DOCUMENT AND ENTITY INFORMATION
DOCUMENT AND ENTITY INFORMATION - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Feb. 24, 2017 | Jun. 30, 2016 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | STONERIDGE INC | ||
Entity Central Index Key | 1,043,337 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Trading Symbol | sri | ||
Entity Common Stock Shares Outstanding | 27,870,944 | ||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2,016 | ||
Entity Well-Known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 395.7 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Current assets: | ||
Cash and cash equivalents | $ 50,389 | $ 54,361 |
Accounts receivable, less reserves of $1,630 and $1,066, respectively | 113,225 | 94,937 |
Inventories, net | 60,117 | 61,009 |
Prepaid expenses and other current assets | 17,162 | 21,602 |
Total current assets | 240,893 | 231,909 |
Long-term assets: | ||
Property, plant and equipment, net | 91,500 | 85,264 |
Intangible assets, net and goodwill | 40,191 | 36,699 |
Investments and other long-term assets, net | 21,945 | 10,380 |
Total long-term assets | 153,636 | 132,343 |
Total assets | 394,529 | 364,252 |
Current liabilities: | ||
Current portion of debt | 8,626 | 13,905 |
Accounts payable | 62,594 | 55,225 |
Accrued expenses and other current liabilities | 41,489 | 38,920 |
Total current liabilities | 112,709 | 108,050 |
Long-term liabilities: | ||
Revolving credit facility | 67,000 | 100,000 |
Long-term debt, net | 8,060 | 4,458 |
Deferred income taxes | 9,760 | 41,332 |
Other long-term liabilities | 4,923 | 3,983 |
Total long-term liabilities | 89,743 | 149,773 |
Shareholders' equity: | ||
Preferred Shares, without par value, 5,000 shares authorized, none issued | ||
Common Shares, without par value, 60,000 shares authorized, 28,966 and 28,907 shares issued and 27,850 and 27,912 shares outstanding at December 31, 2016 and 2015, respectively, with no stated value | ||
Additional paid-in capital | 206,504 | 199,254 |
Common Shares held in treasury, 1,116 and 995 shares at December 31, 2016 and 2015, respectively, at cost | (5,632) | (4,208) |
Retained earnings (accumulated deficit) | 45,356 | (32,105) |
Accumulated other comprehensive loss | (67,913) | (69,822) |
Total Stoneridge Inc. shareholders' equity | 178,315 | 93,119 |
Noncontrolling interest | 13,762 | 13,310 |
Total shareholders' equity | 192,077 | 106,429 |
Total liabilities and shareholders' equity | $ 394,529 | $ 364,252 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Statement Of Financial Position [Abstract] | ||
Accounts receivable, reserves (in dollars) | $ 1,630 | $ 1,066 |
Preferred shares, no par value | $ 0 | $ 0 |
Preferred shares, authorized | 5,000,000 | 5,000,000 |
Preferred shares, issued | 0 | 0 |
Common shares, no par value | $ 0 | $ 0 |
Common shares, authorized | 60,000,000 | 60,000,000 |
Common shares, issued | 28,966,000 | 28,907,000 |
Common shares, outstanding | 27,850,000 | 27,912,000 |
Common shares held in treasury, shares | 1,116,000 | 995,000 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||||||||
Income Statement [Abstract] | |||||||||||||||||||
Net sales | $ 172,612 | $ 173,846 | $ 186,903 | $ 162,616 | $ 154,641 | $ 162,057 | $ 165,289 | $ 162,825 | $ 695,977 | $ 644,812 | $ 660,579 | ||||||||
Costs and expenses: | |||||||||||||||||||
Cost of goods sold | 500,538 | 467,834 | 469,705 | ||||||||||||||||
Selling, general and administrative | 111,145 | 110,371 | 123,630 | ||||||||||||||||
Design and development | 40,212 | 38,792 | 41,609 | ||||||||||||||||
Goodwill impairment charge (benefit) | 51,458 | ||||||||||||||||||
Operating income (loss) | 10,170 | 11,780 | 13,626 | 8,506 | 8,327 | 8,947 | 7,415 | 3,126 | 44,082 | 27,815 | (25,823) | ||||||||
Interest expense, net | 6,277 | 6,365 | 16,880 | ||||||||||||||||
Equity in earnings of investee | (1,233) | (608) | (815) | ||||||||||||||||
Loss on early extinguishment of debt | 10,607 | ||||||||||||||||||
Other expense (income), net | (147) | 1,828 | 565 | ||||||||||||||||
Income (loss) before income taxes from continuing operations | 39,185 | 20,230 | (53,060) | ||||||||||||||||
Provision (benefit) for income taxes from continuing operations | (39,503) | [1] | 919 | [1] | 1,350 | [1] | 845 | [1] | (345) | 32 | (381) | 147 | (36,389) | (547) | (1,856) | ||||
Income (loss) from continuing operations | 48,489 | 9,981 | 10,995 | 6,109 | 4,935 | 7,411 | 6,328 | 2,103 | 75,574 | 20,777 | (51,204) | ||||||||
Discontinued operations: | |||||||||||||||||||
Income (loss) from discontinued operations, net of tax | (811) | ||||||||||||||||||
Loss on disposal, net of tax | 16 | (113) | 55 | (168) | (210) | (8,576) | |||||||||||||
Income (loss) from discontinued operations | 16 | [2] | (113) | [2] | 55 | [2] | (168) | [2] | (210) | (9,387) | |||||||||
Net income (loss) | 48,489 | 9,981 | 10,995 | 6,109 | 4,951 | 7,298 | 6,383 | 1,935 | 75,574 | 20,567 | (60,591) | ||||||||
Net income (loss) attributable to noncontrolling interest | 122 | (303) | (576) | (1,130) | (1,133) | (69) | (596) | (409) | (1,887) | (2,207) | (13,483) | ||||||||
Net income (loss) attributable to Stoneridge, Inc. | $ 48,367 | $ 10,284 | $ 11,571 | $ 7,239 | $ 6,084 | $ 7,367 | $ 6,979 | $ 2,344 | $ 77,461 | $ 22,774 | $ (47,108) | ||||||||
Earnings (loss) per share attributable to continuing operations attributable to Stoneridge, Inc.: | |||||||||||||||||||
Basic (in dollars per share) | $ 1.74 | [3] | $ 0.37 | [3] | $ 0.42 | [3] | $ 0.26 | [3] | $ 0.22 | [3] | $ 0.27 | [3] | $ 0.26 | [3] | $ 0.10 | [3] | $ 2.79 | $ 0.84 | $ (1.40) |
Diluted (in dollars per share) | 1.70 | [3] | 0.36 | [3] | 0.41 | [3] | 0.26 | [3] | 0.22 | [3] | 0.27 | [3] | 0.25 | [3] | 0.09 | [3] | 2.74 | 0.82 | (1.40) |
Earnings (loss) per share attributable to discontinued operations: | |||||||||||||||||||
Basic (in dollars per share) | 0 | [3] | (0.01) | [3] | 0 | [3] | (0.01) | [3] | 0 | (0.01) | (0.35) | ||||||||
Diluted (in dollars per share) | 0 | [3] | (0.01) | [3] | 0 | [3] | (0.01) | [3] | 0 | (0.01) | (0.35) | ||||||||
Earnings (loss) per share attributable to Stoneridge, Inc.: | |||||||||||||||||||
Basic (in dollars per share) | 1.74 | [3] | 0.37 | [3] | 0.42 | [3] | 0.26 | [3] | 0.22 | [3] | 0.26 | [3] | 0.26 | [3] | 0.09 | [3] | 2.79 | 0.83 | (1.75) |
Diluted (in dollars per share) | $ 1.70 | [3] | $ 0.36 | [3] | $ 0.41 | [3] | $ 0.26 | [3] | $ 0.22 | [3] | $ 0.26 | [3] | $ 0.25 | [3] | $ 0.08 | [3] | $ 2.74 | $ 0.81 | $ (1.75) |
Weighted average shares outstanding: | |||||||||||||||||||
Basic (in shares) | 27,763,990 | 27,337,954 | 26,923,809 | ||||||||||||||||
Diluted (in shares) | 28,308,922 | 27,959,162 | 26,923,809 | ||||||||||||||||
[1] | The Company recorded the release of a valuation allowance associated with its U.S. federal, certain state and foreign deferred tax assets for the year ended December 31, 2016. | ||||||||||||||||||
[2] | A gain (loss) on disposal of the Wiring business was recorded for the quarters ended March 31, 2015, June 30, 2015, September 30, 2015 and December 31, 2015 for $(168), $55, $(113) and $16, respectively | ||||||||||||||||||
[3] | Earnings per share for the year may not equal the sum of the four historical quarters earnings per share due to changes in weighted-average basic and diluted shares outstanding. |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement Of Other Comprehensive Income [Abstract] | |||
Net income (loss) | $ 75,574 | $ 20,567 | $ (60,591) |
Less: income (loss) attributable to noncontrolling interest | (1,887) | (2,207) | (13,483) |
Net income (loss) attributable to Stoneridge, Inc. | 77,461 | 22,774 | (47,108) |
Other comprehensive income (loss), net of tax: | |||
Foreign currency translation adjustments | 2,401 | (24,693) | (15,268) |
Benefit plan liability | (84) | (45) | 141 |
Unrealized gain (loss) on derivatives, net | (408) | 389 | 112 |
Other comprehensive income (loss), net of tax attributable to Stoneridge, Inc. | 1,909 | (24,349) | (15,015) |
Comprehensive income (loss) attributable to Stoneridge, Inc. | $ 79,370 | $ (1,575) | $ (62,123) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
OPERATING ACTIVITIES: | |||
Net income (loss) | $ 75,574 | $ 20,567 | $ (60,591) |
Adjustments to reconcile net income (loss) to net cash provided by (used for) operating activities: | |||
Depreciation | 19,998 | 18,964 | 24,372 |
Amortization, including accretion of deferred financing costs | 3,615 | 3,833 | 5,709 |
Deferred income taxes | (38,747) | (2,165) | (3,238) |
Earnings of equity method investee | (1,233) | (608) | (815) |
Loss on sale of fixed assets | 48 | 74 | 110 |
Share-based compensation expense | 6,134 | 7,224 | 5,406 |
Tax benefits related to share-based compensation expense | (977) | ||
Goodwill impairment charge (benefit) | 51,458 | ||
Loss on disposal of business | 210 | 8,576 | |
Loss on early extinguishment of debt | 10,607 | ||
Changes in operating assets and liabilities | |||
Accounts receivable, net | (18,694) | (489) | (19,400) |
Inventories, net | 4,519 | (4,340) | 3,161 |
Prepaid expenses and other assets | 2,652 | (295) | (1,306) |
Accounts payable | 10,980 | 6,577 | 524 |
Accrued expenses and other liabilities | 1,408 | 5,253 | (4,758) |
Net cash provided by operating activities | 65,277 | 54,805 | 19,815 |
INVESTING ACTIVITIES: | |||
Capital expenditures | (24,476) | (28,735) | (24,754) |
Proceeds from sale of fixed assets | 652 | 64 | 110 |
Payments related to sale of business | (1,230) | ||
Proceeds from sale of business | 71,386 | ||
Business acquisition | (469) | (1,022) | |
Net cash provided by (used for) investing activities | (23,824) | (30,370) | 45,720 |
FINANCING ACTIVITIES: | |||
Revolving credit facility borrowings | 100,000 | ||
Revolving credit facility payments | (33,000) | ||
Extinguishment of senior notes | (175,000) | ||
Premium related to early extinguishment of senior notes | (8,006) | ||
Proceeds from issuance of other debt | 16,223 | 22,540 | 30,072 |
Repayments of debt | (25,748) | (30,586) | (25,610) |
Noncontrolling interest shareholder distribution | (1,083) | ||
Other financing costs | (399) | (49) | (1,666) |
Repurchase of Common Shares to satisfy employee tax withholding | (1,424) | (2,924) | (765) |
Tax benefits related to share-based compensation expense | 977 | ||
Net cash used for financing activities | (43,371) | (11,019) | (82,058) |
Effect of exchange rate changes on cash and cash equivalents | (2,054) | (2,076) | (3,281) |
Net change in cash and cash equivalents | (3,972) | 11,340 | (19,804) |
Cash and cash equivalents at beginning of period | 54,361 | 43,021 | 62,825 |
Cash and cash equivalents at end of period | 50,389 | 54,361 | 43,021 |
Supplemental disclosure of cash flow information: | |||
Cash paid for interest | 5,786 | 6,092 | 20,464 |
Cash paid for income taxes, net | 3,386 | 2,494 | 3,054 |
Supplemental disclosure of non-cash operating and financing activities: | |||
Change in fair value of interest rate swap | (793) | ||
Bank payment of vendor payables under short-term debt obligations | $ 3,764 | $ 5,323 | $ 4,758 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands | Common Stock [Member] | Common Stock Outstanding [Member] | Treasury Stock [Member] | Additional Paid-In Capital [Member] | Common Shares Held In Treasury [Member] | Retained Earnings (Accumulated Deficit) [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Noncontrolling interest | Total |
Balance at Dec. 31, 2013 | $ 187,742 | $ (519) | $ (7,771) | $ (30,458) | $ 39,540 | $ 188,534 | |||
Balance (shares) at Dec. 31, 2013 | 28,483 | ||||||||
Treasury Stock, Shares, Beginning Balance at Dec. 31, 2013 | 320 | ||||||||
Net income (loss) attributable to noncontrolling interest | (13,483) | (13,483) | |||||||
Net income (loss) | (60,591) | ||||||||
Net income (loss) attributable to Stoneridge, Inc. | (47,108) | (47,108) | |||||||
Benefit plan liability adjustments, net | 141 | 141 | |||||||
Unrealized gain (loss) on derivatives, net | 112 | 112 | |||||||
Currency translation adjustments | (15,268) | (3,507) | $ (18,775) | ||||||
Issuance of restricted Common Shares ( in shares) | 50 | ||||||||
Forfeited restricted Common Shares ( in shares) | (238) | ||||||||
Forfeited restricted Common Shares (in treasury shares) | 238 | ||||||||
Repurchased Common Shares for treasury | (765) | ||||||||
Repurchased Common Shares for treasury (in shares) | (74) | (765) | |||||||
Repurchased Common Shares for treasury (in treasury shares) | 74 | ||||||||
Share-based compensation | 5,150 | $ 5,150 | |||||||
Balance at Dec. 31, 2014 | 192,892 | (1,284) | (54,879) | (45,473) | 22,550 | 113,806 | |||
Balance (shares) at Dec. 31, 2014 | 28,221 | ||||||||
Treasury Stock, Shares, Ending Balance at Dec. 31, 2014 | 632 | ||||||||
Net income (loss) attributable to noncontrolling interest | (2,207) | (2,207) | |||||||
Net income (loss) | 20,567 | ||||||||
Net income (loss) attributable to Stoneridge, Inc. | 22,774 | 22,774 | |||||||
Benefit plan liability adjustments, net | (45) | (45) | |||||||
Unrealized gain (loss) on derivatives, net | 389 | 389 | |||||||
Currency translation adjustments | (24,693) | (7,033) | $ (31,726) | ||||||
Issuance of restricted Common Shares ( in shares) | 172 | ||||||||
Issuance of restricted Common Shares ( in treasury shares) | (118) | ||||||||
Forfeited restricted Common Shares ( in shares) | (239) | ||||||||
Forfeited restricted Common Shares (in treasury shares) | 239 | ||||||||
Repurchased Common Shares for treasury | (2,924) | ||||||||
Repurchased Common Shares for treasury (in shares) | (242) | (2,924) | |||||||
Repurchased Common Shares for treasury (in treasury shares) | 242 | ||||||||
Share-based compensation | 6,362 | $ 6,362 | |||||||
Balance at Dec. 31, 2015 | 199,254 | (4,208) | (32,105) | (69,822) | 13,310 | $ 106,429 | |||
Balance (shares) at Dec. 31, 2015 | 27,912 | 27,912 | |||||||
Treasury Stock, Shares, Ending Balance at Dec. 31, 2015 | 995 | 995 | |||||||
Net income (loss) attributable to noncontrolling interest | (1,887) | $ (1,887) | |||||||
Net income (loss) | 75,574 | ||||||||
Net income (loss) attributable to Stoneridge, Inc. | 77,461 | 77,461 | |||||||
Benefit plan liability adjustments, net | (84) | (84) | |||||||
Unrealized gain (loss) on derivatives, net | (408) | (408) | |||||||
Currency translation adjustments | 2,401 | 2,339 | $ 4,740 | ||||||
Issuance of restricted Common Shares ( in shares) | 67 | ||||||||
Issuance of restricted Common Shares ( in treasury shares) | (8) | ||||||||
Forfeited restricted Common Shares ( in shares) | (3) | ||||||||
Forfeited restricted Common Shares (in treasury shares) | 3 | ||||||||
Repurchased Common Shares for treasury | (1,424) | ||||||||
Repurchased Common Shares for treasury (in shares) | (126) | (1,424) | |||||||
Repurchased Common Shares for treasury (in treasury shares) | 126 | ||||||||
Tax benefit from share based compensation transactions | 977 | $ 977 | |||||||
Share-based compensation | 6,273 | 6,274 | |||||||
Balance at Dec. 31, 2016 | $ 206,504 | $ (5,632) | $ 45,356 | $ (67,913) | $ 13,762 | $ 192,077 | |||
Balance (shares) at Dec. 31, 2016 | 27,850 | 27,850 | |||||||
Treasury Stock, Shares, Ending Balance at Dec. 31, 2016 | 1,116 | 1,116 |
Organization and Nature of Busi
Organization and Nature of Business | 12 Months Ended |
Dec. 31, 2016 | |
Organization and Nature of Business [Abstract] | |
Organization and Nature of Business | 1. Organization and Nature of Business Stoneridge, Inc. and its subsidiaries are global designers and manufacturers of highly engineered electrical and electronic components, modules and systems for the automotive, commercial, motorcycle, off-highway and agricultural vehicle markets. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Summary of Significant Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Basis of Presentation The accompanying consolidated financial statements include the accounts of Stoneridge, Inc. and its wholly-owned and majority-owned subsidiaries (collectively, the “Company”). Intercompany transactions and balances have been eliminated in consolidation. The Company analyzes its ownership interests in accordance with Accounting Standards Codification (“ASC”) “Consolidations (Topic 810)” to determine whether they are a variable interest entity and, if so, whether the Company is the primary beneficiary. The Company’s investment in Minda Stoneridge Instruments Ltd. (“Minda”) for the years ended December 31, 2016, 2015 and 2014 has been determined to be an uncons olidated entity, and therefore is accounted for under the equity method of accounting based on our 49% ownership. The Company had a 74% controlling interest in PST Eletrônica Ltda. (“ PST”) for the years ended December 31, 2016, 2015 and 2014 which i s accounted for a consolidated subsidiary. The Company sold substantially all of the assets and liabilities of its Wiring business on August 1, 2014. As a result, the Wiring business has been classified as discontinued operations for all periods presented in the Company’s financial statements herein, and therefore has been excluded from both continuing operations and segment results for all periods presented. The Wiring business designed and manufactured wiring harness products and assembled instruments panels for sale principally to the commercial, agricultural and off-highway vehicle markets. Accounting Estimates The preparation of financial statements in conformity with U.S. Generally Accepted Accounting Principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, including certain self-insured risks and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Because actual results could differ from those estimates, the Company revises its estimates and assumptions as new information becomes available. Cash and Cash Equivalents The Company’s cash and cash equivalents are actively traded money market funds with short-term investments in marketable securities, primarily U.S. government securities. Cash and cash equivalents are stated at cost, which approximates fair value, due to the highly liquid nature and short-term duration of the underlying securities with original maturities of 90 days or less . Accounts Receivable and Concentration of Credit Risk Revenues are principally generated from the automotive, commercial, motorcycle, off-highway and agricultural vehicle markets. The Company’s largest customers are Ford Motor Company, General Motors Company and Scania Group, primarily related to the Control Devices and Electronics reportable segments and accounted for the following percentages of consolidated net sales for the years ended December 31, 2016, 2015 and 2014: 2016 2015 2014 Ford Motor Company 17 % 14 % 11 % General Motors Company 7 % 5 % 5 % Scania Group 6 % 7 % 8 % Accounts receivable are recorded at the invoice price, net of an estimate of allowance for doubtful accounts and other reserves. Al lowance for Doubtful Accounts The Company evaluates the collectability of accounts receivable based on a combination of factors. In circumstances where the Company is aware of a specific customer’s inability to meet its financial obligations, a specific allowance for doubtful accounts is recorded against amounts due to reduce the net recognized receivable to the amount the Company reasonably believes will be collected. Additionally, the Company reviews historical trends for collectability in determining an estimate for its allowance for doubtful accounts. If economic circumstances change substantially, estimates of the recoverability of amounts due to the Company could be reduced by a material amount. The Company does not have collateral requirements with its customers. Sales of Accounts Receivable The Company’s PST segment sells selected accounts receivable on a full recourse basis to an unrelated financial institution in Brazil. PST accounts for these transactions as sales of accounts receivable. As such, in accordance with ASC 860, “Transfers and Servicing”, the sales of accounts receivable are reflected as a reduction of accounts receivable in the consolidated balance sheets and the loss on sale is recorded within interest expense, net in the consolidated statements of operations while the proceeds received from the sale are included in the cash flows from operating activities in the consolidated statements of cash flows. During 2016 PST sold $15,297 ( 53,886 Brazilian real) of accounts receivable at a loss of $459 ( 1,615 Brazilian real), which represents the implicit interest on the transaction, and received proceeds of $14,838 ( 52,271 Brazilian real). PST had a remaining credit exposure of $1,067 ( 3,476 Brazilian real) at December 31, 2016 related to the receivables sold for which payment from the customer was not yet due. During 2015 PST sold $6,401 ( 24,994 Brazilian real ) of accounts receivable at a loss of $156 ( 540 Brazilian real), which represents the implicit interest on the transaction, and received proceeds of $6,245 ( 24,454 Brazilian real ). Inventories Inventories are valued at the lower of cost (using either the first-in, first-out (“FIFO”) or average cost methods) or market. The Company evaluates and adjusts as necessary its excess and obsolescence reserve on a quarterly basis. Excess inventories are quantities of items that exceed anticipated sales or usage for a reasonable period. The Company has guidelines for calculating provisions for excess inventories based on the number of months of inventories on hand compared to anticipated sales or usage. Management uses its judgment to forecast sales or usage and to determine what constitutes a reasonable period. Inventory cost includes material, labor and overhead. Inventories consist of the following: As of December 31 2016 2015 Raw materials $ 35,665 $ 36,021 Work-in-progress 7,483 7,162 Finished goods 16,969 17,826 Total inventories, net $ 60,117 $ 61,009 Inventory valued using the FIFO method was $37,765 and $ 35,378 at December 31, 2016 and 2015, respectively. Inventory valued using the average cost method was $22,352 and $ 25,631 at December 31, 2016 and 2015, respectively. Pre-production Costs Related to Long-term Supply Arrangements Engineering, research and development and other design and development costs for products sold on long-term supply arrangements are expensed as incurred unless the Company has a contractual guarantee for reimbursement from the customer. Costs for molds, dies and other tools used to make products sold on long-term supply arrangements for which the Company either has title to the assets or has the noncancelable right to use the assets during the term of the supply arrangement are capitalized in property, plant and equipment and amortized to cost of sales over the shorter of the term of the arrangement or over the estimated useful lives of the assets, typically three to five years. Costs for molds, dies and other tools used to make products sold on long-term supply arrangements for which the Company has a contractual guarantee to a lump sum reimbursement from the customer are capitalized either as a component of prepaid expenses and other current assets or an investment and other long term asset within the consolidated balance sheets. Capitalized pre-production costs were $6,859 an d $9,405 at December 31, 2016 and 2015 , respectively. At December 31, 2016 and 2015, $6,446 and $9,405 were recorded as a component of prepaid expenses and other current assets on the consolidated balance sheets while the remaining amounts were recorded as a component of investments and other long term assets. Discontinued Operations Wiring Business On May 26, 2014, the Company entered into an asset purchase agreement to sell substantially all of the assets and liabilities of the former Wiring segment to Motherson Sumi Systems Ltd., an India-based manufacturer of diversified products for the global automotive industry and a limited company incorporated under the laws of the Republic of India, and MSSL (GB) LIMITED, a limited company incorporated under the laws of the United Kingdom (collectively, “Motherson”), for $65,700 in cash and the assumption of certain related liabilities of the Wiring business. On August 1, 2014, the Company completed the sale of substantially all of the assets and liabilities of its Wiring business to Motherson for $71,386 in cash that consisted of the stated purchase price and estimated working capital on the closing date. The final purchase price was subject to post-closing working capital and other adjustments. Upon the final resolution of the working capital and other adjustments in the second quarter of 2015, the Company returned $1,230 in cash to Motherson. The Company recorded a loss on disposal, net of tax of $8,576 for the year ended December 31, 2014 which included the recognition of previously deferred foreign currency translation of $2,734 , income tax on the sale of Wiring’s Mexican businesses of $1,621 and transaction costs of $1,384 . The Company also entered into short-term transition services agreements with Motherson substantially all of which concluded in the second quarter of 2015 associated with information systems, accounting, administrative, occupancy and support services as well as contract manufacturing and production support in Estonia. The Company had post-disposition sales to the Wiring business acquired by Motherson of $19 ,766 , $26,952 and $12,230 for the years ended December 31, 2016, 2015, and 2014, respectively. The Company had post-disposition purchases from the Wiring business acquired by Motherson of $425 , $689 and $269 for the years ended December 31, 2016, 2015 and 2014, respectively. The amounts related to 2014 cover the period from August through December 2014 because the sale of the Wiring business occurred on August 1, 2014. The following tables display summarized activity in our consolidated statements of operations for discontinued operations during the years ended December 31, 2015 and 2014, related to the Wiring business. There were no discontinued operations for the year ended December 31, 2016. Years ended December 31 2015 2014 (A) Net sales $ - $ 167,434 Cost of goods sold (C) - 154,787 Selling, general and administrative (C) - 12,697 Interest expense, net - 69 Other expense (income), net - (58) Loss from operations of discontinued operations before income taxes (C) - (61) Income tax expense on discontinued operations - (750) Loss from discontinued operations, net of tax - (811) Loss on disposal (B) $ (241) $ (6,955) Income tax expense on gain (loss) on disposal (D) 31 (1,621) Loss on disposal, net of tax (210) (8,576) Loss from discontinued operations $ (210) $ (9,387) (A) The operations of the Wiring business were presented only for the seven months ended July 31, 2014 because the sale was completed on August 1, 2014. (B) Included in loss on disposal for the years ended December 31, 2015 and 2014 were transaction costs of $223 and $1,384 , respectively. The loss on disposal also includes a working capital and other adjustments of $18 for the year ended December 31, 2015. In addition, the loss on disposal included $2,734 in previously deferred foreign currency translation for the year ended December 31, 2014. (C) The assets and liabilities of the Wiring business were reclassified as held for sale effective May 26, 2014. Accordingly, depreciation and amortization for the related Wiring assets were not recorded after that date. (D) Gains and losses from foreign currency remeasurement related to income taxes were included as a component of income tax (expense) benefit. Years ended December 31 2014 Depreciation and amortization $ 2,111 Capital expenditures 1,238 Predisposition intercompany sales to the Wiring business were $17,448 for the seven month period ended July 31, 2014. Predisposition intercompany purchases from the Wiring business were $4,025 for the seven month period ended July 31, 2014 . P roperty, Plant and Equipment Property, plant and equipment are recorded at cost and consist of the following: As of December 31 2016 2015 Land and land improvements $ 3,376 $ 3,538 Buildings and improvements 32,271 32,904 Machinery and equipment 180,944 160,721 Office furniture and fixtures 6,813 6,541 Tooling 67,261 68,101 Information technology 23,632 24,035 Vehicles 398 422 Leasehold improvements 2,583 2,581 Construction in progress 16,854 23,914 Total property, plant, and equipment 334,132 322,757 Less: accumulated depreciation (242,632) (237,493) Property, plant and equipment, net $ 91,500 $ 85,264 Depreciation is provided using the straight-line method over the estimated useful lives of the assets. Depreciation expense for the years ended December 31, 2016, 2015 and 2014 was $19,998 , $18,964 and $22,299 , respectively. Depreciable lives within each property classification are as follows: Buildings and improvements 10 -40 years Machinery and equipment 3 -10 years Office furniture and fixtures 3 -10 years Tooling 2 -5 years Information technology 3 -5 years Vehicles 3 -5 years Leasehold improvements shorter of lease term or 3-10 years Maintenance and repair expenditures that are not considered improvements and do not extend the useful life of the property, plant and equipment are charged to expense as incurred. Expenditures for improvements and major renewals are capitalized. When assets are retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the accounts, and any gain or loss on the disposition is recorded in the consolidated statements of operations as a component of selling, general and administrative expenses. Impairment of Long-Lived or Finite-Lived Assets The Company reviews the carrying value of its long-lived assets and finite-lived intangible assets for impairment when events or circumstances indicate that their carrying value may not be recoverable. Factors the Company considers important that could trigger testing of the related asset groups for an impairment include current period operating or cash flow losses combined with a history of operating or cash flow losses, a projection or forecast that demonstrates continuing losses, significant adverse changes in the business climate within a particular business or current expectations that a long-lived asset will be sold or otherwise disposed of significantly before the end of its estimated useful life. To test for impairment, the estimated undiscounted cash flows expected to be generated from the use and disposal of the asset or asset group is compared to its carrying value. An asset group is established by identifying the lowest level of cash flows generated by the group of assets that are largely independent of cash flows of other assets. If cash flows cannot be separately and independently identified for a single asset, we will determine whether an impairment has occurred for the group of assets for which we can identify projected cash flows. If these undiscounted cash flows are less than their respective carrying values, an impairment charge would be recognized to the extent that the carrying values exceed estimated fair values. The estimation of undiscounted cash flows and fair value requires us to make assumptions regarding future operating results over the life of the asset or the life of the primary asset in the asset group. The results of the impairment testing are dependent on these estimates which require judgment. The occurrence of certain events, including changes in economic and competitive conditions, could impact cash flows eventually realized and management’s ability to accurately assess whether an asset is impaired. Due to the lower actual and forecasted financial results from weakness in the Brazilian economy and automotive market, the Company performed an evaluation of PST’s long-lived assets in 2016 , and concluded that the carrying amount of the asset group was recoverable as the undiscounted cash flows of the asset group exceeded its carrying amount. Goodwill and Other Intangible Assets Goodwill The total purchase price associated with acquisitions is allocated to the acquisition date fair values of identifiable assets acquired and liabilities assumed with the excess purchase price assigned to goodwill. Goodwill is subject to an annual assessment for impairment (or more frequently if impairment indicators arise) by applying a fair value-based test. The Company recorded goodwill related to the acquisition of controlling interest in PST in 2011, all of which was deemed to be impaired in 2014. The remaining goodwill balance at December 31, 2016 and 2015 relates to the acquisition of two European aftermarket distributors, which is included within the Electronics segment. The carrying amount of goodwill related to our Electronics segment decreased by $50 for the year ended December 31, 2016 to $931 due to foreign currency translation. The carrying amount of goodwill related to our Electronics segment decreased by $97 for the year ended December 31, 201 5 to $981 due to foreign currency translation. Goodwill and changes in the carrying amount of goodwill by segment for the year then ended December 31, 2014 was as follows: Electronics PST Total Balance at January 1, 2014 $ 604 $ 53,744 $ 54,348 Acquisition of aftermarket business 664 - 664 Goodwill impairment - (51,458) (51,458) Currency translation (190) (2,286) (2,476) Balance at December 31, 2014 $ 1,078 $ - $ 1,078 The Company’s cumulative goodwill impairment loss since inception was $300,083 at December 31, 2016 and 2015. In addition to PST’s 2014 goodwill impairment, the cumulative goodwill impairment loss includes the goodwill impairment recorded by the Company’s Control Devices segment in 2008 and 2004. PST Goodwill Impairment Assessments During the second quarter of 2014, indicators of potential impairment required the Company to conduct an interim impairment test for its majority owned subsidiary, PST . Those indicators included a decline in recent operating results and lower growth expectations primarily due to the weakening of the Brazilian economy and automotive market. In accordance with ASC 350, the Company completed “step one” of the impairment analysis and concluded that, as of June 30, 2014, the fair value of the PST reportable segment was below its carrying value, including goodwill. As a result, “step two” of the impairment test was initiated in accordance with ASC 350. The Company recorded its best estimate of $29,300 as a non-cash goodwill impairment charge (of which $6,436 was attributable to noncontrolling interest) as of June 30, 2014. Based on the Company’s completed “step two” analysis in the third quarter of 2014, the final goodwill impairment as of June 30, 2014 was $23,498 (of which $5,162 was attributable to noncontrolling interest). As such, the Company recorded an adjustment to reduce the goodwill impairment by $5,802 (of which $1,274 was attributable to noncontrolling interest) as of September 30, 2014. In the fourth quarter of 2014, the Company conducted its annual goodwill impairment test for PST and completed “step one” of the impairment test concluding that as of October 1, 2014 the fair value of the PST reportable segment was less than its carrying value, including goodwill. PST’s fair value decreased further due to significantly lower sales and earnings growth expectations which were a result of lower forecasted growth in the Brazilian economy and automotive market and a forecasted decline in currency exchange rates thereby increasing PST’s material costs. Based on the completed “step two” analysis, a goodwill impairment charge of $27,960 (of which $6,142 was attributable to noncontrolling interest) was recorded in the fourth quarter of 2014 which represented all of the remaining PST goodwill. The aggregate goodwill impairment for the year ended December 31, 2014 was $51,458 (of which $11,304 was attributable to noncontrolling interest). The fair value measurement of the reporting unit under the “step one” analysis and the “step two” analysis (a non-recurring fair value measure) in their entirety are classified as Level 3 inputs. The estimates and assumptions underlying the fair value calculations used in the Company's impairment test are uncertain by their nature and can vary significantly from actual results. Factors that management must estimate include, but are not limited to, industry and market conditions, sales volume and pricing, raw material costs, capital expenditures, working capital changes, cost of capital, debt-equity mix and tax rates. The estimates and assumptions that most significantly affect the fair value calculation are sales volume and the associated cash flow assumptions, market growth and weighted average cost of capital. The estimates and assumptions used in the estimate of fair value are consistent with those the Company uses in its internal planning. The “step two” of the PST goodwill impairment test utilized the following methodologies in determining fair value. Buildings and machinery were valued at an estimated replacement cost for an asset of comparable age and condition. PST finite lived identified intangible assets are customer relationships, tradenames and technology. Customer relationships were valued using an excess earnings method, using various inputs such as the estimated customer attrition rate, future earnings forecast, the amount of contributory asset charges, and a discount rate. Tradenames and technology intangibles are valued using a relief from royalty method, which is based upon comparable market royalty rates for tradenames of similar value. Other working capital items are generally recorded at carrying value, unless there were known conditions that would impact the ultimate settlement amount of a particular item. Other Intangible Assets Other intangible assets, net at December 31, 2016 and 2015 consisted of the following: Acquisition Accumulated As of December 31, 2016 cost amortization Net Customer lists $ 27,476 $ (9,138) $ 18,338 Tradenames 18,116 (4,558) 13,558 Technology 10,862 (3,498) 7,364 Other 41 (41) - Total $ 56,495 $ (17,235) $ 39,260 Acquisition Accumulated As of December 31, 2015 cost amortization Net Customer lists $ 23,003 $ (6,101) $ 16,902 Tradenames 15,129 (3,043) 12,086 Technology 9,066 (2,336) 6,730 Other 34 (34) - Total $ 47,232 $ (11,514) $ 35,718 Other intangible assets, net at December 31, 2016 include customer lists, tradenames and technology of $18,083 , $13,554 and $7 ,364 , respectively, related to the PST segment with the remaining amounts related to the Electronics segment. The Company recognized $3,259 , $3,445 and $ 4,784 of amortization expense in 2016, 2015 and 2014, respectively. Amortization expense is included as a component of selling, general and administrative on the consolidated statements of operations. Annual a mortization expense for intangible assets is estimated to be approximately $3,200 for the years 2017 through 202 1 . The weighted-average remaining amortization period is approximately 12 years. Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consist of the following: As of December 31 2016 2015 Compensation related liabilities $ 16,329 $ 17,878 Product warranty and recall obligations 6,727 4,446 Other (A) 18,433 16,596 Total accrued expenses and other current liabilities $ 41,489 $ 38,920 (A) “Other” is comprised of miscellaneous accruals, none of which individually contributed a significant portion of the total. Income Taxes The Company accounts for income taxes using the liability method. Deferred income taxes reflect the tax consequences on future years of differences between the tax basis of assets and liabilities and their financial reporting amounts. Future tax benefits are recognized to the extent that reali zation of such benefits is more likely than not to occur. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in the period that includes the enactment date. Deferred tax assets are recognized to the ex tent that these assets are more likely than not to be realized (See Note 5). In making such a determination, the Company considers all available positive and negative evidence, including future r elease of existing taxable temporary differences, projected future taxable income, tax planning strategies, and results of recent operations. R elease of some or all of a valuation allowance would result in the recognition of certain deferred tax assets and a decrease to income tax expense for the period the r elease is recorded. The Company's policy is to provide for uncertain tax positions and the related interest and penalties based upon management's assessment o f whether a tax benefit is more likely than not to be sustained upon examination by tax authorities . To the extent the Company prevails in matters for which a liability for an unrecognized tax benefit is established or is required to pay amounts in excess of the liability, the Company's effective tax rate in a given financial statement period may be affected. Currency Translation The financial statements of foreign subsidiaries, where the local currency is the functional currency, are translated into U.S. dollars using exchange rates in effect at the period end for assets and liabilities and average exchange rates during each reporting period for the results of operations. Adjustments resulting from translation of financial statements are reflected as a component of accumulated other comprehensive loss in the Company’s consolidated balance sheets. Foreign currency transactions are remeasured into the functional currency using translation rates in effect at the time of the transaction with the resulting adjustments included on the consolidated statements of operations within other expense, net. These foreign currency transaction (gains) losses, including the impact of hedging activities, were $(268) , $1,693 and $1,212 for the years ended December 31, 2016, 2015 and 2014, respectively. Revenue Recognition and Sales Commitments The Company recognizes revenues from the sale of products, net of actual and estimated returns, at the point of passage of title, which is either at the time of shipment or upon customer receipt based upon the terms of the sale. The Company recognizes monitoring service revenues as the services are provided to customers. The Company collects certain taxes and fees on behalf of government agencies and remits such collections on a periodic basis. The taxes are collected from customers but are not included in net sales. Estimated returns are based on historical authorized returns. The Company often enters into agreements with its customers at the beginning of a given vehicle’s expected production life. Once such agreements are entered into, it is the Company’s obligation to fulfill the customers’ purchasing requirements for the entire production life of the vehicle. These agreements are subject to potential renegotiation from time to time, which may affect product pricing. Shipping and Handling Costs Shipping and handling costs are included in cost of goods sold on the consolidated statements of operations. Product Warranty and Recall Reserves Amounts accrued for product warranty and recall claims are established based on the Company's best estimate of the amounts necessary to settle existing and future claims on products sold as of the balance sheet dates. These accruals are based on several factors including past experience, production changes, industry developments and various other considerations including insurance coverage. The Company can provide no assurances that it will not experience material claims or that it will not incur significant costs to defend or settle such claims beyond the amounts accrued or beyond what the Company may recover from its suppliers. The current portion of the product warranty and recall reserve is included as a component of accrued expenses and other current liabilities on the consolidated balance sheets. Product warranty and recall includes $2,617 and $1,973 of a long-term liability at December 31, 2016 and 2015, respectively, which is included as a component of other long-term liabilities on the consolidated balance sheets. The following provides a reconciliation of changes in the product warranty and recall reserve: Years ended December 31 2016 2015 Product warranty and recall at beginning of period $ 6,419 $ 7,601 Accruals for products shipped during period 4,999 4,609 Aggregate changes in pre-existing liabilities due to claim developments (116) (156) Settlements made during the period (1,958) (5,635) Product warranty and recall at end of period $ 9,344 $ 6,419 Design and Development Costs Expenses associated with the development of new products, and changes to existing products are charged to expense as incurred, and are included in the Company’s consolidated statements of operations as a separate component of costs and expenses. These product development costs amounted to $40,212 , $38,792 and $41,609 for the years ended December 31, 2016, 2015 and 2014, respectively, or 5.8% , 6.0% and 6.3% of net sales for these respective periods. Research and Development Activities The Company’s Electronics and Control Devices segment s enter into research and development contracts with certain customers, which generally provide for reimbursement of costs. The Company incurred and was reimbursed for contracted research and development costs of $12, 764 , $9,659 and $12,319 for the years ended December 31, 2016, 2015 and 2014, respectively. Share-Based Compensation At December 31, 2016, the Company had two types of share-based compensation plan s: (1) Long-Term Incentive Plan for employees and (2) the Amended Directors’ Restricted Shares Plan, for non-employee directors. The Long-Term Incentive Plan is made up of the Long-Term Incentive Plan which expired on June 30, 2007 , the Amended and Restated Long-Term Incentive Plan, as amended, which expired on April 24, 2016 and the 2016 Long-Term Incentive Plan that was approved by shareholders on May 10, 2016, and expires on May 10, 2026 . Total compensation expense recognized as a component of selling, general and administrative expense on the consolidated statements of operations for share-based compensation arrangements was $6,134 , including $545 related to the modification of the retirement notice provisions of certain awards, $7,224 , including $2,225 from the accelerated vesting in connection with the retirement of the Company’s former President and Chief Executive Officer , and $5,406 for the years ended December 31, 2016, 2015 and 2014, respectively. Of these amounts, $(117) , $828 and $243 for the years ended December 31, 2016, 2015 and 2014, respectively, were related to the Long-Term Cash Incentive Plan “Phantom Shares” discussed in Note 8. There was no share-based compensation expense capitalized in inventory during 2016, 2015 or 2014. Financial Instruments and Derivative Financial Instruments Financial instruments, including derivative financial instruments, held by the Company include cash and cash equivalents, accounts receivable, accounts payable, long-term debt, an interest rate swap, fixed price commodity contracts and foreign currency forward contracts. The carrying value of cash and cash equivalents, accounts receivable and accounts payable is considered to be representative of fair value because of the short maturity of these instruments. See Note 9 for fair value disclosures of the Company’s financial instruments. Common Shares Held in Treasury The Company accounts for Common Shares held in treasury under the cost method (applied on a FIFO basis) and includes such shares as a reduction of total shareholders’ equity. Earnings (Loss) Per Share Basic earnings (loss) per share was computed by dividing net income attributable to Stoneridge Inc. by the weighted |
Investments
Investments | 12 Months Ended |
Dec. 31, 2016 | |
Investments [Abstract] | |
Investments | 3. Investments Minda Stoneridge Instruments Ltd. The Company has a 49% interest in Minda, a company based in India that manufactures electronics, instrumentation equipment and sensors for the motorcycle and commercial vehicle markets. The investment is accounted for under the equity method of accounting. The Company’s investment in Minda, recorded as a component of investments and other long-term assets, net on the consolidated balance sheets, was $7,952 and $ 6,929 as of December 31, 2016 and 2015, respectively. Equity in earnings of Minda included in the consolidated statements of operations w ere $ 1,233 , $608 and $815 for the years ended December 31, 2016, 2015 and 2014, respectively. PST Eletrônica Ltda. The Company has a 74% controlling interest in PST for the years ended December 31, 2016, 2015 and 2014. Noncontrolling interest in PST increased by $452 to $13, 762 at December 31, 2016 due to a proportionate share of its net loss of $1,887 for the year ended December 31, 2016 and a favorable change in foreign currency translation of $2,339 . Noncontrolling interest in PST decreased by $ 9,240 to $ 13,310 at December 31, 2015 due to a proportionate share of its net loss of $ 2,207 for the year ended December 31, 2015 and an unfavorable change in foreign currency translation of $ 7,033 . Noncontrolling interest in PST decreased by $16,990 to $22,540 at December 31, 2014 due to a proportionate share of its net loss of $13,483 including goodwill impairment for the year ended December 31, 2014 and an unfavorable change in foreign currency translation of $3,507 . Comprehensive gain (loss) related to PST noncontrolling interest was $452, $ (9,240) and $ (16,990) for the years ended December 31, 201 6, 2015 and 2014, respectively . PST has dividends payable declared in previous years to noncontrolling interest of $10,842 Brazilian real ( $3,327 ) and $10,842 Brazilian real ( $2,777 ) at December 31, 2016 and 2015, respectively. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2016 | |
Debt [Abstract] | |
Debt | 4. Debt Interest rates at December 31, December 31, December 31, 2016 2015 2016 Maturity Revolving Credit Facility Credit facility $ 67,000 $ 100,000 2.00% September 2021 Debt PST short-term obligations 5,097 11,556 4.27% - 20.33% 2017 PST long-term notes 11,452 6,428 7.5% - 19.00% 2017 - 2021 Other 137 379 Total debt 16,686 18,363 Less: current portion (8,626) (13,905) Total long-term debt, net $ 8,060 $ 4,458 Revolving Credit Facility On November 2, 2007, the Company entered into an asset-based credit facility which permitted borrowing up to a maximum level of $100,000 . The Company entered into an Amended and Restated Credit and Security Agreement and a Second Amended and Restated Credit and Security Agreement on September 20, 2010 and December 1, 2011, respectively. On September 12, 2014, the Company entered into a Third Amended and Restated Credit Agreement (the “ Credit Agreement” or “Credit Facility”). The Amended Agreement provides for a $300,000 revolving credit facility, which replaced the Company’s existing $100,000 asset-based credit facility and includes a letter of credit subfacility, swing line subfacility and multicurrency subfacility. The Amended Agreement also has an accordion feature which allows the Company to increase the availability by up to $80,000 upon the satisfaction of certain conditions. The Amended Agreement extended the termination date to September 12, 2019 from December 1, 2016. In 2014, the Company capitalized $1,666 of deferred financing costs and recognized a $100 loss on extinguishment of previously recorded deferred finan cing costs associated with amending the Credit Agreement. On March 26, 2015, the Compa ny entered into Amendment No. 1 of the Credit Amendment which amended the definition of Consolidated EBITDA to allow for the add back of cash premiums and other non-cash charges related to the amendment and restatement of the Credit Agreement and the early extinguishment of the Company’s 9.5% Senior Notes totaling $10,507 both of which occurred in second half of 2014. Consolidated EBITDA is used in computing the Company’s leverage ratio and interest coverage ratio which are covenants within the Amended Agreement. On February 23, 2016, the Compan y entered into Amendment No. 2 o f the Credit Facility which amended and waived any default or potential defaults with respect to the pledging as collateral additional shares issued by a wholly owned subsidiary and newly issued shares associated with the formation of a new subsidiary. On August 12, 2016 , the Compan y entered into Amendment No. 3 o f the Credit Agreement which extended of the expiration date of the Credit Agreement by two years to September 12, 2021 , increased the borrowing sub-limit for the Company’s foreign subsidiaries by $30,000 to $80,000 , increased the basket of permitted loans and investments in foreign subsidiaries by $5,000 to $30,000 , and provided additional flexibility to the Company for certain permitted corporate transactions involving its foreign subsidiaries as defined in the Agreement. As a result of Amendment No. 3, the Company capitalized deferred financing costs of $399 , which will be amortized over the remaining term of the Credit Facility. Borrowings under the Credit Facility will bear interest at either the Base Rate, as defined, or the LIBOR Rate, at the Company’s option, plus the applicable margin as set forth in the Credit Facility . The Company is also subject to a commitment fee ranging from 0.20% to 0.35% based on the Company’s leverage ratio. The agreement governing our Credit Facility requires the Company to maintain a maximum leverage ratio of 3.00 to 1.00, and a minimum interest coverage ratio of 3.50 to 1.00 and places a maximum annual limit on capital expenditures. The Credit Facility also contains other affirmative and negative covenants and events of default that are customary for credit arrangements of this type including covenants which place restrictions and/or limitations on the Company’s ability to borrow money, make capital expenditures and pay dividends. Borrowings outstanding on the Credit Facility at December 31, 2016 and 2015 were $67,000 and $100,000 respe ctively. The Company has outstanding letters of credit of $3,399 at December 31, 2016. The Company was in compliance with all Credit Facility covenants at December 31, 2016 and 2015. Debt On October 4, 2010, the Company issued $175,000 of senior notes which bore interest at an annual rate of 9.5% and had a maturity of October 15, 2017 . On September 2, 2014, the Company redeemed $17,500 or 10.0% , of its senior notes at a price of 103.0% of the principal amount. As a result of the redemption, the Company recognized a loss on extinguishment of debt of $820 in the third quarter of 2014, which included a premium of $525 and the acceleration of both the associated deferred financing costs and original issue discount totaling $295 . On October 15, 2014, the Company redeemed the remaining $157,500 of its senior notes at a price of 104.75% of the principal amount discharging the corresponding senior notes indenture. As a result of the redemption, the Company recognized a loss on extinguishment of debt of $9,687 in the fourth quarter of 2014, which included a premium of $7,481 and the acceleration of the remaining deferred financing costs of $535 , original issue discount of $2,019 and de-designation date unrecognized gain on the interest rate swap of $348 . The senior notes were redeemed using funds from borrowing $100,000 under the Credit Facility, proceeds from the sale of the Wiring business and existing cash. PST maintains several short-term obligations and long-term notes used for working capital purposes which have fixed interest rates. The weighted-average interest rates of short-term and long-term debt of PST at December 31, 2016 were 10.3% and 14.1% , respectively. Depending on the specific note, interest is payable either monthly or annually. Principal payments on PST debt at December 31, 2016 are as follows: $8,48 9 in 2017, $4, 303 in 2018, $2,604 in 2019, $611 in 2020, and $542 in 2021 . For the period of February 2014 to April 2015, the Company's wholly-owned subsidiary located in Suzhou, China held term loan s in the amount of 9,000 Chinese yuan (the "Suzhou note"). Interest was payable quarterly at 120.0% of the one-year lending rate published by The People's Bank of China. The Company's wholly-owned subsidiary located in Stockholm, Sweden, has an overdraft credit line which allows overdrafts on the subsidiary's bank account up to a maximum level of 20,000 Swedish krona, or $2,196 and $ 2,369 , at December 31, 2016 and 2015, respectively. At December 31, 2016 and 2015, there was no balance outstanding on this bank account. The Company was in compliance with all debt covenants at December 31, 2016 and 2015. At December 31, 2016, the future maturities of debt were as follows: Year ended December 31 2017 $ 8,626 2018 4,303 2019 2,604 2020 611 2021 67,542 Total $ 83,686 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Taxes [Abstract] | |
Income Taxes | 5. Income Taxes The income tax expense (benefit) included in the accompanying consolidated statement of operations represents federal, state and foreign income taxes. The components of income (loss) before income taxes and the provision for income taxes consist of the following: Years ended December 31 2016 2015 2014 Income (loss) before income taxes: Domestic $ 35,088 $ 22,959 $ 1,635 Foreign 4,097 (2,729) (54,695) Total income (loss) before income taxes $ 39,185 $ 20,230 $ (53,060) Provision for income taxes: Current: Federal $ 760 $ 386 $ - State and foreign 2,575 1,232 1,382 Total current expense 3,335 1,618 1,382 Deferred: Federal (37,828) - - State and foreign (1,896) (2,165) (3,238) Total deferred benefit (39,724) (2,165) (3,238) Total income tax benefit $ (36,389) $ (547) $ (1,856) A reconciliation of the Company’s effective income tax rate to the statutory federal tax rate is as follows: Years ended December 31 2016 2015 2014 Statutory U.S. federal income tax rate 35.0 % 35.0 % (35.0) % State income taxes, net of federal tax benefit 1.9 0.2 - Tax credits (0.8) (2.8) (1.3) Foreign tax rate differential (4.7) (3.3) 0.2 Reduction (increase) of income tax accruals 0.1 (0.5) 0.2 Tax on foreign dividends, net of foreign tax credits - - (0.1) Reduction (increase) of deferred taxes (1.3) 5.5 - Valuation allowances (121.6) (36.0) (2.1) Loss of domestic flow-through entity not attributable to Stoneridge, Inc. - - 33.9 Non-deductible compensation - (1.5) 1.0 Other (1.4) 0.7 (0.3) Effective income tax rate (92.8) % (2.7) % (3.5) % The Company recognized income tax expense (benefit) of $(36,389) or (92.8)% , $(547) or (2.7)% and $(1,856) or (3.5)% of income (loss) before income taxes for federal, state and foreign income taxes for the years ended December 31, 2016, 2015 and 2014, respectively. The increase in tax benefit for the year ended December 31, 2016 compared to the same period for 2015 was predominantly due to the release of the U.S. federal, certain state and foreign valuation allowances that were previously recorded against certain deferred tax assets. The decrease in tax benefit for the year ended December 31, 2015 compared to the same period for 2014 was predominantly due to the recording a valuation allowance against the PST ’s Brazilian deferred tax assets. The increase in the effective tax rate to (2.7)% in 201 5 from (3.5)% in 201 4 was primarily due to providing a valuation allowance in 2015 with respect to the Brazilian deferred tax assets related to PST. The impact on the effective tax rate due to the PST valuation allowance was offset by the impact of the improvement in the performance of the U.S. operations, which do not attract tax due to the full valuation allowance, and the prior year impact of the nondeductible goodwill impairment in 2014 that did not impact the effective tax rate for 2015. The Company has not recorded deferred income taxes on the undistributed earnings of its foreign subsidiaries because of management’s intent and ability to indefinitely reinvest such earnings. At December 31, 2016 the aggregate undistributed earnings of our foreign subsidiaries amounted to $44,898 . The Company may be subject to U.S. income taxes and foreign withholding taxes if these earnings were distributed. It is not practicable to estimate the amount of taxes, if any, that may be payable on these earnings as that estimate depends upon circumstances that would exist at the time a remittance occurs. Significant components of the Company’s deferred tax assets and liabilities were as follows: As of December 31 2016 2015 Deferred tax assets: Inventories $ 2,156 $ 2,108 Employee compensation and benefits 4,785 3,902 Insurance 245 281 Depreciation and amortization 1,310 1,297 Net operating loss carryforwards 28,952 39,846 General business credit carryforwards 14,135 12,990 Other reserves 7,609 5,643 Gross deferred tax assets 59,192 66,067 Less: Valuation allowance (11,125) (59,391) Deferred tax assets less valuation allowance 48,067 6,676 Deferred tax liabilities: Depreciation and amortization (14,911) (13,282) Basis difference - equity investee (31,016) (31,016) Other (1,358) (1,074) Gross deferred tax liabilities (47,285) (45,372) Net deferred tax asset (liability) $ 782 $ (38,696) The balance sheet classification of our net deferred tax asset is shown below : Years ended December 31 2016 2015 Current deferred income tax assets - 1,239 Current deferred income tax liabilities - (39) Long-term deferred income tax assets 10,542 1,436 Long-term deferred income tax liabilities (9,760) (41,332) Net deferred tax asset $ 782 $ (38,696) The Company adopted ASU 2015-17 in 2016. As such, all deferred tax assets and liabilities are classified as long-term at December 31, 2016. Based on the Company’s review of both positive and negative evidence regarding the continuation of the tax valuation allowance at December 31, 2015 and 2014, a valuat ion allowance the U.S. federal, certain state and foreign deferred tax assets continued to be recorded based upon the conclusion that it was more likely than not they would not be realized before they expired. The financial results for the U.S. operation improved significantly in 2016 due to the earnings growth of Control Devices segment as well as a significant reduction in interest expense as a re sult of the Company’s refinancing activities in the f all of 201 4. The U.S. operation is in a three year cumulative income position at December 31, 2016. Based on the available positive and negative evidence and the weight accorded to that evidence at December 31, 2016, the Company has determined that the significant positive evidence outweighed the negative evidence. Therefore, the Company has concluded that it is more likely than not that the U.S. federal deferred tax assets will be realized (including those that carry expiration dates) and accordingly will no longer provide a valuation allowance against its domestic deferred tax assets. In addition, the Company concluded that it is more likely than not that the certain state and foreign, deferred tax assets will be realized, and as such the previously provided valuation allowances were re leased . The total U.S. valuation allowance remaining represents the amount of tax benefit related to certain state and certain foreign net operating losses, credits and other deferred tax assets that are not expected to be realized at December 31, 2016. Based on a review of objective positive and negative evidence at December 31, 2016 and 2015, the Company co ncluded that it was more likely than not that the deferred tax assets of PST w ould not be realized. As a result the Company provided a valuation allowance, net of certain future reversing taxable temporary differences, with respect to PST’s deferred tax assets. The total valuation allowance at December 31, 2015 represents the amount of tax benefit related to PST’s net operating losses, credits and other deferred tax assets that are not expected to be realized . The Company has net operating loss carry forwards of $53,064 , $41,222 and $35,849 for U.S. federal, state and foreign tax jurisdictions, respectively. The U.S. federal net operating losses, if unused, begin to expire in 2026 , the state net operating losses expire at various times and the foreign net operating losses expire at various times or have indefinite expiration dates. The Company has general business and foreign tax credit carry forwards of $15 ,254 , $1,530 a nd $1, 510 for U.S . federal, state and foreign jurisdictions respectively. The U.S. federal general business credits, if unused, begin to expire in 2021 , and the state and foreign tax credits expire at various times. The Company is required to provide a deferred tax liability corresponding to the difference between the financial reporting basis (which was remeasured to fair value upon the acquisition of an additional 24% of PST in 2011) and the tax basis in the previously held 50% ownership interest in PST (the “outside” basis difference). This outside basis difference will generally remain fixed until (1) dividends from the subsidiary exceed the parent’s share of earnings subsequent to the date it became a subsidiary or (2) there is a transaction that affects the Company’s ownership of PST. The following is a reconciliation of the Company’s total gross unrecognized tax benefits: 2016 2015 2014 Balance as of January 1 $ 4,304 $ 3,888 $ 3,624 Tax positions related to the current year: Additions 208 201 217 Tax positions related to the prior years: Additions - 523 168 Reductions (61) - - Expirations of statutes of limitation (612) (308) (121) Balance as of December 31 $ 3,839 $ 4,304 $ 3,888 At December 31, 2016 , the Company has classified $146 as a noncurrent liability and $3,731 as a reduction to non-current deferred income tax assets. The amount of unrecognized tax benefits is not expected to change significantly during the next 12 months. Management is currently unaware of issues under review that could result in a significant change or a material deviation in this estimate. If the Company’s tax positions are sustained by the taxing authorities in favor of the Company, the amount that would affect the Company’s effective tax rate is approximately $3,821 and $4,280 at December 31, 2016 and 2015, respectively. T he Company classifies interest expense and, if applicable, penalties which could be assessed related to unrecognized tax benefits as a component of income tax expense (benefit). For the years ended December 31, 2016, 2015 and 2014, the C ompany recognized approximatel y $ (59) , $(90) and $(411) of gross interest and penalties, respectively. The Company has accrued approximately $64 and $123 for the payment of interest and penalties at December 31, 2016 and 2015, respectively. The Company conducts business globally and, as a result, files income tax returns in the U.S. federal jurisdiction and various state and foreign jurisdictions. In the normal course of business the Company is subject to examination by taxing authorities throughout the world. The following table summarizes the open tax years for each important jurisdiction: Jurisdiction Open Tax Years U.S. Federal 2013 - 2016 Brazil 2011 - 2016 China 2013 - 2016 France 2012 - 2016 Mexico 2012 - 2016 Spain 2012 - 2016 Sweden 2011 - 2016 United Kingdom 2012 - 2016 |
Operating Lease Commitments
Operating Lease Commitments | 12 Months Ended |
Dec. 31, 2016 | |
Operating Lease Commitments [Abstract] | |
Operating Lease Commitments | 6. Operating Lease Commitments The Company leases equipment, vehicles and buildings from third parties under operating lease agreements. For the years ended December 31, 2016, 2015 and 2014, lease expense totaled $5,290 , $5,532 and $5,836 , respectively. Future minimum operating lease commitments as of December 31, 2016 were as follows: Year ended December 31 2017 $ 5,042 2018 3,922 2019 3,356 2020 2,584 2021 2,298 Thereafter 6,176 Total $ 23,378 |
Share-Based Compensation Plans
Share-Based Compensation Plans | 12 Months Ended |
Dec. 31, 2016 | |
Share-Based Compensation Plans [Abstract] | |
Share-Based Compensation Plans | 7. Share-Based Compensation Plans In April 2006, the Company’s shareholders approved the Amended and Restated Long-Term Incentive Plan (the "2006 Plan") and reserved 1,500,000 Common Shares of which the maximum number of Common Shares which may be issued subject to incentive stock options is 500,000 . In May 2010, shareholders approved an amendment to the 2006 Plan to increase the number of shares by 1,500,000 to 3,000,000, and in May 2013, shareholders approved an other amendment to this plan to increase the number of shares by 1,500,000 to 4,500,000 . As the 2006 Plan expired in May 2016 , there were no shares available for grant at December 31, 2016. A s of December 31, 2016, there are 1,358,504 s hares granted subject to future vesting of which 583,404 shares were time-ba sed and 785,100 were performance-based. In May 2016, the Company’s shareholders approved the 2016 Long-Term Incentive Plan (the "2016 Plan") and reserved 1,800,000 Common Shares of which the maximum number of Common Shares which may be issued. Under the 2016 Plan, as of December 31, 2016, the Company has granted 68,673 share units, of which 28,633 were time-based with cliff vesting using the straight-line method and 40,040 were performance-based. There are 1,731,327 shares available to be granted under the 2016 Plan at December 31, 2016. In 2011 and 2012, pursuant to the 2006 Plan, the Company granted time-based, market-based and performance-based restricted Common Share awards. The time-based restricted Common Share awards cliff vest three years after the date of grant. The performance-based restricted Common Share awards vest and are no longer subject to forfeiture upon the recipient remaining an employee of the Company for three years from the date of grant and, for one half of the annual awards, upon the Company attaining certain targets of performance measured against a peer group’s performance in terms of total shareholder return and, for the remaining half of the annual awards, upon achieving certain annual net income per share targets established by the Company during the performance period of the award. In 2013, pursuant to the 2006 Plan, the Company granted time-based restricted Common Share and market-based restricted Common Share awards. The time-based restricted Common Share awards cliff vest three years after the date of grant. The performance-based restricted Common Share awards vest and are no longer subject to forfeiture upon the recipient remaining an employee of the Company for three years from the date of grant and upon the Company attaining certain targets of performance measured against a peer group’s performance in terms of total return to shareholders. In 2014, 2015 and 2016 pursuant to the 2006 Plan, the Company granted time-based and performance -based share units . The time-based share units cliff vest three years after the date of grant. The performance based share unit s vest and are no longer subject to forfeiture upon the recipient remaining an employee of the Company for three years from the date of grant and, for a portion of the annual awards, upon the Company attaining certain targets of performance measured against a peer group’s three year performance in terms of total shareholder return and, for the remaining portion of the annual awards, upon achieving certain annual earnings per share targets established by the Company during the performance period of the award. The allocation of performance shares between total shareholder return and earnings per share were as follows for the years ended December 31: 2016 2015 2014 Total shareholder return 55 % 36 % 20 % Earnings per share 45 % 64 % 80 % In April 2005, the Company adopted the Directors’ Restricted Shares Plan (the “Director Share Plan”) and reserved 500,000 Common Shares for issuance under the Director Share Plan. In May 2013, shareholders approved an amendment to the Director Share Plan to increase the number of shares for issuance by 200,000 to 700,000 . Under the Director Share Plan, the Company has cumulatively issued 580,609 restricted Common Shares. As such, there are 119,391 restricted Common Shares available to be issued at December 31, 2016. Shares issued annually under the Director Share Plan vest one year after the date of grant. Restricted Shares The fair value of the non-vested time-based restricted Common Share awards was calculated using the market value of the Common Shares on the date of issuance. The weighted-average grant-date fair value of time-based restricted Common Shares granted during the years ended December 31, 2016, 2015 and 2014 was $13.52 , $11.41 and $11.54 , respectively. The fair value of the non-vested performance-based restricted Common Share awards with a performance condition requiring the Company to obtain certain earnings per share targets was estimated using the market value of the shares on the date of grant. The fair value of non-vested performance-based restricted Common Share awards with a market condition requiring the Company to obtain a total shareholder return target relative to a group of peer companies was estimated using a Monte Carlo valuation model taking into consideration the probability of achievement using multiple simulations. The awards that use earnings per share as the performance target are expensed beginning when it is probable that the Company will meet the underlying performance condition. A summary of the status of the Company’s non-vested share units as of December 31, 2016 and the changes during the year then ended, are presented below: Time-based awards Performance-based awards Weighted- Weighted- Common average grant- Common average grant- Shares date fair value Shares date fair value Non-vested as of December 31, 2015 731,241 $ 9.45 712,485 $ 10.70 Granted 250,227 $ 13.52 269,255 $ 13.66 Vested (339,963) $ 7.07 (131,033) $ 7.58 Forfeited (29,468) $ 11.82 (25,567) $ 11.30 Non-vested as of December 31, 2016 612,037 $ 12.32 825,140 $ 12.14 As of December 31, 2016, total unrecognized compensation cost related to non-vested time-based share units granted was $2,850 . That cost is expected to be recognized over a weighted-average period of 1.19 years. For the years ended December 31, 2016, 2015 and 2014, the total fair value of awards vested was $5,39 4 , $9,101 and $3,509 , respectively. As of December 31, 2016, total unrecognized compensation cost related to non-vested performance- based s hare units granted $3,069 for shares probable to vest. That cost is expected to be recognized over a weighted-average period of 1.29 years dependent upon the achievement of performance conditions. As noted above, the Company has issued and outstanding performance-based restricted Common Share awards that use different performance targets (total shareholder return and earnings per share). The tax benefit realized for the tax deductions from the vesting of restricted Common Shares and option exercises of the share-based payment arrangements was $977 , $0 and $0 for the years ended December 31, 2016, 2015 and 2014. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2016 | |
Employee Benefit Plans [Abstract] | |
Employee Benefit Plans | 8. Employee Benefit Plans The Company has certain defined contribution profit sharing and 401(k) plans covering substantially all of its employees in the United States and Europe . The Company provides matching contributions to the Company’s 401(k) plan. Company contributions are generally discretionary. For the years ended December 31, 2016, 2015 and 2014, expenses related to these plans amounted to $1,601 , $1,487 and $1,280 , respectively. The Company previously sponsored a post retirement benefit plan covering certain retirees. There was no remaining liability recorded as of December 31, 2016. Long-Term Cash Incentive Plan In March 2009, the Company adopted the Stoneridge, Inc. Long-Term Cash Incentive Plan (the “LTCIP”) and granted awards to certain officers and key employees. Awards under the LTCIP provided recipients with the right to receive cash three years from the date of gr ant depending on the Company’s earnings per share performance for the defined performance period. If the participant voluntarily terminated employment or was discharged for cause, as defined in the LTCIP, the award would be forfeited. In May 2009, the LTCIP was approved by the Company’s shareholders. The Company granted Phantom Share awards under the LTCIP in 2013 that vest ed in February 2016 and were paid in March 2016 based on the Company’s earnings per share performance for each fiscal year of 2013, 2014 and 2015. As of December 31, 2016 and 2015 , the Company has recorded a liability of $0 and $808 for the performance based awards granted under the LTCIP which was included on the consolidated balance sheet as a component of accrued expenses and other current liabilities. There were no performance based awards granted under the LTCIP during the years ended December 31, 2016 , 2015 or 2014 . |
Financial Instruments and Fair
Financial Instruments and Fair Value Measurements | 12 Months Ended |
Dec. 31, 2016 | |
Financial Instruments and Fair Value Measurements [Abstract] | |
Financial Instruments and Fair Value Measurements | 9. Financial Instruments and Fair Value Measurements Financial Instruments A financial instrument is cash or a contract that imposes an obligation to deliver, or conveys a right to receive cash or another financial instrument. The carrying values of cash and cash equivalents, accounts receivable and accounts payable are considered to be representative of fair value because of the short maturity of these instruments. Derivative Instruments and Hedging Activities On December 31, 2016, the Company had open foreign currency forward contracts which are used solely for hedging and not for speculative purposes. Management believes that its use of these instruments to reduce risk is in the Company’s best interest. The counterparties to these financial instruments are financial institutions with investment grade credit ratings. Foreign Currency Exchange Rate Risk The Company conducts business internationally and therefore is exposed to foreign currency exchange rate risk. The Company uses derivative financial instruments as cash flow and fair value hedges to manage its exposure to fluctuations in foreign currency exchange rates by reducing the effect of such fluctuations on foreign currency denominated intercompany transactions, inventory purchases and other foreign currency exposures. The currencies hedged by the Company during 2016, 2015 and 2014 include the euro and Mexican peso. In addition, the Company hedged the U.S. dollar against the Swedish krona and euro on behalf of its European subsidiaries in 2016, 2015, and 2014. These forward contracts were executed to hedge forecasted transactions and were accounted for as cash flow hedges. As such, the effective portion of the unrealized gain or loss was deferred and reported in the Company’s consolidated balance sheets as a component of accumulated other comprehensive loss. The cash flow hedges were highly effective. The effectiveness of the transactions has been and will be measured on an ongoing basis using regression analysis and forecasted future purchases of the currency. In certain instances, the foreign currency forward contracts do not qualify for hedge accounting or are not designated as hedges, and therefore are marked to market with gains and losses recognized in the Company’s consolidated statements of operations as a component of other expense (income) , net. The Company’s foreign currency forward contracts are designed to offset some of the gains and losses realized on the underlying foreign currency denominated transactions as follows: Euro-denominated Foreign Currency Forward Contracts At December 31, 2016 and 2015, the Company held a foreign currency forward contract with an underlying notional amount of $1,601 and $1,647 , respectively, to reduce the exposure related to the Company’s euro-denominated intercomp any loans. This contract expired in January 2017 . The euro-denominated foreign currency forward contract was not designated as a hedging instrument. For the year s ended December 31, 2016, 2015, and 2014, the Company recognized a gain of $57 , $336 and $1,205 , respectively, in the consolidated statements of operations as a component of other expense, net related to the euro-denominated contract . U.S. dollar-denominated Foreign Currency Forward Contracts – Cash Flow Hedge The Company entered into on behalf of one of its European Electronics subsidiaries whose functional currency is the Swedish krona, U.S. dollar-denominated currency contracts with a notional amount at December 31, 201 5 of $10,007 which expire d ratably on a monthly basis from January 2016 through December 2016. There were no contracts entered into as of December 31, 2016. The Company entered into on behalf of one of its European Electronics subsidiaries whose functional currency is the euro, U.S. dollar-denominated currency contracts with a notional amount at December 31, 201 5 of $2,421 which expire d ratably on a monthly basis from January 2016 through December 2016. There were no contracts entered into as of December 31, 2016 . The Company evaluated the effectiveness of the U.S. dollar-denominated foreign currency forward contracts held as of December 31, 2015 and during 2016 and concluded that the hedges were effective. Mexican peso-denominated Foreign Currency Forward Contracts – Cash Flow Hedge The Company holds Mexican peso-denominated foreign currency contracts with notional amounts at December 31, 2016 of $5,699 which expire ratably on a monthly basis from January 201 7 through December 2017, compared to $9,780 at December 31, 2015. The Company evaluated the effectiveness of the Mexican peso-denominated foreign currency forward contracts held as of June 30, 2014. As a result of the sale of the Wiring business, the Company forecasted that it would purchase Mexican pesos to fulfill only two of the five hedge contracts for the period October 2014 through December 2014. As the purchase of Mexican pesos related to three of the five hedge contracts was not probable, these three contracts attributed to the Wiring business were de-designated as of June 30, 2014, and the associated unrecognized $320 gain at that date was reclassified from accumulated other comprehensive loss and recorded in discontinued operations in the Company’s consolidated statements of operations in the quarter and year of de-designation. On August 4, 2014, the three de-designated hedges were terminated and settled resulting in a nominal gain. The Company evaluated the effectiveness of the Mexican peso-denominated foreign currency forward contracts held as of December 31, 201 6 and 2015, and the years then ended, and concluded that the hedges were effective. Commodity Price Risk - Cash Flow Hedge To mitigate the risk of future price volatility and, consequently, fluctuations in gross margins, the Company entered into fixed price commodity contracts with a financial institution to fix the cost of a portion of the Company’s copper purchases. Copper is a raw material used in a number of the Company’s products. The Company did not have any fixed price commodity contracts at December 31, 201 6 and 201 5 compared to an aggregate notional amount of 317 pounds at December 31, 2014. The unrealized gain or loss for the effective portion of the hedges were deferred and reported in the Company’s consolidated balance sheets as a component of accumulated other comprehensive loss while the ineffective portion, if any, was reported in the consolidated statements of operations. The effectiveness of the transactions is measured on an ongoing basis using regression analysis and forecasted future copper purchases. The Company evaluated the effectiveness of the copper fixed price commodity contracts as of June 30, 2014. As a result of the sale of the Wiring business, the Company forecasted that it would not purchase the quantities of copper to fulfill the two contracts for the period August 2014 through March 2015. As the purchase of copper quantities related to these contracts was not probable, the contracts primarily associated with the Wiring segment not expected to be fulfilled were de-designated at June 30, 2014, and the associated unrecognized $77 gain at that date was reclassified from accumulated other comprehensive loss and recorded in discontinued operations in the Company’s consolidated statements of operations in the quarter and year of de-designation. Interest Rate Risk - Fair Value Hedge The Company had a fixed-to-floating interest rate swap agreement (the “Swap”) with a notional amount of $45,000 to hedge its exposure to fair value fluctuations on a portion of its senior notes. The Swap was designated as a fair value hedge of the fixed interest rate obligation under the Company’s $175,000 9.5% senior notes. The critical terms of the Swap were aligned with the terms of the senior notes which resulted in no hedge ineffectiveness. The unrealized gain or loss for the effective portion of the hedge was deferred and reported in the Company’s consolidated balance sheets as an asset or liability, as applicable, with the offset to the carrying value of the senior notes. Under the Swap, the Company paid a variable interest rate equal to the six-month London Interbank Offered Rate (“LIBOR”) plus 7.2% and it received a fixed interest rate of 9.5%. The Swap required semi-annual settlements on April 15 and October 15. The difference between amounts received and paid under the Swap was recognized as a component of interest expense, net in the consolidated statements of operations. In connection with the Company’s notice of redemption issued on September 15, 2014 to redeem all remaining outstanding senior notes, the interest rate fair value hedge was de-designated on that date. On October 23, 2014, the Company terminated the interest rate swap resulting in a gain of $371 recorded in other expense, net in the consolidated statement of operations in the fourth quarter of 2014. The Swap reduced interest expense by $641 for the year ended December 31, 2014 . The notional amounts and fair values of derivative instruments in the consolidated balance sheets were as follows: Notional Prepaid expenses Accrued expenses and amounts (A) and other current assets other current liabilities December 31, December 31, December 31, 2016 2015 2016 2015 2016 2015 Derivatives designated as hedging instruments: Cash flow hedges: Forward currency contracts $5,699 $22,208 $ - $474 $28 $84 Derivatives not designated as hedging instruments: Forward currency contracts $1,601 $1,647 $ - $ - $3 $9 (A) Notional amounts represent the gross contract / notional amount of the derivatives outstanding. Gross amounts recorded for the cash flow hedges in other comprehensive loss in shareholders’ equity and in net income (loss) for the years ended December 31 were as follows: Loss recorded Loss reclassified from in other comprehensive other comprehensive income income (loss) (loss) into net income (loss) 2016 2015 2014 2016 2015 2014 Derivatives designated as cash flow hedges: Forward currency contracts $ (582) $ (671) (46) $ (164) $ (1,060) (310) Fixed price commodity contracts - - (408) - - (256) Total derivatives designated as cash flow hedges $ (582) $ (671) (454) $ (164) $ (1,060) (566) Gains and losses reclassified from comprehensive loss into net income (loss) were recognized in cost of goods sold in the Company’s consolidated statements of operations. The net deferred loss of $ 28 on the cash flow hedge derivatives will be reclassified from other comprehensive loss to the consolidated st atements of operations in 2017. The Company has measured the ineffectiveness of the forward currency and commodity contracts and any amounts recognized in the consolidated financial statements were immaterial for the years ended December 31, 2016, 2015 and 2014. Fair Value Measurements The Company’s assets and liabilities are measured at fair value on a recurring basis and are categorized using the three levels of the fair value hierarchy based on the reliability of the inputs used. Fair values estimated using Level 1 inputs consist of quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Fair values estimated using Level 2 inputs, other than quoted prices, are observable for the asset or liability, either directly or indirectly and include among other things, quoted prices for similar assets or liabilities in markets that are active or inactive as well as inputs other than quoted prices that are observable. For forward currency contracts, inputs include foreign currency exchange rates. Fair values estimated using Level 3 inputs consist of significant unobservable inputs. The Company did not have any financial assets or liabilities fair valued using Level 1 or Level 3 inputs at December 31, 2016 or 2015. The fair value of financial assets using Level 2 inputs related to forward currency contracts were $0 and $474 at December 31, 2016 and 2015, respectively. The fair value of financial liabilities using Level 2 inputs related to forward currency contracts were $31 and $93 at December 31, 2016 and 2015, respectively. The Company recorded a non-recurring fair value adjustment of $51,458 related to the PST goodwill during the year ended December 31, 2014. The Company utilized Level 3 inputs to estimate the fair value adjustment for nonfinancial assets. For additional information, see the discussion of Goodwill and Other Intangible Assets in Note 2. No non-recurring fair value adjustments were required for nonfinancial assets for the year s ended December 31, 2016 and 2015. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | 10. Commitments and Contingencies In the ordinary course of business, the Company is subject to a broad range of claims and legal proceedings that relate to contractual allegations, product liability, tax audits, patent infringement, employment-related matters and environmental matters. The Company establishes accruals for matters which are probable and reasonably estimable. Although it is not possible to predict with certainty the outcome of these matters, the Company is of the opinion that the ultimate resolution of these matters will not have a material adverse effect on its consolidated results of operations or financial position. As a result of environmental studies performed at the Company’s former facility located in Sarasota, Florida, the Company became aware of soil and groundwater contamination at this site. The Company engaged an environmental engineering consultant to assess the level of contamination and to develop a remediation and monitoring plan for the site. Soil remediation at the site was completed during the year ended December 31, 2010. As the remedial action plan has been approved by the Florida Department of Environmental Protection, ground water remediation began in the fourth quarter of 2015. During the years ended December 31, 2015, 2014 and 2013, environmental remediation costs incurred were immaterial. At December 31, 2016 and 2015, the Company had accrued an undiscounted liability of $446 and $532 , respectively, related to future remediation. At December 31, 2016 and 2015, $370 and $469 , respectively, were recorded as a component of accrued expenses and other current liabilities on the consolidated balance sheets while the remaining amounts were recorded as a component of other long-term liabilities. A majority of the costs associated with the recorded liability are being incurred during the groundwater remediation, with the balance relating to monitoring costs to be incurred over multiple years. The recorded liability is based on assumptions in the remedial action plan. Although the Company sold the Sarasota facility in December 2011, the liability to remediate the site contamination remains the responsibility of the Company. Due to the ongoing site remediation, the closing terms of the sale agreement included a requirement for the Company to maintain a $2,000 letter of credit for the benefit of the buyer. The Company has a legal proceeding, Verde v. Stoneridge, Inc. et al ., currently pending in the United States District Court for the Eastern District of Texas, Cause No. 6:14-cv-00225- KNM. The plaintiff filed this putative class action against the Company and others on March 26, 2014. Plaintiff alleges that the Company was involved in the vertical chain of manufacture, distribution, and sale of a control device (“CD”) that was incorporated into a Dodge Ram truck purchased by Plaintiff in 2006. Plaintiff alleges that the Company breached express warranties and indemnification provisions by supplying a defective CD that was not capable of performing its intended function. The putative class consists of all Texas residents who own manual transmission Ch rysler vehicles model years 1997 –2007 equipped with the subject CD. Plaintiff seeks recovery of economic loss damages incurred by him and the putative class members associated with inspecting and replacing the allegedly defective CD, as well as attorneys’ fees and costs. Plaintiff filed his motion for class certification seeking to certify a class of Texas residents who own or lease certain automo biles sold by Chrysler from 1997 –2007. Plaintiff alleges this putative class would include approximately 120,000 people. In the motion for class certification, the Plaintiff states that damages are no more than $1 per person. A hearing on Plaintiff’s motion for class certificatio n was held on November 16, 2015. On April 8, 2016, the Magistrate Judge granted the Company’s motion for partial summary judgment dismissing the Plaintiff’s indemnification claim; that ruling was later adopted by the United States District Court. On November 7, 2016, the Magistrate Judge issued a Report and Recommendation Concerning Class certification, in which she recommended denying Plaintiff’s motion for class certification. Plaintiff filed an objection to the Report and Recommendation and motion for reconsideration concerning class certification. The Magistrate’s Report and Recommendation, and plaintiff’s objection and motion for reconsideration are currently before the court pending a ruling from the District Judge. The Company believes the likelihood of loss is not probable or reasonably estimable, and therefore no liability has been recorded for t hese claims at December 31, 2016 . Royal v. Stoneridge, Inc. et al. is another legal proceeding currently pending in the United States District Court for the Western District of Oklahoma, Cause No. 5:14-cv-01410-F. Plaintiffs filed this putative class action against the Company, Stoneridge Control Devices, Inc., and others on December 19, 2014. Plaintiff alleges that the Company was involved in the vertical chain of manufacture, distribution, and sale of a CD that was incorporated into Dodge Ram trucks purchased by Plaintiff between 1999 and 2006. Plaintiffs allege that the Company and Stoneridge Control Devices, Inc. breached various express and implied warranties, including the implied warranty of merchantability. Plaintiffs also seek indemnity from the Company and Stoneridge Control Devices, Inc. The putative class consists of all owners of vehicles equipped with the subject CD, which includes various Dodge Ram trucks and other manual transmission vehicles manufactured from 1997–2007, which Plaintiffs allege is more than one million vehicles. Plaintiffs seeks recovery of economic loss damages associated with inspecting and replacing the allegedly defective CD, diminished value of the subject CDs and the trucks in which they were installed, and attorneys’ fees and costs. The amount of compensatory or other damages sought by Plaintiffs and the putative class members is unknown. The Company is vigorously defending itself against these allegations, and has and will continue to challenge the claims as well as class action certification. The Company believes the likelihood of loss is not probable or reasonably estimable, and therefore no liability has been recorded for t hese claims at December 31, 2016 . In September 2013, two legal proceedings were initiated by Actia Automotive (“Actia”) in a French court (the tribunal de grande instance de Paris) alleging infringement of its patents by the Company’s Electronics segment. The euro (“€”) and U.S. dollar equ ivalent (“$”) that Actia wa s seeking has been €7,000 ( $7,400 ) for each claim for injunctive relief and monetary damages resulting from such alleged in fringement. The Company believed that its products did not infringe on any of the patents claimed by Actia, and the claims were without merit. The Company vigorously defended itself against these allegations, and challenged certain Actia patents in the European Patent Office. I n September 2015, the French court ruled in favor of the Company on one claim, which is subject to appeal by Actia. However, on July 28, 2016 the Company reached a settlement with Actia with regard to both claims. Under the settlement agreement the Company agreed to forego a payment by Actia of €50 ( $56 ) that had been ordered by the French Court and Actia agreed (i) not to appeal the French court’s ruling against it on the first claim and (ii) to dismiss its infringement claims against the Company with respect to the second claim. Under the settlement Actia agreed not to enforce any of the patents in question against the Company, or the Company’s successors and assigns. As a result this matter has been settled and no liability has been recorded for these claims at December 31, 2016 . On May 24, 2013, the State Revenue Services of São Paulo issued a tax deficiency notice against PST claiming that the vehicle tracking and monitoring services it provides should be classified as communication services, and therefore subject to the State Value Added Tax – ICMS. The State Revenue Services assessment imposed the 25.0% ICMS tax on all revenues of PST related to the vehicle tracking and monitoring services during the period from January 2009 through December 2010. The Brazilian real (“R$”) and U.S. dollar equivalent (“$”) of the aggregate tax assessment is approximately R$92,500 ($28,400 ) which is comprised of Value Added Tax – ICMS of R$13,200 ($4,100 ) , interest of R$11,400 ($3,500 ) and penalties of R$67,900 ($20,800 ) . The Company believes that the vehicle tracking and monitoring services are non-communication services, as defined under Brazilian tax law, subject to the municipal ISS tax, not communication services subject to state ICMS tax as claimed by the State Revenue Services of São Paulo. PST has, and will continue to collect the municipal ISS tax on the vehicle tracking and monitoring services in compliance with Brazilian tax law and will defend its tax position. PST has received a legal opinion that the merits of the case are favorable to PST, determining among other things that the imposition on the subsidiary of the State ICMS by the State Revenue Services of São Paulo is not in accordance with the Brazilian tax code. Management believes, based on the legal opinion of the Company’s Brazilian legal counsel and the results of the Brazil Administrative Court's ruling in favor of another vehicle tracking and monitoring company related to the tax deficiency notice it received, the likelihood of loss is not probable although it may take years to resolve. As a result of the above, as of December 31, 2016 and 2015, no accrual has been recorded with respect to this tax assessment. An unfavorable judgment on this issue for the years assessed and for subsequent years could result in significant costs to PST and adversely affect its results of operations. There have been no significant changes to the facts and circumstances related to this notice for the year ended December 31, 201 6 . In addition, PST has civil, labor and other non-income tax contingencies for which the likelihood of loss is deemed to be reasonably possible, but not probable, by the Company’s legal advisors in Brazil. As a result, no provision has been recorded with respect to these contingencies, which amounted to R$31 ,800 ( $9,800 ) and R$25,400 ( $6,500 ) at December, 2016 and 2015, respectively. An unfavorable outcome on these contingencies could result in significant cost to PST and adversely affect its results of operations. |
Headquarter Relocation
Headquarter Relocation | 12 Months Ended |
Dec. 31, 2016 | |
Headquarter Relocation | 12. Restructuring and Business Realignment On October 29, 2007, the Company announced a restructuring initiative to improve manufacturing efficiency and cost position by ceasing manufacturing operations at its Mitcheldean, United Kingdom (Electronics reportable segment) location. In 2010, the Company continued restructuring initiatives within the Electronics reportable segment and recorded amounts related to its terminated property lease in Mitcheldean, United Kingdom. During the third quarter of 2012, the Company finalized a settlement agreement to modify the terms of and the obligation associated with the property consistent with previous estimates. In connection with the Electronics segment restructuring initiative, the Company recorded lease related restructuring charges during the years ended December 31, 201 6 , 201 5 and 201 4 of $59 , $183 and $494 , respectively, as part of selling, general and administrative expense. At December 31, 201 6 and 201 5 , the only remaining restructuring related accrual relates to the terminated property lease in Mitcheldean, United Kingdom, for which the Company has accrued $273 and $458 , respectively, on the consolidated balance sheets of which $0 and $313 , respectively, is a component of other long-term liabilities. The expenses for the restructuring activities that relate to the Electronics reportable segment include the following: 2016 2015 2014 Accrued balance at January 1 $ 458 $ 733 $ 780 Charge to expense 59 183 494 Foreign currency translation (69) 3 (45) Cash payments, net (175) (461) (496) Accrued balance at December 31 $ 273 $ 458 $ 733 The Company regularly evaluates the performance of its businesses and cost structures, including personnel, and makes necessary changes thereto in order to optimize its results. The Company also evaluates the required skill sets of its personnel and periodically makes strategic changes. As a consequence of these actions, the Company incurs severance related costs which are referred to as business realignment charges. Business realignment charges by reportable segment were as follows: Years ended December 31 2016 2015 2014 Electronics (A) $ 1,180 $ 317 $ - PST (B) 1,437 403 1,578 Unallocated Corporate (C) - 309 - Total business realignment charges $ 2,617 $ 1,029 $ 1,578 (A) Severance costs for the year ended December 31, 2016 related to selling, general and administrat ive (“SG&A”) and design and development (“D&D”) were $196 and $984 , respectively. Severance costs for the year ended December 31, 2015 related to SG&A and D&D were $102 and $215 , respectively. (B) Severance costs for the year ended December 31, 2016 related to cost of goods sold (“COGS”), SG&A and D&D were $437 , $884 and $116 , respectively. Severance costs for the year ended December 31, 2015 related to COGS, SG&A and D&D were $172 , $117 and $114 , respectively. Severance costs for year ended December 31, 2014 related to COGS, SG&A and D&D were $847 , $559 and $172 , respectively. (C) Severance costs for the year then ended December 31, 2015 related to SG&A were $309 . Business realignment charges classified by statement of operations line item were as follows: Years ended December 31 2016 2015 2014 Cost of goods sold $ 437 $ 172 $ 847 Selling, general and administrative 1,080 528 559 Design and development 1,100 329 172 Total business realignment charges $ 2,617 $ 1,029 $ 1,578 There were no significant restructuring or business realignment expenses related to the Control Devices reportable segment during the years ended December 31, 201 6 , 201 5 or 201 4 . |
Headquarter Relocation [Member] | |
Headquarter Relocation | 11. Headquarter Relocation and Consolidation D uring the fourth quarter of 2016 , the Company relocated its corporate headquarters from Warren, Ohio to Novi, Michigan and consolidated its other corporate functions into one location . As a result, the Company incurred relocation costs , which included employee retention, relocation, severance, recruiting, duplica te wages and professional fees, of $1,769 for the year then ended December 31, 2016 . During 2016, Company entered into a long-term lease agreement for its new corporate headquarters. The Company establishes assets and liabilities for the estimated construction costs incurred under build-to-suit lease arrangements to the extent the Company was involved in the construction of structural improvements or takes construction risk prior to the commencement of a lease. As of September 30 , 2016, the Company recorded a non-cash build-to-suit lease asset under construction of $4,322 (within Prepaid and other currents assets) and a corresponding obligation (within accrued expenses and other current liabilities) in the consolidated balance sheet. On October 31, 2016 the construction was completed. Based on the Company’s evaluation of the lease, sale and leaseback accounting treatment was deemed to be appropriate and as such the Company removed the build-to-suit lease asset and corresponding obligation. Also, the incremental cost of the tenant improvements incurred and paid by the Lessor of $1,104 were capitalized as a right of use asset and corresponding liability as of October 31, 2016. The right of use asset and corresponding liability will be amortized on a straight line basis to rent expense over the 10 lease year term. |
Restructuring and Business Real
Restructuring and Business Realignment | 12 Months Ended |
Dec. 31, 2016 | |
Restructuring and Business Realignment [Abstract] | |
Restructuring and Business Realignment | 12. Restructuring and Business Realignment On October 29, 2007, the Company announced a restructuring initiative to improve manufacturing efficiency and cost position by ceasing manufacturing operations at its Mitcheldean, United Kingdom (Electronics reportable segment) location. In 2010, the Company continued restructuring initiatives within the Electronics reportable segment and recorded amounts related to its terminated property lease in Mitcheldean, United Kingdom. During the third quarter of 2012, the Company finalized a settlement agreement to modify the terms of and the obligation associated with the property consistent with previous estimates. In connection with the Electronics segment restructuring initiative, the Company recorded lease related restructuring charges during the years ended December 31, 201 6 , 201 5 and 201 4 of $59 , $183 and $494 , respectively, as part of selling, general and administrative expense. At December 31, 201 6 and 201 5 , the only remaining restructuring related accrual relates to the terminated property lease in Mitcheldean, United Kingdom, for which the Company has accrued $273 and $458 , respectively, on the consolidated balance sheets of which $0 and $313 , respectively, is a component of other long-term liabilities. The expenses for the restructuring activities that relate to the Electronics reportable segment include the following: 2016 2015 2014 Accrued balance at January 1 $ 458 $ 733 $ 780 Charge to expense 59 183 494 Foreign currency translation (69) 3 (45) Cash payments, net (175) (461) (496) Accrued balance at December 31 $ 273 $ 458 $ 733 The Company regularly evaluates the performance of its businesses and cost structures, including personnel, and makes necessary changes thereto in order to optimize its results. The Company also evaluates the required skill sets of its personnel and periodically makes strategic changes. As a consequence of these actions, the Company incurs severance related costs which are referred to as business realignment charges. Business realignment charges by reportable segment were as follows: Years ended December 31 2016 2015 2014 Electronics (A) $ 1,180 $ 317 $ - PST (B) 1,437 403 1,578 Unallocated Corporate (C) - 309 - Total business realignment charges $ 2,617 $ 1,029 $ 1,578 (A) Severance costs for the year ended December 31, 2016 related to selling, general and administrat ive (“SG&A”) and design and development (“D&D”) were $196 and $984 , respectively. Severance costs for the year ended December 31, 2015 related to SG&A and D&D were $102 and $215 , respectively. (B) Severance costs for the year ended December 31, 2016 related to cost of goods sold (“COGS”), SG&A and D&D were $437 , $884 and $116 , respectively. Severance costs for the year ended December 31, 2015 related to COGS, SG&A and D&D were $172 , $117 and $114 , respectively. Severance costs for year ended December 31, 2014 related to COGS, SG&A and D&D were $847 , $559 and $172 , respectively. (C) Severance costs for the year then ended December 31, 2015 related to SG&A were $309 . Business realignment charges classified by statement of operations line item were as follows: Years ended December 31 2016 2015 2014 Cost of goods sold $ 437 $ 172 $ 847 Selling, general and administrative 1,080 528 559 Design and development 1,100 329 172 Total business realignment charges $ 2,617 $ 1,029 $ 1,578 There were no significant restructuring or business realignment expenses related to the Control Devices reportable segment during the years ended December 31, 201 6 , 201 5 or 201 4 . |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Segment Reporting | 13. Segment Reporting Operating segments are defined as components of an enterprise that are evaluated regularly by the Company's chief operating decision maker in deciding how to allocate resources and in assessing performance. The Company's chief operating decision maker is the chief executive officer. During the third quarter of 2014 the Company sold its Wiring business segment, which designed and manufactured wiring harness products and assembled instrument panels for sale principally to the commercial, agricultural and off-highway vehicle markets. As such, for all periods presented the Company reported this business as discontinued operations in the Company’s consolidated financial statements and therefore excluded it from the segment disclosures herein. See Note 2 for additional details. The Company has three reportable segments, Control Devices, Electronics and PST, which also represent its operating segments. The Control Devices reportable segment produces sensors, switches, valves and actuators. The Electronics reportable segment produces electronic instrument clusters, electronic control units and driver information systems. The PST reportable segment designs and manufactures electronic vehicle security alarms, convenience accessories, vehicle tracking devices and monitoring services and in-vehicle audio and video devices. The accounting policies of the Company’s reportable segments are the same as those described in Note 2. The Company’s management evaluates the performance of its reportable segments based primarily on revenues from external customers, capital expenditures and operating income. Inter-segment sales are accounted for on terms similar to those to third parties and are eliminated upon consolidation. The financial information presented below is for our three reportable operating segments and includes adjustments for unallocated corporate costs and intercompany eliminations, where applicable. Such costs and eliminations do not meet the requirements for being classified as an operating segment. Corporate costs include various support functions, such as information technology, corporate finance, legal, executive administration and human resources . A summary of financial information by reportable segment is as follows: Years ended December 31 2016 2015 2014 Net Sales: Control Devices $ 408,132 $ 333,010 $ 306,658 Inter-segment sales 1,826 2,055 3,080 Control Devices net sales 409,958 335,065 309,738 Electronics 205,256 216,544 214,141 Inter-segment sales 33,361 22,904 35,163 Electronics net sales 238,617 239,448 249,304 PST 82,589 95,258 139,780 Inter-segment sales - - - PST net sales 82,589 95,258 139,780 Eliminations (35,187) (24,959) (38,243) Total net sales $ 695,977 $ 644,812 $ 660,579 Operating Income (Loss): Control Devices $ 61,815 $ 44,690 $ 35,387 Electronics 14,798 13,784 17,444 PST (3,462) (7,542) (59,587) Unallocated Corporate (A) (29,069) (23,117) (19,067) Total operating income (loss) $ 44,082 $ 27,815 $ (25,823) Depreciation and Amortization: Control Devices $ 10,276 $ 9,260 $ 9,545 Electronics 3,971 3,666 4,432 PST 8,559 9,272 12,998 Unallocated Corporate 452 211 130 Total depreciation and amortization (B) $ 23,258 $ 22,409 $ 27,105 Interest Expense, net: Control Devices $ 226 $ 326 $ 303 Electronics 142 161 695 PST 3,396 2,957 2,764 Unallocated Corporate 2,513 2,921 13,118 Total interest expense, net $ 6,277 $ 6,365 $ 16,880 Capital Expenditures: Control Devices $ 13,261 $ 15,094 $ 13,658 Electronics 5,665 6,538 3,541 PST 3,213 5,889 6,161 Unallocated Corporate (C) 2,337 1,214 156 Total capital expenditures $ 24,476 $ 28,735 $ 23,516 December 31, December 31, 2016 2015 Total Assets: Control Devices $ 150,623 $ 127,649 Electronics 99,964 97,443 PST 107,405 100,143 Corporate (C) 287,031 288,806 Eliminations (250,494) (249,789) Total assets $ 394,529 $ 364,252 (A) Unallocated Corporate expenses include, among other items, accounting, finance, legal, information technology costs as well as share-based compensation. (B) These amounts represent depreciation and amortization on property, plant and equipment and certain intangible assets. (C) Corporate assets consist primarily of cash, intercompany loan receivables, capital expenditures for the new headquarter building, equity investments and investments in subsidiaries. The following table presents net sales and long-term assets for the geographic areas in which the Company operates: 2016 2015 2014 Net Sales: North America $ 428,046 $ 369,032 $ 330,516 South America 82,589 95,258 139,780 Europe and Other 185,342 180,522 190,283 Total net sales $ 695,977 $ 644,812 $ 660,579 December 31, December 31, 2016 2015 Long-term Assets: North America $ 73,835 $ 60,099 South America 63,497 56,943 Europe and Other 16,304 15,301 Total long-term assets $ 153,636 $ 132,343 |
Unaudited Quarterly Financial D
Unaudited Quarterly Financial Data | 12 Months Ended |
Dec. 31, 2016 | |
Unaudited Quarterly Financial Data [Abstract] | |
Unaudited Quarterly Financial Data | 14. Unaudited Quarterly Financial Data The following is a summary of quarterly results of operations: Quarter ended 2016 December 31 September 30 June 30 March 31 Net sales $ 172,612 $ 173,846 $ 186,903 $ 162,616 Gross profit 47,779 49,748 52,751 45,161 Operating income 10,170 11,780 13,626 8,506 Income tax expense (benefit) from continuing operations (B) (39,503) 919 1,350 845 Income from continuing operations 48,489 9,981 10,995 6,109 Net income 48,489 9,981 10,995 6,109 Net income (loss) attributable to noncontrolling interests 122 (303) (576) (1,130) Net income attributable to Stoneridge, Inc. 48,367 10,284 11,571 7,239 Earnings per share from continuing operations attributable to Stoneridge, Inc.: Basic (A) $ 1.74 $ 0.37 $ 0.42 $ 0.26 Diluted (A) $ 1.70 $ 0.36 $ 0.41 $ 0.26 Earnings per share attributable to Stoneridge, Inc.: Basic (A) $ 1.74 $ 0.37 $ 0.42 $ 0.26 Diluted (A) $ 1.70 $ 0.36 $ 0.41 $ 0.26 Quarter ended 2015 December 31 September 30 June 30 March 31 Net sales $ 154,641 $ 162,057 $ 165,289 $ 162,825 Gross profit 42,239 45,145 45,946 43,648 Operating income 8,327 8,947 7,415 3,126 Income tax expense (benefit) from continuing operations (345) 32 (381) 147 Income from continuing operations 4,935 7,411 6,328 2,103 Income (loss) from discontinued operations (C) 16 (113) 55 (168) Net income 4,951 7,298 6,383 1,935 Net loss attributable to noncontrolling interests (1,133) (69) (596) (409) Net income attributable to Stoneridge, Inc. 6,084 7,367 6,979 2,344 Earnings per share from continuing operations attributable to Stoneridge, Inc.: Basic (A) $ 0.22 $ 0.27 $ 0.26 $ 0.10 Diluted (A) $ 0.22 $ 0.27 $ 0.25 $ 0.09 Earnings (loss) per share attributable to discontinued operations: Basic (A) $ 0.00 $ (0.01) $ 0.00 $ (0.01) Diluted (A) $ 0.00 $ (0.01) $ 0.00 $ (0.01) Earnings per share attributable to Stoneridge, Inc.: Basic (A) $ 0.22 $ 0.26 $ 0.26 $ 0.09 Diluted (A) $ 0.22 $ 0.26 $ 0.25 $ 0.08 (A) Earnings per share for the year may not equal the sum of the four historical quarters earnings per share due to changes in weighted-average basic and diluted shares outstanding. (B) The Company recorded the re lease of a valuation allo wance associated with its U.S. f ederal, certain state and foreign deferred tax assets for the year ended December 31, 2016. (C) A gain (loss) on disposal of the Wiring business was recorded for the quarters ended March 31, 2015, June 30, 2015, September 30, 2015 and December 31, 2015 for $(168) , $55 , $(113) and $16, respectively . |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events | 15. Subsequent Events Orlaco Acquisition On January 31, 2017 , Stoneridge B.V., an indirect wholly-owned subsidiary of Stoneridge, Inc., entered into an agreement to acquire all of Wide-Angle Management B.V. and Exploitatiemaatschappij Berghaaf B.V. (“Orlaco”). Orlaco designs, manufactures and sells a wide variety of innovative camera-based vision systems, monitors and related products primarily to the heavy off-road machinery, commercial on-road vehicle, lifting crane and warehousing and logistics industries. Since July 2015, Stoneridge and Orlaco have jointly developed the MirrorEye mirror replacement system, which is the industry-leading solution to improve the safety and fuel economy of commercial vehicles. The MirrorEye system integrates Orlaco’s camera technology and Stoneridge’s driver information capabilities as well as the combined software capabilities of both companies. The acquisition of Orlaco enhances Stoneridge’s global technical capabilities in vision systems and facilitates entry into new markets. The aggregate consideration for the Orlaco acquisition was €74,939 ( $79,675 ), which included customary estimated adjustments to the purchase price. The Company paid €67,439 ( $71,701 ) in cash, and €7,500 ( $7,974 ) to hold in an escrow account to secure the payment obligations of the seller under the terms of the purchase agreement. The purchase price is subject to certain customary adjustments set forth in the purchase agreement. The Company expects to transfer the escrow amount promptly following the completion of the escrow period. The Company may also be required pay up to an additional €7.5 million in cash as earnout consideration if certain targets are achieved during the first two years. In order to fund the Orlaco acquisition, the Company borrowed $81.0 million under its Credit Facility. Consent and Amendment No. 4 to Third Amended and Restated Credit Agreement On January 30, 2017 , the Company entered into a Consent and Amendment No. 4 (“Amendment No. 4 ”) to the Credit Facility. Amendment No. 4 amended certain definitions, schedules and exhibits of the Credit Agreement, consented to the Dutch r eorganization , and consented to the Orlaco acquisition. |
SCHEDULE II - VALUATION AND QUA
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended |
Dec. 31, 2016 | |
Valuation and Qualifying Accounts [Abstract] | |
Valuation and Qualifying Accounts | SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS (in thousands) The following schedules provide the activity for accounts receivable reserves and valuation allowance for deferred tax assets from continuing operations for the years ended December 31, 2016, 2015 and 2014: Balance at Charged to beginning of costs and Balance at period expenses Write-offs end of period Accounts receivable reserves: Year ended December 31, 2014 $ 2,625 $ 619 $ (1,227) $ 2,017 Year ended December 31, 2015 2,017 395 (1,346) 1,066 Year ended December 31, 2016 1,066 1,604 (1,040) 1,630 Exchange Net additions rate Balance at charged to fluctuations beginning of income and other Balance at period (expense) items end of period Valuation allowance for deferred tax assets: Year ended December 31, 2014 $ 71,827 $ (2,786) $ (1,134) $ 67,907 Year ended December 31, 2015 67,907 (7,957) (559) 59,391 Year ended December 31, 2016 59,391 (47,659) (A) (607) 11,125 (A) The Company recorded the release of a valuation allowan ce associated with its U.S. f ederal , certain state and foreign deferred tax assets of $49.6 million. |
Summary of Significant Accoun24
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Summary of Significant Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements include the accounts of Stoneridge, Inc. and its wholly-owned and majority-owned subsidiaries (collectively, the “Company”). Intercompany transactions and balances have been eliminated in consolidation. The Company analyzes its ownership interests in accordance with Accounting Standards Codification (“ASC”) “Consolidations (Topic 810)” to determine whether they are a variable interest entity and, if so, whether the Company is the primary beneficiary. The Company’s investment in Minda Stoneridge Instruments Ltd. (“Minda”) for the years ended December 31, 2016, 2015 and 2014 has been determined to be an uncons olidated entity, and therefore is accounted for under the equity method of accounting based on our 49% ownership. The Company had a 74% controlling interest in PST Eletrônica Ltda. (“ PST”) for the years ended December 31, 2016, 2015 and 2014 which i s accounted for a consolidated subsidiary. The Company sold substantially all of the assets and liabilities of its Wiring business on August 1, 2014. As a result, the Wiring business has been classified as discontinued operations for all periods presented in the Company’s financial statements herein, and therefore has been excluded from both continuing operations and segment results for all periods presented. The Wiring business designed and manufactured wiring harness products and assembled instruments panels for sale principally to the commercial, agricultural and off-highway vehicle markets. |
Accounting Estimates | Accounting Estimates The preparation of financial statements in conformity with U.S. Generally Accepted Accounting Principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, including certain self-insured risks and liabilities, disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Because actual results could differ from those estimates, the Company revises its estimates and assumptions as new information becomes available. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company’s cash and cash equivalents are actively traded money market funds with short-term investments in marketable securities, primarily U.S. government securities. Cash and cash equivalents are stated at cost, which approximates fair value, due to the highly liquid nature and short-term duration of the underlying securities with original maturities of 90 days or less . |
Accounts Receivable and Concentration Of Credit Risk | Accounts Receivable and Concentration of Credit Risk Revenues are principally generated from the automotive, commercial, motorcycle, off-highway and agricultural vehicle markets. The Company’s largest customers are Ford Motor Company, General Motors Company and Scania Group, primarily related to the Control Devices and Electronics reportable segments and accounted for the following percentages of consolidated net sales for the years ended December 31, 2016, 2015 and 2014: 2016 2015 2014 Ford Motor Company 17 % 14 % 11 % General Motors Company 7 % 5 % 5 % Scania Group 6 % 7 % 8 % Accounts receivable are recorded at the invoice price, net of an estimate of allowance for doubtful accounts and other reserves. |
Allowance for Doubtful Accounts | Al lowance for Doubtful Accounts The Company evaluates the collectability of accounts receivable based on a combination of factors. In circumstances where the Company is aware of a specific customer’s inability to meet its financial obligations, a specific allowance for doubtful accounts is recorded against amounts due to reduce the net recognized receivable to the amount the Company reasonably believes will be collected. Additionally, the Company reviews historical trends for collectability in determining an estimate for its allowance for doubtful accounts. If economic circumstances change substantially, estimates of the recoverability of amounts due to the Company could be reduced by a material amount. The Company does not have collateral requirements with its customers. |
Sales of Accounts Receivable | Sales of Accounts Receivable The Company’s PST segment sells selected accounts receivable on a full recourse basis to an unrelated financial institution in Brazil. PST accounts for these transactions as sales of accounts receivable. As such, in accordance with ASC 860, “Transfers and Servicing”, the sales of accounts receivable are reflected as a reduction of accounts receivable in the consolidated balance sheets and the loss on sale is recorded within interest expense, net in the consolidated statements of operations while the proceeds received from the sale are included in the cash flows from operating activities in the consolidated statements of cash flows. During 2016 PST sold $15,297 ( 53,886 Brazilian real) of accounts receivable at a loss of $459 ( 1,615 Brazilian real), which represents the implicit interest on the transaction, and received proceeds of $14,838 ( 52,271 Brazilian real). PST had a remaining credit exposure of $1,067 ( 3,476 Brazilian real) at December 31, 2016 related to the receivables sold for which payment from the customer was not yet due. During 2015 PST sold $6,401 ( 24,994 Brazilian real ) of accounts receivable at a loss of $156 ( 540 Brazilian real), which represents the implicit interest on the transaction, and received proceeds of $6,245 ( 24,454 Brazilian real ). |
Inventories | Inventories Inventories are valued at the lower of cost (using either the first-in, first-out (“FIFO”) or average cost methods) or market. The Company evaluates and adjusts as necessary its excess and obsolescence reserve on a quarterly basis. Excess inventories are quantities of items that exceed anticipated sales or usage for a reasonable period. The Company has guidelines for calculating provisions for excess inventories based on the number of months of inventories on hand compared to anticipated sales or usage. Management uses its judgment to forecast sales or usage and to determine what constitutes a reasonable period. Inventory cost includes material, labor and overhead. Inventories consist of the following: As of December 31 2016 2015 Raw materials $ 35,665 $ 36,021 Work-in-progress 7,483 7,162 Finished goods 16,969 17,826 Total inventories, net $ 60,117 $ 61,009 Inventory valued using the FIFO method was $37,765 and $ 35,378 at December 31, 2016 and 2015, respectively. Inventory valued using the average cost method was $22,352 and $ 25,631 at December 31, 2016 and 2015, respectively. |
Pre-Production Costs Related to Long-Term Supply Arrangements | Pre-production Costs Related to Long-term Supply Arrangements Engineering, research and development and other design and development costs for products sold on long-term supply arrangements are expensed as incurred unless the Company has a contractual guarantee for reimbursement from the customer. Costs for molds, dies and other tools used to make products sold on long-term supply arrangements for which the Company either has title to the assets or has the noncancelable right to use the assets during the term of the supply arrangement are capitalized in property, plant and equipment and amortized to cost of sales over the shorter of the term of the arrangement or over the estimated useful lives of the assets, typically three to five years. Costs for molds, dies and other tools used to make products sold on long-term supply arrangements for which the Company has a contractual guarantee to a lump sum reimbursement from the customer are capitalized either as a component of prepaid expenses and other current assets or an investment and other long term asset within the consolidated balance sheets. Capitalized pre-production costs were $6,859 an d $9,405 at December 31, 2016 and 2015 , respectively. At December 31, 2016 and 2015, $6,446 and $9,405 were recorded as a component of prepaid expenses and other current assets on the consolidated balance sheets while the remaining amounts were recorded as a component of investments and other long term assets. |
Discontinued Operations | Discontinued Operations Wiring Business On May 26, 2014, the Company entered into an asset purchase agreement to sell substantially all of the assets and liabilities of the former Wiring segment to Motherson Sumi Systems Ltd., an India-based manufacturer of diversified products for the global automotive industry and a limited company incorporated under the laws of the Republic of India, and MSSL (GB) LIMITED, a limited company incorporated under the laws of the United Kingdom (collectively, “Motherson”), for $65,700 in cash and the assumption of certain related liabilities of the Wiring business. On August 1, 2014, the Company completed the sale of substantially all of the assets and liabilities of its Wiring business to Motherson for $71,386 in cash that consisted of the stated purchase price and estimated working capital on the closing date. The final purchase price was subject to post-closing working capital and other adjustments. Upon the final resolution of the working capital and other adjustments in the second quarter of 2015, the Company returned $1,230 in cash to Motherson. The Company recorded a loss on disposal, net of tax of $8,576 for the year ended December 31, 2014 which included the recognition of previously deferred foreign currency translation of $2,734 , income tax on the sale of Wiring’s Mexican businesses of $1,621 and transaction costs of $1,384 . The Company also entered into short-term transition services agreements with Motherson substantially all of which concluded in the second quarter of 2015 associated with information systems, accounting, administrative, occupancy and support services as well as contract manufacturing and production support in Estonia. The Company had post-disposition sales to the Wiring business acquired by Motherson of $19 ,766 , $26,952 and $12,230 for the years ended December 31, 2016, 2015, and 2014, respectively. The Company had post-disposition purchases from the Wiring business acquired by Motherson of $425 , $689 and $269 for the years ended December 31, 2016, 2015 and 2014, respectively. The amounts related to 2014 cover the period from August through December 2014 because the sale of the Wiring business occurred on August 1, 2014. The following tables display summarized activity in our consolidated statements of operations for discontinued operations during the years ended December 31, 2015 and 2014, related to the Wiring business. There were no discontinued operations for the year ended December 31, 2016. Years ended December 31 2015 2014 (A) Net sales $ - $ 167,434 Cost of goods sold (C) - 154,787 Selling, general and administrative (C) - 12,697 Interest expense, net - 69 Other expense (income), net - (58) Loss from operations of discontinued operations before income taxes (C) - (61) Income tax expense on discontinued operations - (750) Loss from discontinued operations, net of tax - (811) Loss on disposal (B) $ (241) $ (6,955) Income tax expense on gain (loss) on disposal (D) 31 (1,621) Loss on disposal, net of tax (210) (8,576) Loss from discontinued operations $ (210) $ (9,387) (A) The operations of the Wiring business were presented only for the seven months ended July 31, 2014 because the sale was completed on August 1, 2014. (B) Included in loss on disposal for the years ended December 31, 2015 and 2014 were transaction costs of $223 and $1,384 , respectively. The loss on disposal also includes a working capital and other adjustments of $18 for the year ended December 31, 2015. In addition, the loss on disposal included $2,734 in previously deferred foreign currency translation for the year ended December 31, 2014. (C) The assets and liabilities of the Wiring business were reclassified as held for sale effective May 26, 2014. Accordingly, depreciation and amortization for the related Wiring assets were not recorded after that date. (D) Gains and losses from foreign currency remeasurement related to income taxes were included as a component of income tax (expense) benefit. Years ended December 31 2014 Depreciation and amortization $ 2,111 Capital expenditures 1,238 Predisposition intercompany sales to the Wiring business were $17,448 for the seven month period ended July 31, 2014. Predisposition intercompany purchases from the Wiring business were $4,025 for the seven month period ended July 31, 2014 . |
Property, Plant and Equipment | P roperty, Plant and Equipment Property, plant and equipment are recorded at cost and consist of the following: As of December 31 2016 2015 Land and land improvements $ 3,376 $ 3,538 Buildings and improvements 32,271 32,904 Machinery and equipment 180,944 160,721 Office furniture and fixtures 6,813 6,541 Tooling 67,261 68,101 Information technology 23,632 24,035 Vehicles 398 422 Leasehold improvements 2,583 2,581 Construction in progress 16,854 23,914 Total property, plant, and equipment 334,132 322,757 Less: accumulated depreciation (242,632) (237,493) Property, plant and equipment, net $ 91,500 $ 85,264 Depreciation is provided using the straight-line method over the estimated useful lives of the assets. Depreciation expense for the years ended December 31, 2016, 2015 and 2014 was $19,998 , $18,964 and $22,299 , respectively. Depreciable lives within each property classification are as follows: Buildings and improvements 10 -40 years Machinery and equipment 3 -10 years Office furniture and fixtures 3 -10 years Tooling 2 -5 years Information technology 3 -5 years Vehicles 3 -5 years Leasehold improvements shorter of lease term or 3-10 years Maintenance and repair expenditures that are not considered improvements and do not extend the useful life of the property, plant and equipment are charged to expense as incurred. Expenditures for improvements and major renewals are capitalized. When assets are retired or otherwise disposed of, the related cost and accumulated depreciation are removed from the accounts, and any gain or loss on the disposition is recorded in the consolidated statements of operations as a component of selling, general and administrative expenses. |
Impairment of Long-Lived or Finite-Lived Assets | Impairment of Long-Lived or Finite-Lived Assets The Company reviews the carrying value of its long-lived assets and finite-lived intangible assets for impairment when events or circumstances indicate that their carrying value may not be recoverable. Factors the Company considers important that could trigger testing of the related asset groups for an impairment include current period operating or cash flow losses combined with a history of operating or cash flow losses, a projection or forecast that demonstrates continuing losses, significant adverse changes in the business climate within a particular business or current expectations that a long-lived asset will be sold or otherwise disposed of significantly before the end of its estimated useful life. To test for impairment, the estimated undiscounted cash flows expected to be generated from the use and disposal of the asset or asset group is compared to its carrying value. An asset group is established by identifying the lowest level of cash flows generated by the group of assets that are largely independent of cash flows of other assets. If cash flows cannot be separately and independently identified for a single asset, we will determine whether an impairment has occurred for the group of assets for which we can identify projected cash flows. If these undiscounted cash flows are less than their respective carrying values, an impairment charge would be recognized to the extent that the carrying values exceed estimated fair values. The estimation of undiscounted cash flows and fair value requires us to make assumptions regarding future operating results over the life of the asset or the life of the primary asset in the asset group. The results of the impairment testing are dependent on these estimates which require judgment. The occurrence of certain events, including changes in economic and competitive conditions, could impact cash flows eventually realized and management’s ability to accurately assess whether an asset is impaired. Due to the lower actual and forecasted financial results from weakness in the Brazilian economy and automotive market, the Company performed an evaluation of PST’s long-lived assets in 2016 , and concluded that the carrying amount of the asset group was recoverable as the undiscounted cash flows of the asset group exceeded its carrying amount. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Goodwill The total purchase price associated with acquisitions is allocated to the acquisition date fair values of identifiable assets acquired and liabilities assumed with the excess purchase price assigned to goodwill. Goodwill is subject to an annual assessment for impairment (or more frequently if impairment indicators arise) by applying a fair value-based test. The Company recorded goodwill related to the acquisition of controlling interest in PST in 2011, all of which was deemed to be impaired in 2014. The remaining goodwill balance at December 31, 2016 and 2015 relates to the acquisition of two European aftermarket distributors, which is included within the Electronics segment. The carrying amount of goodwill related to our Electronics segment decreased by $50 for the year ended December 31, 2016 to $931 due to foreign currency translation. The carrying amount of goodwill related to our Electronics segment decreased by $97 for the year ended December 31, 201 5 to $981 due to foreign currency translation. Goodwill and changes in the carrying amount of goodwill by segment for the year then ended December 31, 2014 was as follows: Electronics PST Total Balance at January 1, 2014 $ 604 $ 53,744 $ 54,348 Acquisition of aftermarket business 664 - 664 Goodwill impairment - (51,458) (51,458) Currency translation (190) (2,286) (2,476) Balance at December 31, 2014 $ 1,078 $ - $ 1,078 The Company’s cumulative goodwill impairment loss since inception was $300,083 at December 31, 2016 and 2015. In addition to PST’s 2014 goodwill impairment, the cumulative goodwill impairment loss includes the goodwill impairment recorded by the Company’s Control Devices segment in 2008 and 2004. PST Goodwill Impairment Assessments During the second quarter of 2014, indicators of potential impairment required the Company to conduct an interim impairment test for its majority owned subsidiary, PST . Those indicators included a decline in recent operating results and lower growth expectations primarily due to the weakening of the Brazilian economy and automotive market. In accordance with ASC 350, the Company completed “step one” of the impairment analysis and concluded that, as of June 30, 2014, the fair value of the PST reportable segment was below its carrying value, including goodwill. As a result, “step two” of the impairment test was initiated in accordance with ASC 350. The Company recorded its best estimate of $29,300 as a non-cash goodwill impairment charge (of which $6,436 was attributable to noncontrolling interest) as of June 30, 2014. Based on the Company’s completed “step two” analysis in the third quarter of 2014, the final goodwill impairment as of June 30, 2014 was $23,498 (of which $5,162 was attributable to noncontrolling interest). As such, the Company recorded an adjustment to reduce the goodwill impairment by $5,802 (of which $1,274 was attributable to noncontrolling interest) as of September 30, 2014. In the fourth quarter of 2014, the Company conducted its annual goodwill impairment test for PST and completed “step one” of the impairment test concluding that as of October 1, 2014 the fair value of the PST reportable segment was less than its carrying value, including goodwill. PST’s fair value decreased further due to significantly lower sales and earnings growth expectations which were a result of lower forecasted growth in the Brazilian economy and automotive market and a forecasted decline in currency exchange rates thereby increasing PST’s material costs. Based on the completed “step two” analysis, a goodwill impairment charge of $27,960 (of which $6,142 was attributable to noncontrolling interest) was recorded in the fourth quarter of 2014 which represented all of the remaining PST goodwill. The aggregate goodwill impairment for the year ended December 31, 2014 was $51,458 (of which $11,304 was attributable to noncontrolling interest). The fair value measurement of the reporting unit under the “step one” analysis and the “step two” analysis (a non-recurring fair value measure) in their entirety are classified as Level 3 inputs. The estimates and assumptions underlying the fair value calculations used in the Company's impairment test are uncertain by their nature and can vary significantly from actual results. Factors that management must estimate include, but are not limited to, industry and market conditions, sales volume and pricing, raw material costs, capital expenditures, working capital changes, cost of capital, debt-equity mix and tax rates. The estimates and assumptions that most significantly affect the fair value calculation are sales volume and the associated cash flow assumptions, market growth and weighted average cost of capital. The estimates and assumptions used in the estimate of fair value are consistent with those the Company uses in its internal planning. The “step two” of the PST goodwill impairment test utilized the following methodologies in determining fair value. Buildings and machinery were valued at an estimated replacement cost for an asset of comparable age and condition. PST finite lived identified intangible assets are customer relationships, tradenames and technology. Customer relationships were valued using an excess earnings method, using various inputs such as the estimated customer attrition rate, future earnings forecast, the amount of contributory asset charges, and a discount rate. Tradenames and technology intangibles are valued using a relief from royalty method, which is based upon comparable market royalty rates for tradenames of similar value. Other working capital items are generally recorded at carrying value, unless there were known conditions that would impact the ultimate settlement amount of a particular item. Other Intangible Assets Other intangible assets, net at December 31, 2016 and 2015 consisted of the following: Acquisition Accumulated As of December 31, 2016 cost amortization Net Customer lists $ 27,476 $ (9,138) $ 18,338 Tradenames 18,116 (4,558) 13,558 Technology 10,862 (3,498) 7,364 Other 41 (41) - Total $ 56,495 $ (17,235) $ 39,260 Acquisition Accumulated As of December 31, 2015 cost amortization Net Customer lists $ 23,003 $ (6,101) $ 16,902 Tradenames 15,129 (3,043) 12,086 Technology 9,066 (2,336) 6,730 Other 34 (34) - Total $ 47,232 $ (11,514) $ 35,718 Other intangible assets, net at December 31, 2016 include customer lists, tradenames and technology of $18,083 , $13,554 and $7 ,364 , respectively, related to the PST segment with the remaining amounts related to the Electronics segment. The Company recognized $3,259 , $3,445 and $ 4,784 of amortization expense in 2016, 2015 and 2014, respectively. Amortization expense is included as a component of selling, general and administrative on the consolidated statements of operations. Annual a mortization expense for intangible assets is estimated to be approximately $3,200 for the years 2017 through 202 1 . The weighted-average remaining amortization period is approximately 12 years. |
Accrued Expenses and Other Current Liabilities | Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consist of the following: As of December 31 2016 2015 Compensation related liabilities $ 16,329 $ 17,878 Product warranty and recall obligations 6,727 4,446 Other (A) 18,433 16,596 Total accrued expenses and other current liabilities $ 41,489 $ 38,920 (A) “Other” is comprised of miscellaneous accruals, none of which individually contributed a significant portion of the total. |
Income Taxes | Income Taxes The Company accounts for income taxes using the liability method. Deferred income taxes reflect the tax consequences on future years of differences between the tax basis of assets and liabilities and their financial reporting amounts. Future tax benefits are recognized to the extent that reali zation of such benefits is more likely than not to occur. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in the period that includes the enactment date. Deferred tax assets are recognized to the ex tent that these assets are more likely than not to be realized (See Note 5). In making such a determination, the Company considers all available positive and negative evidence, including future r elease of existing taxable temporary differences, projected future taxable income, tax planning strategies, and results of recent operations. R elease of some or all of a valuation allowance would result in the recognition of certain deferred tax assets and a decrease to income tax expense for the period the r elease is recorded. The Company's policy is to provide for uncertain tax positions and the related interest and penalties based upon management's assessment o f whether a tax benefit is more likely than not to be sustained upon examination by tax authorities . To the extent the Company prevails in matters for which a liability for an unrecognized tax benefit is established or is required to pay amounts in excess of the liability, the Company's effective tax rate in a given financial statement period may be affected. |
Currency Translation | Currency Translation The financial statements of foreign subsidiaries, where the local currency is the functional currency, are translated into U.S. dollars using exchange rates in effect at the period end for assets and liabilities and average exchange rates during each reporting period for the results of operations. Adjustments resulting from translation of financial statements are reflected as a component of accumulated other comprehensive loss in the Company’s consolidated balance sheets. Foreign currency transactions are remeasured into the functional currency using translation rates in effect at the time of the transaction with the resulting adjustments included on the consolidated statements of operations within other expense, net. These foreign currency transaction (gains) losses, including the impact of hedging activities, were $(268) , $1,693 and $1,212 for the years ended December 31, 2016, 2015 and 2014, respectively. |
Revenue Recognition and Sales Commitments | Revenue Recognition and Sales Commitments The Company recognizes revenues from the sale of products, net of actual and estimated returns, at the point of passage of title, which is either at the time of shipment or upon customer receipt based upon the terms of the sale. The Company recognizes monitoring service revenues as the services are provided to customers. The Company collects certain taxes and fees on behalf of government agencies and remits such collections on a periodic basis. The taxes are collected from customers but are not included in net sales. Estimated returns are based on historical authorized returns. The Company often enters into agreements with its customers at the beginning of a given vehicle’s expected production life. Once such agreements are entered into, it is the Company’s obligation to fulfill the customers’ purchasing requirements for the entire production life of the vehicle. These agreements are subject to potential renegotiation from time to time, which may affect product pricing. |
Shipping and Handling Costs | Shipping and Handling Costs Shipping and handling costs are included in cost of goods sold on the consolidated statements of operations. |
Product Warranty and Recall Reserves | Product Warranty and Recall Reserves Amounts accrued for product warranty and recall claims are established based on the Company's best estimate of the amounts necessary to settle existing and future claims on products sold as of the balance sheet dates. These accruals are based on several factors including past experience, production changes, industry developments and various other considerations including insurance coverage. The Company can provide no assurances that it will not experience material claims or that it will not incur significant costs to defend or settle such claims beyond the amounts accrued or beyond what the Company may recover from its suppliers. The current portion of the product warranty and recall reserve is included as a component of accrued expenses and other current liabilities on the consolidated balance sheets. Product warranty and recall includes $2,617 and $1,973 of a long-term liability at December 31, 2016 and 2015, respectively, which is included as a component of other long-term liabilities on the consolidated balance sheets. The following provides a reconciliation of changes in the product warranty and recall reserve: Years ended December 31 2016 2015 Product warranty and recall at beginning of period $ 6,419 $ 7,601 Accruals for products shipped during period 4,999 4,609 Aggregate changes in pre-existing liabilities due to claim developments (116) (156) Settlements made during the period (1,958) (5,635) Product warranty and recall at end of period $ 9,344 $ 6,419 |
Design and Development Costs | Design and Development Costs Expenses associated with the development of new products, and changes to existing products are charged to expense as incurred, and are included in the Company’s consolidated statements of operations as a separate component of costs and expenses. These product development costs amounted to $40,212 , $38,792 and $41,609 for the years ended December 31, 2016, 2015 and 2014, respectively, or 5.8% , 6.0% and 6.3% of net sales for these respective periods. |
Research and Development Activities | Research and Development Activities The Company’s Electronics and Control Devices segment s enter into research and development contracts with certain customers, which generally provide for reimbursement of costs. The Company incurred and was reimbursed for contracted research and development costs of $12, 764 , $9,659 and $12,319 for the years ended December 31, 2016, 2015 and 2014, respectively. |
Share-Based Compensation | Share-Based Compensation At December 31, 2016, the Company had two types of share-based compensation plan s: (1) Long-Term Incentive Plan for employees and (2) the Amended Directors’ Restricted Shares Plan, for non-employee directors. The Long-Term Incentive Plan is made up of the Long-Term Incentive Plan which expired on June 30, 2007 , the Amended and Restated Long-Term Incentive Plan, as amended, which expired on April 24, 2016 and the 2016 Long-Term Incentive Plan that was approved by shareholders on May 10, 2016, and expires on May 10, 2026 . Total compensation expense recognized as a component of selling, general and administrative expense on the consolidated statements of operations for share-based compensation arrangements was $6,134 , including $545 related to the modification of the retirement notice provisions of certain awards, $7,224 , including $2,225 from the accelerated vesting in connection with the retirement of the Company’s former President and Chief Executive Officer , and $5,406 for the years ended December 31, 2016, 2015 and 2014, respectively. Of these amounts, $(117) , $828 and $243 for the years ended December 31, 2016, 2015 and 2014, respectively, were related to the Long-Term Cash Incentive Plan “Phantom Shares” discussed in Note 8. There was no share-based compensation expense capitalized in inventory during 2016, 2015 or 2014. |
Financial Instruments and Derivative Financial Instruments | Financial Instruments and Derivative Financial Instruments Financial instruments, including derivative financial instruments, held by the Company include cash and cash equivalents, accounts receivable, accounts payable, long-term debt, an interest rate swap, fixed price commodity contracts and foreign currency forward contracts. The carrying value of cash and cash equivalents, accounts receivable and accounts payable is considered to be representative of fair value because of the short maturity of these instruments. See Note 9 for fair value disclosures of the Company’s financial instruments. |
Common Shares Held in Treasury | Common Shares Held in Treasury The Company accounts for Common Shares held in treasury under the cost method (applied on a FIFO basis) and includes such shares as a reduction of total shareholders’ equity. |
Earnings (Loss) Per Share | Earnings (Loss) Per Share Basic earnings (loss) per share was computed by dividing net income attributable to Stoneridge Inc. by the weighted-average number of Common Shares outstanding for each respective period. Diluted earnings (loss) per share was calculated by dividing net income (loss) attributable to Stoneridge, Inc. by the weighted-average of all potentially dilutive Common Shares that were outstanding during the periods presented. However, for all periods in which the Company recognized a net loss from continuing operations, the Company did not recognize the effect of the potential dilutive securities as their inclusion would have been anti-dilutive. Actual weighted-average Common Shares outstanding used in calculating basic and diluted net income (loss) per share were as follows: Years ended December 31 2016 2015 2014 Basic weighted-average Common Shares outstanding 27,763,990 27,337,954 26,923,809 Effect of dilutive shares 544,932 621,208 - Diluted weighted-average Common Shares outstanding 28,308,922 27,959,162 26,923,809 There were 0 , 134,250 and 466,650 performance-based restricted Common Shares outstanding at December 31, 2016, 2015 and 2014, respectively. There were also 843,140 , 573,885 and 374,400 performance-based right to receive Common Shares outstanding at December 31, 2016, 2015 and 2014. These performance-based restricted and right to receive Common Shares are included in the computation of diluted earnings per share based on the number of Common Shares that would be issuable if the end of the year were the end of the contingency period. Restricted and right to receive Common Shares were not included in the computation of diluted earnings per share for the year ended December 31, 2014 as the Company had a net loss from continuing operations that year, and as such they would have be en anti-dilutive. |
Deferred Finance Costs, net | Deferred Financing Costs, net Deferred financing costs are amortized over the life of the related financial instrument using the straight-line method, which approximates the effective interest method. The 2.5% discount to the initial purchasers of the Company’s senior notes was accreted using the effective interest rate of 10.0% through October 18, 2014, the date the senior notes were redeemed. During 2014, the Company redeemed the senior notes resulting in the acceleration of the remaining deferred financing costs of $597 which were included in loss on early extinguishment of debt in the statement of operations in 2014. Deferred finance cost amortization and debt discount accretion for the years ended December 31, 2016, 2015 and 2014 was $355 , $388 and $850 , respectively, and is included as a component of interest expense, net in the consolidated statements of operations. As permitted by the ASU, the Company has elected to continue to present deferred financing costs related to the Credit Facility within long-term assets in the Company’s consolidated balance sheets. De ferred financing costs, net, were $1,471 and $ 1,428 , a s of December 31, 2016 and 2015 , respectively . |
Changes in Accumulated Other Comprehensive Loss by Component | Changes in Accumulated Other Comprehensive Loss by Component Changes in accumulated other comprehensive loss for the years ended December 31, 2016 and 2015 were as follows: Foreign Unrealized Benefit currency gain (loss) plan translation on derivatives liability Total Balance at January 1, 2016 $ (70,296) $ 390 $ 84 $ (69,822) Other comprehensive income (loss) before reclassifications 2,401 (572) - 1,829 Amounts reclassified from accumulated other comprehensive loss - 164 (84) 80 Net other comprehensive income (loss), net of tax 2,401 (408) (84) 1,909 Balance at December 31, 2016 $ (67,895) $ (18) $ - $ (67,913) Balance at January 1, 2015 $ (45,603) $ 1 $ 129 $ (45,473) Other comprehensive loss before reclassifications (24,693) (671) (45) (25,409) Amounts reclassified from accumulated other comprehensive loss - 1,060 - 1,060 Net other comprehensive income (loss), net of tax (24,693) 389 (45) (24,349) Balance at December 31, 2015 $ (70,296) $ 390 $ 84 $ (69,822) |
Recently Issued Accounting Standards | Recently Issued Accounting Standards Not Yet Adopted as of December 31, 2016 In January 2017, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2017-04, "Simplifying the Test for Goodwill Impairment." It eliminates Step 2 from the goodwill impairment test and an entity should recognize an impairment charge for the amount by which the carrying amount of goodwill exceeds the reporting unit's fair value, not to exceed the carrying amount of goodwill. This guidance is effective for annual and any interim impairment tests in fiscal years beginning after December 15, 2019. The Company does not expect this standard to have any impact on its consolidated financial statements. In January 2017, the FASB also issued ASU 2017-01, "Clarifying the Definition of a Business. It revises the definition of a business and provides a framework to evaluate when an input and a substantive process are present in an acquisition to be considered a business. This guidance is effective for annual periods beginning after December 15, 2017. The Company expects to adopt this standard as of January 1, 2018, which is not expected to have any impact on its consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, “ Statement of Cash Flows - Classification of Certain Cash Receipts and Cash Payments (Topic 230)” which provides guidance on the presentation and classification of certain cash receipts and cash payments in the statement of cash flows in order to reduce diversity in practice. The ASU is effective for interim and annual periods beginning after December 15, 2017 with early adoption permitted. The Company is currently evaluating the impact of adopting this standard on its consolidated financial statements. In March 2016, the FASB issued Accounting Standards Update ASU 2016-09, “Compensation - Stock Compensation (Topic 718)” which is intended to simplify several aspects of the accounting for share-based payment award transactions including how excess tax benefits should be classified in the Company’s consolidated financial statements. The new standard simplifies the treatment of share based payment transactions by recognizing the impact of excess tax benefits or deficiencies related to exercised or vested awards in income tax expense in the period of exercise or vesting. The new standard also modifies the diluted earnings per share calculation using the treasury stock method by eliminating the excess tax benefits or deficiencies from the calculation. These changes will be recognized prospectively. The new standard also permits companies to recognize forfeitures as they occur as an alternative to utilizing estimated forfeitures rates which has been the required practice. The presentation of excess tax benefits in the statement of consolidated cash flows is also modified to be included with other income tax cash flows as an operating activity. The change can be adopted using a prospective or retrospective transition method. The new standard clarifies that cash paid by an employer when directly withholding shares for tax withholding purposes should be presented as a financing activity in the statement of consolidated cash flows and should be applied retrospectively. The new accounting standard will be effective for fiscal years beginning after December 15, 2016, including interim periods within that year. T he Company had unrecognized tax benefits related to s hare-based payment awards of $1,700 as of December 31, 2016 . Upon adoption, this amount will be recorded to other long-term assets with a corresponding increase to retained earnings associated with the cumulative effect of the accounting change. In February 2016, the FASB issued ASU 2016 – 02, “Leases (Topic 842)”, which will require that a lessee recognize assets and liabilities on the balance sheet for all leases with a lease term of more than twelve months, with the result being the recognition of a right of use asset and a lease liability. The amendment is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. The Company expects to adopt this standard as of January 1, 2019. The Company is currently evaluating the impact of adopting this standard on its consolidated financial statements, which will require right of use assets and lease liabilities be recorded in the consolidated balance sheet for operating leases. In July 2015, the FASB issued ASU 2015-11 “Simplifying the Measurement of Inventory” which requires that inventory be measured at the lower of cost or net realizable value. Prior to the issuance of the new guidance, inventory was measured at the lower of cost or market. Replacing the concept of market with the single measurement of net realizable value is intended to reduce cost and complexity. The new accounting standard is effective for fiscal years beginning after December 15, 2016. The Company will adopt this standard as of January 1, 2017, which is not expected to have a material impact on the Company’s consolidated financial statements or disclosures. In May 2014, the FASB issued ASU 2014-09 “Revenue from Contracts with Customers,” which is the new comprehensive revenue recognition standard that will supersede existing revenue recognition guidance under U.S. GAAP. The standard's core principle is that a company will recognize revenue when it transfers promised goods or services to a customer in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. To achieve this principle, an entity identifies the contract with a customer, identifies the separate performance obligations in the contract, determines the transaction price, allocates the transaction price to the separate performance obligations and recognizes revenue when each separate performance obligation is satisfied. This ASU allows for both retrospective and prospective methods of adoption. In July 2015, the FASB approved a one-year deferral of the effective date of the standard. As such, the new standard will become effective for annual and interim periods beginning after December 15, 2017 with early adoption on the original effective date permitted. The Company is currently evaluating the impact of adopting this standard on its consolidated financial statements , and anticipate testing our new controls and processes designed to comply with the standard in 2017 to permit the Company’s adoption on January 1, 2018. The Company anticipates changes to revenue recognition of pre-production activities such as customer funded tooling and engineering design and development cost recoveries, including the potential recording of these as revenue. Recently Adopted Accounting Standards In September 2015, the FASB issued ASU 2015- 16, “Business Combinations,” which simplifies the accounting for measurement-period adjustments related to business combinations. ASU 2015-16 requires that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. The amendments in the ASU require that the acquirer record, in the same period’s financial statements, the effect on earnings of changes in depreciation, amortization, or other income effects, if any, as a result of the change to the provisional amounts, calculated as if the accounting had been completed at the acquisition date. The Company adopted this standard as of January 1, 2016, and was applied prospectively. The adoption did not have a material impact on the Company’s consolidated financial statements or disclosures. In November 2015, the FASB issued ASU 2015- 17, “Income Taxes (Topic 740),” which simplifies the presentation of deferred income taxes. Under previous guidance, entities were required to separate deferred income tax liabilities and assets into current and noncurrent amounts in the balance sheet on a jurisdiction by jurisdiction basis . ASU 2015-17 requires that all deferred income taxes be classified as noncurrent in the balance sheet. The Company adopted this standard in 2016 and applied it prospectively. As such, all deferred tax assets and liabilities have been classified as non-current in the balance sheet at December 31, 2016. See Note 5 for additional information regarding deferred tax assets and liabilities |
Summary of Significant Accoun25
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Summary of Significant Accounting Policies [Abstract] | |
Schedule of Accounts Receivable and Concentration of Credit Risk | The Company’s largest customers are Ford Motor Company, General Motors Company and Scania Group, primarily related to the Control Devices and Electronics reportable segments and accounted for the following percentages of consolidated net sales for the years ended December 31, 2016, 2015 and 2014: 2016 2015 2014 Ford Motor Company 17 % 14 % 11 % General Motors Company 7 % 5 % 5 % Scania Group 6 % 7 % 8 % |
Schedule of Inventory, Current | Inventories consist of the following: As of December 31 2016 2015 Raw materials $ 35,665 $ 36,021 Work-in-progress 7,483 7,162 Finished goods 16,969 17,826 Total inventories, net $ 60,117 $ 61,009 |
Statements of Operations for Discontinued Operations | The following tables display summarized activity in our consolidated statements of operations for discontinued operations during the years ended December 31, 2015 and 2014, related to the Wiring business. There were no discontinued operations for the year ended December 31, 2016. Years ended December 31 2015 2014 (A) Net sales $ - $ 167,434 Cost of goods sold (C) - 154,787 Selling, general and administrative (C) - 12,697 Interest expense, net - 69 Other expense (income), net - (58) Loss from operations of discontinued operations before income taxes (C) - (61) Income tax expense on discontinued operations - (750) Loss from discontinued operations, net of tax - (811) Loss on disposal (B) $ (241) $ (6,955) Income tax expense on gain (loss) on disposal (D) 31 (1,621) Loss on disposal, net of tax (210) (8,576) Loss from discontinued operations $ (210) $ (9,387) (A) The operations of the Wiring business were presented only for the seven months ended July 31, 2014 because the sale was completed on August 1, 2014. (B) Included in loss on disposal for the years ended December 31, 2015 and 2014 were transaction costs of $223 and $1,384 , respectively. The loss on disposal also includes a working capital and other adjustments of $18 for the year ended December 31, 2015. In addition, the loss on disposal included $2,734 in previously deferred foreign currency translation for the year ended December 31, 2014. (C) The assets and liabilities of the Wiring business were reclassified as held for sale effective May 26, 2014. Accordingly, depreciation and amortization for the related Wiring assets were not recorded after that date. (D) Gains and losses from foreign currency remeasurement related to income taxes were included as a component of income tax (expense) benefit. Years ended December 31 2014 Depreciation and amortization $ 2,111 Capital expenditures 1,238 |
Property, Plant and Equipment | Property, plant and equipment are recorded at cost and consist of the following: As of December 31 2016 2015 Land and land improvements $ 3,376 $ 3,538 Buildings and improvements 32,271 32,904 Machinery and equipment 180,944 160,721 Office furniture and fixtures 6,813 6,541 Tooling 67,261 68,101 Information technology 23,632 24,035 Vehicles 398 422 Leasehold improvements 2,583 2,581 Construction in progress 16,854 23,914 Total property, plant, and equipment 334,132 322,757 Less: accumulated depreciation (242,632) (237,493) Property, plant and equipment, net $ 91,500 $ 85,264 |
Schedule of Property, Plant and Equipment Estimated Useful Lives | Depreciable lives within each property classification are as follows: Buildings and improvements 10 -40 years Machinery and equipment 3 -10 years Office furniture and fixtures 3 -10 years Tooling 2 -5 years Information technology 3 -5 years Vehicles 3 -5 years Leasehold improvements shorter of lease term or 3-10 years |
Schedule of Goodwill | Goodwill and changes in the carrying amount of goodwill by segment for the year then ended December 31, 2014 was as follows: Electronics PST Total Balance at January 1, 2014 $ 604 $ 53,744 $ 54,348 Acquisition of aftermarket business 664 - 664 Goodwill impairment - (51,458) (51,458) Currency translation (190) (2,286) (2,476) Balance at December 31, 2014 $ 1,078 $ - $ 1,078 |
Schedule of Acquired Finite-Lived Intangible Assets by Major Class | Other Intangible Assets Other intangible assets, net at December 31, 2016 and 2015 consisted of the following: Acquisition Accumulated As of December 31, 2016 cost amortization Net Customer lists $ 27,476 $ (9,138) $ 18,338 Tradenames 18,116 (4,558) 13,558 Technology 10,862 (3,498) 7,364 Other 41 (41) - Total $ 56,495 $ (17,235) $ 39,260 Acquisition Accumulated As of December 31, 2015 cost amortization Net Customer lists $ 23,003 $ (6,101) $ 16,902 Tradenames 15,129 (3,043) 12,086 Technology 9,066 (2,336) 6,730 Other 34 (34) - Total $ 47,232 $ (11,514) $ 35,718 |
Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities consist of the following: As of December 31 2016 2015 Compensation related liabilities $ 16,329 $ 17,878 Product warranty and recall obligations 6,727 4,446 Other (A) 18,433 16,596 Total accrued expenses and other current liabilities $ 41,489 $ 38,920 (A) “Other” is comprised of miscellaneous accruals, none of which individually contributed a significant portion of the total. |
Schedule of Product Warranty Liability | The following provides a reconciliation of changes in the product warranty and recall reserve: Years ended December 31 2016 2015 Product warranty and recall at beginning of period $ 6,419 $ 7,601 Accruals for products shipped during period 4,999 4,609 Aggregate changes in pre-existing liabilities due to claim developments (116) (156) Settlements made during the period (1,958) (5,635) Product warranty and recall at end of period $ 9,344 $ 6,419 |
Schedule of Weighted-Average Number of Shares | Actual weighted-average Common Shares outstanding used in calculating basic and diluted net income (loss) per share were as follows: Years ended December 31 2016 2015 2014 Basic weighted-average Common Shares outstanding 27,763,990 27,337,954 26,923,809 Effect of dilutive shares 544,932 621,208 - Diluted weighted-average Common Shares outstanding 28,308,922 27,959,162 26,923,809 |
Changes in Accumulated Other Comprehensive Loss by Component | Changes in accumulated other comprehensive loss for the years ended December 31, 2016 and 2015 were as follows: Foreign Unrealized Benefit currency gain (loss) plan translation on derivatives liability Total Balance at January 1, 2016 $ (70,296) $ 390 $ 84 $ (69,822) Other comprehensive income (loss) before reclassifications 2,401 (572) - 1,829 Amounts reclassified from accumulated other comprehensive loss - 164 (84) 80 Net other comprehensive income (loss), net of tax 2,401 (408) (84) 1,909 Balance at December 31, 2016 $ (67,895) $ (18) $ - $ (67,913) Balance at January 1, 2015 $ (45,603) $ 1 $ 129 $ (45,473) Other comprehensive loss before reclassifications (24,693) (671) (45) (25,409) Amounts reclassified from accumulated other comprehensive loss - 1,060 - 1,060 Net other comprehensive income (loss), net of tax (24,693) 389 (45) (24,349) Balance at December 31, 2015 $ (70,296) $ 390 $ 84 $ (69,822) |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt [Abstract] | |
Schedule of Debt | Interest rates at December 31, December 31, December 31, 2016 2015 2016 Maturity Revolving Credit Facility Credit facility $ 67,000 $ 100,000 2.00% September 2021 Debt PST short-term obligations 5,097 11,556 4.27% - 20.33% 2017 PST long-term notes 11,452 6,428 7.5% - 19.00% 2017 - 2021 Other 137 379 Total debt 16,686 18,363 Less: current portion (8,626) (13,905) Total long-term debt, net $ 8,060 $ 4,458 |
Future Maturities of Long-Term Debt | At December 31, 2016, the future maturities of debt were as follows: Year ended December 31 2017 $ 8,626 2018 4,303 2019 2,604 2020 611 2021 67,542 Total $ 83,686 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Taxes [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The components of income (loss) before income taxes and the provision for income taxes consist of the following: Years ended December 31 2016 2015 2014 Income (loss) before income taxes: Domestic $ 35,088 $ 22,959 $ 1,635 Foreign 4,097 (2,729) (54,695) Total income (loss) before income taxes $ 39,185 $ 20,230 $ (53,060) Provision for income taxes: Current: Federal $ 760 $ 386 $ - State and foreign 2,575 1,232 1,382 Total current expense 3,335 1,618 1,382 Deferred: Federal (37,828) - - State and foreign (1,896) (2,165) (3,238) Total deferred benefit (39,724) (2,165) (3,238) Total income tax benefit $ (36,389) $ (547) $ (1,856) |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of the Company’s effective income tax rate to the statutory federal tax rate is as follows: Years ended December 31 2016 2015 2014 Statutory U.S. federal income tax rate 35.0 % 35.0 % (35.0) % State income taxes, net of federal tax benefit 1.9 0.2 - Tax credits (0.8) (2.8) (1.3) Foreign tax rate differential (4.7) (3.3) 0.2 Reduction (increase) of income tax accruals 0.1 (0.5) 0.2 Tax on foreign dividends, net of foreign tax credits - - (0.1) Reduction (increase) of deferred taxes (1.3) 5.5 - Valuation allowances (121.6) (36.0) (2.1) Loss of domestic flow-through entity not attributable to Stoneridge, Inc. - - 33.9 Non-deductible compensation - (1.5) 1.0 Other (1.4) 0.7 (0.3) Effective income tax rate (92.8) % (2.7) % (3.5) % |
Schedule of Deferred Tax Assets and Liabilities | Significant components of the Company’s deferred tax assets and liabilities were as follows: As of December 31 2016 2015 Deferred tax assets: Inventories $ 2,156 $ 2,108 Employee compensation and benefits 4,785 3,902 Insurance 245 281 Depreciation and amortization 1,310 1,297 Net operating loss carryforwards 28,952 39,846 General business credit carryforwards 14,135 12,990 Other reserves 7,609 5,643 Gross deferred tax assets 59,192 66,067 Less: Valuation allowance (11,125) (59,391) Deferred tax assets less valuation allowance 48,067 6,676 Deferred tax liabilities: Depreciation and amortization (14,911) (13,282) Basis difference - equity investee (31,016) (31,016) Other (1,358) (1,074) Gross deferred tax liabilities (47,285) (45,372) Net deferred tax asset (liability) $ 782 $ (38,696) |
Classification of Net Deferred Tax Assets and Liability | The balance sheet classification of our net deferred tax asset is shown below : Years ended December 31 2016 2015 Current deferred income tax assets - 1,239 Current deferred income tax liabilities - (39) Long-term deferred income tax assets 10,542 1,436 Long-term deferred income tax liabilities (9,760) (41,332) Net deferred tax asset $ 782 $ (38,696) |
Summary of Income Tax Contingencies | The following is a reconciliation of the Company’s total gross unrecognized tax benefits: 2016 2015 2014 Balance as of January 1 $ 4,304 $ 3,888 $ 3,624 Tax positions related to the current year: Additions 208 201 217 Tax positions related to the prior years: Additions - 523 168 Reductions (61) - - Expirations of statutes of limitation (612) (308) (121) Balance as of December 31 $ 3,839 $ 4,304 $ 3,888 |
Schedule of Tax Years Open for Examination | The following table summarizes the open tax years for each important jurisdiction: Jurisdiction Open Tax Years U.S. Federal 2013 - 2016 Brazil 2011 - 2016 China 2013 - 2016 France 2012 - 2016 Mexico 2012 - 2016 Spain 2012 - 2016 Sweden 2011 - 2016 United Kingdom 2012 - 2016 |
Operating Lease Commitments (Ta
Operating Lease Commitments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Operating Lease Commitments [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases | Future minimum operating lease commitments as of December 31, 2016 were as follows: Year ended December 31 2017 $ 5,042 2018 3,922 2019 3,356 2020 2,584 2021 2,298 Thereafter 6,176 Total $ 23,378 |
Share-Based Compensation Plans
Share-Based Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Share-Based Compensation Plans [Abstract] | |
Schedule of the Allocation of Performance Shares Between Total Shareholder Return and Earnings per Share | The allocation of performance shares between total shareholder return and earnings per share were as follows for the years ended December 31: 2016 2015 2014 Total shareholder return 55 % 36 % 20 % Earnings per share 45 % 64 % 80 % |
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award | A summary of the status of the Company’s non-vested share units as of December 31, 2016 and the changes during the year then ended, are presented below: Time-based awards Performance-based awards Weighted- Weighted- Common average grant- Common average grant- Shares date fair value Shares date fair value Non-vested as of December 31, 2015 731,241 $ 9.45 712,485 $ 10.70 Granted 250,227 $ 13.52 269,255 $ 13.66 Vested (339,963) $ 7.07 (131,033) $ 7.58 Forfeited (29,468) $ 11.82 (25,567) $ 11.30 Non-vested as of December 31, 2016 612,037 $ 12.32 825,140 $ 12.14 |
Financial Instruments and Fai30
Financial Instruments and Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Financial Instruments and Fair Value Measurements [Abstract] | |
Notional Amounts and Fair Values of Derivative Instruments in the Consolidated Balance | The notional amounts and fair values of derivative instruments in the consolidated balance sheets were as follows: Notional Prepaid expenses Accrued expenses and amounts (A) and other current assets other current liabilities December 31, December 31, December 31, 2016 2015 2016 2015 2016 2015 Derivatives designated as hedging instruments: Cash flow hedges: Forward currency contracts $5,699 $22,208 $ - $474 $28 $84 Derivatives not designated as hedging instruments: Forward currency contracts $1,601 $1,647 $ - $ - $3 $9 (A) Notional amounts represent the gross contract / notional amount of the derivatives outstanding. |
Amounts Recorded for the Cash Flow Hedges in Other Comprehensive Income (Loss) in Shareholders' Equity and in Net Income | Gross amounts recorded for the cash flow hedges in other comprehensive loss in shareholders’ equity and in net income (loss) for the years ended December 31 were as follows: Loss recorded Loss reclassified from in other comprehensive other comprehensive income income (loss) (loss) into net income (loss) 2016 2015 2014 2016 2015 2014 Derivatives designated as cash flow hedges: Forward currency contracts $ (582) $ (671) (46) $ (164) $ (1,060) (310) Fixed price commodity contracts - - (408) - - (256) Total derivatives designated as cash flow hedges $ (582) $ (671) (454) $ (164) $ (1,060) (566) |
Restructuring and Business Re31
Restructuring and Business Realignment (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Restructuring and Business Realignment [Abstract] | |
Schedule of Restructuring and Related Costs | The expenses for the restructuring activities that relate to the Electronics reportable segment include the following: 2016 2015 2014 Accrued balance at January 1 $ 458 $ 733 $ 780 Charge to expense 59 183 494 Foreign currency translation (69) 3 (45) Cash payments, net (175) (461) (496) Accrued balance at December 31 $ 273 $ 458 $ 733 |
Schedule of Restructuring Reserve by Type of Cost | Business realignment charges by reportable segment were as follows: Years ended December 31 2016 2015 2014 Electronics (A) $ 1,180 $ 317 $ - PST (B) 1,437 403 1,578 Unallocated Corporate (C) - 309 - Total business realignment charges $ 2,617 $ 1,029 $ 1,578 (A) Severance costs for the year ended December 31, 2016 related to selling, general and administrat ive (“SG&A”) and design and development (“D&D”) were $196 and $984 , respectively. Severance costs for the year ended December 31, 2015 related to SG&A and D&D were $102 and $215 , respectively. (B) Severance costs for the year ended December 31, 2016 related to cost of goods sold (“COGS”), SG&A and D&D were $437 , $884 and $116 , respectively. Severance costs for the year ended December 31, 2015 related to COGS, SG&A and D&D were $172 , $117 and $114 , respectively. Severance costs for year ended December 31, 2014 related to COGS, SG&A and D&D were $847 , $559 and $172 , respectively. (C) Severance costs for the year then ended December 31, 2015 related to SG&A were $309 . Business realignment charges classified by statement of operations line item were as follows: Years ended December 31 2016 2015 2014 Cost of goods sold $ 437 $ 172 $ 847 Selling, general and administrative 1,080 528 559 Design and development 1,100 329 172 Total business realignment charges $ 2,617 $ 1,029 $ 1,578 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | A summary of financial information by reportable segment is as follows: Years ended December 31 2016 2015 2014 Net Sales: Control Devices $ 408,132 $ 333,010 $ 306,658 Inter-segment sales 1,826 2,055 3,080 Control Devices net sales 409,958 335,065 309,738 Electronics 205,256 216,544 214,141 Inter-segment sales 33,361 22,904 35,163 Electronics net sales 238,617 239,448 249,304 PST 82,589 95,258 139,780 Inter-segment sales - - - PST net sales 82,589 95,258 139,780 Eliminations (35,187) (24,959) (38,243) Total net sales $ 695,977 $ 644,812 $ 660,579 Operating Income (Loss): Control Devices $ 61,815 $ 44,690 $ 35,387 Electronics 14,798 13,784 17,444 PST (3,462) (7,542) (59,587) Unallocated Corporate (A) (29,069) (23,117) (19,067) Total operating income (loss) $ 44,082 $ 27,815 $ (25,823) Depreciation and Amortization: Control Devices $ 10,276 $ 9,260 $ 9,545 Electronics 3,971 3,666 4,432 PST 8,559 9,272 12,998 Unallocated Corporate 452 211 130 Total depreciation and amortization (B) $ 23,258 $ 22,409 $ 27,105 Interest Expense, net: Control Devices $ 226 $ 326 $ 303 Electronics 142 161 695 PST 3,396 2,957 2,764 Unallocated Corporate 2,513 2,921 13,118 Total interest expense, net $ 6,277 $ 6,365 $ 16,880 Capital Expenditures: Control Devices $ 13,261 $ 15,094 $ 13,658 Electronics 5,665 6,538 3,541 PST 3,213 5,889 6,161 Unallocated Corporate (C) 2,337 1,214 156 Total capital expenditures $ 24,476 $ 28,735 $ 23,516 December 31, December 31, 2016 2015 Total Assets: Control Devices $ 150,623 $ 127,649 Electronics 99,964 97,443 PST 107,405 100,143 Corporate (C) 287,031 288,806 Eliminations (250,494) (249,789) Total assets $ 394,529 $ 364,252 (A) Unallocated Corporate expenses include, among other items, accounting, finance, legal, information technology costs as well as share-based compensation. (B) These amounts represent depreciation and amortization on property, plant and equipment and certain intangible assets. (C) Corporate assets consist primarily of cash, intercompany loan receivables, capital expenditures for the new headquarter building, equity investments and investments in subsidiaries. |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas | The following table presents net sales and long-term assets for the geographic areas in which the Company operates: 2016 2015 2014 Net Sales: North America $ 428,046 $ 369,032 $ 330,516 South America 82,589 95,258 139,780 Europe and Other 185,342 180,522 190,283 Total net sales $ 695,977 $ 644,812 $ 660,579 December 31, December 31, 2016 2015 Long-term Assets: North America $ 73,835 $ 60,099 South America 63,497 56,943 Europe and Other 16,304 15,301 Total long-term assets $ 153,636 $ 132,343 |
Unaudited Quarterly Financial33
Unaudited Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Unaudited Quarterly Financial Data [Abstract] | |
Schedule of Quarterly Financial Information | The following is a summary of quarterly results of operations: Quarter ended 2016 December 31 September 30 June 30 March 31 Net sales $ 172,612 $ 173,846 $ 186,903 $ 162,616 Gross profit 47,779 49,748 52,751 45,161 Operating income 10,170 11,780 13,626 8,506 Income tax expense (benefit) from continuing operations (B) (39,503) 919 1,350 845 Income from continuing operations 48,489 9,981 10,995 6,109 Net income 48,489 9,981 10,995 6,109 Net income (loss) attributable to noncontrolling interests 122 (303) (576) (1,130) Net income attributable to Stoneridge, Inc. 48,367 10,284 11,571 7,239 Earnings per share from continuing operations attributable to Stoneridge, Inc.: Basic (A) $ 1.74 $ 0.37 $ 0.42 $ 0.26 Diluted (A) $ 1.70 $ 0.36 $ 0.41 $ 0.26 Earnings per share attributable to Stoneridge, Inc.: Basic (A) $ 1.74 $ 0.37 $ 0.42 $ 0.26 Diluted (A) $ 1.70 $ 0.36 $ 0.41 $ 0.26 Quarter ended 2015 December 31 September 30 June 30 March 31 Net sales $ 154,641 $ 162,057 $ 165,289 $ 162,825 Gross profit 42,239 45,145 45,946 43,648 Operating income 8,327 8,947 7,415 3,126 Income tax expense (benefit) from continuing operations (345) 32 (381) 147 Income from continuing operations 4,935 7,411 6,328 2,103 Income (loss) from discontinued operations (C) 16 (113) 55 (168) Net income 4,951 7,298 6,383 1,935 Net loss attributable to noncontrolling interests (1,133) (69) (596) (409) Net income attributable to Stoneridge, Inc. 6,084 7,367 6,979 2,344 Earnings per share from continuing operations attributable to Stoneridge, Inc.: Basic (A) $ 0.22 $ 0.27 $ 0.26 $ 0.10 Diluted (A) $ 0.22 $ 0.27 $ 0.25 $ 0.09 Earnings (loss) per share attributable to discontinued operations: Basic (A) $ 0.00 $ (0.01) $ 0.00 $ (0.01) Diluted (A) $ 0.00 $ (0.01) $ 0.00 $ (0.01) Earnings per share attributable to Stoneridge, Inc.: Basic (A) $ 0.22 $ 0.26 $ 0.26 $ 0.09 Diluted (A) $ 0.22 $ 0.26 $ 0.25 $ 0.08 (A) Earnings per share for the year may not equal the sum of the four historical quarters earnings per share due to changes in weighted-average basic and diluted shares outstanding. (B) The Company recorded the re lease of a valuation allo wance associated with its U.S. f ederal, certain state and foreign deferred tax assets for the year ended December 31, 2016. A gain (loss) on disposal of the Wiring business was recorded for the quarters ended March 31, 2015, June 30, 2015, September 30, 2015 and December 31, 2015 for $(168) , $55 , $(113) and $16, respectively |
Summary of Significant Accoun34
Summary of Significant Accounting Policies (Narrative) (Details) BRL in Thousands, $ in Thousands | Aug. 01, 2014USD ($) | May 26, 2014USD ($) | Dec. 31, 2016USD ($) | Sep. 30, 2016USD ($) | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Sep. 30, 2014USD ($) | Jun. 30, 2014USD ($) | Jul. 31, 2014USD ($) | Sep. 30, 2014USD ($) | Dec. 31, 2016BRLshares | Dec. 31, 2016USD ($) | Dec. 31, 2015BRL | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2011 | Dec. 31, 2016USD ($)shares | Dec. 31, 2015USD ($)shares | Dec. 31, 2014USD ($)shares | Oct. 18, 2014USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2010 | ||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Depreciation expense | $ 19,998 | $ 18,964 | $ 22,299 | ||||||||||||||||||||||||||
Loss on disposal, net of tax | $ 16 | $ (113) | $ 55 | $ (168) | (210) | (8,576) | |||||||||||||||||||||||
Less: income (loss) attributable to noncontrolling interest | $ 122 | $ (303) | $ (576) | $ (1,130) | (1,133) | (69) | (596) | (409) | (1,887) | (2,207) | (13,483) | ||||||||||||||||||
Preproduction costs related to long-term supply arrangements, costs capitalized | $ 6,859 | $ 9,405 | |||||||||||||||||||||||||||
Goodwill impairment charge (benefit) | 51,458 | ||||||||||||||||||||||||||||
Acquisition of business | 664 | ||||||||||||||||||||||||||||
Goodwill | $ 1,078 | 1,078 | $ 1,078 | $ 54,348 | |||||||||||||||||||||||||
Currency translation | (2,476) | ||||||||||||||||||||||||||||
Goodwill, ending balance | 1,078 | 1,078 | |||||||||||||||||||||||||||
Intangible assets, net | 39,260 | 35,718 | |||||||||||||||||||||||||||
Amortization | $ 3,259 | 3,445 | 4,784 | ||||||||||||||||||||||||||
Amortization expense next year | 3,200 | ||||||||||||||||||||||||||||
Amortization expense year two | 3,200 | ||||||||||||||||||||||||||||
Amortization expense year three | 3,200 | ||||||||||||||||||||||||||||
Amortization expense year four | 3,200 | ||||||||||||||||||||||||||||
Amortization expense year five | 3,200 | ||||||||||||||||||||||||||||
Intangible assets, weighted-average remaining amortization period, years | 12 years | 12 years | |||||||||||||||||||||||||||
Valuation allowance | 11,125 | 59,391 | |||||||||||||||||||||||||||
Design and development expense | $ 40,212 | $ 38,792 | $ 41,609 | ||||||||||||||||||||||||||
Design and development expense percentage | 5.80% | 5.80% | 6.00% | 6.00% | 6.30% | ||||||||||||||||||||||||
Research and development expense reimbursed | $ 12,764 | $ 9,659 | $ 12,319 | ||||||||||||||||||||||||||
Share-based compensation expense | 6,134 | 7,224 | 5,406 | ||||||||||||||||||||||||||
Share-based compensation expense capitalized as inventory | 0 | 0 | 0 | ||||||||||||||||||||||||||
Share-based compensation vested in period, fair value | 5,394 | 9,101 | 3,509 | ||||||||||||||||||||||||||
Amortization of financing costs | 355 | 388 | 850 | ||||||||||||||||||||||||||
Deferred financing costs, net | 1,471 | 1,428 | $ 597 | ||||||||||||||||||||||||||
Cumulative goodwill impairment | 300,083 | 300,083 | |||||||||||||||||||||||||||
Goodwill impairment loss (gain) attributable to noncontrolling interest | 6,142 | ||||||||||||||||||||||||||||
Product warranty and recall accrual | 2,617 | 1,973 | |||||||||||||||||||||||||||
Inventory amount, FIFO | 37,765 | 35,378 | |||||||||||||||||||||||||||
Inventory amount, weighted average cost | 22,352 | 25,631 | |||||||||||||||||||||||||||
Foreign currency transaction gain (loss) | 268 | (1,693) | (1,212) | ||||||||||||||||||||||||||
Post-disposition sales to Wiring | 19,766 | 26,952 | 12,230 | ||||||||||||||||||||||||||
Post-disposition purchases from Wiring | 425 | 689 | 269 | ||||||||||||||||||||||||||
Sales | 172,612 | $ 173,846 | $ 186,903 | $ 162,616 | 154,641 | $ 162,057 | $ 165,289 | $ 162,825 | 695,977 | 644,812 | 660,579 | ||||||||||||||||||
Cost of sales | 500,538 | 467,834 | 469,705 | ||||||||||||||||||||||||||
Unrecognized tax benefits related to share-based payment awards | 1,700 | ||||||||||||||||||||||||||||
Selling, General and Administrative Expenses [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Share-based compensation expense | 6,134 | 5,406 | |||||||||||||||||||||||||||
CEO Retirement Additional Expense [Member] | Selling, General and Administrative Expenses [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Additional stock compensation expense in connection with retirement of former President and CEO | 2,225 | ||||||||||||||||||||||||||||
Share-based compensation expense | 7,224 | ||||||||||||||||||||||||||||
Prepaid Expenses and Other Current Assets [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Preproduction costs related to long-term supply arrangements, costs capitalized | 6,446 | ||||||||||||||||||||||||||||
Investments and Other Long Term Assets [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Preproduction costs related to long-term supply arrangements, costs capitalized | 9,405 | ||||||||||||||||||||||||||||
Noncontrolling interest | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Less: income (loss) attributable to noncontrolling interest | (1,887) | (2,207) | (13,483) | ||||||||||||||||||||||||||
Electronics [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Acquisition of business | 664 | ||||||||||||||||||||||||||||
Goodwill | 931 | 981 | 1,078 | 931 | 981 | 1,078 | 931 | $ 981 | 1,078 | 604 | |||||||||||||||||||
Currency translation | (50) | (97) | (190) | ||||||||||||||||||||||||||
Goodwill, ending balance | $ 931 | $ 981 | 1,078 | 931 | 981 | 1,078 | |||||||||||||||||||||||
Wiring [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Predisposition intercompany sales | $ 17,448 | ||||||||||||||||||||||||||||
Predisposition intercompany purchases | $ 4,025 | ||||||||||||||||||||||||||||
PST [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Accounts receivable sold | BRL 53,886 | 15,297 | BRL 24,994 | 6,401 | |||||||||||||||||||||||||
Gain (loss) on sale of accounts receivable | (1,615) | (459) | (540) | (156) | |||||||||||||||||||||||||
Proceeds from sale of accounts receivable | 52,271 | 14,838 | BRL 24,454 | 6,245 | |||||||||||||||||||||||||
Remaining credit exposure | BRL 3,476 | $ 1,067 | |||||||||||||||||||||||||||
Goodwill impairment charge (benefit) | 27,960 | $ 29,300 | $ 23,498 | 51,458 | |||||||||||||||||||||||||
Reduction of goodwill impairment | $ 5,802 | ||||||||||||||||||||||||||||
Goodwill | $ 53,744 | ||||||||||||||||||||||||||||
Currency translation | (2,286) | ||||||||||||||||||||||||||||
Goodwill, ending balance | |||||||||||||||||||||||||||||
Goodwill impairment loss (gain) attributable to noncontrolling interest | $ (1,274) | $ 6,436 | $ 5,162 | 11,304 | |||||||||||||||||||||||||
Senior Notes [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Debt instrument, unamortized discount, percentage | 2.50% | ||||||||||||||||||||||||||||
Debt instrument, interest rate, effective percentage | 10.00% | ||||||||||||||||||||||||||||
Long Term Cash Incentive Plan [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Share-based compensation expense | (117) | $ 828 | $ 243 | ||||||||||||||||||||||||||
Restricted Stock [Member] | Selling, General and Administrative Expenses [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Additional stock compensation expense in connection with retirement provision modificaton | $ 545 | ||||||||||||||||||||||||||||
Performance Based Restricted Common Shares [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Common shares, non-vested | shares | 0 | 0 | 134,250 | 466,650 | |||||||||||||||||||||||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, nonvested, number | shares | 0 | 0 | 134,250 | 466,650 | |||||||||||||||||||||||||
Performance Based Right to Received Common Shares [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Common shares, non-vested | shares | 843,140 | 843,140 | 573,885 | 374,400 | |||||||||||||||||||||||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, nonvested, number | shares | 843,140 | 843,140 | 573,885 | 374,400 | |||||||||||||||||||||||||
Customer Lists [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Intangible assets, net | $ 18,338 | $ 16,902 | |||||||||||||||||||||||||||
Customer Lists [Member] | PST [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Intangible assets, net | 18,083 | ||||||||||||||||||||||||||||
Trade Names [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Intangible assets, net | 13,558 | 12,086 | |||||||||||||||||||||||||||
Trade Names [Member] | PST [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Intangible assets, net | 13,554 | ||||||||||||||||||||||||||||
Developed Technology Rights [Member] | PST [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Intangible assets, net | $ 7,364 | ||||||||||||||||||||||||||||
PST Eletronica Ltda [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Equity method investment, ownership percentage | 50.00% | ||||||||||||||||||||||||||||
Percentage ownership in consolidated subsidiary | 74.00% | 74.00% | 74.00% | 74.00% | 74.00% | ||||||||||||||||||||||||
Increase in equity method investment, ownership percentage | 24.00% | ||||||||||||||||||||||||||||
Noncontroling interest increase (decrease) | $ 452 | $ (9,240) | $ (16,990) | ||||||||||||||||||||||||||
Unfavorable change in foreign currency translation | 2,339 | (7,033) | (3,507) | ||||||||||||||||||||||||||
Less: income (loss) attributable to noncontrolling interest | $ (1,887) | (2,207) | (13,483) | ||||||||||||||||||||||||||
Minda Stoneridge Instruments Ltd [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Equity method investment, ownership percentage | 49.00% | 49.00% | |||||||||||||||||||||||||||
Equity method investments | $ 7,952 | $ 6,929 | |||||||||||||||||||||||||||
Maximum [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Property, plant and equipment, useful life | 5 years | 5 years | |||||||||||||||||||||||||||
Minimum [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Property, plant and equipment, useful life | 3 years | 3 years | |||||||||||||||||||||||||||
Wiring [Member] | |||||||||||||||||||||||||||||
Accounting Policy [Line Items] | |||||||||||||||||||||||||||||
Loss on disposal, net of tax | (210) | (8,576) | [1] | ||||||||||||||||||||||||||
Deferred foreign currency translation on disposal | 2,734 | ||||||||||||||||||||||||||||
Income tax provision on loss on disposal | [2] | (31) | 1,621 | [1] | |||||||||||||||||||||||||
Transaction costs related to sale | 223 | 1,384 | |||||||||||||||||||||||||||
Proceeds from (payments related to) sale of business | $ 71,386 | ||||||||||||||||||||||||||||
Preliminary sales price | $ 65,700 | ||||||||||||||||||||||||||||
Payment for working capital adjustment related to segment sale | $ 1,230 | ||||||||||||||||||||||||||||
Post-disposition sales to Wiring | $ 19,766 | ||||||||||||||||||||||||||||
Sales | [1] | 167,434 | |||||||||||||||||||||||||||
Cost of sales | [1],[3] | $ 154,787 | |||||||||||||||||||||||||||
[1] | The operations of the Wiring business were presented only for the seven months ended July 31, 2014 because the sale was completed on August 1, 2014. | ||||||||||||||||||||||||||||
[2] | Gains and losses from foreign currency remeasurement related to income taxes were included as a component of income tax (expense) benefit. | ||||||||||||||||||||||||||||
[3] | The assets and liabilities of the Wiring business were reclassified as held for sale effective May 26, 2014. Accordingly, depreciation and amortization for the related Wiring assets were not recorded after that date. |
Summary of Significant Accoun35
Summary of Significant Accounting Policies (Schedule of Accounts Receivable and Concentration of Credit Risk) (Details) - Sales Revenue, Net [Member] | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Ford Motor Company [Member] | |||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||
Sales Revenue, Goods, Net, Percentage | 17.00% | 14.00% | 11.00% |
General Motors Company [Member] | |||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||
Sales Revenue, Goods, Net, Percentage | 7.00% | 5.00% | 5.00% |
Scania Group [Member] | |||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||
Sales Revenue, Goods, Net, Percentage | 6.00% | 7.00% | 8.00% |
Summary of Significant Accoun36
Summary of Significant Accounting Policies (Schedule of Inventory, Current) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Summary of Significant Accounting Policies [Abstract] | ||
Raw materials | $ 35,665 | $ 36,021 |
Work-in-progress | 7,483 | 7,162 |
Finished goods | 16,969 | 17,826 |
Total inventories, net | $ 60,117 | $ 61,009 |
Summary of Significant Accoun37
Summary of Significant Accounting Policies (Statements of Operations for Discontinued Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||||||||
Post-disposition purchases from Wiring | $ 425 | $ 689 | $ 269 | ||||||||||||||
Post-disposition sales to Wiring | 19,766 | 26,952 | 12,230 | ||||||||||||||
Net sales | $ 172,612 | $ 173,846 | $ 186,903 | $ 162,616 | $ 154,641 | $ 162,057 | $ 165,289 | $ 162,825 | 695,977 | 644,812 | 660,579 | ||||||
Cost of goods sold | 500,538 | 467,834 | 469,705 | ||||||||||||||
Selling, general and administrative | 111,145 | 110,371 | 123,630 | ||||||||||||||
Interest expense, net | 6,277 | 6,365 | 16,880 | ||||||||||||||
Other expense (income), net | (147) | 1,828 | 565 | ||||||||||||||
Income (loss) from discontinued operations, net of tax | (811) | ||||||||||||||||
Loss on disposal, net of tax | 16 | (113) | 55 | (168) | (210) | (8,576) | |||||||||||
Income (loss) from discontinued operations | 16 | [1] | $ (113) | [1] | $ 55 | [1] | $ (168) | [1] | (210) | (9,387) | |||||||
Wiring [Member] | |||||||||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||||||||
Post-disposition sales to Wiring | $ 19,766 | ||||||||||||||||
Net sales | [2] | 167,434 | |||||||||||||||
Cost of goods sold | [2],[3] | 154,787 | |||||||||||||||
Selling, general and administrative | [2],[3] | 12,697 | |||||||||||||||
Interest expense, net | [2] | 69 | |||||||||||||||
Other expense (income), net | [2] | (58) | |||||||||||||||
Income (loss) from operations of discontinued operations before income taxes | [2],[3] | (61) | |||||||||||||||
Income tax provision on discontinued operations | [2] | (750) | |||||||||||||||
Income (loss) from discontinued operations, net of tax | [2] | (811) | |||||||||||||||
Loss on disposal | [4] | (241) | (6,955) | [2] | |||||||||||||
Income tax expense on gain (loss) on disposal | [5] | 31 | (1,621) | [2] | |||||||||||||
Loss on disposal, net of tax | (210) | (8,576) | [2] | ||||||||||||||
Income (loss) from discontinued operations | (210) | (9,387) | [2] | ||||||||||||||
Transaction costs related to sale | 223 | 1,384 | |||||||||||||||
Working capital and other adjustment | $ 18 | $ 18 | |||||||||||||||
Deferred foreign currency translation on disposal | $ 2,734 | ||||||||||||||||
[1] | A gain (loss) on disposal of the Wiring business was recorded for the quarters ended March 31, 2015, June 30, 2015, September 30, 2015 and December 31, 2015 for $(168), $55, $(113) and $16, respectively | ||||||||||||||||
[2] | The operations of the Wiring business were presented only for the seven months ended July 31, 2014 because the sale was completed on August 1, 2014. | ||||||||||||||||
[3] | The assets and liabilities of the Wiring business were reclassified as held for sale effective May 26, 2014. Accordingly, depreciation and amortization for the related Wiring assets were not recorded after that date. | ||||||||||||||||
[4] | Included in loss on disposal for the years ended December 31, 2015 and 2014 were transaction costs of $223 and $1,384, respectively. The loss on disposal also includes a working capital and other adjustments of $18 for the year ended December 31, 2015. In addition, the loss on disposal included $2,734 in previously deferred foreign currency translation for the year ended December 31, 2014. | ||||||||||||||||
[5] | Gains and losses from foreign currency remeasurement related to income taxes were included as a component of income tax (expense) benefit. |
Summary of Significant Accoun38
Summary of Significant Accounting Policies (Depreciation, Amortization, and Capital Expenditures of Discontinued Operations) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Capital expenditures | $ 24,476 | $ 28,735 | $ 24,754 |
Wiring [Member] | |||
Depreciation and amortization | 2,111 | ||
Capital expenditures | $ 1,238 |
Summary of Significant Accoun39
Summary of Significant Accounting Policies (Property Plant and Equipment Net) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Property, Plant and Equipment [Line Items] | ||
Total property, plant, and equipment | $ 334,132 | $ 322,757 |
Less: accumulated depreciation | (242,632) | (237,493) |
Property, Plant and Equipment, Net, Total | 91,500 | 85,264 |
Land and Land Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, and equipment | 3,376 | 3,538 |
Buildings and Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, and equipment | 32,271 | 32,904 |
Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, and equipment | 180,944 | 160,721 |
Office Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, and equipment | 6,813 | 6,541 |
Tooling [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, and equipment | 67,261 | 68,101 |
Information Technology [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, and equipment | 23,632 | 24,035 |
Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, and equipment | 398 | 422 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, and equipment | 2,583 | 2,581 |
Construction In Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, and equipment | $ 16,854 | $ 23,914 |
Summary of Significant Accoun40
Summary of Significant Accounting Policies (Estimated Useful Lives of Property, Plant and Equipment) (Details) | 12 Months Ended |
Dec. 31, 2016 | |
Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 5 years |
Buildings and Improvements [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 10 years |
Buildings and Improvements [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 40 years |
Machinery and Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Machinery and Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 10 years |
Office Furniture and Fixtures [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Office Furniture and Fixtures [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 10 years |
Tooling [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 2 years |
Tooling [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 5 years |
Information Technology [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Information Technology [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 5 years |
Vehicles [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Vehicles [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 5 years |
Leasehold Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | shorter of lease term or 3-10 years |
Summary of Significant Accoun41
Summary of Significant Accounting Policies (Schedule of Goodwill) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Dec. 31, 2014 | Jun. 30, 2014 | Sep. 30, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | ||||||
Goodwill, beginning balance | $ 54,348 | $ 1,078 | $ 54,348 | |||
Acquisition of business | 664 | |||||
Goodwill impairment | (51,458) | |||||
Currency translation | (2,476) | |||||
Goodwill, ending balance | $ 1,078 | 1,078 | ||||
Electronics [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Goodwill, beginning balance | 604 | $ 981 | 1,078 | 604 | ||
Acquisition of business | 664 | |||||
Currency translation | (50) | (97) | (190) | |||
Goodwill, ending balance | 1,078 | $ 931 | 981 | 1,078 | ||
PST [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Goodwill, beginning balance | 53,744 | 53,744 | ||||
Goodwill impairment | (27,960) | $ (29,300) | $ (23,498) | (51,458) | ||
Currency translation | (2,286) | |||||
Goodwill, ending balance |
Summary of Significant Accoun42
Summary of Significant Accounting Policies (Schedule of Acquired Finite-Lived Intangible Assets by Major Class) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Acquisition cost | $ 56,495 | $ 47,232 |
Accumulated amortization | (17,235) | (11,514) |
Intangible Assets, Net (Excluding Goodwill), Total | 39,260 | 35,718 |
Customer Lists [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Acquisition cost | 27,476 | 23,003 |
Accumulated amortization | (9,138) | (6,101) |
Intangible Assets, Net (Excluding Goodwill), Total | 18,338 | 16,902 |
Trade Names [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Acquisition cost | 18,116 | 15,129 |
Accumulated amortization | (4,558) | (3,043) |
Intangible Assets, Net (Excluding Goodwill), Total | 13,558 | 12,086 |
Technology [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Acquisition cost | 10,862 | 9,066 |
Accumulated amortization | (3,498) | (2,336) |
Intangible Assets, Net (Excluding Goodwill), Total | 7,364 | 6,730 |
Other Intangible Assets [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Acquisition cost | 41 | 34 |
Accumulated amortization | (41) | $ (34) |
Intangible Assets, Net (Excluding Goodwill), Total |
Summary of Significant Accoun43
Summary of Significant Accounting Policies (Accrued Expenses and Other Current Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | |
Summary of Significant Accounting Policies [Abstract] | |||
Compensation related reserves | $ 16,329 | $ 17,878 | |
Product warranty and recall obligations | 6,727 | 4,446 | |
Other | [1] | 18,433 | 16,596 |
Total accrued expenses and other current liabilities | $ 41,489 | $ 38,920 | |
[1] | "Other" is comprised of miscellaneous accruals, none of which individually contributed a significant portion of the total. |
Summary of Significant Accoun44
Summary of Significant Accounting Policies (Schedule of Product Warranty Liability) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Summary of Significant Accounting Policies [Abstract] | ||
Product warranty and recall at beginning of period | $ 6,419 | $ 7,601 |
Accruals for products shipped during period | 4,999 | 4,609 |
Aggregate changes in pre-existing liabilities due to claim developments | (116) | (156) |
Settlements made during the period | (1,958) | (5,635) |
Product warranty and recall at end of period | $ 9,344 | $ 6,419 |
Summary of Significant Accoun45
Summary of Significant Accounting Policies (Schedule of Weighted Average Number of Shares) (Details) - shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Summary of Significant Accounting Policies [Abstract] | |||
Basic weighted-average common shares outstanding | 27,763,990 | 27,337,954 | 26,923,809 |
Effect of dilutive shares | 544,932 | 621,208 | |
Diluted weighted-average common shares outstanding | 28,308,922 | 27,959,162 | 26,923,809 |
Summary of Significant Accoun46
Summary of Significant Accounting Policies (Changes in Accumulated Other Comprehensive Loss by Component) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Summary of Significant Accounting Policies [Abstract] | |||
Foreign currency translation, Beginning balance | $ (70,296) | $ (45,603) | |
Foreign currency translation, Other comprehensive income (loss) before reclassifications | 2,401 | (24,693) | |
Other comprehensive income (loss), Foreign currency transaction and translation adjustment, net of tax | 2,401 | (24,693) | |
Foreign currency translation, Ending balance | (67,895) | (70,296) | $ (45,603) |
Unrealized gain (loss) on hedging activities, Beginning balance | 390 | 1 | |
Unrealized gain (loss) on derivatives, Other comprehensive income (loss) before reclassifications | (572) | (671) | |
Unrealized gain (loss) on hedging activities, Amounts reclassified from accumulated other comprehensive loss | 164 | 1,060 | |
Unrealized gain (loss) on derivatives, Net other comprehensive loss, net of tax | (408) | 389 | 112 |
Unrealized gain (loss) on hedging activities, Ending balance | (18) | 390 | 1 |
Benefit plan liability, Beginning balance | 84 | 129 | |
Benefit plan liability, Other comprehensive loss before reclassifications | (45) | ||
Benefit plan liability, Amounts reclassified from accumulated other comprehensive loss | (84) | ||
Benefit plan liability, Other comprehensive income (loss) | (84) | (45) | 141 |
Benefit plan liability, Ending balance | 84 | 129 | |
Accumulated other comprehensive income (loss), Beginning balance | (69,822) | (45,473) | |
Total, Other comprehensive loss before reclassifications | 1,829 | (25,409) | |
Total, Amounts reclassified from accumulated other comprehensive loss | 80 | 1,060 | |
Total, Net other comprehensive loss, net of tax | 1,909 | (24,349) | |
Accumulated other comprehensive income (loss), Ending balance | $ (67,913) | $ (69,822) | $ (45,473) |
Investments (Narrative) (Detail
Investments (Narrative) (Details) BRL in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||||
Dec. 31, 2016USD ($) | Sep. 30, 2016USD ($) | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2016BRL | Dec. 31, 2016USD ($) | Dec. 31, 2015BRL | Dec. 31, 2015USD ($) | Dec. 31, 2010 | |
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Income (loss) from equity method investments | $ 1,233 | $ 608 | $ 815 | |||||||||||||
Noncontrolling interest | $ 13,762 | $ 13,310 | ||||||||||||||
Less: income (loss) attributable to noncontrolling interest | $ 122 | $ (303) | $ (576) | $ (1,130) | $ (1,133) | $ (69) | $ (596) | $ (409) | $ (1,887) | $ (2,207) | $ (13,483) | |||||
PST Eletronica Ltda [Member] | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Equity method investment, ownership percentage | 50.00% | |||||||||||||||
Percentage ownership in consolidated subsidiary | 74.00% | 74.00% | 74.00% | |||||||||||||
Noncontrolling interest | $ 22,540 | 13,762 | 13,310 | |||||||||||||
Noncontroling interest increase (decrease) | $ 452 | $ (9,240) | (16,990) | |||||||||||||
Foreign currency translation adjustments | 2,339 | (7,033) | (3,507) | |||||||||||||
Less: income (loss) attributable to noncontrolling interest | (1,887) | (2,207) | (13,483) | |||||||||||||
Comprehensive income (loss) related to noncontrolling interest | 452 | (9,240) | (16,990) | |||||||||||||
Dividends payable to noncontrolling interest | BRL 10,842 | $ 3,327 | BRL 10,842 | 2,777 | ||||||||||||
Minda Stoneridge Instruments Ltd [Member] | ||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||||||
Equity method investment, ownership percentage | 49.00% | 49.00% | ||||||||||||||
Equity method investments | $ 7,952 | $ 6,929 | ||||||||||||||
Income (loss) from equity method investments | $ 1,233 | $ 608 | $ 815 |
Debt (Narrative) (Details)
Debt (Narrative) (Details) SEK in Thousands | Jan. 30, 2017 | Oct. 15, 2014USD ($) | Sep. 02, 2014USD ($) | Dec. 31, 2014USD ($) | Sep. 30, 2014USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2014USD ($) | Mar. 31, 2015CNY (¥) | Aug. 12, 2016USD ($) | Dec. 31, 2015SEK | Dec. 31, 2015USD ($) | Oct. 18, 2014 | Sep. 12, 2014USD ($) | Oct. 04, 2010USD ($) | Nov. 02, 2007USD ($) |
Debt Instrument [Line Items] | |||||||||||||||||
Capitalized deferred financing costs | $ 399,000 | ||||||||||||||||
Notes covenant compliance | The Company was in compliance with all debt covenants at December 31, 2016 and 2015. | ||||||||||||||||
Borrowings outstanding | $ 100,000,000 | $ 67,000,000 | $ 67,000,000 | $ 100,000,000 | |||||||||||||
Total long-term debt, net | 8,060,000 | 8,060,000 | 4,458,000 | ||||||||||||||
Less: current portion | 8,626,000 | 8,626,000 | 13,905,000 | ||||||||||||||
Loss on early extinguishment of debt | $ (10,607,000) | ||||||||||||||||
2,017 | 8,626,000 | 8,626,000 | |||||||||||||||
2,018 | 4,303,000 | 4,303,000 | |||||||||||||||
2,019 | 2,604,000 | 2,604,000 | |||||||||||||||
2,020 | 611,000 | 611,000 | |||||||||||||||
2,021 | 67,542,000 | $ 67,542,000 | |||||||||||||||
Senior Notes [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Write off of deferred financing costs | $ 535,000 | $ 295,000 | |||||||||||||||
Debt interest rate | 9.50% | ||||||||||||||||
Debt instrument, maturity date | Oct. 15, 2017 | ||||||||||||||||
Debt instrument, unamortized discount, percentage | 2.50% | ||||||||||||||||
Face value of senior secured notes | $ 175,000,000 | $ 175,000,000 | |||||||||||||||
Percentage of outstanding debt redeemed | 10.00% | ||||||||||||||||
Debt early redemption percentage | 104.75% | 103.00% | |||||||||||||||
Amortization of debt discount (premium) | 2,019,000 | ||||||||||||||||
De-designation date unrecognized gain on interest rate swap | 348,000 | ||||||||||||||||
Redemption of notes | $ 157,500,000 | $ 17,500,000 | |||||||||||||||
Debt, face amount | $ 175,000,000 | ||||||||||||||||
Loss on early extinguishment of debt | (9,687,000) | (820,000) | $ (10,507,000) | ||||||||||||||
Premium paid on extinguishment of debt | 7,481,000 | $ 525,000 | |||||||||||||||
Revolving Credit Facility [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Write off of deferred financing costs | 100,000 | ||||||||||||||||
Capitalized deferred financing costs | $ 1,666,000 | $ 1,666,000 | $ 1,666,000 | ||||||||||||||
Credit Facility covenant compliance | The Company was in compliance with all Credit Facility covenants at December 31, 2016 and 2015. | ||||||||||||||||
Debt interest rate | 2.00% | 2.00% | |||||||||||||||
Line of credit facility, maximum borrowing capacity | $ 300,000,000 | $ 100,000,000 | |||||||||||||||
Increase in maximum borrowing capacity of credit facility | $ 80,000,000 | ||||||||||||||||
Credit facility, borrowing capacity | $ 100,000,000 | ||||||||||||||||
Borrowings outstanding | $ 67,000,000 | $ 67,000,000 | 100,000,000 | ||||||||||||||
Maximum leverage ratio | 300.00% | 300.00% | |||||||||||||||
Minimum interest coverage ratio | 350.00% | 350.00% | |||||||||||||||
Revolving Credit Facility [Member] | Maximum [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Credit facility, commitment fee percentage | 0.35% | ||||||||||||||||
Revolving Credit Facility [Member] | Minimum [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Credit facility, commitment fee percentage | 0.20% | ||||||||||||||||
Line of Credit [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Line of credit facility, maximum borrowing capacity | $ 2,196,000 | $ 2,196,000 | SEK 20,000 | $ 2,369,000 | |||||||||||||
Letter of Credit [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Outstanding letters of credit | $ 3,399,000 | $ 3,399,000 | |||||||||||||||
Term Loan Two [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt, face amount | ¥ | ¥ 9,000,000 | ||||||||||||||||
Term Loan Two [Member] | People's Bank of China One-Year Lending Rate [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Interest rate multiplier | 120.00% | ||||||||||||||||
Amendment Number Three [Member] | Revolving Credit Facility [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Line of credit facilty amendement date | Aug. 12, 2016 | ||||||||||||||||
Length of the amended extension to the expiration date on debt | 2 years | ||||||||||||||||
Line of credit expiration date | Sep. 12, 2021 | ||||||||||||||||
PST Eletronica Ltda [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Long-term debt, weighted average interest rate | 14.10% | 14.10% | |||||||||||||||
Short-term debt, weighted average interest rate | 10.30% | 10.30% | |||||||||||||||
PST Eletronica Ltda [Member] | Term Loan [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
2,017 | $ 8,489,000 | $ 8,489,000 | |||||||||||||||
2,018 | 4,303,000 | 4,303,000 | |||||||||||||||
2,019 | 2,604,000 | 2,604,000 | |||||||||||||||
2,020 | 611,000 | 611,000 | |||||||||||||||
2,021 | 542,000 | 542,000 | |||||||||||||||
Subsequent Event [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Line of credit facility,amendment date | Jan. 30, 2017 | ||||||||||||||||
Borrowing Sub-Limit for the Company's Foreign Subsidiaries [Member] | Amendment Number Three [Member] | Revolving Credit Facility [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Credit facility, capacity restrictions of investment activities | 80,000,000 | 80,000,000 | |||||||||||||||
Increase in sub-limit for foreign subsidiary borrowings | 30,000,000 | 30,000,000 | |||||||||||||||
Permitted Loans and Investments in Foreign Subsidiaries [Member] | Amendment Number Three [Member] | Revolving Credit Facility [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Increase in permitted loans and investments in foregin subsidiaries | 5,000,000 | ||||||||||||||||
Amount of permitted loans and investments in foregin subsidiaries | $ 30,000,000 | $ 30,000,000 |
Debt (Schedule of Debt) (Detail
Debt (Schedule of Debt) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Oct. 15, 2014 | Oct. 04, 2010 | |
Debt Instrument [Line Items] | ||||
Credit facility | $ 67,000 | $ 100,000 | $ 100,000 | |
Debt: | ||||
Total debt | 16,686 | 18,363 | ||
Long-term debt | 83,686 | |||
Less: current portion | (8,626) | (13,905) | ||
Total long-term debt, net | 8,060 | 4,458 | ||
Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Credit facility | $ 67,000 | 100,000 | ||
Debt: | ||||
Debt interest rate | 2.00% | |||
Debt, maturity | September 2,021 | |||
Senior Notes [Member] | ||||
Debt: | ||||
Debt interest rate | 9.50% | |||
PST Short-Term Obligations [Member] | ||||
Debt Instrument [Line Items] | ||||
Short-term obligations | $ 5,097 | 11,556 | ||
Debt: | ||||
Debt, maturity | 2,017 | |||
PST Short-Term Obligations [Member] | Maximum [Member] | ||||
Debt: | ||||
Interest rate maximum | 20.33% | |||
PST Short-Term Obligations [Member] | Minimum [Member] | ||||
Debt: | ||||
Interest rate minimum | 4.27% | |||
PST Long-Term Notes [Member] | ||||
Debt: | ||||
Long-term debt | $ 11,452 | 6,428 | ||
Debt maturity period range start | 2,017 | |||
Debt maturity period range end | 2,021 | |||
PST Long-Term Notes [Member] | Maximum [Member] | ||||
Debt: | ||||
Interest rate maximum | 19.00% | |||
PST Long-Term Notes [Member] | Minimum [Member] | ||||
Debt: | ||||
Interest rate minimum | 7.50% | |||
Other [Member] | ||||
Debt: | ||||
Total debt | $ 137 | $ 379 |
Debt (Future Maturities of Long
Debt (Future Maturities of Long-Term Debt) (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Debt [Abstract] | |
2,017 | $ 8,626 |
2,018 | 4,303 |
2,019 | 2,604 |
2,020 | 611 |
2,021 | 67,542 |
Total long-term debt | $ 83,686 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | [1] | Jun. 30, 2016 | [1] | Mar. 31, 2016 | [1] | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2011 | Dec. 31, 2010 | ||
Operating Loss Carryforwards [Line Items] | |||||||||||||||||
Income tax expense (benefit) on operations | $ (39,503) | [1] | $ 919 | $ 1,350 | $ 845 | $ (345) | $ 32 | $ (381) | $ 147 | $ (36,389) | $ (547) | $ (1,856) | |||||
Effective income tax rate | (92.80%) | (2.70%) | (3.50%) | ||||||||||||||
Unremitted earnings of foreign subsidiaries | 44,898 | $ 44,898 | |||||||||||||||
General business tax credit carry forwards, expiration date | Dec. 31, 2021 | ||||||||||||||||
Liability for uncertain tax positions reduction to noncurrent asset | 3,731 | $ 3,731 | |||||||||||||||
Liability for uncertain tax positions, noncurrent | 146 | 146 | |||||||||||||||
Unrecognized tax benefits that would impact effective tax rate | 3,821 | 4,280 | 3,821 | $ 4,280 | |||||||||||||
Gross interest and penalties expense (benefit) | (59) | (90) | $ (411) | ||||||||||||||
Accrued payment of interest and penalties | 64 | $ 123 | 64 | $ 123 | |||||||||||||
Goodwill impairment charge (benefit) | $ 51,458 | ||||||||||||||||
State and Local Jurisdiction [Member] | |||||||||||||||||
Operating Loss Carryforwards [Line Items] | |||||||||||||||||
Net operating loss carry forwards | 41,222 | 41,222 | |||||||||||||||
General business and foreign tax credit carry forwards | 1,530 | 1,530 | |||||||||||||||
Foreign Tax Authority [Member] | |||||||||||||||||
Operating Loss Carryforwards [Line Items] | |||||||||||||||||
Net operating loss carry forwards | 35,849 | 35,849 | |||||||||||||||
General business and foreign tax credit carry forwards | 1,510 | 1,510 | |||||||||||||||
U.S. Federal [Member] | |||||||||||||||||
Operating Loss Carryforwards [Line Items] | |||||||||||||||||
Net operating loss carry forwards | 53,064 | $ 53,064 | |||||||||||||||
Operating loss carry forwards, expiration dates | Dec. 31, 2026 | ||||||||||||||||
General business and foreign tax credit carry forwards | $ 15,254 | $ 15,254 | |||||||||||||||
PST Eletronica Ltda [Member] | |||||||||||||||||
Operating Loss Carryforwards [Line Items] | |||||||||||||||||
Equity method investment, ownership percentage | 50.00% | ||||||||||||||||
Increase in equity method investment, ownership percentage | 24.00% | ||||||||||||||||
[1] | The Company recorded the release of a valuation allowance associated with its U.S. federal, certain state and foreign deferred tax assets for the year ended December 31, 2016. |
Income Taxes (Schedule of Compo
Income Taxes (Schedule of Components of Income Tax Expense (Benefit)) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2016 | [1] | Sep. 30, 2016 | [1] | Jun. 30, 2016 | [1] | Mar. 31, 2016 | [1] | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income (loss) before income taxes: | |||||||||||||||
Domestic | $ 35,088 | $ 22,959 | $ 1,635 | ||||||||||||
Foreign | 4,097 | (2,729) | (54,695) | ||||||||||||
Income (loss) before income taxes from continuing operations | 39,185 | 20,230 | (53,060) | ||||||||||||
Provision for income taxes: | |||||||||||||||
Federal | 760 | 386 | |||||||||||||
State and foreign | 2,575 | 1,232 | 1,382 | ||||||||||||
Total current expense (benefit) | 3,335 | 1,618 | 1,382 | ||||||||||||
Deferred: | |||||||||||||||
Federal | (37,828) | ||||||||||||||
State and foreign | (1,896) | (2,165) | (3,238) | ||||||||||||
Total deferred benefit | (39,724) | (2,165) | (3,238) | ||||||||||||
Income Tax Expense (Benefit), Total | $ (39,503) | $ 919 | $ 1,350 | $ 845 | $ (345) | $ 32 | $ (381) | $ 147 | $ (36,389) | $ (547) | $ (1,856) | ||||
[1] | The Company recorded the release of a valuation allowance associated with its U.S. federal, certain state and foreign deferred tax assets for the year ended December 31, 2016. |
Income Taxes (Schedule of Effec
Income Taxes (Schedule of Effective Income Tax Rate Reconciliation) (Details) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Taxes [Abstract] | |||
Statutory U.S. federal income tax rate | 35.00% | 35.00% | 35.00% |
State income taxes, net of federal tax benefit | 1.90% | 0.20% | |
Tax credits | (0.80%) | (2.80%) | (1.30%) |
Foreign rate differential | (4.70%) | (3.30%) | 0.20% |
Reduction (increase) of income tax accruals | 0.10% | (0.50%) | 0.20% |
Tax on foreign dividends, net of foreign tax credits | (0.10%) | ||
Reduction of deferred taxes | (1.30%) | 5.50% | |
Valuation allowances | (121.60%) | (36.00%) | (2.10%) |
Loss of domestic flow-through entity not attributable to Stoneridge, Inc. | 33.90% | ||
Non-deductible compensation | (1.50%) | 1.00% | |
Other | (1.40%) | 0.70% | (0.30%) |
Effective income tax rate | (92.80%) | (2.70%) | (3.50%) |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Deferred tax assets: | ||
Inventories | $ 2,156 | $ 2,108 |
Compensation and benefits | 4,785 | 3,902 |
Insurance | 245 | 281 |
Depreciation and amortization | 1,310 | 1,297 |
Net operating loss carryforwards | 28,952 | 39,846 |
General business credit carryforwards | 14,135 | 12,990 |
Other reserves | 7,609 | 5,643 |
Gross deferred tax assets | 59,192 | 66,067 |
Less: Valuation allowance | (11,125) | (59,391) |
Deferred tax assets less valuation allowance | 48,067 | 6,676 |
Deferred tax liabilities: | ||
Depreciation and amortization | (14,911) | (13,282) |
Basis difference - equity investee | (31,016) | (31,016) |
Other | (1,358) | (1,074) |
Gross deferred tax liabilities | (47,285) | (45,372) |
Net deferred tax asset | $ 782 | |
Net deferred tax (liabilities) | $ (38,696) |
Income Taxes (Classification of
Income Taxes (Classification of Net Deferred Tax Asset) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Income Taxes [Abstract] | ||
Current deferred income tax assets | $ 1,239 | |
Current deferred income tax liabilities | (39) | |
Long-term deferred income tax assets | $ 10,542 | 1,436 |
Long-term deferred income tax liabilities | (9,760) | (41,332) |
Deferred Tax Assets, Net Of Valuation Allowance | 48,067 | 6,676 |
Net deferred tax asset | $ 782 | |
Net deferred tax (liabilities) | $ (38,696) |
Income Taxes (Summary of Income
Income Taxes (Summary of Income Tax Contingencies) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Taxes [Abstract] | |||
Balance as of January 1 | $ 4,304 | $ 3,888 | $ 3,624 |
Tax positions related to the current year: | |||
Additions | 208 | 201 | 217 |
Tax positions related to prior years: | |||
Additions | 523 | 168 | |
Reductions | (61) | ||
Expiration of statutes of limitation | (612) | (308) | (121) |
Balance as of December 31 | $ 3,839 | $ 4,304 | $ 3,888 |
Income Taxes (Schedule of Tax Y
Income Taxes (Schedule of Tax Years Open for Examination) (Details) | 12 Months Ended |
Dec. 31, 2016 | |
Minimum [Member] | U.S. Federal [Member] | Internal Revenue Service (IRS) [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,013 |
Minimum [Member] | Foreign Tax Authority [Member] | Secretariat of the Federal Revenue Bureau of Brazil [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,011 |
Minimum [Member] | Foreign Tax Authority [Member] | State Administration of Taxation, China [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,013 |
Minimum [Member] | Foreign Tax Authority [Member] | Ministry of the Economy, Finance and Industry, France [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,012 |
Minimum [Member] | Foreign Tax Authority [Member] | Mexican Tax Authority [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,012 |
Minimum [Member] | Foreign Tax Authority [Member] | Tax Authority, Spain [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,012 |
Minimum [Member] | Foreign Tax Authority [Member] | Swiss Federal Tax Administration (FTA) [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,011 |
Minimum [Member] | Foreign Tax Authority [Member] | Her Majesty's Revenue and Customs (HMRC) [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,012 |
Maximum [Member] | U.S. Federal [Member] | Internal Revenue Service (IRS) [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,016 |
Maximum [Member] | Foreign Tax Authority [Member] | Secretariat of the Federal Revenue Bureau of Brazil [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,016 |
Maximum [Member] | Foreign Tax Authority [Member] | State Administration of Taxation, China [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,016 |
Maximum [Member] | Foreign Tax Authority [Member] | Ministry of the Economy, Finance and Industry, France [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,016 |
Maximum [Member] | Foreign Tax Authority [Member] | Mexican Tax Authority [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,016 |
Maximum [Member] | Foreign Tax Authority [Member] | Tax Authority, Spain [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,016 |
Maximum [Member] | Foreign Tax Authority [Member] | Swiss Federal Tax Administration (FTA) [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,016 |
Maximum [Member] | Foreign Tax Authority [Member] | Her Majesty's Revenue and Customs (HMRC) [Member] | |
Income Tax Examination [Line Items] | |
Open Tax Year | 2,016 |
Operating Lease Commitments (Na
Operating Lease Commitments (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Commitments and Contingencies [Abstract] | |||
Operating leases, rent expense, net | $ 5,290 | $ 5,532 | $ 5,836 |
Operating Lease Commitments (Sc
Operating Lease Commitments (Schedule of Future Minimum Rental Payments for Operating Leases) (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Year ended December 31, | |
2,017 | $ 5,042 |
2,018 | 3,922 |
2,019 | 3,356 |
2,020 | 2,584 |
2,021 | 2,298 |
Thereafter | 6,176 |
Total | $ 23,378 |
Share-Based Compensation Plan60
Share-Based Compensation Plans (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | ||||||||||
May 31, 2016 | May 31, 2013 | May 31, 2010 | Apr. 30, 2006 | Apr. 30, 2005 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Share-based compensation vested in period, fair value | $ 5,394 | $ 9,101 | $ 3,509 | |||||||||
Tax benefit realized from stock based compensation | $ 977 | $ 0 | $ 0 | |||||||||
Time Based Awards [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Common shares, forfeited | (29,468) | |||||||||||
Share-based compensation restricted common shares issued | 583,404 | |||||||||||
Weighted average grant date fair value, granted | $ 13.52 | $ 11.41 | $ 11.54 | |||||||||
Remaining unrecognized share-based compensation expense | $ 2,850 | |||||||||||
Employee service share-based compensation, nonvested, period for recognition | 1 year 2 months 9 days | |||||||||||
Performance Based Awards [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Common shares, forfeited | (25,567) | |||||||||||
Share-based compensation restricted common shares issued | 785,100 | |||||||||||
Weighted average grant date fair value, granted | $ 13.66 | |||||||||||
Remaining unrecognized share-based compensation expense | $ 3,069 | |||||||||||
Employee service share-based compensation, nonvested, period for recognition | 1 year 3 months 15 days | |||||||||||
Plan 2006 [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Share-based compensation award reserved for issuance of common shares | 4,500,000 | 3,000,000 | 1,500,000 | |||||||||
Share-based compensation, increase in awards reserved for issuance of common shares | 1,500,000 | 1,500,000 | ||||||||||
Share-based compensation award, number of shares available for grant | 0 | |||||||||||
Share-based compensation restricted common shares issued | 1,358,504 | |||||||||||
Share-based compensation expiration date | May 1, 2016 | |||||||||||
Share-based compensation, maximum number of shares issuable | 500,000 | |||||||||||
Plan 2006 [Member] | Time Based Awards [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Share-based compensation award vesting period | 3 years | 3 years | 3 years | 3 years | 3 years | 3 years | 3 years | |||||
Plan 2006 [Member] | Performance Based Awards [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Share-based compensation award vesting period | 3 years | 3 years | 3 years | 3 years | 3 years | 3 years | 3 years | |||||
2016 Plan [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Share-based compensation award reserved for issuance of common shares | 1,800,000 | |||||||||||
Share-based compensation award granted in period | 68,673 | |||||||||||
Share-based compensation award, number of shares available for grant | 1,731,327 | |||||||||||
2016 Plan [Member] | Time Based Awards [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Share-based compensation award granted in period | 28,633 | |||||||||||
2016 Plan [Member] | Performance Based Awards [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Share-based compensation award granted in period | 40,040 | |||||||||||
Director Share Plan [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Share-based compensation award reserved for issuance of common shares | 700,000 | 500,000 | ||||||||||
Share-based compensation, increase in awards reserved for issuance of common shares | 200,000 | |||||||||||
Share-based compensation award vesting period | 1 year | 1 year | 1 year | 1 year | 1 year | 1 year | 1 year | |||||
Share-based compensation restricted common shares issued | 580,609 | |||||||||||
Share-based compensation, maximum number of shares issuable | 119,391 |
Share-Based Compensation Plan61
Share-Based Compensation Plans (Schedule of the Allocation of Performance Shares Between Total Shareholder Return and Earnings per Share) (Details) - Performance Based Awards [Member] | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total shareholder return | 55.00% | 36.00% | 20.00% |
Earnings per share | 45.00% | 64.00% | 80.00% |
Share-Based Compensation Plan62
Share-Based Compensation Plans (Disclosure of Share-based Compensation Arrangements by Share-based Payment Award) (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Time Based Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common shares, non-vested as of December 31, 2015 | 731,241 | ||
Common shares, granted | 250,227 | ||
Common shares, vested | (339,963) | ||
Common shares, forfeited | (29,468) | ||
Common shares, non-vested as of December 31, 2016 | 612,037 | 731,241 | |
Weighted average grant date fair value, non-vested as of December 31, 2015 | $ 9.45 | ||
Weighted average grant date fair value, granted | 13.52 | $ 11.41 | $ 11.54 |
Weighted average grant date fair value, vested | 7.07 | ||
Weighted average grant date fair value, forfeited | 11.82 | ||
Weighted average grant date fair value, non-vested as of December 31, 2016 | $ 12.32 | $ 9.45 | |
Performance Based Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common shares, non-vested as of December 31, 2015 | 712,485 | ||
Common shares, granted | 269,255 | ||
Common shares, vested | (131,033) | ||
Common shares, forfeited | (25,567) | ||
Common shares, non-vested as of December 31, 2016 | 825,140 | 712,485 | |
Weighted average grant date fair value, non-vested as of December 31, 2015 | $ 10.70 | ||
Weighted average grant date fair value, granted | 13.66 | ||
Weighted average grant date fair value, vested | 7.58 | ||
Weighted average grant date fair value, forfeited | 11.30 | ||
Weighted average grant date fair value, non-vested as of December 31, 2016 | $ 12.14 | $ 10.70 |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expenses related to employee benefit plans | $ 1,601 | $ 1,487 | $ 1,280 |
Long Term Cash Incentive Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Deferred compensation liability, current | $ 0 | $ 808 | |
Awards granted in period | 0 | 0 | 0 |
Financial Instruments and Fai64
Financial Instruments and Fair Value Measurements (Narrative) (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||
Dec. 31, 2014USD ($)security | Jun. 30, 2014USD ($)security | Sep. 30, 2014USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($)securitylb | Oct. 04, 2010USD ($) | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Assets fair value adjustment | $ 0 | $ 0 | ||||||
Goodwill impairment charge (benefit) | $ 51,458,000 | |||||||
Mexican Peso-Denominated Foreign Currency Forward Contracts [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Number of hedge contracts | security | 5 | 5 | ||||||
Interest Rate Swap [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Gain on termination of Interest Rate Swap | $ 371,000 | |||||||
Reduced interest expense as a result of swap | $ 641,000 | |||||||
Senior Notes [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Face value of senior secured notes | $ 175,000,000 | |||||||
Fixed interest rate | 9.50% | |||||||
Debt instrument, maturity date | Oct. 15, 2017 | |||||||
Cash Flow Hedging [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Amount from cash flow hedge derivatives to be reclassified in the next year | $ 28,000 | |||||||
Cash Flow Hedging [Member] | Copper Commodity [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Number of hedge contracts expected to be fulfilled | security | 2 | 2 | ||||||
Fixed price commodity contracts (in pounds) | lb | 317,000 | |||||||
Designated as Hedging Instrument [Member] | Mexican Peso-Denominated Foreign Currency Forward Contracts [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Number of hedge contracts expected to be fulfilled | security | 2 | 2 | ||||||
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Forward Currency Contracts [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Notional amounts | [1] | 5,699,000 | 22,208,000 | |||||
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | U.S. Dollar Denominated Foreign Currency Forward Contracts Euro Functional Currency [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Notional amounts | 2,421,000 | |||||||
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | U.S. Dollar Denominated Foreign Currency Forward Contracts, Swedish Krona Functional Currency [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Notional amounts | 10,007,000 | |||||||
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Mexican Peso-Denominated Foreign Currency Forward Contracts [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Notional amounts | 5,699,000 | 9,780,000 | ||||||
Designated as Hedging Instrument [Member] | Fair Value Hedging [Member] | Interest Rate Swap [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Interest rate swap, notional amount | $ 45,000,000 | |||||||
Not Designated as Hedging Instrument [Member] | Forward Currency Contracts [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Notional amounts | [1] | 1,601,000 | 1,647,000 | |||||
Not Designated as Hedging Instrument [Member] | Euro-Denominated Foreign Currency Forward Contracts [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Notional amounts | 1,601,000 | 1,647,000 | ||||||
Gain (loss) on derivative instruments held for trading purposes, net | 57,000 | 336,000 | $ 1,205,000 | |||||
Not Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Copper Commodity [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Gain on derivatives not designated as hedging instruments | $ 77,000 | 77,000 | ||||||
London Interbank Offered Rate (LIBOR) [Member] | Fair Value Hedging [Member] | Interest Rate Swap [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Discription of variable rate basis of derivative | 7.20% | |||||||
Variable interest rate in addition to LIBOR | 7.20% | |||||||
Wiring [Member] | Not Designated as Hedging Instrument [Member] | Mexican Peso-Denominated Foreign Currency Forward Contracts [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Number of hedge contracts | security | 3 | |||||||
Gain recognized on dedesignation of hedge | $ 320,000 | |||||||
PST [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Goodwill impairment charge (benefit) | $ 27,960,000 | $ 29,300,000 | $ 23,498,000 | $ 51,458,000 | ||||
Fair Value, Inputs, Level 1 [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Financial assets carried at fair value | 0 | 0 | ||||||
Financial liabilities carried at fair value | 0 | 0 | ||||||
Fair Value, Inputs, Level 2 [Member] | Forward Currency Contracts [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Forward currency contracts, financial assets | 0 | 474,000 | ||||||
Forward currency contracts, financial liabilities | 31,000 | 93,000 | ||||||
Fair Value, Inputs, Level 3 [Member] | ||||||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||||||
Financial assets carried at fair value | 0 | 0 | ||||||
Financial liabilities carried at fair value | $ 0 | $ 0 | ||||||
[1] | Notional amounts represent the gross contract / notional amount of the derivatives outstanding. |
Financial Instruments and Fai65
Financial Instruments and Fair Value Measurements (Schedule of Derivative Instruments in Statement of Financial Position, Fair Value) (Details) - Forward Currency Contracts [Member] - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | |
Not Designated as Hedging Instrument [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Notional amounts | [1] | $ 1,601 | $ 1,647 |
Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Notional amounts | [1] | 5,699 | 22,208 |
Other Assets [Member] | Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Cash flow hedges, other derivative assets | 474 | ||
Other Liabilities [Member] | Not Designated as Hedging Instrument [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Derivatives not designated as hedging instruments, liabilities | 3 | 9 | |
Other Liabilities [Member] | Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Cash flow hedges, other derivative, liabilities | $ 28 | $ 84 | |
[1] | Notional amounts represent the gross contract / notional amount of the derivatives outstanding. |
Financial Instruments and Fai66
Financial Instruments and Fair Value Measurements (Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Commodity Contract [Member] | |||
Derivatives designated as cash flow hedges: | |||
Gain (loss) recorded in other comprehensive income (loss) | $ (408) | ||
Gain (loss) reclassified from other comprehensive income (loss) into net income (loss) | (256) | ||
Designated as Hedging Instrument [Member] | |||
Derivatives designated as cash flow hedges: | |||
Gain (loss) recorded in other comprehensive income (loss) | $ (582) | $ (671) | (454) |
Gain (loss) reclassified from other comprehensive income (loss) into net income (loss) | (164) | (1,060) | (566) |
Designated as Hedging Instrument [Member] | Forward Currency Contracts [Member] | |||
Derivatives designated as cash flow hedges: | |||
Gain (loss) recorded in other comprehensive income (loss) | (582) | (671) | (46) |
Gain (loss) reclassified from other comprehensive income (loss) into net income (loss) | $ (164) | $ (1,060) | $ (310) |
Commitments and Contingencies (
Commitments and Contingencies (Narrative) (Details) € in Thousands, BRL in Thousands, $ in Thousands | 12 Months Ended | 24 Months Ended | ||||||||
Dec. 31, 2016USD ($)customer | Dec. 31, 2015BRL | Dec. 31, 2014 | Dec. 31, 2010 | Dec. 31, 2016EUR (€) | Dec. 31, 2016BRL | Dec. 31, 2016USD ($) | Jul. 28, 2016EUR (€) | Jul. 28, 2016USD ($) | Dec. 31, 2015USD ($) | |
Short-term Debt [Line Items] | ||||||||||
Number of plaintiffs | customer | 120,000 | |||||||||
Maximum damages sought per plaintiff | $ 1 | |||||||||
Litigation liability | $ 0 | |||||||||
Product warranty and recall accrual | 2,617 | $ 1,973 | ||||||||
Electronics [Member] | ||||||||||
Short-term Debt [Line Items] | ||||||||||
Loss contingency, estimate of possible loss | € 14,000 | 14,800 | ||||||||
Accounts payable and accrued liabilities | 0 | |||||||||
Control Devices [Member] | ||||||||||
Short-term Debt [Line Items] | ||||||||||
Environmental remediation accrued undiscounted liability | 446 | 532 | ||||||||
Accrued Expenses and Other Current Liabilities [Member] | Control Devices [Member] | ||||||||||
Short-term Debt [Line Items] | ||||||||||
Environmental remediation accrued undiscounted liability | 370 | 469 | ||||||||
Letter of Credit [Member] | Control Devices [Member] | ||||||||||
Short-term Debt [Line Items] | ||||||||||
Line of credit | 2,000 | |||||||||
PST Eletronica Ltda [Member] | ||||||||||
Short-term Debt [Line Items] | ||||||||||
Equity method investment, ownership percentage | 50.00% | |||||||||
Loss contingencies aggregate tax assessment not accrued | BRL 92,500 | 28,400 | ||||||||
Percentage of state value added tax | 25.00% | |||||||||
Percentage ownership in consolidated subsidiary | 74.00% | 74.00% | 74.00% | |||||||
PST Eletronica Ltda [Member] | Civil, Labor and Other Tax Contingencies [Member] | ||||||||||
Short-term Debt [Line Items] | ||||||||||
Loss contingency, estimate of possible loss | BRL 25,400 | 31,800 | 9,800 | $ 6,500 | ||||||
PST Eletronica Ltda [Member] | Value Added Tax [Member] | ||||||||||
Short-term Debt [Line Items] | ||||||||||
Loss contingencies aggregate tax assessment not accrued | 13,200 | 4,100 | ||||||||
PST Eletronica Ltda [Member] | Interest On Tax [Member] | ||||||||||
Short-term Debt [Line Items] | ||||||||||
Loss contingencies aggregate tax assessment not accrued | 11,400 | 3,500 | ||||||||
PST Eletronica Ltda [Member] | Penalties On Tax [Member] | ||||||||||
Short-term Debt [Line Items] | ||||||||||
Loss contingencies aggregate tax assessment not accrued | BRL 67,900 | $ 20,800 | ||||||||
Minda Stoneridge Instruments Ltd [Member] | ||||||||||
Short-term Debt [Line Items] | ||||||||||
Equity method investment, ownership percentage | 49.00% | 49.00% | 49.00% | |||||||
Actia Automotive Case One [Member] | Electronics [Member] | ||||||||||
Short-term Debt [Line Items] | ||||||||||
Court ordered payment foregone under settlement | € 50 | $ 56 |
Headquarter Relocation (Narrati
Headquarter Relocation (Narrative) (Details) - USD ($) $ in Thousands | 2 Months Ended | 12 Months Ended | ||||
Dec. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Oct. 31, 2016 | Sep. 30, 2016 | |
Prepaid expenses and other current assets | $ 17,162 | $ 17,162 | $ 21,602 | |||
Accrued expenses and other current liabilities | $ 41,489 | 41,489 | 38,920 | |||
Proceeds from sale of fixed assets | 652 | 64 | $ 110 | |||
Gain on sale of fixed assets | (48) | $ (74) | $ (110) | |||
Tenant improvements | $ 1,104 | |||||
Tenant improvement liability | $ 1,104 | |||||
Lease term | 10 years | |||||
Non-Cash Build-to-Suit Lease Asset [Member] | ||||||
Prepaid expenses and other current assets | $ 4,322 | |||||
Non-Cash Build-to-Suit Lease Liability [Member] | ||||||
Accrued expenses and other current liabilities | $ 4,322 | |||||
Headquarter Relocation [Member] | ||||||
Headquarter relocation costs | $ 1,769 |
Restructuring and Business Re69
Restructuring and Business Realignment (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | $ 2,617 | $ 1,029 | $ 1,578 | |
Electronics [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring reserve | 273 | 458 | 733 | $ 780 |
Restructuring charges | 59 | 183 | 494 | |
Control Devices [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Business realignment charges | 0 | 0 | 0 | |
Restructuring expense | 0 | 0 | 0 | |
Facility Closing [Member] | Electronics [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring reserve | 273 | 458 | ||
Facility Closing [Member] | Other Noncurrent Liabilities [Member] | Electronics [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring reserve | 0 | 313 | ||
Selling, General and Administrative Expenses [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 1,080 | 528 | 559 | |
Selling, General and Administrative Expenses [Member] | Electronics [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 59 | 183 | 494 | |
Selling, General and Administrative Expenses [Member] | Corporate [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | 309 | |||
Cost of Sales [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | $ 437 | $ 172 | $ 847 |
Restructuring and Business Re70
Restructuring and Business Realignment (Schedule of Restructuring and Related Costs) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Restructuring Cost and Reserve [Line Items] | ||||
Charge to expense | $ 2,617 | $ 1,029 | $ 1,578 | |
Cost of Sales [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Charge to expense | 437 | 172 | 847 | |
Selling, General and Administrative Expenses [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Charge to expense | 1,080 | 528 | 559 | |
Design and Development [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Charge to expense | 1,100 | 329 | 172 | |
Electronics [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve, Beginning Balance | 458 | 733 | 780 | |
Charge to expense | 59 | 183 | 494 | |
Foreign currency translation effect | (69) | 3 | (45) | |
Cash payments | (175) | (461) | (496) | |
Restructuring Reserve, Ending Balance | 273 | 458 | 733 | |
Electronics [Member] | Selling, General and Administrative Expenses [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Charge to expense | 59 | 183 | 494 | |
Severance costs | 196 | 102 | ||
Electronics [Member] | Design and Development [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Severance costs | 984 | 215 | ||
PST Segment [Member] | Cost of Sales [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Severance costs | 437 | 172 | 847 | |
PST Segment [Member] | Selling, General and Administrative Expenses [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Severance costs | 884 | 117 | 559 | |
PST Segment [Member] | Design and Development [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Severance costs | 116 | 114 | 172 | |
Corporate [Member] | Selling, General and Administrative Expenses [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Charge to expense | 309 | |||
Employee Severance [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Charge to expense | 2,617 | 1,029 | 1,578 | |
Employee Severance [Member] | Electronics [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Charge to expense | [1] | 1,180 | 317 | |
Employee Severance [Member] | PST Segment [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Charge to expense | [2] | $ 1,437 | 403 | $ 1,578 |
Employee Severance [Member] | Corporate [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Charge to expense | [3] | $ 309 | ||
[1] | Severance costs for the year ended December 31, 2016 related to selling, general and administrative (“SG&A”) and design and development (“D&D”) were $196 and $984, respectively. Severance costs for the year ended December 31, 2015 related to SG&A and D&D were $102 and $215, respectively. | |||
[2] | Severance costs for the year ended December 31, 2016 related to cost of goods sold (“COGS”), SG&A and D&D were $437, $884 and $116, respectively. Severance costs for the year ended December 31, 2015 related to COGS, SG&A and D&D were $172, $117 and $114, respectively. Severance costs for year ended December 31, 2014 related to COGS, SG&A and D&D were $847, $559 and $172, respectively. | |||
[3] | Severance costs for the year then ended December 31, 2015 related to SG&A were $309. |
Restructuring and Business Re71
Restructuring and Business Realignment (Schedule of Business Realignment Charges Classified by Statement of Operations) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Restructuring Cost and Reserve [Line Items] | |||
Charge to expense | $ 2,617 | $ 1,029 | $ 1,578 |
Cost of Sales [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Charge to expense | 437 | 172 | 847 |
Selling, General and Administrative Expenses [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Charge to expense | 1,080 | 528 | 559 |
Design and Development [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Charge to expense | 1,100 | 329 | 172 |
Electronics [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Charge to expense | 59 | 183 | 494 |
Electronics [Member] | Selling, General and Administrative Expenses [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Charge to expense | $ 59 | 183 | $ 494 |
Corporate [Member] | Selling, General and Administrative Expenses [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Charge to expense | $ 309 |
Segment Reporting (Narrative) (
Segment Reporting (Narrative) (Details) | 12 Months Ended |
Dec. 31, 2016segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
Segment Reporting (Schedule of
Segment Reporting (Schedule of Segment Reporting Information, by Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Jun. 30, 2014 | Sep. 30, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Net Sales: | |||||||||||||||
Total net sales | $ 695,977 | $ 644,812 | $ 660,579 | ||||||||||||
Income (Loss) Before Income Taxes: | |||||||||||||||
Total operating income (loss) | $ 10,170 | $ 11,780 | $ 13,626 | $ 8,506 | $ 8,327 | $ 8,947 | $ 7,415 | $ 3,126 | 44,082 | 27,815 | (25,823) | ||||
Total income before income taxes | 39,185 | 20,230 | (53,060) | ||||||||||||
Interest Expense, net: | |||||||||||||||
Interest expense, net | 6,277 | 6,365 | 16,880 | ||||||||||||
Capital Expenditures: | |||||||||||||||
Capital expenditures | 24,476 | 28,735 | 24,754 | ||||||||||||
Long-Lived Assets | 153,636 | 132,343 | 153,636 | 132,343 | |||||||||||
Total Assets: | |||||||||||||||
Total assets | 394,529 | 364,252 | 394,529 | 364,252 | |||||||||||
Goodwill impairment charge (benefit) | 51,458 | ||||||||||||||
Continuing Operations [Member] | |||||||||||||||
Net Sales: | |||||||||||||||
Total net sales | 695,977 | 644,812 | 660,579 | ||||||||||||
Income (Loss) Before Income Taxes: | |||||||||||||||
Total income before income taxes | 44,082 | 27,815 | (25,823) | ||||||||||||
Depreciation and Amortization: | |||||||||||||||
Total depreciation and amortization | [1] | 23,258 | 22,409 | 27,105 | |||||||||||
Interest Expense, net: | |||||||||||||||
Interest expense, net | 6,277 | 6,365 | 16,880 | ||||||||||||
Capital Expenditures: | |||||||||||||||
Capital expenditures | 24,476 | 28,735 | 23,516 | ||||||||||||
Total Assets: | |||||||||||||||
Total assets | 394,529 | 364,252 | 394,529 | 364,252 | |||||||||||
Eliminations [Member] | Continuing Operations [Member] | |||||||||||||||
Net Sales: | |||||||||||||||
Total net sales | (35,187) | (24,959) | (38,243) | ||||||||||||
Total Assets: | |||||||||||||||
Total assets | (250,494) | (249,789) | (250,494) | (249,789) | |||||||||||
Electronics [Member] | Continuing Operations [Member] | |||||||||||||||
Net Sales: | |||||||||||||||
Total net sales | 238,617 | 239,448 | 249,304 | ||||||||||||
Income (Loss) Before Income Taxes: | |||||||||||||||
Total income before income taxes | 14,798 | 13,784 | 17,444 | ||||||||||||
Depreciation and Amortization: | |||||||||||||||
Total depreciation and amortization | 3,971 | 3,666 | 4,432 | ||||||||||||
Interest Expense, net: | |||||||||||||||
Interest expense, net | 142 | 161 | 695 | ||||||||||||
Capital Expenditures: | |||||||||||||||
Capital expenditures | 5,665 | 6,538 | 3,541 | ||||||||||||
Total Assets: | |||||||||||||||
Total assets | 99,964 | 97,443 | 99,964 | 97,443 | |||||||||||
Electronics [Member] | Operating Segments [Member] | Continuing Operations [Member] | |||||||||||||||
Net Sales: | |||||||||||||||
Total net sales | 205,256 | 216,544 | 214,141 | ||||||||||||
Electronics [Member] | Inter-Segment Sales [Member] | Continuing Operations [Member] | |||||||||||||||
Net Sales: | |||||||||||||||
Total net sales | 33,361 | 22,904 | 35,163 | ||||||||||||
Control Devices [Member] | Continuing Operations [Member] | |||||||||||||||
Net Sales: | |||||||||||||||
Total net sales | 409,958 | 335,065 | 309,738 | ||||||||||||
Income (Loss) Before Income Taxes: | |||||||||||||||
Total income before income taxes | 61,815 | 44,690 | 35,387 | ||||||||||||
Depreciation and Amortization: | |||||||||||||||
Total depreciation and amortization | 10,276 | 9,260 | 9,545 | ||||||||||||
Interest Expense, net: | |||||||||||||||
Interest expense, net | 226 | 326 | 303 | ||||||||||||
Capital Expenditures: | |||||||||||||||
Capital expenditures | 13,261 | 15,094 | 13,658 | ||||||||||||
Total Assets: | |||||||||||||||
Total assets | 150,623 | 127,649 | 150,623 | 127,649 | |||||||||||
Control Devices [Member] | Operating Segments [Member] | Continuing Operations [Member] | |||||||||||||||
Net Sales: | |||||||||||||||
Total net sales | 408,132 | 333,010 | 306,658 | ||||||||||||
Control Devices [Member] | Inter-Segment Sales [Member] | Continuing Operations [Member] | |||||||||||||||
Net Sales: | |||||||||||||||
Total net sales | 1,826 | 2,055 | 3,080 | ||||||||||||
Corporate [Member] | Continuing Operations [Member] | |||||||||||||||
Income (Loss) Before Income Taxes: | |||||||||||||||
Total operating income (loss) | [2] | 29,069 | 23,117 | 19,067 | |||||||||||
Depreciation and Amortization: | |||||||||||||||
Total depreciation and amortization | 452 | 211 | 130 | ||||||||||||
Interest Expense, net: | |||||||||||||||
Interest expense, net | 2,513 | 2,921 | 13,118 | ||||||||||||
Capital Expenditures: | |||||||||||||||
Capital expenditures | [3] | 2,337 | 1,214 | 156 | |||||||||||
Total Assets: | |||||||||||||||
Total assets | [3] | 287,031 | 288,806 | 287,031 | 288,806 | ||||||||||
PST [Member] | |||||||||||||||
Total Assets: | |||||||||||||||
Goodwill impairment charge (benefit) | $ 27,960 | $ 29,300 | $ 23,498 | 51,458 | |||||||||||
PST [Member] | Continuing Operations [Member] | |||||||||||||||
Net Sales: | |||||||||||||||
Total net sales | 82,589 | 95,258 | 139,780 | ||||||||||||
Income (Loss) Before Income Taxes: | |||||||||||||||
Total income before income taxes | (3,462) | (7,542) | (59,587) | ||||||||||||
Depreciation and Amortization: | |||||||||||||||
Total depreciation and amortization | 8,559 | 9,272 | 12,998 | ||||||||||||
Interest Expense, net: | |||||||||||||||
Interest expense, net | 3,396 | 2,957 | 2,764 | ||||||||||||
Capital Expenditures: | |||||||||||||||
Capital expenditures | 3,213 | 5,889 | 6,161 | ||||||||||||
Total Assets: | |||||||||||||||
Total assets | $ 107,405 | $ 100,143 | 107,405 | 100,143 | |||||||||||
PST [Member] | Operating Segments [Member] | Continuing Operations [Member] | |||||||||||||||
Net Sales: | |||||||||||||||
Total net sales | 82,589 | 95,258 | 139,780 | ||||||||||||
PST [Member] | Inter-Segment Sales [Member] | Continuing Operations [Member] | |||||||||||||||
Net Sales: | |||||||||||||||
Total net sales | |||||||||||||||
[1] | These amounts represent depreciation and amortization on property, plant and equipment and certain intangible assets. | ||||||||||||||
[2] | Unallocated Corporate expenses include, among other items, accounting, finance, legal, information technology costs as well as share-based compensation. | ||||||||||||||
[3] | Corporate assets consist primarily of cash, intercompany loan receivables, capital expenditures for the new headquarter building, equity investments and investments in subsidiaries. |
Segment Reporting (Schedule o74
Segment Reporting (Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Net Sales: | |||
Total net sales | $ 695,977 | $ 644,812 | $ 660,579 |
Long-term Assets: | |||
Total long-term assets | 153,636 | 132,343 | |
Total long-term assets | 153,636 | 132,343 | |
North America [Member] | |||
Net Sales: | |||
Total net sales | 428,046 | 369,032 | 330,516 |
Long-term Assets: | |||
Total long-term assets | 73,835 | 60,099 | |
South America [Member] | |||
Net Sales: | |||
Total net sales | 82,589 | 95,258 | 139,780 |
Long-term Assets: | |||
Total long-term assets | 63,497 | 56,943 | |
Europe and Other [Member] | |||
Net Sales: | |||
Total net sales | 185,342 | 180,522 | $ 190,283 |
Long-term Assets: | |||
Total long-term assets | $ 16,304 | $ 15,301 |
Unaudited Quarterly Financial75
Unaudited Quarterly Financial Data (Schedule of Quarterly Financial Information) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Sep. 30, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||||||||
Net sales | $ 172,612 | $ 173,846 | $ 186,903 | $ 162,616 | $ 154,641 | $ 162,057 | $ 165,289 | $ 162,825 | $ 695,977 | $ 644,812 | $ 660,579 | ||||||||||||
Gross profit | 47,779 | 49,748 | 52,751 | 45,161 | 42,239 | 45,145 | 45,946 | 43,648 | |||||||||||||||
Operating income (loss) | 10,170 | 11,780 | 13,626 | 8,506 | 8,327 | 8,947 | 7,415 | 3,126 | 44,082 | 27,815 | (25,823) | ||||||||||||
Provision (benefit) for income taxes | (39,503) | [1] | 919 | [1] | 1,350 | [1] | 845 | [1] | (345) | 32 | (381) | 147 | (36,389) | (547) | (1,856) | ||||||||
Income (loss) from continuing operations | 48,489 | 9,981 | 10,995 | 6,109 | 4,935 | 7,411 | 6,328 | 2,103 | 75,574 | 20,777 | (51,204) | ||||||||||||
Income (loss) from discontinued operations | 16 | [2] | (113) | [2] | 55 | [2] | (168) | [2] | (210) | (9,387) | |||||||||||||
Net income (loss) | 48,489 | 9,981 | 10,995 | 6,109 | 4,951 | 7,298 | 6,383 | 1,935 | 75,574 | 20,567 | (60,591) | ||||||||||||
Less: income (loss) attributable to noncontrolling interest | 122 | (303) | (576) | (1,130) | (1,133) | (69) | (596) | (409) | (1,887) | (2,207) | (13,483) | ||||||||||||
Net income (loss) attributable to Stoneridge, Inc. | $ 48,367 | $ 10,284 | $ 11,571 | $ 7,239 | $ 6,084 | $ 7,367 | $ 6,979 | $ 2,344 | $ 77,461 | $ 22,774 | $ (47,108) | ||||||||||||
Earnings (loss) per share attributable to continuing operations attributable to Stoneridge, Inc.: | |||||||||||||||||||||||
Basic (in dollars per share) | $ 1.74 | [3] | $ 0.37 | [3] | $ 0.42 | [3] | $ 0.26 | [3] | $ 0.22 | [3] | $ 0.27 | [3] | $ 0.26 | [3] | $ 0.10 | [3] | $ 2.79 | $ 0.84 | $ (1.40) | ||||
Diluted (in dollars per share) | 1.70 | [3] | 0.36 | [3] | 0.41 | [3] | 0.26 | [3] | 0.22 | [3] | 0.27 | [3] | 0.25 | [3] | 0.09 | [3] | 2.74 | 0.82 | (1.40) | ||||
Earnings (loss) per share attributable to discontinued operations: | |||||||||||||||||||||||
Basic (in dollars per share) | 0 | [3] | (0.01) | [3] | 0 | [3] | (0.01) | [3] | 0 | (0.01) | (0.35) | ||||||||||||
Diluted (in dollars per share) | 0 | [3] | (0.01) | [3] | 0 | [3] | (0.01) | [3] | 0 | (0.01) | (0.35) | ||||||||||||
Earnings (loss) per share attributable to Stoneridge, Inc.: | |||||||||||||||||||||||
Basic (in dollars per share) | 1.74 | [3] | 0.37 | [3] | 0.42 | [3] | 0.26 | [3] | 0.22 | [3] | 0.26 | [3] | 0.26 | [3] | 0.09 | [3] | 2.79 | 0.83 | (1.75) | ||||
Diluted (in dollars per share) | $ 1.70 | [3] | $ 0.36 | [3] | $ 0.41 | [3] | $ 0.26 | [3] | $ 0.22 | [3] | $ 0.26 | [3] | $ 0.25 | [3] | $ 0.08 | [3] | $ 2.74 | $ 0.81 | $ (1.75) | ||||
Goodwill impairment charge (benefit) | $ 51,458 | ||||||||||||||||||||||
Goodwill impairment loss (gain) attributable to noncontrolling interest | $ 6,142 | ||||||||||||||||||||||
Increase (decrease) in valuation allowance | $ (49,600) | ||||||||||||||||||||||
(Loss) on early extinguishment of debt | (10,607) | ||||||||||||||||||||||
Loss on disposal, net of tax | $ 16 | $ (113) | $ 55 | $ (168) | $ (210) | (8,576) | |||||||||||||||||
PST [Member] | |||||||||||||||||||||||
Earnings (loss) per share attributable to Stoneridge, Inc.: | |||||||||||||||||||||||
Goodwill impairment charge (benefit) | $ 27,960 | $ 29,300 | $ 23,498 | 51,458 | |||||||||||||||||||
Goodwill impairment loss (gain) attributable to noncontrolling interest | $ (1,274) | $ 6,436 | $ 5,162 | $ 11,304 | |||||||||||||||||||
[1] | The Company recorded the release of a valuation allowance associated with its U.S. federal, certain state and foreign deferred tax assets for the year ended December 31, 2016. | ||||||||||||||||||||||
[2] | A gain (loss) on disposal of the Wiring business was recorded for the quarters ended March 31, 2015, June 30, 2015, September 30, 2015 and December 31, 2015 for $(168), $55, $(113) and $16, respectively | ||||||||||||||||||||||
[3] | Earnings per share for the year may not equal the sum of the four historical quarters earnings per share due to changes in weighted-average basic and diluted shares outstanding. |
Subsequent Events (Narrative) (
Subsequent Events (Narrative) (Details) € in Thousands, $ in Thousands | Jan. 30, 2017 | Jan. 31, 2017EUR (€) | Jan. 31, 2017USD ($) | Dec. 31, 2014USD ($) |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Revolving credit facility borrowings | $ 100,000 | |||
Subsequent Event [Member] | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Credit agreement, amendment date | Jan. 30, 2017 | |||
Subsequent Event [Member] | Orlaco [Member] | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Business acquisition agreement date | Jan. 31, 2017 | Jan. 31, 2017 | ||
Fair value of consideration transferred | € 74,939 | $ 79,675 | ||
Business acquisition, cash paid for acquired entity | 67,439 | 71,701 | ||
Business acquisition, escrow | 7,500 | 7,974 | ||
Business acquisition, contingent consideration | € | € 7,500 | |||
Revolving Credit Facility [Member] | Subsequent Event [Member] | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Revolving credit facility borrowings | $ 81,000 |
SCHEDULE II - VALUATION AND Q77
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Increase (decrease) in valuation allowance | $ (49,600) | |||
Accounts Receivable Reserves | ||||
Balance at beginning of period | 1,066 | $ 2,017 | $ 2,625 | |
Charged to cost and expenses | 1,604 | 395 | 619 | |
Write-offs | (1,040) | (1,346) | (1,227) | |
Balance at end of period | 1,630 | 1,066 | 2,017 | |
Valuation Allowance Of Deferred Tax Assets [Member] | ||||
Balance at beginning of period | 59,391 | 67,907 | 71,827 | |
Net additions charged to income (expense) | (47,659) | [1] | (7,957) | (2,786) |
Write-offs | (607) | (559) | (1,134) | |
Balance at end of period | $ 11,125 | $ 59,391 | $ 67,907 | |
[1] | The Company recorded the release of a valuation allowance associated with its U.S. federal, certain state and foreign deferred tax assets of $49.6 million. |