Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Jun. 28, 2014 | Jul. 22, 2014 | |
Document and Entity Information | ' | ' |
Entity Registrant Name | 'VALMONT INDUSTRIES INC | ' |
Entity Central Index Key | '0000102729 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 28-Jun-14 | ' |
Amendment Flag | 'false | ' |
Current Fiscal Year End Date | '--12-27 | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 26,193,724 |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q2 | ' |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jun. 28, 2014 | Jun. 29, 2013 | Jun. 28, 2014 | Jun. 29, 2013 |
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS | ' | ' | ' | ' |
Product sales | $766,844 | $794,341 | $1,447,887 | $1,534,788 |
Services sales | 75,755 | 84,318 | 146,452 | 163,501 |
Net sales | 842,599 | 878,659 | 1,594,339 | 1,698,289 |
Product cost of sales | 573,067 | 563,306 | 1,070,910 | 1,092,467 |
Services cost of sales | 49,055 | 53,882 | 95,970 | 108,982 |
Total cost of sales | 622,122 | 617,188 | 1,166,880 | 1,201,449 |
Gross profit | 220,477 | 261,471 | 427,459 | 496,840 |
Selling, general and administrative expenses | 115,701 | 117,206 | 223,835 | 234,385 |
Operating income | 104,776 | 144,265 | 203,624 | 262,455 |
Other income (expenses): | ' | ' | ' | ' |
Interest expense | -8,304 | -8,025 | -16,501 | -16,215 |
Interest income | 1,577 | 1,852 | 3,316 | 3,205 |
Other | 1,903 | 123 | -3,909 | 1,679 |
Total other income (expenses) | -4,824 | -6,050 | -17,094 | -11,331 |
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | 99,952 | 138,215 | 186,530 | 251,124 |
Income tax expense (benefit): | ' | ' | ' | ' |
Current | 26,117 | 48,210 | 59,055 | 86,870 |
Deferred | 7,953 | -1,042 | 5,030 | -4,729 |
Total income tax expense (benefit) | 34,070 | 47,168 | 64,085 | 82,141 |
Earnings before equity in earnings of nonconsolidated subsidiaries | 65,882 | 91,047 | 122,445 | 168,983 |
Equity in earnings of nonconsolidated subsidiaries | -30 | 269 | -30 | 473 |
Net earnings | 65,852 | 91,316 | 122,415 | 169,456 |
Less: Earnings attributable to noncontrolling interests | -1,876 | -1,753 | -2,459 | -2,324 |
Net earnings attributable to Valmont Industries, Inc. | $63,976 | $89,563 | $119,956 | $167,132 |
Earnings per share: | ' | ' | ' | ' |
Basic (in dollars per share) | $2.40 | $3.36 | $4.50 | $6.28 |
Diluted (in dollars per share) | $2.38 | $3.33 | $4.46 | $6.22 |
Cash dividends declared per share (in dollars per share) | $0.38 | $0.25 | $0.63 | $0.48 |
Weighted average number of shares of common stock outstanding - Basic (000 omitted) (in shares) | 26,623 | 26,648 | 26,669 | 26,615 |
Weighted average number of shares of common stock outstanding - Diluted (000 omitted) (in shares) | 26,856 | 26,910 | 26,903 | 26,884 |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 3 Months Ended | 6 Months Ended | |||
In Thousands, unless otherwise specified | Jun. 28, 2014 | Jun. 29, 2013 | Mar. 30, 2013 | Jun. 28, 2014 | Jun. 29, 2013 |
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ' | ' | ' | ' | ' |
Net earnings | $65,852 | $91,316 | ' | $122,415 | $169,456 |
Foreign currency translation adjustments: | ' | ' | ' | ' | ' |
Unrealized translation gain (loss) | 13,869 | -52,962 | ' | 25,506 | -62,582 |
Realized loss included in net earnings during the period | ' | ' | -5,194 | ' | -5,194 |
Unrealized loss on cash flow hedge: | ' | ' | ' | ' | ' |
Amortization cost included in interest expense | -33 | 100 | ' | 67 | 200 |
Actuarial gain (loss) in defined benefit pension plan | -614 | 42 | ' | -847 | -894 |
Other comprehensive income (loss) | 13,222 | -52,820 | ' | 24,726 | -68,470 |
Comprehensive income | 79,074 | 38,496 | ' | 147,141 | 100,986 |
Comprehensive loss (income) attributable to noncontrolling interests | -1,792 | 1,549 | ' | -1,704 | 3,189 |
Comprehensive income attributable to Valmont Industries, Inc. | $77,282 | $40,045 | ' | $145,437 | $104,175 |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) | Jun. 28, 2014 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $455,927 | $613,706 |
Receivables, net | 543,608 | 515,440 |
Inventories | 381,943 | 380,000 |
Prepaid expenses | 66,916 | 22,997 |
Refundable and deferred income taxes | 71,334 | 65,697 |
Total current assets | 1,519,728 | 1,597,840 |
Property, plant and equipment, at cost | 1,160,142 | 1,017,126 |
Less accumulated depreciation and amortization | 521,288 | 482,916 |
Net property, plant and equipment | 638,854 | 534,210 |
Goodwill | 368,405 | 349,632 |
Other intangible assets, net | 195,359 | 170,917 |
Other assets | 136,258 | 123,895 |
Total assets | 2,858,604 | 2,776,494 |
Current liabilities: | ' | ' |
Current installments of long-term debt | 188 | 202 |
Notes payable to banks | 17,485 | 19,024 |
Accounts payable | 208,834 | 216,121 |
Accrued employee compensation and benefits | 95,365 | 122,967 |
Accrued expenses | 91,631 | 71,560 |
Dividends payable | 9,930 | 6,706 |
Total current liabilities | 423,433 | 436,580 |
Deferred income taxes | 95,674 | 78,924 |
Long-term debt, excluding current installments | 478,498 | 470,907 |
Defined benefit pension liability | 143,114 | 154,397 |
Deferred compensation | 48,292 | 39,109 |
Other noncurrent liabilities | 54,503 | 51,731 |
Shareholders' equity: | ' | ' |
Preferred stock of $1 par value - Authorized 500,000 shares; none issued | ' | ' |
Common stock of $1 par value - Authorized 75,000,000 shares; 27,900,000 issued | 27,900 | 27,900 |
Retained earnings | 1,672,287 | 1,562,670 |
Accumulated other comprehensive income (loss) | -22,204 | -47,685 |
Treasury stock | -95,714 | -20,860 |
Total Valmont Industries, Inc. shareholders' equity | 1,582,269 | 1,522,025 |
Noncontrolling interest in consolidated subsidiaries | 32,821 | 22,821 |
Total shareholders' equity | 1,615,090 | 1,544,846 |
Total liabilities and shareholders' equity | $2,858,604 | $2,776,494 |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Jun. 28, 2014 | Dec. 28, 2013 |
CONDENSED CONSOLIDATED BALANCE SHEETS | ' | ' |
Preferred stock, par value (in dollars per share) | $1 | $1 |
Preferred stock, Authorized shares | 500,000 | 500,000 |
Preferred stock, issued shares | 0 | 0 |
Common stock, par value (in dollars per share) | $1 | $1 |
Common stock, Authorized shares | 75,000,000 | 75,000,000 |
Common stock, issued shares | 27,900,000 | 27,900,000 |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 28, 2014 | Jun. 29, 2013 |
Cash flows from operating activities: | ' | ' |
Net earnings | $122,415 | $169,456 |
Adjustments to reconcile net earnings to net cash flows from operations: | ' | ' |
Depreciation and amortization | 43,368 | 38,186 |
Loss on investment | 3,501 | ' |
Stock-based compensation | 3,686 | 3,342 |
Defined benefit pension plan expense | 1,334 | 3,245 |
Contribution to defined benefit pension plan | -17,484 | -10,346 |
Gain on sale of property, plant and equipment | -102 | -5,071 |
Equity in earnings in nonconsolidated subsidiaries | 30 | -473 |
Deferred income taxes | 5,030 | -4,729 |
Changes in assets and liabilities (net of acquisitions): | ' | ' |
Receivables | 21,083 | -3,331 |
Inventories | 6,624 | -2,491 |
Prepaid expenses | -18,289 | -5,910 |
Accounts payable | -28,633 | 736 |
Accrued expenses | -30,415 | 2,916 |
Other noncurrent liabilities | 1,766 | 1,873 |
Income taxes refundable | -22,063 | -11,810 |
Net cash flows from operating activities | 91,851 | 175,593 |
Cash flows from investing activities: | ' | ' |
Purchase of property, plant and equipment | -46,991 | -54,258 |
Proceeds from sale of assets | 1,151 | 39,054 |
Acquisitions, net of cash acquired | -120,483 | -53,152 |
Other, net | -2,940 | -133 |
Net cash flows from investing activities | -169,263 | -68,489 |
Cash flows from financing activities: | ' | ' |
Net borrowings under short-term agreements | -1,861 | 2,620 |
Proceeds from long-term borrowings | ' | 68 |
Principal payments on long-term borrowings | -259 | -303 |
Dividends paid | -13,427 | -12,021 |
Dividends to noncontrolling interest | -1,340 | -1,767 |
Proceeds from exercises under stock plans | 11,996 | 14,098 |
Excess tax benefits from stock option exercises | 3,576 | 305 |
Purchase of treasury shares | -77,084 | ' |
Purchase of common treasury shares-stock plan exercises | -11,984 | -13,602 |
Net cash flows from financing activities | -90,383 | -10,602 |
Effect of exchange rate changes on cash and cash equivalents | 10,016 | -20,154 |
Net change in cash and cash equivalents | -157,779 | 76,348 |
Cash and cash equivalents-beginning of year | 613,706 | 414,129 |
Cash and cash equivalents-end of period | $455,927 | $490,477 |
CONDENSED_CONSOLIDATED_STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (USD $) | Total | Common stock | Additional paid-in capital | Retained earnings | Accumulated other comprehensive income (loss) | Treasury stock | Noncontrolling interest in consolidated subsidiaries |
In Thousands, unless otherwise specified | |||||||
Balance at Dec. 29, 2012 | $1,407,010 | $27,900 | ' | $1,300,529 | $43,938 | ($22,455) | $57,098 |
Increase (Decrease) in Shareholders' Equity | ' | ' | ' | ' | ' | ' | ' |
Net earnings | 169,456 | ' | ' | 167,132 | ' | ' | 2,324 |
Other comprehensive income (loss) | -68,470 | ' | ' | ' | -62,957 | ' | -5,513 |
Cash dividends declared | -12,713 | ' | ' | -12,713 | ' | ' | ' |
Dividends to noncontrolling interests | -1,767 | ' | ' | ' | ' | ' | -1,767 |
Acquisition | 325 | ' | ' | ' | ' | ' | 325 |
Stock plan exercises; 78,217 and 85,874 shares acquired for the period ended June 2014 and 2013, respectively | -13,602 | ' | ' | ' | ' | -13,602 | ' |
Stock options exercised; 158,317 and 177,902 shares issued for the period ended June 2014 ad 2013, respectively | 14,098 | ' | -3,647 | 3,378 | ' | 14,367 | ' |
Tax benefit from stock option exercises | 305 | ' | 305 | ' | ' | ' | ' |
Stock option expense | 2,627 | ' | 2,627 | ' | ' | ' | ' |
Stock awards; 8,822 and 2,667 shares issued for the period ended June 2014 ad 2013, respectively | 1,088 | ' | 715 | ' | ' | 373 | ' |
Balance at Jun. 29, 2013 | 1,498,357 | 27,900 | ' | 1,458,326 | -19,019 | -21,317 | 52,467 |
Balance at Dec. 28, 2013 | 1,544,846 | 27,900 | ' | 1,562,670 | -47,685 | -20,860 | 22,821 |
Increase (Decrease) in Shareholders' Equity | ' | ' | ' | ' | ' | ' | ' |
Net earnings | 122,415 | ' | ' | 119,956 | ' | ' | 2,459 |
Other comprehensive income (loss) | 24,726 | ' | ' | ' | 25,481 | ' | -755 |
Cash dividends declared | -16,651 | ' | ' | -16,651 | ' | ' | ' |
Dividends to noncontrolling interests | -1,340 | ' | ' | ' | ' | ' | -1,340 |
Acquisition | 9,232 | ' | ' | ' | ' | ' | 9,232 |
Addition of noncontrolling interest | 404 | ' | ' | ' | ' | ' | 404 |
Purchase of treasury shares; 490,172 shares acquired | -77,084 | ' | ' | ' | ' | -77,084 | ' |
Stock plan exercises; 78,217 and 85,874 shares acquired for the period ended June 2014 and 2013, respectively | -11,984 | ' | ' | ' | ' | -11,984 | ' |
Stock options exercised; 158,317 and 177,902 shares issued for the period ended June 2014 ad 2013, respectively | 11,996 | ' | -7,262 | 6,312 | ' | 12,946 | ' |
Tax benefit from stock option exercises | 3,576 | ' | 3,576 | ' | ' | ' | ' |
Stock option expense | 2,525 | ' | 2,525 | ' | ' | ' | ' |
Stock awards; 8,822 and 2,667 shares issued for the period ended June 2014 ad 2013, respectively | 2,429 | ' | 1,161 | ' | ' | 1,268 | ' |
Balance at Jun. 28, 2014 | $1,615,090 | $27,900 | ' | $1,672,287 | ($22,204) | ($95,714) | $32,821 |
CONDENSED_CONSOLIDATED_STATEME4
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) | 6 Months Ended | |
Jun. 28, 2014 | Jun. 29, 2013 | |
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY | ' | ' |
Purchase of treasury shares; shares acquired | 490,172 | ' |
Stock plan exercises; shares acquired | 78,217 | 85,874 |
Stock options exercised; shares issued | 158,317 | 177,902 |
Stock awards; shares issued | 8,822 | 2,667 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended | |||||||||||||
Jun. 28, 2014 | ||||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||||||||
(1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||||||||||||
Condensed Consolidated Financial Statements | ||||||||||||||
The Condensed Consolidated Balance Sheet as of June 28, 2014, the Condensed Consolidated Statements of Earnings and Comprehensive Income for the thirteen and twenty-six weeks ended June 28, 2014 and June 29, 2013, and the Condensed Consolidated Statements of Cash Flows and Shareholders' Equity for the twenty-six week periods then ended have been prepared by the Company, without audit. In the opinion of management, all necessary adjustments (which include normal recurring adjustments) have been made to present fairly the financial statements as of June 28, 2014 and for all periods presented. | ||||||||||||||
Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted. These Condensed Consolidated Financial Statements should be read in conjunction with the financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the fiscal year ended December 28, 2013. The accounting policies and methods of computation followed in these interim financial statements are the same as those followed in the financial statements for the year ended December 28, 2013. The results of operations for the period ended June 28, 2014 are not necessarily indicative of the operating results for the full year. | ||||||||||||||
Inventories | ||||||||||||||
Approximately 41% and 43% of inventory is valued at the lower of cost, determined on the last-in, first-out (LIFO) method, or market as of June 28, 2014 and December 28, 2013, respectively. All other inventory is valued at the lower of cost, determined on the first-in, first-out (FIFO) method or market. Finished goods and manufactured goods inventories include the costs of acquired raw materials and related factory labor and overhead charges required to convert raw materials to manufactured and finished goods. The excess of replacement cost of inventories over the LIFO value is approximately $47,141 and $45,204 at June 28, 2014 and December 28, 2013, respectively. | ||||||||||||||
Inventories consisted of the following: | ||||||||||||||
June 28, | December 28, | |||||||||||||
2014 | 2013 | |||||||||||||
Raw materials and purchased parts | $ | 178,366 | $ | 179,576 | ||||||||||
Work-in-process | 27,242 | 27,294 | ||||||||||||
Finished goods and manufactured goods | 223,476 | 218,334 | ||||||||||||
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Subtotal | 429,084 | 425,204 | ||||||||||||
Less: LIFO reserve | 47,141 | 45,204 | ||||||||||||
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$ | 381,943 | $ | 380,000 | |||||||||||
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Income Taxes | ||||||||||||||
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries for the thirteen and twenty-six weeks ended June 28, 2014 and June 29, 2013, were as follows: | ||||||||||||||
Thirteen Weeks | Twenty-six Weeks | |||||||||||||
Ended | Ended | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
United States | $ | 65,096 | $ | 98,684 | $ | 136,790 | $ | 187,421 | ||||||
Foreign | 34,856 | 39,531 | 49,740 | 63,703 | ||||||||||
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$ | 99,952 | $ | 138,215 | $ | 186,530 | $ | 251,124 | |||||||
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Pension Benefits | ||||||||||||||
The Company incurs expenses in connection with the Delta Pension Plan ("DPP"). The DPP was acquired as part of the Delta plc acquisition in fiscal 2010 and has no members that are active employees. In order to measure expense and the related benefit obligation, various assumptions are made including discount rates used to value the obligation, expected return on plan assets used to fund these expenses and estimated future inflation rates. These assumptions are based on historical experience as well as current facts and circumstances. An actuarial analysis is used to measure the expense and liability associated with pension benefits. | ||||||||||||||
The components of the net periodic pension expense for the thirteen and twenty-six weeks ended June 28, 2014 and June 29, 2013 were as follows: | ||||||||||||||
Thirteen Weeks | Twenty-six Weeks | |||||||||||||
Ended | Ended | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
Net periodic benefit expense: | ||||||||||||||
Interest cost | $ | 7,312 | $ | 6,487 | $ | 14,509 | $ | 13,058 | ||||||
Expected return on plan assets | (6,640 | ) | (4,875 | ) | (13,175 | ) | (9,813 | ) | ||||||
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Net periodic benefit expense | $ | 672 | $ | 1,612 | $ | 1,334 | $ | 3,245 | ||||||
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Stock Plans | ||||||||||||||
The Company maintains stock-based compensation plans approved by the shareholders, which provide that the Human Resource Committee of the Board of Directors may grant incentive stock options, nonqualified stock options, stock appreciation rights, non-vested stock awards and bonuses of common stock. At June 28, 2014, 1,463,096 shares of common stock remained available for issuance under the plans. Shares and options issued and available are subject to changes in capitalization. | ||||||||||||||
Under the plans, the exercise price of each option equals the closing market price at the date of the grant. Options vest beginning on the first anniversary of the grant in equal amounts over three to six years or on the fifth anniversary of the grant. | ||||||||||||||
Expiration of grants is from six to ten years from the date of grant. The Company's compensation expense (included in selling, general and administrative expenses) and associated income tax benefits related to stock options for the thirteen and twenty-six weeks ended June 28, 2014 and June 29, 2013, respectively, were as follows: | ||||||||||||||
Thirteen Weeks | Twenty-six Weeks | |||||||||||||
Ended | Ended | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
Compensation expense | $ | 1,262 | $ | 1,314 | $ | 2,525 | $ | 2,627 | ||||||
Income tax benefits | 486 | 505 | 972 | 1,011 | ||||||||||
Equity Method Investments | ||||||||||||||
The Company has equity method investments in non-consolidated subsidiaries, which are recorded within "Other assets" on the Condensed Consolidated Balance Sheet. In February 2013, the Company sold its nonconsolidated investment in Manganese Materials Company Pty. Ltd. to the majority owner of the business for approximately $29,250. The profit on the sale was not significant, which included the recognition of $5,194 in currency translation adjustments previously recorded as part of "Accumulated other comprehensive income" on the Condensed Consolidated Balance Sheet. The Company also recognized certain deferred tax benefits of approximately $3,200 associated with the sale in the first quarter of fiscal 2013. | ||||||||||||||
Fair Value | ||||||||||||||
The Company applies the provisions of Accounting Standards Codification 820, Fair Value Measurements ("ASC 820") which defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. The provisions of ASC 820 apply to other accounting pronouncements that require or permit fair value measurements. As defined in ASC 820, fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. | ||||||||||||||
ASC 820 establishes a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk. Financial assets and liabilities carried at fair value will be classified and disclosed in one of the following three categories: | ||||||||||||||
Level 1: Quoted market prices in active markets for identical assets or liabilities. | ||||||||||||||
Level 2: Observable market based inputs or unobservable inputs that are corroborated by market data. | ||||||||||||||
Level 3: Unobservable inputs that are not corroborated by market data. | ||||||||||||||
The categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. | ||||||||||||||
Following is a description of the valuation methodologies used for assets and liabilities measured at fair value. | ||||||||||||||
Trading Securities: The assets and liabilities recorded for the investments held in the Valmont Deferred Compensation Plan of $35,852 ($27,133 at December 2013) represent mutual funds, invested in debt and equity securities, classified as trading securities in accordance with Accounting Standards Codification 320, Accounting for Certain Investments in Debt and Equity Securities, considering the employee's ability to change investment allocation of their deferred compensation at any time. The Company's ownership in Delta EMD Pty. Ltd. (JSE:DTA) of $10,114 and $13,910 is recorded at fair value at June 28, 2014 and December 28, 2013, respectively. Quoted market prices are available for these securities in an active market and therefore categorized as a Level 1 input. | ||||||||||||||
Fair Value Measurement Using: | ||||||||||||||
Carrying Value | Quoted Prices in | Significant Other | Significant | |||||||||||
June 28, | Active Markets | Observable | Unobservable | |||||||||||
2014 | for Identical | Inputs | Inputs | |||||||||||
Assets (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||
Trading Securities | $ | 45,966 | $ | 45,966 | $ | — | $ | — | ||||||
Fair Value Measurement Using: | ||||||||||||||
Carrying Value | Quoted Prices in | Significant Other | Significant | |||||||||||
December 28, | Active Markets | Observable | Unobservable | |||||||||||
2013 | for Identical | Inputs | Inputs | |||||||||||
Assets (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||
Trading Securities | $ | 41,043 | $ | 41,043 | $ | — | $ | — | ||||||
Comprehensive Income | ||||||||||||||
Comprehensive income includes net earnings, currency translation adjustments, certain derivative-related activity and changes in net actuarial gains/losses from a pension plan. Results of operations for foreign subsidiaries are translated using the average exchange rates during the period. Assets and liabilities are translated at the exchange rates in effect on the balance sheet dates. Accumulated other comprehensive income (loss) consisted of the following at June 28, 2014 and December 28, 2013: | ||||||||||||||
Foreign | Unrealized | Defined | Accumulated | |||||||||||
Currency | Loss on Cash | Benefit | Other | |||||||||||
Translation | Flow Hedge | Pension Plan | Comprehensive | |||||||||||
Adjustments | Income | |||||||||||||
Balance at December 28, 2013 | $ | (20,165 | ) | $ | (2,535 | ) | $ | (24,985 | ) | $ | (47,685 | ) | ||
Current-period comprehensive income (loss) | 26,261 | 67 | (847 | ) | 25,481 | |||||||||
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Balance at June 28, 2014 | $ | 6,096 | $ | (2,468 | ) | $ | (25,832 | ) | $ | (22,204 | ) | |||
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Recently Issued Accounting Pronouncements | ||||||||||||||
In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2014-09, Revenue from Contracts with Customers (Topic 606), which supersedes the revenue recognition requirements in Accounting Standards Codification ("ASC") 605, Revenue Recognition. The new revenue recognition standard requires entities to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. ASU 2014-09 is effective for interim and annual reporting periods beginning after December 15, 2016 and is to be applied retrospectively. Early application is not permitted. The Company is currently evaluating the effect that adopting this new accounting guidance will have on its consolidated results of operations and financial position. | ||||||||||||||
ACQUISITIONS
ACQUISITIONS | 6 Months Ended | |||||||
Jun. 28, 2014 | ||||||||
ACQUISITIONS | ' | |||||||
ACQUISITIONS | ' | |||||||
(2) ACQUISITIONS | ||||||||
On March 3, 2014, the Company purchased 90% of the outstanding shares of DS SM A/S, which was renamed Valmont SM. Valmont SM is a manufacturer of heavy complex steel structures for a diverse range of industries including wind energy, offshore oil and gas, and electricity transmission. Valmont SM's operations are reported in the Engineered Infrastructure Products Segment. Valmont SM's annual sales are approximately $190,000 and it operates two manufacturing locations in Denmark. The purchase price paid for the business at closing (net of $56 cash acquired) was $120,483, including the payoff of an intercompany note payable by Valmont SM to its prior affiliates. The purchase is subject to an earn-out clause that is contingent on meeting future operational metrics for which no liability has been established based on current expectations. Additionally, the fair value measurements are subject to a trade working capital adjustment that has not yet been finalized. The acquisition, which was funded by cash held by the Company, was completed to participate in markets for wind energy, oil and gas exploration, power transmission and other related infrastructure projects and to increase the Company's geographic footprint in Europe. The Company also funded a portion of the acquisition with an intercompany note payable. The excess purchase price over the fair value of assets resulted in goodwill, which is not deductible for tax purposes. | ||||||||
The preliminary fair value measurement disclosed below is subject to management reviews and completion of the fair value measurements of the assets acquired and liabilities assumed. The Company expects the fair value measurement process and purchase price allocation to be completed in the third quarter of 2014 in conjunction with the finalization of the trade working capital settlement. | ||||||||
The following table summarizes the preliminary fair values of the assets acquired and liabilities assumed as of the date of acquisition. | ||||||||
At March 3, | ||||||||
2014 | ||||||||
Current assets | $ | 73,421 | ||||||
Property, plant and equipment | 88,917 | |||||||
Intangible assets | 30,340 | |||||||
Goodwill | 11,846 | |||||||
| | | | | ||||
Total fair value of assets acquired | $ | 204,524 | ||||||
| | | | | ||||
Current liabilities | 50,953 | |||||||
Deferred income taxes | 14,915 | |||||||
Intercompany note payable | 37,448 | |||||||
Long-term debt | 8,941 | |||||||
| | | | | ||||
Total fair value of liabilities assumed | 112,257 | |||||||
Non-controlling interests | 9,232 | |||||||
| | | | | ||||
Net assets acquired | $ | 83,035 | ||||||
| | | | | ||||
| | | | | ||||
The Company's Condensed Consolidated Statements of Earnings for the thirteen and twenty-six weeks ended June 28, 2014 included net sales of $47,217 and $64,521 and net earnings of $2,925 and $4,102, respectively, resulting from Valmont SM's operations from March 3, 2014 to June 28, 2014. No proforma information for 2014 has been provided as it does not have a material effect on the financial statements. | ||||||||
Based on the preliminary fair value assessments, the Company allocated $30,340 of the purchase price to acquired intangible assets. The following table summarizes the major classes of Valmont SM's acquired intangible assets and the respective weighted average amortization periods: | ||||||||
Amount | Weighted | |||||||
Average | ||||||||
Amortization | ||||||||
Period | ||||||||
(Years) | ||||||||
Trade Names | $ | 12,210 | Indefinite | |||||
Backlog | 3,145 | 1.5 | ||||||
Customer Relationships | 14,985 | 15 | ||||||
| | | | | | | | |
Total Intangible Assets | $ | 30,340 | ||||||
| | | | | | | | |
On February 5, 2013, the Company purchased 100% of the outstanding shares of Locker Group Holdings Pty. Ltd. ("Locker"). Locker is a manufacturer of perforated and expanded metal for the non-residential market, industrial flooring and handrails for the access systems market, and screening media for applications in the industrial and mining sectors in Australia and Asia. Locker's operations are reported in the Engineered Infrastructure Products Segment. The purchase price paid for the business at closing (net of $116 cash acquired) was $53,152. In addition, a maximum of $7,911 additional purchase price may be paid to the sellers upon the achievement of certain gross profit and inventory targets over the next two years. The Company determined the present value of the potential additional purchase price at February 5, 2013 to be $7,178. The acquisition, which was funded by cash held by the Company, was completed to expand our product offering and sales coverage for access systems and related products in Asia Pacific. | ||||||||
In December 2013, the Company purchased 100% of the outstanding shares of Armorflex International Ltd. ("Armorflex") for $10,000. Armorflex is a company holding proprietary intellectual property for products serving the highway safety market. In the measurement of fair values of assets acquired and liabilities assumed, we recorded goodwill of $6,823 and an aggregate of $3,792 for customer relationships, patented technology and other intangible assets. The goodwill is not deductible for tax purposes. Armorflex is included in the Engineered Infrastructure Products segment and was acquired to expand the Company's highway safety product offerings in the Asia Pacific region. This acquisition did not have a significant effect on the Company's fiscal 2013 financial results. | ||||||||
The Company's Condensed Consolidated Statement of Earnings for the thirteen and twenty-six weeks ended June 28, 2014 included net sales of $69,473 and $104,054 and net earnings of $3,888 and $5,574 resulting from the Valmont SM, Locker, and Armorflex acquisitions. The pro forma effect of these acquisitions on the second quarter and first half of 2013 Statement of Earnings was as follows: | ||||||||
Thirteen weeks Ended | Twenty-six weeks Ended | |||||||
June 29, 2013 | June 29, 2013 | |||||||
Net sales | $ | 929,722 | $ | 1,797,577 | ||||
Net earnings | $ | 92,791 | $ | 172,224 | ||||
Earnings per share—diluted | $ | 3.44 | $ | 6.41 |
GOODWILL_AND_INTANGIBLE_ASSETS
GOODWILL AND INTANGIBLE ASSETS | 6 Months Ended | |||||||||||||||||||
Jun. 28, 2014 | ||||||||||||||||||||
GOODWILL AND INTANGIBLE ASSETS | ' | |||||||||||||||||||
GOODWILL AND INTANGIBLE ASSETS | ' | |||||||||||||||||||
(3) GOODWILL AND INTANGIBLE ASSETS | ||||||||||||||||||||
Amortized Intangible Assets | ||||||||||||||||||||
The components of amortized intangible assets at June 28, 2014 and December 28, 2013 were as follows: | ||||||||||||||||||||
June 28, 2014 | ||||||||||||||||||||
Gross | Accumulated | Weighted | ||||||||||||||||||
Carrying | Amortization | Average | ||||||||||||||||||
Amount | Life | |||||||||||||||||||
Customer Relationships | $ | 194,824 | $ | 84,034 | 13 years | |||||||||||||||
Proprietary Software & Database | 3,977 | 2,985 | 5 years | |||||||||||||||||
Patents & Proprietary Technology | 11,397 | 8,148 | 8 years | |||||||||||||||||
Other | 4,731 | 2,153 | 3 years | |||||||||||||||||
| | | | | | | | | ||||||||||||
$ | 214,929 | $ | 97,320 | |||||||||||||||||
| | | | | | | | | ||||||||||||
| | | | | | | | | ||||||||||||
December 28, 2013 | ||||||||||||||||||||
Gross | Accumulated | Weighted | ||||||||||||||||||
Carrying | Amortization | Average | ||||||||||||||||||
Amount | Life | |||||||||||||||||||
Customer Relationships | $ | 177,495 | $ | 76,024 | 13 years | |||||||||||||||
Proprietary Software & Database | 3,896 | 2,896 | 6 years | |||||||||||||||||
Patents & Proprietary Technology | 11,334 | 7,239 | 8 years | |||||||||||||||||
Other | 1,620 | 1,438 | 6 years | |||||||||||||||||
| | | | | | | | | ||||||||||||
$ | 194,345 | $ | 87,597 | |||||||||||||||||
| | | | | | | | | ||||||||||||
| | | | | | | | | ||||||||||||
Amortization expense for intangible assets for the thirteen and twenty-six weeks ended June 28, 2014 and June 29, 2013, respectively was as follows: | ||||||||||||||||||||
Thirteen Weeks | Twenty-six Weeks | |||||||||||||||||||
Ended | Ended | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||
$ | 4,634 | $ | 3,458 | $ | 8,737 | $ | 7,696 | |||||||||||||
Estimated annual amortization expense related to finite-lived intangible assets is as follows: | ||||||||||||||||||||
Estimated | ||||||||||||||||||||
Amortization | ||||||||||||||||||||
Expense | ||||||||||||||||||||
2014 | $ | 18,243 | ||||||||||||||||||
2015 | 17,436 | |||||||||||||||||||
2016 | 15,470 | |||||||||||||||||||
2017 | 15,421 | |||||||||||||||||||
2018 | 13,738 | |||||||||||||||||||
The useful lives assigned to finite-lived intangible assets included consideration of factors such as the Company's past and expected experience related to customer retention rates, the remaining legal or contractual life of the underlying arrangement that resulted in the recognition of the intangible asset and the Company's expected use of the intangible asset. | ||||||||||||||||||||
Non-amortized intangible assets | ||||||||||||||||||||
Intangible assets with indefinite lives are not amortized. The carrying values of trade names at June 28, 2014 and December 28, 2013 were as follows: | ||||||||||||||||||||
June 28, | December 28, | Year | ||||||||||||||||||
2014 | 2013 | Acquired | ||||||||||||||||||
Webforge | $ | 18,389 | $ | 17,787 | 2010 | |||||||||||||||
Valmont SM | 12,059 | — | 2014 | |||||||||||||||||
Newmark | 11,111 | 11,111 | 2004 | |||||||||||||||||
Ingal EPS/Ingal Civil Products | 9,705 | 9,387 | 2010 | |||||||||||||||||
Donhad | 7,322 | 7,082 | 2010 | |||||||||||||||||
Industrial Galvanizers | 4,257 | 4,117 | 2010 | |||||||||||||||||
Other | 14,907 | 14,685 | ||||||||||||||||||
| | | | | | | | | | | ||||||||||
$ | 77,750 | $ | 64,169 | |||||||||||||||||
| | | | | | | | | | | ||||||||||
| | | | | | | | | | | ||||||||||
In its determination of these intangible assets as indefinite-lived, the Company considered such factors as its expected future use of the intangible asset, legal, regulatory, technological and competitive factors that may impact the useful life or value of the intangible asset and the expected costs to maintain the value of the intangible asset. The Company expects that these intangible assets will maintain their value indefinitely. Accordingly, these assets are not amortized. | ||||||||||||||||||||
The Company's trade names were tested for impairment in the third quarter of 2013 (exclusive of Valmont SM acquired in the first quarter of 2014). The values of the trade names were determined using the relief-from-royalty method. Based on this evaluation, the Company determined that its trade names were not impaired. | ||||||||||||||||||||
Goodwill | ||||||||||||||||||||
The carrying amount of goodwill by segment as of June 28, 2014 and December 28, 2013 was as follows: | ||||||||||||||||||||
Engineered | Utility | Coatings | Irrigation | Other | Total | |||||||||||||||
Infrastructure | Support | Segment | Segment | |||||||||||||||||
Products | Structures | |||||||||||||||||||
Segment | Segment | |||||||||||||||||||
Balance at December 28, 2013 | $ | 175,442 | $ | 75,404 | $ | 77,062 | $ | 2,420 | $ | 19,304 | $ | 349,632 | ||||||||
Acquisitions | 11,846 | — | — | — | — | 11,846 | ||||||||||||||
Foreign currency translation | 5,548 | — | 679 | 46 | 654 | 6,927 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Balance at June 28, 2014 | $ | 192,836 | $ | 75,404 | $ | 77,741 | $ | 2,466 | $ | 19,958 | $ | 368,405 | ||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
The goodwill from acquisitions arose from the acquisition of Valmont SM in the first quarter of 2014. The Company's goodwill was tested for impairment during the third quarter of 2013. As a result of that testing, the Company determined that its goodwill was not impaired, as the valuation of the reporting units exceeded their respective carrying values. The Company continues to monitor changes in the global economy that could impact future operating results of its reporting units. If such conditions arise, the Company will test a given reporting unit for impairment prior to the annual test. | ||||||||||||||||||||
CASH_FLOW_SUPPLEMENTARY_INFORM
CASH FLOW SUPPLEMENTARY INFORMATION | 6 Months Ended | |||||||
Jun. 28, 2014 | ||||||||
CASH FLOW SUPPLEMENTARY INFORMATION | ' | |||||||
CASH FLOW SUPPLEMENTARY INFORMATION | ' | |||||||
(4) CASH FLOW SUPPLEMENTARY INFORMATION | ||||||||
The Company considers all highly liquid temporary cash investments purchased with an original maturity of three months or less at the time of purchase to be cash equivalents. Cash payments for interest and income taxes (net of refunds) for the twenty-six weeks ended June 28, 2014 and June 29, 2013 were as follows: | ||||||||
2014 | 2013 | |||||||
Interest | $ | 16,564 | $ | 16,329 | ||||
Income taxes | 77,691 | 103,604 | ||||||
On May 13, 2014, the Company announced a new capital allocation philosophy which increased the dividend by 50% and covered a share repurchase program of up to $500 million of the Company's outstanding common stock to be acquired from time to time over twelve months at prevailing market prices, through open market or privately-negotiated transactions. As of June 28, 2014, the Company has acquired 490,172 shares for approximately $77.1 million. | ||||||||
EARNINGS_PER_SHARE
EARNINGS PER SHARE | 6 Months Ended | ||||||||||
Jun. 28, 2014 | |||||||||||
EARNINGS PER SHARE | ' | ||||||||||
EARNINGS PER SHARE | ' | ||||||||||
(5) EARNINGS PER SHARE | |||||||||||
The following table provides a reconciliation between Basic and Diluted earnings per share (EPS): | |||||||||||
Basic | Dilutive | Diluted | |||||||||
EPS | Effect of | EPS | |||||||||
Stock Options | |||||||||||
Thirteen weeks ended June 28, 2014: | |||||||||||
Net earnings attributable to Valmont Industries, Inc. | $ | 63,976 | $ | — | $ | 63,976 | |||||
Shares outstanding | 26,623 | 233 | 26,856 | ||||||||
Per share amount | $ | 2.4 | $ | (0.02 | ) | $ | 2.38 | ||||
Thirteen weeks ended June 29, 2013: | |||||||||||
Net earnings attributable to Valmont Industries, Inc. | $ | 89,563 | $ | — | $ | 89,563 | |||||
Shares outstanding | 26,648 | 262 | 26,910 | ||||||||
Per share amount | $ | 3.36 | $ | (0.03 | ) | $ | 3.33 | ||||
Twenty-six weeks ended June 28, 2014: | |||||||||||
Net earnings attributable to Valmont Industries, Inc. | $ | 119,956 | $ | — | $ | 119,956 | |||||
Shares outstanding | 26,669 | 234 | 26,903 | ||||||||
Per share amount | $ | 4.5 | $ | (0.04 | ) | $ | 4.46 | ||||
Twenty-six weeks ended June 29, 2013: | |||||||||||
Net earnings attributable to Valmont Industries, Inc. | $ | 167,132 | $ | — | $ | 167,132 | |||||
Shares outstanding | 26,615 | 269 | 26,884 | ||||||||
Per share amount | $ | 6.28 | $ | (0.06 | ) | $ | 6.22 |
BUSINESS_SEGMENTS
BUSINESS SEGMENTS | 6 Months Ended | |||||||||||||
Jun. 28, 2014 | ||||||||||||||
BUSINESS SEGMENTS | ' | |||||||||||||
BUSINESS SEGMENTS | ' | |||||||||||||
(6) BUSINESS SEGMENTS | ||||||||||||||
The Company has four reportable segments based on its management structure. Each segment is global in nature with a manager responsible for segment operational performance and the allocation of capital within the segment. Net corporate expense is net of certain service-related expenses that are allocated to business units generally on the basis of employee headcounts and sales dollars. | ||||||||||||||
Reportable segments are as follows: | ||||||||||||||
ENGINEERED INFRASTRUCTURE PRODUCTS: This segment consists of the manufacture of engineered metal structures and components for the global lighting and traffic, wireless communication, wind energy, offshore oil and gas, roadway safety and access systems applications; | ||||||||||||||
UTILITY SUPPORT STRUCTURES: This segment consists of the manufacture of engineered steel and concrete structures for the global utility industry; | ||||||||||||||
COATINGS: This segment consists of galvanizing, anodizing and powder coating services on a global basis; and | ||||||||||||||
IRRIGATION: This segment consists of the manufacture of agricultural irrigation equipment and related parts and services for the global agricultural industry. | ||||||||||||||
In addition to these four reportable segments, the Company has other businesses and activities that individually are not more than 10% of consolidated sales. These include the manufacture of forged steel grinding media for the mining industry, tubular products for industrial customers, electrolytic manganese dioxide for disposable batteries and the distribution of industrial fasteners and are reported in the "Other" category. | ||||||||||||||
The accounting policies of the reportable segments are the same as those described in Note 1. The Company evaluates the performance of its business segments based upon operating income and invested capital. The Company does not allocate interest expense, non-operating income and deductions, or income taxes to its business segments. | ||||||||||||||
Summary by Business | ||||||||||||||
Thirteen Weeks Ended | Twenty-six Weeks Ended | |||||||||||||
June 28, | June 29, | June 28, | June 29, | |||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
SALES: | ||||||||||||||
Engineered Infrastructure Products segment: | ||||||||||||||
Lighting, Traffic, and Roadway Products | $ | 164,753 | $ | 161,487 | $ | 303,730 | $ | 308,657 | ||||||
Communication Products | 43,618 | 34,771 | 73,504 | 63,393 | ||||||||||
Offshore Structures | 47,217 | — | 64,521 | — | ||||||||||
Access Systems | 48,764 | 54,378 | 91,059 | 102,256 | ||||||||||
| | | | | | | | | | | | | | |
Engineered Infrastructure Products segment | 304,352 | 250,636 | 532,814 | 474,306 | ||||||||||
Utility Support Structures segment: | ||||||||||||||
Steel | 179,574 | 200,650 | 371,011 | 411,661 | ||||||||||
Concrete | 33,456 | 27,593 | 56,746 | 56,220 | ||||||||||
| | | | | | | | | | | | | | |
Utility Support Structures segment | 213,030 | 228,243 | 427,757 | 467,881 | ||||||||||
Coatings segment | 85,157 | 93,798 | 167,328 | 183,043 | ||||||||||
Irrigation segment | 219,917 | 270,175 | 432,650 | 514,882 | ||||||||||
Other | 61,786 | 83,679 | 120,388 | 161,548 | ||||||||||
| | | | | | | | | | | | | | |
Total | 884,242 | 926,531 | 1,680,937 | 1,801,660 | ||||||||||
INTERSEGMENT SALES: | ||||||||||||||
Engineered Infrastructure Products segment | 18,166 | 22,169 | 37,731 | 51,621 | ||||||||||
Utility Support Structures segment | 1,025 | 299 | 1,520 | 710 | ||||||||||
Coatings segment | 14,770 | 14,448 | 29,723 | 28,778 | ||||||||||
Irrigation segment | 4 | 1 | 13 | 1 | ||||||||||
Other | 7,678 | 10,955 | 17,611 | 22,261 | ||||||||||
| | | | | | | | | | | | | | |
Total | 41,643 | 47,872 | 86,598 | 103,371 | ||||||||||
NET SALES: | ||||||||||||||
Engineered Infrastructure Products segment | 286,186 | 228,467 | 495,083 | 422,685 | ||||||||||
Utility Support Structures segment | 212,005 | 227,944 | 426,237 | 467,171 | ||||||||||
Coatings segment | 70,387 | 79,350 | 137,605 | 154,265 | ||||||||||
Irrigation segment | 219,913 | 270,174 | 432,637 | 514,881 | ||||||||||
Other | 54,108 | 72,724 | 102,777 | 139,287 | ||||||||||
| | | | | | | | | | | | | | |
Total | $ | 842,599 | $ | 878,659 | $ | 1,594,339 | $ | 1,698,289 | ||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
OPERATING INCOME: | ||||||||||||||
Engineered Infrastructure Products segment | $ | 28,625 | $ | 22,603 | $ | 42,334 | $ | 35,337 | ||||||
Utility Support Structures segment | 26,375 | 42,121 | 59,132 | 88,276 | ||||||||||
Coatings segment | 15,820 | 23,552 | 29,706 | 36,972 | ||||||||||
Irrigation segment | 41,473 | 64,174 | 84,619 | 118,733 | ||||||||||
Other | 8,343 | 13,025 | 16,893 | 23,812 | ||||||||||
Corporate | (15,860 | ) | (21,210 | ) | (29,060 | ) | (40,675 | ) | ||||||
| | | | | | | | | | | | | | |
Total | $ | 104,776 | $ | 144,265 | $ | 203,624 | $ | 262,455 | ||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
GUARANTORNONGUARANTOR_FINANCIA
GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION | 6 Months Ended | |||||||||||||||||||
Jun. 28, 2014 | ||||||||||||||||||||
GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION | ' | |||||||||||||||||||
GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION | ' | |||||||||||||||||||
(7) GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION | ||||||||||||||||||||
The Company has $450,000 principal amount of senior unsecured notes outstanding at a coupon interest rate of 6.625% per annum. The notes are guaranteed, jointly, severally, fully and unconditionally by certain of the Company's current and future direct and indirect domestic and foreign subsidiaries (collectively the "Guarantors"), excluding its other current domestic and foreign subsidiaries which do not guarantee the debt (collectively referred to as the "Non-Guarantors"). All Guarantors are 100% owned by the parent company. | ||||||||||||||||||||
In 2014, the Company classified "Equity in earnings of nonconsolidated subsidiaries" as an adjustment to reconcile net earnings to operating cash flows, as part of "Net cash flows from operating activities" in the Condensed Consolidating Statement of Cash Flows. In the 2013 Condensed Consolidating Statement of Cash Flows, these amounts were classified within "Other, net", as part of "Net cash flows from investing activities". The Company revised its presentation for 2013 with respect to the supplemental information included in this footnote in order to achieve comparability in the Condensed Consolidating Statements of Cash Flows. | ||||||||||||||||||||
The revisions consisted of recording the amounts previously reported in "Other, net" in cash flows from investing activities that were related to earnings from subsidiaries to "Equity in earnings of nonconsolidated subsidiaries" in cash flows from operating activities. Accordingly, the eliminations to reconcile consolidated net earnings are contained in the "Net cash flows from operating activities". | ||||||||||||||||||||
The "Non-Guarantor" and "Total" columns were not affected by any of these revisions. There was also no effect on the consolidated (total) net cash flows or any other statements in this footnote. The following is a reconciliation of the columns affected for 2013. | ||||||||||||||||||||
Parent | Parent | Guarantor | Guarantor | Eliminations | Eliminations | |||||||||||||||
As previously | As revised | As | As revised | As previously | As revised | |||||||||||||||
reported | previously | reported | ||||||||||||||||||
reported | ||||||||||||||||||||
2013 | ||||||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Equity in earnings of nonconsolidated subsidiaries | $ | (266 | ) | $ | (85,146 | ) | $ | — | $ | (42,385 | ) | $ | — | $ | 127,265 | |||||
Net cash flows from operating activities | 180,493 | 95,613 | 68,144 | 25,759 | (124,172 | ) | 3,093 | |||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Other, net | (53,317 | ) | 31,563 | (99,472 | ) | (57,087 | ) | 124,172 | (3,093 | ) | ||||||||||
Net cash flows from investing activities | (74,677 | ) | 10,203 | (118,009 | ) | (75,624 | ) | 124,172 | (3,093 | ) | ||||||||||
Consolidated financial information for the Company ("Parent"), the Guarantor subsidiaries and the Non-Guarantor subsidiaries is as follows: | ||||||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS | ||||||||||||||||||||
For the Thirteen weeks ended June 28, 2014 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net sales | $ | 378,642 | $ | 124,414 | $ | 387,715 | $ | (48,172 | ) | $ | 842,599 | |||||||||
Cost of sales | 280,054 | 91,536 | 298,764 | (48,232 | ) | 622,122 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Gross profit | 98,588 | 32,878 | 88,951 | 60 | 220,477 | |||||||||||||||
Selling, general and administrative expenses | 50,164 | 12,670 | 52,867 | — | 115,701 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Operating income | 48,424 | 20,208 | 36,084 | 60 | 104,776 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other income (expense): | ||||||||||||||||||||
Interest expense | (7,691 | ) | (11,337 | ) | (613 | ) | 11,337 | (8,304 | ) | |||||||||||
Interest income | 6 | 152 | 12,756 | (11,337 | ) | 1,577 | ||||||||||||||
Other | 1,754 | 140 | 9 | — | 1,903 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
(5,931 | ) | (11,045 | ) | 12,152 | — | (4,824 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | 42,493 | 9,163 | 48,236 | 60 | 99,952 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Income tax expense (benefit): | ||||||||||||||||||||
Current | 9,315 | 2,626 | 14,148 | 28 | 26,117 | |||||||||||||||
Deferred | 7,672 | 2,079 | (1,798 | ) | — | 7,953 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
16,987 | 4,705 | 12,350 | 28 | 34,070 | ||||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before equity in earnings of nonconsolidated subsidiaries | 25,506 | 4,458 | 35,886 | 32 | 65,882 | |||||||||||||||
Equity in earnings of nonconsolidated subsidiaries | 38,470 | 16,964 | — | (55,464 | ) | (30 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings | 63,976 | 21,422 | 35,886 | (55,432 | ) | 65,852 | ||||||||||||||
Less: Earnings attributable to noncontrolling interests | — | — | (1,876 | ) | — | (1,876 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings attributable to Valmont Industries, Inc | $ | 63,976 | $ | 21,422 | $ | 34,010 | $ | (55,432 | ) | $ | 63,976 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS | ||||||||||||||||||||
For the Twenty-six weeks ended June 28, 2014 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net sales | $ | 755,284 | $ | 260,311 | $ | 687,996 | $ | (109,252 | ) | $ | 1,594,339 | |||||||||
Cost of sales | 551,813 | 191,352 | 533,398 | (109,683 | ) | 1,166,880 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Gross profit | 203,471 | 68,959 | 154,598 | 431 | 427,459 | |||||||||||||||
Selling, general and administrative expenses | 97,954 | 25,661 | 100,220 | — | 223,835 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Operating income | 105,517 | 43,298 | 54,378 | 431 | 203,624 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other income (expense): | ||||||||||||||||||||
Interest expense | (15,366 | ) | (22,217 | ) | (1,135 | ) | 22,217 | (16,501 | ) | |||||||||||
Interest income | 26 | 335 | 25,172 | (22,217 | ) | 3,316 | ||||||||||||||
Other | 1,821 | (352 | ) | (5,378 | ) | — | (3,909 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
(13,519 | ) | (22,234 | ) | 18,659 | — | (17,094 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | 91,998 | 21,064 | 73,037 | 431 | 186,530 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Income tax expense (benefit): | ||||||||||||||||||||
Current | 29,193 | 8,213 | 21,517 | 132 | 59,055 | |||||||||||||||
Deferred | 5,829 | 1,667 | (2,466 | ) | — | 5,030 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
35,022 | 9,880 | 19,051 | 132 | 64,085 | ||||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before equity in earnings of nonconsolidated subsidiaries | 56,976 | 11,184 | 53,986 | 299 | 122,445 | |||||||||||||||
Equity in earnings of nonconsolidated subsidiaries | 62,980 | 25,903 | — | (88,913 | ) | (30 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings | 119,956 | 37,087 | 53,986 | (88,614 | ) | 122,415 | ||||||||||||||
Less: Earnings attributable to noncontrolling interests | — | — | (2,459 | ) | — | (2,459 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings attributable to Valmont Industries, Inc | $ | 119,956 | $ | 37,087 | $ | 51,527 | $ | (88,614 | ) | $ | 119,956 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS | ||||||||||||||||||||
For the Thirteen weeks ended June 29, 2013 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net sales | $ | 426,817 | $ | 169,027 | $ | 360,802 | $ | (77,987 | ) | $ | 878,659 | |||||||||
Cost of sales | 297,949 | 126,290 | 273,482 | (80,533 | ) | 617,188 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Gross profit | 128,868 | 42,737 | 87,320 | 2,546 | 261,471 | |||||||||||||||
Selling, general and administrative expenses | 55,720 | 14,347 | 47,139 | — | 117,206 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Operating income | 73,148 | 28,390 | 40,181 | 2,546 | 144,265 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other income (expense): | ||||||||||||||||||||
Interest expense | (7,636 | ) | (11,944 | ) | (390 | ) | 11,945 | (8,025 | ) | |||||||||||
Interest income | 8 | 237 | 13,552 | (11,945 | ) | 1,852 | ||||||||||||||
Other | 394 | 31 | (302 | ) | — | 123 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
(7,234 | ) | (11,676 | ) | 12,860 | — | (6,050 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | 65,914 | 16,714 | 53,041 | 2,546 | 138,215 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Income tax expense (benefit): | ||||||||||||||||||||
Current | 24,824 | 6,546 | 16,182 | 658 | 48,210 | |||||||||||||||
Deferred | (750 | ) | 1,399 | (1,691 | ) | — | (1,042 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
24,074 | 7,945 | 14,491 | 658 | 47,168 | ||||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before equity in earnings of nonconsolidated subsidiaries | 41,840 | 8,769 | 38,550 | 1,888 | 91,047 | |||||||||||||||
Equity in earnings of nonconsolidated subsidiaries | 47,723 | 23,234 | — | (70,688 | ) | 269 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings | 89,563 | 32,003 | 38,550 | (68,800 | ) | 91,316 | ||||||||||||||
Less: Earnings attributable to noncontrolling interests | — | — | (1,753 | ) | — | (1,753 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings attributable to Valmont Industries, Inc | $ | 89,563 | $ | 32,003 | $ | 36,797 | $ | (68,800 | ) | $ | 89,563 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS | ||||||||||||||||||||
For the Twenty-six weeks ended June 29, 2013 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net sales | $ | 843,430 | $ | 339,876 | $ | 686,211 | $ | (171,228 | ) | $ | 1,698,289 | |||||||||
Cost of sales | 598,629 | 255,288 | 521,865 | (174,333 | ) | 1,201,449 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Gross profit | 244,801 | 84,588 | 164,346 | 3,105 | 496,840 | |||||||||||||||
Selling, general and administrative expenses | 105,746 | 28,341 | 100,298 | — | 234,385 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Operating income | 139,055 | 56,247 | 64,048 | 3,105 | 262,455 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other income (expense): | ||||||||||||||||||||
Interest expense | (15,391 | ) | (24,574 | ) | (824 | ) | 24,574 | (16,215 | ) | |||||||||||
Interest income | 15 | 490 | 27,274 | (24,574 | ) | 3,205 | ||||||||||||||
Other | 1,802 | 46 | (169 | ) | — | 1,679 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
(13,574 | ) | (24,038 | ) | 26,281 | — | (11,331 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | 125,481 | 32,209 | 90,329 | 3,105 | 251,124 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Income tax expense (benefit): | ||||||||||||||||||||
Current | 45,999 | 13,382 | 26,652 | 837 | 86,870 | |||||||||||||||
Deferred | (2,504 | ) | 1,702 | (3,927 | ) | — | (4,729 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
43,495 | 15,084 | 22,725 | 837 | 82,141 | ||||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before equity in earnings of nonconsolidated subsidiaries | 81,986 | 17,125 | 67,604 | 2,268 | 168,983 | |||||||||||||||
Equity in earnings of nonconsolidated subsidiaries | 85,146 | 42,385 | 207 | (127,265 | ) | 473 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings | 167,132 | 59,510 | 67,811 | (124,997 | ) | 169,456 | ||||||||||||||
Less: Earnings attributable to noncontrolling interests | — | — | (2,324 | ) | — | (2,324 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings attributable to Valmont Industries, Inc | $ | 167,132 | $ | 59,510 | $ | 65,487 | $ | (124,997 | ) | $ | 167,132 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||||||||||||||||||
For the Thirteen weeks ended June 28, 2014 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net earnings | $ | 63,976 | $ | 21,422 | $ | 35,886 | $ | (55,432 | ) | $ | 65,852 | |||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustments: | ||||||||||||||||||||
Unrealized gains (losses) arising during the period | — | (8,954 | ) | 22,823 | — | 13,869 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
— | (8,954 | ) | 22,823 | — | 13,869 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Unrealized loss on cash flow hedge: | ||||||||||||||||||||
Amortization cost included in interest expense | 100 | — | (133 | ) | — | (33 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
100 | — | (133 | ) | — | (33 | ) | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Actuarial gain (loss) in defined benefit pension plan liability | — | — | (614 | ) | — | (614 | ) | |||||||||||||
Equity in other comprehensive income | 13,206 | — | — | (13,206 | ) | — | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss) | 13,306 | (8,954 | ) | 22,076 | (13,206 | ) | 13,222 | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income | 77,282 | 12,468 | 57,962 | (68,638 | ) | 79,074 | ||||||||||||||
Comprehensive income attributable to noncontrolling interests | — | — | (1,792 | ) | — | (1,792 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income attributable to Valmont Industries, Inc. | $ | 77,282 | $ | 12,468 | $ | 56,170 | $ | (68,638 | ) | $ | 77,282 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||||||||||||||||||
For the Twenty-six weeks ended June 28, 2014 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net earnings | $ | 119,956 | $ | 37,087 | $ | 53,986 | $ | (88,614 | ) | $ | 122,415 | |||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustments: | ||||||||||||||||||||
Unrealized gains (losses) arising during the period | — | (29,315 | ) | 54,821 | — | 25,506 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
— | (29,315 | ) | 54,821 | — | 25,506 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Unrealized loss on cash flow hedge: | ||||||||||||||||||||
Amortization cost included in interest expense | 200 | — | (133 | ) | — | 67 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
200 | — | (133 | ) | — | 67 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Actuarial gain (loss) in defined benefit pension plan liability | — | — | (847 | ) | — | (847 | ) | |||||||||||||
Equity in other comprehensive income | 25,281 | — | — | (25,281 | ) | — | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss) | 25,481 | (29,315 | ) | 53,841 | (25,281 | ) | 24,726 | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income | 145,437 | 7,772 | 107,827 | (113,895 | ) | 147,141 | ||||||||||||||
Comprehensive income attributable to noncontrolling interests | — | — | (1,704 | ) | — | (1,704 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income attributable to Valmont Industries, Inc. | $ | 145,437 | $ | 7,772 | $ | 106,123 | $ | (113,895 | ) | $ | 145,437 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||||||||||||||||||
For the Thirteen weeks ended June 29, 2013 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net earnings | $ | 89,563 | $ | 32,003 | $ | 38,550 | $ | (68,800 | ) | $ | 91,316 | |||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustments: | ||||||||||||||||||||
Unrealized gains (losses) arising during the period | — | 65,807 | (118,769 | ) | — | (52,962 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
— | 65,807 | (118,769 | ) | — | (52,962 | ) | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Unrealized loss on cash flow hedge: | ||||||||||||||||||||
Amortization cost included in interest expense | 100 | — | — | — | 100 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
100 | — | — | — | 100 | ||||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Actuarial gain (loss) in defined benefit pension plan liability | — | — | 42 | — | 42 | |||||||||||||||
Equity in other comprehensive income | (49,618 | ) | — | — | 49,618 | — | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss) | (49,518 | ) | 65,807 | (118,727 | ) | 49,618 | (52,820 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income | 40,045 | 97,810 | (80,177 | ) | (19,182 | ) | 38,496 | |||||||||||||
Comprehensive income attributable to noncontrolling interests | — | — | 1,549 | — | 1,549 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income attributable to Valmont Industries, Inc. | $ | 40,045 | $ | 97,810 | $ | (78,628 | ) | $ | (19,182 | ) | $ | 40,045 | ||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||||||||||||||||||
For the Twenty-six weeks ended June 29, 2013 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net earnings | $ | 167,132 | $ | 59,510 | $ | 67,811 | $ | (124,997 | ) | $ | 169,456 | |||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustments: | ||||||||||||||||||||
Unrealized gains (losses) arising during the period | — | 27,486 | (90,068 | ) | — | (62,582 | ) | |||||||||||||
Realized loss included in net earnings during the period | — | — | (5,194 | ) | — | (5,194 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
— | 27,486 | (95,262 | ) | — | (67,776 | ) | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Unrealized loss on cash flow hedge: | ||||||||||||||||||||
Amortization cost included in interest expense | 200 | — | — | — | 200 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
200 | — | — | — | 200 | ||||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Actuarial gain (loss) in defined benefit pension plan liability | — | — | (894 | ) | — | (894 | ) | |||||||||||||
Equity in other comprehensive income | (63,157 | ) | — | — | 63,157 | — | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss) | (62,957 | ) | 27,486 | (96,156 | ) | 63,157 | (68,470 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income | 104,175 | 86,996 | (28,345 | ) | (61,840 | ) | 100,986 | |||||||||||||
Comprehensive income attributable to noncontrolling interests | — | — | 3,189 | — | 3,189 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income attributable to Valmont Industries, Inc. | $ | 104,175 | $ | 86,996 | $ | (25,156 | ) | $ | (61,840 | ) | $ | 104,175 | ||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||||||||||||||
June 28, 2014 | ||||||||||||||||||||
Parent | Guarantors | Non-Guarantors | Eliminations | Total | ||||||||||||||||
ASSETS | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 63,127 | $ | 49,455 | $ | 343,345 | $ | — | $ | 455,927 | ||||||||||
Receivables, net | 148,649 | 73,846 | 321,113 | — | 543,608 | |||||||||||||||
Inventories | 123,369 | 59,580 | 198,994 | — | 381,943 | |||||||||||||||
Prepaid expenses | 6,606 | 690 | 59,620 | — | 66,916 | |||||||||||||||
Refundable and deferred income taxes | 51,058 | 6,285 | 13,991 | — | 71,334 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total current assets | 392,809 | 189,856 | 937,063 | — | 1,519,728 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Property, plant and equipment, at cost | 548,424 | 126,706 | 485,012 | — | 1,160,142 | |||||||||||||||
Less accumulated depreciation and amortization | 311,358 | 65,166 | 144,764 | — | 521,288 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net property, plant and equipment | 237,066 | 61,540 | 340,248 | — | 638,854 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Goodwill | 20,108 | 107,542 | 240,755 | — | 368,405 | |||||||||||||||
Other intangible assets | 319 | 46,052 | 148,988 | — | 195,359 | |||||||||||||||
Investment in subsidiaries and intercompany accounts | 1,578,856 | 1,445,118 | 509,824 | (3,533,798 | ) | — | ||||||||||||||
Other assets | 40,228 | — | 96,030 | — | 136,258 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total assets | $ | 2,269,386 | $ | 1,850,108 | $ | 2,272,908 | $ | (3,533,798 | ) | $ | 2,858,604 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Current installments of long-term debt | $ | 188 | $ | — | $ | — | $ | — | $ | 188 | ||||||||||
Notes payable to banks | — | — | 17,485 | — | 17,485 | |||||||||||||||
Accounts payable | 63,503 | 16,471 | 128,860 | — | 208,834 | |||||||||||||||
Accrued employee compensation and benefits | 46,513 | 6,332 | 42,520 | — | 95,365 | |||||||||||||||
Accrued expenses | 33,746 | 6,284 | 51,601 | — | 91,631 | |||||||||||||||
Dividends payable | 9,930 | — | — | — | 9,930 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total current liabilities | 153,880 | 29,087 | 240,466 | — | 423,433 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Deferred income taxes | 13,406 | 28,879 | 53,389 | — | 95,674 | |||||||||||||||
Long-term debt, excluding current installments | 469,216 | 544,497 | 9,282 | (544,497 | ) | 478,498 | ||||||||||||||
Defined benefit pension liability | — | — | 143,114 | — | 143,114 | |||||||||||||||
Deferred compensation | 41,134 | — | 7,158 | — | 48,292 | |||||||||||||||
Other noncurrent liabilities | 9,481 | — | 45,022 | — | 54,503 | |||||||||||||||
Shareholders' equity: | ||||||||||||||||||||
Common stock of $1 par value | 27,900 | 457,950 | 254,982 | (712,932 | ) | 27,900 | ||||||||||||||
Additional paid-in capital | — | 150,286 | 1,034,236 | (1,184,522 | ) | — | ||||||||||||||
Retained earnings | 1,672,287 | 602,280 | 522,868 | (1,125,148 | ) | 1,672,287 | ||||||||||||||
Accumulated other comprehensive income (loss) | (22,204 | ) | 37,129 | (70,430 | ) | 33,301 | (22,204 | ) | ||||||||||||
Treasury stock | (95,714 | ) | — | — | — | (95,714 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total Valmont Industries, Inc. shareholders' equity | 1,582,269 | 1,247,645 | 1,741,656 | (2,989,301 | ) | 1,582,269 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Noncontrolling interest in consolidated subsidiaries | — | — | 32,821 | — | 32,821 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total shareholders' equity | 1,582,269 | 1,247,645 | 1,774,477 | (2,989,301 | ) | 1,615,090 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total liabilities and shareholders' equity | $ | 2,269,386 | $ | 1,850,108 | $ | 2,272,908 | $ | (3,533,798 | ) | $ | 2,858,604 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||||||||||||||
December 28, 2013 | ||||||||||||||||||||
Parent | Guarantors | Non-Guarantors | Eliminations | Total | ||||||||||||||||
ASSETS | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 215,576 | $ | 49,053 | $ | 349,077 | $ | — | $ | 613,706 | ||||||||||
Receivables, net | 139,179 | 108,646 | 267,615 | — | 515,440 | |||||||||||||||
Inventories | 132,953 | 70,231 | 176,816 | — | 380,000 | |||||||||||||||
Prepaid expenses | 4,735 | 932 | 17,330 | — | 22,997 | |||||||||||||||
Refundable and deferred income taxes | 41,167 | 8,351 | 16,179 | — | 65,697 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total current assets | 533,610 | 237,213 | 827,017 | — | 1,597,840 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Property, plant and equipment, at cost | 522,734 | 125,764 | 368,628 | — | 1,017,126 | |||||||||||||||
Less accumulated depreciation and amortization | 300,066 | 61,520 | 121,330 | — | 482,916 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net property, plant and equipment | 222,668 | 64,244 | 247,298 | — | 534,210 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Goodwill | 20,108 | 107,542 | 221,982 | — | 349,632 | |||||||||||||||
Other intangible assets | 346 | 48,461 | 122,110 | — | 170,917 | |||||||||||||||
Investment in subsidiaries and intercompany accounts | 1,417,425 | 1,367,308 | 518,059 | (3,302,792 | ) | — | ||||||||||||||
Other assets | 30,759 | — | 93,136 | — | 123,895 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total assets | $ | 2,224,916 | $ | 1,824,768 | $ | 2,029,602 | $ | (3,302,792 | ) | $ | 2,776,494 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Current installments of long-term debt | $ | 188 | $ | — | $ | 14 | $ | — | $ | 202 | ||||||||||
Notes payable to banks | — | — | 19,024 | — | 19,024 | |||||||||||||||
Accounts payable | 62,153 | 20,365 | 133,603 | — | 216,121 | |||||||||||||||
Accrued employee compensation and benefits | 76,370 | 13,713 | 32,884 | — | 122,967 | |||||||||||||||
Accrued expenses | 28,362 | 7,315 | 35,883 | — | 71,560 | |||||||||||||||
Dividends payable | 6,706 | — | — | — | 6,706 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total current liabilities | 173,779 | 41,393 | 221,408 | — | 436,580 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Deferred income taxes | 18,983 | 29,279 | 30,662 | — | 78,924 | |||||||||||||||
Long-term debt, excluding current installments | 470,175 | 514,223 | 732 | (514,223 | ) | 470,907 | ||||||||||||||
Defined benefit pension liability | — | — | 154,397 | — | 154,397 | |||||||||||||||
Deferred compensation | 32,339 | — | 6,770 | — | 39,109 | |||||||||||||||
Other noncurrent liabilities | 7,615 | — | 44,116 | — | 51,731 | |||||||||||||||
Shareholders' equity: | ||||||||||||||||||||
Common stock of $1 par value | 27,900 | 457,950 | 254,982 | (712,932 | ) | 27,900 | ||||||||||||||
Additional paid-in capital | — | 150,286 | 891,236 | (1,041,522 | ) | — | ||||||||||||||
Retained earnings | 1,562,670 | 565,193 | 517,703 | (1,082,896 | ) | 1,562,670 | ||||||||||||||
Accumulated other comprehensive income | (47,685 | ) | 66,444 | (115,225 | ) | 48,781 | (47,685 | ) | ||||||||||||
Treasury stock | (20,860 | ) | — | — | — | (20,860 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total Valmont Industries, Inc. shareholders' equity | 1,522,025 | 1,239,873 | 1,548,696 | (2,788,569 | ) | 1,522,025 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Noncontrolling interest in consolidated subsidiaries | — | — | 22,821 | — | 22,821 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total shareholders' equity | 1,522,025 | 1,239,873 | 1,571,517 | (2,788,569 | ) | 1,544,846 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total liabilities and shareholders' equity | $ | 2,224,916 | $ | 1,824,768 | $ | 2,029,602 | $ | (3,302,792 | ) | $ | 2,776,494 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||||||||||
For the Twenty-six Weeks Ended June 28, 2014 | ||||||||||||||||||||
Parent | Guarantors | Non-Guarantors | Eliminations | Total | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net earnings | $ | 119,956 | $ | 37,087 | $ | 53,986 | $ | (88,614 | ) | $ | 122,415 | |||||||||
Adjustments to reconcile net earnings to net cash flows from operations: | ||||||||||||||||||||
Depreciation and amortization | 12,539 | 6,584 | 24,245 | — | 43,368 | |||||||||||||||
Loss on investment | 3,501 | — | 3,501 | |||||||||||||||||
Stock-based compensation | 3,686 | — | — | — | 3,686 | |||||||||||||||
Defined benefit pension plan expense | — | — | 1,334 | — | 1,334 | |||||||||||||||
Contribution to defined benefit pension plan | — | — | (17,484 | ) | — | (17,484 | ) | |||||||||||||
Gain on sale of property, plant and equipment | 7 | (74 | ) | (35 | ) | — | (102 | ) | ||||||||||||
Equity in earnings in nonconsolidated subsidiaries | (62,980 | ) | (25,903 | ) | — | 88,913 | 30 | |||||||||||||
Deferred income taxes | 5,829 | 1,667 | (2,466 | ) | — | 5,030 | ||||||||||||||
Changes in assets and liabilities (net of acquisitions): | ||||||||||||||||||||
Receivables | (9,471 | ) | 34,803 | (4,249 | ) | — | 21,083 | |||||||||||||
Inventories | 9,584 | 10,651 | (13,611 | ) | — | 6,624 | ||||||||||||||
Prepaid expenses | (1,870 | ) | 241 | (16,660 | ) | — | (18,289 | ) | ||||||||||||
Accounts payable | 1,352 | (3,892 | ) | (26,093 | ) | — | (28,633 | ) | ||||||||||||
Accrued expenses | (23,205 | ) | (8,411 | ) | 1,201 | — | (30,415 | ) | ||||||||||||
Other noncurrent liabilities | 1,941 | — | (175 | ) | — | 1,766 | ||||||||||||||
Income taxes payable (refundable) | (22,572 | ) | 1,071 | (562 | ) | — | (22,063 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net cash flows from operating activities | 34,796 | 53,824 | 2,932 | 299 | 91,851 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Cash flows from investing activities: | ||||||||||||||||||||
Purchase of property, plant and equipment | (27,046 | ) | (1,486 | ) | (18,459 | ) | — | (46,991 | ) | |||||||||||
Proceeds from sale of assets | 21 | 88 | 1,042 | — | 1,151 | |||||||||||||||
Acquisitions, net of cash acquired | — | — | (120,483 | ) | — | (120,483 | ) | |||||||||||||
Other, net | 49,004 | (25,784 | ) | (25,861 | ) | (299 | ) | (2,940 | ) | |||||||||||
| | | | | | | | | | | | | | | | | ||||
Net cash flows from investing activities | 21,979 | (27,182 | ) | (163,761 | ) | (299 | ) | (169,263 | ) | |||||||||||
| | | | | | | | | | | | | | | | | ||||
Cash flows from financing activities: | ||||||||||||||||||||
Net borrowings under short-term agreements | — | — | (1,861 | ) | — | (1,861 | ) | |||||||||||||
Principal payments on long-term borrowings | (196 | ) | — | (63 | ) | — | (259 | ) | ||||||||||||
Dividends paid | (13,427 | ) | — | — | — | (13,427 | ) | |||||||||||||
Intercompany dividends | 20,895 | 25,467 | (46,362 | ) | — | — | ||||||||||||||
Dividends to noncontrolling interest | — | — | (1,340 | ) | — | (1,340 | ) | |||||||||||||
Intercompany interest on long-term note | — | (54,398 | ) | 54,398 | — | — | ||||||||||||||
Intercompany capital contribution | (143,000 | ) | 143,000 | — | ||||||||||||||||
Proceeds from exercises under stock plans | 11,996 | — | — | — | 11,996 | |||||||||||||||
Excess tax benefits from stock option exercises | 3,576 | — | — | — | 3,576 | |||||||||||||||
Purchase of treasury shares | (77,084 | ) | — | — | — | (77,084 | ) | |||||||||||||
Purchase of common treasury shares—stock plan exercises: | (11,984 | ) | — | — | — | (11,984 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net cash flows from financing activities | (209,224 | ) | (28,931 | ) | 147,772 | — | (90,383 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
Effect of exchange rate changes on cash and cash equivalents | — | 2,691 | 7,325 | — | 10,016 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net change in cash and cash equivalents | (152,449 | ) | 402 | (5,732 | ) | — | (157,779 | ) | ||||||||||||
Cash and cash equivalents—beginning of year | 215,576 | 49,053 | 349,077 | — | 613,706 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Cash and cash equivalents—end of period | $ | 63,127 | $ | 49,455 | $ | 343,345 | $ | — | $ | 455,927 | ||||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||||||||||
For the Twenty-six Weeks Ended June 29, 2013 | ||||||||||||||||||||
Parent | Guarantors | Non-Guarantors | Eliminations | Total | ||||||||||||||||
Cash flows from operations: | ||||||||||||||||||||
Net earnings | $ | 167,132 | $ | 59,510 | $ | 67,811 | $ | (124,997 | ) | $ | 169,456 | |||||||||
Adjustments to reconcile net earnings to net cash flows from operations: | ||||||||||||||||||||
Depreciation and amortization | 9,834 | 6,452 | 21,900 | — | 38,186 | |||||||||||||||
Stock-based compensation | 3,342 | — | — | — | 3,342 | |||||||||||||||
Defined benefit pension plan expense | — | — | 3,245 | — | 3,245 | |||||||||||||||
Contribution to defined benefit pension plan | — | — | (10,346 | ) | — | (10,346 | ) | |||||||||||||
Gain on sale of property, plant and equipment | 337 | 36 | (5,444 | ) | — | (5,071 | ) | |||||||||||||
Equity in earnings of nonconsolidated subsidiaries | (85,146 | ) | (42,385 | ) | (207 | ) | 127,265 | (473 | ) | |||||||||||
Deferred income taxes | (2,504 | ) | 1,702 | (3,927 | ) | — | (4,729 | ) | ||||||||||||
Changes in assets and liabilities: | ||||||||||||||||||||
Receivables | 453 | 5,235 | (9,019 | ) | — | (3,331 | ) | |||||||||||||
Inventories | 10,524 | 1,643 | (14,658 | ) | — | (2,491 | ) | |||||||||||||
Prepaid expenses | 579 | 318 | (6,807 | ) | — | (5,910 | ) | |||||||||||||
Accounts payable | (6,052 | ) | (2,877 | ) | 9,665 | — | 736 | |||||||||||||
Accrued expenses | 4,471 | (1,932 | ) | 377 | — | 2,916 | ||||||||||||||
Other noncurrent liabilities | 3,058 | — | (1,185 | ) | — | 1,873 | ||||||||||||||
Income taxes payable (refundable) | (10,415 | ) | (1,943 | ) | (277 | ) | 825 | (11,810 | ) | |||||||||||
| | | | | | | | | | | | | | | | | ||||
Net cash flows from operations | 95,613 | 25,759 | 51,128 | 3,093 | 175,593 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Cash flows from investing activities: | ||||||||||||||||||||
Purchase of property, plant and equipment | (22,826 | ) | (18,569 | ) | (12,863 | ) | — | (54,258 | ) | |||||||||||
Proceeds from sale of assets | 1,466 | 32 | 37,556 | — | 39,054 | |||||||||||||||
Acquisitions, net of cash acquired | — | — | (53,152 | ) | — | (53,152 | ) | |||||||||||||
Other, net | 31,563 | (57,087 | ) | 28,484 | (3,093 | ) | (133 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net cash flows from investing activities | 10,203 | (75,624 | ) | 25 | (3,093 | ) | (68,489 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
Cash flows from financing activities: | ||||||||||||||||||||
Net borrowings under short-term agreements | — | — | 2,620 | — | 2,620 | |||||||||||||||
Proceeds from long-term borrowings | — | — | 68 | — | 68 | |||||||||||||||
Principal payments on long-term borrowings | (186 | ) | — | (117 | ) | — | (303 | ) | ||||||||||||
Dividends paid | (12,021 | ) | — | — | — | (12,021 | ) | |||||||||||||
Dividend to noncontrolling interests | — | — | (1,767 | ) | — | (1,767 | ) | |||||||||||||
Proceeds from exercises under stock plans | 14,098 | — | — | — | 14,098 | |||||||||||||||
Excess tax benefits from stock option exercises | 305 | — | — | — | 305 | |||||||||||||||
Purchase of common treasury shares—stock plan exercises | (13,602 | ) | — | — | — | (13,602 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net cash flows from financing activities | (11,406 | ) | — | 804 | — | (10,602 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Effect of exchange rate changes on cash and cash equivalents | — | (3,600 | ) | (16,554 | ) | — | (20,154 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net change in cash and cash equivalents | 94,410 | (53,465 | ) | 35,403 | — | 76,348 | ||||||||||||||
Cash and cash equivalents—beginning of year | 40,926 | 83,203 | 290,000 | — | 414,129 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Cash and cash equivalents—end of period | $ | 135,336 | $ | 29,738 | $ | 325,403 | $ | — | $ | 490,477 | ||||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended | |||||||||||||
Jun. 28, 2014 | ||||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||||||||
Condensed Consolidated Financial Statements | ' | |||||||||||||
Condensed Consolidated Financial Statements | ||||||||||||||
The Condensed Consolidated Balance Sheet as of June 28, 2014, the Condensed Consolidated Statements of Earnings and Comprehensive Income for the thirteen and twenty-six weeks ended June 28, 2014 and June 29, 2013, and the Condensed Consolidated Statements of Cash Flows and Shareholders' Equity for the twenty-six week periods then ended have been prepared by the Company, without audit. In the opinion of management, all necessary adjustments (which include normal recurring adjustments) have been made to present fairly the financial statements as of June 28, 2014 and for all periods presented. | ||||||||||||||
Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted. These Condensed Consolidated Financial Statements should be read in conjunction with the financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the fiscal year ended December 28, 2013. The accounting policies and methods of computation followed in these interim financial statements are the same as those followed in the financial statements for the year ended December 28, 2013. The results of operations for the period ended June 28, 2014 are not necessarily indicative of the operating results for the full year. | ||||||||||||||
Inventories | ' | |||||||||||||
Inventories | ||||||||||||||
Approximately 41% and 43% of inventory is valued at the lower of cost, determined on the last-in, first-out (LIFO) method, or market as of June 28, 2014 and December 28, 2013, respectively. All other inventory is valued at the lower of cost, determined on the first-in, first-out (FIFO) method or market. Finished goods and manufactured goods inventories include the costs of acquired raw materials and related factory labor and overhead charges required to convert raw materials to manufactured and finished goods. The excess of replacement cost of inventories over the LIFO value is approximately $47,141 and $45,204 at June 28, 2014 and December 28, 2013, respectively. | ||||||||||||||
Inventories consisted of the following: | ||||||||||||||
June 28, | December 28, | |||||||||||||
2014 | 2013 | |||||||||||||
Raw materials and purchased parts | $ | 178,366 | $ | 179,576 | ||||||||||
Work-in-process | 27,242 | 27,294 | ||||||||||||
Finished goods and manufactured goods | 223,476 | 218,334 | ||||||||||||
| | | | | | | | |||||||
Subtotal | 429,084 | 425,204 | ||||||||||||
Less: LIFO reserve | 47,141 | 45,204 | ||||||||||||
| | | | | | | | |||||||
$ | 381,943 | $ | 380,000 | |||||||||||
| | | | | | | | |||||||
| | | | | | | | |||||||
Income Taxes | ' | |||||||||||||
Income Taxes | ||||||||||||||
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries for the thirteen and twenty-six weeks ended June 28, 2014 and June 29, 2013, were as follows: | ||||||||||||||
Thirteen Weeks | Twenty-six Weeks | |||||||||||||
Ended | Ended | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
United States | $ | 65,096 | $ | 98,684 | $ | 136,790 | $ | 187,421 | ||||||
Foreign | 34,856 | 39,531 | 49,740 | 63,703 | ||||||||||
| | | | | | | | | | | | | | |
$ | 99,952 | $ | 138,215 | $ | 186,530 | $ | 251,124 | |||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
Pension Benefits | ' | |||||||||||||
Pension Benefits | ||||||||||||||
The Company incurs expenses in connection with the Delta Pension Plan ("DPP"). The DPP was acquired as part of the Delta plc acquisition in fiscal 2010 and has no members that are active employees. In order to measure expense and the related benefit obligation, various assumptions are made including discount rates used to value the obligation, expected return on plan assets used to fund these expenses and estimated future inflation rates. These assumptions are based on historical experience as well as current facts and circumstances. An actuarial analysis is used to measure the expense and liability associated with pension benefits. | ||||||||||||||
The components of the net periodic pension expense for the thirteen and twenty-six weeks ended June 28, 2014 and June 29, 2013 were as follows: | ||||||||||||||
Thirteen Weeks | Twenty-six Weeks | |||||||||||||
Ended | Ended | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
Net periodic benefit expense: | ||||||||||||||
Interest cost | $ | 7,312 | $ | 6,487 | $ | 14,509 | $ | 13,058 | ||||||
Expected return on plan assets | (6,640 | ) | (4,875 | ) | (13,175 | ) | (9,813 | ) | ||||||
| | | | | | | | | | | | | | |
Net periodic benefit expense | $ | 672 | $ | 1,612 | $ | 1,334 | $ | 3,245 | ||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
Stock Plans | ' | |||||||||||||
Stock Plans | ||||||||||||||
The Company maintains stock-based compensation plans approved by the shareholders, which provide that the Human Resource Committee of the Board of Directors may grant incentive stock options, nonqualified stock options, stock appreciation rights, non-vested stock awards and bonuses of common stock. At June 28, 2014, 1,463,096 shares of common stock remained available for issuance under the plans. Shares and options issued and available are subject to changes in capitalization. | ||||||||||||||
Under the plans, the exercise price of each option equals the closing market price at the date of the grant. Options vest beginning on the first anniversary of the grant in equal amounts over three to six years or on the fifth anniversary of the grant. | ||||||||||||||
Expiration of grants is from six to ten years from the date of grant. The Company's compensation expense (included in selling, general and administrative expenses) and associated income tax benefits related to stock options for the thirteen and twenty-six weeks ended June 28, 2014 and June 29, 2013, respectively, were as follows: | ||||||||||||||
Thirteen Weeks | Twenty-six Weeks | |||||||||||||
Ended | Ended | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
Compensation expense | $ | 1,262 | $ | 1,314 | $ | 2,525 | $ | 2,627 | ||||||
Income tax benefits | 486 | 505 | 972 | 1,011 | ||||||||||
Equity Method Investments | ' | |||||||||||||
Equity Method Investments | ||||||||||||||
The Company has equity method investments in non-consolidated subsidiaries, which are recorded within "Other assets" on the Condensed Consolidated Balance Sheet. In February 2013, the Company sold its nonconsolidated investment in Manganese Materials Company Pty. Ltd. to the majority owner of the business for approximately $29,250. The profit on the sale was not significant, which included the recognition of $5,194 in currency translation adjustments previously recorded as part of "Accumulated other comprehensive income" on the Condensed Consolidated Balance Sheet. The Company also recognized certain deferred tax benefits of approximately $3,200 associated with the sale in the first quarter of fiscal 2013. | ||||||||||||||
Fair Value | ' | |||||||||||||
Fair Value | ||||||||||||||
The Company applies the provisions of Accounting Standards Codification 820, Fair Value Measurements ("ASC 820") which defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. The provisions of ASC 820 apply to other accounting pronouncements that require or permit fair value measurements. As defined in ASC 820, fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. | ||||||||||||||
ASC 820 establishes a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk. Financial assets and liabilities carried at fair value will be classified and disclosed in one of the following three categories: | ||||||||||||||
Level 1: Quoted market prices in active markets for identical assets or liabilities. | ||||||||||||||
Level 2: Observable market based inputs or unobservable inputs that are corroborated by market data. | ||||||||||||||
Level 3: Unobservable inputs that are not corroborated by market data. | ||||||||||||||
The categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. | ||||||||||||||
Following is a description of the valuation methodologies used for assets and liabilities measured at fair value. | ||||||||||||||
Trading Securities: The assets and liabilities recorded for the investments held in the Valmont Deferred Compensation Plan of $35,852 ($27,133 at December 2013) represent mutual funds, invested in debt and equity securities, classified as trading securities in accordance with Accounting Standards Codification 320, Accounting for Certain Investments in Debt and Equity Securities, considering the employee's ability to change investment allocation of their deferred compensation at any time. The Company's ownership in Delta EMD Pty. Ltd. (JSE:DTA) of $10,114 and $13,910 is recorded at fair value at June 28, 2014 and December 28, 2013, respectively. Quoted market prices are available for these securities in an active market and therefore categorized as a Level 1 input. | ||||||||||||||
Fair Value Measurement Using: | ||||||||||||||
Carrying Value | Quoted Prices in | Significant Other | Significant | |||||||||||
June 28, | Active Markets | Observable | Unobservable | |||||||||||
2014 | for Identical | Inputs | Inputs | |||||||||||
Assets (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||
Trading Securities | $ | 45,966 | $ | 45,966 | $ | — | $ | — | ||||||
Fair Value Measurement Using: | ||||||||||||||
Carrying Value | Quoted Prices in | Significant Other | Significant | |||||||||||
December 28, | Active Markets | Observable | Unobservable | |||||||||||
2013 | for Identical | Inputs | Inputs | |||||||||||
Assets (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||
Trading Securities | $ | 41,043 | $ | 41,043 | $ | — | $ | — | ||||||
Comprehensive Income | ' | |||||||||||||
Comprehensive Income | ||||||||||||||
Comprehensive income includes net earnings, currency translation adjustments, certain derivative-related activity and changes in net actuarial gains/losses from a pension plan. Results of operations for foreign subsidiaries are translated using the average exchange rates during the period. Assets and liabilities are translated at the exchange rates in effect on the balance sheet dates. Accumulated other comprehensive income (loss) consisted of the following at June 28, 2014 and December 28, 2013: | ||||||||||||||
Foreign | Unrealized | Defined | Accumulated | |||||||||||
Currency | Loss on Cash | Benefit | Other | |||||||||||
Translation | Flow Hedge | Pension Plan | Comprehensive | |||||||||||
Adjustments | Income | |||||||||||||
Balance at December 28, 2013 | $ | (20,165 | ) | $ | (2,535 | ) | $ | (24,985 | ) | $ | (47,685 | ) | ||
Current-period comprehensive income (loss) | 26,261 | 67 | (847 | ) | 25,481 | |||||||||
| | | | | | | | | | | | | | |
Balance at June 28, 2014 | $ | 6,096 | $ | (2,468 | ) | $ | (25,832 | ) | $ | (22,204 | ) | |||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
Recently Issued Accounting Pronouncements | ' | |||||||||||||
Recently Issued Accounting Pronouncements | ||||||||||||||
In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2014-09, Revenue from Contracts with Customers (Topic 606), which supersedes the revenue recognition requirements in Accounting Standards Codification ("ASC") 605, Revenue Recognition. The new revenue recognition standard requires entities to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. ASU 2014-09 is effective for interim and annual reporting periods beginning after December 15, 2016 and is to be applied retrospectively. Early application is not permitted. The Company is currently evaluating the effect that adopting this new accounting guidance will have on its consolidated results of operations and financial position. | ||||||||||||||
SUMMARY_OF_SIGNIFICANT_ACCOUNT2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 6 Months Ended | |||||||||||||
Jun. 28, 2014 | ||||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||||||||
Components of inventories | ' | |||||||||||||
June 28, | December 28, | |||||||||||||
2014 | 2013 | |||||||||||||
Raw materials and purchased parts | $ | 178,366 | $ | 179,576 | ||||||||||
Work-in-process | 27,242 | 27,294 | ||||||||||||
Finished goods and manufactured goods | 223,476 | 218,334 | ||||||||||||
| | | | | | | | |||||||
Subtotal | 429,084 | 425,204 | ||||||||||||
Less: LIFO reserve | 47,141 | 45,204 | ||||||||||||
| | | | | | | | |||||||
$ | 381,943 | $ | 380,000 | |||||||||||
| | | | | | | | |||||||
| | | | | | | | |||||||
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | ' | |||||||||||||
Thirteen Weeks | Twenty-six Weeks | |||||||||||||
Ended | Ended | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
United States | $ | 65,096 | $ | 98,684 | $ | 136,790 | $ | 187,421 | ||||||
Foreign | 34,856 | 39,531 | 49,740 | 63,703 | ||||||||||
| | | | | | | | | | | | | | |
$ | 99,952 | $ | 138,215 | $ | 186,530 | $ | 251,124 | |||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
Schedule of components of the net periodic pension expense | ' | |||||||||||||
Thirteen Weeks | Twenty-six Weeks | |||||||||||||
Ended | Ended | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
Net periodic benefit expense: | ||||||||||||||
Interest cost | $ | 7,312 | $ | 6,487 | $ | 14,509 | $ | 13,058 | ||||||
Expected return on plan assets | (6,640 | ) | (4,875 | ) | (13,175 | ) | (9,813 | ) | ||||||
| | | | | | | | | | | | | | |
Net periodic benefit expense | $ | 672 | $ | 1,612 | $ | 1,334 | $ | 3,245 | ||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
Compensation expense (included in selling, general and administrative expenses) and associated income tax benefits related to stock options | ' | |||||||||||||
Thirteen Weeks | Twenty-six Weeks | |||||||||||||
Ended | Ended | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
Compensation expense | $ | 1,262 | $ | 1,314 | $ | 2,525 | $ | 2,627 | ||||||
Income tax benefits | 486 | 505 | 972 | 1,011 | ||||||||||
Valuation methodologies used for assets and liabilities measured at fair value | ' | |||||||||||||
Fair Value Measurement Using: | ||||||||||||||
Carrying Value | Quoted Prices in | Significant Other | Significant | |||||||||||
June 28, | Active Markets | Observable | Unobservable | |||||||||||
2014 | for Identical | Inputs | Inputs | |||||||||||
Assets (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||
Trading Securities | $ | 45,966 | $ | 45,966 | $ | — | $ | — | ||||||
Fair Value Measurement Using: | ||||||||||||||
Carrying Value | Quoted Prices in | Significant Other | Significant | |||||||||||
December 28, | Active Markets | Observable | Unobservable | |||||||||||
2013 | for Identical | Inputs | Inputs | |||||||||||
Assets (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||
Trading Securities | $ | 41,043 | $ | 41,043 | $ | — | $ | — | ||||||
Components of accumulated other comprehensive income (loss) | ' | |||||||||||||
Foreign | Unrealized | Defined | Accumulated | |||||||||||
Currency | Loss on Cash | Benefit | Other | |||||||||||
Translation | Flow Hedge | Pension Plan | Comprehensive | |||||||||||
Adjustments | Income | |||||||||||||
Balance at December 28, 2013 | $ | (20,165 | ) | $ | (2,535 | ) | $ | (24,985 | ) | $ | (47,685 | ) | ||
Current-period comprehensive income (loss) | 26,261 | 67 | (847 | ) | 25,481 | |||||||||
| | | | | | | | | | | | | | |
Balance at June 28, 2014 | $ | 6,096 | $ | (2,468 | ) | $ | (25,832 | ) | $ | (22,204 | ) | |||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
ACQUISITIONS_Tables
ACQUISITIONS (Tables) | 6 Months Ended | |||||||
Jun. 28, 2014 | ||||||||
ACQUISITIONS | ' | |||||||
Summary of preliminary fair values of the assets acquired and liabilities assumed | ' | |||||||
At March 3, | ||||||||
2014 | ||||||||
Current assets | $ | 73,421 | ||||||
Property, plant and equipment | 88,917 | |||||||
Intangible assets | 30,340 | |||||||
Goodwill | 11,846 | |||||||
| | | | | ||||
Total fair value of assets acquired | $ | 204,524 | ||||||
| | | | | ||||
Current liabilities | 50,953 | |||||||
Deferred income taxes | 14,915 | |||||||
Intercompany note payable | 37,448 | |||||||
Long-term debt | 8,941 | |||||||
| | | | | ||||
Total fair value of liabilities assumed | 112,257 | |||||||
Non-controlling interests | 9,232 | |||||||
| | | | | ||||
Net assets acquired | $ | 83,035 | ||||||
| | | | | ||||
| | | | | ||||
Summary of the major classes of acquired intangible assets and the respective weighted average amortization periods | ' | |||||||
Amount | Weighted | |||||||
Average | ||||||||
Amortization | ||||||||
Period | ||||||||
(Years) | ||||||||
Trade Names | $ | 12,210 | Indefinite | |||||
Backlog | 3,145 | 1.5 | ||||||
Customer Relationships | 14,985 | 15 | ||||||
| | | | | | | | |
Total Intangible Assets | $ | 30,340 | ||||||
| | | | | | | | |
Pro forma results of operations | ' | |||||||
Thirteen weeks Ended | Twenty-six weeks Ended | |||||||
June 29, 2013 | June 29, 2013 | |||||||
Net sales | $ | 929,722 | $ | 1,797,577 | ||||
Net earnings | $ | 92,791 | $ | 172,224 | ||||
Earnings per share—diluted | $ | 3.44 | $ | 6.41 |
GOODWILL_AND_INTANGIBLE_ASSETS1
GOODWILL AND INTANGIBLE ASSETS (Tables) | 6 Months Ended | |||||||||||||||||||
Jun. 28, 2014 | ||||||||||||||||||||
GOODWILL AND INTANGIBLE ASSETS | ' | |||||||||||||||||||
Components of amortized intangible assets | ' | |||||||||||||||||||
June 28, 2014 | ||||||||||||||||||||
Gross | Accumulated | Weighted | ||||||||||||||||||
Carrying | Amortization | Average | ||||||||||||||||||
Amount | Life | |||||||||||||||||||
Customer Relationships | $ | 194,824 | $ | 84,034 | 13 years | |||||||||||||||
Proprietary Software & Database | 3,977 | 2,985 | 5 years | |||||||||||||||||
Patents & Proprietary Technology | 11,397 | 8,148 | 8 years | |||||||||||||||||
Other | 4,731 | 2,153 | 3 years | |||||||||||||||||
| | | | | | | | | ||||||||||||
$ | 214,929 | $ | 97,320 | |||||||||||||||||
| | | | | | | | | ||||||||||||
| | | | | | | | | ||||||||||||
December 28, 2013 | ||||||||||||||||||||
Gross | Accumulated | Weighted | ||||||||||||||||||
Carrying | Amortization | Average | ||||||||||||||||||
Amount | Life | |||||||||||||||||||
Customer Relationships | $ | 177,495 | $ | 76,024 | 13 years | |||||||||||||||
Proprietary Software & Database | 3,896 | 2,896 | 6 years | |||||||||||||||||
Patents & Proprietary Technology | 11,334 | 7,239 | 8 years | |||||||||||||||||
Other | 1,620 | 1,438 | 6 years | |||||||||||||||||
| | | | | | | | | ||||||||||||
$ | 194,345 | $ | 87,597 | |||||||||||||||||
| | | | | | | | | ||||||||||||
| | | | | | | | | ||||||||||||
Amortization expense for intangible assets | ' | |||||||||||||||||||
Thirteen Weeks | Twenty-six Weeks | |||||||||||||||||||
Ended | Ended | |||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||
$ | 4,634 | $ | 3,458 | $ | 8,737 | $ | 7,696 | |||||||||||||
Schedule of future estimated amortization expense | ' | |||||||||||||||||||
Estimated | ||||||||||||||||||||
Amortization | ||||||||||||||||||||
Expense | ||||||||||||||||||||
2014 | $ | 18,243 | ||||||||||||||||||
2015 | 17,436 | |||||||||||||||||||
2016 | 15,470 | |||||||||||||||||||
2017 | 15,421 | |||||||||||||||||||
2018 | 13,738 | |||||||||||||||||||
Non-amortized intangible assets | ' | |||||||||||||||||||
June 28, | December 28, | Year | ||||||||||||||||||
2014 | 2013 | Acquired | ||||||||||||||||||
Webforge | $ | 18,389 | $ | 17,787 | 2010 | |||||||||||||||
Valmont SM | 12,059 | — | 2014 | |||||||||||||||||
Newmark | 11,111 | 11,111 | 2004 | |||||||||||||||||
Ingal EPS/Ingal Civil Products | 9,705 | 9,387 | 2010 | |||||||||||||||||
Donhad | 7,322 | 7,082 | 2010 | |||||||||||||||||
Industrial Galvanizers | 4,257 | 4,117 | 2010 | |||||||||||||||||
Other | 14,907 | 14,685 | ||||||||||||||||||
| | | | | | | | | | | ||||||||||
$ | 77,750 | $ | 64,169 | |||||||||||||||||
| | | | | | | | | | | ||||||||||
| | | | | | | | | | | ||||||||||
Carrying amount of goodwill | ' | |||||||||||||||||||
Engineered | Utility | Coatings | Irrigation | Other | Total | |||||||||||||||
Infrastructure | Support | Segment | Segment | |||||||||||||||||
Products | Structures | |||||||||||||||||||
Segment | Segment | |||||||||||||||||||
Balance at December 28, 2013 | $ | 175,442 | $ | 75,404 | $ | 77,062 | $ | 2,420 | $ | 19,304 | $ | 349,632 | ||||||||
Acquisitions | 11,846 | — | — | — | — | 11,846 | ||||||||||||||
Foreign currency translation | 5,548 | — | 679 | 46 | 654 | 6,927 | ||||||||||||||
| | | | | | | | | | | | | | | | | | | | |
Balance at June 28, 2014 | $ | 192,836 | $ | 75,404 | $ | 77,741 | $ | 2,466 | $ | 19,958 | $ | 368,405 | ||||||||
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | |
CASH_FLOW_SUPPLEMENTARY_INFORM1
CASH FLOW SUPPLEMENTARY INFORMATION (Tables) | 6 Months Ended | |||||||
Jun. 28, 2014 | ||||||||
CASH FLOW SUPPLEMENTARY INFORMATION | ' | |||||||
Cash payments for interest and income taxes (net of refunds) | ' | |||||||
2014 | 2013 | |||||||
Interest | $ | 16,564 | $ | 16,329 | ||||
Income taxes | 77,691 | 103,604 | ||||||
EARNINGS_PER_SHARE_Tables
EARNINGS PER SHARE (Tables) | 6 Months Ended | ||||||||||
Jun. 28, 2014 | |||||||||||
EARNINGS PER SHARE | ' | ||||||||||
Reconciliation of basic and diluted earnings per share (EPS) | ' | ||||||||||
Basic | Dilutive | Diluted | |||||||||
EPS | Effect of | EPS | |||||||||
Stock Options | |||||||||||
Thirteen weeks ended June 28, 2014: | |||||||||||
Net earnings attributable to Valmont Industries, Inc. | $ | 63,976 | $ | — | $ | 63,976 | |||||
Shares outstanding | 26,623 | 233 | 26,856 | ||||||||
Per share amount | $ | 2.4 | $ | (0.02 | ) | $ | 2.38 | ||||
Thirteen weeks ended June 29, 2013: | |||||||||||
Net earnings attributable to Valmont Industries, Inc. | $ | 89,563 | $ | — | $ | 89,563 | |||||
Shares outstanding | 26,648 | 262 | 26,910 | ||||||||
Per share amount | $ | 3.36 | $ | (0.03 | ) | $ | 3.33 | ||||
Twenty-six weeks ended June 28, 2014: | |||||||||||
Net earnings attributable to Valmont Industries, Inc. | $ | 119,956 | $ | — | $ | 119,956 | |||||
Shares outstanding | 26,669 | 234 | 26,903 | ||||||||
Per share amount | $ | 4.5 | $ | (0.04 | ) | $ | 4.46 | ||||
Twenty-six weeks ended June 29, 2013: | |||||||||||
Net earnings attributable to Valmont Industries, Inc. | $ | 167,132 | $ | — | $ | 167,132 | |||||
Shares outstanding | 26,615 | 269 | 26,884 | ||||||||
Per share amount | $ | 6.28 | $ | (0.06 | ) | $ | 6.22 |
BUSINESS_SEGMENTS_Tables
BUSINESS SEGMENTS (Tables) | 6 Months Ended | |||||||||||||
Jun. 28, 2014 | ||||||||||||||
BUSINESS SEGMENTS | ' | |||||||||||||
Segment reporting information of sales and operating income | ' | |||||||||||||
Thirteen Weeks Ended | Twenty-six Weeks Ended | |||||||||||||
June 28, | June 29, | June 28, | June 29, | |||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
SALES: | ||||||||||||||
Engineered Infrastructure Products segment: | ||||||||||||||
Lighting, Traffic, and Roadway Products | $ | 164,753 | $ | 161,487 | $ | 303,730 | $ | 308,657 | ||||||
Communication Products | 43,618 | 34,771 | 73,504 | 63,393 | ||||||||||
Offshore Structures | 47,217 | — | 64,521 | — | ||||||||||
Access Systems | 48,764 | 54,378 | 91,059 | 102,256 | ||||||||||
| | | | | | | | | | | | | | |
Engineered Infrastructure Products segment | 304,352 | 250,636 | 532,814 | 474,306 | ||||||||||
Utility Support Structures segment: | ||||||||||||||
Steel | 179,574 | 200,650 | 371,011 | 411,661 | ||||||||||
Concrete | 33,456 | 27,593 | 56,746 | 56,220 | ||||||||||
| | | | | | | | | | | | | | |
Utility Support Structures segment | 213,030 | 228,243 | 427,757 | 467,881 | ||||||||||
Coatings segment | 85,157 | 93,798 | 167,328 | 183,043 | ||||||||||
Irrigation segment | 219,917 | 270,175 | 432,650 | 514,882 | ||||||||||
Other | 61,786 | 83,679 | 120,388 | 161,548 | ||||||||||
| | | | | | | | | | | | | | |
Total | 884,242 | 926,531 | 1,680,937 | 1,801,660 | ||||||||||
INTERSEGMENT SALES: | ||||||||||||||
Engineered Infrastructure Products segment | 18,166 | 22,169 | 37,731 | 51,621 | ||||||||||
Utility Support Structures segment | 1,025 | 299 | 1,520 | 710 | ||||||||||
Coatings segment | 14,770 | 14,448 | 29,723 | 28,778 | ||||||||||
Irrigation segment | 4 | 1 | 13 | 1 | ||||||||||
Other | 7,678 | 10,955 | 17,611 | 22,261 | ||||||||||
| | | | | | | | | | | | | | |
Total | 41,643 | 47,872 | 86,598 | 103,371 | ||||||||||
NET SALES: | ||||||||||||||
Engineered Infrastructure Products segment | 286,186 | 228,467 | 495,083 | 422,685 | ||||||||||
Utility Support Structures segment | 212,005 | 227,944 | 426,237 | 467,171 | ||||||||||
Coatings segment | 70,387 | 79,350 | 137,605 | 154,265 | ||||||||||
Irrigation segment | 219,913 | 270,174 | 432,637 | 514,881 | ||||||||||
Other | 54,108 | 72,724 | 102,777 | 139,287 | ||||||||||
| | | | | | | | | | | | | | |
Total | $ | 842,599 | $ | 878,659 | $ | 1,594,339 | $ | 1,698,289 | ||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
OPERATING INCOME: | ||||||||||||||
Engineered Infrastructure Products segment | $ | 28,625 | $ | 22,603 | $ | 42,334 | $ | 35,337 | ||||||
Utility Support Structures segment | 26,375 | 42,121 | 59,132 | 88,276 | ||||||||||
Coatings segment | 15,820 | 23,552 | 29,706 | 36,972 | ||||||||||
Irrigation segment | 41,473 | 64,174 | 84,619 | 118,733 | ||||||||||
Other | 8,343 | 13,025 | 16,893 | 23,812 | ||||||||||
Corporate | (15,860 | ) | (21,210 | ) | (29,060 | ) | (40,675 | ) | ||||||
| | | | | | | | | | | | | | |
Total | $ | 104,776 | $ | 144,265 | $ | 203,624 | $ | 262,455 | ||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
GUARANTORNONGUARANTOR_FINANCIA1
GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION (Tables) | 6 Months Ended | |||||||||||||||||||
Jun. 28, 2014 | ||||||||||||||||||||
GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION | ' | |||||||||||||||||||
Schedule of reconciliation of the Parent, Guarantor and Eliminations columns affected | ' | |||||||||||||||||||
Parent | Parent | Guarantor | Guarantor | Eliminations | Eliminations | |||||||||||||||
As previously | As revised | As | As revised | As previously | As revised | |||||||||||||||
reported | previously | reported | ||||||||||||||||||
reported | ||||||||||||||||||||
2013 | ||||||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Equity in earnings of nonconsolidated subsidiaries | $ | (266 | ) | $ | (85,146 | ) | $ | — | $ | (42,385 | ) | $ | — | $ | 127,265 | |||||
Net cash flows from operating activities | 180,493 | 95,613 | 68,144 | 25,759 | (124,172 | ) | 3,093 | |||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Other, net | (53,317 | ) | 31,563 | (99,472 | ) | (57,087 | ) | 124,172 | (3,093 | ) | ||||||||||
Net cash flows from investing activities | (74,677 | ) | 10,203 | (118,009 | ) | (75,624 | ) | 124,172 | (3,093 | ) | ||||||||||
Condensed Consolidated Statements of Earnings | ' | |||||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS | ||||||||||||||||||||
For the Thirteen weeks ended June 28, 2014 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net sales | $ | 378,642 | $ | 124,414 | $ | 387,715 | $ | (48,172 | ) | $ | 842,599 | |||||||||
Cost of sales | 280,054 | 91,536 | 298,764 | (48,232 | ) | 622,122 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Gross profit | 98,588 | 32,878 | 88,951 | 60 | 220,477 | |||||||||||||||
Selling, general and administrative expenses | 50,164 | 12,670 | 52,867 | — | 115,701 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Operating income | 48,424 | 20,208 | 36,084 | 60 | 104,776 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other income (expense): | ||||||||||||||||||||
Interest expense | (7,691 | ) | (11,337 | ) | (613 | ) | 11,337 | (8,304 | ) | |||||||||||
Interest income | 6 | 152 | 12,756 | (11,337 | ) | 1,577 | ||||||||||||||
Other | 1,754 | 140 | 9 | — | 1,903 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
(5,931 | ) | (11,045 | ) | 12,152 | — | (4,824 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | 42,493 | 9,163 | 48,236 | 60 | 99,952 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Income tax expense (benefit): | ||||||||||||||||||||
Current | 9,315 | 2,626 | 14,148 | 28 | 26,117 | |||||||||||||||
Deferred | 7,672 | 2,079 | (1,798 | ) | — | 7,953 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
16,987 | 4,705 | 12,350 | 28 | 34,070 | ||||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before equity in earnings of nonconsolidated subsidiaries | 25,506 | 4,458 | 35,886 | 32 | 65,882 | |||||||||||||||
Equity in earnings of nonconsolidated subsidiaries | 38,470 | 16,964 | — | (55,464 | ) | (30 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings | 63,976 | 21,422 | 35,886 | (55,432 | ) | 65,852 | ||||||||||||||
Less: Earnings attributable to noncontrolling interests | — | — | (1,876 | ) | — | (1,876 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings attributable to Valmont Industries, Inc | $ | 63,976 | $ | 21,422 | $ | 34,010 | $ | (55,432 | ) | $ | 63,976 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS | ||||||||||||||||||||
For the Twenty-six weeks ended June 28, 2014 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net sales | $ | 755,284 | $ | 260,311 | $ | 687,996 | $ | (109,252 | ) | $ | 1,594,339 | |||||||||
Cost of sales | 551,813 | 191,352 | 533,398 | (109,683 | ) | 1,166,880 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Gross profit | 203,471 | 68,959 | 154,598 | 431 | 427,459 | |||||||||||||||
Selling, general and administrative expenses | 97,954 | 25,661 | 100,220 | — | 223,835 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Operating income | 105,517 | 43,298 | 54,378 | 431 | 203,624 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other income (expense): | ||||||||||||||||||||
Interest expense | (15,366 | ) | (22,217 | ) | (1,135 | ) | 22,217 | (16,501 | ) | |||||||||||
Interest income | 26 | 335 | 25,172 | (22,217 | ) | 3,316 | ||||||||||||||
Other | 1,821 | (352 | ) | (5,378 | ) | — | (3,909 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
(13,519 | ) | (22,234 | ) | 18,659 | — | (17,094 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | 91,998 | 21,064 | 73,037 | 431 | 186,530 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Income tax expense (benefit): | ||||||||||||||||||||
Current | 29,193 | 8,213 | 21,517 | 132 | 59,055 | |||||||||||||||
Deferred | 5,829 | 1,667 | (2,466 | ) | — | 5,030 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
35,022 | 9,880 | 19,051 | 132 | 64,085 | ||||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before equity in earnings of nonconsolidated subsidiaries | 56,976 | 11,184 | 53,986 | 299 | 122,445 | |||||||||||||||
Equity in earnings of nonconsolidated subsidiaries | 62,980 | 25,903 | — | (88,913 | ) | (30 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings | 119,956 | 37,087 | 53,986 | (88,614 | ) | 122,415 | ||||||||||||||
Less: Earnings attributable to noncontrolling interests | — | — | (2,459 | ) | — | (2,459 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings attributable to Valmont Industries, Inc | $ | 119,956 | $ | 37,087 | $ | 51,527 | $ | (88,614 | ) | $ | 119,956 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS | ||||||||||||||||||||
For the Thirteen weeks ended June 29, 2013 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net sales | $ | 426,817 | $ | 169,027 | $ | 360,802 | $ | (77,987 | ) | $ | 878,659 | |||||||||
Cost of sales | 297,949 | 126,290 | 273,482 | (80,533 | ) | 617,188 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Gross profit | 128,868 | 42,737 | 87,320 | 2,546 | 261,471 | |||||||||||||||
Selling, general and administrative expenses | 55,720 | 14,347 | 47,139 | — | 117,206 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Operating income | 73,148 | 28,390 | 40,181 | 2,546 | 144,265 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other income (expense): | ||||||||||||||||||||
Interest expense | (7,636 | ) | (11,944 | ) | (390 | ) | 11,945 | (8,025 | ) | |||||||||||
Interest income | 8 | 237 | 13,552 | (11,945 | ) | 1,852 | ||||||||||||||
Other | 394 | 31 | (302 | ) | — | 123 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
(7,234 | ) | (11,676 | ) | 12,860 | — | (6,050 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | 65,914 | 16,714 | 53,041 | 2,546 | 138,215 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Income tax expense (benefit): | ||||||||||||||||||||
Current | 24,824 | 6,546 | 16,182 | 658 | 48,210 | |||||||||||||||
Deferred | (750 | ) | 1,399 | (1,691 | ) | — | (1,042 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
24,074 | 7,945 | 14,491 | 658 | 47,168 | ||||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before equity in earnings of nonconsolidated subsidiaries | 41,840 | 8,769 | 38,550 | 1,888 | 91,047 | |||||||||||||||
Equity in earnings of nonconsolidated subsidiaries | 47,723 | 23,234 | — | (70,688 | ) | 269 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings | 89,563 | 32,003 | 38,550 | (68,800 | ) | 91,316 | ||||||||||||||
Less: Earnings attributable to noncontrolling interests | — | — | (1,753 | ) | — | (1,753 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings attributable to Valmont Industries, Inc | $ | 89,563 | $ | 32,003 | $ | 36,797 | $ | (68,800 | ) | $ | 89,563 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS | ||||||||||||||||||||
For the Twenty-six weeks ended June 29, 2013 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net sales | $ | 843,430 | $ | 339,876 | $ | 686,211 | $ | (171,228 | ) | $ | 1,698,289 | |||||||||
Cost of sales | 598,629 | 255,288 | 521,865 | (174,333 | ) | 1,201,449 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Gross profit | 244,801 | 84,588 | 164,346 | 3,105 | 496,840 | |||||||||||||||
Selling, general and administrative expenses | 105,746 | 28,341 | 100,298 | — | 234,385 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Operating income | 139,055 | 56,247 | 64,048 | 3,105 | 262,455 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other income (expense): | ||||||||||||||||||||
Interest expense | (15,391 | ) | (24,574 | ) | (824 | ) | 24,574 | (16,215 | ) | |||||||||||
Interest income | 15 | 490 | 27,274 | (24,574 | ) | 3,205 | ||||||||||||||
Other | 1,802 | 46 | (169 | ) | — | 1,679 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
(13,574 | ) | (24,038 | ) | 26,281 | — | (11,331 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | 125,481 | 32,209 | 90,329 | 3,105 | 251,124 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Income tax expense (benefit): | ||||||||||||||||||||
Current | 45,999 | 13,382 | 26,652 | 837 | 86,870 | |||||||||||||||
Deferred | (2,504 | ) | 1,702 | (3,927 | ) | — | (4,729 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
43,495 | 15,084 | 22,725 | 837 | 82,141 | ||||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Earnings before equity in earnings of nonconsolidated subsidiaries | 81,986 | 17,125 | 67,604 | 2,268 | 168,983 | |||||||||||||||
Equity in earnings of nonconsolidated subsidiaries | 85,146 | 42,385 | 207 | (127,265 | ) | 473 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings | 167,132 | 59,510 | 67,811 | (124,997 | ) | 169,456 | ||||||||||||||
Less: Earnings attributable to noncontrolling interests | — | — | (2,324 | ) | — | (2,324 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net earnings attributable to Valmont Industries, Inc | $ | 167,132 | $ | 59,510 | $ | 65,487 | $ | (124,997 | ) | $ | 167,132 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
Condensed Consolidated Statements of Comprehensive Income | ' | |||||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||||||||||||||||||
For the Thirteen weeks ended June 28, 2014 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net earnings | $ | 63,976 | $ | 21,422 | $ | 35,886 | $ | (55,432 | ) | $ | 65,852 | |||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustments: | ||||||||||||||||||||
Unrealized gains (losses) arising during the period | — | (8,954 | ) | 22,823 | — | 13,869 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
— | (8,954 | ) | 22,823 | — | 13,869 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Unrealized loss on cash flow hedge: | ||||||||||||||||||||
Amortization cost included in interest expense | 100 | — | (133 | ) | — | (33 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
100 | — | (133 | ) | — | (33 | ) | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Actuarial gain (loss) in defined benefit pension plan liability | — | — | (614 | ) | — | (614 | ) | |||||||||||||
Equity in other comprehensive income | 13,206 | — | — | (13,206 | ) | — | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss) | 13,306 | (8,954 | ) | 22,076 | (13,206 | ) | 13,222 | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income | 77,282 | 12,468 | 57,962 | (68,638 | ) | 79,074 | ||||||||||||||
Comprehensive income attributable to noncontrolling interests | — | — | (1,792 | ) | — | (1,792 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income attributable to Valmont Industries, Inc. | $ | 77,282 | $ | 12,468 | $ | 56,170 | $ | (68,638 | ) | $ | 77,282 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||||||||||||||||||
For the Twenty-six weeks ended June 28, 2014 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net earnings | $ | 119,956 | $ | 37,087 | $ | 53,986 | $ | (88,614 | ) | $ | 122,415 | |||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustments: | ||||||||||||||||||||
Unrealized gains (losses) arising during the period | — | (29,315 | ) | 54,821 | — | 25,506 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
— | (29,315 | ) | 54,821 | — | 25,506 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Unrealized loss on cash flow hedge: | ||||||||||||||||||||
Amortization cost included in interest expense | 200 | — | (133 | ) | — | 67 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
200 | — | (133 | ) | — | 67 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Actuarial gain (loss) in defined benefit pension plan liability | — | — | (847 | ) | — | (847 | ) | |||||||||||||
Equity in other comprehensive income | 25,281 | — | — | (25,281 | ) | — | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss) | 25,481 | (29,315 | ) | 53,841 | (25,281 | ) | 24,726 | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income | 145,437 | 7,772 | 107,827 | (113,895 | ) | 147,141 | ||||||||||||||
Comprehensive income attributable to noncontrolling interests | — | — | (1,704 | ) | — | (1,704 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income attributable to Valmont Industries, Inc. | $ | 145,437 | $ | 7,772 | $ | 106,123 | $ | (113,895 | ) | $ | 145,437 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||||||||||||||||||
For the Thirteen weeks ended June 29, 2013 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net earnings | $ | 89,563 | $ | 32,003 | $ | 38,550 | $ | (68,800 | ) | $ | 91,316 | |||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustments: | ||||||||||||||||||||
Unrealized gains (losses) arising during the period | — | 65,807 | (118,769 | ) | — | (52,962 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
— | 65,807 | (118,769 | ) | — | (52,962 | ) | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Unrealized loss on cash flow hedge: | ||||||||||||||||||||
Amortization cost included in interest expense | 100 | — | — | — | 100 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
100 | — | — | — | 100 | ||||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Actuarial gain (loss) in defined benefit pension plan liability | — | — | 42 | — | 42 | |||||||||||||||
Equity in other comprehensive income | (49,618 | ) | — | — | 49,618 | — | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss) | (49,518 | ) | 65,807 | (118,727 | ) | 49,618 | (52,820 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income | 40,045 | 97,810 | (80,177 | ) | (19,182 | ) | 38,496 | |||||||||||||
Comprehensive income attributable to noncontrolling interests | — | — | 1,549 | — | 1,549 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income attributable to Valmont Industries, Inc. | $ | 40,045 | $ | 97,810 | $ | (78,628 | ) | $ | (19,182 | ) | $ | 40,045 | ||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||||||||||||||||||
For the Twenty-six weeks ended June 29, 2013 | ||||||||||||||||||||
Parent | Guarantors | Non- | Eliminations | Total | ||||||||||||||||
Guarantors | ||||||||||||||||||||
Net earnings | $ | 167,132 | $ | 59,510 | $ | 67,811 | $ | (124,997 | ) | $ | 169,456 | |||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustments: | ||||||||||||||||||||
Unrealized gains (losses) arising during the period | — | 27,486 | (90,068 | ) | — | (62,582 | ) | |||||||||||||
Realized loss included in net earnings during the period | — | — | (5,194 | ) | — | (5,194 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
— | 27,486 | (95,262 | ) | — | (67,776 | ) | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Unrealized loss on cash flow hedge: | ||||||||||||||||||||
Amortization cost included in interest expense | 200 | — | — | — | 200 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
200 | — | — | — | 200 | ||||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Actuarial gain (loss) in defined benefit pension plan liability | — | — | (894 | ) | — | (894 | ) | |||||||||||||
Equity in other comprehensive income | (63,157 | ) | — | — | 63,157 | — | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Other comprehensive income (loss) | (62,957 | ) | 27,486 | (96,156 | ) | 63,157 | (68,470 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income | 104,175 | 86,996 | (28,345 | ) | (61,840 | ) | 100,986 | |||||||||||||
Comprehensive income attributable to noncontrolling interests | — | — | 3,189 | — | 3,189 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Comprehensive income attributable to Valmont Industries, Inc. | $ | 104,175 | $ | 86,996 | $ | (25,156 | ) | $ | (61,840 | ) | $ | 104,175 | ||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
Condensed Consolidated Balance Sheets | ' | |||||||||||||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||||||||||||||
June 28, 2014 | ||||||||||||||||||||
Parent | Guarantors | Non-Guarantors | Eliminations | Total | ||||||||||||||||
ASSETS | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 63,127 | $ | 49,455 | $ | 343,345 | $ | — | $ | 455,927 | ||||||||||
Receivables, net | 148,649 | 73,846 | 321,113 | — | 543,608 | |||||||||||||||
Inventories | 123,369 | 59,580 | 198,994 | — | 381,943 | |||||||||||||||
Prepaid expenses | 6,606 | 690 | 59,620 | — | 66,916 | |||||||||||||||
Refundable and deferred income taxes | 51,058 | 6,285 | 13,991 | — | 71,334 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total current assets | 392,809 | 189,856 | 937,063 | — | 1,519,728 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Property, plant and equipment, at cost | 548,424 | 126,706 | 485,012 | — | 1,160,142 | |||||||||||||||
Less accumulated depreciation and amortization | 311,358 | 65,166 | 144,764 | — | 521,288 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net property, plant and equipment | 237,066 | 61,540 | 340,248 | — | 638,854 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Goodwill | 20,108 | 107,542 | 240,755 | — | 368,405 | |||||||||||||||
Other intangible assets | 319 | 46,052 | 148,988 | — | 195,359 | |||||||||||||||
Investment in subsidiaries and intercompany accounts | 1,578,856 | 1,445,118 | 509,824 | (3,533,798 | ) | — | ||||||||||||||
Other assets | 40,228 | — | 96,030 | — | 136,258 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total assets | $ | 2,269,386 | $ | 1,850,108 | $ | 2,272,908 | $ | (3,533,798 | ) | $ | 2,858,604 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Current installments of long-term debt | $ | 188 | $ | — | $ | — | $ | — | $ | 188 | ||||||||||
Notes payable to banks | — | — | 17,485 | — | 17,485 | |||||||||||||||
Accounts payable | 63,503 | 16,471 | 128,860 | — | 208,834 | |||||||||||||||
Accrued employee compensation and benefits | 46,513 | 6,332 | 42,520 | — | 95,365 | |||||||||||||||
Accrued expenses | 33,746 | 6,284 | 51,601 | — | 91,631 | |||||||||||||||
Dividends payable | 9,930 | — | — | — | 9,930 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total current liabilities | 153,880 | 29,087 | 240,466 | — | 423,433 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Deferred income taxes | 13,406 | 28,879 | 53,389 | — | 95,674 | |||||||||||||||
Long-term debt, excluding current installments | 469,216 | 544,497 | 9,282 | (544,497 | ) | 478,498 | ||||||||||||||
Defined benefit pension liability | — | — | 143,114 | — | 143,114 | |||||||||||||||
Deferred compensation | 41,134 | — | 7,158 | — | 48,292 | |||||||||||||||
Other noncurrent liabilities | 9,481 | — | 45,022 | — | 54,503 | |||||||||||||||
Shareholders' equity: | ||||||||||||||||||||
Common stock of $1 par value | 27,900 | 457,950 | 254,982 | (712,932 | ) | 27,900 | ||||||||||||||
Additional paid-in capital | — | 150,286 | 1,034,236 | (1,184,522 | ) | — | ||||||||||||||
Retained earnings | 1,672,287 | 602,280 | 522,868 | (1,125,148 | ) | 1,672,287 | ||||||||||||||
Accumulated other comprehensive income (loss) | (22,204 | ) | 37,129 | (70,430 | ) | 33,301 | (22,204 | ) | ||||||||||||
Treasury stock | (95,714 | ) | — | — | — | (95,714 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total Valmont Industries, Inc. shareholders' equity | 1,582,269 | 1,247,645 | 1,741,656 | (2,989,301 | ) | 1,582,269 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Noncontrolling interest in consolidated subsidiaries | — | — | 32,821 | — | 32,821 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total shareholders' equity | 1,582,269 | 1,247,645 | 1,774,477 | (2,989,301 | ) | 1,615,090 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total liabilities and shareholders' equity | $ | 2,269,386 | $ | 1,850,108 | $ | 2,272,908 | $ | (3,533,798 | ) | $ | 2,858,604 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||||||||||||||
December 28, 2013 | ||||||||||||||||||||
Parent | Guarantors | Non-Guarantors | Eliminations | Total | ||||||||||||||||
ASSETS | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 215,576 | $ | 49,053 | $ | 349,077 | $ | — | $ | 613,706 | ||||||||||
Receivables, net | 139,179 | 108,646 | 267,615 | — | 515,440 | |||||||||||||||
Inventories | 132,953 | 70,231 | 176,816 | — | 380,000 | |||||||||||||||
Prepaid expenses | 4,735 | 932 | 17,330 | — | 22,997 | |||||||||||||||
Refundable and deferred income taxes | 41,167 | 8,351 | 16,179 | — | 65,697 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total current assets | 533,610 | 237,213 | 827,017 | — | 1,597,840 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Property, plant and equipment, at cost | 522,734 | 125,764 | 368,628 | — | 1,017,126 | |||||||||||||||
Less accumulated depreciation and amortization | 300,066 | 61,520 | 121,330 | — | 482,916 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net property, plant and equipment | 222,668 | 64,244 | 247,298 | — | 534,210 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Goodwill | 20,108 | 107,542 | 221,982 | — | 349,632 | |||||||||||||||
Other intangible assets | 346 | 48,461 | 122,110 | — | 170,917 | |||||||||||||||
Investment in subsidiaries and intercompany accounts | 1,417,425 | 1,367,308 | 518,059 | (3,302,792 | ) | — | ||||||||||||||
Other assets | 30,759 | — | 93,136 | — | 123,895 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total assets | $ | 2,224,916 | $ | 1,824,768 | $ | 2,029,602 | $ | (3,302,792 | ) | $ | 2,776,494 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Current installments of long-term debt | $ | 188 | $ | — | $ | 14 | $ | — | $ | 202 | ||||||||||
Notes payable to banks | — | — | 19,024 | — | 19,024 | |||||||||||||||
Accounts payable | 62,153 | 20,365 | 133,603 | — | 216,121 | |||||||||||||||
Accrued employee compensation and benefits | 76,370 | 13,713 | 32,884 | — | 122,967 | |||||||||||||||
Accrued expenses | 28,362 | 7,315 | 35,883 | — | 71,560 | |||||||||||||||
Dividends payable | 6,706 | — | — | — | 6,706 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total current liabilities | 173,779 | 41,393 | 221,408 | — | 436,580 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Deferred income taxes | 18,983 | 29,279 | 30,662 | — | 78,924 | |||||||||||||||
Long-term debt, excluding current installments | 470,175 | 514,223 | 732 | (514,223 | ) | 470,907 | ||||||||||||||
Defined benefit pension liability | — | — | 154,397 | — | 154,397 | |||||||||||||||
Deferred compensation | 32,339 | — | 6,770 | — | 39,109 | |||||||||||||||
Other noncurrent liabilities | 7,615 | — | 44,116 | — | 51,731 | |||||||||||||||
Shareholders' equity: | ||||||||||||||||||||
Common stock of $1 par value | 27,900 | 457,950 | 254,982 | (712,932 | ) | 27,900 | ||||||||||||||
Additional paid-in capital | — | 150,286 | 891,236 | (1,041,522 | ) | — | ||||||||||||||
Retained earnings | 1,562,670 | 565,193 | 517,703 | (1,082,896 | ) | 1,562,670 | ||||||||||||||
Accumulated other comprehensive income | (47,685 | ) | 66,444 | (115,225 | ) | 48,781 | (47,685 | ) | ||||||||||||
Treasury stock | (20,860 | ) | — | — | — | (20,860 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total Valmont Industries, Inc. shareholders' equity | 1,522,025 | 1,239,873 | 1,548,696 | (2,788,569 | ) | 1,522,025 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Noncontrolling interest in consolidated subsidiaries | — | — | 22,821 | — | 22,821 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total shareholders' equity | 1,522,025 | 1,239,873 | 1,571,517 | (2,788,569 | ) | 1,544,846 | ||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Total liabilities and shareholders' equity | $ | 2,224,916 | $ | 1,824,768 | $ | 2,029,602 | $ | (3,302,792 | ) | $ | 2,776,494 | |||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
Condensed Consolidated Statements of Cash Flows | ' | |||||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||||||||||
For the Twenty-six Weeks Ended June 28, 2014 | ||||||||||||||||||||
Parent | Guarantors | Non-Guarantors | Eliminations | Total | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net earnings | $ | 119,956 | $ | 37,087 | $ | 53,986 | $ | (88,614 | ) | $ | 122,415 | |||||||||
Adjustments to reconcile net earnings to net cash flows from operations: | ||||||||||||||||||||
Depreciation and amortization | 12,539 | 6,584 | 24,245 | — | 43,368 | |||||||||||||||
Loss on investment | 3,501 | — | 3,501 | |||||||||||||||||
Stock-based compensation | 3,686 | — | — | — | 3,686 | |||||||||||||||
Defined benefit pension plan expense | — | — | 1,334 | — | 1,334 | |||||||||||||||
Contribution to defined benefit pension plan | — | — | (17,484 | ) | — | (17,484 | ) | |||||||||||||
Gain on sale of property, plant and equipment | 7 | (74 | ) | (35 | ) | — | (102 | ) | ||||||||||||
Equity in earnings in nonconsolidated subsidiaries | (62,980 | ) | (25,903 | ) | — | 88,913 | 30 | |||||||||||||
Deferred income taxes | 5,829 | 1,667 | (2,466 | ) | — | 5,030 | ||||||||||||||
Changes in assets and liabilities (net of acquisitions): | ||||||||||||||||||||
Receivables | (9,471 | ) | 34,803 | (4,249 | ) | — | 21,083 | |||||||||||||
Inventories | 9,584 | 10,651 | (13,611 | ) | — | 6,624 | ||||||||||||||
Prepaid expenses | (1,870 | ) | 241 | (16,660 | ) | — | (18,289 | ) | ||||||||||||
Accounts payable | 1,352 | (3,892 | ) | (26,093 | ) | — | (28,633 | ) | ||||||||||||
Accrued expenses | (23,205 | ) | (8,411 | ) | 1,201 | — | (30,415 | ) | ||||||||||||
Other noncurrent liabilities | 1,941 | — | (175 | ) | — | 1,766 | ||||||||||||||
Income taxes payable (refundable) | (22,572 | ) | 1,071 | (562 | ) | — | (22,063 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net cash flows from operating activities | 34,796 | 53,824 | 2,932 | 299 | 91,851 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Cash flows from investing activities: | ||||||||||||||||||||
Purchase of property, plant and equipment | (27,046 | ) | (1,486 | ) | (18,459 | ) | — | (46,991 | ) | |||||||||||
Proceeds from sale of assets | 21 | 88 | 1,042 | — | 1,151 | |||||||||||||||
Acquisitions, net of cash acquired | — | — | (120,483 | ) | — | (120,483 | ) | |||||||||||||
Other, net | 49,004 | (25,784 | ) | (25,861 | ) | (299 | ) | (2,940 | ) | |||||||||||
| | | | | | | | | | | | | | | | | ||||
Net cash flows from investing activities | 21,979 | (27,182 | ) | (163,761 | ) | (299 | ) | (169,263 | ) | |||||||||||
| | | | | | | | | | | | | | | | | ||||
Cash flows from financing activities: | ||||||||||||||||||||
Net borrowings under short-term agreements | — | — | (1,861 | ) | — | (1,861 | ) | |||||||||||||
Principal payments on long-term borrowings | (196 | ) | — | (63 | ) | — | (259 | ) | ||||||||||||
Dividends paid | (13,427 | ) | — | — | — | (13,427 | ) | |||||||||||||
Intercompany dividends | 20,895 | 25,467 | (46,362 | ) | — | — | ||||||||||||||
Dividends to noncontrolling interest | — | — | (1,340 | ) | — | (1,340 | ) | |||||||||||||
Intercompany interest on long-term note | — | (54,398 | ) | 54,398 | — | — | ||||||||||||||
Intercompany capital contribution | (143,000 | ) | 143,000 | — | ||||||||||||||||
Proceeds from exercises under stock plans | 11,996 | — | — | — | 11,996 | |||||||||||||||
Excess tax benefits from stock option exercises | 3,576 | — | — | — | 3,576 | |||||||||||||||
Purchase of treasury shares | (77,084 | ) | — | — | — | (77,084 | ) | |||||||||||||
Purchase of common treasury shares—stock plan exercises: | (11,984 | ) | — | — | — | (11,984 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net cash flows from financing activities | (209,224 | ) | (28,931 | ) | 147,772 | — | (90,383 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
Effect of exchange rate changes on cash and cash equivalents | — | 2,691 | 7,325 | — | 10,016 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net change in cash and cash equivalents | (152,449 | ) | 402 | (5,732 | ) | — | (157,779 | ) | ||||||||||||
Cash and cash equivalents—beginning of year | 215,576 | 49,053 | 349,077 | — | 613,706 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Cash and cash equivalents—end of period | $ | 63,127 | $ | 49,455 | $ | 343,345 | $ | — | $ | 455,927 | ||||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||||||||||
For the Twenty-six Weeks Ended June 29, 2013 | ||||||||||||||||||||
Parent | Guarantors | Non-Guarantors | Eliminations | Total | ||||||||||||||||
Cash flows from operations: | ||||||||||||||||||||
Net earnings | $ | 167,132 | $ | 59,510 | $ | 67,811 | $ | (124,997 | ) | $ | 169,456 | |||||||||
Adjustments to reconcile net earnings to net cash flows from operations: | ||||||||||||||||||||
Depreciation and amortization | 9,834 | 6,452 | 21,900 | — | 38,186 | |||||||||||||||
Stock-based compensation | 3,342 | — | — | — | 3,342 | |||||||||||||||
Defined benefit pension plan expense | — | — | 3,245 | — | 3,245 | |||||||||||||||
Contribution to defined benefit pension plan | — | — | (10,346 | ) | — | (10,346 | ) | |||||||||||||
Gain on sale of property, plant and equipment | 337 | 36 | (5,444 | ) | — | (5,071 | ) | |||||||||||||
Equity in earnings of nonconsolidated subsidiaries | (85,146 | ) | (42,385 | ) | (207 | ) | 127,265 | (473 | ) | |||||||||||
Deferred income taxes | (2,504 | ) | 1,702 | (3,927 | ) | — | (4,729 | ) | ||||||||||||
Changes in assets and liabilities: | ||||||||||||||||||||
Receivables | 453 | 5,235 | (9,019 | ) | — | (3,331 | ) | |||||||||||||
Inventories | 10,524 | 1,643 | (14,658 | ) | — | (2,491 | ) | |||||||||||||
Prepaid expenses | 579 | 318 | (6,807 | ) | — | (5,910 | ) | |||||||||||||
Accounts payable | (6,052 | ) | (2,877 | ) | 9,665 | — | 736 | |||||||||||||
Accrued expenses | 4,471 | (1,932 | ) | 377 | — | 2,916 | ||||||||||||||
Other noncurrent liabilities | 3,058 | — | (1,185 | ) | — | 1,873 | ||||||||||||||
Income taxes payable (refundable) | (10,415 | ) | (1,943 | ) | (277 | ) | 825 | (11,810 | ) | |||||||||||
| | | | | | | | | | | | | | | | | ||||
Net cash flows from operations | 95,613 | 25,759 | 51,128 | 3,093 | 175,593 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Cash flows from investing activities: | ||||||||||||||||||||
Purchase of property, plant and equipment | (22,826 | ) | (18,569 | ) | (12,863 | ) | — | (54,258 | ) | |||||||||||
Proceeds from sale of assets | 1,466 | 32 | 37,556 | — | 39,054 | |||||||||||||||
Acquisitions, net of cash acquired | — | — | (53,152 | ) | — | (53,152 | ) | |||||||||||||
Other, net | 31,563 | (57,087 | ) | 28,484 | (3,093 | ) | (133 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net cash flows from investing activities | 10,203 | (75,624 | ) | 25 | (3,093 | ) | (68,489 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
Cash flows from financing activities: | ||||||||||||||||||||
Net borrowings under short-term agreements | — | — | 2,620 | — | 2,620 | |||||||||||||||
Proceeds from long-term borrowings | — | — | 68 | — | 68 | |||||||||||||||
Principal payments on long-term borrowings | (186 | ) | — | (117 | ) | — | (303 | ) | ||||||||||||
Dividends paid | (12,021 | ) | — | — | — | (12,021 | ) | |||||||||||||
Dividend to noncontrolling interests | — | — | (1,767 | ) | — | (1,767 | ) | |||||||||||||
Proceeds from exercises under stock plans | 14,098 | — | — | — | 14,098 | |||||||||||||||
Excess tax benefits from stock option exercises | 305 | — | — | — | 305 | |||||||||||||||
Purchase of common treasury shares—stock plan exercises | (13,602 | ) | — | — | — | (13,602 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net cash flows from financing activities | (11,406 | ) | — | 804 | — | (10,602 | ) | |||||||||||||
| | | | | | | | | | | | | | | | | ||||
Effect of exchange rate changes on cash and cash equivalents | — | (3,600 | ) | (16,554 | ) | — | (20,154 | ) | ||||||||||||
| | | | | | | | | | | | | | | | | ||||
Net change in cash and cash equivalents | 94,410 | (53,465 | ) | 35,403 | — | 76,348 | ||||||||||||||
Cash and cash equivalents—beginning of year | 40,926 | 83,203 | 290,000 | — | 414,129 | |||||||||||||||
| | | | | | | | | | | | | | | | | ||||
Cash and cash equivalents—end of period | $ | 135,336 | $ | 29,738 | $ | 325,403 | $ | — | $ | 490,477 | ||||||||||
| | | | | | | | | | | | | | | | | ||||
| | | | | | | | | | | | | | | | | ||||
SUMMARY_OF_SIGNIFICANT_ACCOUNT3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) (USD $) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||
In Thousands, except Share data, unless otherwise specified | Feb. 28, 2013 | Jun. 28, 2014 | Jun. 29, 2013 | Mar. 30, 2013 | Jun. 28, 2014 | Jun. 29, 2013 | Dec. 28, 2013 |
Inventories | ' | ' | ' | ' | ' | ' | ' |
Inventory valued at the lower of cost, determined on the last-in, first-out (LIFO) method, or market (as a percent) | ' | 41.00% | ' | ' | 41.00% | ' | 43.00% |
Excess of replacement cost of inventories over the LIFO value | ' | $47,141 | ' | ' | $47,141 | ' | $45,204 |
Raw materials and purchased parts | ' | 178,366 | ' | ' | 178,366 | ' | 179,576 |
Work-in-process | ' | 27,242 | ' | ' | 27,242 | ' | 27,294 |
Finished goods and manufactured goods | ' | 223,476 | ' | ' | 223,476 | ' | 218,334 |
Subtotal | ' | 429,084 | ' | ' | 429,084 | ' | 425,204 |
Less: LIFO reserve | ' | 47,141 | ' | ' | 47,141 | ' | 45,204 |
Net inventory | ' | 381,943 | ' | ' | 381,943 | ' | 380,000 |
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | ' | ' | ' | ' | ' | ' | ' |
United States | ' | 65,096 | 98,684 | ' | 136,790 | 187,421 | ' |
Foreign | ' | 34,856 | 39,531 | ' | 49,740 | 63,703 | ' |
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | ' | 99,952 | 138,215 | ' | 186,530 | 251,124 | ' |
Accounting policy disclosures | ' | ' | ' | ' | ' | ' | ' |
Shares of common stock available for issuance | ' | 1,463,096 | ' | ' | 1,463,096 | ' | ' |
Equity Method Investments | ' | ' | ' | ' | ' | ' | ' |
Proceeds from sale of assets | 29,250 | ' | ' | ' | 1,151 | 39,054 | ' |
Foreign currency translation adjustments | ' | ' | ' | 5,194 | ' | 5,194 | ' |
Deferred tax benefits | ' | ' | ' | 3,200 | ' | ' | ' |
Stock option plans | ' | ' | ' | ' | ' | ' | ' |
Accounting policy disclosures | ' | ' | ' | ' | ' | ' | ' |
Compensation expense (included in selling, general and administrative expenses) | ' | 1,262 | 1,314 | ' | 2,525 | 2,627 | ' |
Tax benefits associated with compensation expense | ' | $486 | $505 | ' | $972 | $1,011 | ' |
Minimum | Stock option plans | ' | ' | ' | ' | ' | ' | ' |
Accounting policy disclosures | ' | ' | ' | ' | ' | ' | ' |
Vesting period of options | ' | ' | ' | ' | '3 years | ' | ' |
Expiration period of grant | ' | ' | ' | ' | '6 years | ' | ' |
Maximum | Stock option plans | ' | ' | ' | ' | ' | ' | ' |
Accounting policy disclosures | ' | ' | ' | ' | ' | ' | ' |
Vesting period of options | ' | ' | ' | ' | '6 years | ' | ' |
Expiration period of grant | ' | ' | ' | ' | '10 years | ' | ' |
SUMMARY_OF_SIGNIFICANT_ACCOUNT4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 2) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 28, 2014 | Jun. 29, 2013 | Jun. 28, 2014 | Jun. 29, 2013 |
Net periodic benefit expense: | ' | ' | ' | ' |
Interest cost | $7,312 | $6,487 | $14,509 | $13,058 |
Expected return on plan assets | -6,640 | -4,875 | -13,175 | -9,813 |
Net periodic benefit expense | $672 | $1,612 | $1,334 | $3,245 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 3) (USD $) | Jun. 28, 2014 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) | ' | ' |
Assets and liabilities measured at fair value | ' | ' |
Trading Securities | $45,966 | $41,043 |
Carrying Value | ' | ' |
Assets and liabilities measured at fair value | ' | ' |
Trading Securities | 45,966 | 41,043 |
Delta EMD Pty. Ltd. | ' | ' |
Assets and liabilities measured at fair value | ' | ' |
Fair value of remaining ownership | 10,114 | 13,910 |
Valmont Deferred Compensation Plan | ' | ' |
Assets and liabilities measured at fair value | ' | ' |
Assets recorded for the investments held | 35,852 | 27,133 |
Liabilities recorded for the investments held | $35,852 | $27,133 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 4) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 28, 2014 |
Components of accumulated other comprehensive income (loss) | ' |
Balance at the beginning of the period | ($47,685) |
Current-period comprehensive income (loss) | 25,481 |
Balance at the end of the period | -22,204 |
Foreign Currency Translation Adjustments | ' |
Components of accumulated other comprehensive income (loss) | ' |
Balance at the beginning of the period | -20,165 |
Current-period comprehensive income (loss) | 26,261 |
Balance at the end of the period | 6,096 |
Unrealized Loss on Cash Flow Hedge | ' |
Components of accumulated other comprehensive income (loss) | ' |
Balance at the beginning of the period | -2,535 |
Current-period comprehensive income (loss) | 67 |
Balance at the end of the period | -2,468 |
Defined Benefit Pension Plan | ' |
Components of accumulated other comprehensive income (loss) | ' |
Balance at the beginning of the period | -24,985 |
Current-period comprehensive income (loss) | -847 |
Balance at the end of the period | ($25,832) |
ACQUISITIONS_Details
ACQUISITIONS (Details) (USD $) | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 0 Months Ended | 3 Months Ended | 6 Months Ended | 0 Months Ended | 1 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Jun. 29, 2013 | Jun. 29, 2013 | Jun. 28, 2014 | Dec. 28, 2013 | Jun. 28, 2014 | Jun. 28, 2014 | Mar. 03, 2014 | Jun. 28, 2014 | Jun. 28, 2014 | Feb. 05, 2013 | Feb. 05, 2013 | Dec. 28, 2013 |
DS SM, Locker, and Armorflex acquisitions | DS SM, Locker, and Armorflex acquisitions | Valmont SM | Valmont SM | Valmont SM | Locker | Locker | Armorflex International Ltd. | |||||
item | Maximum | |||||||||||
Acquisitions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ownership percentage acquired | ' | ' | ' | ' | ' | ' | 90.00% | ' | ' | 100.00% | ' | 100.00% |
Annual sales | ' | ' | ' | ' | ' | ' | $190,000 | ' | ' | ' | ' | ' |
Number of manufacturing locations operated | ' | ' | ' | ' | ' | ' | 2 | ' | ' | ' | ' | ' |
Cash acquired | ' | ' | ' | ' | ' | ' | 56 | ' | ' | 116 | ' | ' |
Cash paid for acquisition | ' | ' | ' | ' | ' | ' | 120,483 | ' | ' | 53,152 | ' | 10,000 |
Fair value of contingent consideration | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | 7,911 | ' |
Fair values of the assets acquired and liabilities assumed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current assets | ' | ' | ' | ' | ' | ' | 73,421 | ' | ' | ' | ' | ' |
Property, plant and equipment | ' | ' | ' | ' | ' | ' | 88,917 | ' | ' | ' | ' | ' |
Intangible assets | ' | ' | ' | ' | ' | ' | 30,340 | ' | ' | ' | ' | 3,792 |
Goodwill | ' | ' | 368,405 | 349,632 | ' | ' | 11,846 | ' | ' | ' | ' | 6,823 |
Total fair value of assets acquired | ' | ' | ' | ' | ' | ' | 204,524 | ' | ' | ' | ' | ' |
Current liabilities | ' | ' | ' | ' | ' | ' | 50,953 | ' | ' | ' | ' | ' |
Deferred income taxes | ' | ' | ' | ' | ' | ' | 14,915 | ' | ' | ' | ' | ' |
Intercompany note payable | ' | ' | ' | ' | ' | ' | 37,448 | ' | ' | ' | ' | ' |
Long-term debt | ' | ' | ' | ' | ' | ' | 8,941 | ' | ' | ' | ' | ' |
Total fair value of liabilities assumed | ' | ' | ' | ' | ' | ' | 112,257 | ' | ' | ' | ' | ' |
Non-controlling interests | ' | ' | ' | ' | ' | ' | 9,232 | ' | ' | ' | ' | ' |
Net assets acquired | ' | ' | ' | ' | ' | ' | 83,035 | ' | ' | ' | ' | ' |
Net sales and net earnings included in Consolidated Statements of Earnings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales included in Consolidated Statements of Earnings | ' | ' | ' | ' | 69,473 | 104,054 | ' | 47,217 | 64,521 | ' | ' | ' |
Net earnings included in Consolidated Statements of Earnings | ' | ' | ' | ' | 3,888 | 5,574 | ' | 2,925 | 4,102 | ' | ' | ' |
Period at the end of which contingent consideration is to be paid | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2 years | ' | ' |
Present value of the potential additional purchase price | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,178 | ' | ' |
Pro forma results of operations | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | 929,722 | 1,797,577 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net earnings | $92,791 | $172,224 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Earnings per share-diluted | $3.44 | $6.41 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
ACQUISITIONS_Details_2
ACQUISITIONS (Details 2) (Valmont SM, USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 28, 2014 |
Major classes of acquired intangible assets and weighted-average amortization periods | ' |
Amount | $30,340 |
Backlog | ' |
Major classes of acquired intangible assets and weighted-average amortization periods | ' |
Amount | 3,145 |
Weighted Average Amortization Period | '1 year 6 months |
Customer Relationships | ' |
Major classes of acquired intangible assets and weighted-average amortization periods | ' |
Amount | 14,985 |
Weighted Average Amortization Period | '15 years |
Trade Names | ' |
Major classes of acquired intangible assets and weighted-average amortization periods | ' |
Amount | $12,210 |
GOODWILL_AND_INTANGIBLE_ASSETS2
GOODWILL AND INTANGIBLE ASSETS (Details) (USD $) | 3 Months Ended | 6 Months Ended | 6 Months Ended | 12 Months Ended | 6 Months Ended | 12 Months Ended | 6 Months Ended | 12 Months Ended | 6 Months Ended | 12 Months Ended | |||
In Thousands, unless otherwise specified | Jun. 28, 2014 | Jun. 29, 2013 | Jun. 28, 2014 | Jun. 29, 2013 | Dec. 28, 2013 | Jun. 28, 2014 | Dec. 28, 2013 | Jun. 28, 2014 | Dec. 28, 2013 | Jun. 28, 2014 | Dec. 28, 2013 | Jun. 28, 2014 | Dec. 28, 2013 |
Customer Relationships | Customer Relationships | Proprietary Software and Database | Proprietary Software and Database | Patents and Proprietary Technology | Patents and Proprietary Technology | Other | Other | ||||||
Components of amortized intangible assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gross Carrying Amount | $214,929 | ' | $214,929 | ' | $194,345 | $194,824 | $177,495 | $3,977 | $3,896 | $11,397 | $11,334 | $4,731 | $1,620 |
Accumulated Amortization | 97,320 | ' | 97,320 | ' | 87,597 | 84,034 | 76,024 | 2,985 | 2,896 | 8,148 | 7,239 | 2,153 | 1,438 |
Weighted Average Life | ' | ' | ' | ' | ' | '13 years | '13 years | '5 years | '6 years | '8 years | '8 years | '3 years | '6 years |
Amortization expense for intangible assets | 4,634 | 3,458 | 8,737 | 7,696 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated amortization expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2014 | 18,243 | ' | 18,243 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2015 | 17,436 | ' | 17,436 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2016 | 15,470 | ' | 15,470 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2017 | 15,421 | ' | 15,421 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2018 | $13,738 | ' | $13,738 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
GOODWILL_AND_INTANGIBLE_ASSETS3
GOODWILL AND INTANGIBLE ASSETS (Details 2) (USD $) | Jun. 28, 2014 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Webforge | ' | ' |
Non-amortized intangible assets | ' | ' |
Carrying value of trade names | $18,389 | $17,787 |
Valmont SM | ' | ' |
Non-amortized intangible assets | ' | ' |
Carrying value of trade names | 12,059 | ' |
Newmark | ' | ' |
Non-amortized intangible assets | ' | ' |
Carrying value of trade names | 11,111 | 11,111 |
Ingal EPS/Ingal Civil Products | ' | ' |
Non-amortized intangible assets | ' | ' |
Carrying value of trade names | 9,705 | 9,387 |
Donhad | ' | ' |
Non-amortized intangible assets | ' | ' |
Carrying value of trade names | 7,322 | 7,082 |
Industrial Galvanizers | ' | ' |
Non-amortized intangible assets | ' | ' |
Carrying value of trade names | 4,257 | 4,117 |
Other | ' | ' |
Non-amortized intangible assets | ' | ' |
Carrying value of trade names | 14,907 | 14,685 |
Trade names | ' | ' |
Non-amortized intangible assets | ' | ' |
Carrying value of trade names | $77,750 | $64,169 |
GOODWILL_AND_INTANGIBLE_ASSETS4
GOODWILL AND INTANGIBLE ASSETS (Details 3) (USD $) | 6 Months Ended | 6 Months Ended | |||||
In Thousands, unless otherwise specified | Jun. 28, 2014 | Jun. 28, 2014 | Jun. 28, 2014 | Dec. 28, 2013 | Jun. 28, 2014 | Jun. 28, 2014 | Jun. 28, 2014 |
Engineered Infrastructure Products segment | Utility Support Structures segment | Utility Support Structures segment | Coatings segment | Irrigation segment | Other | ||
Carrying amount of goodwill | ' | ' | ' | ' | ' | ' | ' |
Balance at the beginning of the period | $349,632 | $175,442 | $75,404 | $75,404 | $77,062 | $2,420 | $19,304 |
Acquisitions | 11,846 | 11,846 | ' | ' | ' | ' | ' |
Foreign currency translation | 6,927 | 5,548 | ' | ' | 679 | 46 | 654 |
Balance at the end of the period | $368,405 | $192,836 | $75,404 | $75,404 | $77,741 | $2,466 | $19,958 |
CASH_FLOW_SUPPLEMENTARY_INFORM2
CASH FLOW SUPPLEMENTARY INFORMATION (Details) (USD $) | 0 Months Ended | 6 Months Ended | |
13-May-14 | Jun. 28, 2014 | Jun. 29, 2013 | |
CASH FLOW SUPPLEMENTARY INFORMATION | ' | ' | ' |
Interest | ' | $16,564,000 | $16,329,000 |
Income taxes | ' | 77,691,000 | 103,604,000 |
Increased Dividend (as a percent) | 50.00% | ' | ' |
Maximum amount of common stock authorized to repurchase under share repurchase program | 500,000,000 | ' | ' |
Period over which common stock are authorized to repurchase under share repurchase program | '12 months | ' | ' |
Shares acquired under share repurchase program | ' | 490,172 | ' |
Amount of shares acquired under share repurchase program | ' | $77,084,000 | ' |
EARNINGS_PER_SHARE_Details
EARNINGS PER SHARE (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jun. 28, 2014 | Jun. 29, 2013 | Jun. 28, 2014 | Jun. 29, 2013 |
Basic EPS | ' | ' | ' | ' |
Net earnings attributable to Valmont Industries, Inc, basic | $63,976 | $89,563 | $119,956 | $167,132 |
Shares outstanding, basic | 26,623 | 26,648 | 26,669 | 26,615 |
Per share amount, basic (in dollars per share) | $2.40 | $3.36 | $4.50 | $6.28 |
Dilutive Effect of Stock Options | ' | ' | ' | ' |
Dilutive effect of stock options number of shares | 233 | 262 | 234 | 269 |
Dilutive effect of stock options (in dollars per share) | ($0.02) | ($0.03) | ($0.04) | ($0.06) |
Diluted EPS | ' | ' | ' | ' |
Net earnings attributable to Valmont Industries, Inc, diluted | $63,976 | $89,563 | $119,956 | $167,132 |
Shares outstanding dilutive | 26,856 | 26,910 | 26,903 | 26,884 |
Per share amount, diluted (in dollars per share) | $2.38 | $3.33 | $4.46 | $6.22 |
BUSINESS_SEGMENTS_Details
BUSINESS SEGMENTS (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 28, 2014 | Jun. 29, 2013 | Jun. 28, 2014 | Jun. 29, 2013 |
item | ||||
Business Segments | ' | ' | ' | ' |
Number of reportable segments | ' | ' | 4 | ' |
Maximum percentage of sales of other businesses and activities to consolidated sales as basis for aggregation | ' | ' | 10.00% | ' |
Net sales | $842,599 | $878,659 | $1,594,339 | $1,698,289 |
Operating Income | 104,776 | 144,265 | 203,624 | 262,455 |
Engineered Infrastructure Products segment: | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Net sales | 286,186 | 228,467 | 495,083 | 422,685 |
Operating Income | 28,625 | 22,603 | 42,334 | 35,337 |
Utility Support Structures segment | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Net sales | 212,005 | 227,944 | 426,237 | 467,171 |
Operating Income | 26,375 | 42,121 | 59,132 | 88,276 |
Coatings segment | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Net sales | 70,387 | 79,350 | 137,605 | 154,265 |
Operating Income | 15,820 | 23,552 | 29,706 | 36,972 |
Irrigation segment | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Net sales | 219,913 | 270,174 | 432,637 | 514,881 |
Operating Income | 41,473 | 64,174 | 84,619 | 118,733 |
Other | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Net sales | 54,108 | 72,724 | 102,777 | 139,287 |
Operating Income | 8,343 | 13,025 | 16,893 | 23,812 |
Corporate | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Operating Income | -15,860 | -21,210 | -29,060 | -40,675 |
Operating segment | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 884,242 | 926,531 | 1,680,937 | 1,801,660 |
Operating segment | Engineered Infrastructure Products segment: | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 304,352 | 250,636 | 532,814 | 474,306 |
Operating segment | Engineered Infrastructure Products segment: | Lighting, Traffic, and Roadway Products | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 164,753 | 161,487 | 303,730 | 308,657 |
Operating segment | Engineered Infrastructure Products segment: | Communication Products | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 43,618 | 34,771 | 73,504 | 63,393 |
Operating segment | Engineered Infrastructure Products segment: | Offshore Structures | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 47,217 | ' | 64,521 | ' |
Operating segment | Engineered Infrastructure Products segment: | Access Systems | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 48,764 | 54,378 | 91,059 | 102,256 |
Operating segment | Utility Support Structures segment | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 213,030 | 228,243 | 427,757 | 467,881 |
Operating segment | Utility Support Structures segment | Steel | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 179,574 | 200,650 | 371,011 | 411,661 |
Operating segment | Utility Support Structures segment | Concrete | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 33,456 | 27,593 | 56,746 | 56,220 |
Operating segment | Coatings segment | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 85,157 | 93,798 | 167,328 | 183,043 |
Operating segment | Irrigation segment | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 219,917 | 270,175 | 432,650 | 514,882 |
Operating segment | Other | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 61,786 | 83,679 | 120,388 | 161,548 |
Intersegment | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 41,643 | 47,872 | 86,598 | 103,371 |
Intersegment | Engineered Infrastructure Products segment: | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 18,166 | 22,169 | 37,731 | 51,621 |
Intersegment | Utility Support Structures segment | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 1,025 | 299 | 1,520 | 710 |
Intersegment | Coatings segment | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 14,770 | 14,448 | 29,723 | 28,778 |
Intersegment | Irrigation segment | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | 4 | 1 | 13 | 1 |
Intersegment | Other | ' | ' | ' | ' |
Business Segments | ' | ' | ' | ' |
Sales | $7,678 | $10,955 | $17,611 | $22,261 |
GUARANTORNONGUARANTOR_FINANCIA2
GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION (Details) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 28, 2014 |
Long-term debt: | ' |
Parent company's percentage ownership of Guarantors | 100.00% |
6.625% senior unsecured notes due in April 2020 | ' |
Long-term debt: | ' |
Face amount of debt issued to finance acquisition | $450,000 |
Interest rate on notes (as a percent) | 6.63% |
GUARANTORNONGUARANTOR_FINANCIA3
GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION (Details 2) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 28, 2014 | Jun. 29, 2013 |
Cash flows from operating activities: | ' | ' |
Equity in earnings in nonconsolidated subsidiaries | $30 | ($473) |
Net cash flows from operating activities | 91,851 | 175,593 |
Cash flows from investing activities: | ' | ' |
Other, net | -2,940 | -133 |
Net cash flows from investing activities | -169,263 | -68,489 |
Parent | ' | ' |
Cash flows from operating activities: | ' | ' |
Equity in earnings in nonconsolidated subsidiaries | -62,980 | -85,146 |
Net cash flows from operating activities | 34,796 | 95,613 |
Cash flows from investing activities: | ' | ' |
Other, net | 49,004 | 31,563 |
Net cash flows from investing activities | 21,979 | 10,203 |
Parent | As previously reported | Reclassification adjustment of amounts previously reported in investing activities to operating activities | ' | ' |
Cash flows from operating activities: | ' | ' |
Equity in earnings in nonconsolidated subsidiaries | ' | -266 |
Net cash flows from operating activities | ' | 180,493 |
Cash flows from investing activities: | ' | ' |
Other, net | ' | -53,317 |
Net cash flows from investing activities | ' | -74,677 |
Guarantors | ' | ' |
Cash flows from operating activities: | ' | ' |
Equity in earnings in nonconsolidated subsidiaries | -25,903 | -42,385 |
Net cash flows from operating activities | 53,824 | 25,759 |
Cash flows from investing activities: | ' | ' |
Other, net | -25,784 | -57,087 |
Net cash flows from investing activities | -27,182 | -75,624 |
Guarantors | As previously reported | Reclassification adjustment of amounts previously reported in investing activities to operating activities | ' | ' |
Cash flows from operating activities: | ' | ' |
Net cash flows from operating activities | ' | 68,144 |
Cash flows from investing activities: | ' | ' |
Other, net | ' | -99,472 |
Net cash flows from investing activities | ' | -118,009 |
Eliminations | ' | ' |
Cash flows from operating activities: | ' | ' |
Equity in earnings in nonconsolidated subsidiaries | 88,913 | 127,265 |
Net cash flows from operating activities | 299 | 3,093 |
Cash flows from investing activities: | ' | ' |
Other, net | -299 | -3,093 |
Net cash flows from investing activities | -299 | -3,093 |
Eliminations | As previously reported | Reclassification adjustment of amounts previously reported in investing activities to operating activities | ' | ' |
Cash flows from operating activities: | ' | ' |
Net cash flows from operating activities | ' | -124,172 |
Cash flows from investing activities: | ' | ' |
Other, net | ' | 124,172 |
Net cash flows from investing activities | ' | $124,172 |
GUARANTORNONGUARANTOR_FINANCIA4
GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION (Details 3) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 28, 2014 | Jun. 29, 2013 | Jun. 28, 2014 | Jun. 29, 2013 |
Condensed consolidated financial information for the Company (Parent), the Guarantor subsidiaries and the Non-Guarantor subsidiaries | ' | ' | ' | ' |
Net sales | $842,599 | $878,659 | $1,594,339 | $1,698,289 |
Cost of sales | 622,122 | 617,188 | 1,166,880 | 1,201,449 |
Gross profit | 220,477 | 261,471 | 427,459 | 496,840 |
Selling, general and administrative expenses | 115,701 | 117,206 | 223,835 | 234,385 |
Operating income | 104,776 | 144,265 | 203,624 | 262,455 |
Other income (expense): | ' | ' | ' | ' |
Interest expense | -8,304 | -8,025 | -16,501 | -16,215 |
Interest income | 1,577 | 1,852 | 3,316 | 3,205 |
Other | 1,903 | 123 | -3,909 | 1,679 |
Total other income (expenses) | -4,824 | -6,050 | -17,094 | -11,331 |
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | 99,952 | 138,215 | 186,530 | 251,124 |
Income tax expense (benefit): | ' | ' | ' | ' |
Current | 26,117 | 48,210 | 59,055 | 86,870 |
Deferred | 7,953 | -1,042 | 5,030 | -4,729 |
Total income tax expense (benefit) | 34,070 | 47,168 | 64,085 | 82,141 |
Earnings before equity in earnings of nonconsolidated subsidiaries | 65,882 | 91,047 | 122,445 | 168,983 |
Equity in earnings of nonconsolidated subsidiaries | -30 | 269 | -30 | 473 |
Net earnings | 65,852 | 91,316 | 122,415 | 169,456 |
Less: Earnings attributable to noncontrolling interests | -1,876 | -1,753 | -2,459 | -2,324 |
Net earnings attributable to Valmont Industries, Inc. | 63,976 | 89,563 | 119,956 | 167,132 |
Parent | ' | ' | ' | ' |
Condensed consolidated financial information for the Company (Parent), the Guarantor subsidiaries and the Non-Guarantor subsidiaries | ' | ' | ' | ' |
Net sales | 378,642 | 426,817 | 755,284 | 843,430 |
Cost of sales | 280,054 | 297,949 | 551,813 | 598,629 |
Gross profit | 98,588 | 128,868 | 203,471 | 244,801 |
Selling, general and administrative expenses | 50,164 | 55,720 | 97,954 | 105,746 |
Operating income | 48,424 | 73,148 | 105,517 | 139,055 |
Other income (expense): | ' | ' | ' | ' |
Interest expense | -7,691 | -7,636 | -15,366 | -15,391 |
Interest income | 6 | 8 | 26 | 15 |
Other | 1,754 | 394 | 1,821 | 1,802 |
Total other income (expenses) | -5,931 | -7,234 | -13,519 | -13,574 |
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | 42,493 | 65,914 | 91,998 | 125,481 |
Income tax expense (benefit): | ' | ' | ' | ' |
Current | 9,315 | 24,824 | 29,193 | 45,999 |
Deferred | 7,672 | -750 | 5,829 | -2,504 |
Total income tax expense (benefit) | 16,987 | 24,074 | 35,022 | 43,495 |
Earnings before equity in earnings of nonconsolidated subsidiaries | 25,506 | 41,840 | 56,976 | 81,986 |
Equity in earnings of nonconsolidated subsidiaries | 38,470 | 47,723 | 62,980 | 85,146 |
Net earnings | 63,976 | 89,563 | 119,956 | 167,132 |
Net earnings attributable to Valmont Industries, Inc. | 63,976 | 89,563 | 119,956 | 167,132 |
Guarantors | ' | ' | ' | ' |
Condensed consolidated financial information for the Company (Parent), the Guarantor subsidiaries and the Non-Guarantor subsidiaries | ' | ' | ' | ' |
Net sales | 124,414 | 169,027 | 260,311 | 339,876 |
Cost of sales | 91,536 | 126,290 | 191,352 | 255,288 |
Gross profit | 32,878 | 42,737 | 68,959 | 84,588 |
Selling, general and administrative expenses | 12,670 | 14,347 | 25,661 | 28,341 |
Operating income | 20,208 | 28,390 | 43,298 | 56,247 |
Other income (expense): | ' | ' | ' | ' |
Interest expense | -11,337 | -11,944 | -22,217 | -24,574 |
Interest income | 152 | 237 | 335 | 490 |
Other | 140 | 31 | -352 | 46 |
Total other income (expenses) | -11,045 | -11,676 | -22,234 | -24,038 |
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | 9,163 | 16,714 | 21,064 | 32,209 |
Income tax expense (benefit): | ' | ' | ' | ' |
Current | 2,626 | 6,546 | 8,213 | 13,382 |
Deferred | 2,079 | 1,399 | 1,667 | 1,702 |
Total income tax expense (benefit) | 4,705 | 7,945 | 9,880 | 15,084 |
Earnings before equity in earnings of nonconsolidated subsidiaries | 4,458 | 8,769 | 11,184 | 17,125 |
Equity in earnings of nonconsolidated subsidiaries | 16,964 | 23,234 | 25,903 | 42,385 |
Net earnings | 21,422 | 32,003 | 37,087 | 59,510 |
Net earnings attributable to Valmont Industries, Inc. | 21,422 | 32,003 | 37,087 | 59,510 |
Non-Guarantors | ' | ' | ' | ' |
Condensed consolidated financial information for the Company (Parent), the Guarantor subsidiaries and the Non-Guarantor subsidiaries | ' | ' | ' | ' |
Net sales | 387,715 | 360,802 | 687,996 | 686,211 |
Cost of sales | 298,764 | 273,482 | 533,398 | 521,865 |
Gross profit | 88,951 | 87,320 | 154,598 | 164,346 |
Selling, general and administrative expenses | 52,867 | 47,139 | 100,220 | 100,298 |
Operating income | 36,084 | 40,181 | 54,378 | 64,048 |
Other income (expense): | ' | ' | ' | ' |
Interest expense | -613 | -390 | -1,135 | -824 |
Interest income | 12,756 | 13,552 | 25,172 | 27,274 |
Other | 9 | -302 | -5,378 | -169 |
Total other income (expenses) | 12,152 | 12,860 | 18,659 | 26,281 |
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | 48,236 | 53,041 | 73,037 | 90,329 |
Income tax expense (benefit): | ' | ' | ' | ' |
Current | 14,148 | 16,182 | 21,517 | 26,652 |
Deferred | -1,798 | -1,691 | -2,466 | -3,927 |
Total income tax expense (benefit) | 12,350 | 14,491 | 19,051 | 22,725 |
Earnings before equity in earnings of nonconsolidated subsidiaries | 35,886 | 38,550 | 53,986 | 67,604 |
Equity in earnings of nonconsolidated subsidiaries | ' | ' | ' | 207 |
Net earnings | 35,886 | 38,550 | 53,986 | 67,811 |
Less: Earnings attributable to noncontrolling interests | -1,876 | -1,753 | -2,459 | -2,324 |
Net earnings attributable to Valmont Industries, Inc. | 34,010 | 36,797 | 51,527 | 65,487 |
Eliminations | ' | ' | ' | ' |
Condensed consolidated financial information for the Company (Parent), the Guarantor subsidiaries and the Non-Guarantor subsidiaries | ' | ' | ' | ' |
Net sales | -48,172 | -77,987 | -109,252 | -171,228 |
Cost of sales | -48,232 | -80,533 | -109,683 | -174,333 |
Gross profit | 60 | 2,546 | 431 | 3,105 |
Operating income | 60 | 2,546 | 431 | 3,105 |
Other income (expense): | ' | ' | ' | ' |
Interest expense | 11,337 | 11,945 | 22,217 | 24,574 |
Interest income | -11,337 | -11,945 | -22,217 | -24,574 |
Earnings before income taxes and equity in earnings of nonconsolidated subsidiaries | 60 | 2,546 | 431 | 3,105 |
Income tax expense (benefit): | ' | ' | ' | ' |
Current | 28 | 658 | 132 | 837 |
Total income tax expense (benefit) | 28 | 658 | 132 | 837 |
Earnings before equity in earnings of nonconsolidated subsidiaries | 32 | 1,888 | 299 | 2,268 |
Equity in earnings of nonconsolidated subsidiaries | -55,464 | -70,688 | -88,913 | -127,265 |
Net earnings | -55,432 | -68,800 | -88,614 | -124,997 |
Net earnings attributable to Valmont Industries, Inc. | ($55,432) | ($68,800) | ($88,614) | ($124,997) |
GUARANTORNONGUARANTOR_FINANCIA5
GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION (Details 4) (USD $) | 3 Months Ended | 6 Months Ended | |||
In Thousands, unless otherwise specified | Jun. 28, 2014 | Jun. 29, 2013 | Mar. 30, 2013 | Jun. 28, 2014 | Jun. 29, 2013 |
Condensed consolidated financial information for the Company (Parent), the Guarantor subsidiaries and the Non-Guarantor subsidiaries | ' | ' | ' | ' | ' |
Net earnings | $65,852 | $91,316 | ' | $122,415 | $169,456 |
Foreign currency translation adjustments: | ' | ' | ' | ' | ' |
Unrealized gains (losses) arising during the period | 13,869 | -52,962 | ' | 25,506 | -62,582 |
Realized loss included in net earnings during the period | ' | ' | -5,194 | ' | -5,194 |
Foreign currency translation adjustments | 13,869 | -52,962 | ' | 25,506 | -67,776 |
Unrealized loss on cash flow hedge: | ' | ' | ' | ' | ' |
Amortization cost included in interest expense | -33 | 100 | ' | 67 | 200 |
Derivative adjustment | -33 | 100 | ' | 67 | 200 |
Actuarial gain (loss) in defined benefit pension plan liability | -614 | 42 | ' | -847 | -894 |
Other comprehensive income (loss) | 13,222 | -52,820 | ' | 24,726 | -68,470 |
Comprehensive income | 79,074 | 38,496 | ' | 147,141 | 100,986 |
Comprehensive income attributable to noncontrolling interests | -1,792 | 1,549 | ' | -1,704 | 3,189 |
Comprehensive income attributable to Valmont Industries, Inc. | 77,282 | 40,045 | ' | 145,437 | 104,175 |
Parent | ' | ' | ' | ' | ' |
Condensed consolidated financial information for the Company (Parent), the Guarantor subsidiaries and the Non-Guarantor subsidiaries | ' | ' | ' | ' | ' |
Net earnings | 63,976 | 89,563 | ' | 119,956 | 167,132 |
Unrealized loss on cash flow hedge: | ' | ' | ' | ' | ' |
Amortization cost included in interest expense | 100 | 100 | ' | 200 | 200 |
Derivative adjustment | 100 | 100 | ' | 200 | 200 |
Equity in other comprehensive income | 13,206 | -49,618 | ' | 25,281 | -63,157 |
Other comprehensive income (loss) | 13,306 | -49,518 | ' | 25,481 | -62,957 |
Comprehensive income | 77,282 | 40,045 | ' | 145,437 | 104,175 |
Comprehensive income attributable to Valmont Industries, Inc. | 77,282 | 40,045 | ' | 145,437 | 104,175 |
Guarantors | ' | ' | ' | ' | ' |
Condensed consolidated financial information for the Company (Parent), the Guarantor subsidiaries and the Non-Guarantor subsidiaries | ' | ' | ' | ' | ' |
Net earnings | 21,422 | 32,003 | ' | 37,087 | 59,510 |
Foreign currency translation adjustments: | ' | ' | ' | ' | ' |
Unrealized gains (losses) arising during the period | -8,954 | 65,807 | ' | -29,315 | 27,486 |
Foreign currency translation adjustments | -8,954 | 65,807 | ' | -29,315 | 27,486 |
Unrealized loss on cash flow hedge: | ' | ' | ' | ' | ' |
Other comprehensive income (loss) | -8,954 | 65,807 | ' | -29,315 | 27,486 |
Comprehensive income | 12,468 | 97,810 | ' | 7,772 | 86,996 |
Comprehensive income attributable to Valmont Industries, Inc. | 12,468 | 97,810 | ' | 7,772 | 86,996 |
Non-Guarantors | ' | ' | ' | ' | ' |
Condensed consolidated financial information for the Company (Parent), the Guarantor subsidiaries and the Non-Guarantor subsidiaries | ' | ' | ' | ' | ' |
Net earnings | 35,886 | 38,550 | ' | 53,986 | 67,811 |
Foreign currency translation adjustments: | ' | ' | ' | ' | ' |
Unrealized gains (losses) arising during the period | 22,823 | -118,769 | ' | 54,821 | -90,068 |
Realized loss included in net earnings during the period | ' | ' | ' | ' | -5,194 |
Foreign currency translation adjustments | 22,823 | -118,769 | ' | 54,821 | -95,262 |
Unrealized loss on cash flow hedge: | ' | ' | ' | ' | ' |
Amortization cost included in interest expense | -133 | ' | ' | -133 | ' |
Derivative adjustment | -133 | ' | ' | -133 | ' |
Actuarial gain (loss) in defined benefit pension plan liability | -614 | 42 | ' | -847 | -894 |
Other comprehensive income (loss) | 22,076 | -118,727 | ' | 53,841 | -96,156 |
Comprehensive income | 57,962 | -80,177 | ' | 107,827 | -28,345 |
Comprehensive income attributable to noncontrolling interests | -1,792 | 1,549 | ' | -1,704 | 3,189 |
Comprehensive income attributable to Valmont Industries, Inc. | 56,170 | -78,628 | ' | 106,123 | -25,156 |
Eliminations | ' | ' | ' | ' | ' |
Condensed consolidated financial information for the Company (Parent), the Guarantor subsidiaries and the Non-Guarantor subsidiaries | ' | ' | ' | ' | ' |
Net earnings | -55,432 | -68,800 | ' | -88,614 | -124,997 |
Unrealized loss on cash flow hedge: | ' | ' | ' | ' | ' |
Equity in other comprehensive income | -13,206 | 49,618 | ' | -25,281 | 63,157 |
Other comprehensive income (loss) | -13,206 | 49,618 | ' | -25,281 | 63,157 |
Comprehensive income | -68,638 | -19,182 | ' | -113,895 | -61,840 |
Comprehensive income attributable to Valmont Industries, Inc. | ($68,638) | ($19,182) | ' | ($113,895) | ($61,840) |
GUARANTORNONGUARANTOR_FINANCIA6
GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION (Details 5) (USD $) | Jun. 28, 2014 | Dec. 28, 2013 | Jun. 29, 2013 | Dec. 29, 2012 |
In Thousands, unless otherwise specified | ||||
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | $455,927 | $613,706 | $490,477 | $414,129 |
Receivables, net | 543,608 | 515,440 | ' | ' |
Inventories | 381,943 | 380,000 | ' | ' |
Prepaid expenses | 66,916 | 22,997 | ' | ' |
Refundable and deferred income taxes | 71,334 | 65,697 | ' | ' |
Total current assets | 1,519,728 | 1,597,840 | ' | ' |
Property, plant and equipment, at cost | 1,160,142 | 1,017,126 | ' | ' |
Less accumulated depreciation and amortization | 521,288 | 482,916 | ' | ' |
Net property, plant and equipment | 638,854 | 534,210 | ' | ' |
Goodwill | 368,405 | 349,632 | ' | ' |
Other intangible assets | 195,359 | 170,917 | ' | ' |
Other assets | 136,258 | 123,895 | ' | ' |
Total assets | 2,858,604 | 2,776,494 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Current installments of long-term debt | 188 | 202 | ' | ' |
Notes payable to banks | 17,485 | 19,024 | ' | ' |
Accounts payable | 208,834 | 216,121 | ' | ' |
Accrued employee compensation and benefits | 95,365 | 122,967 | ' | ' |
Accrued expenses | 91,631 | 71,560 | ' | ' |
Dividends payable | 9,930 | 6,706 | ' | ' |
Total current liabilities | 423,433 | 436,580 | ' | ' |
Deferred income taxes | 95,674 | 78,924 | ' | ' |
Long-term debt, excluding current installments | 478,498 | 470,907 | ' | ' |
Defined benefit pension liability | 143,114 | 154,397 | ' | ' |
Deferred compensation | 48,292 | 39,109 | ' | ' |
Other noncurrent liabilities | 54,503 | 51,731 | ' | ' |
Shareholders' equity: | ' | ' | ' | ' |
Common stock of $1 par value | 27,900 | 27,900 | ' | ' |
Retained earnings | 1,672,287 | 1,562,670 | ' | ' |
Accumulated other comprehensive income (loss) | -22,204 | -47,685 | ' | ' |
Treasury stock | -95,714 | -20,860 | ' | ' |
Total Valmont Industries, Inc. shareholders' equity | 1,582,269 | 1,522,025 | ' | ' |
Noncontrolling interest in consolidated subsidiaries | 32,821 | 22,821 | ' | ' |
Total shareholders' equity | 1,615,090 | 1,544,846 | 1,498,357 | 1,407,010 |
Total liabilities and shareholders' equity | 2,858,604 | 2,776,494 | ' | ' |
Parent | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 63,127 | 215,576 | 135,336 | 40,926 |
Receivables, net | 148,649 | 139,179 | ' | ' |
Inventories | 123,369 | 132,953 | ' | ' |
Prepaid expenses | 6,606 | 4,735 | ' | ' |
Refundable and deferred income taxes | 51,058 | 41,167 | ' | ' |
Total current assets | 392,809 | 533,610 | ' | ' |
Property, plant and equipment, at cost | 548,424 | 522,734 | ' | ' |
Less accumulated depreciation and amortization | 311,358 | 300,066 | ' | ' |
Net property, plant and equipment | 237,066 | 222,668 | ' | ' |
Goodwill | 20,108 | 20,108 | ' | ' |
Other intangible assets | 319 | 346 | ' | ' |
Investment in subsidiaries and intercompany accounts | 1,578,856 | 1,417,425 | ' | ' |
Other assets | 40,228 | 30,759 | ' | ' |
Total assets | 2,269,386 | 2,224,916 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Current installments of long-term debt | 188 | 188 | ' | ' |
Accounts payable | 63,503 | 62,153 | ' | ' |
Accrued employee compensation and benefits | 46,513 | 76,370 | ' | ' |
Accrued expenses | 33,746 | 28,362 | ' | ' |
Dividends payable | 9,930 | 6,706 | ' | ' |
Total current liabilities | 153,880 | 173,779 | ' | ' |
Deferred income taxes | 13,406 | 18,983 | ' | ' |
Long-term debt, excluding current installments | 469,216 | 470,175 | ' | ' |
Deferred compensation | 41,134 | 32,339 | ' | ' |
Other noncurrent liabilities | 9,481 | 7,615 | ' | ' |
Shareholders' equity: | ' | ' | ' | ' |
Common stock of $1 par value | 27,900 | 27,900 | ' | ' |
Retained earnings | 1,672,287 | 1,562,670 | ' | ' |
Accumulated other comprehensive income (loss) | -22,204 | -47,685 | ' | ' |
Treasury stock | -95,714 | -20,860 | ' | ' |
Total Valmont Industries, Inc. shareholders' equity | 1,582,269 | 1,522,025 | ' | ' |
Total shareholders' equity | 1,582,269 | 1,522,025 | ' | ' |
Total liabilities and shareholders' equity | 2,269,386 | 2,224,916 | ' | ' |
Guarantors | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 49,455 | 49,053 | 29,738 | 83,203 |
Receivables, net | 73,846 | 108,646 | ' | ' |
Inventories | 59,580 | 70,231 | ' | ' |
Prepaid expenses | 690 | 932 | ' | ' |
Refundable and deferred income taxes | 6,285 | 8,351 | ' | ' |
Total current assets | 189,856 | 237,213 | ' | ' |
Property, plant and equipment, at cost | 126,706 | 125,764 | ' | ' |
Less accumulated depreciation and amortization | 65,166 | 61,520 | ' | ' |
Net property, plant and equipment | 61,540 | 64,244 | ' | ' |
Goodwill | 107,542 | 107,542 | ' | ' |
Other intangible assets | 46,052 | 48,461 | ' | ' |
Investment in subsidiaries and intercompany accounts | 1,445,118 | 1,367,308 | ' | ' |
Total assets | 1,850,108 | 1,824,768 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | 16,471 | 20,365 | ' | ' |
Accrued employee compensation and benefits | 6,332 | 13,713 | ' | ' |
Accrued expenses | 6,284 | 7,315 | ' | ' |
Total current liabilities | 29,087 | 41,393 | ' | ' |
Deferred income taxes | 28,879 | 29,279 | ' | ' |
Long-term debt, excluding current installments | 544,497 | 514,223 | ' | ' |
Shareholders' equity: | ' | ' | ' | ' |
Common stock of $1 par value | 457,950 | 457,950 | ' | ' |
Additional paid-in capital | 150,286 | 150,286 | ' | ' |
Retained earnings | 602,280 | 565,193 | ' | ' |
Accumulated other comprehensive income (loss) | 37,129 | 66,444 | ' | ' |
Total Valmont Industries, Inc. shareholders' equity | 1,247,645 | 1,239,873 | ' | ' |
Total shareholders' equity | 1,247,645 | 1,239,873 | ' | ' |
Total liabilities and shareholders' equity | 1,850,108 | 1,824,768 | ' | ' |
Non-Guarantors | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 343,345 | 349,077 | 325,403 | 290,000 |
Receivables, net | 321,113 | 267,615 | ' | ' |
Inventories | 198,994 | 176,816 | ' | ' |
Prepaid expenses | 59,620 | 17,330 | ' | ' |
Refundable and deferred income taxes | 13,991 | 16,179 | ' | ' |
Total current assets | 937,063 | 827,017 | ' | ' |
Property, plant and equipment, at cost | 485,012 | 368,628 | ' | ' |
Less accumulated depreciation and amortization | 144,764 | 121,330 | ' | ' |
Net property, plant and equipment | 340,248 | 247,298 | ' | ' |
Goodwill | 240,755 | 221,982 | ' | ' |
Other intangible assets | 148,988 | 122,110 | ' | ' |
Investment in subsidiaries and intercompany accounts | 509,824 | 518,059 | ' | ' |
Other assets | 96,030 | 93,136 | ' | ' |
Total assets | 2,272,908 | 2,029,602 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Current installments of long-term debt | ' | 14 | ' | ' |
Notes payable to banks | 17,485 | 19,024 | ' | ' |
Accounts payable | 128,860 | 133,603 | ' | ' |
Accrued employee compensation and benefits | 42,520 | 32,884 | ' | ' |
Accrued expenses | 51,601 | 35,883 | ' | ' |
Total current liabilities | 240,466 | 221,408 | ' | ' |
Deferred income taxes | 53,389 | 30,662 | ' | ' |
Long-term debt, excluding current installments | 9,282 | 732 | ' | ' |
Defined benefit pension liability | 143,114 | 154,397 | ' | ' |
Deferred compensation | 7,158 | 6,770 | ' | ' |
Other noncurrent liabilities | 45,022 | 44,116 | ' | ' |
Shareholders' equity: | ' | ' | ' | ' |
Common stock of $1 par value | 254,982 | 254,982 | ' | ' |
Additional paid-in capital | 1,034,236 | 891,236 | ' | ' |
Retained earnings | 522,868 | 517,703 | ' | ' |
Accumulated other comprehensive income (loss) | -70,430 | -115,225 | ' | ' |
Total Valmont Industries, Inc. shareholders' equity | 1,741,656 | 1,548,696 | ' | ' |
Noncontrolling interest in consolidated subsidiaries | 32,821 | 22,821 | ' | ' |
Total shareholders' equity | 1,774,477 | 1,571,517 | ' | ' |
Total liabilities and shareholders' equity | 2,272,908 | 2,029,602 | ' | ' |
Eliminations | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Investment in subsidiaries and intercompany accounts | -3,533,798 | -3,302,792 | ' | ' |
Total assets | -3,533,798 | -3,302,792 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Long-term debt, excluding current installments | -544,497 | -514,223 | ' | ' |
Shareholders' equity: | ' | ' | ' | ' |
Common stock of $1 par value | -712,932 | -712,932 | ' | ' |
Additional paid-in capital | -1,184,522 | -1,041,522 | ' | ' |
Retained earnings | -1,125,148 | -1,082,896 | ' | ' |
Accumulated other comprehensive income (loss) | 33,301 | 48,781 | ' | ' |
Total Valmont Industries, Inc. shareholders' equity | -2,989,301 | -2,788,569 | ' | ' |
Total shareholders' equity | -2,989,301 | -2,788,569 | ' | ' |
Total liabilities and shareholders' equity | ($3,533,798) | ($3,302,792) | ' | ' |
GUARANTORNONGUARANTOR_FINANCIA7
GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION (Details 6) (USD $) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Feb. 28, 2013 | Jun. 28, 2014 | Jun. 29, 2013 | Jun. 28, 2014 | Jun. 29, 2013 |
Cash flows from operating activities: | ' | ' | ' | ' | ' |
Net earnings | ' | $65,852 | $91,316 | $122,415 | $169,456 |
Adjustments to reconcile net earnings to net cash flows from operations: | ' | ' | ' | ' | ' |
Depreciation and amortization | ' | ' | ' | 43,368 | 38,186 |
Loss on investment | ' | ' | ' | 3,501 | ' |
Stock-based compensation | ' | ' | ' | 3,686 | 3,342 |
Defined benefit pension plan expense | ' | ' | ' | 1,334 | 3,245 |
Contribution to defined benefit pension plan | ' | ' | ' | -17,484 | -10,346 |
Gain on sale of property, plant and equipment | ' | ' | ' | -102 | -5,071 |
Equity in earnings in nonconsolidated subsidiaries | ' | ' | ' | 30 | -473 |
Deferred income taxes | ' | ' | ' | 5,030 | -4,729 |
Changes in assets and liabilities (net of acquisitions): | ' | ' | ' | ' | ' |
Receivables | ' | ' | ' | 21,083 | -3,331 |
Inventories | ' | ' | ' | 6,624 | -2,491 |
Prepaid expenses | ' | ' | ' | -18,289 | -5,910 |
Accounts payable | ' | ' | ' | -28,633 | 736 |
Accrued expenses | ' | ' | ' | -30,415 | 2,916 |
Other noncurrent liabilities | ' | ' | ' | 1,766 | 1,873 |
Income taxes payable (refundable) | ' | ' | ' | -22,063 | -11,810 |
Net cash flows from operating activities | ' | ' | ' | 91,851 | 175,593 |
Cash flows from investing activities: | ' | ' | ' | ' | ' |
Purchase of property, plant and equipment | ' | ' | ' | -46,991 | -54,258 |
Proceeds from sale of assets | 29,250 | ' | ' | 1,151 | 39,054 |
Acquisitions, net of cash acquired | ' | ' | ' | -120,483 | -53,152 |
Other, net | ' | ' | ' | -2,940 | -133 |
Net cash flows from investing activities | ' | ' | ' | -169,263 | -68,489 |
Cash flows from financing activities: | ' | ' | ' | ' | ' |
Net borrowings under short-term agreements | ' | ' | ' | -1,861 | 2,620 |
Proceeds from long-term borrowings | ' | ' | ' | ' | 68 |
Principal payments on long-term borrowings | ' | ' | ' | -259 | -303 |
Dividends paid | ' | ' | ' | -13,427 | -12,021 |
Dividends to noncontrolling interest | ' | ' | ' | -1,340 | -1,767 |
Proceeds from exercises under stock plans | ' | ' | ' | 11,996 | 14,098 |
Excess tax benefits from stock option exercises | ' | ' | ' | 3,576 | 305 |
Purchase of treasury shares | ' | ' | ' | -77,084 | ' |
Purchase of common treasury shares - stock plan exercises | ' | ' | ' | -11,984 | -13,602 |
Net cash flows from financing activities | ' | ' | ' | -90,383 | -10,602 |
Effect of exchange rate changes on cash and cash equivalents | ' | ' | ' | 10,016 | -20,154 |
Net change in cash and cash equivalents | ' | ' | ' | -157,779 | 76,348 |
Cash and cash equivalents-beginning of year | ' | ' | ' | 613,706 | 414,129 |
Cash and cash equivalents-end of period | ' | 455,927 | 490,477 | 455,927 | 490,477 |
Parent | ' | ' | ' | ' | ' |
Cash flows from operating activities: | ' | ' | ' | ' | ' |
Net earnings | ' | 63,976 | 89,563 | 119,956 | 167,132 |
Adjustments to reconcile net earnings to net cash flows from operations: | ' | ' | ' | ' | ' |
Depreciation and amortization | ' | ' | ' | 12,539 | 9,834 |
Stock-based compensation | ' | ' | ' | 3,686 | 3,342 |
Gain on sale of property, plant and equipment | ' | ' | ' | 7 | 337 |
Equity in earnings in nonconsolidated subsidiaries | ' | ' | ' | -62,980 | -85,146 |
Deferred income taxes | ' | ' | ' | 5,829 | -2,504 |
Changes in assets and liabilities (net of acquisitions): | ' | ' | ' | ' | ' |
Receivables | ' | ' | ' | -9,471 | 453 |
Inventories | ' | ' | ' | 9,584 | 10,524 |
Prepaid expenses | ' | ' | ' | -1,870 | 579 |
Accounts payable | ' | ' | ' | 1,352 | -6,052 |
Accrued expenses | ' | ' | ' | -23,205 | 4,471 |
Other noncurrent liabilities | ' | ' | ' | 1,941 | 3,058 |
Income taxes payable (refundable) | ' | ' | ' | -22,572 | -10,415 |
Net cash flows from operating activities | ' | ' | ' | 34,796 | 95,613 |
Cash flows from investing activities: | ' | ' | ' | ' | ' |
Purchase of property, plant and equipment | ' | ' | ' | -27,046 | -22,826 |
Proceeds from sale of assets | ' | ' | ' | 21 | 1,466 |
Other, net | ' | ' | ' | 49,004 | 31,563 |
Net cash flows from investing activities | ' | ' | ' | 21,979 | 10,203 |
Cash flows from financing activities: | ' | ' | ' | ' | ' |
Principal payments on long-term borrowings | ' | ' | ' | -196 | -186 |
Dividends paid | ' | ' | ' | -13,427 | -12,021 |
Intercompany dividends | ' | ' | ' | 20,895 | ' |
Intercompany capital contribution | ' | ' | ' | -143,000 | ' |
Proceeds from exercises under stock plans | ' | ' | ' | 11,996 | 14,098 |
Excess tax benefits from stock option exercises | ' | ' | ' | 3,576 | 305 |
Purchase of treasury shares | ' | ' | ' | -77,084 | ' |
Purchase of common treasury shares - stock plan exercises | ' | ' | ' | -11,984 | -13,602 |
Net cash flows from financing activities | ' | ' | ' | -209,224 | -11,406 |
Net change in cash and cash equivalents | ' | ' | ' | -152,449 | 94,410 |
Cash and cash equivalents-beginning of year | ' | ' | ' | 215,576 | 40,926 |
Cash and cash equivalents-end of period | ' | 63,127 | 135,336 | 63,127 | 135,336 |
Guarantors | ' | ' | ' | ' | ' |
Cash flows from operating activities: | ' | ' | ' | ' | ' |
Net earnings | ' | 21,422 | 32,003 | 37,087 | 59,510 |
Adjustments to reconcile net earnings to net cash flows from operations: | ' | ' | ' | ' | ' |
Depreciation and amortization | ' | ' | ' | 6,584 | 6,452 |
Gain on sale of property, plant and equipment | ' | ' | ' | -74 | 36 |
Equity in earnings in nonconsolidated subsidiaries | ' | ' | ' | -25,903 | -42,385 |
Deferred income taxes | ' | ' | ' | 1,667 | 1,702 |
Changes in assets and liabilities (net of acquisitions): | ' | ' | ' | ' | ' |
Receivables | ' | ' | ' | 34,803 | 5,235 |
Inventories | ' | ' | ' | 10,651 | 1,643 |
Prepaid expenses | ' | ' | ' | 241 | 318 |
Accounts payable | ' | ' | ' | -3,892 | -2,877 |
Accrued expenses | ' | ' | ' | -8,411 | -1,932 |
Income taxes payable (refundable) | ' | ' | ' | 1,071 | -1,943 |
Net cash flows from operating activities | ' | ' | ' | 53,824 | 25,759 |
Cash flows from investing activities: | ' | ' | ' | ' | ' |
Purchase of property, plant and equipment | ' | ' | ' | -1,486 | -18,569 |
Proceeds from sale of assets | ' | ' | ' | 88 | 32 |
Other, net | ' | ' | ' | -25,784 | -57,087 |
Net cash flows from investing activities | ' | ' | ' | -27,182 | -75,624 |
Cash flows from financing activities: | ' | ' | ' | ' | ' |
Intercompany dividends | ' | ' | ' | 25,467 | ' |
Intercompany interest on long-term note | ' | ' | ' | -54,398 | ' |
Net cash flows from financing activities | ' | ' | ' | -28,931 | ' |
Effect of exchange rate changes on cash and cash equivalents | ' | ' | ' | 2,691 | -3,600 |
Net change in cash and cash equivalents | ' | ' | ' | 402 | -53,465 |
Cash and cash equivalents-beginning of year | ' | ' | ' | 49,053 | 83,203 |
Cash and cash equivalents-end of period | ' | 49,455 | 29,738 | 49,455 | 29,738 |
Non-Guarantors | ' | ' | ' | ' | ' |
Cash flows from operating activities: | ' | ' | ' | ' | ' |
Net earnings | ' | 35,886 | 38,550 | 53,986 | 67,811 |
Adjustments to reconcile net earnings to net cash flows from operations: | ' | ' | ' | ' | ' |
Depreciation and amortization | ' | ' | ' | 24,245 | 21,900 |
Loss on investment | ' | ' | ' | 3,501 | ' |
Defined benefit pension plan expense | ' | ' | ' | 1,334 | 3,245 |
Contribution to defined benefit pension plan | ' | ' | ' | -17,484 | -10,346 |
Gain on sale of property, plant and equipment | ' | ' | ' | -35 | -5,444 |
Equity in earnings in nonconsolidated subsidiaries | ' | ' | ' | ' | -207 |
Deferred income taxes | ' | ' | ' | -2,466 | -3,927 |
Changes in assets and liabilities (net of acquisitions): | ' | ' | ' | ' | ' |
Receivables | ' | ' | ' | -4,249 | -9,019 |
Inventories | ' | ' | ' | -13,611 | -14,658 |
Prepaid expenses | ' | ' | ' | -16,660 | -6,807 |
Accounts payable | ' | ' | ' | -26,093 | 9,665 |
Accrued expenses | ' | ' | ' | 1,201 | 377 |
Other noncurrent liabilities | ' | ' | ' | -175 | -1,185 |
Income taxes payable (refundable) | ' | ' | ' | -562 | -277 |
Net cash flows from operating activities | ' | ' | ' | 2,932 | 51,128 |
Cash flows from investing activities: | ' | ' | ' | ' | ' |
Purchase of property, plant and equipment | ' | ' | ' | -18,459 | -12,863 |
Proceeds from sale of assets | ' | ' | ' | 1,042 | 37,556 |
Acquisitions, net of cash acquired | ' | ' | ' | -120,483 | -53,152 |
Other, net | ' | ' | ' | -25,861 | 28,484 |
Net cash flows from investing activities | ' | ' | ' | -163,761 | 25 |
Cash flows from financing activities: | ' | ' | ' | ' | ' |
Net borrowings under short-term agreements | ' | ' | ' | -1,861 | 2,620 |
Proceeds from long-term borrowings | ' | ' | ' | ' | 68 |
Principal payments on long-term borrowings | ' | ' | ' | -63 | -117 |
Intercompany dividends | ' | ' | ' | -46,362 | ' |
Dividends to noncontrolling interest | ' | ' | ' | -1,340 | -1,767 |
Intercompany interest on long-term note | ' | ' | ' | 54,398 | ' |
Intercompany capital contribution | ' | ' | ' | 143,000 | ' |
Net cash flows from financing activities | ' | ' | ' | 147,772 | 804 |
Effect of exchange rate changes on cash and cash equivalents | ' | ' | ' | 7,325 | -16,554 |
Net change in cash and cash equivalents | ' | ' | ' | -5,732 | 35,403 |
Cash and cash equivalents-beginning of year | ' | ' | ' | 349,077 | 290,000 |
Cash and cash equivalents-end of period | ' | 343,345 | 325,403 | 343,345 | 325,403 |
Eliminations | ' | ' | ' | ' | ' |
Cash flows from operating activities: | ' | ' | ' | ' | ' |
Net earnings | ' | -55,432 | -68,800 | -88,614 | -124,997 |
Adjustments to reconcile net earnings to net cash flows from operations: | ' | ' | ' | ' | ' |
Equity in earnings in nonconsolidated subsidiaries | ' | ' | ' | 88,913 | 127,265 |
Changes in assets and liabilities (net of acquisitions): | ' | ' | ' | ' | ' |
Income taxes payable (refundable) | ' | ' | ' | ' | 825 |
Net cash flows from operating activities | ' | ' | ' | 299 | 3,093 |
Cash flows from investing activities: | ' | ' | ' | ' | ' |
Other, net | ' | ' | ' | -299 | -3,093 |
Net cash flows from investing activities | ' | ' | ' | ($299) | ($3,093) |