Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Apr. 04, 2015 | 7-May-15 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | BlueLinx Holdings Inc. | |
Entity Central Index Key | 1301787 | |
Trading Symbol | bxc | |
Current Fiscal Year End Date | -1 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 89,405,119 | |
Document Type | 10-Q | |
Document Period End Date | 4-Apr-15 | |
Amendment Flag | FALSE | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) (unaudited) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Apr. 04, 2015 | Apr. 05, 2014 |
Income Statement [Abstract] | ||
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | ($71) | |
Net sales | 454,949 | 443,944 |
Cost of sales | 404,753 | 391,268 |
Gross profit | 50,196 | 52,676 |
Operating expenses: | ||
Selling, general, and administrative | 50,036 | 51,987 |
Depreciation and amortization | 2,278 | 2,352 |
Total operating expenses | 52,314 | 54,339 |
Operating income (loss) | -2,118 | -1,663 |
Non-operating (income) expenses: | ||
Interest expense | 6,553 | 6,454 |
Other (income) expense, net | 358 | 160 |
Income (loss) before provision for (benefit from) income taxes | -9,029 | -8,277 |
Provision for (benefit from) income taxes | -84 | 331 |
Net income (loss) | -8,945 | -8,608 |
Basic and diluted weighted average number of common shares outstanding | 87,165 | 85,187 |
Basic and diluted net income (loss) per share applicable to common stock | ($0.10) | ($0.10) |
Comprehensive income (loss): | ||
Net income (loss) | -8,945 | -8,608 |
Other comprehensive income (loss): | ||
Foreign currency translation, net of taxes | -282 | -231 |
Unrealized gain (loss) from pension plan, net of taxes | 211 | 115 |
Total other comprehensive income (loss) | -71 | -116 |
Comprehensive income (loss) | ($9,016) | ($8,724) |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Apr. 04, 2015 | Jan. 03, 2015 |
In Thousands, unless otherwise specified | ||
Current assets: | ||
Cash | $6,033 | $4,522 |
Receivables, net | 177,635 | 144,537 |
Inventories, net | 275,095 | 242,546 |
Other current assets | 20,773 | 23,289 |
Total current assets | 479,536 | 414,894 |
Property, plant, and equipment: | ||
Land and land improvements | 40,997 | 41,095 |
Buildings | 89,978 | 90,161 |
Machinery and equipment | 79,390 | 77,279 |
Construction in progress | 278 | 1,188 |
Property, plant, and equipment, at cost | 210,643 | 209,723 |
Accumulated depreciation | -104,964 | -104,456 |
Property, plant, and equipment, net | 105,679 | 105,267 |
Non-current deferred income tax assets, net | 501 | 501 |
Other non-current assets | 13,073 | 18,320 |
Total assets | 598,789 | 538,982 |
Current liabilities: | ||
Accounts payable | 100,946 | 67,291 |
Bank overdrafts | 25,815 | 27,280 |
Accrued compensation | 5,697 | 5,643 |
Current maturities of long-term debt | 4,505 | 2,679 |
Deferred income taxes, net | 518 | 518 |
Other current liabilities | 13,032 | 13,831 |
Total current liabilities | 150,513 | 117,242 |
Non-current liabilities: | ||
Long-term debt | 438,826 | 403,274 |
Pension benefit obligation | 40,523 | 41,734 |
Other non-current liabilities | 13,333 | 12,758 |
Total liabilities | 643,195 | 575,008 |
Stockholders’ equity (deficit): | ||
Common Stock, $0.01 par value, 200,000,000 shares authorized at April 4, 2015 and January 3, 2015; 89,416,235 and 88,748,638 shares issued at April 4, 2015 and January 3, 2015, respectively. | 895 | 888 |
Additional paid-in capital | 253,679 | 253,051 |
Accumulated other comprehensive income (loss) | -34,496 | -34,425 |
Accumulated stockholders' equity (deficit) | -264,484 | -255,540 |
Total stockholders’ equity (deficit) | -44,406 | -36,026 |
Total liabilities and stockholders’ equity (deficit) | $598,789 | $538,982 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parentheticals) (USD $) | Apr. 04, 2015 | Jan. 03, 2015 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 89,416,236 | 88,748,638 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Apr. 04, 2015 | Apr. 05, 2014 |
Cash flows from operating activities: | ||
Net income (loss) | ($8,945) | ($8,608) |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operations: | ||
Depreciation and amortization | 2,278 | 2,352 |
Amortization of debt discount and issuance costs | 779 | 744 |
Gain from sale of properties | 0 | -210 |
Severance charges | 21 | 0 |
Intraperiod income tax allocation related to the hourly pension plan | 0 | -76 |
Pension expense | 238 | 225 |
Share-based compensation expense | 617 | 690 |
Other | -628 | -170 |
Change in net cash from other operating activities | -5,640 | -5,053 |
Changes in operating assets and liabilities: | ||
Receivables, net | -33,098 | -40,469 |
Inventories, net | -32,549 | -37,426 |
Accounts payable | 33,655 | 37,743 |
Restructuring liability | -351 | -603 |
Restricted cash related to insurance and other | 1,050 | 1,285 |
Prepaid assets | 915 | 0 |
Accrued compensation and other assets and liabilities | 573 | 978 |
Net cash provided by (used in) operating activities | -37,545 | -46,115 |
Cash flows from investing activities: | ||
Property, plant, and equipment investments | -665 | -775 |
Proceeds from sale of assets | 328 | 283 |
Net cash provided by (used in) investing activities | -337 | -492 |
Cash flows from financing activities: | ||
Repurchase of shares to satisfy employee tax withholdings | -261 | -456 |
Repayments on revolving credit facilities | -76,723 | -99,146 |
Borrowings from revolving credit facilities | 121,806 | 149,116 |
Principal payments on mortgage | -7,930 | -809 |
Payments on capital lease obligations | -1,056 | -570 |
Increase (decrease) in bank overdrafts | -1,465 | 2,139 |
Decrease (increase) in restricted cash related to the mortgage | 5,056 | -1,024 |
Debt financing costs | -34 | 0 |
Proceeds from (payments on) stock offering, less expenses paid | 0 | -98 |
Net cash provided by (used in) financing activities | 39,393 | 49,152 |
Increase (decrease) in cash | 1,511 | 2,545 |
Cash balance, beginning of period | 4,522 | 5,034 |
Cash balance, end of period | 6,033 | 7,579 |
Noncash investing and financing transactions: | ||
Capital lease cost included in other current and long-term liabilities | 1,698 | 1,061 |
Debt issuance costs included in long-term debt | $1,152 | $75 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 3 Months Ended |
Apr. 04, 2015 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies |
Basis of Presentation | |
The accompanying unaudited Consolidated Financial Statements include the accounts of BlueLinx Holdings Inc. and its wholly owned subsidiaries (the “Company”). These financial statements have been prepared in accordance with the instructions to Form 10-Q and do not include all of the information and footnotes required by generally accepted accounting principles (“GAAP”) for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. These statements should be read in conjunction with the Consolidated Financial Statements and notes thereto included in the Company’s Annual Report on Form 10-K together with Amendment No. 1 to the Annual Report on Form 10-K/A, (the “Annual Report on Form 10-K”) for the year ended January 3, 2015, as filed with the Securities and Exchange Commission. | |
Accounts Receivable | |
Accounts receivable are stated at net realizable value, do not bear interest, and consist of amounts owed for orders shipped to customers. Management establishes an overall credit policy for sales to customers. The allowance for doubtful accounts is determined based on a number of factors including specific customer account reviews, historical loss experience, current economic trends, and the creditworthiness of significant customers based on ongoing credit evaluations. Allowance for doubtful accounts was $3.1 million as of both April 4, 2015, and January 3, 2015. | |
Share-Based Compensation | |
We have two stock-based compensation plans covering officers, directors, certain employees, and consultants: the 2004 Equity Incentive Plan (the “2004 Plan”) and the 2006 Long-Term Equity Incentive Plan (the “2006 Plan”). The plans are designed to motivate and retain individuals who are responsible for the attainment of our primary long-term performance goals. The plans provide a means whereby the participants develop a further sense of proprietorship and personal involvement in our development and financial success, thereby advancing the interests of the Company and its stockholders. Although we do not have a formal policy on the matter, we issue new shares of our common stock to participants upon the exercise of options, upon the vesting of restricted stock or upon the vesting of equity settled performance shares, out of the total amount of common shares applicable for issuance or vesting under either the 2006 Plan or the 2004 Plan. Shares are available for new issuance only under the 2006 Plan; the 2004 Plan has no shares remaining for issuance, only for vesting of currently outstanding awards and for exercise of currently outstanding options. Restricted shares of 635,709 vested in the first three months of fiscal 2015 due to the completion of the vesting term. In addition, performance shares of 318,675 vested in the first three months of fiscal 2015 due to the completion of the vesting term and the satisfaction of the performance criteria. | |
Change in Accounting Estimate | |
As of January 3, 2015, the Company determined that almost all of the participants in the pension plan were inactive. Accordingly, beginning in fiscal 2015, and subsequent periods, the Company began amortizing actuarial gains and losses over the estimated average remaining life expectancy of the inactive participants, rather than the estimated average remaining service period of the active participants. During the first three months of fiscal 2015, the impact of this change in estimate was a reduction in net pension expense of $0.8 million, a decrease to net loss of $0.8 million, and a decrease to net loss per share of $0.01. | |
New Accounting Standards | |
In April 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2015-03, Interest - Imputation of Interest. The ASU requires that debt issuance costs be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts or premiums. ASU 2015-03 is effective for fiscal years beginning after December 15, 2015, and for interim periods within those fiscal years. Early adoption is permitted. The Company currently is evaluating the impact the adoption of this ASU will have on our consolidated financial statements. | |
In April 2015, the FASB issued ASU 2015-04, Compensation - Retirement Benefits. For entities with a fiscal year-end that does not coincide with a month-end, the ASU permits the entity to measure defined benefit plan assets and obligations using the month-end that is closest to the entity’s fiscal year-end and apply that practical expedient consistently from year to year. ASU 2015-04 is effective for fiscal years beginning after December 15, 2015, and for interim periods within those fiscal years. Early adoption is permitted. The Company currently is evaluating the impact the adoption of this ASU will have on our consolidated financial statements. | |
In April 2015, the FASB issued ASU 2015-05, Intangibles - Goodwill and Other - Internal-Use Software. The ASU requires that entities with a cloud computing arrangement that includes a software license, account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the entity should account for the arrangement as a service contract. ASU 2015-05 is effective for fiscal years beginning after December 15, 2015, and for interim periods within those fiscal years. Early adoption is permitted. The Company currently is evaluating the impact the adoption of this ASU will have on our consolidated financial statements. | |
Reclassifications | |
Certain other amounts in the prior years’ consolidated financial statements and notes have been revised to conform to the current year presentation. During fiscal 2015, we have separately detailed the “Pension Benefit Obligation”, which historically had been presented as “Other non-current liabilities” in the Consolidated Balance Sheets. To conform the historical presentation to the current presentation, we have separately detailed the “Pension Benefit Obligation” in prior periods from “Other non-current liabilities” in the Consolidated Balance Sheets. | |
Additionally, during fiscal 2015, we reclassified certain amounts, which historically had been presented as “Debt financing costs” to “Borrowings from the revolving credit facilities” in cash flows from financing activities. To conform the historical presentation to the current presentation, we reclassified similar items in prior periods from “Debt financing costs” to “Borrowings from the revolving credit facilities” in cash flows from financing activities. |
Restructuring_Charges
Restructuring Charges | 3 Months Ended | |||||||||||
Apr. 04, 2015 | ||||||||||||
Restructuring and Related Activities [Abstract] | ||||||||||||
Restructuring Charges | Restructuring Charges | |||||||||||
We account for exit and disposal costs by recognizing a liability for costs associated with an exit or disposal activity at fair value in the period in which it is incurred or when the entity ceases using the right conveyed by a contract (i.e., the right to use a leased property). We account for severance and outplacement costs by recognizing a liability for employees’ rights to post-employment benefits when management has committed to a plan, due to the existence of a post-employment benefit agreement, and has communicated the plan to affected employees. | ||||||||||||
The table below summarizes the balances of the reduction in force activities and the facility lease obligation reserve, which are included in “Other current liabilities” in the accompanying Consolidated Balance Sheets as of April 4, 2015, and the changes in the accrual, which is included in “Selling, general, and administrative” expenses in the accompanying Consolidated Statements of Operations and Comprehensive Income (Loss) for the three months ended April 4, 2015 (in thousands): | ||||||||||||
Reduction in | Facility Lease Obligation | Total Restructuring | ||||||||||
Force Activities | ||||||||||||
Balance at January 3, 2015 | $ | 313 | $ | 547 | $ | 860 | ||||||
Adjustments to reserves | — | 5 | 5 | |||||||||
Payments | (245 | ) | (106 | ) | (351 | ) | ||||||
Balance at April 4, 2015 | $ | 68 | $ | 446 | $ | 514 | ||||||
Employee_Benefits
Employee Benefits | 3 Months Ended | |||||||
Apr. 04, 2015 | ||||||||
Compensation and Retirement Disclosure [Abstract] | ||||||||
Employee Benefits | Employee Benefits | |||||||
The following table shows the components of net periodic pension cost (in thousands): | ||||||||
Three Months Ended | Three Months Ended | |||||||
April 4, 2015 | April 5, 2014 | |||||||
Service cost | $ | 300 | $ | 264 | ||||
Interest cost on projected benefit obligation | 1,250 | 1,280 | ||||||
Expected return on plan assets | (1,523 | ) | (1,510 | ) | ||||
Amortization of unrecognized loss | 211 | 191 | ||||||
Net periodic pension cost | $ | 238 | $ | 225 | ||||
Revolving_Credit_Facilities
Revolving Credit Facilities | 3 Months Ended |
Apr. 04, 2015 | |
Debt Disclosure [Abstract] | |
Revolving Credit Facilities | Revolving Credit Facilities |
On February 18, 2015, we refinanced our U.S. revolving credit facility, which is held by Wells Fargo Bank, National Association, and other lenders (“U.S. revolving credit facility”), including the $20.0 million Tranche A Loan, with the Tenth Amendment to the U.S. revolving credit facility (the “Tenth Amendment”). | |
The Tenth Amendment extends the maturity date of the U.S. revolving credit facility to April 15, 2017; requires the refinancing, extension or replacement of our current mortgage on or before May 1, 2016, such that the maturity date of the new mortgage facility is not sooner than July 15, 2017; and requires the repayment of not less than $35.0 million by May 1, 2016, which must be paid from sources other than normal operations. | |
Additionally, the Tenth Amendment extends the maturity date of the Tranche A Loan to June 30, 2016, with the principal amount decreasing by $2.0 million each month beginning on April 1, 2016, but such decreases will not occur if, after giving effect to the applicable reduction, excess availability will be less than $50.0 million; amends the interest rate for the Tranche A Loan to begin increasing by 25 basis points each 90 days, beginning on April 1, 2015, with a maximum increase of 100 basis points; and, while the Tranche A Loan is outstanding, increases our fixed charge coverage ratio requirement to 1.2 to 1.0 in certain situations. |
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended |
Apr. 04, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements |
Carrying amounts for our financial instruments are not significantly different from their fair values, with the exception of our mortgage. To determine the fair value of our mortgage, we use a discounted cash flow model. We believe the mortgage fair value valuation to be Level 2 in the fair value hierarchy, as the valuation model has inputs that are observable for substantially the full term of the liability. As of April 4, 2015, the discounted carrying amount and fair value of our mortgage was $169.8 million and $174.5 million, respectively. The difference between the book value and the fair value is derived from the difference between the period-end market interest rate and the stated rate of our fixed-rate mortgage. |
Earnings_Per_Share_Notes
Earnings Per Share (Notes) | 3 Months Ended |
Apr. 04, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings per Share |
Basic net income (loss) per share is calculated by dividing net income (loss) by the weighted-average number of common shares outstanding during the reporting period. Diluted net income (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares and dilutive common share equivalents then outstanding using the treasury stock method. Common equivalent shares consist of the incremental common shares issuable upon the exercise of stock options and vesting of restricted stock awards. | |
Restricted stock granted by us to certain of our officers, directors, and other employees participate in dividends on the same basis as common shares and are non-forfeitable by the holder. The unvested restricted stock contains non-forfeitable rights to dividends or dividend equivalents. As a result, these share-based awards meet the definition of a participating security and are included in the weighted average number of common shares outstanding, pursuant to the two-class method, for the periods that present net income. The two-class method is an earnings allocation formula that treats a participating security as having rights to earnings that otherwise would have been available to common stockholders. | |
For the interim periods presented, all unexpired stock options and unvested restricted and performance share awards were not included in the computations of diluted earnings per share because the effect was either antidilutive or the performance condition was not met. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income (Loss) | 3 Months Ended | |||||||||||||||
Apr. 04, 2015 | ||||||||||||||||
Equity [Abstract] | ||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) | |||||||||||||||
Comprehensive income (loss) is a measure of income (loss) which includes both net income (loss) and other comprehensive income (loss). Other comprehensive income (loss) results from items deferred from recognition into our Consolidated Statements of Operations and Comprehensive Income (Loss). Accumulated other comprehensive income (loss) is separately presented on our Consolidated Balance Sheets as part of common stockholders’ equity (deficit). | ||||||||||||||||
The changes in accumulated balances for each component of other comprehensive income (loss) for the quarter ended April 4, 2015, were as follows (in thousands): | ||||||||||||||||
Foreign currency, net | Defined | Other, | Total Accumulated Other Comprehensive Income (Loss) | |||||||||||||
of tax | benefit pension | net of tax | ||||||||||||||
plan, net of tax | ||||||||||||||||
January 3, 2015, beginning balance | $ | 1,155 | $ | (35,792 | ) | $ | 212 | $ | (34,425 | ) | ||||||
Other comprehensive income (loss), net of tax (1) | (282 | ) | 211 | — | (71 | ) | ||||||||||
April 4, 2015, ending balance, net of tax | $ | 873 | $ | (35,581 | ) | $ | 212 | $ | (34,496 | ) | ||||||
(1) | For the quarter ended April 4, 2015, there was $0.2 million of actuarial loss recognized in the statements of operations as a component of net periodic pension cost. There was no unrecognized actuarial loss based on actuarial assumptions. There was no intraperiod income tax allocation and the deferred tax benefit was fully offset by a valuation allowance. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Apr. 04, 2015 | |
Accounting Policies [Abstract] | |
Accounts Receivable | Accounts Receivable |
Accounts receivable are stated at net realizable value, do not bear interest, and consist of amounts owed for orders shipped to customers. Management establishes an overall credit policy for sales to customers. The allowance for doubtful accounts is determined based on a number of factors including specific customer account reviews, historical loss experience, current economic trends, and the creditworthiness of significant customers based on ongoing credit evaluations. Allowance for doubtful accounts was $3.1 million as of both April 4, 2015, and January 3, 2015. | |
Share-based Compensation | Share-Based Compensation |
We have two stock-based compensation plans covering officers, directors, certain employees, and consultants: the 2004 Equity Incentive Plan (the “2004 Plan”) and the 2006 Long-Term Equity Incentive Plan (the “2006 Plan”). The plans are designed to motivate and retain individuals who are responsible for the attainment of our primary long-term performance goals. The plans provide a means whereby the participants develop a further sense of proprietorship and personal involvement in our development and financial success, thereby advancing the interests of the Company and its stockholders. Although we do not have a formal policy on the matter, we issue new shares of our common stock to participants upon the exercise of options, upon the vesting of restricted stock or upon the vesting of equity settled performance shares, out of the total amount of common shares applicable for issuance or vesting under either the 2006 Plan or the 2004 Plan. Shares are available for new issuance only under the 2006 Plan; the 2004 Plan has no shares remaining for issuance, only for vesting of currently outstanding awards and for exercise of currently outstanding options. Restricted shares of 635,709 vested in the first three months of fiscal 2015 due to the completion of the vesting term. In addition, performance shares of 318,675 vested in the first three months of fiscal 2015 due to the completion of the vesting term and the satisfaction of the performance criteria. | |
Change in Accounting Estimate | Change in Accounting Estimate |
As of January 3, 2015, the Company determined that almost all of the participants in the pension plan were inactive. Accordingly, beginning in fiscal 2015, and subsequent periods, the Company began amortizing actuarial gains and losses over the estimated average remaining life expectancy of the inactive participants, rather than the estimated average remaining service period of the active participants. During the first three months of fiscal 2015, the impact of this change in estimate was a reduction in net pension expense of $0.8 million, a decrease to net loss of $0.8 million, and a decrease to net loss per share of $0.01. | |
New Accounting Standards | New Accounting Standards |
In April 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2015-03, Interest - Imputation of Interest. The ASU requires that debt issuance costs be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts or premiums. ASU 2015-03 is effective for fiscal years beginning after December 15, 2015, and for interim periods within those fiscal years. Early adoption is permitted. The Company currently is evaluating the impact the adoption of this ASU will have on our consolidated financial statements. | |
In April 2015, the FASB issued ASU 2015-04, Compensation - Retirement Benefits. For entities with a fiscal year-end that does not coincide with a month-end, the ASU permits the entity to measure defined benefit plan assets and obligations using the month-end that is closest to the entity’s fiscal year-end and apply that practical expedient consistently from year to year. ASU 2015-04 is effective for fiscal years beginning after December 15, 2015, and for interim periods within those fiscal years. Early adoption is permitted. The Company currently is evaluating the impact the adoption of this ASU will have on our consolidated financial statements. | |
In April 2015, the FASB issued ASU 2015-05, Intangibles - Goodwill and Other - Internal-Use Software. The ASU requires that entities with a cloud computing arrangement that includes a software license, account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the entity should account for the arrangement as a service contract. ASU 2015-05 is effective for fiscal years beginning after December 15, 2015, and for interim periods within those fiscal years. Early adoption is permitted. The Company currently is evaluating the impact the adoption of this ASU will have on our consolidated financial statements. | |
Reclassifications | Reclassifications |
Certain other amounts in the prior years’ consolidated financial statements and notes have been revised to conform to the current year presentation. During fiscal 2015, we have separately detailed the “Pension Benefit Obligation”, which historically had been presented as “Other non-current liabilities” in the Consolidated Balance Sheets. To conform the historical presentation to the current presentation, we have separately detailed the “Pension Benefit Obligation” in prior periods from “Other non-current liabilities” in the Consolidated Balance Sheets. | |
Additionally, during fiscal 2015, we reclassified certain amounts, which historically had been presented as “Debt financing costs” to “Borrowings from the revolving credit facilities” in cash flows from financing activities. To conform the historical presentation to the current presentation, we reclassified similar items in prior periods from “Debt financing costs” to “Borrowings from the revolving credit facilities” in cash flows from financing activities. | |
Earnings Per Share | Earnings per Share |
Basic net income (loss) per share is calculated by dividing net income (loss) by the weighted-average number of common shares outstanding during the reporting period. Diluted net income (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares and dilutive common share equivalents then outstanding using the treasury stock method. Common equivalent shares consist of the incremental common shares issuable upon the exercise of stock options and vesting of restricted stock awards. | |
Restricted stock granted by us to certain of our officers, directors, and other employees participate in dividends on the same basis as common shares and are non-forfeitable by the holder. The unvested restricted stock contains non-forfeitable rights to dividends or dividend equivalents. As a result, these share-based awards meet the definition of a participating security and are included in the weighted average number of common shares outstanding, pursuant to the two-class method, for the periods that present net income. The two-class method is an earnings allocation formula that treats a participating security as having rights to earnings that otherwise would have been available to common stockholders. | |
For the interim periods presented, all unexpired stock options and unvested restricted and performance share awards were not included in the computations of diluted earnings per share because the effect was either antidilutive or the performance condition was not met. |
Restructuring_Charges_Tables
Restructuring Charges (Tables) | 3 Months Ended | |||||||||||
Apr. 04, 2015 | ||||||||||||
Restructuring and Related Activities [Abstract] | ||||||||||||
Schedule of summary of the balances of accrued facility lease obligation reserve and severance and the changes in the accruals | The table below summarizes the balances of the reduction in force activities and the facility lease obligation reserve, which are included in “Other current liabilities” in the accompanying Consolidated Balance Sheets as of April 4, 2015, and the changes in the accrual, which is included in “Selling, general, and administrative” expenses in the accompanying Consolidated Statements of Operations and Comprehensive Income (Loss) for the three months ended April 4, 2015 (in thousands): | |||||||||||
Reduction in | Facility Lease Obligation | Total Restructuring | ||||||||||
Force Activities | ||||||||||||
Balance at January 3, 2015 | $ | 313 | $ | 547 | $ | 860 | ||||||
Adjustments to reserves | — | 5 | 5 | |||||||||
Payments | (245 | ) | (106 | ) | (351 | ) | ||||||
Balance at April 4, 2015 | $ | 68 | $ | 446 | $ | 514 | ||||||
Employee_Benefits_Tables
Employee Benefits (Tables) | 3 Months Ended | |||||||
Apr. 04, 2015 | ||||||||
Compensation and Retirement Disclosure [Abstract] | ||||||||
Schedule of net periodic pension cost for pension plans | The following table shows the components of net periodic pension cost (in thousands): | |||||||
Three Months Ended | Three Months Ended | |||||||
April 4, 2015 | April 5, 2014 | |||||||
Service cost | $ | 300 | $ | 264 | ||||
Interest cost on projected benefit obligation | 1,250 | 1,280 | ||||||
Expected return on plan assets | (1,523 | ) | (1,510 | ) | ||||
Amortization of unrecognized loss | 211 | 191 | ||||||
Net periodic pension cost | $ | 238 | $ | 225 | ||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Loss) (Tables) | 3 Months Ended | |||||||||||||||
Apr. 04, 2015 | ||||||||||||||||
Equity [Abstract] | ||||||||||||||||
Schedule of changes in accumulated balances for each component of other comprehensive income (loss) | The changes in accumulated balances for each component of other comprehensive income (loss) for the quarter ended April 4, 2015, were as follows (in thousands): | |||||||||||||||
Foreign currency, net | Defined | Other, | Total Accumulated Other Comprehensive Income (Loss) | |||||||||||||
of tax | benefit pension | net of tax | ||||||||||||||
plan, net of tax | ||||||||||||||||
January 3, 2015, beginning balance | $ | 1,155 | $ | (35,792 | ) | $ | 212 | $ | (34,425 | ) | ||||||
Other comprehensive income (loss), net of tax (1) | (282 | ) | 211 | — | (71 | ) | ||||||||||
April 4, 2015, ending balance, net of tax | $ | 873 | $ | (35,581 | ) | $ | 212 | $ | (34,496 | ) | ||||||
(1) | For the quarter ended April 4, 2015, there was $0.2 million of actuarial loss recognized in the statements of operations as a component of net periodic pension cost. There was no unrecognized actuarial loss based on actuarial assumptions. There was no intraperiod income tax allocation |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies Summary of Significant Accounting Policies - Additional Information (Details) (USD $) | 3 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Apr. 04, 2015 | Apr. 05, 2014 | Jan. 03, 2015 |
Change in Accounting Estimate [Line Items] | |||
Pension Expense | ($238) | ($225) | |
Allowance for Doubtful Accounts Receivable | 3,100 | 3,100 | |
Net income (loss) | -8,945 | -8,608 | |
Earnings Per Share, Basic and Diluted | ($0.10) | ($0.10) | |
Change in Assumptions for Pension Plans [Member] | |||
Change in Accounting Estimate [Line Items] | |||
Pension Expense | 800 | ||
Net income (loss) | $800 | ||
Earnings Per Share, Basic and Diluted | $0.01 | ||
Restricted Stock | |||
Change in Accounting Estimate [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 635,709 | ||
Performance Shares | |||
Change in Accounting Estimate [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 318,675 |
Restructuring_Charges_Details
Restructuring Charges (Details) (2013 restructuring, USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Apr. 04, 2015 |
Restructuring Reserve [Roll Forward] | |
Balance at January 3, 2015 | $860 |
Adjustments to reserves | 5 |
Payments | -351 |
Balance at April 4, 2015 | 514 |
Reduction in Force Activities | |
Restructuring Reserve [Roll Forward] | |
Balance at January 3, 2015 | 313 |
Adjustments to reserves | 0 |
Payments | -245 |
Balance at April 4, 2015 | 68 |
Facility Lease Obligation | |
Restructuring Reserve [Roll Forward] | |
Balance at January 3, 2015 | 547 |
Adjustments to reserves | 5 |
Payments | -106 |
Balance at April 4, 2015 | $446 |
Employee_Benefits_Details
Employee Benefits (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Apr. 04, 2015 | Apr. 05, 2014 |
Compensation and Retirement Disclosure [Abstract] | ||
Service cost | $300 | $264 |
Interest cost on projected benefit obligation | 1,250 | 1,280 |
Expected return on plan assets | -1,523 | -1,510 |
Amortization of unrecognized loss | 211 | 191 |
Net periodic pension cost | $238 | $225 |
Revolving_Credit_Facilities_De
Revolving Credit Facilities (Detail Textuals) (USD $) | 0 Months Ended | |
Feb. 18, 2015 | Feb. 18, 2015 | |
Revolving credit facility | ||
Line of Credit Facility [Line Items] | ||
Excess availability under the credit facility to terminate contractual decrease to the borrowing capacity (less than) | $50,000,000 | 50,000,000 |
Line of credit facility, covenant restriction, coverage ratio, fixed amount | 1.2 | 1.2 |
Revolving credit facility | Minimum | ||
Line of Credit Facility [Line Items] | ||
Required repayments of lines of credit by May 1, 2016 | 35,000,000 | 35,000,000 |
Tranche A Loan | ||
Line of Credit Facility [Line Items] | ||
Monthly decrease to the borrowing capacity, under amended credit agreement | 2,000,000 | |
Line of credit facility, periodic increase in interest rate | 25.00% | 25.00% |
Line of credit facility, maximum increase in interest rate | 100.00% | 100.00% |
U.S. | Tranche A Loan | Wells Fargo Bank | ||
Line of Credit Facility [Line Items] | ||
Loan amount of the credit facility | $20,000,000 | 20,000,000 |
Fair_Value_Measurements_Detail
Fair Value Measurements (Detail Textuals) (USD $) | Apr. 04, 2015 |
In Millions, unless otherwise specified | |
Carrying Amount | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Debt instrument, fair value disclosure | $169.80 |
Fair Value, Inputs, Level 2 | Fair Value | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Debt instrument, fair value disclosure | $174.50 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Loss) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Apr. 04, 2015 | Apr. 05, 2014 |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||
Beginning balance | ($34,425) | |
Other comprehensive income (loss) before reclassification | -71 | |
Ending balance, net of tax | -34,496 | |
Actuarial loss recognized | 211 | 191 |
Foreign currency, net of tax | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||
Beginning balance | 1,155 | |
Other comprehensive income (loss) before reclassification | -282 | |
Ending balance, net of tax | 873 | |
Defined benefit pension plan, net of tax | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||
Beginning balance | -35,792 | |
Other comprehensive income (loss) before reclassification | 211 | |
Ending balance, net of tax | -35,581 | |
Other, net of tax | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||
Beginning balance | 212 | |
Other comprehensive income (loss) before reclassification | 0 | |
Ending balance, net of tax | $212 |