Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 27, 2014 | Oct. 16, 2014 | |
Document and Entity Information [Abstract] | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 46,921,688 |
Entity Registrant Name | 'CHARLES RIVER LABORATORIES INTERNATIONAL INC | ' |
Entity Central Index Key | '0001100682 | ' |
Current Fiscal Year End Date | '--12-27 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Document Type | '10-Q | ' |
Document Period End Date | 27-Sep-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Amendment Flag | 'false | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' |
Entity Voluntary Filers | 'No | ' |
Entity Current Reporting Status | 'Yes | ' |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Product revenue | $122,816 | $116,732 | $380,015 | $364,877 |
Service revenue | 204,751 | 175,397 | 588,099 | 511,423 |
Total revenue | 327,567 | 292,129 | 968,114 | 876,300 |
Costs and expenses | ' | ' | ' | ' |
Cost of products sold | 65,246 | 70,294 | 199,423 | 202,954 |
Cost of services provided | 144,053 | 121,909 | 415,976 | 366,639 |
Selling, general and administrative | 64,476 | 54,903 | 196,999 | 167,021 |
Amortization of other intangibles | 7,620 | 4,180 | 18,813 | 12,892 |
Operating income | 46,172 | 40,843 | 136,903 | 126,794 |
Other income (expense) | ' | ' | ' | ' |
Interest income | 376 | 143 | 803 | 476 |
Interest expense | -2,997 | -2,319 | -9,171 | -18,143 |
Other income, net | 331 | 4,059 | 8,874 | 6,094 |
Income from continuing operations, before income taxes | 43,882 | 42,726 | 137,409 | 115,221 |
Provision (benefit) for income taxes | 11,582 | 11,390 | 36,021 | 29,331 |
Income from continuing operations, net of income taxes | 32,300 | 31,336 | 101,388 | 85,890 |
Income (loss) from discontinued operations, net of taxes | 52 | -113 | -862 | -1,183 |
Net income | 32,352 | 31,223 | 100,526 | 84,707 |
Less: Net income attributable to noncontrolling interests | -316 | -356 | -994 | -978 |
Net income attributable to common shareowners | $32,036 | $30,867 | $99,532 | $83,729 |
Basic: | ' | ' | ' | ' |
Continuing operations attributable to common shareowners (in dollars per share) | $0.70 | $0.65 | $2.15 | $1.77 |
Discontinued operations (in dollars per share) | $0 | $0 | ($0.02) | ($0.02) |
Net income attributable to common shareowners (in dollars per share) | $0.70 | $0.64 | $2.13 | $1.75 |
Diluted: | ' | ' | ' | ' |
Continuing operations attributable to common shareowners (in dollars per share) | $0.68 | $0.64 | $2.11 | $1.75 |
Discontinued operations (in dollars per share) | $0 | $0 | ($0.02) | ($0.02) |
Net income attributable to common shareowners (in dollars per share) | $0.68 | $0.64 | $2.09 | $1.72 |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' | ' |
Net income | $32,352 | $31,223 | $100,526 | $84,707 |
Foreign currency translation adjustment | -31,635 | 16,371 | -23,751 | -9,653 |
Defined benefit plan gains (losses) and prior service costs not yet recognized as components of net periodic pension cost: | ' | ' | ' | ' |
Amortization of prior service costs and net gains and losses | 291 | 752 | 871 | 2,249 |
Comprehensive income, before tax | 1,008 | 48,346 | 77,646 | 77,303 |
Income tax expense (benefit) related to items of other comprehensive income | 125 | -326 | 273 | 874 |
Comprehensive income, net of tax | 883 | 48,672 | 77,373 | 76,429 |
Less: comprehensive income related to noncontrolling interests | -712 | -454 | -852 | -1,260 |
Comprehensive income attributable to common shareholders | $171 | $48,218 | $76,521 | $75,169 |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) | Sep. 27, 2014 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Current assets | ' | ' |
Cash and cash equivalents | $130,747 | $155,927 |
Trade receivables, net | 275,024 | 220,630 |
Inventories | 92,695 | 89,396 |
Other current assets | 106,718 | 85,847 |
Current assets of discontinued businesses | 835 | 750 |
Total current assets | 606,019 | 552,550 |
Property, plant and equipment, net | 671,244 | 676,182 |
Goodwill | 289,356 | 230,701 |
Other intangibles, net | 167,545 | 84,537 |
Deferred tax asset | 21,215 | 23,671 |
Other assets | 83,873 | 61,964 |
Long-term assets of discontinued businesses | 3,106 | 3,151 |
Total assets | 1,842,358 | 1,632,756 |
Current liabilities | ' | ' |
Current portion of long-term debt and capital leases | 31,917 | 21,437 |
Accounts payable | 27,547 | 31,770 |
Accrued compensation | 69,616 | 58,461 |
Deferred revenue | 66,920 | 54,177 |
Accrued liabilities | 69,516 | 56,712 |
Other current liabilities | 15,508 | 22,546 |
Current liabilities of discontinued businesses | 2,059 | 1,931 |
Total current liabilities | 283,083 | 247,034 |
Long-term debt and capital leases | 754,799 | 642,352 |
Other long-term liabilities | 98,219 | 70,632 |
Long-term liabilities of discontinued businesses | 7,876 | 8,080 |
Total liabilities | 1,143,977 | 968,098 |
Redeemable noncontrolling interest | 24,550 | 20,581 |
Shareholders' equity | ' | ' |
Preferred stock, $0.01 par value; 20,000,000 shares authorized; no shares issued and outstanding | 0 | 0 |
Common stock, $0.01 par value; 120,000,000 shares authorized; 83,942,118 issued and 46,766,227 shares outstanding at September 27, 2014 and 82,522,905 issued and 47,553,841 shares outstanding at December 28, 2013 | 839 | 825 |
Additional paid-in capital | 2,276,279 | 2,206,155 |
Accumulated deficit | -165,941 | -265,473 |
Treasury stock, at cost, 37,175,891 shares and 34,969,064 shares at September 27, 2014 and December 28, 2013, respectively | -1,423,227 | -1,305,880 |
Accumulated other comprehensive income | -17,654 | 5,357 |
Total shareholders' equity | 670,296 | 640,984 |
Noncontrolling interests | 3,535 | 3,093 |
Stockholder's Equity, Including Noncontrolling Interest and Redeemable Noncontrolling Interest | 698,381 | 664,658 |
Total liabilities and equity | $1,842,358 | $1,632,756 |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Sep. 27, 2014 | Dec. 28, 2013 |
Statement of Financial Position [Abstract] | ' | ' |
Preferred stock, par value (in dollars per share) | $0.01 | $0.01 |
Preferred stock, shares authorized | 20,000,000 | 20,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized | 120,000,000 | 120,000,000 |
Common stock, shares issued | 83,942,118 | 82,522,905 |
Common Stock, Shares, Outstanding | 46,766,227 | 47,553,841 |
Treasury stock, shares | 37,175,891 | 34,969,064 |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 |
Cash flows relating to operating activities | ' | ' |
Net income | $100,526 | $84,707 |
Less: Income (loss) from discontinued operations | -862 | -1,183 |
Income from continuing operations | 101,388 | 85,890 |
Adjustments to reconcile net income from continuing operations to net cash provided by operating activities: | ' | ' |
Depreciation and amortization | 70,435 | 67,336 |
Amortization of debt issuance costs and discounts | 1,298 | 9,124 |
Stock-based compensation | 23,132 | 18,231 |
Deferred income taxes | 1,140 | 8,675 |
Gain on investments in limited partnerships | -7,377 | -4,832 |
Other, net | -1,546 | 2,336 |
Changes in assets and liabilities: | ' | ' |
Trade receivables | -40,961 | -22,663 |
Inventories | -4,573 | 1,445 |
Other assets | -15,055 | -7,917 |
Accounts payable | -1,779 | -7,688 |
Accrued compensation | 10,795 | 10,500 |
Deferred revenue | 8,826 | -2,289 |
Accrued liabilities | 13,355 | 3,285 |
Taxes payable and prepaid taxes | -3,953 | -9,557 |
Other liabilities | -2,842 | -5,326 |
Net cash provided by operating activities | 152,283 | 146,550 |
Cash flows relating to investing activities | ' | ' |
Acquisition of businesses, net of cash acquired | -183,151 | -24,218 |
Capital expenditures | -29,907 | -25,319 |
Purchases of investments | -18,171 | -15,341 |
Proceeds from sale of investments and distributions from investments in limited partnerships | 15,964 | 10,437 |
Other, net | -1,924 | 108 |
Net cash used in investing activities | -217,189 | -54,333 |
Cash flows relating to financing activities | ' | ' |
Proceeds from long-term debt and revolving credit agreement | 247,920 | 467,804 |
Proceeds from exercises of stock options | 46,741 | 58,986 |
Payments on long-term debt, capital lease obligation and revolving credit agreement | -132,431 | -502,241 |
Purchase of treasury stock | -121,985 | -91,703 |
Other, net | 4,051 | -1,176 |
Net cash used in financing activities | 44,296 | -68,330 |
Discontinued operations | ' | ' |
Net cash used in operating activities | -570 | -1,533 |
Net cash provided by discontinued operations | -570 | -1,533 |
Effect of exchange rate changes on cash and cash equivalents | -4,000 | -1,585 |
Net change in cash and cash equivalents | -25,180 | 20,769 |
Cash and cash equivalents, beginning of period | 155,927 | 109,685 |
Cash and cash equivalents, end of period | $130,747 | $130,454 |
CONDENSED_CONSOLIDATED_STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (USD $) | Total | Accumulated (Deficit) Earnings | Accumulated Other Comprehensive Income | Common Stock | Additional Paid-in Capital | Treasury Stock | Non-controlling Interest |
In Thousands, unless otherwise specified | |||||||
December 28, 2013 at Dec. 28, 2013 | $664,658 | ($265,473) | $5,357 | $825 | $2,206,155 | ($1,305,880) | $23,674 |
Components of comprehensive income, net of tax: | ' | ' | ' | ' | ' | ' | ' |
Net income | 100,526 | 99,532 | ' | ' | ' | ' | 994 |
Other comprehensive income (loss) | -23,153 | ' | -23,011 | ' | ' | ' | -142 |
Comprehensive income, net of tax | 77,373 | ' | ' | ' | ' | ' | 852 |
Adjustment of redeemable noncontrolling interest to fair value | 0 | ' | ' | ' | -3,559 | ' | 3,559 |
Tax benefit associated with stock issued under employee compensation plans | 3,751 | ' | ' | ' | 3,751 | ' | ' |
Issuance of stock under employee compensation plans | 46,814 | ' | ' | 14 | 46,800 | ' | ' |
Acquisition of treasury shares | -117,347 | ' | ' | ' | 0 | -117,347 | ' |
Stock-based compensation | 23,132 | ' | ' | ' | 23,132 | ' | ' |
June 28, 2014 at Sep. 27, 2014 | $698,381 | ($165,941) | ($17,654) | $839 | $2,276,279 | ($1,423,227) | $28,085 |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended | ||
Sep. 27, 2014 | |||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ||
Basis of Presentation | ' | ||
BASIS OF PRESENTATION | |||
The condensed consolidated interim financial statements of Charles River Laboratories International, Inc. (the Company) are unaudited, and certain information and footnote disclosures related thereto normally included in financial statements prepared in accordance with generally accepted accounting principles in the United States (U.S. GAAP) have been omitted in accordance with Rule 10-01 of Regulation S-X. In the opinion of management, the accompanying unaudited condensed consolidated financial statements were prepared following the same policies and procedures used in the preparation of the audited financial statements and reflect all adjustments (consisting of normal recurring adjustments) considered necessary to state fairly the Company's financial position and results of operations. The results of operations for the interim periods are not necessarily indicative of the results for the entire fiscal year. These condensed consolidated financial statements should be read in conjunction with the Company's Annual Report on Form 10-K for the year ended December 28, 2013. Certain reclassifications have been made to prior periods' financial statements to conform with the current period presentation. | |||
During the quarter ended June 28, 2014, the Company revised its reportable segments to ensure alignment with the Company's view of the business following its acquisition of the contract research organization (CRO) services division of Galapagos N.V. (Early Discovery). The Company reviewed the new and existing markets addressed by the business, the recently revised go-to-market strategy, long-term operating margins, the discrete financial information available to its Chief Operating Decision Maker (CODM) and considered how its businesses aggregate based on these qualitative and quantitative factors. Based on this review, the Company identified three reportable segments: Research Models and Services (RMS), Discovery and Safety Assessment (DSA) and Manufacturing Support (Manufacturing). The Company reported segment results on this basis beginning in the quarter ended June 28, 2014 and retrospectively for all comparable prior periods. | |||
The revised reportable segments are as follows: | |||
Research Models and Services | Discovery and Safety Assessment | Manufacturing Support | |
Research Models | Discovery Services (1) | Endotoxin and Microbial Detection | |
Research Model Services (2) | Safety Assessment | Avian Vaccine Services | |
Biologics Testing Solutions | |||
(1) Discovery Services includes the Early Discovery businesses, which were acquired on April 1, 2014. | |||
(2) Research Model Services include Genetically Engineered Models and Services (GEMS), Research Animal Diagnostic Services (RADS), and Insourcing Solutions (IS). | |||
Prior to recasting the reportable segments, the businesses were reported in two segments as follows: | |||
Research Models and Services | Preclinical Services | ||
Research Models (3) | Discovery Services | ||
Research Model Services (4) | Safety Assessment | ||
Endotoxin and Microbial Detection | Biologics Testing Solutions | ||
(3) Research Models included Avian Vaccine Services. | |||
(4) Research Model Services included GEMS, RADS, IS and Discovery Research Services. | |||
Use of Estimates | |||
The preparation of condensed consolidated financial statements in accordance with U.S. GAAP requires that the Company makes estimates and judgments that may affect the reported amounts of assets, liabilities, revenues, expenses, and related disclosure of contingent assets and liabilities. On an on-going basis, the Company evaluates its estimates, including those related to revenue recognition, impairment of long-lived assets, purchase accounting for acquired businesses, equity investments, income taxes including the valuation allowance for deferred tax assets, defined benefit pension plans, contingencies and share-based compensation. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable, the results of which form the basis for making judgments about the carrying values of assets and liabilities. Actual results may differ from these estimates under different assumptions or conditions. Changes in estimates are reflected in reported results in the period in which they become known. | |||
Summary of Significant Accounting Policies | |||
The Company’s significant accounting policies are described in Note 1, “Description of Business and Summary of Significant Accounting Policies,” in the 2013 Annual Report on Form 10-K. | |||
Consolidation | |||
The Company's condensed consolidated financial statements reflect its financial statements, those of its wholly-owned subsidiaries and those of certain variable interest entities where the Company is the primary beneficiary. For consolidated entities in which the Company owns or is exposed to less than 100% of the economics, the Company records net income (loss) attributable to noncontrolling interests in its condensed consolidated statements of income equal to the percentage of the economic or ownership interest retained in such entities by the respective noncontrolling parties. Intercompany balances and transactions are eliminated in consolidation. | |||
In determining whether the Company is the primary beneficiary of an entity and therefore required to consolidate, the Company applies a qualitative approach that determines whether it has both (1) the power to direct the economically significant activities of the entity and (2) the obligation to absorb losses of, or the right to receive benefits from, the entity that could potentially be significant to that entity. The Company continuously assesses whether it is the primary beneficiary of a variable interest entity as changes to existing relationships or future transactions may result in the Company consolidating or deconsolidating certain of its variable interest entities. | |||
Recent Accounting Pronouncements | |||
In April 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-08, "Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity." ASU 2014-08 changes the criteria for determining which disposals can be presented as discontinued operations and modifies related disclosure requirements. The ASU is effective for annual and interim periods beginning after December 15, 2014. The Company does not expect the impact of the adoption of this standard to be material to its consolidated financial statements. | |||
In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers." The standard requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The standard will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective and permits the use of either the retrospective or cumulative effect transition method. Early adoption is not permitted. The ASU is effective for annual and interim periods beginning after December 15, 2016. The Company has not yet selected a transition method and is evaluating the impact the adoption will have on its consolidated financial statements and related disclosures. |
Business_Acquisitions
Business Acquisitions | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Business Combinations [Abstract] | ' | |||||||||||||||
Business Combination Disclosure [Text Block] | ' | |||||||||||||||
BUSINESS ACQUISITIONS | ||||||||||||||||
Early Discovery | ||||||||||||||||
On April 1, 2014, the Company acquired Early Discovery consisting of (1) 100% of the shares of the United Kingdom (U.K.) based entities Argenta and BioFocus, and (2) certain Dutch assets. These businesses have formed the core of the Company's Early Discovery business. With this acquisition, the Company has enhanced its position as a full service, early-stage CRO, with integrated in vitro and in vivo capabilities from target discovery through preclinical development. The preliminary purchase price of the acquisition is $191.3 million, including $0.9 million in contingent consideration. The acquisition was funded by cash on hand and borrowings on the Company's revolving credit facility. The purchase price includes payment for estimated working capital, which is subject to final adjustment based on the actual working capital of the acquired business. The businesses are reported in the Company's DSA segment. | ||||||||||||||||
The contingent consideration is a one-time payment that could become payable based on the achievement of a revenue target for the twelve-month period following the acquisition. If achieved, the payment would become due in the second quarter of 2015. The aggregate, undiscounted amount of contingent consideration that the Company would pay is €5.0 million ($6.3 million as of September 27, 2014). The Company estimated the fair value of this contingent consideration based on a probability-weighted set of outcomes. | ||||||||||||||||
The preliminary purchase price allocation of $183.1 million, net of $8.2 million of cash acquired, is as follows: | ||||||||||||||||
1-Apr-14 | ||||||||||||||||
(in thousands) | ||||||||||||||||
Current assets (excluding cash) | $ | 31,257 | ||||||||||||||
Property, plant and equipment | 21,008 | |||||||||||||||
Other long term assets | 11,549 | |||||||||||||||
Definite-lived intangible assets | 104,270 | |||||||||||||||
Goodwill | 66,330 | |||||||||||||||
Current liabilities | (14,299 | ) | ||||||||||||||
Long term liabilities | (36,973 | ) | ||||||||||||||
Total purchase price allocation | $ | 183,142 | ||||||||||||||
The purchase price allocations were prepared on a preliminary basis and are subject to change as additional information becomes available concerning the fair value and tax basis of the assets acquired and liabilities assumed. During the third quarter of 2014, we recorded measurement period adjustments related to the Early Discovery acquisition that resulted in an immaterial change to the purchase price allocation. Any additional adjustments to the purchase price allocation will be made as soon as practicable but no later than one year from the date of acquisition. | ||||||||||||||||
The breakout of definite-lived intangible assets acquired is as follows: | ||||||||||||||||
1-Apr-14 | Weighted average amortization life | |||||||||||||||
(in thousands) | ||||||||||||||||
Client relationships | $ | 94,000 | 18 years | |||||||||||||
Backlog | 5,700 | 1 year | ||||||||||||||
Trademark and trade names | 1,170 | 3 years | ||||||||||||||
Leasehold interests | 1,000 | 13 years | ||||||||||||||
Other intangible assets | 2,400 | 19 years | ||||||||||||||
Total definite-lived intangible assets | $ | 104,270 | ||||||||||||||
The goodwill resulting from the transaction is primarily attributed to the potential growth in the Company's DSA businesses from customers introduced through the Early Discovery business, the assembled workforce of the acquired businesses and expected cost synergies. The goodwill attributable to Argenta and BioFocus is not deductible for tax purposes. The Company incurred transaction and integration costs in connection with the acquisition of $0.5 million and $5.4 million during the three and nine months ended September 27, 2014, respectively, which are included in selling, general and administrative expenses. | ||||||||||||||||
The following selected unaudited pro forma consolidated results of operations are presented as if the Early Discovery acquisition had occurred as of the beginning of the period immediately preceding the period of acquisition after giving effect to certain adjustments, including amortization of intangible assets and depreciation of fixed assets of $3.7 million and other one-time costs. These pro forma are for informational purposes only and do not necessarily reflect the results of operations had the companies operated as one entity during the periods reported. No effect has been given for synergies, if any, that may have been realized through the acquisition. | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
27-Sep-14 | 28-Sep-13 | 27-Sep-14 | 28-Sep-13 | |||||||||||||
(in thousands) | ||||||||||||||||
Revenue | $ | 327,567 | $ | 313,460 | $ | 993,223 | $ | 935,693 | ||||||||
Net income | 32,036 | 29,098 | 101,029 | 76,705 | ||||||||||||
Earnings per common share | ||||||||||||||||
Basic | $ | 0.7 | $ | 0.61 | $ | 2.16 | $ | 1.6 | ||||||||
Diluted | $ | 0.68 | $ | 0.6 | $ | 2.12 | $ | 1.58 | ||||||||
These pro forma results of operations have been prepared for comparative purposes only, and they do not purport to be indicative of the results of operations that actually would have resulted had the acquisition occurred on the date indicated or that may result in the future. Early Discovery revenue and operating loss for the three months ended September 27, 2014 are $23.3 million and $0.4 million, respectively. Early Discovery revenue and operating loss for the nine months ended September 27, 2014 are $46.8 million and $0.4 million, respectively. | ||||||||||||||||
VivoPath | ||||||||||||||||
In June 2014, the Company acquired substantially all of the assets of VivoPath, LLC, a discovery service company specializing in the rapid, in vivo compound evaluation of molecules in the therapeutic areas of metabolism, inflammation and oncology. The preliminary purchase price was $2.3 million, including $1.6 million in contingent consideration, and was allocated primarily to the intangible assets acquired. The aggregate, undiscounted amount of contingent consideration that could become payable is a maximum of $2.4 million payable over the next three years based on the achievement of revenue growth targets. The Company estimated the fair value of this contingent consideration based on a probability-weighted set of outcomes. The business is reported in the Company's DSA segment. |
Restructuring_and_Asset_Impair
Restructuring and Asset Impairments | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||||||
Restructuring and Contract Termination Costs | ' | |||||||||||||||
RESTRUCTURING AND ASSET IMPAIRMENTS | ||||||||||||||||
Facilities | ||||||||||||||||
RMS Japan | ||||||||||||||||
In the second quarter of 2014, the Company committed to a plan to consolidate certain research model operations in Japan. As a result, the Company adjusted the carrying value of certain facilities impacted by the consolidation plan. During the three and nine months ended September 27, 2014, the Company recorded $1.3 million and $1.7 million of accelerated depreciation, respectively. Additional accelerated depreciation for 2014 will amount to approximately $1.2 million. | ||||||||||||||||
RMS North America | ||||||||||||||||
In the first quarter of 2014, the Company committed to a plan to close its research model production facility located in Michigan by the end of 2014 and to reassign the sourcing of research models to other facilities in the United States (U.S.). As a result of these actions, the Company reviewed the long-lived assets of this asset group, consisting of land improvements, building and equipment, for potential impairment based on the undiscounted cash flows of the group and considered the potential redeployment and future utilization of the facility's machinery and equipment. During the three and nine months ended September 27, 2014, the Company recorded $0.3 million and $1.3 million of asset impairments and other charges, respectively, as well as $0.3 million and $0.9 million of accelerated depreciation, respectively. Additional accelerated depreciation for 2014 will amount to approximately $0.2 million. | ||||||||||||||||
RMS Europe | ||||||||||||||||
In 2012, the Company commenced a consolidation of certain research model operations in Europe. As a result, the Company adjusted the carrying value of certain facilities impacted by the consolidation plan to fair value through an asset impairment charge in 2012. During the second quarter of 2014, the Company recorded an additional impairment charge of $0.3 million related to certain facilities and also recorded a gain of $1.1 million on the sale of another facility. | ||||||||||||||||
Staffing Reductions | ||||||||||||||||
The Company has periodically implemented staffing reductions to improve operating efficiency and profitability at various sites. As a result of these actions, for the nine months ended September 27, 2014 and September 28, 2013, the Company recorded severance and retention charges as shown below. As of September 27, 2014, $2.4 million was included in accrued compensation and $0.9 million in other long-term liabilities on the Company's consolidated balance sheet. | ||||||||||||||||
The following table rolls forward the Company's severance and retention cost liability: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
27-Sep-14 | 28-Sep-13 | 27-Sep-14 | 28-Sep-13 | |||||||||||||
(in thousands) | ||||||||||||||||
Balance, beginning of period | $ | 3,823 | $ | 2,917 | $ | 2,782 | $ | 3,636 | ||||||||
Expense | 574 | 476 | 5,363 | 1,058 | ||||||||||||
Payments/Utilization | (1,117 | ) | (783 | ) | (4,865 | ) | (2,084 | ) | ||||||||
Balance, end of period | $ | 3,280 | $ | 2,610 | $ | 3,280 | $ | 2,610 | ||||||||
The following table presents severance and retention costs by classification on the income statement: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
27-Sep-14 | 28-Sep-13 | 27-Sep-14 | 28-Sep-13 | |||||||||||||
(in thousands) | ||||||||||||||||
Severance charges included in cost of revenue | $ | 367 | $ | 476 | $ | 3,121 | $ | 989 | ||||||||
Severance charges included in selling, general and administrative expense | 207 | — | 2,242 | 69 | ||||||||||||
Total expense | $ | 574 | $ | 476 | $ | 5,363 | $ | 1,058 | ||||||||
The following table presents severance and retention cost by segment: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
27-Sep-14 | 28-Sep-13 | 27-Sep-14 | 28-Sep-13 | |||||||||||||
(in thousands) | ||||||||||||||||
Research models and services | $ | 379 | $ | 32 | $ | 3,974 | $ | 301 | ||||||||
Discovery and safety assessment | 69 | 398 | 1,118 | 711 | ||||||||||||
Manufacturing support | 126 | 46 | 150 | 46 | ||||||||||||
Corporate | — | — | 121 | — | ||||||||||||
Total expense | $ | 574 | $ | 476 | $ | 5,363 | $ | 1,058 | ||||||||
Supplemental_Balance_Sheet_Inf
Supplemental Balance Sheet Information | 9 Months Ended | |||||||
Sep. 27, 2014 | ||||||||
Supplemental Balance Sheet Information [Abstract] | ' | |||||||
Supplemental Balance Sheet Information | ' | |||||||
SUPPLEMENTAL BALANCE SHEET INFORMATION | ||||||||
The composition of trade receivables, net is as follows: | ||||||||
27-Sep-14 | 28-Dec-13 | |||||||
(in thousands) | ||||||||
Client receivables | $ | 229,366 | $ | 190,423 | ||||
Unbilled revenue | 50,670 | 35,184 | ||||||
Total | 280,036 | 225,607 | ||||||
Less allowance for doubtful accounts | (5,012 | ) | (4,977 | ) | ||||
Trade receivables, net | $ | 275,024 | $ | 220,630 | ||||
The composition of inventories is as follows: | ||||||||
27-Sep-14 | 28-Dec-13 | |||||||
(in thousands) | ||||||||
Raw materials and supplies | $ | 15,583 | $ | 15,028 | ||||
Work in process | 12,053 | 11,715 | ||||||
Finished products | 65,059 | 62,653 | ||||||
Inventories | $ | 92,695 | $ | 89,396 | ||||
The composition of other current assets is as follows: | ||||||||
27-Sep-14 | 28-Dec-13 | |||||||
(in thousands) | ||||||||
Prepaid assets | $ | 31,466 | $ | 20,058 | ||||
Deferred tax asset | 31,636 | 29,139 | ||||||
Time deposits | 14,577 | 11,158 | ||||||
Prepaid income tax | 25,747 | 25,247 | ||||||
Restricted cash | 3,292 | 245 | ||||||
Other current assets | $ | 106,718 | $ | 85,847 | ||||
The composition of property, plant and equipment, net is as follows: | ||||||||
27-Sep-14 | 28-Dec-13 | |||||||
(in thousands) | ||||||||
Land | $ | 39,452 | $ | 40,157 | ||||
Buildings | 701,160 | 694,074 | ||||||
Machinery and equipment | 385,222 | 367,244 | ||||||
Leasehold improvements | 40,150 | 37,959 | ||||||
Furniture and fixtures | 23,796 | 24,013 | ||||||
Vehicles | 3,836 | 3,859 | ||||||
Computer hardware and software | 117,889 | 112,328 | ||||||
Construction in progress (1) | 31,862 | 42,075 | ||||||
Total | 1,343,367 | 1,321,709 | ||||||
Less accumulated depreciation | (672,123 | ) | (645,527 | ) | ||||
Property, plant and equipment, net | $ | 671,244 | $ | 676,182 | ||||
(1) Includes the leased facility under construction. See Note 8, "Long-Term Debt and Capital Lease Obligations." | ||||||||
Depreciation expense for the three months ended September 27, 2014 and September 28, 2013 was $18.4 million and $22.7 million, respectively. Depreciation expense for the nine months ended September 27, 2014 and September 28, 2013 was $51.6 million and $54.4 million, respectively. | ||||||||
The composition of other assets is as follows: | ||||||||
27-Sep-14 | 28-Dec-13 | |||||||
(in thousands) | ||||||||
Deferred financing costs | $ | 5,828 | $ | 7,126 | ||||
Cash surrender value of life insurance policies | 27,267 | 26,507 | ||||||
Investments in limited partnerships | 23,432 | 17,911 | ||||||
Other assets | 27,346 | 10,420 | ||||||
Other assets | $ | 83,873 | $ | 61,964 | ||||
The composition of other current liabilities is as follows: | ||||||||
27-Sep-14 | 28-Dec-13 | |||||||
(in thousands) | ||||||||
Accrued income taxes | $ | 13,667 | $ | 18,773 | ||||
Current deferred tax liability | 1,652 | 1,960 | ||||||
Accrued interest and other | 189 | 1,813 | ||||||
Other current liabilities | $ | 15,508 | $ | 22,546 | ||||
The composition of other long-term liabilities is as follows: | ||||||||
27-Sep-14 | 28-Dec-13 | |||||||
(in thousands) | ||||||||
Deferred tax liability | $ | 30,764 | $ | 14,988 | ||||
Long-term pension liability | 14,822 | 16,219 | ||||||
Accrued Executive Supplemental Life Insurance Retirement Plan and Deferred Compensation Plan | 30,559 | 28,708 | ||||||
Other long-term liabilities | 22,074 | 10,717 | ||||||
Other long-term liabilities | $ | 98,219 | $ | 70,632 | ||||
Investments_in_LPs
Investments in LPs | 9 Months Ended |
Sep. 27, 2014 | |
Marketable Securities and Equity-Method Affiliates [Abstract] | ' |
Marketable Securities and Equity-Method Affiliates | ' |
INVESTMENTS IN LIMITED PARTNERSHIPS | |
The Company has invested in several venture capital limited partnerships that invest in start-up companies in the life sciences industry. The Company's total commitment to these entities as of September 27, 2014 was $55.0 million, of which the Company has funded $18.0 million through the third quarter of 2014. During the three and nine months ended September 27, 2014, the Company received dividends in cash and in securities totaling $0 and $7.4 million, respectively. The Company's ownership interest in these limited partnerships ranges from 3.8% to 12.1%. These limited partnerships prepare quarterly financial statements following investment company accounting guidelines, whereby investments are adjusted to fair value with resulting gains and losses recorded in earnings. These entities estimate the fair value of non-publicly traded investments based on all available information, including value implied by the pricing of subsequent preferred share offerings and the net present value of future cash flows. | |
The Company accounts for these investments under the equity-method, whereby the Company records its portion of the investment gains and losses as reported in the fund's financial statements on a quarterly lag each reporting period. In addition, the Company adjusts the carrying value of these investments to reflect its estimate of changes to fair value since the fund's financial statements based information from the fund's management team, market prices of known public holdings of the fund and other information. | |
The Company's investments in these limited partnerships are subject to a high degree of volatility and are generally higher risk relative to other investments the Company may hold. The Company reports gains and losses from its limited partnership investments in other income, net. The Company recognized gains (losses) related to these investments of $(0.8) million and $3.5 million for the three months ended September 27, 2014 and September 28, 2013, respectively. The Company recognized gains related to these investments of $7.4 million and $4.8 million for the nine months ended September 27, 2014 and September 28, 2013, respectively. As of September 27, 2014 and December 28, 2013, these investments had a carrying value of $23.4 million and $17.9 million, respectively, which is reported in other assets on the condensed consolidated balance sheets. |
Fair_Value
Fair Value | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Fair Value | ' | |||||||||||||||
FAIR VALUE | ||||||||||||||||
Valuation methodologies used for assets and liabilities measured or disclosed at fair value are as follows: | ||||||||||||||||
• | Cash equivalents - Valued at quoted market prices determined through third party pricing services. | |||||||||||||||
• | Investments in life insurance policies—Valued at cash surrender value based on fair value of underlying investments. | |||||||||||||||
• | Redeemable noncontrolling interest—Valued primarily using the income approach based on estimated future cash flows of the underlying business based on the Company's projected financial data discounted by a weighted average cost of capital. Significant assumptions include a discount rate of 17.5% and a long-term pretax operating margin of 32%. | |||||||||||||||
• | Contingent consideration—Valued based on a probability-weighting of the future cash flows associated with the potential outcomes. | |||||||||||||||
The fair value hierarchy level is determined by asset and liability class based on the lowest level of significant input. The observability of inputs may change for certain assets or liabilities. This condition could cause an asset or liability to be reclassified between levels. During the periods ended September 27, 2014, there were no transfers between levels. | ||||||||||||||||
Assets and liabilities measured at fair value on a recurring basis are summarized below: | ||||||||||||||||
Fair Value Measurements at September 27, 2014 | ||||||||||||||||
Quoted Prices in Active Markets for Identical Assets Level 1 | Significant Other Observable Inputs Level 2 | Significant Unobservable Inputs Level 3 | Assets and Liabilities at Fair Value | |||||||||||||
(in thousands) | ||||||||||||||||
Cash equivalents | $ | — | $ | 1,851 | $ | — | $ | 1,851 | ||||||||
Life insurance policies | — | 20,193 | — | 20,193 | ||||||||||||
Total assets measured at fair value | $ | — | $ | 22,044 | $ | — | $ | 22,044 | ||||||||
Redeemable noncontrolling interest | — | — | 24,550 | 24,550 | ||||||||||||
Contingent consideration | — | — | 2,548 | 2,548 | ||||||||||||
Total liabilities measured at fair value | $ | — | $ | — | $ | 27,098 | $ | 27,098 | ||||||||
Fair Value Measurements at December 28, 2013 | ||||||||||||||||
Quoted Prices in Active Markets for Identical Assets Level 1 | Significant Other Observable Inputs Level 2 | Significant Unobservable Inputs Level 3 | Assets and Liabilities at Fair Value | |||||||||||||
(in thousands) | ||||||||||||||||
Cash equivalents | $ | — | $ | 1,851 | $ | — | $ | 1,851 | ||||||||
Life insurance policies | — | 19,534 | — | 19,534 | ||||||||||||
Total assets measured at fair value | $ | — | $ | 21,385 | $ | — | $ | 21,385 | ||||||||
Redeemable noncontrolling interest | — | — | 20,581 | 20,581 | ||||||||||||
Total liabilities measured at fair value | $ | — | $ | — | $ | 20,581 | $ | 20,581 | ||||||||
The book value of the Company's term and revolving loans, which are variable rate loans carried at amortized cost, approximates fair value based on current market pricing of similar debt. As the fair value is based on significant other observable inputs, including current interest and foreign currency exchange rates, it is deemed to be Level 2. | ||||||||||||||||
Concurrent with the acquisition of Vital River in 2013, the Company entered into a joint venture agreement with the noncontrolling interest holders that provides it with the right to purchase the remaining 25% of the entity for cash at its then appraised value beginning in January 2016. Additionally, the noncontrolling interest holders were granted the right to require the Company to purchase the remaining 25% of the entity at its then appraised value beginning in January 2016 for cash. These rights are accelerated in certain events. As the noncontrolling interest holders can require the Company to purchase for cash the remaining 25% interest, the Company classifies the carrying amount of the noncontrolling interest above the equity section and below liabilities on the consolidated balance sheet and adjusts the carrying amount to fair value each quarter end. Adjustments to fair value, which is deemed to be Level 3 as the fair value is based on unobservable inputs, are recorded through additional paid-in capital. | ||||||||||||||||
Redeemable Noncontrolling Interest (Liability) | ||||||||||||||||
Nine Months Ended | ||||||||||||||||
September 27, 2014 | September 28, 2013 | |||||||||||||||
(in thousands) | ||||||||||||||||
Beginning balance | $ | 20,581 | $ | — | ||||||||||||
Additions | — | 8,963 | ||||||||||||||
Total gains or losses (realized/unrealized): | ||||||||||||||||
Net income attributable to noncontrolling interest | 523 | 476 | ||||||||||||||
Foreign currency translation | (113 | ) | 233 | |||||||||||||
Change in fair value, included in additional paid-in capital | 3,559 | 4,905 | ||||||||||||||
Ending balance | $ | 24,550 | $ | 14,577 | ||||||||||||
As part of the Company's acquisitions of Early Discovery and VivoPath, it agreed to make cash payments upon the satisfaction of certain future financial measures. The carrying amount of these obligations is adjusted to fair value each quarter end. As the fair value is based on unobservable inputs, it is deemed to be Level 3. | ||||||||||||||||
Contingent Consideration (Liability) | ||||||||||||||||
Nine Months Ended | ||||||||||||||||
September 27, 2014 | September 28, 2013 | |||||||||||||||
(in thousands) | ||||||||||||||||
Beginning balance | $ | — | $ | — | ||||||||||||
Additions | 2,428 | — | ||||||||||||||
Total gains or losses (realized/unrealized): | ||||||||||||||||
Change in fair value | 120 | — | ||||||||||||||
Ending balance | $ | 2,548 | $ | — | ||||||||||||
The significant unobservable inputs used in the fair value measurement of the Company's contingent consideration are the probabilities of successful achievement of certain revenue targets and a discount rate. Significant increases or decreases in any of the probabilities of success would result in a significantly higher or lower fair value measurement, respectively. Significant increases or decreases in the discount rate would result in a significantly lower or higher fair value measurement, respectively. | ||||||||||||||||
The Company enters into derivative instruments to hedge foreign currency exchange risk to reduce the impact of changes to foreign currency rates on its financial statements. During both three and nine months ended September 27, 2014, the Company recognized $0.7 million of net hedge losses associated with forward currency contracts. During the three and nine months ended September 28, 2013, the Company recognized $(0.5) million and $0.3 million of hedge (gains) losses associated with forward currency contracts, respectively. As of September 27, 2014 and September 28, 2013, there were no open forward currency contracts. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 9 Months Ended | ||||||||||||||||||||
Sep. 27, 2014 | |||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||
Goodwill and Other Intangible Assets | ' | ||||||||||||||||||||
GOODWILL AND OTHER INTANGIBLE ASSETS | |||||||||||||||||||||
The following table displays the gross carrying amount and accumulated amortization of definite-lived intangible assets by major class: | |||||||||||||||||||||
September 27, 2014 | December 28, 2013 | ||||||||||||||||||||
Gross Carrying Amount | Accumulated Amortization & Impairment Loss | Gross Carrying Amount | Accumulated Amortization & Impairment Loss | ||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Backlog | $ | 8,391 | $ | (5,309 | ) | $ | 2,916 | $ | (2,507 | ) | |||||||||||
Client relationships | 395,221 | (243,004 | ) | 311,507 | (238,002 | ) | |||||||||||||||
Trademarks and trade names | 6,521 | (5,214 | ) | 5,399 | (4,997 | ) | |||||||||||||||
Standard operating procedures | 2,748 | (1,934 | ) | 2,754 | (1,498 | ) | |||||||||||||||
Other identifiable intangible assets | 13,675 | (6,988 | ) | 10,432 | (4,905 | ) | |||||||||||||||
Total other intangible assets | $ | 426,556 | $ | (262,449 | ) | $ | 333,008 | $ | (251,909 | ) | |||||||||||
Additionally, as of both September 27, 2014 and December 28, 2013, other intangible assets, net, included $3.4 million of indefinite-lived intangible assets. | |||||||||||||||||||||
The changes in the gross carrying amount and accumulated impairment loss of goodwill are as follows: | |||||||||||||||||||||
Adjustments to Goodwill | |||||||||||||||||||||
December 28, 2013 | Acquisitions | Transfers | Foreign Exchange | September 27, 2014 | |||||||||||||||||
(in thousands) | |||||||||||||||||||||
Research Models and Services | |||||||||||||||||||||
Gross carrying amount | $ | 83,551 | $ | — | $ | (23,172 | ) | $ | (650 | ) | $ | 59,729 | |||||||||
Discovery and Safety Assessment | |||||||||||||||||||||
Gross carrying amount | 1,152,150 | 67,244 | (8,131 | ) | (8,160 | ) | 1,203,103 | ||||||||||||||
Accumulated impairment loss | (1,005,000 | ) | — | — | — | (1,005,000 | ) | ||||||||||||||
Manufacturing Support | |||||||||||||||||||||
Gross carrying amount | — | — | 31,303 | 221 | 31,524 | ||||||||||||||||
Total | |||||||||||||||||||||
Gross carrying amount | 1,235,701 | 67,244 | — | (8,589 | ) | 1,294,356 | |||||||||||||||
Accumulated impairment loss | (1,005,000 | ) | — | — | — | (1,005,000 | ) | ||||||||||||||
Goodwill, net | $ | 230,701 | $ | 289,356 | |||||||||||||||||
In the second quarter of 2014, the Company revised its reportable segments to align with the view of the business following its Early Discovery acquisition. See Note 1, "Basis of Presentation." As a result of this reorganization, goodwill was allocated from the Company's prior reporting segments to new reporting segments, as shown in the preceding table within "transfers." The allocation was based on the fair value of each business group within its original reporting segment relative to the fair value of that reporting segment. In addition, the Company completed an assessment of any potential goodwill impairment for all reporting units immediately prior to the reallocation and determined that no impairment existed. |
LongTerm_Debt_and_Capital_Leas
Long-Term Debt and Capital Lease Obligations | 9 Months Ended | |||||||
Sep. 27, 2014 | ||||||||
Debt Disclosure [Abstract] | ' | |||||||
Debt and Capital Leases Disclosures [Text Block] | ' | |||||||
LONG-TERM DEBT AND CAPITAL LEASE OBLIGATIONS | ||||||||
Long-Term Debt | ||||||||
Long-term debt consists of the following: | ||||||||
September 27, 2014 | December 28, 2013 | |||||||
(in thousands) | ||||||||
Term loans | $ | 388,500 | $ | 409,500 | ||||
Revolving credit facility | 380,914 | 253,308 | ||||||
Other long-term debt | 223 | 241 | ||||||
Total debt | 769,637 | 663,049 | ||||||
Less: current portion of long-term debt | (31,723 | ) | (21,241 | ) | ||||
Long-term debt | $ | 737,914 | $ | 641,808 | ||||
In 2013, the Company amended and restated its credit agreement creating a $970.0 million agreement ($970M Credit Facility) that provides for a $420.0 million U.S. term loan facility and a $550.0 million multi-currency revolving credit facility. The revolving credit facility may be drawn in U.S. Dollars, Euros, Pound Sterling, or Japanese Yen, subject to sub-limits by currency. Under specified circumstances, the Company has the ability to expand the term loan and/or revolving credit facility by up to $350.0 million in the aggregate. | ||||||||
The interest rates applicable to the $970M Credit Facility are variable and are based on an applicable rate plus a spread determined by the Company's leverage ratio. As of September 27, 2014, the interest rate spread for the adjusted LIBOR was 1.250%. | ||||||||
The $970M Credit Facility includes certain customary representations and warranties, events of default, notices of material adverse changes to the Company's business and negative and affirmative covenants. As of September 27, 2014, the Company was compliant with all financial covenants specified in the credit agreement. | ||||||||
At September 27, 2014, the Company had $5.0 million outstanding under letters of credit. | ||||||||
Principal maturities of existing debt for the periods set forth in the table below, are as follows: | ||||||||
Twelve Months Ending | 27-Sep-14 | |||||||
(in thousands) | ||||||||
Sep-15 | $ | 31,723 | ||||||
Sep-16 | 42,000 | |||||||
Sep-17 | 63,000 | |||||||
Sep-18 | 632,914 | |||||||
September 2019 and beyond | — | |||||||
Total | $ | 769,637 | ||||||
Capital Lease Obligations | ||||||||
The Company acquired a build-to-suit lease as part of its acquisition of Early Discovery. The Company is the deemed owner of the asset during the construction period for accounting purposes due to its involvement during the construction period. The Company capitalized $16.0 million related to this construction at September 27, 2014 along with a corresponding financing obligation of the same amount. See Note 13, "Commitments and Contingencies." | ||||||||
Capital lease obligations amounted to $17.1 million and $0.7 million at September 27, 2014 and December 28, 2013, respectively. |
Equity
Equity | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Stockholders' Equity Note [Abstract] | ' | |||||||||||||||
Equity | ' | |||||||||||||||
EQUITY | ||||||||||||||||
Earnings Per Share | ||||||||||||||||
Basic earnings per share for the three and nine months ended September 27, 2014 and September 28, 2013 was computed by dividing earnings available to common shareholders for these periods by the weighted average number of common shares outstanding in the respective periods adjusted for contingently issuable shares, such as unvested restricted stock. The weighted average number of common shares outstanding for the three and nine months ended September 27, 2014 and September 28, 2013 has been adjusted to include common stock equivalents for the purpose of calculating diluted earnings per share for these periods. | ||||||||||||||||
Options to purchase 931,626 and 2,652,660 shares were outstanding in each of the three months ended September 27, 2014 and September 28, 2013, respectively, but were not included in computing diluted earnings per share because their inclusion would have been anti-dilutive. For the nine months ended September 27, 2014 and September 28, 2013, anti-dilutive options outstanding were 785,880 and 2,363,878 shares, respectively. Basic weighted average shares outstanding for the three and nine months ended September 27, 2014 and September 28, 2013 excluded the weighted average impact of 1,190,400 and 1,107,313 shares, respectively, of non-vested restricted stock awards. | ||||||||||||||||
The following table reconciles the numerator and denominator in the computations of the basic and diluted earnings per share. | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands, except share amounts) | ||||||||||||||||
Numerator: | ||||||||||||||||
Net income from continuing operations attributable to common shareholders | $ | 31,984 | $ | 30,980 | $ | 100,394 | $ | 84,912 | ||||||||
Income (loss) from discontinued operations, net of income taxes | 52 | (113 | ) | (862 | ) | (1,183 | ) | |||||||||
Net income attributable to common shareholders | $ | 32,036 | $ | 30,867 | $ | 99,532 | $ | 83,729 | ||||||||
Denominator: | ||||||||||||||||
Weighted-average shares outstanding—Basic | 46,016,036 | 47,910,649 | 46,682,826 | 47,950,018 | ||||||||||||
Effect of dilutive securities: | ||||||||||||||||
Stock options and contingently issuable restricted stock | 861,694 | 530,516 | 883,008 | 704,118 | ||||||||||||
Weighted-average shares outstanding—Diluted | 46,877,730 | 48,441,165 | 47,565,834 | 48,654,136 | ||||||||||||
Treasury Shares | ||||||||||||||||
In July 2010, the Company's Board of Directors authorized a $500.0 million stock repurchase program, and subsequently approved increases to the stock repurchase program of $250.0 million in 2010 and of $250.0 million in 2013 for an aggregate authorization of $1.0 billion. As of September 27, 2014, the Company had $28.5 million remaining on the authorized stock repurchase program. The Company's 2007 Incentive Plan permits the netting of common stock upon vesting of restricted stock awards in order to satisfy individual tax withholding requirements. | ||||||||||||||||
Share repurchases for the three and nine months ended September 27, 2014 and September 28, 2013 were as follows: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands, except share amounts) | ||||||||||||||||
Stock Repurchase Program: | ||||||||||||||||
Number of shares of common stock repurchased | 380,300 | 1,398,346 | 2,093,200 | 1,945,021 | ||||||||||||
Total cost of repurchase | $ | 20,364 | $ | 65,515 | $ | 110,645 | $ | 88,553 | ||||||||
Netted for taxes: | ||||||||||||||||
Number of shares of common stock repurchased | 199 | — | 113,627 | 112,748 | ||||||||||||
Total cost of repurchase | $ | 11 | $ | — | $ | 6,702 | $ | 4,519 | ||||||||
Total: | ||||||||||||||||
Number of shares of common stock repurchased | 380,499 | 1,398,346 | 2,206,827 | 2,057,769 | ||||||||||||
Total cost of repurchase | $ | 20,375 | $ | 65,515 | $ | 117,347 | $ | 93,072 | ||||||||
Income_Taxes
Income Taxes | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||||||
Income Taxes | ' | |||||||||||||||
INCOME TAXES | ||||||||||||||||
The following table provides a reconciliation of the provision for income taxes on the condensed consolidated statements of income: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Income from continuing operations before income taxes | 43,882 | 42,726 | 137,409 | 115,221 | ||||||||||||
Effective tax rate | 26.4 | % | 26.7 | % | 26.2 | % | 25.5 | % | ||||||||
Provision for income taxes | 11,582 | 11,390 | 36,021 | 29,331 | ||||||||||||
The Company's overall effective tax rate was 26.4% for the three months ended September 27, 2014 and 26.7% for the three months ended September 28, 2013. The decrease was primarily attributable to a prior year discrete tax cost of $2.0 million related to an ongoing transfer pricing controversy with the Canadian Revenue Agency (CRA) in excess of current year tax costs, associated with tax law changes, including a statutory 25% decrease in the Canadian Scientific Research and Experimental Development (SR&ED) credit and a decrease in the deductibility of interest expense in France. | ||||||||||||||||
The Company's overall effective tax rate was 26.2% and 25.5% for each of the nine months ended September 27, 2014 and September 28, 2013, respectively. The increase reflects the items above as well as a discrete tax cost of $1.4 million related to the nondeductible transaction costs incurred in 2014 for the acquisition of the Early Discovery businesses and a discrete tax cost of $1.2 million related to the write-off of deferred tax assets as a result of the reorganization of the Company's RMS U.K. entities. These increases were partially offset by an ability to offset the tax on a capital gain from an investment in a limited partnership with the release of an uncertain tax position of $2.1 million in the nine months ended September 27, 2014. | ||||||||||||||||
During the third quarter of 2014, the Company's unrecognized tax benefits recorded decreased by $0.5 million to $34.3 million primarily due to the foreign currency translation on pre-acquisition tax positions taken by the newly acquired Early Discovery businesses, offset by a new unrecognized tax benefit related to an ongoing audit in Germany. The amount of unrecognized income tax benefits that would impact the effective tax rate decreased by $0.7 million to $32.2 million. The amount of accrued interest on unrecognized tax benefits is $1.3 million at the end of the third quarter of 2014. The Company believes that it is reasonably possible that the Company's unrecognized tax benefits (and a corresponding indemnification asset) will decrease by up to $11.6 million, including $0.5 million of interest expense, over the next twelve-month period as a result of the expiration of the statute of limitations on an issue related to the forgiveness of debt and an additional decrease by up to $0.4 million over the next twelve-month period as a result of the settlement of a German audit. | ||||||||||||||||
In July 2013, the FASB issued ASU 2013-11 “Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists.” The ASU requires an entity to present an unrecognized tax benefit as a reduction of the deferred tax asset for a net operating loss, or similar loss or tax credit carryforward, as opposed to a liability, unless certain circumstances exist. The ASU became effective during the Company's first fiscal quarter and the Company adopted the provisions of ASU 2013-11 retrospectively. The adoption of the ASU decreased net non-current deferred tax assets and decreased the associated long-term tax liabilities related to unrecognized tax benefits by $16.1 million and $11.9 million as of September 27, 2014 and December 28, 2013, respectively. | ||||||||||||||||
The Company conducts business in a number of tax jurisdictions. As a result, it is subject to tax audits in jurisdictions including the U.S., U.K., Japan, France, Germany, and Canada. With few exceptions, the Company is no longer subject to U.S. and international income tax examinations for years before 2010 although carryforward attributes that were generated prior to 2010 may still be adjusted upon examination by taxing authorities if they either have been, or will be, used in a future period. As of September 27, 2014, the statute of limitations has expired for a year which includes an uncertain tax position associated with an acquisition agreement termination fee. However, the Company does not expect the liability associated with this uncertain tax position to decrease until the statute expires on the year in which a carryforward attribute is utilized. | ||||||||||||||||
The Company and certain of its subsidiaries are currently under audit by various tax authorities in Canada, Germany, and France. The Company does not believe that resolution of these controversies will have a material impact on its financial position or results of operations. | ||||||||||||||||
On June 4, 2014, the Quebec government furthered a proposed tax law change on its SR&ED credit that, if passed, would provide a one-time benefit to operating income in the year of enactment and would provide a corresponding increase to the Company's effective tax rate. If passed as proposed, this tax law change would also provide for a reduction in benefit to operating income in 2015 and an additional corresponding increase to the Company's effective tax rate in 2015 and beyond. | ||||||||||||||||
In accordance with the Company's policy, the remaining undistributed earnings of its non-U.S. subsidiaries remain indefinitely reinvested as of the end of the third quarter of 2014 as they are required to fund needs outside the U.S. and cannot be repatriated in a manner that is substantially tax free. | ||||||||||||||||
The income tax expense (benefit) related to items of other comprehensive income are as follows: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Income tax expense (benefit) related to foreign currency translation adjustment | $ | — | $ | (615 | ) | $ | (105 | ) | $ | 42 | ||||||
Income tax expense related to change in unrecognized pension gains, losses and prior service costs | 125 | 289 | 378 | 832 | ||||||||||||
Income tax expense (benefit) related to items of other comprehensive income | $ | 125 | $ | (326 | ) | $ | 273 | $ | 874 | |||||||
Employee_Benefits
Employee Benefits | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||
Employee Benefits | ' | |||||||||||||||
EMPLOYEE BENEFITS | ||||||||||||||||
The following table provides the components of net periodic cost (benefit) for the Company's defined benefit plans for the three-month period ended: | ||||||||||||||||
Pension Benefits | Supplemental Retirement Benefits | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Service cost | $ | 880 | $ | 822 | $ | 190 | $ | 160 | ||||||||
Interest cost | 3,211 | 2,762 | 252 | 177 | ||||||||||||
Expected return on plan assets | (4,540 | ) | (3,593 | ) | — | — | ||||||||||
Amortization of prior service cost (credit) | (166 | ) | (147 | ) | 159 | 165 | ||||||||||
Amortization of net loss | 238 | 671 | 60 | 63 | ||||||||||||
Net periodic cost (benefit) | $ | (377 | ) | $ | 515 | $ | 661 | $ | 565 | |||||||
The following table provides the components of net periodic cost (benefit) for the Company's defined benefit plans for the nine-month period ended: | ||||||||||||||||
Pension Benefits | Supplemental Retirement Benefits | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Service cost | $ | 2,565 | $ | 2,492 | 569 | $ | 482 | |||||||||
Interest cost | 9,633 | 8,334 | 757 | 531 | ||||||||||||
Expected return on plan assets | (13,095 | ) | (10,842 | ) | — | — | ||||||||||
Amortization of prior service cost (credit) | (484 | ) | (444 | ) | 489 | 495 | ||||||||||
Amortization of net loss | 684 | 2,043 | 185 | 189 | ||||||||||||
Net periodic cost (benefit) | $ | (697 | ) | $ | 1,583 | $ | 2,000 | $ | 1,697 | |||||||
During 2014, the Company expects to contribute $6.5 million to its pension plans. |
Stock_Plans_and_StockBased_Com
Stock Plans and Stock-Based Compensation | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||||||
Stock Plans and Stock Based Compensation | ' | |||||||||||||||
STOCK PLANS AND STOCK-BASED COMPENSATION | ||||||||||||||||
The Company has stock-based compensation plans under which employees and non-employee directors may be granted stock-based awards such as stock options, restricted stock and performance share units. | ||||||||||||||||
The following table provides the financial statement line items in which stock-based compensation is reflected: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Stock-based compensation expense included in: | ||||||||||||||||
Cost of revenue | $ | 1,337 | $ | 1,332 | $ | 4,008 | $ | 4,051 | ||||||||
Selling, general and administration | 6,914 | 4,715 | 19,124 | 14,180 | ||||||||||||
Stock-based compensation, before income taxes | 8,251 | 6,047 | 23,132 | 18,231 | ||||||||||||
Provision for income taxes | (2,943 | ) | (2,103 | ) | (8,271 | ) | (6,422 | ) | ||||||||
Stock-based compensation, net of tax | $ | 5,308 | $ | 3,944 | $ | 14,861 | $ | 11,809 | ||||||||
Performance Based Stock Award Program | ||||||||||||||||
In the first quarters of 2014 and 2013, the Company issued performance share units (PSUs) to certain employees. The number of shares of common stock issued for each PSU is adjusted based on a performance condition linked to the Company's financial performance. Certain awards are further adjusted based on a market condition, which is calculated based on the Company's stock price performance relative to a peer group over the three-year vesting period. The fair value of the market condition is reflected in the fair value of the award at grant date. Each reporting period, the Company records a ratable amount of stock-based compensation for the estimated number of common shares expected to be issued upon the vesting of the PSUs based on the Company's estimated outcome for the performance condition. | ||||||||||||||||
During the three months ended March 29, 2014, the Company issued 214,823 PSUs using a fair value per share of $67.82. The maximum amount of common shares to be issued upon vesting of these PSUs is 429,646. During the first quarter of 2013, the Company issued 163,847 PSUs using a fair value per share of $44.47. The maximum amount of common shares to be issued upon vesting of these PSUs is 327,694. During the three months ended June 28, 2014, the Company issued 5,800 PSUs using a fair value per share of $61.25. These 5,800 PSUs are not adjusted based on a market condition and have a maximum amount of common shares to be issued upon vesting of 5,800. For the three and nine months ended September 27, 2014, the Company recognized $2.6 million and $6.3 million, respectively, of stock-based compensation related to PSUs granted in 2014 and 2013 |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 27, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
COMMITMENTS AND CONTINGENCIES | |
Various lawsuits, claims and proceedings of a nature considered normal to the Company's business are pending against it. In the opinion of management, the outcome of such proceedings and litigation currently pending will not materially affect the Company's consolidated financial statements. | |
In early May 2013, the Company commenced an investigation into inaccurate billing with respect to certain government contracts. The Company promptly reported these matters to the relevant government contracting officers, the Department of Health and Human Services' Office of the Inspector General, and the Department of Justice, and the Company is cooperating with these agencies to ensure the proper repayment and resolution of this matter. The Company identified approximately $1.5 million in excess amounts billed on these contracts since January 1, 2007 and reserved such amount. Because of the early stage of discussions with the government and complex nature of this matter, the Company believes that it is reasonably possible that additional losses may be incurred. However, the Company cannot at this time estimate the potential range of loss beyond the current reserve of $1.5 million. | |
In July 2012, a Mauritius supplier of large animal models submitted an Application for Arbitration with The Permanent Secretariat, The Permanent Court of Arbitration, The Mauritius Chamber of Commerce and Industry in Port Louis, Mauritius. The supplier asserted that the Company failed to pay certain invoices and the supplier was therefore permitted to terminate the supply agreement. The Company filed a counterclaim asserting that the supplier had failed to meet its contractual obligations under the supply agreement. The arbitration hearing relating to this contract dispute took place in Mauritius in August 2013 and final arguments were presented in March 2014. In May 2014 and August 2014, the arbitrator issued the final rulings, ordering the Company to pay the supplier (1) the sum of $1.2 million and (2) all of the supplier's arbitration costs, in each case with interest. In September 2014, the Company paid the supplier $1.6 million in accordance with the arbitration ruling. | |
As a result of the Company's April 1, 2014 Early Discovery acquisition, the Company became the obligor for an aggregate of approximately $82.4 million in minimum lease payments under non-cancellable operating and capital leases payable over a period of up to 20 years. |
Business_Segment_Information
Business Segment Information | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Business Segment Information | ' | |||||||||||||||
BUSINESS SEGMENT INFORMATION | ||||||||||||||||
During the quarter ended June 28, 2014, the Company revised its reportable segments to align with its view of the business following its Early Discovery acquisition. See Note 1, "Basis of Presentation." The Company reports segment results on this basis beginning in the quarter ended June 28, 2014 and retrospectively for all comparable prior periods. | ||||||||||||||||
The following table presents revenue and other financial information by reportable segment. | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Research Models and Services | ||||||||||||||||
Revenue | $ | 124,021 | $ | 124,236 | $ | 389,636 | $ | 388,868 | ||||||||
Gross margin | 45,295 | 39,127 | 149,392 | 143,603 | ||||||||||||
Operating income | 28,056 | 23,803 | 97,734 | 97,576 | ||||||||||||
Depreciation and amortization | 7,277 | 13,548 | 20,277 | 27,642 | ||||||||||||
Capital expenditures | 4,110 | 4,208 | 11,528 | 10,417 | ||||||||||||
Discovery and Safety Assessment | ||||||||||||||||
Revenue | $ | 140,862 | $ | 112,627 | $ | 388,614 | $ | 321,908 | ||||||||
Gross margin | 39,968 | 33,061 | 105,084 | 81,112 | ||||||||||||
Operating income | 19,329 | 18,968 | 48,840 | 38,672 | ||||||||||||
Depreciation and amortization | 13,340 | 9,486 | 33,867 | 28,269 | ||||||||||||
Capital expenditures | 3,436 | 2,459 | 11,330 | 7,315 | ||||||||||||
Manufacturing Support | ||||||||||||||||
Revenue | 62,684 | 55,266 | 189,864 | 165,524 | ||||||||||||
Gross margin | 33,005 | 27,738 | 98,239 | 81,992 | ||||||||||||
Operating income | 19,220 | 16,125 | 58,091 | 46,576 | ||||||||||||
Depreciation and amortization | 3,513 | 3,881 | 10,625 | 11,424 | ||||||||||||
Capital expenditures | 1,463 | 2,429 | 5,444 | 7,587 | ||||||||||||
A reconciliation of segment operating income to consolidated operating income is as follows: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Total segment operating income | $ | 66,605 | $ | 58,896 | $ | 204,665 | $ | 182,824 | ||||||||
Unallocated corporate overhead | (20,433 | ) | (18,053 | ) | (67,762 | ) | (56,030 | ) | ||||||||
Consolidated operating income | $ | 46,172 | $ | 40,843 | $ | 136,903 | $ | 126,794 | ||||||||
Revenue for each significant product or service area is as follows: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Research models | $ | 81,705 | $ | 81,366 | $ | 256,501 | $ | 257,582 | ||||||||
Research model services | 42,316 | 42,870 | 133,135 | 131,286 | ||||||||||||
Total research models and services | 124,021 | 124,236 | 389,636 | 388,868 | ||||||||||||
Total discovery and safety assessment | 140,862 | 112,627 | 388,614 | 321,908 | ||||||||||||
Endotoxin and Microbial Detection | 31,834 | 28,331 | 97,879 | 83,214 | ||||||||||||
Other manufacturing support | 30,850 | 26,935 | 91,985 | 82,310 | ||||||||||||
Total manufacturing support | $ | 62,684 | $ | 55,266 | $ | 189,864 | $ | 165,524 | ||||||||
Total revenue | $ | 327,567 | $ | 292,129 | $ | 968,114 | $ | 876,300 | ||||||||
A summary of unallocated corporate overhead consists of the following: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
27-Sep-14 | 28-Sep-13 | 27-Sep-14 | 28-Sep-13 | |||||||||||||
(in thousands) | ||||||||||||||||
Stock-based compensation expense | $ | 4,918 | $ | 3,260 | $ | 13,525 | $ | 9,927 | ||||||||
Salary, bonus and fringe | 5,892 | 5,636 | 23,597 | 18,776 | ||||||||||||
Consulting, audit and professional services | 3,053 | 2,250 | 8,721 | 6,578 | ||||||||||||
IT related expenses | 1,767 | 3,002 | 4,667 | 8,448 | ||||||||||||
Depreciation expense | 1,954 | 1,570 | 5,666 | 4,712 | ||||||||||||
Costs associated with evaluation and integration of acquisitions | 580 | 306 | 5,256 | 986 | ||||||||||||
Other general unallocated corporate expenses | 2,269 | 2,029 | 6,330 | 6,603 | ||||||||||||
Total unallocated corporate overhead costs | $ | 20,433 | $ | 18,053 | $ | 67,762 | $ | 56,030 | ||||||||
Other general unallocated corporate expenses consist of various departmental costs including those associated with senior executives, corporate accounting, legal, tax, human resources and treasury. |
Discontinued_Operations
Discontinued Operations | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | |||||||||||||||
Discontinued Operations | ' | |||||||||||||||
DISCONTINUED OPERATIONS | ||||||||||||||||
On March 28, 2011, the Company disposed of its Phase I clinical business though the Company remained the guarantor of a facility lease that runs through January 2021 with remaining lease payments of $10.3 million at September 27, 2014. The lease liability for the Company's obligation under the lease is presented net of estimated sublease income and reflected on the consolidated balance sheet as a liability of discontinued operations. | ||||||||||||||||
The consolidated financial statements classify, as discontinued operations, the assets and liabilities, operating results and cash flows, of businesses that are discontinued for all periods presented. Operating results from discontinued operations are as follows: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
27-Sep-14 | 28-Sep-13 | 27-Sep-14 | 28-Sep-13 | |||||||||||||
(in thousands) | ||||||||||||||||
Loss from operations of discontinued businesses, before income taxes | $ | (38 | ) | $ | (172 | ) | $ | (1,614 | ) | $ | (1,894 | ) | ||||
Benefit for income taxes | 90 | 59 | 752 | 711 | ||||||||||||
Income (loss) from operations of discontinued businesses, net of taxes | $ | 52 | $ | (113 | ) | $ | (862 | ) | $ | (1,183 | ) | |||||
Assets and liabilities of discontinued operations at September 27, 2014 and December 28, 2013 consisted of the following: | ||||||||||||||||
27-Sep-14 | 28-Dec-13 | |||||||||||||||
(in thousands) | ||||||||||||||||
Current assets | $ | 835 | $ | 750 | ||||||||||||
Long-term assets | 3,106 | 3,151 | ||||||||||||||
Total assets | $ | 3,941 | $ | 3,901 | ||||||||||||
Current liabilities | $ | 2,059 | $ | 1,931 | ||||||||||||
Long-term liabilities | 7,876 | 8,080 | ||||||||||||||
Total liabilities | $ | 9,935 | $ | 10,011 | ||||||||||||
Current and long-term assets include deferred tax assets. Current and long-term liabilities consist primarily of estimated lease payments, less sublease income, for the Phase I facility. |
Subsequent_Events_Notes
Subsequent Events (Notes) | 9 Months Ended |
Sep. 27, 2014 | |
Subsequent Events [Abstract] | ' |
Subsequent Events [Text Block] | ' |
16. SUBSEQUENT EVENTS | |
On October 29, 2014, we acquired ChanTest Corporation (ChanTest), a leading provider of ion channel testing services to the pharmaceutical and biotech industry. We expect that the acquisition will augment our early discovery capabilities, enhancing our ability to support our clients’ target discovery and lead optimization efforts. The preliminary purchase price of the acquisition is $52.0 million in cash and up to an additional $2.0 million in contingent consideration. The purchase price is subject to an adjustment based on the final determined net working capital as of the closing date. |
Business_Acquisitions_Tables
Business Acquisitions (Tables) | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Business Combinations [Abstract] | ' | |||||||||||||||
Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Business Combination [Table Text Block] | ' | |||||||||||||||
The preliminary purchase price allocation of $183.1 million, net of $8.2 million of cash acquired, is as follows: | ||||||||||||||||
1-Apr-14 | ||||||||||||||||
(in thousands) | ||||||||||||||||
Current assets (excluding cash) | $ | 31,257 | ||||||||||||||
Property, plant and equipment | 21,008 | |||||||||||||||
Other long term assets | 11,549 | |||||||||||||||
Definite-lived intangible assets | 104,270 | |||||||||||||||
Goodwill | 66,330 | |||||||||||||||
Current liabilities | (14,299 | ) | ||||||||||||||
Long term liabilities | (36,973 | ) | ||||||||||||||
Total purchase price allocation | $ | 183,142 | ||||||||||||||
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination [Table Text Block] | ' | |||||||||||||||
The breakout of definite-lived intangible assets acquired is as follows: | ||||||||||||||||
1-Apr-14 | Weighted average amortization life | |||||||||||||||
(in thousands) | ||||||||||||||||
Client relationships | $ | 94,000 | 18 years | |||||||||||||
Backlog | 5,700 | 1 year | ||||||||||||||
Trademark and trade names | 1,170 | 3 years | ||||||||||||||
Leasehold interests | 1,000 | 13 years | ||||||||||||||
Other intangible assets | 2,400 | 19 years | ||||||||||||||
Total definite-lived intangible assets | $ | 104,270 | ||||||||||||||
Business Acquisition, Pro Forma Information [Table Text Block] | ' | |||||||||||||||
These pro forma are for informational purposes only and do not necessarily reflect the results of operations had the companies operated as one entity during the periods reported. No effect has been given for synergies, if any, that may have been realized through the acquisition. | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
27-Sep-14 | 28-Sep-13 | 27-Sep-14 | 28-Sep-13 | |||||||||||||
(in thousands) | ||||||||||||||||
Revenue | $ | 327,567 | $ | 313,460 | $ | 993,223 | $ | 935,693 | ||||||||
Net income | 32,036 | 29,098 | 101,029 | 76,705 | ||||||||||||
Earnings per common share | ||||||||||||||||
Basic | $ | 0.7 | $ | 0.61 | $ | 2.16 | $ | 1.6 | ||||||||
Diluted | $ | 0.68 | $ | 0.6 | $ | 2.12 | $ | 1.58 | ||||||||
Restructuring_and_Asset_Impair1
Restructuring and Asset Impairments (Tables) | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||||||
Schedule of Severance and Retention Costs | ' | |||||||||||||||
The following table rolls forward the Company's severance and retention cost liability: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
27-Sep-14 | 28-Sep-13 | 27-Sep-14 | 28-Sep-13 | |||||||||||||
(in thousands) | ||||||||||||||||
Balance, beginning of period | $ | 3,823 | $ | 2,917 | $ | 2,782 | $ | 3,636 | ||||||||
Expense | 574 | 476 | 5,363 | 1,058 | ||||||||||||
Payments/Utilization | (1,117 | ) | (783 | ) | (4,865 | ) | (2,084 | ) | ||||||||
Balance, end of period | $ | 3,280 | $ | 2,610 | $ | 3,280 | $ | 2,610 | ||||||||
The following table presents severance and retention costs by classification on the income statement: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
27-Sep-14 | 28-Sep-13 | 27-Sep-14 | 28-Sep-13 | |||||||||||||
(in thousands) | ||||||||||||||||
Severance charges included in cost of revenue | $ | 367 | $ | 476 | $ | 3,121 | $ | 989 | ||||||||
Severance charges included in selling, general and administrative expense | 207 | — | 2,242 | 69 | ||||||||||||
Total expense | $ | 574 | $ | 476 | $ | 5,363 | $ | 1,058 | ||||||||
The following table presents severance and retention cost by segment: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
27-Sep-14 | 28-Sep-13 | 27-Sep-14 | 28-Sep-13 | |||||||||||||
(in thousands) | ||||||||||||||||
Research models and services | $ | 379 | $ | 32 | $ | 3,974 | $ | 301 | ||||||||
Discovery and safety assessment | 69 | 398 | 1,118 | 711 | ||||||||||||
Manufacturing support | 126 | 46 | 150 | 46 | ||||||||||||
Corporate | — | — | 121 | — | ||||||||||||
Total expense | $ | 574 | $ | 476 | $ | 5,363 | $ | 1,058 | ||||||||
Supplemental_Balance_Sheet_Inf1
Supplemental Balance Sheet Information (Tables) | 9 Months Ended | |||||||
Sep. 27, 2014 | ||||||||
Supplemental Balance Sheet Information [Abstract] | ' | |||||||
Composition of Net Trade Receivables | ' | |||||||
The composition of trade receivables, net is as follows: | ||||||||
27-Sep-14 | 28-Dec-13 | |||||||
(in thousands) | ||||||||
Client receivables | $ | 229,366 | $ | 190,423 | ||||
Unbilled revenue | 50,670 | 35,184 | ||||||
Total | 280,036 | 225,607 | ||||||
Less allowance for doubtful accounts | (5,012 | ) | (4,977 | ) | ||||
Trade receivables, net | $ | 275,024 | $ | 220,630 | ||||
Composition of Inventories | ' | |||||||
The composition of inventories is as follows: | ||||||||
27-Sep-14 | 28-Dec-13 | |||||||
(in thousands) | ||||||||
Raw materials and supplies | $ | 15,583 | $ | 15,028 | ||||
Work in process | 12,053 | 11,715 | ||||||
Finished products | 65,059 | 62,653 | ||||||
Inventories | $ | 92,695 | $ | 89,396 | ||||
Composition of Other Current Assets | ' | |||||||
The composition of other current assets is as follows: | ||||||||
27-Sep-14 | 28-Dec-13 | |||||||
(in thousands) | ||||||||
Prepaid assets | $ | 31,466 | $ | 20,058 | ||||
Deferred tax asset | 31,636 | 29,139 | ||||||
Time deposits | 14,577 | 11,158 | ||||||
Prepaid income tax | 25,747 | 25,247 | ||||||
Restricted cash | 3,292 | 245 | ||||||
Other current assets | $ | 106,718 | $ | 85,847 | ||||
Composition of Net Property, Plant and Equipment | ' | |||||||
The composition of property, plant and equipment, net is as follows: | ||||||||
27-Sep-14 | 28-Dec-13 | |||||||
(in thousands) | ||||||||
Land | $ | 39,452 | $ | 40,157 | ||||
Buildings | 701,160 | 694,074 | ||||||
Machinery and equipment | 385,222 | 367,244 | ||||||
Leasehold improvements | 40,150 | 37,959 | ||||||
Furniture and fixtures | 23,796 | 24,013 | ||||||
Vehicles | 3,836 | 3,859 | ||||||
Computer hardware and software | 117,889 | 112,328 | ||||||
Construction in progress (1) | 31,862 | 42,075 | ||||||
Total | 1,343,367 | 1,321,709 | ||||||
Less accumulated depreciation | (672,123 | ) | (645,527 | ) | ||||
Property, plant and equipment, net | $ | 671,244 | $ | 676,182 | ||||
(1) Includes the leased facility under construction. See Note 8, "Long-Term Debt and Capital Lease Obligations." | ||||||||
Composition of Other Assets | ' | |||||||
The composition of other assets is as follows: | ||||||||
27-Sep-14 | 28-Dec-13 | |||||||
(in thousands) | ||||||||
Deferred financing costs | $ | 5,828 | $ | 7,126 | ||||
Cash surrender value of life insurance policies | 27,267 | 26,507 | ||||||
Investments in limited partnerships | 23,432 | 17,911 | ||||||
Other assets | 27,346 | 10,420 | ||||||
Other assets | $ | 83,873 | $ | 61,964 | ||||
Composition of Current Liabilities | ' | |||||||
The composition of other current liabilities is as follows: | ||||||||
27-Sep-14 | 28-Dec-13 | |||||||
(in thousands) | ||||||||
Accrued income taxes | $ | 13,667 | $ | 18,773 | ||||
Current deferred tax liability | 1,652 | 1,960 | ||||||
Accrued interest and other | 189 | 1,813 | ||||||
Other current liabilities | $ | 15,508 | $ | 22,546 | ||||
Composition of Other Long-Term Liabilities | ' | |||||||
The composition of other long-term liabilities is as follows: | ||||||||
27-Sep-14 | 28-Dec-13 | |||||||
(in thousands) | ||||||||
Deferred tax liability | $ | 30,764 | $ | 14,988 | ||||
Long-term pension liability | 14,822 | 16,219 | ||||||
Accrued Executive Supplemental Life Insurance Retirement Plan and Deferred Compensation Plan | 30,559 | 28,708 | ||||||
Other long-term liabilities | 22,074 | 10,717 | ||||||
Other long-term liabilities | $ | 98,219 | $ | 70,632 | ||||
Fair_Value_Tables
Fair Value (Tables) | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ' | |||||||||||||||
Assets and liabilities measured at fair value on a recurring basis are summarized below: | ||||||||||||||||
Fair Value Measurements at September 27, 2014 | ||||||||||||||||
Quoted Prices in Active Markets for Identical Assets Level 1 | Significant Other Observable Inputs Level 2 | Significant Unobservable Inputs Level 3 | Assets and Liabilities at Fair Value | |||||||||||||
(in thousands) | ||||||||||||||||
Cash equivalents | $ | — | $ | 1,851 | $ | — | $ | 1,851 | ||||||||
Life insurance policies | — | 20,193 | — | 20,193 | ||||||||||||
Total assets measured at fair value | $ | — | $ | 22,044 | $ | — | $ | 22,044 | ||||||||
Redeemable noncontrolling interest | — | — | 24,550 | 24,550 | ||||||||||||
Contingent consideration | — | — | 2,548 | 2,548 | ||||||||||||
Total liabilities measured at fair value | $ | — | $ | — | $ | 27,098 | $ | 27,098 | ||||||||
Fair Value Measurements at December 28, 2013 | ||||||||||||||||
Quoted Prices in Active Markets for Identical Assets Level 1 | Significant Other Observable Inputs Level 2 | Significant Unobservable Inputs Level 3 | Assets and Liabilities at Fair Value | |||||||||||||
(in thousands) | ||||||||||||||||
Cash equivalents | $ | — | $ | 1,851 | $ | — | $ | 1,851 | ||||||||
Life insurance policies | — | 19,534 | — | 19,534 | ||||||||||||
Total assets measured at fair value | $ | — | $ | 21,385 | $ | — | $ | 21,385 | ||||||||
Redeemable noncontrolling interest | — | — | 20,581 | 20,581 | ||||||||||||
Total liabilities measured at fair value | $ | — | $ | — | $ | 20,581 | $ | 20,581 | ||||||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | ' | |||||||||||||||
Adjustments to fair value, which is deemed to be Level 3 as the fair value is based on unobservable inputs, are recorded through additional paid-in capital. | ||||||||||||||||
Redeemable Noncontrolling Interest (Liability) | ||||||||||||||||
Nine Months Ended | ||||||||||||||||
September 27, 2014 | September 28, 2013 | |||||||||||||||
(in thousands) | ||||||||||||||||
Beginning balance | $ | 20,581 | $ | — | ||||||||||||
Additions | — | 8,963 | ||||||||||||||
Total gains or losses (realized/unrealized): | ||||||||||||||||
Net income attributable to noncontrolling interest | 523 | 476 | ||||||||||||||
Foreign currency translation | (113 | ) | 233 | |||||||||||||
Change in fair value, included in additional paid-in capital | 3,559 | 4,905 | ||||||||||||||
Ending balance | $ | 24,550 | $ | 14,577 | ||||||||||||
As part of the Company's acquisitions of Early Discovery and VivoPath, it agreed to make cash payments upon the satisfaction of certain future financial measures. The carrying amount of these obligations is adjusted to fair value each quarter end. As the fair value is based on unobservable inputs, it is deemed to be Level 3. | ||||||||||||||||
Contingent Consideration (Liability) | ||||||||||||||||
Nine Months Ended | ||||||||||||||||
September 27, 2014 | September 28, 2013 | |||||||||||||||
(in thousands) | ||||||||||||||||
Beginning balance | $ | — | $ | — | ||||||||||||
Additions | 2,428 | — | ||||||||||||||
Total gains or losses (realized/unrealized): | ||||||||||||||||
Change in fair value | 120 | — | ||||||||||||||
Ending balance | $ | 2,548 | $ | — | ||||||||||||
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended | ||||||||||||||||||||
Sep. 27, 2014 | |||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||
Schedule of Goodwill and Other Intangible Assets not Subject to Amortization and Other Intangible Assets that Continue to be Subject to Amortization | ' | ||||||||||||||||||||
The following table displays the gross carrying amount and accumulated amortization of definite-lived intangible assets by major class: | |||||||||||||||||||||
September 27, 2014 | December 28, 2013 | ||||||||||||||||||||
Gross Carrying Amount | Accumulated Amortization & Impairment Loss | Gross Carrying Amount | Accumulated Amortization & Impairment Loss | ||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Backlog | $ | 8,391 | $ | (5,309 | ) | $ | 2,916 | $ | (2,507 | ) | |||||||||||
Client relationships | 395,221 | (243,004 | ) | 311,507 | (238,002 | ) | |||||||||||||||
Trademarks and trade names | 6,521 | (5,214 | ) | 5,399 | (4,997 | ) | |||||||||||||||
Standard operating procedures | 2,748 | (1,934 | ) | 2,754 | (1,498 | ) | |||||||||||||||
Other identifiable intangible assets | 13,675 | (6,988 | ) | 10,432 | (4,905 | ) | |||||||||||||||
Total other intangible assets | $ | 426,556 | $ | (262,449 | ) | $ | 333,008 | $ | (251,909 | ) | |||||||||||
Schedule of Changes in the Gross Carrying Amount and Accumulated Amortization of Goodwill | ' | ||||||||||||||||||||
The changes in the gross carrying amount and accumulated impairment loss of goodwill are as follows: | |||||||||||||||||||||
Adjustments to Goodwill | |||||||||||||||||||||
December 28, 2013 | Acquisitions | Transfers | Foreign Exchange | September 27, 2014 | |||||||||||||||||
(in thousands) | |||||||||||||||||||||
Research Models and Services | |||||||||||||||||||||
Gross carrying amount | $ | 83,551 | $ | — | $ | (23,172 | ) | $ | (650 | ) | $ | 59,729 | |||||||||
Discovery and Safety Assessment | |||||||||||||||||||||
Gross carrying amount | 1,152,150 | 67,244 | (8,131 | ) | (8,160 | ) | 1,203,103 | ||||||||||||||
Accumulated impairment loss | (1,005,000 | ) | — | — | — | (1,005,000 | ) | ||||||||||||||
Manufacturing Support | |||||||||||||||||||||
Gross carrying amount | — | — | 31,303 | 221 | 31,524 | ||||||||||||||||
Total | |||||||||||||||||||||
Gross carrying amount | 1,235,701 | 67,244 | — | (8,589 | ) | 1,294,356 | |||||||||||||||
Accumulated impairment loss | (1,005,000 | ) | — | — | — | (1,005,000 | ) | ||||||||||||||
Goodwill, net | $ | 230,701 | $ | 289,356 | |||||||||||||||||
LongTerm_Debt_and_Capital_Leas1
Long-Term Debt and Capital Lease Obligations (Tables) | 9 Months Ended | |||||||
Sep. 27, 2014 | ||||||||
Debt Disclosure [Abstract] | ' | |||||||
Components of Long-Term Debt | ' | |||||||
Long-term debt consists of the following: | ||||||||
September 27, 2014 | December 28, 2013 | |||||||
(in thousands) | ||||||||
Term loans | $ | 388,500 | $ | 409,500 | ||||
Revolving credit facility | 380,914 | 253,308 | ||||||
Other long-term debt | 223 | 241 | ||||||
Total debt | 769,637 | 663,049 | ||||||
Less: current portion of long-term debt | (31,723 | ) | (21,241 | ) | ||||
Long-term debt | $ | 737,914 | $ | 641,808 | ||||
Schedule of Principal Maturities of Existing Debt Excluding Unamortized Debt Discount | ' | |||||||
Principal maturities of existing debt for the periods set forth in the table below, are as follows: | ||||||||
Twelve Months Ending | 27-Sep-14 | |||||||
(in thousands) | ||||||||
Sep-15 | $ | 31,723 | ||||||
Sep-16 | 42,000 | |||||||
Sep-17 | 63,000 | |||||||
Sep-18 | 632,914 | |||||||
September 2019 and beyond | — | |||||||
Total | $ | 769,637 | ||||||
Equity_Tables
Equity (Tables) | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Stockholders' Equity Note [Abstract] | ' | |||||||||||||||
Reconciliation of the Numerator and Denominator in the Computations of the Basic and Diluted Earnings Per Share | ' | |||||||||||||||
The following table reconciles the numerator and denominator in the computations of the basic and diluted earnings per share. | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands, except share amounts) | ||||||||||||||||
Numerator: | ||||||||||||||||
Net income from continuing operations attributable to common shareholders | $ | 31,984 | $ | 30,980 | $ | 100,394 | $ | 84,912 | ||||||||
Income (loss) from discontinued operations, net of income taxes | 52 | (113 | ) | (862 | ) | (1,183 | ) | |||||||||
Net income attributable to common shareholders | $ | 32,036 | $ | 30,867 | $ | 99,532 | $ | 83,729 | ||||||||
Denominator: | ||||||||||||||||
Weighted-average shares outstanding—Basic | 46,016,036 | 47,910,649 | 46,682,826 | 47,950,018 | ||||||||||||
Effect of dilutive securities: | ||||||||||||||||
Stock options and contingently issuable restricted stock | 861,694 | 530,516 | 883,008 | 704,118 | ||||||||||||
Weighted-average shares outstanding—Diluted | 46,877,730 | 48,441,165 | 47,565,834 | 48,654,136 | ||||||||||||
Schedule of Number of Shares Repurchased and the Total Cost of Repurchase | ' | |||||||||||||||
Share repurchases for the three and nine months ended September 27, 2014 and September 28, 2013 were as follows: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands, except share amounts) | ||||||||||||||||
Stock Repurchase Program: | ||||||||||||||||
Number of shares of common stock repurchased | 380,300 | 1,398,346 | 2,093,200 | 1,945,021 | ||||||||||||
Total cost of repurchase | $ | 20,364 | $ | 65,515 | $ | 110,645 | $ | 88,553 | ||||||||
Netted for taxes: | ||||||||||||||||
Number of shares of common stock repurchased | 199 | — | 113,627 | 112,748 | ||||||||||||
Total cost of repurchase | $ | 11 | $ | — | $ | 6,702 | $ | 4,519 | ||||||||
Total: | ||||||||||||||||
Number of shares of common stock repurchased | 380,499 | 1,398,346 | 2,206,827 | 2,057,769 | ||||||||||||
Total cost of repurchase | $ | 20,375 | $ | 65,515 | $ | 117,347 | $ | 93,072 | ||||||||
Income_Taxes_Tables
Income Taxes (Tables) | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||||||
Reconciliation of Provision for Income Taxes on Condensed Consolidated Statements of Operations | ' | |||||||||||||||
The following table provides a reconciliation of the provision for income taxes on the condensed consolidated statements of income: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Income from continuing operations before income taxes | 43,882 | 42,726 | 137,409 | 115,221 | ||||||||||||
Effective tax rate | 26.4 | % | 26.7 | % | 26.2 | % | 25.5 | % | ||||||||
Provision for income taxes | 11,582 | 11,390 | 36,021 | 29,331 | ||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | ' | |||||||||||||||
The income tax expense (benefit) related to items of other comprehensive income are as follows: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Income tax expense (benefit) related to foreign currency translation adjustment | $ | — | $ | (615 | ) | $ | (105 | ) | $ | 42 | ||||||
Income tax expense related to change in unrecognized pension gains, losses and prior service costs | 125 | 289 | 378 | 832 | ||||||||||||
Income tax expense (benefit) related to items of other comprehensive income | $ | 125 | $ | (326 | ) | $ | 273 | $ | 874 | |||||||
Employee_Benefits_Tables
Employee Benefits (Tables) | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||
Components of Net Periodic Benefit Cost for Defined Benefit Plans | ' | |||||||||||||||
The following table provides the components of net periodic cost (benefit) for the Company's defined benefit plans for the three-month period ended: | ||||||||||||||||
Pension Benefits | Supplemental Retirement Benefits | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Service cost | $ | 880 | $ | 822 | $ | 190 | $ | 160 | ||||||||
Interest cost | 3,211 | 2,762 | 252 | 177 | ||||||||||||
Expected return on plan assets | (4,540 | ) | (3,593 | ) | — | — | ||||||||||
Amortization of prior service cost (credit) | (166 | ) | (147 | ) | 159 | 165 | ||||||||||
Amortization of net loss | 238 | 671 | 60 | 63 | ||||||||||||
Net periodic cost (benefit) | $ | (377 | ) | $ | 515 | $ | 661 | $ | 565 | |||||||
The following table provides the components of net periodic cost (benefit) for the Company's defined benefit plans for the nine-month period ended: | ||||||||||||||||
Pension Benefits | Supplemental Retirement Benefits | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Service cost | $ | 2,565 | $ | 2,492 | 569 | $ | 482 | |||||||||
Interest cost | 9,633 | 8,334 | 757 | 531 | ||||||||||||
Expected return on plan assets | (13,095 | ) | (10,842 | ) | — | — | ||||||||||
Amortization of prior service cost (credit) | (484 | ) | (444 | ) | 489 | 495 | ||||||||||
Amortization of net loss | 684 | 2,043 | 185 | 189 | ||||||||||||
Net periodic cost (benefit) | $ | (697 | ) | $ | 1,583 | $ | 2,000 | $ | 1,697 | |||||||
Stock_Plans_and_StockBased_Com1
Stock Plans and Stock-Based Compensation (Tables) | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||||||
Schedule of Stock-Based Compensation Expense | ' | |||||||||||||||
The following table provides the financial statement line items in which stock-based compensation is reflected: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Stock-based compensation expense included in: | ||||||||||||||||
Cost of revenue | $ | 1,337 | $ | 1,332 | $ | 4,008 | $ | 4,051 | ||||||||
Selling, general and administration | 6,914 | 4,715 | 19,124 | 14,180 | ||||||||||||
Stock-based compensation, before income taxes | 8,251 | 6,047 | 23,132 | 18,231 | ||||||||||||
Provision for income taxes | (2,943 | ) | (2,103 | ) | (8,271 | ) | (6,422 | ) | ||||||||
Stock-based compensation, net of tax | $ | 5,308 | $ | 3,944 | $ | 14,861 | $ | 11,809 | ||||||||
Business_Segment_Information_T
Business Segment Information (Tables) | 9 Months Ended | |||||||||||||||
Sep. 27, 2014 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Schedule of Sales and Other Financial Information by Business Segment | ' | |||||||||||||||
The following table presents revenue and other financial information by reportable segment. | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Research Models and Services | ||||||||||||||||
Revenue | $ | 124,021 | $ | 124,236 | $ | 389,636 | $ | 388,868 | ||||||||
Gross margin | 45,295 | 39,127 | 149,392 | 143,603 | ||||||||||||
Operating income | 28,056 | 23,803 | 97,734 | 97,576 | ||||||||||||
Depreciation and amortization | 7,277 | 13,548 | 20,277 | 27,642 | ||||||||||||
Capital expenditures | 4,110 | 4,208 | 11,528 | 10,417 | ||||||||||||
Discovery and Safety Assessment | ||||||||||||||||
Revenue | $ | 140,862 | $ | 112,627 | $ | 388,614 | $ | 321,908 | ||||||||
Gross margin | 39,968 | 33,061 | 105,084 | 81,112 | ||||||||||||
Operating income | 19,329 | 18,968 | 48,840 | 38,672 | ||||||||||||
Depreciation and amortization | 13,340 | 9,486 | 33,867 | 28,269 | ||||||||||||
Capital expenditures | 3,436 | 2,459 | 11,330 | 7,315 | ||||||||||||
Manufacturing Support | ||||||||||||||||
Revenue | 62,684 | 55,266 | 189,864 | 165,524 | ||||||||||||
Gross margin | 33,005 | 27,738 | 98,239 | 81,992 | ||||||||||||
Operating income | 19,220 | 16,125 | 58,091 | 46,576 | ||||||||||||
Depreciation and amortization | 3,513 | 3,881 | 10,625 | 11,424 | ||||||||||||
Capital expenditures | 1,463 | 2,429 | 5,444 | 7,587 | ||||||||||||
Reconciliation of Segment Operating Income to Consolidated Operating Income | ' | |||||||||||||||
A reconciliation of segment operating income to consolidated operating income is as follows: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Total segment operating income | $ | 66,605 | $ | 58,896 | $ | 204,665 | $ | 182,824 | ||||||||
Unallocated corporate overhead | (20,433 | ) | (18,053 | ) | (67,762 | ) | (56,030 | ) | ||||||||
Consolidated operating income | $ | 46,172 | $ | 40,843 | $ | 136,903 | $ | 126,794 | ||||||||
Schedule of Net Sales for Each Significant Service Area | ' | |||||||||||||||
Revenue for each significant product or service area is as follows: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 27, 2014 | September 28, 2013 | September 27, 2014 | September 28, 2013 | |||||||||||||
(in thousands) | ||||||||||||||||
Research models | $ | 81,705 | $ | 81,366 | $ | 256,501 | $ | 257,582 | ||||||||
Research model services | 42,316 | 42,870 | 133,135 | 131,286 | ||||||||||||
Total research models and services | 124,021 | 124,236 | 389,636 | 388,868 | ||||||||||||
Total discovery and safety assessment | 140,862 | 112,627 | 388,614 | 321,908 | ||||||||||||
Endotoxin and Microbial Detection | 31,834 | 28,331 | 97,879 | 83,214 | ||||||||||||
Other manufacturing support | 30,850 | 26,935 | 91,985 | 82,310 | ||||||||||||
Total manufacturing support | $ | 62,684 | $ | 55,266 | $ | 189,864 | $ | 165,524 | ||||||||
Total revenue | $ | 327,567 | $ | 292,129 | $ | 968,114 | $ | 876,300 | ||||||||
Summary of Unallocated Corporate Overhead | ' | |||||||||||||||
A summary of unallocated corporate overhead consists of the following: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
27-Sep-14 | 28-Sep-13 | 27-Sep-14 | 28-Sep-13 | |||||||||||||
(in thousands) | ||||||||||||||||
Stock-based compensation expense | $ | 4,918 | $ | 3,260 | $ | 13,525 | $ | 9,927 | ||||||||
Salary, bonus and fringe | 5,892 | 5,636 | 23,597 | 18,776 | ||||||||||||
Consulting, audit and professional services | 3,053 | 2,250 | 8,721 | 6,578 | ||||||||||||
IT related expenses | 1,767 | 3,002 | 4,667 | 8,448 | ||||||||||||
Depreciation expense | 1,954 | 1,570 | 5,666 | 4,712 | ||||||||||||
Costs associated with evaluation and integration of acquisitions | 580 | 306 | 5,256 | 986 | ||||||||||||
Other general unallocated corporate expenses | 2,269 | 2,029 | 6,330 | 6,603 | ||||||||||||
Total unallocated corporate overhead costs | $ | 20,433 | $ | 18,053 | $ | 67,762 | $ | 56,030 | ||||||||
Business_Acquisitions_Business
Business Acquisitions Business Acquisition (Details) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 3 Months Ended | 9 Months Ended | ||||||||||||||
In Thousands, unless otherwise specified | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 28, 2013 | Dec. 28, 2013 | Sep. 27, 2014 | Sep. 27, 2014 | Apr. 01, 2014 | Sep. 27, 2014 | Jun. 16, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | |||||
USD ($) | USD ($) | USD ($) | USD ($) | Early Discovery UK [Member] | Early Discovery UK [Member] | Early Discovery UK [Member] | VivoPath [Member] | VivoPath [Member] | Customer Relationships [Member] | Other Intangible Assets [Member] | Above Market Leases [Member] | Trademarks and Trade Names [Member] | Order or Production Backlog [Member] | ||||||
USD ($) | EUR (€) | USD ($) | USD ($) | USD ($) | Early Discovery UK [Member] | Early Discovery UK [Member] | Early Discovery UK [Member] | Early Discovery UK [Member] | Early Discovery UK [Member] | ||||||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | $23,329 | $46,842 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Business Combination, Pro Forma Information, Operating Income of Acquiree since Acquisition Date, Actual | '-429 | '-390 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets | ' | ' | ' | ' | ' | ' | 31,257 | ' | ' | ' | ' | ' | ' | ' | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment | ' | ' | ' | ' | ' | ' | 21,008 | ' | ' | ' | ' | ' | ' | ' | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Other Noncurrent Assets | ' | ' | ' | ' | ' | ' | 11,549 | ' | ' | ' | ' | ' | ' | ' | |||||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | ' | ' | ' | ' | ' | ' | ' | ' | ' | '18 years | '19 years | '13 years | '3 years | '1 year | |||||
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination [Table Text Block] | ' | ' | ' | ' | ' | ' | ' | ' | ' | '94000 | '2400 | '1000 | '1170 | '5700 | |||||
The breakout of definite-lived intangible assets acquired is as follows: | |||||||||||||||||||
1-Apr-14 | Weighted average amortization life | ||||||||||||||||||
(in thousands) | |||||||||||||||||||
Client relationships | $ | 94,000 | 18 years | ||||||||||||||||
Backlog | 5,700 | 1 year | |||||||||||||||||
Trademark and trade names | 1,170 | 3 years | |||||||||||||||||
Leasehold interests | 1,000 | 13 years | |||||||||||||||||
Other intangible assets | 2,400 | 19 years | |||||||||||||||||
Total definite-lived intangible assets | $ | 104,270 | |||||||||||||||||
Goodwill | 289,356 | 289,356 | ' | 230,701 | ' | ' | 66,330 | ' | ' | ' | ' | ' | ' | ' | |||||
Transaction Costs | 492 | 5,371 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities | ' | ' | ' | ' | ' | ' | -14,299 | ' | ' | ' | ' | ' | ' | ' | |||||
Business Acquisition, Cost of Acquired Entity, Purchase Price | ' | ' | ' | ' | 191,349 | ' | ' | 2,267 | ' | ' | ' | ' | ' | ' | |||||
Business Combination, Contingent Consideration, Liability | ' | ' | ' | ' | ' | ' | 1,000 | ' | 1,567 | ' | ' | ' | ' | ' | |||||
Business Acquisition, Percentage of Voting Interests Acquired | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | |||||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | ' | ' | ' | ' | 6,000 | 5,000 | ' | ' | 2,400 | ' | ' | ' | ' | ' | |||||
Business Combination, Consideration Transferred | ' | ' | ' | ' | 183,137 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Cash Acquired from Acquisition | ' | ' | ' | ' | 8,212 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities | ' | ' | ' | ' | ' | ' | -36,973 | ' | ' | ' | ' | ' | ' | ' | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | ' | ' | ' | ' | ' | ' | 104,270 | ' | ' | ' | ' | ' | ' | ' | |||||
Payments to Acquire Businesses, Net of Cash Acquired | ' | $183,151 | $24,218 | ' | $183,142 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring_and_Asset_Impair2
Restructuring and Asset Impairments (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 6 Months Ended | |||||||||||||||||
In Thousands, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Mar. 29, 2014 | Mar. 30, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | Dec. 27, 2014 | Dec. 27, 2014 |
Research Models and Services [Member] | Research Models and Services [Member] | Research Models and Services [Member] | Research Models and Services [Member] | Preclinical Services [Member] | Preclinical Services [Member] | Preclinical Services [Member] | Preclinical Services [Member] | Manufacturing Support [Member] | Manufacturing Support [Member] | Manufacturing Support [Member] | Manufacturing Support [Member] | Corporate [Member] | Corporate [Member] | Corporate [Member] | Corporate [Member] | General and Administrative Expense [Member] | General and Administrative Expense [Member] | General and Administrative Expense [Member] | General and Administrative Expense [Member] | Cost of Sales [Member] | Cost of Sales [Member] | Cost of Sales [Member] | Cost of Sales [Member] | RMS Japan [Member] | RMS Japan [Member] | Portage, MI [Member] | Portage, MI [Member] | RMS Europe [Member] | Scenario, Forecast [Member] | Scenario, Forecast [Member] | |||||||
RMS Japan [Member] | |||||||||||||||||||||||||||||||||||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Asset Impairment Charges | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $307 | $1,291 | $312 | ' | ' |
Gain (Loss) on Disposition of Property Plant Equipment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,107 | ' | ' |
Accelerated depreciation estimate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,287 | 1,727 | 293 | 876 | ' | 210 | 1,225 |
Severance and Retention Costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance, beginning of period | ' | ' | 2,782 | 3,636 | 3,823 | 2,917 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expense | 574 | 476 | 5,363 | 1,058 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payments for Restructuring | -1,117 | -783 | -4,865 | -2,084 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance, end of period | 3,280 | 2,610 | 3,280 | 2,610 | 3,823 | 2,917 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Severance and retention costs, current | ' | ' | ' | ' | 2,354 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Severance and retention costs, noncurrent | ' | ' | ' | ' | 926 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Severance and retention costs | $574 | $476 | $5,363 | $1,058 | ' | ' | $379 | $32 | $3,974 | $301 | $69 | $398 | $1,118 | $711 | $126 | $46 | $150 | $46 | $0 | $0 | $121 | $0 | $207 | $0 | $2,242 | $69 | $367 | $476 | $3,121 | $989 | ' | ' | ' | ' | ' | ' | ' |
Business_Acquisitions_Proforma
Business Acquisitions Proforma (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ' | ' | ' | ' |
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | $23,329 | ' | $46,842 | ' |
Business Acquisition, Pro Forma Information, Nonrecurring Adjustments [Table Text Block] | '3651000 | ' | ' | ' |
Business Combination, Pro Forma Information, Operating Income of Acquiree since Acquisition Date, Actual | '-429 | ' | '-390 | ' |
Business Acquisition, Pro Forma Revenue | 327,567 | 313,460 | 993,223 | 935,693 |
Business Acquisition, Pro Forma Net Income (Loss) | $32,036 | $29,098 | $101,029 | $76,705 |
Business Acquisition, Pro Forma Earnings Per Share, Basic | $700 | $610 | $2,160 | $1,600 |
Business Acquisition, Pro Forma Earnings Per Share, Diluted | $680 | $600 | $2,120 | $1,580 |
Supplemental_Balance_Sheet_Inf2
Supplemental Balance Sheet Information (Details) (USD $) | Sep. 27, 2014 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Composition of trade receivables | ' | ' |
Client receivables | $229,366 | $190,423 |
Unbilled revenue | 50,670 | 35,184 |
Total | 280,036 | 225,607 |
Less allowance for doubtful accounts | -5,012 | -4,977 |
Net trade receivables | 275,024 | 220,630 |
Composition of inventories | ' | ' |
Raw materials and supplies | 15,583 | 15,028 |
Work in process | 12,053 | 11,715 |
Finished products | 65,059 | 62,653 |
Inventories | 92,695 | 89,396 |
Composition of other current assets | ' | ' |
Prepaid assets | 31,466 | 20,058 |
Deferred tax asset | 31,636 | 29,139 |
Time Deposits, at Carrying Value | -14,577 | -11,158 |
Prepaid income tax | 25,747 | 25,247 |
Restricted cash | 3,292 | 245 |
Other current assets | 106,718 | 85,847 |
Composition of other assets | ' | ' |
Deferred financing costs | 5,828 | 7,126 |
Cash surrender value of life insurance policies | 27,267 | 26,507 |
Equity Method Investments | 23,432 | 17,911 |
Other assets | 27,346 | 10,420 |
Other assets | 83,873 | 61,964 |
Composition of other current liabilities | ' | ' |
Accrued income taxes | 13,667 | 18,773 |
Current deferred tax liability | 1,652 | 1,960 |
Accrued intereset and other | 189 | 1,813 |
Other current liabilities | 15,508 | 22,546 |
Composition of other long-term liabilities | ' | ' |
Deferred tax liability | 30,764 | 14,988 |
Long-term pension liability | 14,822 | 16,219 |
Accrued Executive Supplemental Life Insurance Retirement Plan and Deferred Compensation Plan | 30,559 | 28,708 |
Other long-term liabilities | 22,074 | 10,717 |
Other long-term liabilities | $98,219 | $70,632 |
Supplemental_Balance_Sheet_Inf3
Supplemental Balance Sheet Information (Long-lived Assets) (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Dec. 28, 2013 |
Net property, plant and equipment | ' | ' | ' | ' | ' |
Gross property, plant and equipment | $1,343,367 | ' | $1,343,367 | ' | $1,321,709 |
Less accumulated depreciation | -672,123 | ' | -672,123 | ' | -645,527 |
Net property, plant and equipment | 671,244 | ' | 671,244 | ' | 676,182 |
Depreciation expense | 18,422 | 22,736 | 51,622 | 54,444 | ' |
Land [Member] | ' | ' | ' | ' | ' |
Net property, plant and equipment | ' | ' | ' | ' | ' |
Gross property, plant and equipment | 39,452 | ' | 39,452 | ' | 40,157 |
Buildings [Member] | ' | ' | ' | ' | ' |
Net property, plant and equipment | ' | ' | ' | ' | ' |
Gross property, plant and equipment | 701,160 | ' | 701,160 | ' | 694,074 |
Machinery and Equipment [Member] | ' | ' | ' | ' | ' |
Net property, plant and equipment | ' | ' | ' | ' | ' |
Gross property, plant and equipment | 385,222 | ' | 385,222 | ' | 367,244 |
Leashold Improvements [Member] | ' | ' | ' | ' | ' |
Net property, plant and equipment | ' | ' | ' | ' | ' |
Gross property, plant and equipment | 40,150 | ' | 40,150 | ' | 37,959 |
Furniture and Fixtures [Member] | ' | ' | ' | ' | ' |
Net property, plant and equipment | ' | ' | ' | ' | ' |
Gross property, plant and equipment | 23,796 | ' | 23,796 | ' | 24,013 |
Vehicles [Member] | ' | ' | ' | ' | ' |
Net property, plant and equipment | ' | ' | ' | ' | ' |
Gross property, plant and equipment | 3,836 | ' | 3,836 | ' | 3,859 |
Computer Hardware and Software [Member] | ' | ' | ' | ' | ' |
Net property, plant and equipment | ' | ' | ' | ' | ' |
Gross property, plant and equipment | 117,889 | ' | 117,889 | ' | 112,328 |
Construction in Progress [Member] | ' | ' | ' | ' | ' |
Net property, plant and equipment | ' | ' | ' | ' | ' |
Gross property, plant and equipment | $31,862 | ' | $31,862 | ' | $42,075 |
Investments_in_LPs_Investments
Investments in LPs (Investments in Limited Partnerships) (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Dec. 28, 2013 |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' | ' |
Limited partnership, committed contribution | $55,000 | ' | $55,000 | ' | ' |
Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures | 17,957 | ' | 17,957 | ' | ' |
Proceeds from Equity Method Investment, Dividends or Distributions | 0 | ' | 7,438 | ' | ' |
Income (loss) from investments in limited partnerships | -803 | 3,527 | 7,377 | 4,832 | ' |
Equity method affiliates, carrying value | $23,432 | ' | $23,432 | ' | $17,911 |
Ownership percentage low range [Member] | ' | ' | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' | ' |
Limited partnership, ownership (as a percentage) | 3.80% | ' | 3.80% | ' | ' |
Ownership percentage high range [Member] | ' | ' | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' | ' |
Limited partnership, ownership (as a percentage) | 12.10% | ' | 12.10% | ' | ' |
Fair_Value_Summary_of_Assets_a
Fair Value (Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis) (Details) (USD $) | 3 Months Ended | 3 Months Ended | 9 Months Ended | 9 Months Ended | ||||||||||||
In Thousands, unless otherwise specified | Sep. 27, 2014 | Dec. 28, 2013 | Jan. 04, 2013 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Dec. 28, 2013 | Sep. 27, 2014 | Dec. 28, 2013 | Sep. 27, 2014 | Dec. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 |
Forward Contracts [Member] | Forward Contracts [Member] | Forward Contracts [Member] | Quoted Prices in Active Markets for Identical Assets Level 1 [Member] | Quoted Prices in Active Markets for Identical Assets Level 1 [Member] | Significant Other Observable Inputs Level 2 [Member] | Significant Other Observable Inputs Level 2 [Member] | Significant Unobservable Inputs Level 3 [Member] | Significant Unobservable Inputs Level 3 [Member] | Non-controlling Interest | Non-controlling Interest | Non-controlling Interest | Non-controlling Interest | ||||
Significant Unobservable Inputs Level 3 [Member] | ||||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | ' | ' | 25.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value Inputs, Discount Rate | 17.50% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Available-for-sale Securities, Fair Value Disclosure | $1,851 | $1,851 | ' | ' | ' | ' | $0 | $0 | $1,851 | $1,851 | $0 | $0 | ' | ' | ' | ' |
Fair value of life policies | 20,193 | 19,534 | ' | ' | ' | ' | 0 | 0 | 20,193 | 19,534 | 0 | 0 | ' | ' | ' | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Earnings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 523 | 476 | ' | ' |
Total assets measured at fair value | 22,044 | 21,385 | ' | ' | ' | ' | 0 | 0 | 22,044 | 21,385 | 0 | 0 | ' | ' | ' | ' |
Redeemable Noncontrolling Interest, Equity, Fair Value | 24,550 | 20,581 | ' | ' | ' | ' | 0 | 0 | 0 | 0 | 24,550 | ' | ' | ' | ' | 20,581 |
Other Liabilities, Fair Value Disclosure | 2,548 | ' | ' | ' | ' | ' | 0 | ' | 0 | ' | 2,548 | ' | ' | ' | ' | ' |
Total liabilities measured at fair value | 27,098 | 20,581 | ' | ' | ' | ' | 0 | 0 | 0 | 0 | 27,098 | 20,581 | ' | ' | ' | ' |
Hedge gains recorded | ' | ' | ' | -472 | 669 | 289 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding forward contract, fair value | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value Inputs, Long-term Pre-tax Operating Margin, Percent | 32.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 24,550 | 14,577 | 0 | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Purchases | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 8,963 | ' | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Other Comprehensive Income (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -113 | 233 | ' | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Liability, Transfers out of Level 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $3,559 | $4,905 | ' | ' |
Fair_Value_Level_3_Reconciliat
Fair Value Level 3 Reconciliation Liabilities (Details) (USD $) | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Dec. 28, 2013 | Dec. 29, 2012 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' | ' |
Redeemable Noncontrolling Interest, Equity, Fair Value | $24,550 | ' | $20,581 | ' |
Contingent Consideration [Member] | ' | ' | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value | 2,548 | 0 | 0 | 0 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Earnings | 120 | 0 | ' | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Purchases | 2,428 | 0 | ' | ' |
Non-controlling Interest | ' | ' | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value | 24,550 | 14,577 | ' | 0 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Earnings | 523 | 476 | ' | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Other Comprehensive Income (Loss) | -113 | 233 | ' | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Liability, Transfers out of Level 3 | 3,559 | 4,905 | ' | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Purchases | 0 | 8,963 | ' | ' |
Significant Unobservable Inputs Level 3 [Member] | ' | ' | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' | ' |
Redeemable Noncontrolling Interest, Equity, Fair Value | 24,550 | ' | ' | ' |
Significant Unobservable Inputs Level 3 [Member] | Non-controlling Interest | ' | ' | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' | ' |
Redeemable Noncontrolling Interest, Equity, Fair Value | ' | ' | $20,581 | ' |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets (Schedule of Goodwill and Other Intangible Assets) (Details) (USD $) | Sep. 27, 2014 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ' |
Goodwill, Gross Carrying Amount | $1,294,356 | $1,235,701 |
Other intangible assets | ' | ' |
Other intangible assets subject to amortization, Gross Carrying Amount | 426,556 | 333,008 |
Other intangible assets subject to amortization, Accumulated Amortization & Impairment Loss | -262,449 | -251,909 |
Backlog [Member] | ' | ' |
Other intangible assets | ' | ' |
Other intangible assets subject to amortization, Gross Carrying Amount | 8,391 | 2,916 |
Other intangible assets subject to amortization, Accumulated Amortization & Impairment Loss | -5,309 | -2,507 |
Client Relationships [Member] | ' | ' |
Other intangible assets | ' | ' |
Other intangible assets subject to amortization, Gross Carrying Amount | 395,221 | 311,507 |
Other intangible assets subject to amortization, Accumulated Amortization & Impairment Loss | -243,004 | -238,002 |
Trademarks and Trade Names [Member] | ' | ' |
Other intangible assets | ' | ' |
Other intangible assets subject to amortization, Gross Carrying Amount | 6,521 | 5,399 |
Other intangible assets subject to amortization, Accumulated Amortization & Impairment Loss | -5,214 | -4,997 |
Standard Operating Procedures [Member] | ' | ' |
Other intangible assets | ' | ' |
Other intangible assets subject to amortization, Gross Carrying Amount | 2,748 | 2,754 |
Other intangible assets subject to amortization, Accumulated Amortization & Impairment Loss | -1,934 | -1,498 |
Other Intangible Assets [Member] | ' | ' |
Other intangible assets | ' | ' |
Other intangible assets subject to amortization, Gross Carrying Amount | 13,675 | 10,432 |
Other intangible assets subject to amortization, Accumulated Amortization & Impairment Loss | -6,988 | -4,905 |
Research Models [Member] | ' | ' |
Other intangible assets | ' | ' |
Other intangible assets not subject to amortization, Gross Carrying Amount | $3,438 | $3,438 |
Goodwill_and_Other_Intangible_3
Goodwill and Other Intangible Assets (Gross Carrying Amount and Accumulated Amortization of Goodwill) (Details) (USD $) | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 27, 2014 | Sep. 27, 2014 | Dec. 28, 2013 |
Changes in gross carrying amount and accumulated amortization of goodwill | ' | ' | ' |
Gross carrying amount, balance at the beginning of the period | $1,235,701 | $1,294,356 | ' |
Gross carrying amount, acquired during the period | 67,244 | ' | ' |
Goodwill, Transfers | 0 | ' | ' |
Gross carrying amount, foreign exchange/impairment | 8,589 | ' | ' |
Accumulated impairment loss, balance at the beginning of the period | 1,005,000 | 1,005,000 | ' |
Goodwill | 289,356 | ' | 230,701 |
Research Models and Services [Member] | ' | ' | ' |
Changes in gross carrying amount and accumulated amortization of goodwill | ' | ' | ' |
Gross carrying amount, balance at the beginning of the period | 83,551 | 59,729 | ' |
Gross carrying amount, acquired during the period | 0 | ' | ' |
Goodwill, Transfers | -23,172 | ' | ' |
Gross carrying amount, foreign exchange/impairment | 650 | ' | ' |
Preclinical Services [Member] | ' | ' | ' |
Changes in gross carrying amount and accumulated amortization of goodwill | ' | ' | ' |
Gross carrying amount, balance at the beginning of the period | 1,152,150 | 1,203,103 | ' |
Gross carrying amount, acquired during the period | 67,244 | ' | ' |
Goodwill, Transfers | -8,131 | ' | ' |
Gross carrying amount, foreign exchange/impairment | 8,160 | ' | ' |
Accumulated impairment loss, balance at the beginning of the period | 1,005,000 | 1,005,000 | ' |
Manufacturing Support [Member] | ' | ' | ' |
Changes in gross carrying amount and accumulated amortization of goodwill | ' | ' | ' |
Gross carrying amount, balance at the beginning of the period | 0 | 31,524 | ' |
Gross carrying amount, acquired during the period | 0 | ' | ' |
Goodwill, Transfers | 31,303 | ' | ' |
Gross carrying amount, foreign exchange/impairment | ($221) | ' | ' |
LongTerm_Debt_and_Capital_Leas2
Long-Term Debt and Capital Lease Obligations (Long-Term Debt) (Details) (USD $) | Sep. 27, 2014 | Dec. 28, 2013 | Sep. 27, 2014 | Sep. 27, 2014 | Dec. 28, 2013 | Sep. 27, 2014 | Dec. 28, 2013 | Sep. 27, 2014 | Dec. 28, 2013 |
Convertible Debt [Member] | Term loan facilities | Term loan facilities | Revolving credit facility | Revolving credit facility | Other long-term debt | Other long-term debt | |||
Debt Instrument | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity, Term Loan and Line of Credit | $970,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity, Line of Credit | 550,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility Borrowing Capacity Available Increase | 350,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Secured Long-term Debt, Noncurrent | 420,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Principal | 769,637,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Total debt | 769,637,000 | 663,049,000 | ' | 388,500,000 | 409,500,000 | 380,914,000 | 253,308,000 | 223,000 | 241,000 |
Less: current portion of long-term debt | -31,723,000 | -21,241,000 | ' | ' | ' | ' | ' | ' | ' |
Long-term debt | $737,914,000 | $641,808,000 | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Basis Spread on Variable Rate | ' | ' | 1.25% | ' | ' | ' | ' | ' | ' |
LongTerm_Debt_and_Capital_Leas3
Long-Term Debt and Capital Lease Obligations (Additional Disclosures) (Details) (USD $) | Sep. 27, 2014 | Dec. 28, 2013 |
Debt Instrument [Line Items] | ' | ' |
Secured Long-term Debt, Noncurrent | $420,000,000 | ' |
Maximum borrowing capacity, Line of Credit | 550,000,000 | ' |
Line of Credit Facility Borrowing Capacity Available Increase | 350,000,000 | ' |
Outstanding under letters of credit | 5,009,000 | ' |
Long-term Debt, Excluding Current Maturities | 737,914,000 | 641,808,000 |
Capital lease obligations | 17,080,000 | 740,000 |
Principal maturities of existing debt excluding unamortized debt discount | ' | ' |
Mar-15 | 31,723,000 | ' |
Mar-16 | 42,000,000 | ' |
Mar-17 | 63,000,000 | ' |
Mar-18 | 632,914,000 | ' |
Mar-19 | 0 | ' |
Total | 769,637,000 | ' |
Early Discovery UK [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Construction in Progress, Gross | $16,049,000 | ' |
Equity_Earnings_Per_Share_Deta
Equity (Earnings Per Share) (Details) (USD $) | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | |||||||
In Thousands, except Share data, unless otherwise specified | Jul. 31, 2010 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Dec. 28, 2013 | Dec. 25, 2010 | Dec. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Mar. 29, 2014 | Mar. 30, 2013 |
Convertible Debt [Member] | Stock options [Member] | Stock options [Member] | Stock options [Member] | Stock options [Member] | Restricted Stock [Member] | Restricted Stock [Member] | ||||||||
Antidilutive securities excluded from computation of earnings per share amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Repurchase Program, Authorized Amount | $500,000 | ' | ' | $1,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Repurchase Program, Authorized Amount Increase (Decrease) | ' | ' | ' | ' | ' | 250,000 | 250,000 | ' | ' | ' | ' | ' | ' | ' |
Antidilutive securities excluded from computation of earnings per share amount (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 931,626 | 2,652,660 | 785,880 | 2,363,878 | 1,190,400 | 1,107,313 |
Numerator: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income from continuing operations for purposes of calculating earnings per share | ' | 31,984 | 30,980 | 100,394 | 84,912 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income (loss) from discontinued operations | ' | 52 | -113 | -862 | -1,183 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net Income (Loss) Available to Common Stockholders, Basic | ' | $32,036 | $30,867 | $99,532 | $83,729 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Denominator: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average shares outstanding-Basic (in shares) | ' | 46,016,036 | 47,910,649 | 46,682,826 | 47,950,018 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Effect of dilutive securities: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock options and contingently issued restricted stock (in shares) | ' | 861,694 | 530,516 | 883,008 | 704,118 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Average Number of Shares Outstanding, Diluted | ' | 46,877,730 | 48,441,165 | 47,565,834 | 48,654,136 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basic earnings per share from continuing operations attributable to common shareowners (in dollars per share) | ' | $0.70 | $0.65 | $2.15 | $1.77 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basic earnings (loss) per share from discontinued operations attributable to common shareowners (in dollars per share) | ' | $0 | $0 | ($0.02) | ($0.02) | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Diluted earnings per share from continuing operations attributable to common shareowners (in dollars per share) | ' | $0.68 | $0.64 | $2.11 | $1.75 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Diluted earnings (loss) per share from discontinued operations attributable to common shareowners (in dollars per share) | ' | $0 | $0 | ($0.02) | ($0.02) | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate on debt (as a percent) | ' | ' | ' | ' | ' | ' | ' | 2.25% | ' | ' | ' | ' | ' | ' |
Equity_Treasury_Stock_Details
Equity (Treasury Stock) (Details) (USD $) | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
In Thousands, except Share data, unless otherwise specified | Jul. 31, 2010 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Dec. 28, 2013 | Dec. 25, 2010 |
Treasury Shares | ' | ' | ' | ' | ' | ' | ' |
Stock Repurchase Program, Authorized Amount | $500,000 | ' | ' | $1,000,000 | ' | ' | ' |
Stock Repurchase Program, Authorized Amount Increase (Decrease) | ' | ' | ' | ' | ' | 250,000 | 250,000 |
Number of shares of common stock repurchased (in shares) | ' | 380,499 | 1,398,346 | 2,206,827 | 2,057,769 | ' | ' |
Total cost of repurchase of treasury shares | ' | 20,375 | 65,515 | 117,347 | 93,072 | ' | ' |
Stock Repurchase Program, Remaining Authorized Repurchase Amount | ' | ' | ' | 28,500 | ' | ' | ' |
2007 Incentive Plan | ' | ' | ' | ' | ' | ' | ' |
Treasury Shares | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock repurchased (in shares) | ' | 199 | 0 | 113,627 | 112,748 | ' | ' |
Total cost of repurchase of treasury shares | ' | 11 | 0 | 6,702 | 4,519 | ' | ' |
Open market repurchases [Member] | ' | ' | ' | ' | ' | ' | ' |
Treasury Shares | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock repurchased (in shares) | ' | 380,300 | 1,398,346 | 2,093,200 | 1,945,021 | ' | ' |
Total cost of repurchase of treasury shares | ' | $20,364 | $65,515 | $110,645 | $88,553 | ' | ' |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Dec. 28, 2013 | |
Income Tax Disclosures [Line Items] | ' | ' | ' | ' | ' |
Income (Loss) from Continuing Operations before Income Taxes, Domestic | $43,882,000 | $42,726,000 | $137,409,000 | $115,221,000 | ' |
Income (loss) from continuing operations before income taxes | ' | ' | ' | ' | ' |
Income from continuing operations, before income taxes | 43,882,000 | 42,726,000 | 137,409,000 | 115,221,000 | ' |
Effective tax rate (as a percentage) | 26.40% | 26.70% | 26.20% | 25.50% | ' |
Provision (benefit) for income taxes | 11,582,000 | 11,390,000 | 36,021,000 | 29,331,000 | ' |
Effective Income Tax Rate Reconciliation, Tax Credit, Other, Amount | ' | ' | 2,000,000 | ' | ' |
Effective Income Tax Rate Reconciliation, Tax Credit, Research, Percent | ' | ' | 25.00% | ' | ' |
Effective Income Tax Rate Reconciliation, Deduction, Amount | ' | ' | 1,406,000 | ' | ' |
Other Comprehensive Income (Loss), Tax [Abstract] | ' | ' | ' | ' | ' |
Income tax expense (beneffit) related to foreign currency translation adjustments | 0 | -615,000 | -105,000 | 42,000 | ' |
Income tax expense related to the change in unrecognized pension gains, losses and prior service costs | 125,000 | 289,000 | 378,000 | 832,000 | ' |
Income tax expense (benefit) related to items of other comprehensive income | 125,000 | -326,000 | 273,000 | 874,000 | ' |
Income Tax Uncertainties [Abstract] | ' | ' | ' | ' | ' |
Unrecognized Tax Benefits, Period Increase (Decrease) | 462,000 | ' | ' | ' | ' |
Interest related to unrecognized income tax benefits | 1,300,000 | ' | 1,300,000 | ' | ' |
Decrease in unrecognized tax benefits, that if recognized would impact the effective tax rate | -678,000 | ' | ' | ' | ' |
Unrecognized Tax Benefits | 34,300,000 | ' | 34,300,000 | ' | ' |
Unrecognized tax benefits that would impact effective tax rate favorably, if recognized | 32,200,000 | ' | 32,200,000 | ' | ' |
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Amount of Unrecorded Benefit | 11,600,000 | ' | 11,600,000 | ' | ' |
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Amount of Interest Expense | 500,000 | ' | 500,000 | ' | ' |
unrecognized tax benefit (settlement of audit) | 400,000 | ' | 400,000 | ' | ' |
Effect on Unrecognized Tax Benefits of adoption of ASU 2013-11 | 16,100,000 | ' | 16,100,000 | ' | 11,865,000 |
UNITED STATES | ' | ' | ' | ' | ' |
Income Tax Uncertainties [Abstract] | ' | ' | ' | ' | ' |
Unrecognized Tax Benefits, Period Increase (Decrease) | ' | ' | 2,142,000 | ' | ' |
Deferred tax asset write-off [Domain] | ' | ' | ' | ' | ' |
Income (loss) from continuing operations before income taxes | ' | ' | ' | ' | ' |
Effective Income Tax Rate Reconciliation, Deduction, Amount | ' | ' | $1,220,000 | ' | ' |
Employee_Benefits_Details
Employee Benefits (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Pension Benefits [Member] | ' | ' | ' | ' |
Employee benefits | ' | ' | ' | ' |
Service cost | $880 | $822 | $2,565 | $2,492 |
Interest cost | 3,211 | 2,762 | 9,633 | 8,334 |
Expected return on plan assets | -4,540 | -3,593 | -13,095 | -10,842 |
Amortization of prior service cost (credit) | -166 | -147 | -484 | -444 |
Amortization of net loss (gain) | 238 | 671 | 684 | 2,043 |
Net periodic benefit cost | -377 | 515 | -697 | 1,583 |
Expected contributions during the current fiscal year | ' | ' | 6,477 | ' |
Supplemental Employee Retirement Plan, Defined Benefit [Member] | ' | ' | ' | ' |
Employee benefits | ' | ' | ' | ' |
Service cost | 190 | 160 | 569 | 482 |
Interest cost | 252 | 177 | 757 | 531 |
Expected return on plan assets | 0 | 0 | 0 | 0 |
Amortization of prior service cost (credit) | 159 | 165 | 489 | 495 |
Amortization of net loss (gain) | 60 | 63 | 185 | 189 |
Net periodic benefit cost | $661 | $565 | $2,000 | $1,697 |
Stock_Plans_and_StockBased_Com2
Stock Plans and Stock-Based Compensation Stock Based Compensation Expense (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Stock-based compensation expense | ' | ' | ' | ' |
Stock-based compensation expense | $8,251 | $6,047 | $23,132 | $18,231 |
Provision for income taxes | -2,943 | -2,103 | -8,271 | -6,422 |
Net income attributable to common shareowners | 5,308 | 3,944 | 14,861 | 11,809 |
Cost of Sales [Member] | ' | ' | ' | ' |
Stock-based compensation expense | ' | ' | ' | ' |
Stock-based compensation expense | 1,337 | 1,332 | 4,008 | 4,051 |
General and Administrative Expense [Member] | ' | ' | ' | ' |
Stock-based compensation expense | ' | ' | ' | ' |
Stock-based compensation expense | 6,914 | 4,715 | 19,124 | 14,180 |
Performance Based Stock Award Program [Member] | ' | ' | ' | ' |
Stock-based compensation expense | ' | ' | ' | ' |
Stock-based compensation expense | $2,608 | $563 | $6,262 | $1,455 |
Stock_Plans_and_StockBased_Com3
Stock Plans and Stock-Based Compensation Performance Based Stock Award Program (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | ||||||||
In Thousands, except Share data, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 28, 2013 | Mar. 29, 2014 | Sep. 27, 2014 | Mar. 29, 2014 | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
2013 PSU [Member] | 2013 PSU [Member] | 2014 PSU [Member] | 2014 PSU [Member] | Performance Based Stock Award Program [Member] | Performance Based Stock Award Program [Member] | Performance Based Stock Award Program [Member] | Performance Based Stock Award Program [Member] | |||||
Restricted Stock and Performance Units, Additional Disclosure | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Max PSU Shares | ' | ' | ' | ' | ' | 327,694 | ' | 430,000 | ' | ' | ' | ' |
Granted (in dollars per share) | ' | ' | ' | ' | $44.47 | ' | $60 | $70 | ' | ' | ' | ' |
Granted (in shares) | ' | ' | ' | ' | 164,000 | ' | 6,000 | 215,000 | ' | ' | ' | ' |
Stock-based compensation expense | $8,251 | $6,047 | $23,132 | $18,231 | ' | ' | ' | ' | $2,608 | $563 | $6,262 | $1,455 |
Commitments_and_Contingencies_
Commitments and Contingencies (Details) (USD $) | Sep. 27, 2014 | Sep. 27, 2014 | Sep. 27, 2014 | Apr. 01, 2014 |
In Thousands, unless otherwise specified | Government billing [Member] | Supplier arbitration [Member] | Early Discovery UK [Member] | Early Discovery UK [Member] |
Other Commitments [Line Items] | ' | ' | ' | ' |
Capital Leases, Remaining Period of Future Minimum Payments Due | ' | ' | '20 years | ' |
Loss Contingency, Estimate of Possible Loss | $1,500 | $1,200 | ' | ' |
Loss Contingency, Settlement Agreement, Terms | ' | '1600 | ' | ' |
Capital Leases, Future Minimum Payments Due | ' | ' | ' | $82,410 |
Business_Segment_Information_D
Business Segment Information (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 |
Business segment information | ' | ' | ' | ' |
Revenues | $327,567 | $292,129 | $968,114 | $876,300 |
Operating income | 46,172 | 40,843 | 136,903 | 126,794 |
Depreciation and amortization | ' | ' | 70,435 | 67,336 |
Capital expenditures | ' | ' | 29,907 | 25,319 |
Unallocated corporate overhead | ' | ' | ' | ' |
Stock-based compensation expense | 8,251 | 6,047 | 23,132 | 18,231 |
Depreciation expense | 18,422 | 22,736 | 51,622 | 54,444 |
Research Models [Member] | ' | ' | ' | ' |
Business segment information | ' | ' | ' | ' |
Revenues | 81,705 | 81,366 | 256,501 | 257,582 |
Research Model Services [Member] | ' | ' | ' | ' |
Business segment information | ' | ' | ' | ' |
Revenues | 42,316 | 42,870 | 133,135 | 131,286 |
Research Models and Services [Member] | ' | ' | ' | ' |
Business segment information | ' | ' | ' | ' |
Revenues | 124,021 | 124,236 | 389,636 | 388,868 |
Other Products [Member] | ' | ' | ' | ' |
Business segment information | ' | ' | ' | ' |
Revenues | 30,850 | 26,935 | 91,985 | 82,310 |
Manufacturing Support [Member] | ' | ' | ' | ' |
Business segment information | ' | ' | ' | ' |
Revenues | 62,684 | 55,266 | 189,864 | 165,524 |
Total Segments [Member] | ' | ' | ' | ' |
Business segment information | ' | ' | ' | ' |
Operating income | 66,605 | 58,896 | 204,665 | 182,824 |
Research Models and Services [Member] | ' | ' | ' | ' |
Business segment information | ' | ' | ' | ' |
Gross margin | 45,295 | 39,127 | 149,392 | 143,603 |
Operating income | 28,056 | 23,803 | 97,734 | 97,576 |
Depreciation and amortization | 7,277 | 13,548 | 20,277 | 27,642 |
Capital expenditures | 4,110 | 4,208 | 11,528 | 10,417 |
Revenue | 124,021 | 124,236 | 389,636 | 388,868 |
Preclinical Services [Member] | ' | ' | ' | ' |
Business segment information | ' | ' | ' | ' |
Revenues | 140,862 | 112,627 | 388,614 | 321,908 |
Gross margin | 39,968 | 33,061 | 105,084 | 81,112 |
Operating income | 19,329 | 18,968 | 48,840 | 38,672 |
Depreciation and amortization | 13,340 | 9,486 | 33,867 | 28,269 |
Capital expenditures | 3,436 | 2,459 | 11,330 | 7,315 |
Revenue | 140,862 | 112,627 | 388,614 | 321,908 |
Manufacturing Support [Member] | ' | ' | ' | ' |
Business segment information | ' | ' | ' | ' |
Revenues | 62,684 | 55,266 | 189,864 | 165,524 |
Gross margin | 33,005 | 27,738 | 98,239 | 81,992 |
Operating income | 19,220 | 16,125 | 58,091 | 46,576 |
Depreciation and amortization | 3,513 | 3,881 | 10,625 | 11,424 |
Capital expenditures | 1,463 | 2,429 | 5,444 | 7,587 |
Unallocated Corporate Overhead [Member] | ' | ' | ' | ' |
Business segment information | ' | ' | ' | ' |
Operating income | -20,433 | -18,053 | -67,762 | -56,030 |
Unallocated corporate overhead | ' | ' | ' | ' |
Stock-based compensation expense | 4,918 | 3,260 | 13,525 | 9,927 |
Audit, tax and related expenses | 3,053 | 2,250 | 8,721 | 6,578 |
Salary and bonus | 5,892 | 5,636 | 23,597 | 18,776 |
Information Technology and Data Processing | 1,767 | 3,002 | 4,667 | 8,448 |
Depreciation expense | 1,954 | 1,570 | 5,666 | 4,712 |
Acquisition Costs, Period Cost | 580 | 306 | 5,256 | 986 |
Other general unallocated corporate expenses | 2,269 | 2,029 | 6,330 | 6,603 |
Total unallocated corporate overhead costs | 20,433 | 18,053 | 67,762 | 56,030 |
Endotoxoin and Microbial Detection [Member] | ' | ' | ' | ' |
Business segment information | ' | ' | ' | ' |
Revenues | $31,834 | $28,331 | $97,879 | $83,214 |
Discontinued_Operations_Detail
Discontinued Operations (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 27, 2014 | Sep. 28, 2013 | Sep. 27, 2014 | Sep. 28, 2013 | Dec. 28, 2013 |
Operating results from discontinued operations | ' | ' | ' | ' | ' |
Income (loss) from operatoins of discontinued businesses, before income taxes | ' | ' | ($1,614) | ($1,894) | ' |
Provision (benefit) for income taxes | ' | ' | 752 | 711 | ' |
Income (loss) from operations of discontinued businesses, net of taxes | 52 | -113 | -862 | -1,183 | ' |
Assets and liabilities of discontinued operations | ' | ' | ' | ' | ' |
Current assets | 835 | ' | 835 | ' | 750 |
Long-term assets | 3,106 | ' | 3,106 | ' | 3,151 |
Current liabilities | 2,059 | ' | 2,059 | ' | 1,931 |
Long-term liabilities | 7,876 | ' | 7,876 | ' | 8,080 |
Phase I Clinical [Member] | ' | ' | ' | ' | ' |
Operating results from discontinued operations | ' | ' | ' | ' | ' |
Facility lease payments | ' | ' | '10334 | ' | ' |
Income (loss) from operatoins of discontinued businesses, before income taxes | -38 | -172 | ' | ' | ' |
Provision (benefit) for income taxes | 90 | 59 | ' | ' | ' |
Income (loss) from operations of discontinued businesses, net of taxes | 52 | -113 | ' | ' | ' |
Assets and liabilities of discontinued operations | ' | ' | ' | ' | ' |
Total assets | 3,941 | ' | 3,941 | ' | 3,901 |
Total liabilities | $9,935 | ' | $9,935 | ' | $10,011 |
Subsequent_Events_Details
Subsequent Events (Details) (Subsequent Event Business Combination Contingent Consideration [Member], USD $) | 0 Months Ended |
Oct. 29, 2014 | |
Subsequent Event Business Combination Contingent Consideration [Member] | ' |
Subsequent Event [Line Items] | ' |
Subsequent Event, Description | $52,000,000 |
Business Combination, Consideration Transferred | $2,000,000 |