Cost (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Treasury Stock, Shares [Abstract] | |||
Beginning balance (in shares) | 291,128 | ||
Treasury stock purchases (in shares) | 2,700,000 | 2,800,000 | 1,600,000 |
Retirements (in shares) | (2,700,000) | (3,000,000) | (4,000,000) |
Ending balance (in shares) | 60,813 | 291,128 | |
Treasury Stock, Value [Abstract] | |||
Beginning balance | $ 2,140 | ||
Purchases | 51,773 | $ 43,603 | $ 64,015 |
Deferred compensation obligation | $ (1,387) | ||
Ending balance | $ 1,187 | $ 2,140 | |
Treasury Stock | |||
Treasury Stock, Shares [Abstract] | |||
Beginning balance (in shares) | 291,000 | 775,000 | 447,000 |
Treasury stock purchases (in shares) | 2,938,974 | 2,957,838 | 4,589,576 |
Issuance of restricted stock (in shares) | (181,439) | 19,806 | 161,633 |
Retirements (in shares) | (2,938,974) | (3,443,448) | (4,423,564) |
Deferred compensation obligation (in shares) | (48,876) | (18,139) | |
Ending balance (in shares) | 61,000 | 291,000 | 775,000 |
Treasury Stock, Value [Abstract] | |||
Beginning balance | $ 2,140 | $ 9,259 | $ 7,523 |
Purchases | 51,773 | 43,603 | 64,015 |
Issuance of restricted stock | 0 | 0 | 0 |
Retirement of treasury shares | (51,772) | (50,587) | (62,279) |
Deferred compensation obligation | (954) | (135) | |
Ending balance | $ 1,187 | $ 2,140 | $ 9,259 |
EMPLOYEE BENEFIT PLANS - Narra
EMPLOYEE BENEFIT PLANS - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | Nov. 04, 2051 | Nov. 03, 2051 | Oct. 28, 2035 | Nov. 03, 2024 | |
Defined Benefit Plan Disclosure [Line Items] | |||||||
Percentage of employee contribution | 6.00% | ||||||
Allocated share-based compensation expense, net of tax | $ 7,600 | $ 6,100 | $ 5,700 | ||||
Defer percentage to officers and key employees salary | 80.00% | ||||||
Defer percentage to officers and key employees bonus | 90.00% | ||||||
Defer percentage to directors | 100.00% | ||||||
Deferred compensation arrangement with individual, requisite service period | 3 years | ||||||
Deferred compensation obligation recorded within additional paid-in capital | $ 700 | 1,300 | |||||
Deferred compensation liability, current and noncurrent | 4,600 | 4,900 | |||||
Deferred compensation plan assets | 5,300 | 6,500 | |||||
Defined benefit plan, funded status of plan, total | 10,661 | 14,512 | |||||
Unrecognized actuarial losses on pension obligations | $ 916 | $ 2,824 | $ (1,948) | ||||
Market related value of assets, percentage | 10.00% | ||||||
Minimum | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Matching contributions percentage minimum | 50.00% | ||||||
Maximum | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Matching contributions percentage minimum | 100.00% | ||||||
Incentive Plan | Performance Share Awards | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Share-based payment award, equity instruments other than options, vested in period, deferred | 60,813 | ||||||
The Steelworkers Pension Trust | Multiemployer plans, pension | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Multiemployer plans, minimum contribution | $ 300 | ||||||
Defined Benefit Plans | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Expected return on plan assets | 6.19% | 6.18% | |||||
Defined benefit plan, funded status of plan, total | $ 3,307 | $ 6,814 | |||||
Defined benefit plan, expected future benefit payments, next rolling twelve months | $ 1,200 | ||||||
OPEB Plans | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Health care cost trend rate | 4.00% | 5.00% | |||||
Defined benefit plan, funded status of plan, total | $ 7,354 | $ 7,698 | |||||
OPEB Plans | Scenario, forecast | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Health care cost trend rate | 4.00% | 5.00% | 5.50% | 6.50% | |||
CENTRIA | Defined Benefit Plans | Minimum | Equity securities | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined benefit plan, target plan asset allocations | 80.00% | ||||||
CENTRIA | Defined Benefit Plans | Minimum | Fixed Income | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined benefit plan, target plan asset allocations | 15.00% | ||||||
CENTRIA | Defined Benefit Plans | Maximum | Equity securities | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined benefit plan, target plan asset allocations | 85.00% | ||||||
CENTRIA | Defined Benefit Plans | Maximum | Fixed Income | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined benefit plan, target plan asset allocations | 20.00% | ||||||
CENTRIA | OPEB Plans | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined benefit plan, minimum annual employee contribution, percent | 0.00% | ||||||
Defined benefit plan, maximum annual contributions per retiree, percent | 25.00% | ||||||
Rcc | Defined Benefit Plans | US Bonds | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined benefit plan, target plan asset allocations | 45.00% | ||||||
Rcc | Defined Benefit Plans | Large Cap Us Equities | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined benefit plan, target plan asset allocations | 17.00% | ||||||
Rcc | Defined Benefit Plans | Foreign Equity | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined benefit plan, target plan asset allocations | 13.00% | ||||||
Rcc | Defined Benefit Plans | Master limited partnerships | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined benefit plan, target plan asset allocations | 5.00% | ||||||
Rcc | Defined Benefit Plans | Commodity Futures | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined benefit plan, target plan asset allocations | 2.00% | ||||||
Rcc | Defined Benefit Plans | Real Estate Investment Trusts | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined benefit plan, target plan asset allocations | 4.00% | ||||||
Rcc | Defined Benefit Plans | Emerging Market | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined benefit plan, target plan asset allocations | 8.00% | ||||||
Rcc | Defined Benefit Plans | Small Cap Us Equities | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Defined benefit plan, target plan asset allocations | 6.00% |
EMPLOYEE BENEFIT PLANS - Sched
EMPLOYEE BENEFIT PLANS - Schedule of Assumptions Used to Determine Benefit Obligation (Details) | Oct. 28, 2018 | Oct. 29, 2017 |
Defined Benefit Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 4.40% | 3.64% |
OPEB Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 4.20% | 3.40% |
EMPLOYEE BENEFIT PLANS - Sch_2
EMPLOYEE BENEFIT PLANS - Schedule of Assumptions Used to Determine Net Periodic Benefit Cost (Income) (Details) | 12 Months Ended | |
Oct. 28, 2018 | Oct. 29, 2017 | |
Defined Benefit Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 3.64% | 3.64% |
Expected return on plan assets | 6.19% | 6.18% |
OPEB Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 3.40% | 3.25% |
Health care cost trend rate-initial | 7.50% | 7.00% |
Health care cost trend rate-ultimate | 4.00% | 5.00% |
EMPLOYEE BENEFIT PLANS - Sch_3
EMPLOYEE BENEFIT PLANS - Schedule of Changes in Projected Benefit Obligation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Accumulated benefit obligation | $ 58,386 | $ 64,076 | |
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Projected benefit obligation – beginning of fiscal year | 64,076 | 66,898 | |
Interest cost | 2,223 | 2,312 | |
Service cost | 115 | 133 | |
Benefit payments | (4,660) | (4,227) | |
Plan amendments | 0 | 275 | |
Actuarial (gains) losses | (3,368) | (1,315) | |
Projected benefit obligation – end of fiscal year | 58,386 | 64,076 | $ 66,898 |
Defined Benefit Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Accumulated benefit obligation | 51,032 | 56,378 | |
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Projected benefit obligation – beginning of fiscal year | 56,378 | 58,551 | |
Interest cost | 1,976 | 2,055 | 2,354 |
Service cost | 87 | 97 | 137 |
Benefit payments | (3,838) | (3,681) | |
Plan amendments | 0 | 275 | |
Actuarial (gains) losses | (3,571) | (919) | |
Projected benefit obligation – end of fiscal year | 51,032 | 56,378 | 58,551 |
OPEB Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Accumulated benefit obligation | 7,354 | 7,698 | |
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Projected benefit obligation – beginning of fiscal year | 7,698 | 8,347 | |
Interest cost | 247 | 257 | 261 |
Service cost | 28 | 36 | 34 |
Benefit payments | (822) | (546) | |
Plan amendments | 0 | 0 | |
Actuarial (gains) losses | 203 | (396) | |
Projected benefit obligation – end of fiscal year | $ 7,354 | $ 7,698 | $ 8,347 |
EMPLOYEE BENEFIT PLANS - Sch_4
EMPLOYEE BENEFIT PLANS - Schedule of Changes in Plan Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Oct. 28, 2018 | Oct. 29, 2017 | |
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | ||
Fair value of assets – beginning of fiscal year | $ 49,564 | $ 46,160 |
Actual return on plan assets | (263) | 5,041 |
Company contributions | 3,084 | 2,590 |
Benefit payments | (4,660) | (4,227) |
Fair value of assets – end of fiscal year | 47,725 | 49,564 |
Defined Benefit Plans | ||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | ||
Fair value of assets – beginning of fiscal year | 49,564 | 46,160 |
Actual return on plan assets | (263) | 5,041 |
Company contributions | 2,262 | 2,044 |
Benefit payments | (3,838) | (3,681) |
Fair value of assets – end of fiscal year | 47,725 | 49,564 |
OPEB Plans | ||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | ||
Fair value of assets – beginning of fiscal year | 0 | 0 |
Actual return on plan assets | 0 | 0 |
Company contributions | 822 | 546 |
Benefit payments | (822) | (546) |
Fair value of assets – end of fiscal year | $ 0 | $ 0 |
EMPLOYEE BENEFIT PLANS - Sch_5
EMPLOYEE BENEFIT PLANS - Schedule of Changes in Funded Status (Details) - USD ($) $ in Thousands | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 |
Funded status | |||
Fair value of assets | $ 47,725 | $ 49,564 | $ 46,160 |
Benefit obligation | 58,386 | 64,076 | 66,898 |
Funded status | (10,661) | (14,512) | |
Defined Benefit Plans | |||
Funded status | |||
Fair value of assets | 47,725 | 49,564 | 46,160 |
Benefit obligation | 51,032 | 56,378 | 58,551 |
Funded status | (3,307) | (6,814) | |
OPEB Plans | |||
Funded status | |||
Fair value of assets | 0 | 0 | 0 |
Benefit obligation | 7,354 | 7,698 | $ 8,347 |
Funded status | $ (7,354) | $ (7,698) |
EMPLOYEE BENEFIT PLANS - Sch_6
EMPLOYEE BENEFIT PLANS - Schedule of Weighted Average Assets Allocation by Assets Category (Details) - Defined Benefit Plans | Oct. 28, 2018 | Oct. 29, 2017 |
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, actual plan asset allocations | 100.00% | 100.00% |
Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, actual plan asset allocations | 55.00% | 58.00% |
Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, actual plan asset allocations | 7.00% | 35.00% |
Master limited partnerships | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, actual plan asset allocations | 3.00% | 3.00% |
Cash and cash equivalents | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, actual plan asset allocations | 31.00% | 1.00% |
Real estate | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, actual plan asset allocations | 3.00% | 2.00% |
Other | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, actual plan asset allocations | 1.00% | 1.00% |
EMPLOYEE BENEFIT PLANS - Sch_7
EMPLOYEE BENEFIT PLANS - Schedule of Fair Value of Separate Accounts by Assets Category (Details) - USD ($) $ in Thousands | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 |
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | $ 47,725 | $ 49,564 | $ 46,160 |
Defined Benefit Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 47,725 | 49,564 | $ 46,160 |
Defined Benefit Plans | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 35,307 | 20,543 | |
Defined Benefit Plans | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 12,418 | 29,021 | |
Defined Benefit Plans | Cash and cash equivalents | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 14,774 | 463 | |
Defined Benefit Plans | Cash and cash equivalents | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 14,774 | 463 | |
Defined Benefit Plans | Cash and cash equivalents | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 0 | 0 | |
Defined Benefit Plans | Growth funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 7,235 | 7,262 | |
Defined Benefit Plans | Growth funds | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 7,235 | 7,262 | |
Defined Benefit Plans | Growth funds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 0 | 0 | |
Defined Benefit Plans | Real estate funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 1,245 | 1,236 | |
Defined Benefit Plans | Real estate funds | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 1,245 | 1,236 | |
Defined Benefit Plans | Real estate funds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 0 | 0 | |
Defined Benefit Plans | Commodity linked funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 528 | 544 | |
Defined Benefit Plans | Commodity linked funds | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 528 | 544 | |
Defined Benefit Plans | Commodity linked funds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 0 | 0 | |
Defined Benefit Plans | Equity income funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 5,043 | 4,767 | |
Defined Benefit Plans | Equity income funds | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 5,043 | 4,767 | |
Defined Benefit Plans | Equity income funds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 0 | 0 | |
Defined Benefit Plans | Index funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 3,071 | 2,873 | |
Defined Benefit Plans | Index funds | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 3,036 | 2,763 | |
Defined Benefit Plans | Index funds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 35 | 110 | |
Defined Benefit Plans | International equity funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 1,796 | 1,986 | |
Defined Benefit Plans | International equity funds | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 253 | 260 | |
Defined Benefit Plans | International equity funds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 1,543 | 1,726 | |
Defined Benefit Plans | Fixed income funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 3,263 | 3,481 | |
Defined Benefit Plans | Fixed income funds | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 1,745 | 1,742 | |
Defined Benefit Plans | Fixed income funds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 1,518 | 1,739 | |
Defined Benefit Plans | Master limited partnerships | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 1,448 | 1,506 | |
Defined Benefit Plans | Master limited partnerships | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 1,448 | 1,506 | |
Defined Benefit Plans | Master limited partnerships | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 0 | 0 | |
Defined Benefit Plans | Government securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 0 | 6,400 | |
Defined Benefit Plans | Government securities | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 0 | 0 | |
Defined Benefit Plans | Government securities | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 0 | 6,400 | |
Defined Benefit Plans | Corporate bonds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 0 | 7,301 | |
Defined Benefit Plans | Corporate bonds | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 0 | 0 | |
Defined Benefit Plans | Corporate bonds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 0 | 7,301 | |
Defined Benefit Plans | Common/collective trusts | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 9,322 | 11,745 | |
Defined Benefit Plans | Common/collective trusts | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | 0 | 0 | |
Defined Benefit Plans | Common/collective trusts | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of assets | $ 9,322 | $ 11,745 |
EMPLOYEE BENEFIT PLANS - Sch_8
EMPLOYEE BENEFIT PLANS - Schedule of Net Periodic Benefit Cost (Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost | $ 2,223 | $ 2,312 | |
Service cost | 115 | 133 | |
Defined Benefit Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost | 1,976 | 2,055 | $ 2,354 |
Service cost | 87 | 97 | 137 |
Expected return on assets | (2,916) | (2,798) | (2,979) |
Amortization of prior service credit | 58 | (9) | (9) |
Amortization of net actuarial loss | 991 | 1,374 | 1,170 |
Net periodic benefit cost | 196 | 719 | 673 |
OPEB Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost | 247 | 257 | 261 |
Service cost | 28 | 36 | 34 |
Expected return on assets | 0 | 0 | 0 |
Amortization of prior service credit | 0 | 0 | 0 |
Amortization of net actuarial loss | 0 | 0 | 0 |
Net periodic benefit cost | $ 275 | $ 293 | $ 295 |
EMPLOYEE BENEFIT PLANS - Sch_9
EMPLOYEE BENEFIT PLANS - Schedule of Amounts in AOCI, Not Yet Recognized (Details) - USD ($) $ in Thousands | Oct. 28, 2018 | Oct. 29, 2017 |
Defined Benefit Plan Disclosure [Line Items] | ||
Unrecognized net actuarial loss | $ 10,661 | $ 11,843 |
Unrecognized prior service credit | 195 | 252 |
Total | 10,856 | 12,095 |
Defined Benefit Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Unrecognized net actuarial loss | 10,083 | 11,468 |
Unrecognized prior service credit | 195 | 252 |
Total | 10,278 | 11,720 |
OPEB Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Unrecognized net actuarial loss | 578 | 375 |
Unrecognized prior service credit | 0 | 0 |
Total | $ 578 | $ 375 |
EMPLOYEE BENEFIT PLANS - Sc_10
EMPLOYEE BENEFIT PLANS - Schedule of Change in Plan Assets and Benefit Obligations Recognized in OCI (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Defined Benefit Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Net actuarial gain (loss) | $ 392 | $ 3,144 | $ (3,443) |
Amortization of net actuarial loss | 991 | 1,374 | 1,170 |
Amortization of prior service cost (credit) | 58 | (9) | (9) |
New prior service cost | 0 | (276) | 0 |
Total recognized in other comprehensive income (loss) | (1,441) | (4,233) | 2,282 |
OPEB Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Net actuarial gain (loss) | (203) | 396 | (911) |
Amortization of net actuarial loss | 0 | 0 | 0 |
Amortization of prior service cost (credit) | 0 | 0 | 0 |
New prior service cost | 0 | 0 | 0 |
Total recognized in other comprehensive income (loss) | $ 203 | $ (396) | $ 911 |
EMPLOYEE BENEFIT PLANS - Sc_11
EMPLOYEE BENEFIT PLANS - Schedule of Estimated Amortization For the Next Fiscal Year (Details) $ in Thousands | Oct. 28, 2018USD ($) |
Defined Benefit Plan Disclosure [Line Items] | |
Amortization of prior service credit | $ (143) |
Amortization of net actuarial loss | 1,111 |
Total estimated amortization | 968 |
Defined Benefit Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
Amortization of prior service credit | (143) |
Amortization of net actuarial loss | 1,111 |
Total estimated amortization | 968 |
OPEB Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
Amortization of prior service credit | 0 |
Amortization of net actuarial loss | 0 |
Total estimated amortization | $ 0 |
EMPLOYEE BENEFIT PLANS - Sc_12
EMPLOYEE BENEFIT PLANS - Schedule of Expected Benefit Payments (Details) $ in Thousands | Oct. 28, 2018USD ($) |
Defined Benefit Plan Disclosure [Line Items] | |
2,019 | $ 5,097 |
2,020 | 4,752 |
2,021 | 4,627 |
2,022 | 4,447 |
2,023 | 4,662 |
2024 - 2028 | 20,017 |
Defined Benefit Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
2,019 | 4,222 |
2,020 | 3,954 |
2,021 | 3,923 |
2,022 | 3,847 |
2,023 | 4,053 |
2024 - 2028 | 17,883 |
OPEB Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
2,019 | 875 |
2,020 | 798 |
2,021 | 704 |
2,022 | 600 |
2,023 | 609 |
2024 - 2028 | $ 2,134 |
OPERATING SEGMENTS - Schedule
OPERATING SEGMENTS - Schedule of Segment Reporting Information by Segment (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Oct. 28, 2018USD ($) | Jul. 29, 2018USD ($) | Apr. 29, 2018USD ($) | Jan. 28, 2018USD ($) | Oct. 29, 2017USD ($) | Jul. 30, 2017USD ($) | Apr. 30, 2017USD ($) | Jan. 29, 2017USD ($) | Oct. 28, 2018USD ($)operating_segment | Oct. 29, 2017USD ($) | Oct. 30, 2016USD ($) | |
Segment Reporting Information [Line Items] | |||||||||||
Number of operating segments | operating_segment | 4 | ||||||||||
Total net sales | $ 573,634 | $ 548,525 | $ 457,069 | $ 421,349 | $ 488,726 | $ 469,385 | $ 420,464 | $ 391,703 | $ 2,000,577 | $ 1,770,278 | $ 1,684,928 |
Income from operations | 125,920 | 109,780 | 108,779 | ||||||||
Unallocated other expense | (42,825) | (26,642) | (29,815) | ||||||||
Income before income taxes | 83,095 | 83,138 | 78,964 | ||||||||
Depreciation and amortization | 42,325 | 41,318 | 41,924 | ||||||||
Capital expenditures | 47,827 | 22,074 | 21,024 | ||||||||
Property, plant and equipment, net | 236,240 | 226,995 | 236,240 | 226,995 | 242,212 | ||||||
Total assets | 1,110,375 | 1,031,112 | 1,110,375 | 1,031,112 | 1,025,396 | ||||||
Engineered Building Systems | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total net sales | 755,353 | 659,863 | 652,471 | ||||||||
Metal Components | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total net sales | 612,645 | 544,669 | 495,020 | ||||||||
Insulated Metal Panels | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total net sales | 424,762 | 372,304 | 347,771 | ||||||||
Metal Coil Coating | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total net sales | 207,817 | 193,442 | 189,666 | ||||||||
Operating Segments | Engineered Building Systems | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total net sales | 798,299 | 693,980 | 672,235 | ||||||||
Income from operations | 66,689 | 41,388 | 62,046 | ||||||||
Depreciation and amortization | 8,627 | 9,014 | 9,767 | ||||||||
Capital expenditures | 12,433 | 5,533 | 7,571 | ||||||||
Property, plant and equipment, net | 53,907 | 46,620 | 53,907 | 46,620 | 50,862 | ||||||
Total assets | 225,304 | 195,426 | 225,304 | 195,426 | 194,190 | ||||||
Operating Segments | Metal Components | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total net sales | 689,344 | 636,661 | 586,690 | ||||||||
Income from operations | 87,593 | 78,768 | 70,742 | ||||||||
Depreciation and amortization | 5,817 | 5,324 | 4,944 | ||||||||
Capital expenditures | 9,507 | 5,708 | 3,245 | ||||||||
Property, plant and equipment, net | 52,119 | 49,016 | 52,119 | 49,016 | 49,654 | ||||||
Total assets | 226,083 | 186,369 | 226,083 | 186,369 | 172,048 | ||||||
Operating Segments | Insulated Metal Panels | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total net sales | 504,413 | 441,404 | 396,327 | ||||||||
Income from operations | 47,495 | 47,932 | 24,620 | ||||||||
Depreciation and amortization | 17,604 | 17,907 | 17,862 | ||||||||
Capital expenditures | 5,975 | 5,731 | 4,744 | ||||||||
Property, plant and equipment, net | 57,415 | 70,853 | 57,415 | 70,853 | 76,899 | ||||||
Total assets | 376,488 | 380,308 | 376,488 | 380,308 | 388,183 | ||||||
Operating Segments | Metal Coil Coating | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total net sales | 417,296 | 368,880 | 346,348 | ||||||||
Income from operations | 28,588 | 21,459 | 32,422 | ||||||||
Depreciation and amortization | 8,488 | 8,243 | 8,284 | ||||||||
Capital expenditures | 9,028 | 3,376 | 2,949 | ||||||||
Property, plant and equipment, net | 53,819 | 50,855 | 53,819 | 50,855 | 54,407 | ||||||
Total assets | 196,558 | 175,046 | 196,558 | 175,046 | 181,497 | ||||||
Intersegment | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total net sales | (408,775) | (370,647) | (316,672) | ||||||||
Corporate | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Income from operations | (104,445) | (79,767) | (81,051) | ||||||||
Depreciation and amortization | 1,789 | 830 | 1,067 | ||||||||
Capital expenditures | 10,884 | 1,726 | 2,515 | ||||||||
Property, plant and equipment, net | 18,980 | 9,651 | 18,980 | 9,651 | 10,390 | ||||||
Total assets | $ 85,942 | $ 93,963 | $ 85,942 | $ 93,963 | $ 89,478 |
OPERATING SEGMENTS - Schedul_2
OPERATING SEGMENTS - Schedule of Disclosure on Geographic Areas (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Oct. 28, 2018 | Jul. 29, 2018 | Apr. 29, 2018 | Jan. 28, 2018 | Oct. 29, 2017 | Jul. 30, 2017 | Apr. 30, 2017 | Jan. 29, 2017 | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Total sales: | |||||||||||
Total net sales | $ 573,634 | $ 548,525 | $ 457,069 | $ 421,349 | $ 488,726 | $ 469,385 | $ 420,464 | $ 391,703 | $ 2,000,577 | $ 1,770,278 | $ 1,684,928 |
Long-lived assets: | |||||||||||
Total long-lived assets | 512,060 | 512,434 | 512,060 | 512,434 | 543,252 | ||||||
United States of America | |||||||||||
Total sales: | |||||||||||
Total net sales | 1,874,129 | 1,666,645 | 1,589,479 | ||||||||
Long-lived assets: | |||||||||||
Total long-lived assets | 494,425 | 493,203 | 494,425 | 493,203 | 523,134 | ||||||
Canada | |||||||||||
Total sales: | |||||||||||
Total net sales | 99,306 | 73,090 | 61,781 | ||||||||
Long-lived assets: | |||||||||||
Total long-lived assets | 7,041 | 8,180 | 7,041 | 8,180 | 9,247 | ||||||
China | |||||||||||
Total sales: | |||||||||||
Total net sales | 4 | 8,923 | 6,733 | ||||||||
Long-lived assets: | |||||||||||
Total long-lived assets | 0 | 448 | 0 | 448 | 170 | ||||||
Mexico | |||||||||||
Total sales: | |||||||||||
Total net sales | 2,460 | 4,910 | 4,060 | ||||||||
Long-lived assets: | |||||||||||
Total long-lived assets | $ 10,594 | $ 10,603 | 10,594 | 10,603 | 10,701 | ||||||
All other | |||||||||||
Total sales: | |||||||||||
Total net sales | $ 24,678 | $ 16,710 | $ 22,875 |
QUARTERLY RESULTS (Unaudited)
QUARTERLY RESULTS (Unaudited) - Selected Unaudited Quarterly Data (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Oct. 28, 2018 | Jul. 29, 2018 | Apr. 29, 2018 | Jan. 28, 2018 | Oct. 29, 2017 | Jul. 30, 2017 | Apr. 30, 2017 | Jan. 29, 2017 | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Sales | $ 573,634 | $ 548,525 | $ 457,069 | $ 421,349 | $ 488,726 | $ 469,385 | $ 420,464 | $ 391,703 | $ 2,000,577 | $ 1,770,278 | $ 1,684,928 |
Gross profit | 133,281 | 133,401 | 104,083 | 91,917 | 116,305 | 114,969 | 100,839 | 83,951 | 462,682 | 416,064 | 427,890 |
Net income (loss) | 27,555 | 35,986 | (5,684) | 5,249 | 17,490 | 18,221 | 16,974 | 2,039 | 63,106 | 54,724 | 51,027 |
Net income allocated to participating securities | (138) | (221) | 0 | (38) | (78) | (102) | (115) | (8) | (412) | (325) | (389) |
Net income (loss) applicable to common shares | $ 27,417 | $ 35,765 | $ (5,684) | $ 5,211 | $ 17,412 | $ 18,119 | $ 16,859 | $ 2,031 | $ 62,694 | $ 54,399 | $ 50,638 |
Income (loss) per common share: | |||||||||||
Basic (in dollars per share) | $ 0.41 | $ 0.54 | $ (0.09) | $ 0.08 | $ 0.25 | $ 0.26 | $ 0.24 | $ 0.03 | $ 0.95 | $ 0.77 | $ 0.70 |
Diluted (in dollars per share) | $ 0.41 | $ 0.54 | $ (0.09) | $ 0.08 | $ 0.25 | $ 0.25 | $ 0.24 | $ 0.03 | $ 0.94 | $ 0.77 | $ 0.70 |
QUARTERLY RESULTS (Unaudited)_2
QUARTERLY RESULTS (Unaudited) - Schedule of Quarterly Income Effects of Special Income (Expense) Items (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Oct. 28, 2018 | Jul. 29, 2018 | Apr. 29, 2018 | Jan. 28, 2018 | Oct. 29, 2017 | Jul. 30, 2017 | Apr. 30, 2017 | Jan. 29, 2017 | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Loss on extinguishment of debt | $ 0 | $ 0 | $ (21,875) | $ 0 | $ (21,875) | $ 0 | $ 0 | ||||
Goodwill impairment | $ (6,000) | $ 0 | $ 0 | $ 0 | 0 | (6,000) | 0 | ||||
(Loss) gain on disposition of business | 0 | 1,013 | (6,686) | 0 | (5,673) | 0 | 0 | ||||
Restructuring and impairment charges, net | (769) | 439 | (488) | (1,094) | (1,710) | (1,009) | (315) | (2,264) | (1,912) | (5,297) | (4,252) |
Strategic development and acquisition related costs | (11,661) | (3,642) | (1,134) | (727) | (193) | (1,297) | (124) | (357) | (17,164) | $ (1,971) | $ (2,670) |
Acceleration of CEO retirement benefits | 0 | 0 | 0 | (4,600) | |||||||
Loss on sale of assets and asset recovery | 0 | 0 | (137) | 0 | |||||||
Gain on insurance recovery | 0 | 4,741 | 0 | 0 | 0 | 148 | 9,601 | 0 | |||
Discrete tax effects of U.S. tax reform | 0 | 0 | 0 | 323 | $ 600 | ||||||
Unreimbursed business interruption costs | (28) | (235) | (191) | 0 | |||||||
Total special income (expense) items in income before income taxes | $ (12,430) | $ 2,551 | $ (30,183) | $ (6,098) | $ (7,931) | $ (2,393) | $ 8,834 | $ (2,621) |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - USD ($) | Nov. 16, 2018 | Nov. 15, 2018 | Oct. 15, 2018 | Oct. 28, 2018 | Oct. 29, 2017 | Oct. 30, 2016 | Oct. 14, 2018 | Apr. 12, 2018 | Feb. 08, 2018 |
Subsequent Event [Line Items] | |||||||||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | |||||||
Payments on ABL facility | $ 100,000,000 | $ 35,000,000 | $ 0 | ||||||
Amounts drawn on facility | 100,000,000 | 35,000,000 | $ 0 | ||||||
Acquisition expenses | 15,300,000 | ||||||||
Ply Gem | Subsequent Event | |||||||||
Subsequent Event [Line Items] | |||||||||
Shares issued | $ 58,709,067 | ||||||||
Common stock, par value (in dollars per share) | $ 0.01 | ||||||||
Ownership percentage issued in transaction | 47.00% | ||||||||
Total cash consideration transferred | $ 713,900,000 | ||||||||
Share price (in dollars per share) | $ 12.16 | ||||||||
Term Loan Facility | Ply Gem | Subsequent Event | |||||||||
Subsequent Event [Line Items] | |||||||||
Aggregate principal amount | $ 1,755,000,000 | ||||||||
Line of credit facility, increase in borrowing capacity | 805,000,000 | ||||||||
Line of credit facility, amount outstanding | 2,555,600,000 | ||||||||
Cash Flow Revolver | Subsequent Event | |||||||||
Subsequent Event [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | 115,000,000 | ||||||||
Cash Flow Revolver | Ply Gem | Subsequent Event | |||||||||
Subsequent Event [Line Items] | |||||||||
Amounts drawn on facility | 0 | ||||||||
8.00% Senior Notes | |||||||||
Subsequent Event [Line Items] | |||||||||
Debt instrument stated rate | 8.00% | ||||||||
ABL Facility | |||||||||
Subsequent Event [Line Items] | |||||||||
Line of credit facility, amount outstanding | $ 9,000,000 | $ 10,000,000 | |||||||
ABL Facility | Ply Gem | Subsequent Event | |||||||||
Subsequent Event [Line Items] | |||||||||
Amounts drawn on facility | 0 | ||||||||
Revolving Credit Facility | ABL Facility | |||||||||
Subsequent Event [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | $ 396,000,000 | $ 360,000,000 | $ 150,000,000 | ||||||
Line of credit facility, increase in borrowing capacity | 36,000,000 | ||||||||
Revolving Credit Facility | ABL Facility | Subsequent Event | |||||||||
Subsequent Event [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | 611,000,000 | ||||||||
Line of credit facility, increase in borrowing capacity | 215,000,000 | ||||||||
Payments on ABL facility | $ 325,000,000 | ||||||||
Quarterly debt amortization, percent of aggregate principal amount | 1.00% | ||||||||
Revolving Credit Facility | ABL Facility | ABL U.S. Facility | |||||||||
Subsequent Event [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | 313,500,000 | $ 285,000,000 | 285,000,000 | ||||||
Revolving Credit Facility | ABL Facility | ABL U.S. Facility | Subsequent Event | |||||||||
Subsequent Event [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | $ 483,700,000 | $ 313,500,000 | |||||||
Revolving Credit Facility | ABL Facility | ABL Canadian Facility | |||||||||
Subsequent Event [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | $ 82,500,000 | $ 75,000,000 | 75,000,000 | ||||||
Revolving Credit Facility | ABL Facility | ABL Canadian Facility | Subsequent Event | |||||||||
Subsequent Event [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | 127,300,000 | $ 82,500,000 | |||||||
Letter of Credit | ABL Facility | |||||||||
Subsequent Event [Line Items] | |||||||||
Line of credit facility, maximum borrowing capacity | $ 30,000,000 | ||||||||
Letter of Credit | ABL Facility | Ply Gem | Subsequent Event | |||||||||
Subsequent Event [Line Items] | |||||||||
Line of credit facility, amount outstanding | $ 24,700,000 | ||||||||
Ply Gem | 8.00% Senior Notes | |||||||||
Subsequent Event [Line Items] | |||||||||
Aggregate principal amount | $ 645,000,000 |