Knoll (KNL) 10-Q9 Aug 182018 Q2 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Jun. 30, 2018	Aug. 06, 2018
Document Information [Line Items]
Entity Registrant Name	KNOLL INC
Entity Central Index Key	1,011,570
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Period End Date	Jun. 30, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q2
Amendment Flag	false
Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		49,407,684
Restricted stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		713,264

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Current assets:
Cash and cash equivalents	$ 1,359	$ 2,203
Customer receivables, net of allowance for doubtful accounts of $4,884 and $4,039, respectively	105,628	86,687
Inventories	167,462	144,945
Prepaid expenses	26,360	29,272
Other current assets	15,655	15,163
Total current assets	316,464	278,270
Property, plant, and equipment, net	201,387	200,630
Goodwill	326,356	142,113
Intangible assets, net	359,502	238,581
Other noncurrent assets	2,846	1,447
Total assets	1,206,555	861,041
Current liabilities:
Current maturities of long-term debt	17,274	10,000
Accounts payable	116,645	108,922
Other current liabilities	109,643	104,158
Total current liabilities	243,562	223,080
Long-term debt	474,132	181,048
Deferred income taxes	84,359	54,671
Pension liability	12,509	21,671
Other noncurrent liabilities	22,931	21,842
Total liabilities	837,493	502,312
Commitments and contingent liabilities
Equity:
Common stock, $0.01 par value; 200,000,000 shares authorized; 65,762,612 shares issued and 49,409,684 shares outstanding (including 715,263 non-voting restricted shares and net of 16,352,928 treasury shares) at June 30, 2018 and 65,460,014 shares issued and 49,339,552 shares outstanding (including 841,610 non-voting restricted shares and net of 16,120,462 treasury shares) at December 31, 2017	495	493
Additional paid-in capital	54,593	54,455
Retained earnings	366,699	347,304
Accumulated other comprehensive loss	(52,983)	(43,774)
Total Knoll, Inc. stockholders’ equity	368,804	358,478
Noncontrolling interests	258	251
Total equity	369,062	358,729
Total liabilities and equity	$ 1,206,555	$ 861,041

CONDENSED CONSOLIDATED BALANCE3

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 4,884	$ 4,039
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	200,000,000	200,000,000
Common stock, shares issued (in shares)	65,762,612	65,460,014
Common stock, shares outstanding (in shares)	49,409,684	49,339,552
Non-vesting restricted shares (in shares)	715,263	841,610
Treasury shares (in shares)	16,352,928	16,120,462

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Income Statement [Abstract]
Sales	$ 323,351	$ 268,694	$ 619,910	$ 525,514
Cost of sales	204,064	168,736	392,912	329,882
Gross profit	119,287	99,958	226,998	195,632
Selling, general, and administrative expenses	93,637	77,976	178,362	153,014
Restructuring charges	838	2,150	1,364	2,150
Operating profit	24,812	19,832	47,272	40,468
Pension settlement charge	4,608	0	4,608	0
Interest expense	5,252	1,859	10,780	3,530
Other income, net	(2,792)	(2,169)	(6,794)	(4,360)
Income before income tax expense	17,744	20,142	38,678	41,298
Income tax expense	4,621	7,182	10,288	12,946
Net earnings	13,123	12,960	28,390	28,352
Net (loss) earnings attributable to noncontrolling interests	(1)	22	7	14
Net earnings	$ 13,124	$ 12,938	$ 28,383	$ 28,338
Net earnings per common share attributable to Knoll, Inc. stockholders:
Basic (in dollars per share)	$ 0.27	$ 0.27	$ 0.58	$ 0.59
Diluted (in dollars per share)	0.27	0.26	0.58	0.57
Dividends per share (in dollars per share)	$ 0.15	$ 0.15	$ 0.30	$ 0.3
Weighted-average number of common shares outstanding:
Basic (in shares)	48,672,144	48,464,605	48,614,733	48,375,241
Diluted (in shares)	49,131,106	49,376,506	49,137,528	49,294,525
Other comprehensive (loss) income:
Unrealized gain on interest rate swap, net of tax	$ 1,183	$ 0	$ 1,053	$ 0
Pension and other post-employment liability adjustment, net of tax	7,669	(138)	7,880	(275)
Foreign currency translation adjustment	(5,961)	2,320	(6,300)	2,800
Foreign currency translation adjustment on long term intercompany notes	(5,085)	0	(5,592)	0
Total other comprehensive (loss) income, net of tax	(2,194)	2,182	(2,959)	2,525
Total comprehensive income	10,929	15,142	25,431	30,877
Comprehensive (loss) income attributable to noncontrolling interests	(1)	22	7	14
Comprehensive income attributable to Knoll, Inc. stockholders	$ 10,930	$ 15,120	$ 25,424	$ 30,863

CONDENSED CONSOLIDATED STATEME5

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
CASH FLOWS FROM OPERATING ACTIVITIES
Net earnings	$ 28,390	$ 28,352
Adjustments to reconcile net earnings to cash provided by operating activities:
Depreciation	12,712	10,668
Amortization expense (including deferred financing fees)	4,635	1,977
Loss on extinguishment of debt	1,445	0
Inventory obsolescence	775	1,203
Loss on disposal of property, plant and equipment	36	29
Unrealized foreign currency gains	(1,793)	(122)
Stock-based compensation	4,496	5,043
Bad debt and customer claims	673	(1,650)
Changes in assets and liabilities:
Customer receivables	(11,504)	8,420
Inventories	(13,565)	(8,811)
Prepaid and other current assets	804	(1,807)
Accounts payable	7,774	6,015
Current and deferred income taxes	4,138	2,567
Other current liabilities	(4,059)	(13,729)
Other noncurrent assets and liabilities	(1,184)	(5,917)
Cash provided by operating activities	33,773	32,238
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures	(16,031)	(20,756)
Purchase of businesses, net of cash acquired	(304,088)	0
Cash used in investing activities	(320,119)	(20,756)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from revolving credit facility	339,000	214,000
Repayment of revolving credit facility	(211,000)	(194,000)
Proceeds from term loan	352,499	0
Repayment of term loan	(171,859)	(5,000)
Payment of financing fees	(4,578)	0
Loss on debt extinguishment	(1,023)	0
Payment of dividends	(15,426)	(15,729)
Proceeds from the issuance of common stock	39	551
Purchase of common stock for treasury	(4,395)	(10,570)
Contingent purchase price payment	0	(6,000)
Cash provided by (used in) financing activities	283,257	(16,748)
Effect of exchange rate changes on cash and cash equivalents	2,245	1,336
Net decrease in cash and cash equivalents	(844)	(3,930)
Cash and cash equivalents at beginning of period	2,203	9,854
Cash and cash equivalents at end of period	$ 1,359	$ 5,924

BASIS OF PRESENTATION

BASIS OF PRESENTATION	6 Months Ended
BASIS OF PRESENTATION	Jun. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BASIS OF PRESENTATION	BASIS OF PRESENTATION The accompanying unaudited condensed consolidated financial statements of Knoll, Inc. (the “Company”) have been prepared with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries and any partially owned subsidiaries that the Company has the ability to control. All significant intercompany balances and transactions have been eliminated in consolidation. Operating results for the three and six month periods ended June 30, 2018 are not necessarily indicative of the results that may be expected for the year ended December 31, 2018 . The condensed consolidated balance sheet of the Company, as of December 31, 2017 , has been derived from the Company’s audited consolidated financial statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in the Company’s annual report on Form 10-K for the year ended December 31, 2017 . New Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, “ Revenue from Contracts with Customers ”, which outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers. This ASU supersedes the revenue recognition requirements in FASB ASC Topic 605, “Revenue Recognition,” and most industry-specific guidance. The standard provides a five step model to be applied to all contracts with customers, with an underlying principle that an entity will recognize revenue to depict the transfer of goods or services to customers at an amount that the entity expects to be entitled to in exchange for those goods or services. The standard is effective for annual reporting periods beginning after December 15, 2017 and interim periods therein. The Company adopted the standard as of January 1, 2018. The Company has completed its assessment of the impact of the new standard and adopted the new standard for all open contracts as of January 1, 2018 using the modified retrospective transition method, and applied the guidance to report new disclosures surrounding the Company’s recognition of revenue. The adoption of the new standard did not have a material impact on the financial position of the Company, the results of its operations or its cash flows as of and for the three and six months ended June 30, 2018 , and the Company’s internal controls over financial reporting. There was no cumulative effect of adopting the standard at the date of initial application in retained earnings. The Company’s Revenue Recognition accounting policy has been updated for the new standard. Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring goods or providing services. The amount of consideration received and revenue recognized varies with changes in returns, rebates, cash sales incentives and other allowances offered to customers based on the Company’s experience. The new standard further requires quantitative and qualitative disclosures about the Company’s contracts with customers which have been included within this Form 10-Q. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), which supersedes the guidance in ASC 840, Leases. ASC 842 will be effective for the Company on January 1, 2019, and the Company will adopt the standard using the modified retrospective approach. While the Company continues to evaluate the provisions of ASC 842 to determine its impact, the primary effect of adopting the new standard will be to record assets and obligations for current operating leases. The Company is currently in the process of evaluating the impact of adoption of the ASU on its consolidated financial statements. While the Company continues to evaluate the provisions of ASC 842 to determine its impact, the primary effect of adopting the new standard will be to record a right-of-use asset and a lease liability for all leases with a term of greater than 12 months regardless of their classification. The Company will continue to assess the impact on its accounting policies, internal control processes and related disclosures required under the new guidance. In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. ASU 2016-13 replaces the incurred loss impairment methodology for measuring and recognizing credit losses with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. This amendment is effective for fiscal years beginning after December 15, 2019 and will be effective for the Company on January 1, 2020. The Company does not believe there will be a material impact to the financial statements as a result of adopting this ASU. In March 2017, the FASB issued ASU 2017-07, Compensation-Retirement Benefits (Topic 715) . The new standard requires the service cost component of net periodic benefit cost to be presented in the same income statement line as other employee compensation costs arising from services rendered during the period and the other components of net periodic benefit cost to be presented separately from the income statement lines that include service cost and outside of any subtotal of operating income. The Company adopted the new standard for the period beginning January 1, 2018, resulting in no change in presentation of the service cost component of net periodic benefit cost, which has historically been reported in selling, general and administrative expenses along with other employee compensation costs. The retrospective adoption resulted in a change in presentation of the other components of net periodic benefit cost for the year ended December 31, 2017, and interim periods therein, by reclassifying net periodic benefit income of $2.4 million and $4.8 million for the three and six months ended June 30, 2017, respectively, from Selling, general and administrative expenses to Other income, net. In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815) . The new standard is intended to better align a company’s risk management strategies and financial reporting for hedging relationships. Under the new guidance, more hedging strategies will be eligible for hedge accounting and the application of hedge accounting is simplified. In addition, the new guidance amends presentation and disclosure requirements. The guidance is effective for fiscal years beginning after December 15, 2018 with early adoption permitted, including the interim periods within those years. The Company early adopted the standard as of January 1, 2018. The adoption of the standard did not have a material impact on the Company’s consolidated financial statements. In February 2018, the FASB issued ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220). The new standard will allow a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act (“Tax Act”). The amendments eliminate the stranded tax effects resulting from the Tax Act and will improve the usefulness of information reported to financial statements users. However, because the amendment only relates to the reclassification of the income tax effects of the Tax Act, the underlying guidance that requires that the effect of a change in tax laws or rates be included in income from continuing operations is not affected. The guidance is effective for fiscal years beginning after December 15, 2018 with early adoption permitted, including the interim periods within those years. The Company early adopted the standard effective January 1, 2018 and reclassified $6.3 million from accumulated other comprehensive income to retained earnings related to the Company’s minimum pension liability. In March 2018, the FASB issued ASU 2018-05, Income Taxes (Topic 740) which incorporates the provisions of SAB 118 into the accounting standards codification. The Securities and Exchange Commission staff issued Staff Accounting Bulletin No. 118 (“SAB 118”) which provides guidance regarding situations when a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the Tax Act. In accordance with the SAB 118, the Company has made a reasonable estimate of the effects on its existing deferred tax balances and the one-time transition tax. The ultimate impact of the Tax Act may differ from this estimate, possibly materially, due to changes in interpretations and assumptions, and guidance that may be issued and actions the Company may take in response to the Tax Act. The Tax Act is highly complex and the Company will continue to assess the impact that various provisions will have on the business and the consolidated financial statements. In June 2018, the FASB issued ASU 2018-07, Compensation - Stock compensation (Topic 718) which simplifies several aspects of the accounting for nonemployee share-based payment transactions resulting from expanding the scope of Topic 718, Compensation-Stock Compensation, to include share-based payment transactions for acquiring goods and services from nonemployees. Some of the areas for simplification apply only to nonpublic entities. The amendments specify that Topic 718 applies to all share-based payment transactions in which a grantor acquires goods or services to be used or consumed in a grantor’s own operations by issuing share-based payment awards. The amendments also clarify that Topic 718 does not apply to share-based payments used to effectively provide (1) financing to the issuer or (2) awards granted in conjunction with selling goods or services to customers as part of a contract accounted for under Topic 606, Revenue from Contracts with Customers. The amendments in this Update are effective for public business entities for fiscal years beginning after December 15, 2018, including interim periods within that fiscal year. Early adoption is permitted. The Company does not plan to early adopt this ASU and the Company does not believe there will be a material impact to the financial statements as a result of adopting this ASU.

REVENUE

REVENUE	6 Months Ended
REVENUE	Jun. 30, 2018
Revenue from Contract with Customer [Abstract]
Revenue	REVENUE Disaggregation of Revenue The majority of the Company’s revenue presented as “Sales” in the Condensed Consolidated Statements of Operations and Comprehensive Income is the result of contracts with customers for the sale of the Company’s products. All other sources of revenue are not material to the Company’s results of operations. The other sources of revenue include installation revenue and royalty revenue. The Company’s net sales by product category were as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Office Segment Office Systems $ 104,124 $ 94,479 $ 207,478 $ 194,707 Seating 33,471 27,193 63,428 52,855 Files and Storage 21,214 20,598 43,292 39,133 Ancillary 20,761 11,593 39,906 19,664 Other 11,177 8,736 18,261 14,238 Total Office Segment $ 190,747 $ 162,599 $ 372,365 $ 320,597 Lifestyle Segment Studio 104,807 78,482 192,374 149,389 Coverings 27,797 27,613 55,171 55,528 Total Lifestyle Segment $ 132,604 $ 106,095 $ 247,545 $ 204,917 Total Net Sales $ 323,351 $ 268,694 $ 619,910 $ 525,514 Contract Balances The Company has contract assets consisting of Customer Receivables in the Condensed Consolidated Balance Sheets which represent the amount of consideration the Company expects to be entitled to in exchange for the goods or services rendered to its customers. When the Company receives deposits, the recognition of revenue is deferred and results in the recognition of a contract liability (Customer deposits) presented as a component of Other Current Liabilities in the Condensed Consolidated Balance Sheets. Subsequent recognition of revenue and the satisfaction of the contract liability is typically less than one year as the Company’s standard contract is less than one year with a standard payment term of 30 days. Changes in the Customer deposits balances during the six months ended June 30, 2018 are as follows: Balance, January 1, 2018 $ 30,484 Revenue recognized that included the contract liability balance at the beginning of the period ended June 30, 2018 (56,039 ) Increase due to cash received during the period ended June 30, 2018 64,118 Increase due to business combinations during the period ended June 30, 2018 1,500 Balance, June 30, 2018 $ 40,063 Performance Obligations The Company recognizes revenue when performance obligations under the terms of a contract with its customer are satisfied. This occurs when the control of the goods and services have been transferred to the customer. Accordingly, revenue for sale of goods is generally recognized upon shipment or delivery depending on the shipping terms of the underlying contract. Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring goods or providing services. Amounts billed to customers for shipping and handling activities to fulfill the Company’s promise to transfer the goods are included in Sales, and costs incurred by the Company for the delivery of goods are classified as Cost of sales in the Condensed Consolidated Statements of Operations and Comprehensive Income. Sales tax, value added tax, and other taxes the Company collects concurrent with revenue-producing activities are excluded from revenue. The Company generally offers assurance-type warranties for its products. The specific terms and conditions of those warranties vary by the product. The Company estimates the costs that may be incurred under its warranties and records a liability in the amount of such costs at the time product revenue is recognized. Factors that affect the warranty liability include historical product-failure experience and estimated repair costs for identified matters. The Company periodically assesses the adequacy of its recorded warranty liabilities and adjusts the amounts as necessary. Practical Expedients Elected Incremental Costs of Obtaining a Contract - The Company has elected the practical expedient permitted in ASC 340-40-25-4, which permits an entity to recognize incremental costs to obtain a contract as an expense when incurred if the amortization period will be less than one year. Significant Financing Component - The Company has elected the practical expedient permitted in ASC 606-10-32-18, which allows an entity to not adjust the promised amount of consideration for the effects of a significant financing component if a contract has a duration of one year or less. As the Company’s contracts are typically less than one year in length, consideration will not be adjusted. The Company’s contracts include a standard payment term of 30 days, consequently there is no significant financing component within contracts.

ACQUISITION

ACQUISITION	6 Months Ended
ACQUISITION	Jun. 30, 2018
Business Combinations [Abstract]
ACQUISITION	ACQUISITION On January 25, 2018, the Company acquired one hundred percent ( 100% ) of the shares of Muuto Holding ApS and MIE4 Holding 5 ApS, which collectively hold substantially all the business operations of Muuto ApS (“Muuto”). Muuto’s affordable luxury products span commercial and residential applications, adding scale and diversity to the Company’s business. The aggregate purchase price for the acquisition was $303.7 million , net of $7.5 million of cash acquired and subject to certain customary adjustments. The Company recorded the acquisition of Muuto using the acquisition method of accounting and recognized the assets acquired and liabilities assumed at their estimated fair values as of the date of acquisition. The results of operations of Muuto have been included in the Company’s Lifestyle segment beginning January 25, 2018. The Company funded the acquisition with borrowings from the Amended Credit Agreement as well as cash on hand. See Note 10 for information on the Company’s borrowings. The Company recorded acquisition costs in its Consolidated Statement of Operations and Comprehensive Income, within selling, general, and administrative expenses during the six months ended June 30, 2018 of $1.5 million . The amount of sales and net loss that resulted from the acquisition and attributable to Knoll, Inc. stockholders included in the Condensed Consolidated Statements of Operations and Comprehensive Income during the periods ended June 30, 2018 were as follows (in thousands): Three Months Ended June 30, 2018 Six Months Ended June 30, 2018 Sales $ 21,005 $ 36,191 Net loss attributable to Knoll, Inc. stockholders $ (1,951 ) $ (2,105 ) The following table summarizes the preliminary fair values assigned to the assets acquired and liabilities assumed and resulting goodwill. These values are not yet finalized and are subject to change, which could be significant. The amounts recognized will be finalized as the information necessary to complete the analyses is obtained, but no later than one year from the acquisition date (“the measurement period”). Recognized amounts of identifiable assets and liabilities as of the January 25, 2018 acquisition date (in thousands): Amounts Recognized as of Acquisition Date (Previously disclosed in March 31, 2018 Form 10-Q) Measurement period adjustments Amounts Recognized as of Acquisition Date Cash $ 7,506 $ — $ 7,506 Customer receivables 8,717 — 8,717 Inventory 14,675 (3,851 ) 10,824 Other current assets 447 — 447 Property, plant, and equipment, net 1,250 — 1,250 Intangible assets 131,300 25 131,325 Other non-current assets 292 — 292 Total assets acquired $ 164,187 $ (3,826 ) $ 160,361 Accounts payable 3,374 — 3,374 Other current liabilities 12,244 (3,614 ) 8,630 Deferred income taxes 29,744 (816 ) 28,928 Other noncurrent liabilities 1,637 — 1,637 Total liabilities assumed $ 46,999 $ (4,430 ) $ 42,569 Net assets acquired $ 117,188 $ 604 $ 117,792 Purchase price $ 311,254 $ 311,254 Less: Fair value of acquired identifiable assets and liabilities 117,188 117,792 Goodwill $ 194,066 $ 193,462 The measurement period adjustments related to the identifiable assets and liabilities acquired during the three months ended June 30, 2018 represent an inventory valuation adjustment of $3.9 million , a $3.6 million adjustment for future payments that are considered compensation for post combination service and a $0.8 million adjustment to the long-term deferred tax liability. The following table summarizes the estimated fair value of Muuto’s identifiable intangible assets and their estimated useful lives (in thousands): Fair Value as of January 25, 2018 Estimated Useful Life (in years) Indefinite-lived intangible assets: Trade name $ 65,000 Indefinite Finite-lived intangible assets: Wholesale customer relationships 33,000 15 Contract customer relationships 22,000 9 Copyrights & designs 10,000 7 Non-competition agreements 1,325 3 $ 131,325 The preliminary purchase price of Muuto has been allocated to the Company’s tangible and identifiable intangible assets acquired and liabilities assumed, based on their estimated acquisition date fair values. The excess of the purchase price over the net tangible and intangible assets is recorded to goodwill. Goodwill is not deductible for tax purposes. The preliminary allocation of purchase price is based upon a valuation undertaken by the Company and is subject to change during the measurement period. The initial accounting for the acquisition of Muuto is incomplete pending final valuation of the tangible and identifiable intangible assets acquired and liabilities assumed. Unaudited pro forma information for the Company for the six months ended June 30, 2018 and 2017 as if the acquisition had occurred January 1, 2017 is as follows (in thousands): Six Months Ended June 30, 2018 2017 Pro forma sales $ 624,058 $ 557,494 Pro forma net earnings attributable to Knoll, Inc. stockholders $ 32,591 $ 25,601 The unaudited pro forma financial information has been presented for illustrative purposes only and is not necessarily indicative of results of operations that would have been achieved had the acquisition taken place on the date indicated, or the future consolidated results of operations of the Company. The pro forma financial information presented above has been derived from the historical condensed consolidated financial statements of the Company and from the historical consolidated financial statements of Muuto. The pro forma financial information presented above include adjustments for: (1) incremental amortization expense related to fair value adjustments to identifiable intangible assets, (2) incremental interest expense for outstanding borrowings to reflect the terms of the Amended Credit Agreement, (3) nonrecurring items, (4) the tax effect of the above adjustments. The pro forma information presented for the six months ended June 30, 2018 includes adjustments for future payments that are considered compensation for post combination service of $1.5 million , loss on debt extinguishment of $1.4 million , acquisition costs of $1.5 million , acquisition related inventory valuation of $0.9 million , incremental interest expense of $0.9 million , and incremental amortization of intangibles of $0.1 million . The income tax impact of these adjustments for the six months ended June 30, 2018 was $0.9 million . The pro forma information presented for the six months ended June 30, 2017 includes adjustments for amortization of intangibles of $3.3 million , future payments that are considered compensation for post combination service of $1.8 million , loss on debt extinguishment of $1.5 million , interest expense of $4.5 million , and acquisition related inventory valuation of $0.9 million . The income tax impact of these adjustments for the six months ended June 30, 2017 was $3.4 million . The pro forma financial information does not include adjustments for potential future cost savings.

INVENTORIES

INVENTORIES	6 Months Ended
INVENTORIES	Jun. 30, 2018
Inventory Disclosure [Abstract]
INVENTORIES	INVENTORIES Information regarding the Company’s inventories is as follows (in thousands): June 30, 2018 December 31, 2017 Raw materials $ 62,531 $ 58,725 Work-in-process 7,488 6,943 Finished goods 97,443 79,277 $ 167,462 $ 144,945

PENSION AND OTHER POST-EMPLOYME

PENSION AND OTHER POST-EMPLOYMENT BENEFITS	6 Months Ended
PENSION AND OTHER POST-EMPLOYMENT BENEFITS	Jun. 30, 2018
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract]
PENSION AND OTHER POST-EMPLOYMENT BENEFITS	PENSION AND OTHER POST-EMPLOYMENT BENEFITS The following tables set forth the components of the net periodic benefit income for the Company’s pension and other post-employment benefit plans (in thousands): Pension Benefits Other Benefits Three Months Ended June 30, Three Months Ended June 30, 2018 2017 2018 2017 Interest cost $ 2,504 $ 2,390 $ 30 $ 43 Expected return on plan assets (4,606 ) (4,615 ) — — Amortization of prior service credit — — (182 ) (371 ) Recognized actuarial loss (gain) 366 154 (18 ) 1 Pension settlement charge (1) 4,608 — — — Net periodic pension cost $ 2,872 $ (2,071 ) $ (170 ) $ (327 ) (1) The pension settlement charge was related to the purchase of annuities for certain pension plan retirees as well as cash payments from lump sum elections. Pension Benefits Other Benefits Six Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Interest cost $ 5,008 $ 4,780 $ 60 $ 86 Expected return on plan assets (9,212 ) (9,230 ) — — Amortization of prior service credit — — (364 ) (742 ) Recognized actuarial loss (gain) 732 308 (36 ) 2 Pension settlement charge (1) 4,608 — — — Net periodic pension cost $ 1,136 $ (4,142 ) $ (340 ) $ (654 ) (1) The pension settlement charge was related to the purchase of annuities for certain pension plan retirees as well as cash payments from lump sum elections. During the six months ended June 30, 2018, in connection with the pension settlement, the Company remeasured its pension plans and recorded a $5.8 million reduction to the pension liability. This reduction was primarily driven by a change in the weighted average discount rates used to measure the liabilities. There was no change to the weighted average expected long-term rate of return on plan assets.

FAIR VALUE OF FINANCIAL INSTRUM

FAIR VALUE OF FINANCIAL INSTRUMENTS	6 Months Ended
FAIR VALUE OF FINANCIAL INSTRUMENTS	Jun. 30, 2018
Fair Value Disclosures [Abstract]
FAIR VALUE OF FINANCIAL INSTRUMENTS	FAIR VALUE OF FINANCIAL INSTRUMENTS Financial Instruments The fair values of the Company’s cash and cash equivalents approximate carrying value due to their short maturities and are classified as Level 1. The fair value of the Company’s long-term debt approximates its carrying value, as it is variable rate debt and the terms are comparable to market terms as of the balance sheet dates and are classified as Level 2. Assets and Liabilities Recorded at Fair Value on a Recurring Basis The following table represents the assets and liabilities, measured at fair value on a recurring basis and the basis for that measurement (in thousands): Fair Value as of June 30, 2018 Fair Value as of December 31, 2017 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets: Interest rate swap $ — $ 1,424 $ — $ 1,424 $ — $ — $ — $ — Liabilities: Contingent purchase price payment - DatesWeiser $ — $ — $ 1,100 $ 1,100 $ — $ — $ 1,100 $ 1,100 Interest Rate Swap The Company’s interest rate swap has a maturity of five years and is with a counterparty with a credit rating of A- according to S&P and Fitch. The fair value of the interest rate swap agreement is based on observable prices as quoted for receiving the variable one month London Interbank Offered Rates or LIBOR and paying fixed interest rates and therefore were classified as Level 2. Contingent Payment Pursuant to the agreement governing the acquisition of DatesWeiser, the Company may be required to make annual contingent purchase price payments. The payouts are based upon DatesWeiser reaching an annual net sales target, for each year through 2020. The Company classifies this as a Level 3 measurement and is required to remeasure this liability at fair value on a recurring basis. The fair value of such contingent purchase price payments, totaling $1.1 million , was determined at the time of acquisition based upon net sales projections for DatesWeiser for 2017, 2018, 2019 and 2020. Excluding the initial recognition of the liability for the contingent purchase price payments and payments made to reduce the liability, any changes in the fair value will be included within selling, general and administrative expenses. There were no additional assets and/or liabilities recorded at fair value on a recurring basis as of June 30, 2018 or December 31, 2017 .

DERIVATIVE INSTRUMENTS

DERIVATIVE INSTRUMENTS	6 Months Ended
DERIVATIVE INSTRUMENTS	Jun. 30, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVE INSTRUMENTS	DERIVATIVE INSTRUMENTS The Company is exposed to interest rate risks related to its business operations. To reduce the interest rate risk the Company uses derivative instruments, including interest rate swaps contracts. The Company does not use derivatives for speculative trading purposes. Cash flow hedge To offset the variability of cash flows in interest payments associated with a portion of the Company’s variable rate debt, the Company entered into an interest rate swap contract in January 2018 which is designated as a cash flow hedge. The interest rate swap hedges US LIBOR based debt which effectively converts variable-rate debt to a fixed interest rate. As of June 30, 2018 , the Company’s interest rate swap agreement had a notional amount of $300.0 million that hedges certain long-term debt obligations. The contract has a rate of 2.63% . The following table illustrates the location and fair value of the Company’s interest rate swap at June 30, 2018 and December 31, 2017 (in thousands): Derivatives June 30, 2018 December 31, 2017 Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives designated as hedging instruments under ASC 815 Interest rate swap Other assets $ 1,424 n/a $ — Total derivatives designated as hedging instruments under ASC 815 $ 1,424 $ — As of June 30, 2018 , there was no hedge ineffectiveness associated with the Company’s interest rate swap and no portion of our cash flow hedge is excluded from the assessment of effectiveness. The Company will defer any effective portion of the cash flow hedge to accumulated other comprehensive income and will reclassify into earnings when the transaction occurs. The interest rate swap had no effect on the Consolidated Statement of Operations for the three and six months ended June 30, 2018 . The Company does not expect any material reclassifications from accumulated other comprehensive income into earnings over the next 12 months.

GOODWILL AND INTANGIBLES ASSETS

GOODWILL AND INTANGIBLES ASSETS, NET	6 Months Ended
GOODWILL AND INTANGIBLES ASSETS, NET	Jun. 30, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND OTHER INTANGIBLE ASSETS, NET	GOODWILL AND OTHER INTANGIBLE ASSETS, NET Information regarding the Company’s other intangible assets are as follows (in thousands): June 30, 2018 December 31, 2017 Gross Accumulated Net Gross Accumulated Net Indefinite-lived intangible assets: Tradenames $ 287,427 $ — $ 287,427 $ 225,600 $ — $ 225,600 Finite-lived intangible assets: Customer relationships 74,910 (14,551 ) 60,359 22,497 (11,575 ) 10,922 Copyrights & design 9,542 (618 ) 8,924 — — — Various 13,378 (10,586 ) 2,792 12,088 (10,029 ) 2,059 Total $ 385,257 $ (25,755 ) $ 359,502 $ 260,185 $ (21,604 ) $ 238,581 The Company’s amortization expense, which is recorded on a straight-line basis, related to finite-lived intangible assets was $2.2 million and $4.1 million for the three and six months ended June 30, 2018 and $0.8 million and $1.6 million for the three and six months ended June 30, 2017, respectively. The expected amortization expense based on the finite-lived intangible assets as of June 30, 2018 are as follows (in thousands): Estimated Amortization Remainder of 2018 $ 4,421 2019 8,804 2020 8,731 2021 8,206 2022 7,881 The changes in the carrying amount of goodwill by reportable segment are as follows (in thousands): Office Lifestyle Segment Total Balance as of December 31, 2017 $ 36,220 $ 105,893 $ 142,113 Foreign currency translation adjustment (335 ) (9,235 ) (9,570 ) Goodwill acquired — 193,813 193,813 Balance as of June 30, 2018 $ 35,885 $ 290,471 $ 326,356

OTHER CURRENT LIABILITIES

OTHER CURRENT LIABILITIES	6 Months Ended
OTHER CURRENT LIABILITIES	Jun. 30, 2018
Other Liabilities Disclosure [Abstract]
OTHER CURRENT LIABILITIES	OTHER CURRENT LIABILITIES Information regarding the Company’s other current liabilities are as follows (in thousands): June 30, 2018 December 31, 2017 Accrued employee compensation $ 30,457 $ 41,144 Customer deposits 40,063 30,484 Warranty 9,681 9,174 Contingent payout 1,100 1,100 Other 28,342 22,256 Other current liabilities $ 109,643 $ 104,158

INDEBTEDNESS

INDEBTEDNESS	6 Months Ended
INDEBTEDNESS	Jun. 30, 2018
Debt Disclosure [Abstract]
INDEBTEDNESS	INDEBTEDNESS The Company’s long-term debt is summarized as follows (in thousands): June 30, 2018 December 31, 2017 Balance of revolving credit facility $ 155,000 $ 27,000 Balance of term loan 340,989 165,000 Total long-term debt 495,989 192,000 Less: current maturities of long-term debt 17,274 10,000 Less: deferred financing fees, net 4,583 952 Long-term debt $ 474,132 $ 181,048 On January 23, 2018, the Company completed an amendment to its existing credit facility, dated May 20, 2014 (the “Existing Credit Agreement”), whereby the Existing Credit Agreement was amended and restated in its entirety by the Third Amended and Restated Credit Agreement, among the Company and certain foreign subsidiaries of the Company, as borrowers, and certain domestic and foreign subsidiaries of the Company, as guarantors, (the “Amended Credit Agreement”). The Amended Credit Agreement provides for a $750.0 million credit facility that matures in five years, consisting of a revolving commitment in the amount of $400.0 million , which may be available in U.S. dollars, Euro, British Pound and other foreign currencies, a U.S. term loan commitment in the amount of $250.0 million and a multicurrency term loan commitment in the amount of €81.7 million . The Amended Credit Agreement also includes an option to increase the size of the revolving credit facility or incur incremental term loans by up to the greater of $250.0 million or 90% of the EBITDA of the Company and its subsidiaries for the four fiscal quarters prior to such increase or additional loan, subject to the satisfaction of certain terms and conditions. The proceeds of the credit facility were used to (1) consummate the Muuto acquisition and, (2) refinance certain indebtedness and will also be used, among other things, for general corporate and operational purposes. Borrowings under the revolving credit facility may be repaid at any time, but no later than the maturity date on January 23, 2023 . The Company retains the right to terminate or reduce the size of the revolving credit facility at any time. Borrowings under the term loan facilities amortize in equal quarterly installments equaling 5% per annum, with the remaining borrowings due on the maturity date. Interest on the revolving credit and term loans will accrue, at the Company’s election, at (i) the Eurocurrency Rate (as defined in the Amended Credit Agreement), plus additional percentage points based on the Company’s leverage ratio or (ii) the Base Rate (a rate based on the higher of (a) the prime rate announced from time-to-time by Bank of America, N.A., (b) the Federal Reserve System’s federal funds rate, plus .50% or (c) the Eurocurrency Rate, plus 1.00% ; Base Rate is defined in detail in the Amended Credit Agreement), plus additional percentage points based on the Company’s leverage ratio. The Amended Credit Agreement requires the Company to comply with various affirmative and negative covenants, including without limitation (i) covenants to maintain a minimum specified interest coverage ratio and maximum specified net leverage ratio (or under certain circumstances, a maximum specified net secured leverage ratio), and (ii) covenants that prevent or restrict the Company’s ability to pay dividends, engage in certain mergers or acquisitions, make certain investments or loans, incur future indebtedness, engage in sale-leaseback transactions, alter its capital structure or line of business, prepay subordinated indebtedness, engage in certain transactions with affiliates and sell stock or assets. Repayments under the Amended Credit Agreement can be accelerated by the lenders upon the occurrence of certain events of default, including, without limitation, a failure to pay any principal, interest or other amounts in respect of loans when due, breach by the Company (or its subsidiaries) of any of the covenants or representations contained in the Amended Credit Agreement or related loan documents, failure of the Company (or its material subsidiaries) to pay any amounts owed with respect to other significant indebtedness of the Company or such subsidiary, or a bankruptcy event with respect to the Company or any of its material subsidiaries. The indebtedness incurred under the Amended Credit Agreement is secured by substantially all of the Company’s tangible and intangible assets, including, without limitation, the Company’s intellectual property. The Company’s direct and indirect wholly-owned domestic subsidiaries have also guaranteed the obligations of the Company and the foreign borrowers under the Amended Credit Agreement and pledged substantially all of their tangible and intangible assets as security for their obligations under such guarantee. Certain of the Company’s wholly-owned foreign subsidiaries have guaranteed the obligations of the foreign borrowers under the Amended Credit Agreement and pledged certain of their assets as security for their obligations under such guarantee. The aggregate maturities of long-term debt are as follows: Future minimum debt payments 2018 $ 8,465 2019 17,274 2020 17,274 2021 17,274 2022 17,274 Thereafter 418,428 Total $ 495,989 Deferred Financing Fees In conjunction with the issuance of the Amended Credit Agreement, the Company incurred $4.5 million in debt issuance costs, which are being deferred and amortized over the term of the Amended Credit Agreement. In conjunction with terminating the Company’s Existing Credit Agreement, $0.4 million in unamortized debt issuance costs and $1.0 million of third party fees related to debt extinguishment were written-off as a loss on extinguishment of debt during the six months ended June 30, 2018 . The loss on extinguishment of debt was recorded as interest expense, net on the accompanying statements of operations and comprehensive loss. The remaining unamortized fees are being amortized over the term of the Amended Credit Agreement.

CONTINGENT LIABILITIES AND COMM

CONTINGENT LIABILITIES AND COMMITMENTS	6 Months Ended
CONTINGENT LIABILITIES AND COMMITMENTS	Jun. 30, 2018
Commitments and Contingencies Disclosure [Abstract]
CONTINGENT LIABILITIES AND COMMITMENTS	CONTINGENT LIABILITIES AND COMMITMENTS Litigation The Company is currently involved in matters of litigation, including environmental contingencies, arising in the ordinary course of business. The Company accrues for such matters when expenditures are probable and reasonably estimable. Based upon information presently known, management is of the opinion that such litigation, either individually or in the aggregate, will not have a material adverse effect on the Company’s financial position, results of operations, or cash flows. Warranty The Company provides for estimated product warranty expenses when related products are sold and are included within other current liabilities. Because warranty estimates are forecasts that are based on the best available information, primarily historical claims experience, future warranty claims may differ from the amounts provided. Changes in the warranty reserve are as follows (in thousands): Balance, December 31, 2017 $ 9,174 Provision for warranty claims 3,813 Warranties acquired through business combinations 611 Warranty claims paid (3,910 ) Foreign currency translation adjustment (7 ) Balance, June 30, 2018 $ 9,681 Warranty expense for the three and six months ended June 30, 2018 was $1.9 million and $3.8 million , respectively. Warranty expense for the three and six months ended June 30, 2017 was $1.7 million and $2.8 million , respectively.

EQUITY

EQUITY	6 Months Ended
EQUITY	Jun. 30, 2018
Equity [Abstract]
EQUITY	EQUITY The following table shows the change in equity attributable to Knoll, Inc. stockholders and noncontrolling interests during the six months ended June 30, 2018 (in thousands): Common Additional Retained Accumulated Total Noncontrolling Interests Total Equity Balance at December 31, 2017 $ 493 $ 54,455 $ 347,304 $ (43,774 ) $ 358,478 $ 251 $ 358,729 Adoption of ASU 2018-02 — — 6,250 (6,250 ) — — — Net earnings — — 28,383 — 28,383 7 28,390 Other comprehensive income — — — (2,959 ) (2,959 ) — (2,959 ) Shares issued for consideration: Shares issued under stock incentive plan 4 (2 ) — — 2 — 2 Shares issued to Board of Directors in lieu of cash — 37 — — 37 — 37 Stock-based compensation, net of forfeitures — 4,496 — — 4,496 — 4,496 Cash dividend ($0.30 per share) — — (15,238 ) — (15,238 ) — (15,238 ) Purchase of common stock (2 ) (4,393 ) — — (4,395 ) — (4,395 ) Balance at June 30, 2018 $ 495 $ 54,593 $ 366,699 $ (52,983 ) $ 368,804 $ 258 $ 369,062 The following table demonstrates the change in the number of shares of common stock outstanding during the six months ended June 30, 2018 (excludes non-voting restricted shares): Shares outstanding as of December 31, 2017 48,497,942 Shares issued under stock incentive plan, net of awards surrendered to pay applicable taxes 194,641 Shares issued to Board of Directors in lieu of cash 1,838 Shares outstanding at June 30, 2018 48,694,421

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	6 Months Ended
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	Jun. 30, 2018
Equity [Abstract]
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)	ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following table summarizes the changes in accumulated other comprehensive income (loss) net of tax by component for the six months ended June 30, 2018 (in thousands): Unrealized gains (losses) on Interest Rate Swaps Foreign Pension and Total Balance, as of December 31, 2017 $ — $ (5,487 ) $ (38,287 ) $ (43,774 ) Adoption of ASU 2018-02 — — (6,250 ) (6,250 ) Other comprehensive income before reclassifications 1,053 (11,892 ) 4,249 (6,590 ) Amounts reclassified from accumulated other comprehensive loss — — 3,631 3,631 Net current-period other comprehensive income 1,053 (11,892 ) 7,880 (2,959 ) Balance, as of June 30, 2018 $ 1,053 $ (17,379 ) $ (36,657 ) $ (52,983 ) The following reclassifications were made from accumulated other comprehensive income (loss) to the condensed consolidated statements of operations and other comprehensive income (in thousands): Three Months Ended Six Months Ended June 30, 2018 June 30, 2017 June 30, 2018 June 30, 2017 Amortization of pension and other post-employment liability adjustments Prior service credits (1) $ (182 ) $ (371 ) $ (364 ) $ (742 ) Actuarial losses (1) 348 155 696 310 Loss recognized during settlement 4,608 — 4,608 — Total before tax 4,774 (216 ) 4,940 (432 ) Tax (benefit) expense (1,265 ) 78 (1,309 ) 157 Net of tax $ 3,509 $ (138 ) $ 3,631 $ (275 ) (1) These accumulated other comprehensive income (loss) components are included in the computation of net periodic pension costs, and are included in Other income, net within the Condensed Consolidated Statements of Operations and Comprehensive Income. See Note 5 for additional information.

EARNINGS PER SHARE

EARNINGS PER SHARE	6 Months Ended
EARNINGS PER SHARE	Jun. 30, 2018
Earnings Per Share [Abstract]
EARNINGS PER SHARE	EARNINGS PER SHARE Basic earnings per share excludes the dilutive effect of common shares that could potentially be issued due to the exercise of stock options and vesting of unvested restricted stock and restricted stock units, and is computed by dividing net earnings available to common shareholders by the weighted-average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised or converted into common stock. At June 30, 2018 and 2017 , the Company had restricted stock and restricted stock units, which could potentially dilute basic earnings per share in the future. The following table sets forth the reconciliation from basic to dilutive average common shares (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Numerator: Net earnings attributable to Knoll, Inc. stockholders $ 13,124 $ 12,938 $ 28,383 $ 28,338 Denominator: Basic earnings per share - weighted-average shares 48,672 48,465 48,615 48,375 Effect of dilutive securities: Potentially dilutive shares resulting from stock plans 459 912 523 920 Diluted earnings per share - weighted-average shares 49,131 49,377 49,138 49,295 Antidilutive equity awards not included in weighted-average common shares—diluted — — — 12 Net earnings per common share attributable to Knoll, Inc. stockholders: Basic $ 0.27 $ 0.27 $ 0.58 $ 0.59 Diluted $ 0.27 $ 0.26 $ 0.58 $ 0.57

INCOME TAXES

INCOME TAXES	6 Months Ended
INCOME TAXES	Jun. 30, 2018
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES The Company’s income tax provision consists of federal, state and foreign income taxes. The tax provision for the three months ended June 30, 2018 and 2017 were based on the estimated effective tax rates applicable for the full years ending December 31, 2018 and 2017 and includes items specifically related to the interim periods. The Company’s effective tax rate was 26.6% and 31.3% for the six months ended June 30, 2018 and 2017 , respectively. The decrease in the Company’s effective tax rate for the six months ended June 30, 2018 compared to the six months ended June 30, 2017 was due to the Tax Act legislation. The Company’s geographic mix of pretax income and the varying effective tax rates in the countries and states in which the Company operates also impacts its effective tax rate. As of both June 30, 2018 and December 31, 2017 , the Company had unrecognized tax benefits of approximately $0.9 million , respectively. These unrecognized tax benefit amounts would affect the effective tax rate if recognized. As of June 30, 2018 , the Company is subject to U.S. Federal Income Tax examination for the tax years 2007 through 2017, and to non-U.S. income tax examination for the tax years 2010 through 2017. In addition, the Company is subject to state and local income tax examinations for the tax years 2007 through 2017.

SEGMENT INFORMATION

SEGMENT INFORMATION	6 Months Ended
SEGMENT INFORMATION	Jun. 30, 2018
Segment Reporting [Abstract]
SEGMENT INFORMATION	SEGMENT INFORMATION The Company manages its business through its reportable segments: Office and Lifestyle. The Office segment includes a complete range of workplace products that address diverse workplace planning paradigms in North America and Europe. These products include: systems furniture, seating, storage, tables, desks and KnollExtra® accessories as well as the international sales of our Office products. The Lifestyle segment includes KnollStudio®, HOLLY HUNT®, DatesWeiser, Muuto, KnollTextiles®, Spinneybeck® (including Filzfelt®), and Edelman® Leather. KnollStudio products, which are distributed in North America and Europe, include iconic seating, lounge furniture, side, cafe and dining chairs as well as conference, training and dining and occasional tables. HOLLY HUNT® is known for high quality residential furniture, lighting, rugs, textiles and leathers. In addition, HOLLY HUNT® also includes Vladimir Kagan Design Group, a renowned collection of modern luxury furnishings. DatesWeiser, known for its sophisticated meeting and conference tables and credenzas, sets a standard for design, quality and technology integration. The KnollTextiles®, Spinneybeck® (including Filzfelt®), and Edelman® Leather businesses provide a wide range of customers with high-quality fabrics, felt, leather and related architectural products. The acquisition of Muuto rounds out the Lifestyle segment with its ancillary products and affordable luxury furnishings to make the Lifestyle segment an all encompassing “resimercial”, high performance workplace, from uber-luxury living spaces to affordable luxury residential living. In 2018, the Company revised its segment presentation by aggregating the former Studio and Coverings segments with Muuto to create the Lifestyle segment. Additionally, the Office segment now includes the office business in Europe which was historically reported in Studio. The Company believes this revised presentation better aligns the segments with how management views and operates the Company. As a result of this change in segment reporting, the Company retrospectively revised prior period results, by segment, to conform to current period presentation. Corporate costs include unallocated costs relating to shared services and general corporate activities such as legal expenses, acquisition expenses, certain finance, human resources, administrative and executive expenses and other expenses that are not directly attributable to an operating segment. Dedicated, direct selling, general and administrative expenses, of the segments are included within segment operating profit. Management regularly reviews the costs included in the Corporate function and believes disclosing such information provides more visibility and transparency of how the chief operating decision maker reviews the results for the Company. The tables below present the Company’s segment information with Corporate costs excluded from reporting segment results. Prior year amounts have been recast to conform to the current presentation (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 SALES Office $ 190,747 $ 162,599 $ 372,365 $ 320,597 Lifestyle 132,604 106,095 247,545 204,917 Knoll, Inc. $ 323,351 $ 268,694 $ 619,910 $ 525,514 INTERSEGMENT SALES (1) Office $ 497 $ 450 $ 1,009 $ 724 Lifestyle 3,050 2,142 5,404 5,191 Knoll, Inc. $ 3,547 $ 2,592 $ 6,413 $ 5,915 OPERATING PROFIT Office (2) $ 10,316 $ 4,812 $ 19,182 $ 13,639 Lifestyle 20,965 20,584 41,141 38,996 Corporate (3) (6,469 ) (5,564 ) (13,051 ) (12,167 ) Knoll, Inc. (4) $ 24,812 $ 19,832 $ 47,272 $ 40,468 _______________________________________________________________________________ (1) Intersegment sales are presented on a cost-plus basis which takes into consideration the effect of transfer prices between legal entities. (2) Knoll recorded restructuring charges of $0.8 million and $1.4 million during the three and six months ended June 30, 2018 and $2.2 million of restructuring charges for the three and six months ended June 30, 2017 within the Office segment related to an organizational realignment that will result in greater operating efficiency and control in 2018 and related to headcount rationalization and modernization of equipment in the Office segment in 2017. (3) Knoll recorded acquisition costs of $0.5 million and $1.5 million related to the acquisition of Muuto within the Corporate segment during the three and six months ended June 30, 2018 . (4) The Company does not allocate interest expense or other income, net to the reportable segments.

BASIS OF PRESENTATION (Policies

BASIS OF PRESENTATION (Policies)	6 Months Ended
BASIS OF PRESENTATION (Policies)	Jun. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	The accompanying unaudited condensed consolidated financial statements of Knoll, Inc. (the “Company”) have been prepared with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries and any partially owned subsidiaries that the Company has the ability to control. All significant intercompany balances and transactions have been eliminated in consolidation. Operating results for the three and six month periods ended June 30, 2018 are not necessarily indicative of the results that may be expected for the year ended December 31, 2018 . The condensed consolidated balance sheet of the Company, as of December 31, 2017 , has been derived from the Company’s audited consolidated financial statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in the Company’s annual report on Form 10-K for the year ended December 31, 2017 .
New Accounting Pronouncements	New Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, “ Revenue from Contracts with Customers ”, which outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers. This ASU supersedes the revenue recognition requirements in FASB ASC Topic 605, “Revenue Recognition,” and most industry-specific guidance. The standard provides a five step model to be applied to all contracts with customers, with an underlying principle that an entity will recognize revenue to depict the transfer of goods or services to customers at an amount that the entity expects to be entitled to in exchange for those goods or services. The standard is effective for annual reporting periods beginning after December 15, 2017 and interim periods therein. The Company adopted the standard as of January 1, 2018. The Company has completed its assessment of the impact of the new standard and adopted the new standard for all open contracts as of January 1, 2018 using the modified retrospective transition method, and applied the guidance to report new disclosures surrounding the Company’s recognition of revenue. The adoption of the new standard did not have a material impact on the financial position of the Company, the results of its operations or its cash flows as of and for the three and six months ended June 30, 2018 , and the Company’s internal controls over financial reporting. There was no cumulative effect of adopting the standard at the date of initial application in retained earnings. The Company’s Revenue Recognition accounting policy has been updated for the new standard. Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring goods or providing services. The amount of consideration received and revenue recognized varies with changes in returns, rebates, cash sales incentives and other allowances offered to customers based on the Company’s experience. The new standard further requires quantitative and qualitative disclosures about the Company’s contracts with customers which have been included within this Form 10-Q. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), which supersedes the guidance in ASC 840, Leases. ASC 842 will be effective for the Company on January 1, 2019, and the Company will adopt the standard using the modified retrospective approach. While the Company continues to evaluate the provisions of ASC 842 to determine its impact, the primary effect of adopting the new standard will be to record assets and obligations for current operating leases. The Company is currently in the process of evaluating the impact of adoption of the ASU on its consolidated financial statements. While the Company continues to evaluate the provisions of ASC 842 to determine its impact, the primary effect of adopting the new standard will be to record a right-of-use asset and a lease liability for all leases with a term of greater than 12 months regardless of their classification. The Company will continue to assess the impact on its accounting policies, internal control processes and related disclosures required under the new guidance. In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. ASU 2016-13 replaces the incurred loss impairment methodology for measuring and recognizing credit losses with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. This amendment is effective for fiscal years beginning after December 15, 2019 and will be effective for the Company on January 1, 2020. The Company does not believe there will be a material impact to the financial statements as a result of adopting this ASU. In March 2017, the FASB issued ASU 2017-07, Compensation-Retirement Benefits (Topic 715) . The new standard requires the service cost component of net periodic benefit cost to be presented in the same income statement line as other employee compensation costs arising from services rendered during the period and the other components of net periodic benefit cost to be presented separately from the income statement lines that include service cost and outside of any subtotal of operating income. The Company adopted the new standard for the period beginning January 1, 2018, resulting in no change in presentation of the service cost component of net periodic benefit cost, which has historically been reported in selling, general and administrative expenses along with other employee compensation costs. The retrospective adoption resulted in a change in presentation of the other components of net periodic benefit cost for the year ended December 31, 2017, and interim periods therein, by reclassifying net periodic benefit income of $2.4 million and $4.8 million for the three and six months ended June 30, 2017, respectively, from Selling, general and administrative expenses to Other income, net. In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815) . The new standard is intended to better align a company’s risk management strategies and financial reporting for hedging relationships. Under the new guidance, more hedging strategies will be eligible for hedge accounting and the application of hedge accounting is simplified. In addition, the new guidance amends presentation and disclosure requirements. The guidance is effective for fiscal years beginning after December 15, 2018 with early adoption permitted, including the interim periods within those years. The Company early adopted the standard as of January 1, 2018. The adoption of the standard did not have a material impact on the Company’s consolidated financial statements. In February 2018, the FASB issued ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220). The new standard will allow a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act (“Tax Act”). The amendments eliminate the stranded tax effects resulting from the Tax Act and will improve the usefulness of information reported to financial statements users. However, because the amendment only relates to the reclassification of the income tax effects of the Tax Act, the underlying guidance that requires that the effect of a change in tax laws or rates be included in income from continuing operations is not affected. The guidance is effective for fiscal years beginning after December 15, 2018 with early adoption permitted, including the interim periods within those years. The Company early adopted the standard effective January 1, 2018 and reclassified $6.3 million from accumulated other comprehensive income to retained earnings related to the Company’s minimum pension liability. In March 2018, the FASB issued ASU 2018-05, Income Taxes (Topic 740) which incorporates the provisions of SAB 118 into the accounting standards codification. The Securities and Exchange Commission staff issued Staff Accounting Bulletin No. 118 (“SAB 118”) which provides guidance regarding situations when a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the Tax Act. In accordance with the SAB 118, the Company has made a reasonable estimate of the effects on its existing deferred tax balances and the one-time transition tax. The ultimate impact of the Tax Act may differ from this estimate, possibly materially, due to changes in interpretations and assumptions, and guidance that may be issued and actions the Company may take in response to the Tax Act. The Tax Act is highly complex and the Company will continue to assess the impact that various provisions will have on the business and the consolidated financial statements. In June 2018, the FASB issued ASU 2018-07, Compensation - Stock compensation (Topic 718) which simplifies several aspects of the accounting for nonemployee share-based payment transactions resulting from expanding the scope of Topic 718, Compensation-Stock Compensation, to include share-based payment transactions for acquiring goods and services from nonemployees. Some of the areas for simplification apply only to nonpublic entities. The amendments specify that Topic 718 applies to all share-based payment transactions in which a grantor acquires goods or services to be used or consumed in a grantor’s own operations by issuing share-based payment awards. The amendments also clarify that Topic 718 does not apply to share-based payments used to effectively provide (1) financing to the issuer or (2) awards granted in conjunction with selling goods or services to customers as part of a contract accounted for under Topic 606, Revenue from Contracts with Customers. The amendments in this Update are effective for public business entities for fiscal years beginning after December 15, 2018, including interim periods within that fiscal year. Early adoption is permitted. The Company does not plan to early adopt this ASU and the Company does not believe there will be a material impact to the financial statements as a result of adopting this ASU.
Revenue Recognition	Contract Balances The Company has contract assets consisting of Customer Receivables in the Condensed Consolidated Balance Sheets which represent the amount of consideration the Company expects to be entitled to in exchange for the goods or services rendered to its customers. When the Company receives deposits, the recognition of revenue is deferred and results in the recognition of a contract liability (Customer deposits) presented as a component of Other Current Liabilities in the Condensed Consolidated Balance Sheets. Subsequent recognition of revenue and the satisfaction of the contract liability is typically less than one year as the Company’s standard contract is less than one year with a standard payment term of 30 days. Performance Obligations The Company recognizes revenue when performance obligations under the terms of a contract with its customer are satisfied. This occurs when the control of the goods and services have been transferred to the customer. Accordingly, revenue for sale of goods is generally recognized upon shipment or delivery depending on the shipping terms of the underlying contract. Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring goods or providing services. Amounts billed to customers for shipping and handling activities to fulfill the Company’s promise to transfer the goods are included in Sales, and costs incurred by the Company for the delivery of goods are classified as Cost of sales in the Condensed Consolidated Statements of Operations and Comprehensive Income. Sales tax, value added tax, and other taxes the Company collects concurrent with revenue-producing activities are excluded from revenue. The Company generally offers assurance-type warranties for its products. The specific terms and conditions of those warranties vary by the product. The Company estimates the costs that may be incurred under its warranties and records a liability in the amount of such costs at the time product revenue is recognized. Factors that affect the warranty liability include historical product-failure experience and estimated repair costs for identified matters. The Company periodically assesses the adequacy of its recorded warranty liabilities and adjusts the amounts as necessary. Practical Expedients Elected Incremental Costs of Obtaining a Contract - The Company has elected the practical expedient permitted in ASC 340-40-25-4, which permits an entity to recognize incremental costs to obtain a contract as an expense when incurred if the amortization period will be less than one year. Significant Financing Component - The Company has elected the practical expedient permitted in ASC 606-10-32-18, which allows an entity to not adjust the promised amount of consideration for the effects of a significant financing component if a contract has a duration of one year or less. As the Company’s contracts are typically less than one year in length, consideration will not be adjusted. The Company’s contracts include a standard payment term of 30 days, consequently there is no significant financing component within contracts.

REVENUE (Tables)

REVENUE (Tables)	6 Months Ended
REVENUE (Tables)	Jun. 30, 2018
Revenue from Contract with Customer [Abstract]
Net Sales by Product Category	The Company’s net sales by product category were as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Office Segment Office Systems $ 104,124 $ 94,479 $ 207,478 $ 194,707 Seating 33,471 27,193 63,428 52,855 Files and Storage 21,214 20,598 43,292 39,133 Ancillary 20,761 11,593 39,906 19,664 Other 11,177 8,736 18,261 14,238 Total Office Segment $ 190,747 $ 162,599 $ 372,365 $ 320,597 Lifestyle Segment Studio 104,807 78,482 192,374 149,389 Coverings 27,797 27,613 55,171 55,528 Total Lifestyle Segment $ 132,604 $ 106,095 $ 247,545 $ 204,917 Total Net Sales $ 323,351 $ 268,694 $ 619,910 $ 525,514
Changes in Customer Deposits	Changes in the Customer deposits balances during the six months ended June 30, 2018 are as follows: Balance, January 1, 2018 $ 30,484 Revenue recognized that included the contract liability balance at the beginning of the period ended June 30, 2018 (56,039 ) Increase due to cash received during the period ended June 30, 2018 64,118 Increase due to business combinations during the period ended June 30, 2018 1,500 Balance, June 30, 2018 $ 40,063

ACQUISITION (Tables)

ACQUISITION (Tables)	6 Months Ended
ACQUISITION (Tables)	Jun. 30, 2018
Business Combinations [Abstract]
Summary of Preliminary Fair Values Assigned to Assets Acquired and Liabilities Assumed	The following table summarizes the preliminary fair values assigned to the assets acquired and liabilities assumed and resulting goodwill. These values are not yet finalized and are subject to change, which could be significant. The amounts recognized will be finalized as the information necessary to complete the analyses is obtained, but no later than one year from the acquisition date (“the measurement period”). Recognized amounts of identifiable assets and liabilities as of the January 25, 2018 acquisition date (in thousands): Amounts Recognized as of Acquisition Date (Previously disclosed in March 31, 2018 Form 10-Q) Measurement period adjustments Amounts Recognized as of Acquisition Date Cash $ 7,506 $ — $ 7,506 Customer receivables 8,717 — 8,717 Inventory 14,675 (3,851 ) 10,824 Other current assets 447 — 447 Property, plant, and equipment, net 1,250 — 1,250 Intangible assets 131,300 25 131,325 Other non-current assets 292 — 292 Total assets acquired $ 164,187 $ (3,826 ) $ 160,361 Accounts payable 3,374 — 3,374 Other current liabilities 12,244 (3,614 ) 8,630 Deferred income taxes 29,744 (816 ) 28,928 Other noncurrent liabilities 1,637 — 1,637 Total liabilities assumed $ 46,999 $ (4,430 ) $ 42,569 Net assets acquired $ 117,188 $ 604 $ 117,792 Purchase price $ 311,254 $ 311,254 Less: Fair value of acquired identifiable assets and liabilities 117,188 117,792 Goodwill $ 194,066 $ 193,462
Summary of Identifiable Intangible Assets and their Estimated Useful Lives	The following table summarizes the estimated fair value of Muuto’s identifiable intangible assets and their estimated useful lives (in thousands): Fair Value as of January 25, 2018 Estimated Useful Life (in years) Indefinite-lived intangible assets: Trade name $ 65,000 Indefinite Finite-lived intangible assets: Wholesale customer relationships 33,000 15 Contract customer relationships 22,000 9 Copyrights & designs 10,000 7 Non-competition agreements 1,325 3 $ 131,325
Acquisition Pro Forma Information	The amount of sales and net loss that resulted from the acquisition and attributable to Knoll, Inc. stockholders included in the Condensed Consolidated Statements of Operations and Comprehensive Income during the periods ended June 30, 2018 were as follows (in thousands): Three Months Ended June 30, 2018 Six Months Ended June 30, 2018 Sales $ 21,005 $ 36,191 Net loss attributable to Knoll, Inc. stockholders $ (1,951 ) $ (2,105 ) Unaudited pro forma information for the Company for the six months ended June 30, 2018 and 2017 as if the acquisition had occurred January 1, 2017 is as follows (in thousands): Six Months Ended June 30, 2018 2017 Pro forma sales $ 624,058 $ 557,494 Pro forma net earnings attributable to Knoll, Inc. stockholders $ 32,591 $ 25,601

INVENTORIES (Tables)

INVENTORIES (Tables)	6 Months Ended
INVENTORIES (Tables)	Jun. 30, 2018
Inventory Disclosure [Abstract]
Schedule of inventories	Information regarding the Company’s inventories is as follows (in thousands): June 30, 2018 December 31, 2017 Raw materials $ 62,531 $ 58,725 Work-in-process 7,488 6,943 Finished goods 97,443 79,277 $ 167,462 $ 144,945

PENSION AND OTHER POST-EMPLOY26

PENSION AND OTHER POST-EMPLOYMENT BENEFITS (Tables)	6 Months Ended
PENSION AND OTHER POST-EMPLOYMENT BENEFITS (Tables)	Jun. 30, 2018
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract]
Schedule of components of the net periodic benefit cost	The following tables set forth the components of the net periodic benefit income for the Company’s pension and other post-employment benefit plans (in thousands): Pension Benefits Other Benefits Three Months Ended June 30, Three Months Ended June 30, 2018 2017 2018 2017 Interest cost $ 2,504 $ 2,390 $ 30 $ 43 Expected return on plan assets (4,606 ) (4,615 ) — — Amortization of prior service credit — — (182 ) (371 ) Recognized actuarial loss (gain) 366 154 (18 ) 1 Pension settlement charge (1) 4,608 — — — Net periodic pension cost $ 2,872 $ (2,071 ) $ (170 ) $ (327 ) (1) The pension settlement charge was related to the purchase of annuities for certain pension plan retirees as well as cash payments from lump sum elections. Pension Benefits Other Benefits Six Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Interest cost $ 5,008 $ 4,780 $ 60 $ 86 Expected return on plan assets (9,212 ) (9,230 ) — — Amortization of prior service credit — — (364 ) (742 ) Recognized actuarial loss (gain) 732 308 (36 ) 2 Pension settlement charge (1) 4,608 — — — Net periodic pension cost $ 1,136 $ (4,142 ) $ (340 ) $ (654 ) (1) The pension settlement charge was related to the purchase of annuities for certain pension plan retirees as well as cash payments from lump sum elections. During the six months ended June 30, 2018, in connection with the pension settlement, the Company remeasured its pension plans and recorded a $5.8 million reduction to the pension liability. This reduction was primarily driven by a change in the weighted average discount rates used to measure the liabilities. There was no change to the weighted average expected long-term rate of return on plan assets.

FAIR VALUE OF FINANCIAL INSTR27

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)	6 Months Ended
FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)	Jun. 30, 2018
Fair Value Disclosures [Abstract]
Schedule of assets and liabilities measured at fair value on a recurring basis	The following table represents the assets and liabilities, measured at fair value on a recurring basis and the basis for that measurement (in thousands): Fair Value as of June 30, 2018 Fair Value as of December 31, 2017 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets: Interest rate swap $ — $ 1,424 $ — $ 1,424 $ — $ — $ — $ — Liabilities: Contingent purchase price payment - DatesWeiser $ — $ — $ 1,100 $ 1,100 $ — $ — $ 1,100 $ 1,100

DERIVATIVE INSTRUMENTS (Tables)

DERIVATIVE INSTRUMENTS (Tables)	6 Months Ended
DERIVATIVE INSTRUMENTS (Tables)	Jun. 30, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Derivative Liabilities at Fair Value	The following table illustrates the location and fair value of the Company’s interest rate swap at June 30, 2018 and December 31, 2017 (in thousands): Derivatives June 30, 2018 December 31, 2017 Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives designated as hedging instruments under ASC 815 Interest rate swap Other assets $ 1,424 n/a $ — Total derivatives designated as hedging instruments under ASC 815 $ 1,424 $ —

GOODWILL AND INTANGIBLES ASSE29

GOODWILL AND INTANGIBLES ASSETS, NET (Tables)	6 Months Ended
GOODWILL AND INTANGIBLES ASSETS, NET (Tables)	Jun. 30, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Other Intangible Assets	Information regarding the Company’s other intangible assets are as follows (in thousands): June 30, 2018 December 31, 2017 Gross Accumulated Net Gross Accumulated Net Indefinite-lived intangible assets: Tradenames $ 287,427 $ — $ 287,427 $ 225,600 $ — $ 225,600 Finite-lived intangible assets: Customer relationships 74,910 (14,551 ) 60,359 22,497 (11,575 ) 10,922 Copyrights & design 9,542 (618 ) 8,924 — — — Various 13,378 (10,586 ) 2,792 12,088 (10,029 ) 2,059 Total $ 385,257 $ (25,755 ) $ 359,502 $ 260,185 $ (21,604 ) $ 238,581
Schedule of Expected Amortization of Finite-Lived Intangible Assets	The expected amortization expense based on the finite-lived intangible assets as of June 30, 2018 are as follows (in thousands): Estimated Amortization Remainder of 2018 $ 4,421 2019 8,804 2020 8,731 2021 8,206 2022 7,881
Schedule of Changes in the Carrying Amount of Goodwill	The changes in the carrying amount of goodwill by reportable segment are as follows (in thousands): Office Lifestyle Segment Total Balance as of December 31, 2017 $ 36,220 $ 105,893 $ 142,113 Foreign currency translation adjustment (335 ) (9,235 ) (9,570 ) Goodwill acquired — 193,813 193,813 Balance as of June 30, 2018 $ 35,885 $ 290,471 $ 326,356

OTHER CURRENT LIABILITIES (Tabl

OTHER CURRENT LIABILITIES (Tables)	6 Months Ended
OTHER CURRENT LIABILITIES (Tables)	Jun. 30, 2018
Other Liabilities Disclosure [Abstract]
Schedule of other current liabilities	Information regarding the Company’s other current liabilities are as follows (in thousands): June 30, 2018 December 31, 2017 Accrued employee compensation $ 30,457 $ 41,144 Customer deposits 40,063 30,484 Warranty 9,681 9,174 Contingent payout 1,100 1,100 Other 28,342 22,256 Other current liabilities $ 109,643 $ 104,158

INDEBTEDNESS (Tables)

INDEBTEDNESS (Tables)	6 Months Ended
INDEBTEDNESS (Tables)	Jun. 30, 2018
Debt Disclosure [Abstract]
Summary of long-term debt	The Company’s long-term debt is summarized as follows (in thousands): June 30, 2018 December 31, 2017 Balance of revolving credit facility $ 155,000 $ 27,000 Balance of term loan 340,989 165,000 Total long-term debt 495,989 192,000 Less: current maturities of long-term debt 17,274 10,000 Less: deferred financing fees, net 4,583 952 Long-term debt $ 474,132 $ 181,048
Schedule of Maturities of Long-term Debt	The aggregate maturities of long-term debt are as follows: Future minimum debt payments 2018 $ 8,465 2019 17,274 2020 17,274 2021 17,274 2022 17,274 Thereafter 418,428 Total $ 495,989

CONTINGENT LIABILITIES AND CO32

CONTINGENT LIABILITIES AND COMMITMENTS (Tables)	6 Months Ended
CONTINGENT LIABILITIES AND COMMITMENTS (Tables)	Jun. 30, 2018
Commitments and Contingencies Disclosure [Abstract]
Schedule of changes in the warranty reserve	Changes in the warranty reserve are as follows (in thousands): Balance, December 31, 2017 $ 9,174 Provision for warranty claims 3,813 Warranties acquired through business combinations 611 Warranty claims paid (3,910 ) Foreign currency translation adjustment (7 ) Balance, June 30, 2018 $ 9,681

EQUITY (Tables)

EQUITY (Tables)	6 Months Ended
EQUITY (Tables)	Jun. 30, 2018
Equity [Abstract]
Schedule of Changes in Stockholders Equity and Noncontrolling Interest	The following table shows the change in equity attributable to Knoll, Inc. stockholders and noncontrolling interests during the six months ended June 30, 2018 (in thousands): Common Additional Retained Accumulated Total Noncontrolling Interests Total Equity Balance at December 31, 2017 $ 493 $ 54,455 $ 347,304 $ (43,774 ) $ 358,478 $ 251 $ 358,729 Adoption of ASU 2018-02 — — 6,250 (6,250 ) — — — Net earnings — — 28,383 — 28,383 7 28,390 Other comprehensive income — — — (2,959 ) (2,959 ) — (2,959 ) Shares issued for consideration: Shares issued under stock incentive plan 4 (2 ) — — 2 — 2 Shares issued to Board of Directors in lieu of cash — 37 — — 37 — 37 Stock-based compensation, net of forfeitures — 4,496 — — 4,496 — 4,496 Cash dividend ($0.30 per share) — — (15,238 ) — (15,238 ) — (15,238 ) Purchase of common stock (2 ) (4,393 ) — — (4,395 ) — (4,395 ) Balance at June 30, 2018 $ 495 $ 54,593 $ 366,699 $ (52,983 ) $ 368,804 $ 258 $ 369,062
Summary of Stockholder Share Activity (in shares)	The following table demonstrates the change in the number of shares of common stock outstanding during the six months ended June 30, 2018 (excludes non-voting restricted shares): Shares outstanding as of December 31, 2017 48,497,942 Shares issued under stock incentive plan, net of awards surrendered to pay applicable taxes 194,641 Shares issued to Board of Directors in lieu of cash 1,838 Shares outstanding at June 30, 2018 48,694,421

ACCUMULATED OTHER COMPREHENSI34

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables)	6 Months Ended
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables)	Jun. 30, 2018
Equity [Abstract]
Schedule of accumulated other comprehensive income (loss)	The following table summarizes the changes in accumulated other comprehensive income (loss) net of tax by component for the six months ended June 30, 2018 (in thousands): Unrealized gains (losses) on Interest Rate Swaps Foreign Pension and Total Balance, as of December 31, 2017 $ — $ (5,487 ) $ (38,287 ) $ (43,774 ) Adoption of ASU 2018-02 — — (6,250 ) (6,250 ) Other comprehensive income before reclassifications 1,053 (11,892 ) 4,249 (6,590 ) Amounts reclassified from accumulated other comprehensive loss — — 3,631 3,631 Net current-period other comprehensive income 1,053 (11,892 ) 7,880 (2,959 ) Balance, as of June 30, 2018 $ 1,053 $ (17,379 ) $ (36,657 ) $ (52,983 )
Reclassification out of accumulated other comprehensive income	The following reclassifications were made from accumulated other comprehensive income (loss) to the condensed consolidated statements of operations and other comprehensive income (in thousands): Three Months Ended Six Months Ended June 30, 2018 June 30, 2017 June 30, 2018 June 30, 2017 Amortization of pension and other post-employment liability adjustments Prior service credits (1) $ (182 ) $ (371 ) $ (364 ) $ (742 ) Actuarial losses (1) 348 155 696 310 Loss recognized during settlement 4,608 — 4,608 — Total before tax 4,774 (216 ) 4,940 (432 ) Tax (benefit) expense (1,265 ) 78 (1,309 ) 157 Net of tax $ 3,509 $ (138 ) $ 3,631 $ (275 ) (1) These accumulated other comprehensive income (loss) components are included in the computation of net periodic pension costs, and are included in Other income, net within the Condensed Consolidated Statements of Operations and Comprehensive Income. See Note 5 for additional information.

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	6 Months Ended
EARNINGS PER SHARE (Tables)	Jun. 30, 2018
Earnings Per Share [Abstract]
Schedule of reconciliation of basic to dilutive average common shares	The following table sets forth the reconciliation from basic to dilutive average common shares (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Numerator: Net earnings attributable to Knoll, Inc. stockholders $ 13,124 $ 12,938 $ 28,383 $ 28,338 Denominator: Basic earnings per share - weighted-average shares 48,672 48,465 48,615 48,375 Effect of dilutive securities: Potentially dilutive shares resulting from stock plans 459 912 523 920 Diluted earnings per share - weighted-average shares 49,131 49,377 49,138 49,295 Antidilutive equity awards not included in weighted-average common shares—diluted — — — 12 Net earnings per common share attributable to Knoll, Inc. stockholders: Basic $ 0.27 $ 0.27 $ 0.58 $ 0.59 Diluted $ 0.27 $ 0.26 $ 0.58 $ 0.57

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	6 Months Ended
SEGMENT INFORMATION (Tables)	Jun. 30, 2018
Segment Reporting [Abstract]
Schedule of Segment Information with Corporate Costs Excluded	The tables below present the Company’s segment information with Corporate costs excluded from reporting segment results. Prior year amounts have been recast to conform to the current presentation (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 SALES Office $ 190,747 $ 162,599 $ 372,365 $ 320,597 Lifestyle 132,604 106,095 247,545 204,917 Knoll, Inc. $ 323,351 $ 268,694 $ 619,910 $ 525,514 INTERSEGMENT SALES (1) Office $ 497 $ 450 $ 1,009 $ 724 Lifestyle 3,050 2,142 5,404 5,191 Knoll, Inc. $ 3,547 $ 2,592 $ 6,413 $ 5,915 OPERATING PROFIT Office (2) $ 10,316 $ 4,812 $ 19,182 $ 13,639 Lifestyle 20,965 20,584 41,141 38,996 Corporate (3) (6,469 ) (5,564 ) (13,051 ) (12,167 ) Knoll, Inc. (4) $ 24,812 $ 19,832 $ 47,272 $ 40,468 _______________________________________________________________________________ (1) Intersegment sales are presented on a cost-plus basis which takes into consideration the effect of transfer prices between legal entities. (2) Knoll recorded restructuring charges of $0.8 million and $1.4 million during the three and six months ended June 30, 2018 and $2.2 million of restructuring charges for the three and six months ended June 30, 2017 within the Office segment related to an organizational realignment that will result in greater operating efficiency and control in 2018 and related to headcount rationalization and modernization of equipment in the Office segment in 2017. (3) Knoll recorded acquisition costs of $0.5 million and $1.5 million related to the acquisition of Muuto within the Corporate segment during the three and six months ended June 30, 2018 . (4) The Company does not allocate interest expense or other income, net to the reportable segments.

BASIS OF PRESENTATION - New Acc

BASIS OF PRESENTATION - New Accounting Pronouncements (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Selling, general and administrative	$ (93,637)	$ (77,976)	$ (178,362)	$ (153,014)
Reclass to Other income, net	(2,792)	(2,169)	(6,794)	(4,360)
Reclass from accumulated other comprehensive income	52,983		52,983		$ 43,774
Retained earnings	$ 366,699		$ 366,699		347,304
ASU 2018-02
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reclass from accumulated other comprehensive income					6,300
Retained earnings					$ 6,300
ASU 2017-07
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Selling, general and administrative		2,400		4,800
Reclass to Other income, net		$ 2,400		$ 4,800

REVENUE - Net Sales by Product

REVENUE - Net Sales by Product Category (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Revenue from External Customer [Line Items]
Total Net Sales	$ 323,351	$ 268,694	$ 619,910	$ 525,514
Office Segment
Revenue from External Customer [Line Items]
Total Net Sales	190,747	162,599	372,365	320,597
Lifestyle Segment
Revenue from External Customer [Line Items]
Total Net Sales	132,604	106,095	247,545	204,917
Office Systems \| Office Segment
Revenue from External Customer [Line Items]
Total Net Sales	104,124	94,479	207,478	194,707
Seating \| Office Segment
Revenue from External Customer [Line Items]
Total Net Sales	33,471	27,193	63,428	52,855
Files and Storage \| Office Segment
Revenue from External Customer [Line Items]
Total Net Sales	21,214	20,598	43,292	39,133
Ancillary \| Office Segment
Revenue from External Customer [Line Items]
Total Net Sales	20,761	11,593	39,906	19,664
Other \| Office Segment
Revenue from External Customer [Line Items]
Total Net Sales	11,177	8,736	18,261	14,238
Studio \| Lifestyle Segment
Revenue from External Customer [Line Items]
Total Net Sales	104,807	78,482	192,374	149,389
Coverings \| Lifestyle Segment
Revenue from External Customer [Line Items]
Total Net Sales	$ 27,797	$ 27,613	$ 55,171	$ 55,528

REVENUE - Contract Balances, Si

REVENUE - Contract Balances, Significant Changes in Customer Deposits (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2018USD ($)
Business Acquisition [Line Items]
Balance at beginning of period	$ 30,484
Revenue recognized that was included in the contract liability balance at the beginning of the period ended June 30, 2018	(56,039)
Increases due to cash received during period	64,118
Increase due to business combinations during the period ended June 30, 2018	1,500
Balance at end of period	$ 40,063

ACQUISITION (Details)

ACQUISITION (Details) - USD ($) $ in Thousands	Jan. 25, 2018	Jun. 30, 2018	Jun. 30, 2017
Business Acquisition [Line Items]
Aggregate purchase price		$ 304,088	$ 0
Cash acquired from acquisition	$ 7,500
Muuto Acquisition
Business Acquisition [Line Items]
Percentage of voting interests acquired	100.00%
Aggregate purchase price	$ 303,700
Muuto Acquisition \| Selling, General and Administrative Expenses
Business Acquisition [Line Items]
Acquisition costs		$ 1,500

ACQUISITION - Sales and Net Ear

ACQUISITION - Sales and Net Earnings from Acquisition (Details) - Muuto Acquisition - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2018
Business Acquisition [Line Items]
Sales	$ 21,005	$ 36,191
Net loss attributable to Knoll, Inc. stockholders	$ (1,951)	$ (2,105)

ACQUISITION - Summary of Prelim

ACQUISITION - Summary of Preliminary Fair Value of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2018	Dec. 31, 2017
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract]
Goodwill	$ 326,356		$ 326,356	$ 142,113
Muuto Acquisition
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract]
Cash	7,506	$ 7,506	7,506
Customer receivables	8,717	8,717	8,717
Inventory	10,824	14,675	10,824
Other current assets	447	447	447
Property, plant, and equipment, net	1,250	1,250	1,250
Intangible assets	131,325	131,300	131,325
Other non-current assets	292	292	292
Total assets acquired	160,361	164,187	160,361
Accounts payable	3,374	3,374	3,374
Other current liabilities	8,630	12,244	8,630
Deferred income taxes	28,928	29,744	28,928
Other noncurrent liabilities	1,637	1,637	1,637
Total liabilities assumed	42,569	46,999	42,569
Net assets acquired	117,792	117,188	117,792
Purchase price		311,254	311,254
Goodwill	193,462	$ 194,066	$ 193,462
Measurement period adjustments
Inventory	3,851
Intangible assets	25
Total assets acquired	(3,826)
Other current liabilities	(3,614)
Deferred income taxes	816
Total liabilities assumed	(4,430)
Net assets acquired	$ 604

ACQUISITION - Summary of Fair V

ACQUISITION - Summary of Fair Value of Identifiable Intangible Assets and Their Estimated Useful Lives (Details) - Muuto Acquisition $ in Thousands	Jan. 25, 2018USD ($)
Finite Lived Intangible Asset [Abstract]
Finite-lived intangibles assets	$ 131,325
Wholesale customer relationships
Finite Lived Intangible Asset [Abstract]
Finite-lived intangibles assets	$ 33,000
Estimated Useful Life (in years)	15 years
Contract customer relationships
Finite Lived Intangible Asset [Abstract]
Finite-lived intangibles assets	$ 22,000
Estimated Useful Life (in years)	9 years
Copyrights & designs
Finite Lived Intangible Asset [Abstract]
Finite-lived intangibles assets	$ 10,000
Estimated Useful Life (in years)	7 years
Non-competition agreements
Finite Lived Intangible Asset [Abstract]
Finite-lived intangibles assets	$ 1,325
Estimated Useful Life (in years)	3 years
Trade name
Indefinite-lived intangible assets:
Indefinite-lived intangible assets	$ 65,000

ACQUISITION - Pro Forma Informa

ACQUISITION - Pro Forma Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Business Acquisition [Line Items]
Loss on extinguishment of debt			$ 1,445	$ 0
Pro forma adjustment, inventory valuation	$ 204,064	$ 168,736	392,912	329,882
Pro forman adjustment Interest expense	5,252	1,859	10,780	3,530
Amortization of intangible assets	2,200	800	4,100	1,600
Tax impact of nonrecurring adjustments	$ 4,621	$ 7,182	10,288	12,946
Muuto Acquisition
Business Acquisition [Line Items]
Pro forma sales			624,058	557,494
Pro forma net earnings attributable to Knoll, Inc. stockholders			32,591	25,601
Pro forman adjustment Interest expense			900	4,500
Amortization of intangible assets			100	3,300
Tax impact of nonrecurring adjustments			900	3,400
Acquisition-related Costs \| Muuto Acquisition
Business Acquisition [Line Items]
Compensation for post combination service			1,500	1,800
Loss on extinguishment of debt			(1,400)	(1,500)
Pro forma adjustment, acquisition costs			1,500
Fair Value Adjustment to Inventory \| Muuto Acquisition
Business Acquisition [Line Items]
Pro forma adjustment, inventory valuation			$ 900	$ 900

INVENTORIES (Details)

INVENTORIES (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Inventory Disclosure [Abstract]
Raw materials	$ 62,531	$ 58,725
Work-in-process	7,488	6,943
Finished goods	97,443	79,277
Inventories, net	$ 167,462	$ 144,945

PENSION AND OTHER POST-EMPLOY46

PENSION AND OTHER POST-EMPLOYMENT BENEFITS (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Change in Assumptions for Defined Benefit Plans
PENSIONS AND OTHER POSTRETIREMENT BENEFITS
Reduction to pension liability	$ 5,800		$ 5,800
Pension Benefits
PENSIONS AND OTHER POSTRETIREMENT BENEFITS
Interest cost	2,504	$ 2,390	5,008	$ 4,780
Expected return on plan assets	(4,606)	(4,615)	(9,212)	(9,230)
Amortization of prior service credit	0	0	0	0
Recognized actuarial loss (gain)	366	154	732	308
Pension settlement charge	4,608	0	4,608	0
Net periodic pension cost	2,872	(2,071)	1,136	(4,142)
Other Benefits
PENSIONS AND OTHER POSTRETIREMENT BENEFITS
Interest cost	30	43	60	86
Expected return on plan assets	0	0	0	0
Amortization of prior service credit	(182)	(371)	(364)	(742)
Recognized actuarial loss (gain)	(18)	1	(36)	2
Pension settlement charge	0	0	0	0
Net periodic pension cost	$ (170)	$ (327)	$ (340)	$ (654)

FAIR VALUE OF FINANCIAL INSTR47

FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2018	Dec. 31, 2017	Dec. 01, 2016
Fair Value, Measurements, Recurring \| DatesWeiser
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of contingent purchase price payment	$ 1,100	$ 1,100
Fair Value, Measurements, Recurring \| Level 1 \| DatesWeiser
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of contingent purchase price payment	0	0
Fair Value, Measurements, Recurring \| Level 2 \| DatesWeiser
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of contingent purchase price payment	0	0
Fair Value, Measurements, Recurring \| Level 3 \| DatesWeiser
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of contingent purchase price payment	$ 1,100	1,100	$ 1,100
Interest Rate Swap
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap maturity	5 years
Interest Rate Swap \| Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap	$ 1,424	0
Interest Rate Swap \| Fair Value, Measurements, Recurring \| Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap	0	0
Interest Rate Swap \| Fair Value, Measurements, Recurring \| Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap	1,424	0
Interest Rate Swap \| Fair Value, Measurements, Recurring \| Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate swap	$ 0	$ 0

DERIVATIVE INSTRUMENTS (Details

DERIVATIVE INSTRUMENTS (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Designated as Hedging Instrument \| Other assets
Derivatives, Fair Value [Line Items]
Interest rate swap	$ 1,424	$ 0
Interest Rate Swap
Derivatives, Fair Value [Line Items]
Aggregate notional amount	$ 300,000
Contract rate	2.63%
Interest Rate Swap \| Designated as Hedging Instrument \| Other assets
Derivatives, Fair Value [Line Items]
Interest rate swap	$ 1,424	$ 0

GOODWILL AND INTANGIBLES ASSE49

GOODWILL AND INTANGIBLES ASSETS, NET - Schedule of Other Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Total Intangible Assets
Gross Amount	$ 385,257		$ 385,257		$ 260,185
Accumulated Amortization	(25,755)		(25,755)		(21,604)
Net Amount	359,502		359,502		238,581
Amortization related to finite-lived intangible assets	2,200	$ 800	4,100	$ 1,600
Customer Relationships
Finite-lived intangible assets:
Gross Amount	74,910		74,910		22,497
Accumulated Amortization	(14,551)		(14,551)		(11,575)
Net Amount	60,359		60,359		10,922
Copyrights & designs
Finite-lived intangible assets:
Gross Amount	9,542		9,542		0
Accumulated Amortization	(618)		(618)		0
Net Amount	8,924		8,924		0
Various Intangible Assets
Finite-lived intangible assets:
Gross Amount	13,378		13,378		12,088
Accumulated Amortization	(10,586)		(10,586)		(10,029)
Net Amount	2,792		2,792		2,059
Tradenames
Indefinite-lived intangible assets:
Indefinite-lived intangible assets	$ 287,427		$ 287,427		$ 225,600

GOODWILL AND INTANGIBLES ASSE50

GOODWILL AND INTANGIBLES ASSETS, NET - Schedule of Expected Amortization of Finite-Lived Intangible Assets (Details) $ in Thousands	Jun. 30, 2018USD ($)
Estimated Amortization
Remainder of 2018	$ 4,421
2,019	8,804
2,020	8,731
2,021	8,206
2,022	$ 7,881

GOODWILL AND INTANGIBLES ASSE51

GOODWILL AND INTANGIBLES ASSETS, NET - Carrying Amount of Goodwill by Reportable Segment (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2018USD ($)
Goodwill [Roll Forward]
Balance at beginning of period	$ 142,113
Foreign currency translation adjustment	(9,570)
Balance at end of period	326,356
Muuto Acquisition
Goodwill [Roll Forward]
Goodwill acquired	193,813
Balance at end of period	193,462
Office Segment
Goodwill [Roll Forward]
Balance at beginning of period	36,220
Foreign currency translation adjustment	(335)
Goodwill acquired	0
Balance at end of period	35,885
Lifestyle Segment
Goodwill [Roll Forward]
Balance at beginning of period	105,893
Foreign currency translation adjustment	(9,235)
Balance at end of period	290,471
Lifestyle Segment \| Muuto Acquisition
Goodwill [Roll Forward]
Goodwill acquired	$ 193,813

OTHER CURRENT LIABILITIES (Deta

OTHER CURRENT LIABILITIES (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Other Liabilities Disclosure [Abstract]
Accrued employee compensation	$ 30,457	$ 41,144
Customer deposits	40,063	30,484
Warranty	9,681	9,174
Contingent payout	1,100	1,100
Other	28,342	22,256
Other current liabilities	$ 109,643	$ 104,158

INDEBTEDNESS - Schedule of Long

INDEBTEDNESS - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Long-term debt
Long-term debt	$ 495,989
Total long-term debt	495,989	$ 192,000
Less: current maturities of long-term debt	17,274	10,000
Less: deferred financing fees, net	4,583	952
Long-term debt	474,132	181,048
Revolving credit facility
Long-term debt
Long-term debt	155,000	27,000
Term loan
Long-term debt
Long-term debt	$ 340,989	$ 165,000

INDEBTEDNESS (Details)

INDEBTEDNESS (Details) € in Millions	Jan. 23, 2018USD ($)	Jun. 30, 2018USD ($)	Jan. 23, 2018EUR (€)
Long-term debt
Borrowing capacity available increase, percent of EBITDA	90.00%		90.00%
Debt issuance costs		$ 400,000
Write off of deferred debt issuance cost		$ 1,000,000
Amended Credit Agreement
Long-term debt
Credit facility borrowing capacity	$ 750,000,000
Term	5 years
Borrowing capacity available increase	$ 250,000,000
Debt issuance costs	$ 4,500,000
Amended Credit Agreement \| Federal Funds Effective Swap Rate
Long-term debt
Basis spread on variable rate (as percent)	0.50%
Amended Credit Agreement \| Eurodollar
Long-term debt
Basis spread on variable rate (as percent)	1.00%
Amended Credit Agreement \| Credit Facility
Long-term debt
Credit facility borrowing capacity	$ 400,000,000
Amended Credit Agreement \| Term loan
Long-term debt
Debt face amount	$ 250,000,000
Quarterly payment, percent annum	5.00%
Amended Credit Agreement \| Multicurrency Term Loan
Long-term debt
Debt face amount \| €			€ 81.7

INDEBTEDNESS - Aggregate Maturi

INDEBTEDNESS - Aggregate Maturities of Long-term Debt (Details) $ in Thousands	Jun. 30, 2018USD ($)
Debt Disclosure [Abstract]
2,018	$ 8,465
2,019	17,274
2,020	17,274
2,021	17,274
2,022	17,274
Thereafter	418,428
Total	$ 495,989

CONTINGENT LIABILITIES AND CO56

CONTINGENT LIABILITIES AND COMMITMENTS (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Changes in warranty reserve
Balance, Beginning of Period			$ 9,174
Provision for warranty claims	$ 1,900	$ 1,700	3,813	$ 2,800
Warranties acquired through business combinations			611
Warranty claims paid			(3,910)
Foreign currency translation adjustment			(7)
Balance, End of Period	$ 9,681		$ 9,681

EQUITY (Details)

EQUITY (Details) - USD ($) $ / shares in Units, $ in Thousands	Jan. 01, 2018	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance	$ 358,729			$ 358,729
Net earnings		$ 13,123	$ 12,960	28,390	$ 28,352
Other comprehensive income		(2,194)	$ 2,182	(2,959)	$ 2,525
Shares issued under stock incentive plan				2
Shares issued to Board of Directors in lieu of cash				37
Stock-based compensation, net of forfeitures				4,496
Cash dividend ($0.30 per share)				(15,238)
Purchase of common stock (in shares)				(4,395)
Ending Balance		369,062		$ 369,062
Cash dividend (in dollars per share)				$ 0.30
Common Stock
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance	493			$ 493
Shares issued under stock incentive plan				4
Stock-based compensation, net of forfeitures				0
Purchase of common stock (in shares)				(2)
Ending Balance		495		495
Additional Paid-In Capital
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance	54,455			54,455
Shares issued under stock incentive plan				(2)
Shares issued to Board of Directors in lieu of cash				37
Stock-based compensation, net of forfeitures				4,496
Purchase of common stock (in shares)				(4,393)
Ending Balance		54,593		54,593
Retained Earnings
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance	347,304			347,304
Net earnings				28,383
Other comprehensive income				0
Cash dividend ($0.30 per share)				(15,238)
Ending Balance		366,699		366,699
Accumulated Other Comprehensive (Loss)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance	(43,774)			(43,774)
Other comprehensive income				(2,959)
Ending Balance		(52,983)		(52,983)
Total Knoll, Inc. Stockholders' Equity
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance	358,478			358,478
Net earnings				28,383
Other comprehensive income				(2,959)
Shares issued under stock incentive plan				2
Shares issued to Board of Directors in lieu of cash				37
Stock-based compensation, net of forfeitures				4,496
Cash dividend ($0.30 per share)				(15,238)
Purchase of common stock (in shares)				(4,395)
Ending Balance		368,804		368,804
Noncontrolling Interests
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance	251			251
Net earnings				7
Ending Balance		$ 258		$ 258
ASU 2018-02
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Adoption of ASU 2018-02	(6,250)
ASU 2018-02 \| Retained Earnings
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Adoption of ASU 2018-02	$ 6,250

EQUITY - Summary of Stockholder

EQUITY - Summary of Stockholder Share Activity (in shares) (Details)	6 Months Ended
	Jun. 30, 2018shares
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares outstanding, beginning of period	48,497,942
Shares issued under stock incentive plan, net of awards surrendered to pay applicable taxes	194,641
Shares issued to Board of Directors in lieu of cash	1,838
Shares outstanding, end of period	48,694,421

ACCUMULATED OTHER COMPREHENSI59

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Summary of Changes by Component (Details) - USD ($) $ in Thousands	Jan. 01, 2018	Jun. 30, 2018
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning Balance	$ (43,774)	$ (43,774)
Other comprehensive income before reclassifications		(6,590)
Amounts reclassified from accumulated other comprehensive loss		3,631
Net of tax		(2,959)
Ending Balance		(52,983)
Unrealized gains (losses) on Interest Rate Swaps
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning Balance	0	0
Other comprehensive income before reclassifications		1,053
Amounts reclassified from accumulated other comprehensive loss		0
Net of tax		1,053
Ending Balance		1,053
Foreign Currency Translation Adjustment
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning Balance	(5,487)	(5,487)
Other comprehensive income before reclassifications		(11,892)
Amounts reclassified from accumulated other comprehensive loss		0
Net of tax		(11,892)
Ending Balance		(17,379)
Pension and Other Post-Employment Liability Adjustment
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning Balance	(38,287)	(38,287)
Other comprehensive income before reclassifications		4,249
Amounts reclassified from accumulated other comprehensive loss		3,631
Net of tax		7,880
Ending Balance		$ (36,657)
ASU 2018-02
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Adoption of ASU 2018-02	(6,250)
ASU 2018-02 \| Pension and Other Post-Employment Liability Adjustment
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Adoption of ASU 2018-02	$ (6,250)

ACCUMULATED OTHER COMPREHENSI60

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Reclassifications (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Tax (benefit) expense	$ (4,621)	$ (7,182)	$ (10,288)	$ (12,946)
Net of tax			3,631
Reclassification out of Accumulated Other Comprehensive Income [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Prior service credits	(182)	(371)	(364)	(742)
Actuarial losses	348	155	696	310
Loss recognized during settlement	4,608	0	4,608	0
Total before tax	4,774	(216)	4,940	(432)
Tax (benefit) expense	(1,265)	78	(1,309)	157
Net of tax	$ 3,509	$ (138)	$ 3,631	$ (275)

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Earnings Per Share [Abstract]
Net earnings attributable to Knoll, Inc. stockholders	$ 13,124	$ 12,938	$ 28,383	$ 28,338
Basic earnings per share - weighted-average shares (in shares)	48,672,144	48,464,605	48,614,733	48,375,241
Potentially dilutive shares resulting from stock plans (in shares)	459,000	912,000	523,000	920,000
Diluted earnings per share - weighted-average shares (in shares)	49,131,106	49,376,506	49,137,528	49,294,525
Antidilutive equity awards not included in weighted-average common shares—diluted (in shares)	0	0	0	12,000
Basic (in dollars per share)	$ 0.27	$ 0.27	$ 0.58	$ 0.59
Diluted (in dollars per share)	$ 0.27	$ 0.26	$ 0.58	$ 0.57

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Millions	6 Months Ended
INCOME TAXES (Details) - USD ($) $ in Millions	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Income Tax Disclosure [Abstract]
Effective tax rate	26.60%	31.30%
Unrecognized tax benefits, which would reduce the effective tax rate if recognized	$ 0.9		$ 0.9

SEGMENT INFORMATION Segment Inf

SEGMENT INFORMATION Segment Information with Corporate Costs Excluded (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Financial information of segments
SALES	$ 323,351	$ 268,694	$ 619,910	$ 525,514
OPERATING PROFIT	24,812	19,832	47,272	40,468
Operating Segments
Financial information of segments
SALES	323,351	268,694	619,910	525,514
INTERSEGMENT SALES	3,547	2,592	6,413	5,915
Corporate
Financial information of segments
OPERATING PROFIT	(6,469)	(5,564)	(13,051)	(12,167)
Acquisition costs	500		1,500
Office
Financial information of segments
Restructuring charges	800	2,200	1,400	2,200
Office \| Operating Segments
Financial information of segments
SALES	190,747	162,599	372,365	320,597
INTERSEGMENT SALES	497	450	1,009	724
OPERATING PROFIT	10,316	4,812	19,182	13,639
Lifestyle \| Operating Segments
Financial information of segments
SALES	132,604	106,095	247,545	204,917
INTERSEGMENT SALES	3,050	2,142	5,404	5,191
OPERATING PROFIT	$ 20,965	$ 20,584	$ 41,141	$ 38,996