(Mark One) | |
þ | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the fiscal year ended January 4, 2014 | |
OR | |
o | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 77-0627356 |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
4300 Wildwood Parkway, Atlanta, Georgia | 30339 |
(Address of principal executive offices) | (Zip Code) |
Title of Each Class | Name of Each Exchange on Which Registered | |
Common stock, par value $0.01 per share | New York Stock Exchange |
Large accelerated filer o | Accelerated filer o | Non-accelerated filer þ | Smaller reporting company o |
(Do not check if a smaller reporting company) |
2 |
● | changes in the prices, supply and/or demand for products which we distribute, especially as a result of conditions in the residential housing market; |
● | the acceptance by our customers of our privately branded products; |
● | inventory levels of new and existing homes for sale; |
● | general economic and business conditions in the United States; |
● | the financial condition and credit worthiness of our customers; |
● | the activities of competitors; |
● | changes in significant operating expenses; |
● | fuel costs; |
● | risk of losses associated with accidents; |
● | exposure to product liability claims; |
● | changes in the availability of capital and interest rates; |
● | immigration patterns and job and household formation; |
● | our ability to identify acquisition opportunities and effectively and cost-efficiently integrate acquisitions; |
● | adverse weather patterns or conditions; |
● | acts of war or terrorist activities, including cyber intrusion; |
● | variations in the performance of the financial markets, including the credit markets; and |
● | the risk factors discussed under Item 1A. Risk Factors and elsewhere in this Form 10-K. |
3 |
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● | providing “less-than-truckload” delivery services; |
● | pre-negotiated program pricing plans; |
● | inventory stocking; |
● | automated order processing through an electronic data interchange, or “EDI”, that provides a direct link between us and our customers; |
● | inter-modal distribution services, including railcar unloading and cargo reloading onto customers’ trucks; and |
● | back-haul services, when otherwise empty trucks are returning from customer deliveries. |
5 |
● | building materials dealers; |
● | industrial users of building products; |
● | manufactured housing builders; and |
● | home improvement centers. |
6 |
Name | Age | Position | |||
Mitchell B. Lewis | 51 | President, Chief Executive Officer and Director (since January 20, 2014) | |||
H. Douglas Goforth | 50 | Chief Financial Officer and Treasurer (since 2008) and Principal Accounting Officer (since January 2014) | |||
Sara E. Epstein | 36 | Vice President, General Counsel and Corporate Secretary (since February 2013) | |||
Robert P. McKagen | 54 | Senior Vice President, Sales and Operations (since 2012) |
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● | make it difficult for us to satisfy our debt obligations; |
● | make us more vulnerable to general adverse economic and industry conditions; |
9 |
● | limit our ability to obtain additional financing for working capital, capital expenditures, acquisitions and other general corporate requirements as our excess liquidity likely will decrease while our industry and our Company continues its recovery from the historic housing market downturn; |
● | expose us to interest rate fluctuations because the interest rate on the debt under our U.S. revolving credit facility is variable; |
● | require us to dedicate a substantial portion of our cash flow from operations to payments on our debt, thereby reducing the availability of our cash flow for operations and other purposes; |
● | limit our flexibility in planning for, or reacting to, changes in our business and the industry in which we operate; and |
● | place us at a competitive disadvantage compared to competitors that may have proportionately less debt, and therefore may be in a better position to get favorable credit terms. |
● | economic and demand factors affecting the building products distribution industry; |
● | pricing pressures; |
● | increased operating costs; |
● | competitive conditions; and |
● | other operating difficulties. |
● | incur additional debt; |
● | grant liens on assets; |
● | make investments, including capital expenditures; |
10 |
● | sell or acquire assets outside the ordinary course of business; |
● | engage in transactions with affiliates; and |
● | make fundamental business changes. |
11 |
● | the loss of key customers of the acquired company; |
● | the incurrence of unexpected expenses and working capital requirements; |
● | a failure of our due diligence process to identify significant issues or contingencies; |
12 |
● | difficulties assimilating the operations and personnel of the acquired company; |
● | difficulties effectively integrating the acquired technologies with our current technologies; |
● | our inability to retain key personnel of acquired entities; |
● | failure to maintain the quality of customer service; |
● | our inability to achieve the financial and strategic goals for the acquired and combined businesses; and |
● | difficulty in maintaining internal controls, procedures and policies. |
13 |
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● | permit us to issue, without any further vote or action by the stockholders, up to 30 million shares of preferred stock in one or more series and, with respect to each series, to fix the number of shares constituting the series and the designation of the series, the voting powers (if any) of the shares of such series, and the preferences and other special rights, if any, and any qualifications, limitations or restrictions, of the shares of the series; and |
● | limit the stockholders’ ability to call special meetings. |
15 |
Facility Type | Number | Owned Facilities (sq. ft.) | Leased Facilities (sq. ft.) | ||||||||||
Office Space(1) | 3 | — | 167,308 | ||||||||||
Warehouses (2) | 52 | 9,386,755 | 340,600 | ||||||||||
TOTAL | 55 | 9,386,755 | 507,908 |
(1) | Includes corporate headquarters in Atlanta, the Denver Sales Center and a call center in Vancouver. | |
(2) | Includes our owned Beaverton, Oregon distribution center (129,389 sq. ft), designated as held for sale during the second quarter of fiscal 2013 and our leased Stockton, California facility, which is being marketed for sublease (120,000 sq. ft). |
16 |
High | Low | |||||||
Fiscal Year Ended January 4, 2014 | ||||||||
First Quarter | $ | 3.48 | $ | 2.42 | ||||
Second Quarter | $ | 3.10 | $ | 1.90 | ||||
Third Quarter | $ | 2.29 | $ | 1.56 | ||||
Fourth Quarter | $ | 2.14 | $ | 1.57 | ||||
Fiscal Year Ended December 29, 2012 | ||||||||
First Quarter | $ | 2.87 | $ | 1.45 | ||||
Second Quarter | $ | 2.89 | $ | 1.96 | ||||
Third Quarter | $ | 2.72 | $ | 1.97 | ||||
Fourth Quarter | $ | 2.85 | $ | 1.83 |
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Base Period | ||||||||||||||||||||||||
Company Name/Index | 01/03/09 | 01/02/10 | 01/01/11 | 12/31/11 | 12/29/12 | 01/04/14 | ||||||||||||||||||
BlueLinx Holdings Inc. | $ | 100 | $ | 110.36 | $ | 145.82 | $ | 75.32 | $ | 141.10 | $ | 111.43 | ||||||||||||
Russell 2000 Index | $ | 100 | $ | 125.56 | $ | 159.28 | $ | 152.63 | $ | 173.98 | $ | 244.94 | ||||||||||||
Peer Group | $ | 100 | $ | 136.78 | $ | 165.54 | $ | 161.21 | $ | 231.08 | $ | 295.79 |
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Year Ended January 4, 2014 | Year Ended December 29, 2012 | Year Ended December 31, 2011 | Year Ended January 1, 2011 | Year Ended January 2, 2010 | ||||||||||||||||
(In thousands, except per share data) | ||||||||||||||||||||
Statements of Operations Data: | ||||||||||||||||||||
Net sales | $ | 2,151,972 | $ | 1,907,842 | $ | 1,755,431 | $ | 1,804,418 | $ | 1,646,108 | ||||||||||
Cost of sales | 1,923,489 | 1,677,772 | 1,545,282 | 1,593,745 | 1,452,947 | |||||||||||||||
Gross profit | 228,483 | 230,070 | 210,149 | 210,673 | 193,161 | |||||||||||||||
Operating expenses: | ||||||||||||||||||||
Selling, general and administrative | 240,667 | 215,996 | 207,857 | 221,185 | 210,214 | |||||||||||||||
Net gain from terminating the Georgia-Pacific supply agreement | — | — | — | — | (17,772 | ) | ||||||||||||||
Depreciation and amortization | 9,117 | 8,565 | 10,562 | 13,365 | 16,984 | |||||||||||||||
Total operating expenses | 249,784 | 224,561 | 218,419 | 234,550 | 209,426 | |||||||||||||||
Operating (loss) income | (21,301 | ) | 5,509 | (8,270 | ) | (23,877 | ) | (16,265 | ) | |||||||||||
Non-operating expenses (income): | ||||||||||||||||||||
Interest expense | 28,024 | 28,157 | 30,510 | 33,788 | 32,456 | |||||||||||||||
Changes associated with the ineffective interest rate swap | — | — | (1,676 | ) | (4,603 | ) | 6,252 | |||||||||||||
Write-off of debt issue costs | — | — | — | 183 | 1,407 | |||||||||||||||
Other expense (income), net | 306 | (7 | ) | 501 | 587 | 519 | ||||||||||||||
Loss before (benefit from) provision for income taxes | (49,631 | ) | (22,641 | ) | (37,605 | ) | (53,832 | ) | (56,899 | ) | ||||||||||
(Benefit from) provision for income taxes | (9,013 | ) | 386 | 962 | (589 | ) | 4,564 | |||||||||||||
Net loss | $ | (40,618 | ) | $ | (23,027 | ) | $ | (38,567 | ) | $ | (53,243 | ) | $ | (61,463 | ) | |||||
Basic weighted average number of common shares outstanding | 80,163 | 65,452 | 47,049 | 33,432 | 33,791 | |||||||||||||||
Basic net loss per share applicable to common stock | $ | (0.51 | ) | $ | (0.35 | ) | $ | (0.82 | ) | $ | (1.59 | ) | $ | (1.82 | ) | |||||
Diluted weighted average number of common shares outstanding | 80,163 | 65,452 | 47,049 | 33,432 | 33,791 | |||||||||||||||
Diluted net loss per share applicable to common stock | $ | (0.51 | ) | $ | (0.35 | ) | $ | (0.82 | ) | $ | (1.59 | ) | $ | (1.82 | ) | |||||
Dividends declared per share of common stock | $ | — | $ | — | $ | — | $ | — | $ | — |
Year Ended January 4, 2014 | Year Ended December 29, 2012 | Year Ended December 31, 2011 | Year Ended January 1, 2011 | Year Ended January 2, 2010 | ||||||||||||||||
(In thousands, except per share data) | ||||||||||||||||||||
Other Financial Data: | ||||||||||||||||||||
Capital expenditures | $ | 4,912 | $ | 2,826 | $ | 6,533 | $ | 4,140 | $ | 1,815 | ||||||||||
EBITDA(1) | (12,489 | ) | 14,081 | 1,791 | (11,099 | ) | 200 | |||||||||||||
Net cash used in operating activities | (39,881 | ) | (74,250 | ) | (50,332 | ) | (29,861 | ) | (19,853 | ) | ||||||||||
Net cash provided by (used in) investing activities | 5,453 | 16,369 | 11,822 | (3,429 | ) | 12,636 | ||||||||||||||
Net cash provided by (used in) financing activities | 34,274 | 58,171 | 29,111 | 18,130 | $ | (113,679 | ) | |||||||||||||
Balance Sheet Data (at end of period): | ||||||||||||||||||||
Cash and cash equivalents | $ | 5,034 | $ | 5,188 | $ | 4,898 | $ | 14,297 | $ | 29,457 | ||||||||||
Working capital | 294,899 | 272,403 | 233,414 | 236,168 | 247,722 | |||||||||||||||
Total assets | 530,246 | 544,736 | 503,915 | 525,019 | 546,846 | |||||||||||||||
Total debt(2) | 406,834 | 383,783 | 341,017 | 384,256 | 341,669 | |||||||||||||||
Stockholders’ (deficit) equity | (5,898 | ) | (20,592 | ) | 8,374 | 991 | $ | 50,820 |
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(1) | EBITDA is an amount equal to net (loss) income plus interest expense and all interest expense related items (e.g. changes associated with ineffective interest rate swap, write-off of debt issue costs, charges associated with mortgage refinancing), income taxes, and depreciation and amortization. EBITDA is presented herein because we believe it is a useful supplement to cash flow from operations in understanding cash flows generated from operations that are available for debt service (interest and principal payments) and further investment in acquisitions. However, EBITDA is not a presentation made in accordance with U.S. generally accepted accounting principles, (“GAAP”), and is not intended to present a superior measure of the financial condition from those determined under GAAP. EBITDA, as used herein, is not necessarily comparable to other similarly titled captions of other companies due to differences in methods of calculations. |
(2) | Total debt represents long-term debt related to our mortgage and revolving credit facilities, including current maturities and capital lease obligations. |
Year Ended January 4, 2014 | Year Ended December 29, 2012 | Year Ended December 31, 2011 | Year Ended January 1, 2011 | Year Ended January 2, 2010 | ||||||||||||||||
Net cash used in operating activities | $ | (39,881 | ) | $ | (74,250 | ) | $ | (50,332 | ) | $ | (29,861 | ) | $ | (19,853 | ) | |||||
Amortization of debt issue costs | (3,184 | ) | (3,746 | ) | (2,940 | ) | (1,963 | ) | (2,459 | ) | ||||||||||
Net gain from terminating the Georgia-Pacific supply agreement | — | — | — | — | 17,772 | |||||||||||||||
Payments from terminating the Georgia-Pacific supply agreement | — | — | — | (4,706 | ) | (14,118 | ) | |||||||||||||
Vacant property charges, net | (1,321 | ) | 30 | 291 | (53 | ) | (1,222 | ) | ||||||||||||
Write-off of debt issuance costs | (119 | ) | — | — | — | — | ||||||||||||||
Payments on modification of lease agreement | 300 | 5,875 | — | — | — | |||||||||||||||
Deferred income tax benefit (provision) | 5 | 20 | 25 | 600 | (24,220 | ) | ||||||||||||||
Intraperiod income tax allocation related to hourly pension plan | 8,894 | — | — | — | 649 | |||||||||||||||
Pension expense | (4,591 | ) | (3,942 | ) | (1,774 | ) | (2,304 | ) | (2,511 | ) | ||||||||||
Prepayment fees associated with sale of property | — | — | — | — | (616 | ) | ||||||||||||||
Gain on sale of properties | 5,220 | 9,885 | 10,604 | — | 10,397 | |||||||||||||||
Gain from insurance settlement | — | 476 | 1,230 | — | — | |||||||||||||||
Gain from modification of lease agreement | — | — | 1,971 | — | — | |||||||||||||||
Severance charges | (5,607 | ) | — | — | — | — | ||||||||||||||
Share-based compensation, excluding restructuring related | (3,222 | ) | (2,797 | ) | (1,974 | ) | (3,978 | ) | (2,922 | ) | ||||||||||
Share-based compensation, restructuring related | (2,895 | ) | — | — | — | — | ||||||||||||||
Changes in assets and liabilities | 14,901 | 53,987 | 13,218 | (2,033 | ) | 2,283 | ||||||||||||||
Interest expense | 28,024 | 28,157 | 30,510 | 33,788 | 32,456 | |||||||||||||||
(Benefit from) provision for income taxes | (9,013 | ) | 386 | 962 | (589 | ) | 4,564 | |||||||||||||
EBITDA | $ | (12,489 | ) | $ | 14,081 | $ | 1,791 | $ | (11,099 | ) | $ | 200 |
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Fiscal 2013 | Fiscal 2012 | Fiscal 2011 | ||||||||||
(Dollars in millions) | ||||||||||||
Sales by Category | ||||||||||||
Structural Products | $ | 968 | $ | 806 | $ | 705 | ||||||
Specialty Products | 1,200 | 1,114 | 1,068 | |||||||||
Other(1) | (16 | ) | (12 | ) | (18 | ) | ||||||
Total Sales | $ | 2,152 | $ | 1,908 | $ | 1,755 | ||||||
Sales Variances | ||||||||||||
Unit Volume $ Change | $ | 161 | $ | 42 | $ | (52 | ) | |||||
Price/Other(1) | 83 | 111 | 3 | |||||||||
Total $ Change | $ | 244 | $ | 153 | $ | (49 | ) | |||||
Unit Volume % Change | 8.4 | % | 2.3 | % | (2.8 | )% | ||||||
Price/Other(1) % Change | 4.4 | % | 6.4 | % | 0.1 | % | ||||||
Total % Change | 12.8 | % | 8.7 | % | (2.7 | )% |
(1) | “Other” includes unallocated allowances and discounts. |
22 |
Fiscal 2013 | Fiscal 2012 | Fiscal 2011 | ||||||||||
(Dollars in millions) | ||||||||||||
Gross Margin $ by Category | ||||||||||||
Structural Products | $ | 67 | $ | 77 | $ | 65 | ||||||
Specialty Products | 155 | 146 | 137 | |||||||||
Other(1) | 6 | 7 | 8 | |||||||||
Total Gross Margin | $ | 228 | $ | 230 | $ | 210 | ||||||
Gross Margin % by Category | ||||||||||||
Structural Products | 6.9 | % | 9.6 | % | 9.2 | % | ||||||
Specialty Products | 12.9 | % | 13.1 | % | 12.8 | % | ||||||
Total Gross Margin % | 10.6 | % | 12.1 | % | 12.0 | % | ||||||
Unit Volume % Change by Product | ||||||||||||
Structural Products | 10.0 | % | 1.4 | % | (15.1 | )% | ||||||
Specialty Products | 7.1 | % | 2.9 | % | 7.4 | % | ||||||
Total Unit Volume % Change | 8.4 | % | 2.3 | % | (2.8 | )% |
(1) | “Other” includes unallocated allowances and discounts. |
Fiscal 2013 | Fiscal 2012 | Fiscal 2011 | ||||||||||
(Dollars in millions) | ||||||||||||
Sales by Channel | ||||||||||||
Warehouse/Reload | $ | 1,755 | $ | 1,534 | $ | 1,397 | ||||||
Direct | 413 | 386 | 376 | |||||||||
Other(1) | (16 | ) | (12 | ) | (18 | ) | ||||||
Total | $ | 2,152 | $ | 1,908 | $ | 1,755 | ||||||
Gross Margin by Channel | ||||||||||||
Warehouse/Reload | $ | 198 | $ | 199 | $ | 179 | ||||||
Direct | 24 | 24 | 23 | |||||||||
Other(1) | 6 | 7 | 8 | |||||||||
Total | $ | 228 | $ | 230 | $ | 210 | ||||||
Gross Margin % by Channel | ||||||||||||
Warehouse/Reload | 11.3 | % | 13.0 | % | 12.8 | % | ||||||
Direct | 5.8 | % | 6.2 | % | 6.1 | % | ||||||
Total | 10.6 | % | 12.1 | % | 12.0 | % |
(1) | “Other” includes unallocated allowances and discounts. |
Fiscal 2013 contained 53 weeks. Fiscal 2012 and fiscal 2011 each contained 52 weeks. Our fiscal quarters are based on a 5-4-4 week period, with the exception of the fourth fiscal quarter of fiscal years containing 53 weeks, which are based on a 5-4-5 week period.
23 |
Fiscal 2013 | % of Net Sales | Fiscal 2012 | % of Net Sales | |||||||||||||
(Dollars in thousands) | ||||||||||||||||
Net sales | $ | 2,151,972 | 100.0 | % | $ | 1,907,842 | 100.0 | % | ||||||||
Gross profit | 228,483 | 10.6 | % | 230,070 | 12.1 | % | ||||||||||
Selling, general and administrative | 240,667 | 11.2 | % | 215,996 | 11.3 | % | ||||||||||
Depreciation and amortization | 9,117 | 0.4 | % | 8,565 | 0.4 | % | ||||||||||
Operating (loss) income | (21,301 | ) | (1.0 | )% | 5,509 | 0.3 | % | |||||||||
Interest expense, net | 28,024 | 1.3 | % | 28,157 | 1.5 | % | ||||||||||
Other expense (income), net | 306 | 0.0 | % | (7 | ) | 0.0 | % | |||||||||
Loss before (benefit from) provision for income taxes | (49,631 | ) | (2.3 | )% | (22,641 | ) | (1.2 | )% | ||||||||
(Benefit from) provision for income taxes | (9,013 | ) | (0.4 | )% | 386 | 0.0 | % | |||||||||
Net loss | $ | (40,618 | ) | (1.9 | )% | $ | (23,027 | ) | (1.2 | )% |
24 |
Fiscal 2012 | % of Net Sales | Fiscal 2011 | % of Net Sales | |||||||||||||
(Dollars in thousands) | ||||||||||||||||
Net sales | $ | 1,907,842 | 100.0 | % | $ | 1,755,431 | 100.0 | % | ||||||||
Gross profit | 230,070 | 12.1 | % | 210,149 | 12.0 | % | ||||||||||
Selling, general and administrative | 215,996 | 11.3 | % | 207,857 | 11.8 | % | ||||||||||
Depreciation and amortization | 8,565 | 0.4 | % | 10,562 | 0.6 | % | ||||||||||
Operating income (loss) | 5,509 | 0.3 | % | (8,270 | ) | (0.5 | )% | |||||||||
Interest expense, net | 28,157 | 1.5 | % | 30,510 | 1.7 | % | ||||||||||
Changes associated with the ineffective interest rate swap | — | 0.0 | % | (1,676 | ) | (0.1 | )% | |||||||||
Other (income) expense, net | (7 | ) | 0.0 | % | 501 | 0.0 | % | |||||||||
Loss before provision for income taxes | (22,641 | ) | (1.2 | )% | (37,605 | ) | (2.1 | )% | ||||||||
Provision for income taxes | 386 | 0.0 | % | 962 | 0.1 | % | ||||||||||
Net loss | $ | (23,027 | ) | (1.2 | )% | $ | (38,567 | ) | (2.2 | )% |
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January 4, 2014 | December 29, 2012 | |||||||
(Dollars in thousands) | ||||||||
Working capital | $ | 294,899 | $ | 272,403 |
Year Ended January 4, 2014 | Year Ended December 29, 2012 | Year Ended December 31, 2011 | ||||||||||
(Dollars in thousands) | ||||||||||||
Cash flows used in operating activities | $ | (39,881 | ) | $ | (74,250 | ) | $ | (50,332 | ) | |||
Cash flows provided by investing activities | 5,453 | 16,369 | 11,822 | |||||||||
Cash flows provided by financing activities | 34,274 | 58,171 | 29,111 |
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2014 | 2015 | 2016 | 2017 | 2018 | Thereafter | Total | ||||||||||||||||||||||
Revolving credit facilities(1) | $ | — | $ | — | $ | 211,213 | $ | — | $ | — | $ | — | $ | 211,213 | ||||||||||||||
Mortgage indebtedness | 2,761 | 2,744 | 181,438 | — | — | — | 186,943 | |||||||||||||||||||||
Interest payments on our revolving credit facilities(2) | 7,808 | 7,808 | 2,252 | — | — | — | 17,868 | |||||||||||||||||||||
Interest payments on our mortgage(3) | 12,969 | 11,776 | 5,805 | — | — | — | 30,550 | |||||||||||||||||||||
Subtotal | 23,538 | 22,328 | 400,708 | — | — | — | 446,574 | |||||||||||||||||||||
Operating leases(4) | 4,391 | 3,968 | 4,036 | 4,060 | 3,498 | 10,060 | 30,013 | |||||||||||||||||||||
Capital leases(5) | 1,753 | 1,847 | 1,746 | 1,342 | 1,406 | 604 | 8,698 | |||||||||||||||||||||
Interest payments on our capital leases(6) | 509 | 399 | 273 | 186 | 95 | 20 | 1,482 | |||||||||||||||||||||
Letters of credit(7) | 3,585 | — | — | — | — | — | 3,585 | |||||||||||||||||||||
Letters of credit(8) | 1,505 | — | — | — | — | — | 1,505 | |||||||||||||||||||||
Total | $ | 35,281 | $ | 28,542 | $ | 406,763 | $ | 5,588 | $ | 4,999 | $ | 10,684 | $ | 491,857 |
(1) | Payments for both the U.S. and Canadian revolving credit facilities are included. |
(2) | Interest on the revolving credit facilities is variable, based on Libor or prime plus the applicable margin. The interest rate on the U.S. revolving credit facility and the Canadian revolving credit facility was 3.7% and 4.0%, respectively, at January 4, 2014. The final maturity date on our U.S. revolving credit facility and Canadian revolving credit facility is April 15, 2016. |
(3) | Interest payments on the mortgage are based on a fixed rate of 6.35%. |
(4) | We lease various facilities and vehicles under non-cancelable operating leases. |
(5) | We lease certain other fixed assets under non cancelable leases that we have determined to be capital leases. |
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(6) | Includes imputed interest based on individual capital lease agreements. |
(7) | Letters of credit included under the credit facilities. |
(8) | Letters of credit not included under the credit facilities. |
● | We are the primary obligor responsible for fulfillment and all other aspects of the customer relationship. |
● | Title passes to BlueLinx, and we carry all risk of loss related to warehouse, reload inventory and inventory shipped directly from vendors to our customers. |
● | We are responsible for all product returns. |
● | We control the selling price for all channels. |
● | We select the supplier. |
● | We bear all credit risk. |
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Fiscal Year Ended January 4, 2014 | Fiscal Year Ended December 29, 2012 | Fiscal Year Ended December 31, 2011 | ||||||||||
(In thousands) | ||||||||||||
Benefit from income taxes computed at the federal statutory tax rate | $ | (17,371 | ) | $ | (7,924 | ) | $ | (13,162 | ) | |||
Benefit from state income taxes, net of federal benefit | (1,991 | ) | (866 | ) | (1,296 | ) | ||||||
Valuation allowance change | 19,445 | 8,820 | 14,498 | |||||||||
Nondeductible items | 270 | 484 | 806 | |||||||||
Benefit from allocation of income taxes to other comprehensive income (loss) | (8,726 | ) | — | — | ||||||||
Other | (640 | ) | (128 | ) | 116 | |||||||
(Benefit from) provision for income taxes | (9,013 | ) | $ | 386 | $ | 962 |
34 |
● | taxable income in prior carryback years, if carryback is permitted under the tax law; |
● | future reversals of existing taxable temporary differences; |
● | tax planning strategies; |
● | future reversals of existing taxable temporary differences; and | |
● | future taxable income exclusive of reversing temporary differences and carryforwards. |
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January 4, 2014 | December 29, 2012 | |||||||
(In thousands, except share data) | ||||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 5,034 | $ | 5,188 | ||||
Receivables, less allowances of $4,359 in fiscal 2013 and $4,720 in fiscal 2012 | 150,297 | 157,465 | ||||||
Inventories, net | 223,580 | 230,059 | ||||||
Other current assets | 22,814 | 19,427 | ||||||
Total current assets | 401,725 | 412,139 | ||||||
Property and equipment: | ||||||||
Land and improvements | 41,176 | 43,120 | ||||||
Buildings | 90,082 | 94,070 | ||||||
Machinery and equipment | 73,004 | 78,674 | ||||||
Construction in progress | 3,028 | 1,173 | ||||||
Property and equipment, at cost | 207,290 | 217,037 | ||||||
Accumulated depreciation | (96,171 | ) | (101,684 | ) | ||||
Property and equipment, net | 111,119 | 115,353 | ||||||
Non-current deferred income tax assets, net | 824 | 445 | ||||||
Other non-current assets | 16,578 | 16,799 | ||||||
Total assets | $ | 530,246 | $ | 544,736 | ||||
LIABILITIES AND STOCKHOLDERS’ (DEFICIT) EQUITY | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 60,363 | $ | 77,850 | ||||
Bank overdrafts | 19,377 | 35,384 | ||||||
Accrued compensation | 4,173 | 6,170 | ||||||
Current maturities of long-term debt | 9,141 | 8,946 | ||||||
Deferred income taxes, net | 823 | 449 | ||||||
Other current liabilities | 12,949 | 10,937 | ||||||
Total current liabilities | 106,826 | 139,736 | ||||||
Non-current liabilities: | ||||||||
Long-term debt | 388,995 | 368,446 | ||||||
Other non-current liabilities | 40,323 | 57,146 | ||||||
Total liabilities | 536,144 | 565,328 | ||||||
STOCKHOLDERS’ DEFICIT | ||||||||
Common Stock, $0.01 par value, 200,000,000 and 100,000,000 shares authorized at January 4, 2014 and December 29, 2012, respectively; 86,545,000 and 63,664,115 shares issued and outstanding at January 4, 2014 and December 29, 2012, respectively | 866 | 637 | ||||||
Additional paid-in-capital | 251,150 | 209,815 | ||||||
Accumulated other comprehensive loss | (16,293 | ) | (30,042 | ) | ||||
Accumulated deficit | (241,621 | ) | (201,002 | ) | ||||
Total stockholders’ deficit | (5,898 | ) | (20,592 | ) | ||||
Total liabilities and stockholders’ deficit | $ | 530,246 | $ | 544,736 |
42 |
Fiscal Year Ended January 4, 2014 | Fiscal Year Ended December 29, 2012 | Fiscal Year Ended December 31, 2011 | ||||||||||
(In thousands, except per share data) | ||||||||||||
Net sales | $ | 2,151,972 | $ | 1,907,842 | $ | 1,755,431 | ||||||
Cost of sales | 1,923,489 | 1,677,772 | 1,545,282 | |||||||||
Gross profit | 228,483 | 230,070 | 210,149 | |||||||||
Operating expenses: | ||||||||||||
Selling, general, and administrative | 240,667 | 215,996 | 207,857 | |||||||||
Depreciation and amortization | 9,117 | 8,565 | 10,562 | |||||||||
Total operating expenses | 249,784 | 224,561 | 218,419 | |||||||||
Operating (loss) income | (21,301 | ) | 5,509 | (8,270 | ) | |||||||
Non-operating expenses (income): | ||||||||||||
Interest expense | 28,024 | 28,157 | 30,510 | |||||||||
Changes associated with the ineffective interest rate swap | — | — | (1,676 | ) | ||||||||
Other expense (income), net | 306 | (7 | ) | 501 | ||||||||
Loss before (benefit from) provision for income taxes | (49,631 | ) | (22,641 | ) | (37,605 | ) | ||||||
(Benefit from) provision for income taxes | (9,013 | ) | 386 | 962 | ||||||||
Net loss | $ | (40,618 | ) | $ | (23,027 | ) | $ | (38,567 | ) | |||
Basic and diluted weighted average number of common shares outstanding | 80,163 | 65,452 | 47,049 | |||||||||
Basic and diluted net loss per share applicable to common shares outstanding | $ | (0.51 | ) | $ | (0.35 | ) | $ | (0.82 | ) | |||
Comprehensive loss: | ||||||||||||
Net loss | $ | (40,618 | ) | $ | (23,027 | ) | $ | (38,567 | ) | |||
Other comprehensive income (loss): | ||||||||||||
Foreign currency translation, net of taxes | (161 | ) | 103 | (92 | ) | |||||||
Unrealized gain (loss) from pension plan, net of taxes | 13,910 | (8,245 | ) | (14,969 | ) | |||||||
Unrealized gain from ineffective interest rate swap, net of taxes | — | — | 519 | |||||||||
Total other comprehensive income (loss) | 13,749 | (8,142 | ) | (14,542 | ) | |||||||
Comprehensive loss | $ | (26,869 | ) | $ | (31,169 | ) | $ | (53,109 | ) |
43 |
Fiscal Year Ended January 4, 2014 | Fiscal Year Ended December 29, 2012 | Fiscal Year Ended December 31, 2011 | ||||||||||
(In thousands) | ||||||||||||
Cash flows from operating activities: | ||||||||||||
Net loss | $ | (40,618 | ) | $ | (23,027 | ) | $ | (38,567 | ) | |||
Adjustments to reconcile net loss to cash used in operations: | ||||||||||||
Depreciation and amortization | 9,117 | 8,565 | 10,562 | |||||||||
Amortization of debt issue costs | 3,184 | 3,746 | 2,940 | |||||||||
Write-off of debt issue costs | 119 | — | — | |||||||||
Gain from sale of properties | (5,220 | ) | (9,885 | ) | (10,604 | ) | ||||||
Gain from property insurance settlements | — | (476 | ) | (1,230 | ) | |||||||
Changes associated with the ineffective interest rate swap | — | — | (1,676 | ) | ||||||||
Vacant property charges, net | 1,321 | (30 | ) | (291 | ) | |||||||
Severance charges | 5,607 | — | — | |||||||||
Gain from modification of lease agreement | — | — | (1,971 | ) | ||||||||
Payments on modification on lease agreement | (300 | ) | (5,875 | ) | — | |||||||
Deferred income tax benefit | (5 | ) | (20 | ) | (25 | ) | ||||||
Intraperiod income tax allocation related to hourly pension plan | (8,894 | ) | — | — | ||||||||
Pension expense | 4,591 | 3,942 | 1,774 | |||||||||
Share-based compensation, excluding restructuring related | 3,222 | 2,797 | 1,974 | |||||||||
Share-based compensation, restructuring related | 2,895 | — | — | |||||||||
(Increase) decrease in restricted cash related to the ineffective interest rate swap, insurance, and other | (1,810 | ) | 695 | 987 | ||||||||
Accrued compensation and other | (9,152 | ) | (657 | ) | (3,181 | ) | ||||||
(35,943 | ) | (20,225 | ) | (39,308 | ) | |||||||
Changes in assets and liabilities: | ||||||||||||
Receivables | 7,168 | (18,593 | ) | (19,670 | ) | |||||||
Inventories | 6,479 | (44,482 | ) | 2,673 | ||||||||
Accounts payable | (17,585 | ) | 9,050 | 5,973 | ||||||||
Net cash used in operating activities | (39,881 | ) | (74,250 | ) | (50,332 | ) | ||||||
Cash flows from investing activities: | ||||||||||||
Property, plant and equipment investments | (4,912 | ) | (2,826 | ) | (6,533 | ) | ||||||
Proceeds from disposition of assets | 10,365 | 19,195 | 18,355 | |||||||||
Net cash provided by investing activities | 5,453 | 16,369 | 11,822 | |||||||||
Cash flows from financing activities: | ||||||||||||
Excess tax benefits from share-based compensation arrangements | 16 | — | — | |||||||||
Repurchase of shares to satisfy employee tax withholdings | (3,192 | ) | (526 | ) | — | |||||||
Repayments on revolving credit facilities | (560,186 | ) | (473,349 | ) | (478,630 | ) | ||||||
Borrowings from revolving credit facilities | 599,968 | 550,270 | 475,918 | |||||||||
Principal payments on mortgage | (19,038 | ) | (37,272 | ) | (42,416 | ) | ||||||
Payments on capital lease obligations | (3,142 | ) | (2,259 | ) | (1,440 | ) | ||||||
(Decrease) increase in bank overdrafts | (16,007 | ) | 13,020 | (725 | ) | |||||||
Decrease in restricted cash related to the mortgage | 40 | 9,970 | 20,604 | |||||||||
Debt financing costs | (2,900 | ) | (1,683 | ) | (2,721 | ) | ||||||
Proceeds from stock offering less expenses paid | 38,715 | — | 58,521 | |||||||||
Net cash provided by financing activities | 34,274 | 58,171 | 29,111 | |||||||||
(Decrease) increase in cash | (154 | ) | 290 | (9,399 | ) | |||||||
Cash and cash equivalents balance, beginning of period | 5,188 | 4,898 | 14,297 | |||||||||
Cash and cash equivalents balance, end of period | $ | 5,034 | $ | 5,188 | $ | 4,898 | ||||||
Supplemental Cash Flow Information | ||||||||||||
Net income tax payments during the period | $ | (332 | ) | $ | (508 | ) | $ | (22 | ) | |||
Interest paid during the period | $ | 24,706 | $ | 24,288 | $ | 28,098 | ||||||
Noncash transactions: | ||||||||||||
Capital leases | $ | 5,069 | $ | 5,238 | $ | 3,131 |
44 |
Accumulated | Stockholders’ | |||||||||||||||||||||||
Additional | Other | (Deficit) | ||||||||||||||||||||||
Common Stock | Paid-In- | Comprehensive | Accumulated | Equity | ||||||||||||||||||||
Shares | Amount | Capital | Income (Loss) | Deficit | Total | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||
Balance, January 1, 2011 | 32,668 | $ | 327 | $ | 147,427 | $ | (7,358 | ) | $ | (139,405 | ) | $ | 991 | |||||||||||
Net loss | — | — | — | — | (38,567 | ) | (38,567 | ) | ||||||||||||||||
Foreign currency translation adjustment, net of tax | — | — | — | (92 | ) | — | (92 | ) | ||||||||||||||||
Unrealized loss from pension plan, net of tax | — | — | — | (14,969 | ) | — | (14,969 | ) | ||||||||||||||||
Unrealized gain from cash flow hedge, net of tax | — | — | — | 519 | — | 519 | ||||||||||||||||||
Issuance of restricted stock, net of forfeitures | 774 | 7 | — | — | — | 7 | ||||||||||||||||||
Issuance of stock related to the rights offering, net of expenses | 28,571 | 286 | 58,235 | — | — | 58,521 | ||||||||||||||||||
Compensation related to share-based grants | — | — | 2,158 | — | — | 2,158 | ||||||||||||||||||
Impact of net settled shares for vested grants | — | — | (194 | ) | — | — | (194 | ) | ||||||||||||||||
Balance, December 31, 2011 | 62,013 | 620 | 207,626 | (21,900 | ) | (177,972 | ) | 8,374 | ||||||||||||||||
Net loss | — | — | — | — | (23,027 | ) | (23,027 | ) | ||||||||||||||||
Foreign currency translation adjustment, net of tax | — | — | — | 103 | — | 103 | ||||||||||||||||||
Unrealized loss from pension plan, net of tax | — | — | — | (8,245 | ) | — | (8,245 | ) | ||||||||||||||||
Issuance of restricted stock, net of forfeitures | 1,875 | 19 | — | — | — | 19 | ||||||||||||||||||
Compensation related to share-based grants | — | — | 2,730 | — | — | 2,730 | ||||||||||||||||||
Impact of net settled shares for vested grants | (224 | ) | (2 | ) | (524 | ) | — | — | (526 | ) | ||||||||||||||
Other | — | — | (17 | ) | — | (3 | ) | (20 | ) | |||||||||||||||
Balance, December 29, 2012 | 63,664 | 637 | 209,815 | (30,042 | ) | (201,002 | ) | (20,592 | ) | |||||||||||||||
Net loss | — | — | — | — | (40,618 | ) | (40,618 | ) | ||||||||||||||||
Foreign currency translation adjustment, net of tax | — | — | — | (161 | ) | — | (161 | ) | ||||||||||||||||
Unrealized gain from pension plan, net of tax | — | — | — | 13,910 | — | 13,910 | ||||||||||||||||||
Issuance of restricted stock, net of forfeitures | 651 | 6 | — | — | — | 6 | ||||||||||||||||||
Issuance of performance shares | 628 | 6 | — | — | — | 6 | ||||||||||||||||||
Issuance of stock related to rights offerings, net of expenses | 22,857 | �� | 229 | 38,384 | — | — | 38,613 | |||||||||||||||||
Compensation related to share-based grants | — | — | 6,117 | — | — | 6,117 | ||||||||||||||||||
Impact of net settled shares for vested grants | (1,255 | ) | (12 | ) | (3,181 | ) | — | — | (3,193 | ) | ||||||||||||||
Excess tax benefits from share-based compensation arrangements | — | — | 16 | — | — | 16 | ||||||||||||||||||
Other | — | — | (1 | ) | — | (1 | ) | (2 | ) | |||||||||||||||
Balance, January 4, 2014 | 86,545 | $ | 866 | $ | 251,150 | $ | (16,293 | ) | $ | (241,621 | ) | $ | (5,898 | ) |
45 |
Fiscal Year Ended January 4, 2014 | Fiscal Year Ended December 29, 2012 | Fiscal Year Ended December 31, 2011 | ||||||||||
(Dollars in millions) | ||||||||||||
Sales by category | ||||||||||||
Structural products | $ | 968 | $ | 806 | $ | 705 | ||||||
Specialty products | 1,200 | 1,114 | 1,068 | |||||||||
Unallocated allowances and adjustments | (16 | ) | (12 | ) | (18 | ) | ||||||
Total sales | $ | 2,152 | $ | 1,908 | $ | 1,755 |
46 |
● | We are the primary obligor responsible for fulfillment and all other aspects of the customer relationship. |
● | Title passes from BlueLinx, and we carry all risk of loss related to warehouse and third-party (“reload”) inventory and inventory shipped directly from vendors to our customers. |
● | We are responsible for all product returns. |
● | We control the selling price for all channels. |
● | We select the supplier. |
● | We bear all credit risk. |
At January 4, 2014 | At December 29, 2012 | |||||||
Cash in escrow: | ||||||||
Mortgage | $ | — | $ | 40 | ||||
Insurance | 7,921 | 7,906 | ||||||
Other | 3,760 | 1,965 | ||||||
Total | $ | 11,681 | $ | 9,911 |
47 |
48 |
49 |
50 |
51 |
52 |
Reduction in Force Activities | Facility Lease Obligation | Total | ||||||||||
Balance at December 29, 2012 | $ | — | $ | — | $ | — | ||||||
Charges | 5,709 | 1,398 | 7,107 | |||||||||
Assumption changes | (102 | ) | (77 | ) | (179 | ) | ||||||
Payments | (3,057 | ) | (402 | ) | (3,459 | ) | ||||||
Accretion of Liability | — | 9 | 9 | |||||||||
Balance at January 4, 2014 | $ | 2,550 | $ | 928 | $ | 3,478 |
During the first quarter of fiscal 2013, we completed the transition of our Fremont, California operation to our new facility in Stockton, California. We incurred approximately $0.8 million of transition costs related to this move which are recorded in “Selling, general, and administrative” expenses in the Consolidated Statements of Operations and Comprehensive Loss in the first nine months of fiscal 2013.
53 |
Fiscal Year Ended January 4, 2014 | Fiscal Year Ended December 29, 2012 | Fiscal Year Ended December 31, 2011 | ||||||||||
(In thousands) | ||||||||||||
Federal income taxes: | ||||||||||||
Current | $ | (492 | ) | $ | 16 | $ | (89 | ) | ||||
Deferred | (7,385 | ) | — | — | ||||||||
State income taxes: | ||||||||||||
Current | 192 | 334 | 759 | |||||||||
Deferred | (1,343 | ) | — | — | ||||||||
Foreign income taxes: | ||||||||||||
Current | 19 | 56 | 317 | |||||||||
Deferred | (4 | ) | (20 | ) | (25 | ) | ||||||
(Benefit from) provision for income taxes | $ | (9,013 | ) | $ | 386 | $ | 962 |
Fiscal Year Ended January 4, 2014 | Fiscal Year Ended December 29, 2012 | Fiscal Year Ended December 31, 2011 | ||||||||||
(In thousands) | ||||||||||||
Benefit from income taxes computed at the federal statutory tax rate | $ | (17,371 | ) | $ | (7,924 | ) | $ | (13,162 | ) | |||
Benefit from state income taxes, net of federal benefit | (1,991 | ) | (866 | ) | (1,296 | ) | ||||||
Valuation allowance change | 19,445 | 8,820 | 14,498 | |||||||||
Nondeductible items | 270 | 484 | 806 | |||||||||
Benefit from allocation of income taxes to other comprehensive income (loss) | (8,726 | ) | — | — | ||||||||
Other | (640 | ) | (128 | ) | 116 | |||||||
(Benefit from) provision for income taxes | $ | (9,013 | ) | $ | 386 | $ | 962 |
54 |
● | taxable income in prior carryback years, if carryback is permitted under the tax law; |
● | future reversals of existing taxable temporary differences; |
● | tax planning strategies; and |
● | future taxable income exclusive of reversing temporary differences and carryforwards. |
January 4, 2014 | December 29, 2012 | |||||||
(In thousands) | ||||||||
Deferred income tax assets: | ||||||||
Inventory reserves | $ | 2,832 | $ | 2,816 | ||||
Compensation-related accruals | 4,893 | 5,838 | ||||||
Accruals and reserves | 1,030 | 92 | ||||||
Accounts receivable | 1,291 | 1,327 | ||||||
Restructuring costs | 488 | 118 | ||||||
Pension | 8,245 | 16,936 | ||||||
Benefit from NOL carryovers(1) | 70,169 | 52,088 | ||||||
Other | 703 | 695 | ||||||
Total gross deferred income tax assets | 89,651 | 79,910 | ||||||
Less: Valuation allowances | (88,279 | ) | (78,050 | ) | ||||
Total net deferred income tax assets | $ | 1,372 | $ | 1,860 | ||||
Deferred income tax liabilities: | ||||||||
Intangible assets | — | (60 | ) | |||||
Property and equipment | (365 | ) | (1,065 | ) | ||||
Other | (1,006 | ) | (739 | ) | ||||
Total deferred income tax liabilities | (1,371 | ) | (1,864 | ) | ||||
Deferred income tax assets (liabilities), net | $ | 1 | $ | (4 | ) |
(1) | Our federal NOL carryovers are $168.1 million and will expire in 15 to 20 years. Our state NOL carryovers are $232.2 million and will expire in 1 to 20 years. |
55 |
Fiscal Year Ended January 4, 2014 | Fiscal Year Ended December 29, 2012 | |||||||
Balance at beginning of the year | $ | 78,050 | $ | 66,793 | ||||
Valuation allowance removed for taxes related to: | ||||||||
Income before income taxes | — | — | ||||||
Valuation allowance provided for taxes related to: | ||||||||
Loss before income taxes | 10,229 | 11,257 | ||||||
Effect of a change in judgment | — | — | ||||||
Balance at end of the year | $ | 88,279 | $ | 78,050 |
(In thousands) | ||||
Balance at January 1, 2011 | $ | 677 | ||
Increases related to current year tax positions | — | |||
Additions for tax positions in prior years | 196 | |||
Reductions for tax positions in prior years | — | |||
Settlements | — | |||
Balance at December 31, 2011 | 873 | |||
Increases related to current year tax positions | — | |||
Additions for tax positions in prior years | — | |||
Reductions for tax positions in prior years | — | |||
Reductions due to lapse of applicable statue of limitations | (47 | ) | ||
Settlements | — | |||
Balance at December 29, 2012 | 826 | |||
Increases related to current year tax positions | — | |||
Additions for tax positions in prior years | — | |||
Reductions for tax positions in prior years | — | |||
Reductions due to lapse of applicable statute of limitations | (567 | ) | ||
Settlements | — | |||
Balance at January 4, 2014 | $ | 259 |
56 |
Beginning Balance | Expense/ (Income) | Write offs and Other, Net | Ending Balance | |||||||||||||
(In thousands) | ||||||||||||||||
Fiscal 2011 | ||||||||||||||||
Allowance for doubtful accounts and related reserves | $ | 5,715 | $ | 2,576 | $ | (3,156 | ) | $ | 5,135 | |||||||
Fiscal 2012 | ||||||||||||||||
Allowance for doubtful accounts and related reserves | $ | 5,135 | $ | 2,034 | $ | (2,449 | ) | $ | 4,720 | |||||||
Fiscal 2013 | ||||||||||||||||
Allowance for doubtful accounts and related reserves | $ | 4,720 | $ | 1,581 | $ | (1,942 | ) | $ | 4,359 |
57 |
58 |
Shares | Weighted Average Exercise Price | |||||||
Options outstanding at January 1, 2011 | 924,815 | $ | 6.31 | |||||
Options granted | — | — | ||||||
Options exercised | — | — | ||||||
Options forfeited | — | — | ||||||
Options expired | (19,499 | ) | 12.53 | |||||
Options outstanding at December 31, 2011 | 905,316 | 6.18 | ||||||
Options granted | — | — | ||||||
Options exercised | — | — | ||||||
Options forfeited | — | — | ||||||
Options expired | — | — | ||||||
Options outstanding at December 29, 2012 | 905,316 | 6.18 | ||||||
Options granted | — | — | ||||||
Options exercised | — | — | ||||||
Options forfeited | — | — | ||||||
Options expired | (120,816 | ) | 13.58 | |||||
Options outstanding at January 4, 2014 | 784,500 | 5.05 | ||||||
Options exercisable at January 4, 2014 | 784,500 | $ | 5.05 |
Outstanding | Exercisable | ||||||||||||||||||||||||
Price Range | Number of Options | Weighted Average Exercise Price | Remaining Contractual Life (in Years) | Number of Options | Weighted Average Exercise Price | Remaining Contractual Life (in Years) | |||||||||||||||||||
$4.66 | 750,000 | $ | 4.66 | 4.2 | 750,000 | $ | 4.66 | 4.2 | |||||||||||||||||
$11.40-$14.01 | 34,500 | $ | 13.25 | 2.3 | 34,500 | $ | 13.25 | 2.3 | |||||||||||||||||
784,500 | 4.1 | 784,500 | 4.1 |
Restricted Stock | Performance Shares | Restricted Stock Units | ||||||||||||||
Weighted | ||||||||||||||||
Number of | Average Fair | Number of | Number of | |||||||||||||
Awards | Value | Awards | Awards (1) | |||||||||||||
Outstanding at January 1, 2011(2) | 1,914,288 | 2.67 | 240,835 | 127,950 | ||||||||||||
Granted | 819,240 | 3.14 | — | — | ||||||||||||
Vested(2) | (364,303 | ) | 6.16 | (240,835 | ) | (63,200 | ) | |||||||||
Forfeited | (7,801 | ) | 3.26 | — | (15,400 | ) | ||||||||||
Outstanding at December 31, 2011 | 2,361,424 | 3.22 | — | 49,350 | ||||||||||||
Granted | 2,067,835 | 1.52 | — | — | ||||||||||||
Vested | (681,484 | ) | 3.39 | — | (48,250 | ) | ||||||||||
Forfeited | (193,037 | ) | 2.76 | — | (1,100 | ) | ||||||||||
Outstanding at December 29, 2012 | 3,554,738 | 1.22 | — | — | ||||||||||||
Granted(3) | 1,202,185 | 3.15 | 2,969,424 | — | ||||||||||||
Vested(3) | (2,587,452 | ) | 2.48 | (627,320 | ) | — | ||||||||||
Forfeited(3) | (551,188 | ) | 2.28 | (149,236 | ) | — | ||||||||||
Outstanding at January 4, 2014(3) | 1,618,283 | $ | 2.50 | 2,192,868 | — |
(1) | The restricted stock units were settled in cash. The fair value of these awards was marked-to-market each reporting period through the date of settlement. During fiscal 2012 and fiscal 2011, certain restricted stock units vested and approximately $0.1 million and $0.2 million, respectively, was paid out to settle these awards. |
(2) | During fiscal 2011 certain performance shares vested and approximately $0.9 million was paid out to settle these awards. The fair value of these shares was marked to market each reporting period through the settlement date. |
(3) | The performance shares granted in 2013 will be settled in shares of common stock of the Company. The weighted average fair value for performance shares granted, vested, and forfeited was $2.95, $2.36, and $3.13, respectively. The weighted average fair value for performance shares outstanding as of January 4, 2014 is $2.55. |
59 |
January 4, 2014 | December 29, 2012 | |||||||
(In thousands) | ||||||||
Change in projected benefit obligation: | ||||||||
Projected benefit obligation at beginning of period | $ | 114,330 | $ | 99,425 | ||||
Service cost | 2,193 | 1,878 | ||||||
Interest cost | 4,750 | 4,885 | ||||||
Actuarial (gain) loss | (10,710 | ) | 12,183 | |||||
Curtailment | (910 | ) | — | |||||
Benefits paid | (4,729 | ) | (4,041 | ) | ||||
Projected benefit obligation at end of period | 104,924 | 114,330 | ||||||
Change in plan assets: | ||||||||
Fair value of assets at beginning of period | 67,760 | 63,896 | ||||||
Actual return on plan assets | 13,536 | 6,758 | ||||||
Employer contributions | 472 | 1,147 | ||||||
Benefits paid | (4,729 | ) | (4,041 | ) | ||||
Fair value of assets at end of period | 77,039 | 67,760 | ||||||
Net (unfunded) status of plan | $ | (27,885 | ) | $ | (46,570 | ) |
60 |
January 4, 2014 | December 29, 2012 | |||||||
(In thousands) | ||||||||
Unfunded status | $ | (27,885 | ) | $ | (46,570 | ) | ||
Unrecognized prior service cost | 1 | 2 | ||||||
Unrecognized actuarial loss | 14,656 | 37,459 | ||||||
Net amount recognized | $ | (13,228 | ) | $ | (9,109 | ) | ||
Amounts recognized on the balance sheet consist of: | ||||||||
Accrued pension liability | (27,885 | ) | (46,570 | ) | ||||
Accumulated other comprehensive loss (pre-tax) | 14,657 | 37,461 | ||||||
Net amount recognized | $ | (13,228 | ) | $ | (9,109 | ) |
Fiscal Year Ended January 4, 2014 | Fiscal Year Ended December 29, 2012 | Fiscal Year Ended December 31, 2011 | ||||||||||
(In thousands) | ||||||||||||
Service cost | $ | 2,193 | $ | 1,878 | $ | 2,091 | ||||||
Interest cost on projected benefit obligation | 4,750 | 4,885 | 4,609 | |||||||||
Expected return on plan assets | (5,225 | ) | (4,897 | ) | (5,505 | ) | ||||||
Amortization of unrecognized loss | 2,873 | 2,077 | 579 | |||||||||
Amortization of unrecognized prior service cost | — | — | — | |||||||||
Net periodic pension cost | $ | 4,591 | $ | 3,943 | $ | 1,774 |
January 4, 2014 | December 29, 2012 | |||||||
Projected benefit obligation: | ||||||||
Discount rate | 5.00 | % | 4.24 | % | ||||
Average rate of increase in future compensation levels | Graded 5.5%-2.5 | % | 3.00 | % | ||||
Net periodic pension cost | ||||||||
Discount rate | 4.24 | % | 5.02 | % | ||||
Average rate of increase in future compensation levels | 3.00 | % | 3.00 | % | ||||
Expected long-term rate of return on plan assets | 7.85 | % | 7.85 | % |
61 |
Asset Category | January 4, 2014 | December 29, 2012 | |||||||
Equity securities — domestic | 55 | % | 56 | % | |||||
Equity securities — international | 16 | % | 9 | % | |||||
Fixed income | 24 | % | 31 | % | |||||
Other | 5 | % | 4 | % | |||||
Total | 100 | % | 100 | % |
Asset Category | Level 1 | ||||
Equity securities — domestic | $ | 42,710 | |||
Equity securities — international | 12,067 | ||||
Fixed income | 18,836 | ||||
Other | 3,426 | ||||
Total | $ | 77,039 |
Asset Category | Level 1 | ||||
Equity securities — domestic | $ | 37,623 | |||
Equity securities — international | 6,304 | ||||
Fixed income | 20,848 | ||||
Other | 2,985 | ||||
Total | $ | 67,760 |
Fiscal Year Ending | (In thousands) | ||||
January 3, 2015 | 4,998 | ||||
January 2, 2016 | 5,332 | ||||
December 31, 2016 | 5,641 | ||||
December 30, 2017 | 5,914 | ||||
December 29, 2018 | 6,206 | ||||
Thereafter | 34,372 |
62 |
Beginning Balance | Expense | Write-offs and Other, net | Ending Balance | |||||||||||||
Fiscal 2011 | ||||||||||||||||
Obsolescence/damaged inventory reserve | $ | 1,670 | $ | 2,309 | $ | (2,487 | ) | $ | 1,492 | |||||||
Lower of cost or market reserve | $ | — | $ | — | $ | — | $ | — | ||||||||
Fiscal 2012 | ||||||||||||||||
Obsolescence/damaged inventory reserve | $ | 1,492 | $ | 3,625 | $ | (3,991 | ) | $ | 1,126 | |||||||
Lower of cost or market reserve | $ | — | $ | — | $ | — | $ | — | ||||||||
Fiscal 2013 | ||||||||||||||||
Obsolescence/damaged inventory reserve | $ | 1,126 | $ | 4,783 | $ | (4,111 | ) | $ | 1,798 | |||||||
Lower of cost or market reserve | $ | — | $ | 3,843 | $ | (3,843 | ) | $ | — |
63 |
64 |
65 |
2014 | $ | 2,761 | ||
2015 | 2,744 | |||
2016 | 181,438 | |||
2017 | — | |||
2018 | — | |||
Thereafter | — | |||
Total | $ | 186,943 |
66 |
2014 | $ | 4,391 | ||
2015 | 3,968 | |||
2016 | 4,036 | |||
2017 | 4,060 | |||
2018 | 3,498 | |||
Thereafter | 10,060 | |||
Total | $ | 30,013 |
67 |
Principal | Interest | |||||||
2014 | $ | 1,753 | $ | 509 | ||||
2015 | 1,847 | 399 | ||||||
2016 | 1,746 | 273 | ||||||
2017 | 1,342 | 186 | ||||||
2018 | 1,406 | 95 | ||||||
Thereafter | 604 | 20 | ||||||
Total | $ | 8,698 | $ | 1,482 |
68 |
Foreign currency,net of tax | Defined benefit pension plan, net of tax | Other, net of tax | Total | ||||||||||||||||||
Beginning balance | $ | 1,797 | $ | (32,051 | ) | $ | 212 | $ | (30,042 | ) | |||||||||||
Other comprehensive loss (income) before reclassification, net of tax | (161 | ) | — | — | (161 | ) | |||||||||||||||
Amounts reclassified from accumulated other comprehensive loss, net of tax | — | 13,910 | — | 13,910 | |||||||||||||||||
Current-period other comprehensive (loss) income, net of tax | (161 | ) | 13,910 | — | 13,749 | ||||||||||||||||
Ending balance, net of tax | $ | 1,636 | $ | (18,141 | ) | $ | 212 | $ | (16,293 | ) |
Foreign currency,net of tax | Defined benefit pension plan, net of tax | Other, net of tax | Total | ||||||||||||||||||
Beginning balance | $ | 1,694 | $ | (23,806 | ) | $ | 212 | $ | (21,900 | ) | |||||||||||
Current-period other comprehensive income (loss) net of tax | 103 | (8,245 | ) | — | (8,142 | ) | |||||||||||||||
Ending balance, net of tax | $ | 1,797 | $ | (32,051 | ) | $ | 212 | $ | (30,042 | ) |
Foreign currency,net of tax | Defined benefit pension plan, net of tax | Other, net of tax | Total | ||||||||||||||||||
Beginning balance | $ | 1,786 | $ | (8,837 | ) | $ | (307 | ) | $ | (7,358 | ) | ||||||||||
Current-period other comprehensive (loss) income, net of tax | (92 | ) | (14,969 | ) | 519 | (14,542 | ) | ||||||||||||||
Ending balance, net of tax | $ | 1,694 | $ | (23,806 | ) | $ | 212 | $ | (21,900 | ) |
Details about accumulated other comprehensive loss components | Amount reclassified from accumulated other comprehensive loss | Affected line item in the statement where net income is presented | |||||
Amortization of defined benefit pension items: | |||||||
Actuarial gain | $ | 22,804 | Total before tax (1) | ||||
Tax impact | 8,894 | Tax impact (2) | |||||
Total, net of tax | $ | 13,910 | Net of tax |
69 |
First Quarter | Second Quarter | Third Quarter | Fourth Quarter | |||||||||||||||||||||||||||||
Three Months | Three Months | Three Months | Three Months | Three Months | Three Months | Three Months | Three Months | |||||||||||||||||||||||||
Ended | Ended | Ended | Ended | Ended | Ended | Ended | Ended | |||||||||||||||||||||||||
March 30, | March 31, | June 29, | June 30, | September 28, | September 29, | January 4, | December 29, | |||||||||||||||||||||||||
2013(a) | 2012(b) | 2013(c) | 2012(d) | 2013(e) | 2012(f) | 2014(g) | 2012(h) | |||||||||||||||||||||||||
(In thousands, except per share amounts) | ||||||||||||||||||||||||||||||||
Net sales | $ | 503,153 | $ | 453,708 | $ | 604,592 | $ | 517,026 | $ | 557,952 | $ | 496,810 | $ | 486,275 | $ | 440,298 | ||||||||||||||||
Gross profit | 56,458 | 54,232 | 55,185 | 63,188 | 62,492 | 60,531 | 54,348 | 52,119 | ||||||||||||||||||||||||
Operating expenses: | ||||||||||||||||||||||||||||||||
Selling, general and administrative | 58,760 | 56,644 | 61,201 | 57,564 | 58,176 | 57,307 | 55,627 | 54,842 | ||||||||||||||||||||||||
Gain from property insurance settlement | — | — | — | (476 | ) | — | — | — | — | |||||||||||||||||||||||
(Gain) loss from sale of properties | (230 | ) | (578 | ) | — | 48 | (3,679 | ) | (9,151 | ) | (1,311 | ) | (204 | ) | ||||||||||||||||||
Restructuring and other charges | 889 | — | 7,309 | — | 2,758 | — | 1,167 | — | ||||||||||||||||||||||||
Depreciation and amortization | 2,173 | 2,260 | 2,229 | 2,187 | 2,144 | 2,106 | 2,571 | 2,012 | ||||||||||||||||||||||||
Operating (loss) income | (5,134 | ) | (4,094 | ) | (15,554 | ) | 3,865 | 3,093 | 10,269 | (3,706 | ) | (4,531 | ) | |||||||||||||||||||
Non-operating expenses: | ||||||||||||||||||||||||||||||||
Interest expense | 7,192 | 6,782 | 6,916 | 7,325 | 6,918 | 7,294 | 6,998 | 6,756 | ||||||||||||||||||||||||
Other expense (income) | 110 | (62 | ) | 128 | 49 | 17 | (16 | ) | 50 | 22 | ||||||||||||||||||||||
(Benefit from) provision for income taxes | (4,637 | ) | (3,969 | ) | (9,105 | ) | (1,157 | ) | (2,134 | ) | 1,078 | (12,491 | ) | (4,305 | ) | |||||||||||||||||
Tax valuation allowance | 4,850 | 4,174 | 8,813 | 1,354 | 1,498 | (1,155 | ) | 4,194 | 4,366 | |||||||||||||||||||||||
Net (loss) income | $ | (12,649 | ) | $ | (11,019 | ) | $ | (22,306 | ) | $ | (3,706 | ) | $ | (3,206 | ) | $ | 3,068 | $ | (2,457 | ) | $ | (11,370 | ) | |||||||||
Basic and diluted weighted average number of common shares outstanding | 66,714 | 65,368 | 84,167 | 65,471 | 84,596 | 65,473 | 84,818 | 65,494 | ||||||||||||||||||||||||
Basic and diluted net (loss) income per share applicable to common shares | $ | (0.19 | ) | $ | (0.17 | ) | $ | (0.27 | ) | $ | (0.06 | ) | $ | (0.04 | ) | $ | 0.04 | $ | (0.03 | ) | $ | (0.17 | ) |
(a) | During the three months ended March 30, 2013 basic and diluted weighted average shares were 66,713,964. Total share-based awards of 5,512,899 were excluded from our diluted earnings per share calculation because they were anti-dilutive. |
(b) | During the three months ended March 31, 2012, basic and diluted weighted average shares were 65,368,259. Total share-based awards of 4,519,590 were excluded from our diluted earnings per share calculation because they were anti-dilutive. |
(c) | During the three months ended June 29, 2013, basic and diluted weighted average shares were 84,167,120. Total share-based awards of 5,203,076 were excluded from our diluted earnings per share calculation because they were anti-dilutive. |
(d) | During the three months ended June 30, 2012, basic and diluted weighted average shares were 65,471,450. Total share-based awards of 4,515,590 were excluded from our diluted earnings per share calculation because they were anti-dilutive. |
(e) | During the three months ended September 28, 2013, basic and diluted weighted average shares were 84,595,708. Total share-based awards of 5,136,430 were excluded from our diluted earnings per share calculation because they were anti-dilutive. |
(f) | During the three months ended September 29, 2012, basic and diluted weighted average shares were 65,472,685. |
(g) | During the three months ended January 4, 2014, basic and diluted weighted average shares were 84,818,331, respectively. Total share-based awards of 4,595,650 were excluded from our diluted earnings per share calculation because they were anti-dilutive. |
(h) | During the three months ended December 29, 2012, basic and diluted weighted average shares were 65,493,920, respectively. Total share-based awards of 4,460,054 were excluded from our diluted earnings per share calculation because they were anti-dilutive. |
70 |
BlueLinx Holdings | BlueLinx Corporation and Subsidiaries | LLC Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Net sales | $ | — | $ | 2,151,972 | $ | 27,363 | $ | (27,363 | ) | $ | 2,151,972 | |||||||||
Cost of sales | — | 1,923,489 | — | — | 1,923,489 | |||||||||||||||
Gross profit | — | 228,483 | 27,363 | (27,363 | ) | 228,483 | ||||||||||||||
Operating expenses (income): | ||||||||||||||||||||
Selling, general and administrative | 5,913 | 267,232 | (5,115 | ) | (27,363 | ) | 240,667 | |||||||||||||
Depreciation and amortization | — | 5,700 | 3,417 | — | 9,117 | |||||||||||||||
Total operating expenses (income) | 5,913 | 272,932 | (1,698 | ) | (27,363 | ) | 249,784 | |||||||||||||
Operating (loss) income | (5,913 | ) | (44,449 | ) | 29,061 | — | (21,301 | ) | ||||||||||||
Non-operating expenses: | ||||||||||||||||||||
Interest expense | — | 13,686 | 14,338 | — | 28,024 | |||||||||||||||
Other expense (income), net | — | 318 | (12 | ) | — | 306 | ||||||||||||||
(Loss) income before provision for (benefit from) income taxes | (5,913 | ) | (58,453 | ) | 14,735 | — | (49,631 | ) | ||||||||||||
Provision for (benefit from) income taxes | (157 | ) | (9,248 | ) | 392 | — | (9,013 | ) | ||||||||||||
Equity in (loss) income of subsidiaries | (34,862 | ) | — | — | 34,862 | — | ||||||||||||||
Net (loss) income | $ | (40,618 | ) | $ | (49,205 | ) | $ | 14,343 | $ | 34,862 | $ | (40,618 | ) |
BlueLinx Holdings | BlueLinx Corporation and Subsidiaries | LLC Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Net sales | $ | — | $ | 1,907,842 | $ | 28,330 | $ | (28,330 | ) | $ | 1,907,842 | |||||||||
Cost of sales | — | 1,677,772 | — | — | 1,677,772 | |||||||||||||||
Gross profit | — | 230,070 | 28,330 | (28,330 | ) | 230,070 | ||||||||||||||
Operating expenses (income): | ||||||||||||||||||||
Selling, general and administrative | 3,940 | 250,098 | (9,712 | ) | (28,330 | ) | 215,996 | |||||||||||||
Depreciation and amortization | — | 5,040 | 3,525 | — | 8,565 | |||||||||||||||
Total operating expenses (income) | 3,940 | 255,138 | (6,187 | ) | (28,330 | ) | 224,561 | |||||||||||||
Operating (loss) income | (3,940 | ) | (25,068 | ) | 34,517 | — | 5,509 | |||||||||||||
Non-operating expenses: | ||||||||||||||||||||
Interest expense | — | 12,159 | 15,998 | — | 28,157 | |||||||||||||||
Other expense (income), net | — | 10 | (17 | ) | — | (7 | ) | |||||||||||||
(Loss) income before provision for income taxes | (3,940 | ) | (37,237 | ) | 18,536 | — | (22,641 | ) | ||||||||||||
Provision for income taxes | 386 | — | — | 386 | ||||||||||||||||
Equity in (loss) income of subsidiaries | (18,701 | ) | — | — | 18,701 | — | ||||||||||||||
Net (loss) income | $ | (23,027 | ) | $ | (37,237 | ) | $ | 18,536 | $ | 18,701 | $ | (23,027 | ) |
71 |
BlueLinx Holdings | BlueLinx Corporation and Subsidiaries | LLC Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Net sales | $ | — | $ | 1,755,431 | $ | 29,665 | $ | (29,665 | ) | $ | 1,755,431 | |||||||||
Cost of sales | — | 1,545,282 | — | — | 1,545,282 | |||||||||||||||
Gross profit | — | 210,149 | 29,665 | (29,665 | ) | 210,149 | ||||||||||||||
Operating expenses (income): | ||||||||||||||||||||
Selling, general and administrative | 3,728 | 244,398 | (10,604 | ) | (29,665 | ) | 207,857 | |||||||||||||
Depreciation and amortization | — | 6,790 | 3,772 | — | 10,562 | |||||||||||||||
Total operating expenses (income) | 3,728 | 251,188 | (6,832 | ) | (29,665 | ) | 218,419 | |||||||||||||
Operating (loss) income | (3,728 | ) | (41,039 | ) | 36,497 | — | (8,270 | ) | ||||||||||||
Non-operating expenses: | ||||||||||||||||||||
Interest expense | — | 12,528 | 17,982 | — | 30,510 | |||||||||||||||
Changes associated with ineffective interest rate swap | — | (1,676 | ) | — | — | (1,676 | ) | |||||||||||||
Other expense (income), net | — | 516 | (15 | ) | — | 501 | ||||||||||||||
(Loss) income before provision for income taxes | (3,728 | ) | (52,407 | ) | 18,530 | — | (37,605 | ) | ||||||||||||
Provision for income taxes | 459 | 503 | — | — | 962 | |||||||||||||||
Equity in (loss) income of subsidiaries | (34,380 | ) | — | — | 34,380 | — | ||||||||||||||
Net (loss) income | $ | (38,567 | ) | $ | (52,910 | ) | $ | 18,530 | $ | 34,380 | $ | (38,567 | ) |
BlueLinx Holdings Inc. | BlueLinx Corporation and Subsidiaries | LLC Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Assets: | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash | $ | 47 | $ | 4,987 | $ | — | $ | — | $ | 5,034 | ||||||||||
Receivables | — | 150,297 | — | — | 150,297 | |||||||||||||||
Inventories | — | 223,580 | — | — | 223,580 | |||||||||||||||
Deferred income tax asset, net | — | — | 397 | (397 | ) | — | ||||||||||||||
Other current assets | 790 | 20,208 | 1,816 | — | 22,814 | |||||||||||||||
Intercompany receivable | 68,454 | 26,374 | — | (94,828 | ) | — | ||||||||||||||
Total current assets | 69,291 | 425,446 | 2,213 | (95,225 | ) | 401,725 | ||||||||||||||
Property and equipment: | ||||||||||||||||||||
Land and land improvements | — | 4,040 | 37,136 | — | 41,176 | |||||||||||||||
Buildings | — | 10,839 | 79,243 | — | 90,082 | |||||||||||||||
Machinery and equipment | — | 73,004 | — | — | 73,004 | |||||||||||||||
Construction in progress | — | 3,028 | — | — | 3,028 | |||||||||||||||
Property and equipment, at cost | — | 90,911 | 116,379 | — | 207,290 | |||||||||||||||
Accumulated depreciation | — | (64,557 | ) | (31,614 | ) | — | (96,171 | ) | ||||||||||||
Property and equipment, net | — | 26,354 | 84,765 | — | 111,119 | |||||||||||||||
Investment in subsidiaries | (47,735 | ) | — | — | 47,735 | — | ||||||||||||||
Non-current deferred income tax assets, net | — | 1,221 | — | (397 | ) | 824 | ||||||||||||||
Other non-current assets | — | 11,768 | 4,810 | — | 16,578 | |||||||||||||||
Total assets | $ | 21,556 | $ | 464,789 | $ | 91,788 | $ | (47,887 | ) | $ | 530,246 | |||||||||
Liabilities: | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Accounts payable | $ | 1,080 | $ | 59,283 | $ | — | $ | — | 60,363 | |||||||||||
Bank overdrafts | — | 19,377 | — | — | 19,377 | |||||||||||||||
Accrued compensation | — | 4,173 | — | — | 4,173 | |||||||||||||||
Current maturities of long-term debt | — | — | 9,141 | — | 9,141 | |||||||||||||||
Deferred income tax liabilities, net | — | 1,220 | — | (397 | ) | 823 | ||||||||||||||
Other current liabilities | — | 11,727 | 1,222 | — | 12,949 | |||||||||||||||
Intercompany payable | 26,374 | 68,454 | — | (94,828 | ) | — | ||||||||||||||
Total current liabilities | 27,454 | 164,234 | 10,363 | (95,225 | ) | 106,826 | ||||||||||||||
Non-current liabilities: | ||||||||||||||||||||
Long-term debt | — | 211,193 | 177,802 | — | 388,995 | |||||||||||||||
Non-current deferred income taxes | — | — | 397 | (397 | ) | — | ||||||||||||||
Other non-current liabilities | — | 40,323 | — | — | 40,323 | |||||||||||||||
Total liabilities | 27,454 | 415,750 | 188,562 | (95,622 | ) | 536,144 | ||||||||||||||
Stockholders’ (deficit) equity/Parent’s Investment | (5,898 | ) | 49,039 | (96,774 | ) | 47,735 | (5,898 | ) | ||||||||||||
Total liabilities and (deficit) equity | $ | 21,556 | $ | 464,789 | $ | 91,788 | $ | (47,887 | ) | $ | 530,246 |
72 |
BlueLinx Holdings Inc. | BlueLinx Corporation and Subsidiaries | LLC Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Assets: | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash | $ | 28 | $ | 5,160 | $ | — | $ | — | $ | 5,188 | ||||||||||
Receivables | — | 157,465 | — | — | 157,465 | |||||||||||||||
Inventories | — | 230,059 | — | — | 230,059 | |||||||||||||||
Other current assets | 1,596 | 17,790 | 41 | — | 19,427 | |||||||||||||||
Intercompany receivable | 73,981 | 28,814 | — | (102,795 | ) | — | ||||||||||||||
Total current assets | 75,605 | 439,288 | 41 | (102,795 | ) | 412,139 | ||||||||||||||
Property and equipment: | ||||||||||||||||||||
Land and land improvements | — | 3,250 | 39,870 | — | 43,120 | |||||||||||||||
Buildings | — | 10,213 | 83,857 | — | 94,070 | |||||||||||||||
Machinery and equipment | — | 78,674 | — | — | 78,674 | |||||||||||||||
Construction in progress | — | 1,173 | — | — | 1,173 | |||||||||||||||
Property and equipment, at cost | — | 93,310 | 123,727 | — | 217,037 | |||||||||||||||
Accumulated depreciation | — | (71,583 | ) | (30,101 | ) | — | (101,684 | ) | ||||||||||||
Property and equipment, net | — | 21,727 | 93,626 | — | 115,353 | |||||||||||||||
Investment in subsidiaries | (67,053 | ) | — | — | 67,053 | — | ||||||||||||||
Non-current deferred income tax assets, net | — | 445 | — | — | 445 | |||||||||||||||
Other non-current assets | — | 10,646 | 6,153 | — | 16,799 | |||||||||||||||
Total assets | $ | 8,552 | $ | 472,106 | $ | 99,820 | $ | (35,742 | ) | $ | 544,736 | |||||||||
Liabilities: | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Accounts payable | $ | 203 | $ | 77,257 | $ | 390 | $ | — | 77,850 | |||||||||||
Bank overdrafts | — | 35,384 | — | — | 35,384 | |||||||||||||||
Accrued compensation | 127 | 6,043 | — | — | 6,170 | |||||||||||||||
Current maturities of long-term debt | — | — | 8,946 | — | 8,946 | |||||||||||||||
Deferred income tax liabilities, net | — | 449 | — | — | 449 | |||||||||||||||
Other current liabilities | — | 9,831 | 1,106 | — | 10,937 | |||||||||||||||
Intercompany payable | 28,814 | 73,981 | — | (102,795 | ) | — | ||||||||||||||
Total current liabilities | 29,144 | 202,945 | 10,442 | (102,795 | ) | 139,736 | ||||||||||||||
Non-current liabilities: | ||||||||||||||||||||
Long-term debt | — | 171,412 | 197,034 | — | 368,446 | |||||||||||||||
Other non-current liabilities | — | 57,146 | — | — | 57,146 | |||||||||||||||
Total liabilities | 29,144 | 431,503 | 207,476 | (102,795 | ) | 565,328 | ||||||||||||||
Stockholders’ (deficit) equity/Parent’s Investment | (20,592 | ) | 40,603 | (107,656 | ) | 67,053 | (20,592 | ) | ||||||||||||
Total liabilities and (deficit) equity | $ | 8,552 | $ | 472,106 | $ | 99,820 | $ | (35,742 | ) | $ | 544,736 |
73 |
BlueLinx Holdings Inc. | BlueLinx Corporation | LLC Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net (loss) income | $ | (40,618 | ) | $ | (49,205 | ) | $ | 14,343 | $ | 34,862 | $ | (40,618 | ) | |||||||
Adjustments to reconcile net (loss) income to cash (used in) provided by operating activities: | ||||||||||||||||||||
Depreciation and amortization | — | 5,700 | 3,417 | — | 9,117 | |||||||||||||||
Amortization of debt issue costs | — | 1,841 | 1,343 | — | 3,184 | |||||||||||||||
Write-off of debt issuance costs | — | 119 | — | — | 119 | |||||||||||||||
Loss (gain) from sale of properties | — | 554 | (5,774 | ) | — | (5,220 | ) | |||||||||||||
Gain from property insurance settlement | — | — | — | — | — | |||||||||||||||
Vacant property charges, net | — | 1,321 | — | — | 1,321 | |||||||||||||||
Severance charges | — | 5,607 | — | — | 5,607 | |||||||||||||||
Payments on modification of lease agreement | — | (300 | ) | — | — | (300 | ) | |||||||||||||
Deferred income tax benefit | — | (5 | ) | (397) | 397 | (5 | ) | |||||||||||||
Intraperiod income tax allocation related to the hourly pension plan | — | (8,894 | ) | — | — | (8,894 | ) | |||||||||||||
Pension expense | — | 4,591 | — | — | 4,591 | |||||||||||||||
Share-based compensation, excluding restructuring related | 904 | 2,318 | — | — | 3,222 | |||||||||||||||
Share-based compensation, restructuring related | — | 2,895 | — | — | 2,895 | |||||||||||||||
Increase in restricted cash related to insurance and other | — | (1,810 | ) | — | — | (1,810 | ) | |||||||||||||
Accrued compensation and other | 684 | (10,064 | ) | 625 | (397) | (9,152 | ) | |||||||||||||
Equity (deficit) in earnings of subsidiaries | 34,862 | — | — | (34,862 | ) | — | ||||||||||||||
Intercompany receivable | 5,527 | 2,440 | — | (7,967 | ) | — | ||||||||||||||
Intercompany payable | (2,440 | ) | (5,527 | ) | — | 7,967 | — | |||||||||||||
(1,081 | ) | (48,419 | ) | 13,557 | — | (35,943 | ) | |||||||||||||
Changes in primary working capital components: | ||||||||||||||||||||
Receivables | — | 7,168 | — | — | 7,168 | |||||||||||||||
Inventories | — | 6,479 | — | — | 6,479 | |||||||||||||||
Accounts payable | 779 | (17,973 | ) | (391 | ) | — | (17,585 | ) | ||||||||||||
Net cash (used in) provided by operating activities | (302 | ) | (52,745 | ) | 13,166 | — | (39,881 | ) | ||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Investment in subsidiaries | (35,202 | ) | 38,663 | (3,461 | ) | — | — | |||||||||||||
Property, plant and equipment investments | — | (4,912 | ) | — | — | (4,912 | ) | |||||||||||||
Proceeds from disposition of assets | — | 1,072 | 9,293 | — | 10,365 | |||||||||||||||
Net cash provided by (used in) investing activities | (35,202 | ) | 34,823 | 5,832 | — | 5,453 | ||||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Excess tax benefits from share-based compensation arrangements | — | 16 | — | — | 16 | |||||||||||||||
Repurchase of shares to satisfy employee tax withholdings | (3,192 | ) | — | — | — | (3,192 | ) | |||||||||||||
Repayments on revolving credit facilities | — | (560,186 | ) | — | — | (560,186 | ) | |||||||||||||
Borrowings on revolving credit facilities | — | 599,968 | — | — | 599,968 | |||||||||||||||
Payments of principal on mortgage | — | — | (19,038 | ) | — | (19,038 | ) | |||||||||||||
Payments on capital lease obligations | — | (3,142 | ) | — | — | (3,142 | ) | |||||||||||||
(Decrease) increase in bank overdrafts | — | (16,007 | ) | — | — | (16,007 | ) | |||||||||||||
Increase in restricted cash related to the mortgage | — | — | 40 | — | 40 | |||||||||||||||
Proceeds from rights offering, less expenses paid | 38,715 | — | — | — | 38,715 | |||||||||||||||
Debt issuance costs | — | (2,900 | ) | — | — | (2,900 | ) | |||||||||||||
Net cash provided by (used in) financing activities | 35,523 | 17,749 | (18,998 | ) | — | 34,274 | ||||||||||||||
Increase (decrease) in cash | 19 | (173 | ) | — | — | (154 | ) | |||||||||||||
Balance, beginning of period | 28 | 5,160 | — | — | 5,188 | |||||||||||||||
Balance, end of period | $ | 47 | $ | 4,987 | $ | — | $ | — | $ | 5,034 | ||||||||||
Supplemental cash flow information: | ||||||||||||||||||||
Net income tax refunds (income taxes paid) during the period | $ | — | $ | (61 | ) | $ | (271 | ) | $ | — | $ | (332 | ) | |||||||
Interest paid during the period | $ | 13,480 | $ | 11,226 | $ | — | $ | — | $ | 24,706 | ||||||||||
Noncash transactions: | ||||||||||||||||||||
Capital leases | $ | — | $ | 5,069 | $ | — | $ | — | $ | 5,069 |
74 |
BlueLinx Holdings Inc. | BlueLinx Corporation | LLC Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Cash flowsfrom operating activities: | ||||||||||||||||||||
Net (loss) income | $ | (23,027 | ) | $ | (37,237 | ) | $ | 18,536 | $ | 18,701 | $ | (23,027 | ) | |||||||
Adjustments to reconcile net (loss) income to cash (used in) providedby operations: | ||||||||||||||||||||
Depreciation and amortization | — | 5,040 | 3,525 | — | 8,565 | |||||||||||||||
Amortization of debt issue costs | — | 2,471 | 1,275 | — | 3,746 | |||||||||||||||
Write-off of debt issuance costs | — | — | — | — | — | |||||||||||||||
Gain from sale of properties | — | — | (9,885 | ) | — | (9,885 | ) | |||||||||||||
Gain from property insurance settlement | — | — | (476 | ) | — | (476 | ) | |||||||||||||
Vacant property charges, net | — | (30 | ) | — | — | (30 | ) | |||||||||||||
Severance charges | — | — | — | — | — | |||||||||||||||
Payments on modification of lease agreement | — | (5,875 | ) | — | — | (5,875 | ) | |||||||||||||
Deferred income tax benefit | — | (20 | ) | — | — | (20 | ) | |||||||||||||
Pension expense | — | 3,942 | — | — | 3,942 | |||||||||||||||
Share-based compensation, excluding restructuring related | 528 | 2,269 | — | — | 2,797 | |||||||||||||||
Share-based compensation, restructuring related | — | — | — | — | — | |||||||||||||||
Decrease in restricted cash related to the ineffective interest swap, insurance, and other | — | 695 | — | — | 695 | |||||||||||||||
Accrued compensation and other | (971 | ) | 875 | (561 | ) | — | (657 | ) | ||||||||||||
Equity (deficit) in earnings of subsidiaries | 18,701 | — | — | (18,701 | ) | — | ||||||||||||||
Intercompany receivable | (6,940 | ) | (10,332 | ) | — | 17,272 | — | |||||||||||||
Intercompany payable | 10,332 | 6,940 | — | (17,272 | ) | — | ||||||||||||||
(1,377 | ) | (31,262 | ) | 12,414 | — | (20,225 | ) | |||||||||||||
Changes in primary working capital components: | ||||||||||||||||||||
Receivables | — | (18,593 | ) | — | — | (18,593 | ) | |||||||||||||
Inventories | — | (44,482 | ) | — | — | (44,482 | ) | |||||||||||||
Accounts payable | 42 | 8,619 | 389 | — | 9,050 | |||||||||||||||
Net cash (used in) provided by operating activities | (1,335 | ) | (85,718 | ) | 12,803 | — | (74,250 | ) | ||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Investment in subsidiaries | 1,862 | 154 | (2,016 | ) | — | — | ||||||||||||||
Property, plant and equipment investments | — | (2,826 | ) | — | (2,826 | ) | ||||||||||||||
Proceeds from disposition of assets | — | 997 | 18,198 | — | 19,195 | |||||||||||||||
Net cash provided by (used in) investing activities | 1,862 | (1,675 | ) | 16,182 | — | 16,369 | ||||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Excess tax benefits from share-based compensation arrangements | — | — | — | — | — | |||||||||||||||
Repurchase of shares to satisfy employee tax withholdings | (526 | ) | — | — | — | (526 | ) | |||||||||||||
Repayments on revolving credit facilities | — | (473,349 | ) | — | — | (473,349 | ) | |||||||||||||
Borrowings on revolving credit facilities | — | 550,270 | — | — | 550,270 | |||||||||||||||
Principal payments on mortgage | — | — | (37,272 | ) | — | (37,272 | ) | |||||||||||||
Payments on capital lease obligations | — | (2,259 | ) | — | — | (2,259 | ) | |||||||||||||
Increase in bank overdrafts | — | 13,020 | — | — | 13,020 | |||||||||||||||
Decrease in restricted cash related to the mortgage | — | — | 9,970 | — | 9,970 | |||||||||||||||
Debt financing costs | — | — | (1,683 | ) | — | (1,683 | ) | |||||||||||||
Net cash (used in) provided by financing activities | (526 | ) | 87,682 | (28,985 | ) | — | 58,171 | |||||||||||||
Increase in cash | 1 | 289 | — | — | 290 | |||||||||||||||
Cash and cash equivalents balance, beginning of period | 27 | 4,871 | — | — | 4,898 | |||||||||||||||
Cash and cash equivalents balance, end of period | $ | 28 | $ | 5,160 | $ | — | $ | — | $ | 5,188 | ||||||||||
Supplemental cash flow information: | ||||||||||||||||||||
Net income tax refunds (income taxes paid) during the period | $ | — | $ | 37 | $ | (545 | ) | $ | — | $ | (508 | ) | ||||||||
Interest paid during the period | $ | — | $ | 9,309 | $ | 14,979 | $ | — | $ | 24,288 | ||||||||||
Noncash transactions: | ||||||||||||||||||||
Capital leases | $ | — | $ | 5,238 | $ | — | $ | — | $ | 5,238 |
75 |
BlueLinx Holdings Inc. | BlueLinx Corporation | LLC Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net (loss) income | $ | (38,567 | ) | $ | (52,910 | ) | $ | 18,530 | $ | 34,380 | $ | (38,567 | ) | |||||||
Adjustments to reconcile net (loss) income to cash (used in) provided by operations: | ||||||||||||||||||||
Depreciation and amortization | — | 6,790 | 3,772 | — | 10,562 | |||||||||||||||
Amortization of debt issue costs | — | 1,983 | 957 | — | 2,940 | |||||||||||||||
Write-off of debt issuance costs | — | — | — | — | — | |||||||||||||||
Gain from sale of properties | — | — | (10,604 | ) | — | (10,604 | ) | |||||||||||||
Gain from property insurance settlement | — | — | (1,230 | ) | — | (1,230 | ) | |||||||||||||
Changes associated with ineffective interest rate swap | — | (1,676 | ) | — | — | (1,676 | ) | |||||||||||||
Vacant property charges, net | — | (291 | ) | — | — | (291 | ) | |||||||||||||
Severance charges | — | — | — | — | — | |||||||||||||||
Gain on modification of lease agreement | — | (1,971 | ) | — | — | (1,971 | ) | |||||||||||||
Deferred income tax benefit | — | (25 | ) | — | — | (25 | ) | |||||||||||||
Pension expense | — | 1,774 | — | — | 1,774 | |||||||||||||||
Share-based compensation, excluding restructuring related | — | 1,602 | 372 | — | 1,974 | |||||||||||||||
Share-based compensation, restructuring related | — | — | — | — | — | |||||||||||||||
Decrease in restricted cash related to the ineffective interest swap, insurance, and other | — | 987 | — | — | 987 | |||||||||||||||
Accrued compensation and other | 167 | — | (2,104 | ) | (1,244 | ) | (3,181 | ) | ||||||||||||
Equity in earnings of subsidiaries | 34,380 | — | — | (34,380 | ) | — | ||||||||||||||
Intercompany receivable | (9,829 | ) | (9,727 | ) | — | 19,556 | — | |||||||||||||
Intercompany payable | 9,218 | 9,094 | — | (18,312 | ) | — | ||||||||||||||
(4,631 | ) | (44,370 | ) | 9,693 | — | (39,308 | ) | |||||||||||||
Changes in assets and liabilities: | ||||||||||||||||||||
Receivables | — | (19,670 | ) | — | — | (19,670 | ) | |||||||||||||
Inventories | — | 2,673 | — | — | 2,673 | |||||||||||||||
Accounts payable | 102 | 5,871 | — | — | 5,973 | |||||||||||||||
Net cash (used in) provided by operating activities | (4,529 | ) | (55,496 | ) | 9,693 | — | (50,332 | ) | ||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Investment in subsidiaries | (54,349 | ) | 55,209 | (860 | ) | — | — | |||||||||||||
Property, plant and equipment investments | — | (3,203 | ) | (3,330 | ) | — | (6,533 | ) | ||||||||||||
Proceeds from sale of assets | — | 504 | 17,851 | — | 18,355 | |||||||||||||||
Net cash (used in) provided by investing activities | (54,349 | ) | 52,510 | 13,661 | — | 11,822 | ||||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Excess tax benefits from share-based compensation arrangements | — | — | — | — | — | |||||||||||||||
Repayments on revolving credit facilities | — | (478,630 | ) | — | — | (478,630 | ) | |||||||||||||
Borrowings on revolving credit facilities | — | 475,918 | — | — | 475,918 | |||||||||||||||
Principal payments on mortgage | — | — | (42,416 | ) | — | (42,416 | ) | |||||||||||||
Payments on capital lease obligations | — | (1,440 | ) | — | — | (1,440 | ) | |||||||||||||
Decrease in bank overdrafts | — | (725 | ) | — | — | (725 | ) | |||||||||||||
Decrease in restricted cash related to the mortgage | — | — | 20,604 | — | 20,604 | |||||||||||||||
Debt financing costs | — | (1,179 | ) | (1,542 | ) | — | (2,721 | ) | ||||||||||||
Proceeds from stock offering less expenses paid | 58,521 | — | — | — | 58,521 | |||||||||||||||
Net cash provided by (used in) financing activities | 58,521 | (6,056 | ) | (23,354 | ) | — | 29,111 | |||||||||||||
Decrease in cash | (357 | ) | (9,042 | ) | — | — | (9,399 | ) | ||||||||||||
Cash and cash equivalents balance, beginning of period | 384 | 13,913 | — | — | 14,297 | |||||||||||||||
Cash and cash equivalents balance, end of period | $ | 27 | $ | 4,871 | $ | — | $ | — | $ | 4,898 | ||||||||||
Supplemental cash flow information: | ||||||||||||||||||||
Net income tax refunds (income taxes paid) during the period | $ | — | $ | 231 | $ | (253 | ) | $ | — | $ | (22 | ) | ||||||||
Interest paid during the period | $ | — | $ | 10,783 | $ | 17,315 | $ | — | $ | 28,098 | ||||||||||
Noncash transactions: | ||||||||||||||||||||
Capital leases | $ | — | $ | 3,131 | $ | — | $ | — | $ | 3,131 |
76 |
BlueLinx Holdings Inc. | BlueLinx Corporation and Subsidiaries | LLC Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Balance, January 1, 2011 | $ | 991 | $ | 94,273 | $ | (140,314 | ) | $ | 46,041 | $ | 991 | |||||||||
Net (loss) income | (38,567 | ) | (52,910 | ) | 18,530 | 34.380 | (38,567 | ) | ||||||||||||
Foreign currency translation adjustment, net of tax | (92 | ) | (92 | ) | — | 92 | (92 | ) | ||||||||||||
Unrealized (loss) income from pension plan, net of tax | (14,969 | ) | (14,969 | ) | — | 14,969 | (14,969 | ) | ||||||||||||
Unrealized gain (loss) from cash flow hedge, net of tax | 519 | 519 | — | (519 | ) | 519 | ||||||||||||||
Issuance of restricted stock, net of forfeitures | 7 | — | — | — | 7 | |||||||||||||||
Issuance of stock related to the rights offering, net of expenses | 58,521 | — | — | — | 58,521 | |||||||||||||||
Compensation related to share-based grants | 2,158 | — | — | — | 2,158 | |||||||||||||||
Impact of net settled shares for vested grants | (194 | ) | — | — | — | (194 | ) | |||||||||||||
Net transactions with the Parent | — | 56,805 | (2,391 | ) | (54,414 | ) | — | |||||||||||||
Balance, December 31, 2011 | $ | 8,374 | $ | 83,626 | $ | (124,175 | ) | $ | 40,549 | $ | 8,374 | |||||||||
Net (loss) income | (23,027 | ) | (37,237 | ) | 18,536 | 18,701 | (23,027 | ) | ||||||||||||
Foreign currency translation adjustment, net of tax | 103 | 103 | — | (103 | ) | 103 | ||||||||||||||
Unrealized loss (income) from pension plan, net of tax | (8,245 | ) | (8,245 | ) | — | 8,245 | (8,245 | ) | ||||||||||||
Issuance of restricted stock, net of forfeitures | 19 | 19 | — | (19 | ) | 19 | ||||||||||||||
Compensation related to share-based grants | 2,730 | — | — | — | 2,730 | |||||||||||||||
Impact of net settled shares for vested grants | (526 | ) | — | — | — | (526 | ) | |||||||||||||
Other | (20 | ) | — | — | — | (20 | ) | |||||||||||||
Net transactions with the Parent | — | 2,337 | (2,017 | ) | (320 | ) | — | |||||||||||||
Balance, December 29, 2012 | $ | (20,592 | ) | $ | 40,603 | $ | (107,656 | ) | $ | 67,053 | $ | (20,592 | ) | |||||||
Net (loss) income | (40,618 | ) | (49,205 | ) | 14,343 | 34,862 | (40,618 | ) | ||||||||||||
Foreign currency translation adjustment, net of tax | (161 | ) | (161 | ) | — | 161 | (161 | ) | ||||||||||||
Unrealized income (loss) from pension plan, net of tax | 13,910 | 13,910 | — | (13,910 | ) | 13,910 | ||||||||||||||
Issuance of restricted stock, net of forfeitures | 6 | 6 | — | (6 | ) | 6 | ||||||||||||||
Issuance of performance shares | 6 | 6 | — | (6 | ) | 6 | ||||||||||||||
Issuance of stock related to the rights offering, net of expenses | 38,613 | — | — | — | 38,613 | |||||||||||||||
Compensation related to share-based grants | 6,117 | — | — | — | 6,117 | |||||||||||||||
Impact of net settled shares for vested grants | (3,193 | ) | — | — | — | (3,193 | ) | |||||||||||||
Excess tax benefits from share-based compensation arrangements | 16 | — | — | — | 16 | |||||||||||||||
Other | (2 | ) | — | — | — | (2 | ) | |||||||||||||
Net transactions with the Parent | — | 43,880 | (3,461 | ) | (40,419 | ) | — | |||||||||||||
Balance, January 4, 2014 | $ | (5,898 | ) | $ | 49,039 | $ | (96,774 | ) | $ | 47,735 | $ | (5,898 | ) |
77 |
78 |
(a) | (b) | (c) | ||||||||
Plan Category | Number of Securities to be Issued Upon Exercise of Outstanding Options, Warrants and Rights | Weighted-Average Exercise Price of Outstanding Options, Warrants and Rights | Number of Securities Remaining Available for Future Issuance Under Equity Compensation Plans (Excluding Securities Reflected in Column (a)) | |||||||
Equity compensation plans approved by security holders | 784,500 | $ 5.05 | 5,526,285 | |||||||
Equity compensation plans not approved by security holders | — | n/a | — | |||||||
Total | 784,500 | $ 5.05 | 5,526,285 |
79 |
Exhibit Number | Item | |
3.1 | Second Amended and Restated Certificate of Incorporation of BlueLinx (A) | |
3.2 | Amended and Restated By-Laws of BlueLinx(B) | |
4.1 | Registration Rights Agreement, dated as of May 7, 2004, by and among BlueLinx and the initial holders specified on the signature pages thereto(C) | |
4.2 | Letter Agreement, dated as of August 30, 2004, by and among BlueLinx, Cerberus ABP Investor LLC, Charles H. McElrea, George R. Judd, David J. Morris, James C. Herbig, Wayne E. Wiggleton and Steven C. Hardin(C) | |
4.3 | Investment Letter, dated March 10, 2004, between BlueLinx and Cerberus ABP Investor LLC, as Purchaser of Common Stock(D) | |
4.4 | Investment Letter, dated May 7, 2004, between BlueLinx and Cerberus ABP Investor LLC, as Purchaser of Common Stock(D) | |
4.5 | Executive Purchase Agreement dated May 7, 2004 by and among BlueLinx, Cerberus ABP Investor LLC and Charles H. McElrea(D) | |
4.6 | Executive Purchase Agreement dated May 7, 2004 by and among BlueLinx, Cerberus ABP Investor LLC and George R. Judd(D) | |
4.7 | Registration Rights Agreement, dated as of June 16, 2011 between BlueLinx Holdings Inc. and Stadium Capital Management, LLC (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on June 20, 2011) | |
10.1 | Asset Purchase Agreement, dated as of March 12, 2004, by and among Georgia-Pacific Corporation, Georgia-Pacific Building Materials Sales, Ltd. and BlueLinx Corporation(C) | |
10.2 | First Amendment to Asset Purchase Agreement, dated as of May 6, 2004, by and among Georgia-Pacific Corporation, Georgia-Pacific Building Materials Sales, Ltd. and BlueLinx Corporation(C) | |
10.3† | Master Purchase, Supply and Distribution Agreement, dated May 7, 2004 by and between BlueLinx Corporation and Georgia-Pacific(B) | |
10.4 | Form of Director and Officer Indemnification Agreement (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on January 13, 2011) |
80 |
Exhibit Number | Item |
10.5 | BlueLinx Holdings Inc. Amended and Restated Short-Term Incentive Plan (incorporated by reference to Attachment B to the Definitive Proxy Statement for the 2011 Annual Meeting of Stockholders, filed with the Securities and Exchange Commission on April 18, 2011) | |
10.6 | BlueLinx Holdings Inc. 2004 Long Term Equity Incentive Plan(C) | |
10.7 | BlueLinx Holdings Inc. 2004 Long-Term Equity Incentive Plan Form of Restricted Stock Award Agreement (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on January 11, 2008) | |
10.8 | BlueLinx Holdings Inc. 2006 Long-Term Equity Incentive Plan (as amended and restated effective May 21, 2008) (incorporated by reference to Appendix A to the Definitive Proxy Statement for the 2011 Annual Meeting of Stockholders, filed with the Securities and Exchange Commission on April 18, 2011) | |
10.9 | Amended and Restated Bluelinx Holdings Inc. 2006 Long-Term Equity Incentive Plan (as amended through May 17, 2012 and restated solely for purposes of filing pursuant to Item 601 of Regulation S-K) (Incorporated by reference to Appendix A to the Definitive Proxy Statement for the 2012 Annual Meeting of Stockholders, filed with the Securities and Exchange Commission on April 16, 2012) | |
10.10 | BlueLinx Holdings Inc. 2006 Long-Term Equity Incentive Plan Restricted Stock Award Agreement (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on June 9, 2006) | |
10.11 | BlueLinx Holdings Inc. 2006 Long-Term Equity Incentive Plan Nonqualified Stock Option Award Agreement (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on June 9, 2006) | |
10.12 | BlueLinx Holdings Inc. 2006 Long-Term Equity Incentive Plan Form of Performance Share Award Agreement (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on January 4, 2013) | |
10.13 | BlueLinx Holdings Inc. Short-Term Incentive Plan (as amended and restated effective January 1, 2011) (Incorporated by reference to Appendix B to the Definitive Proxy Statement for the 2011 Annual Meeting of Stockholders, filed with the Securities and Exchange Commission on April 18, 2011) | |
10.14 | Canadian Credit Agreement, dated August 12, 2011, by and among Bluelinx Canada, CIBC Asset-Based Lending Inc. and the lenders from time to time parties thereto (Incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on August 16, 2 011) | |
10.15 | Letter Agreement, dated December 18, 2006, relating to and amending the Master Purchase, Supply and Distribution Agreement between Georgia-Pacific Corporation and BlueLinx Corporation dated May 7, 2004 (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on December 22, 2006) | |
10.16† | Loan and Security Agreement, dated as of June 9, 2006, between the entities set forth therein collectively as borrower and German American Capital Corporation as Lender (incorporated by reference to Form 10-Q filed with the Securities and Exchange Commission on November 6, 2009) | |
10.17 | Twelfth Amendment to Loan and Security Agreement, dated as of June 9, 2006, between the entities set forth therein collectively as borrower and German American Capital Corporation as Lender (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on September 20, 2012) | |
10.18 | Guaranty of Recourse Obligations, dated as of June 9, 2006, by BlueLinx Holdings Inc. for the benefit of German American Capital Corporation (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on June 15, 2006) | |
10.19 | Environmental Indemnity Agreement, dated as of June 9, 2006, by BlueLinx Holdings Inc. in favor of German American Capital Corporation (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on June 15, 2006) |
81 |
Exhibit Number | Item |
10.20† | Amended and Restated Loan and Security Agreement, dated August 4, 2006, by and between BlueLinx Corporation, Wachovia and the other signatories listed therein (incorporated by reference to Form 10-Q filed with the Securities and Exchange Commission on November 6, 2009) | |
10.21 | Second Amendment to Amended and Restated Loan and Security Agreement, dated August 4, 2006, by and between BlueLinx Corporation, Wachovia and the other signatories listed therein, dated October 22, 2008 (incorporated by reference to Exhibit 10.19 to Annual Report on Form 10-K for the year ended January 1, 2011, filed with the Securities and Exchange Commission on February 25, 2011) | |
10.22 | Second Amendment to Amended and Restated Loan and Security Agreement, dated August 4, 2006, by and between BlueLinx Corporation, Wells Fargo, as successor in interest to Wachovia, and the other signatories listed therein, dated July 7, 2010 (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on July 7, 2010) | |
10.23 | Third Amendment to Amended and Restated Loan and Security Agreement, dated August 4, 2006, by and between BlueLinx Corporation, Wells Fargo, as successor in interest to Wachovia, and the other signatories listed therein, dated May 10, 2011(incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on May 12, 2011) | |
10.24 | Fourth Amendment to Amended and Restated Loan and Security Agreement, dated August 4, 2006, by and between BlueLinx Corporation, Wells Fargo, as successor in interest to Wachovia, and the other signatories listed therein, dated August 11, 2011 (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on August 16, 2011) | |
10.25 | Fifth Amendment to Loan and Security Agreement, dated July 14, 2011, by and between BlueLinx Corporation and certain of its subsidiaries and U.S. Bank National Association in its capacity as trustee for the registered holders of Wachovia Bank Commercial Mortgage Trust, Commercial Mortgage Pass Through Certificates, Series 2006-C 27, as successor in interest to German American Capital Corporation (Incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on July 14, 2011) | |
10.26 | Second Amended and Restated Employment Agreement between BlueLinx Corporation and George R. Judd, dated January 22, 2013, (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on January 28, 2013) | |
10.27 | Second Amended and Restated Employment Agreement between BlueLinx Corporation and Howard D. Goforth, dated January 22, 2013 (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on January 28, 2013) | |
10.28 | Amended and Restated Employment Agreement between BlueLinx Corporation and Dean A. Adelman, dated January 21, 2011 (incorporated by reference to Form 8-K/A filed with the Securities and Exchange Commission on January 27, 2011) | |
10.29 | Employment Agreement between BlueLinx Corporation and Ned M. Bassil, dated October 31, 2011 (Incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on November 4, 2011) | |
10.30 | Investment Agreement, dated as of April 26, 2011, between BlueLinx and Cerberus ABP Investor LLC (incorporated by reference to Form 8-K, filed with the Securities and Exchange Commission on April 26, 2011) | |
10.31 | Amended and Restated 2006 Long-Term Equity Incentive Plan Performance Share Award Agreement, dated January 2013 (incorporated by reference to Form8-K filed with the Securities and Exchange Commission on January 4, 2013). |
82 |
Exhibit Number | Item |
10.32 | Second Amended and Restated Employment Agreement between BlueLinx Corporation and George R. Judd, dated January 22, 2013 (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on January 28, 2013). | |
10.33 | Second Amended and Restated Employment Agreement between BlueLinx Corporation and Doug Goforth , dated January 22, 2013 (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on January 28, 2013). | |
10.34 | Fifth Amendment to Amended and Restated Loan and Security Agreement and Lender Joinder , dated March 29, 2013 (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on March 29, 2013). | |
10.35 | Employment Agreement between BlueLinx Corporation and Sara Epstein , dated May 15, 2013 (incorporated by reference to Form 8-Kfiled with the Securities and Exchange Commission on May 17, 2013). | |
10.36 | Employment Agreement between BlueLinx Corporation and James Soggs , dated May 15, 2013 (incorporated by reference to Form 8-Kfiled with the Securities and Exchange Commission on May 17, 2013). | |
10.37 | Separation Agreement between George Judd and BlueLinx Corporation , dated June 5, 2013 (incorporated by reference to Form 8-Kfiled with the Securities and Exchange Commission on June 11, 2013). | |
10.38 | Sixth Amendment to Amended and Restated Loan and Security Agreement by and among Wells Fargo Bank, National Association, a national banking association, in its capacity as administrative and collateral agent for the Lenders (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on June 28, 2013). | |
10.39 | Lender Joinder Agreement by and between PNC Bank, National Association and BlueLinx Corporation , dated June 28, 2013 (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on June 28, 2013). | |
10.40 | First Amending Agreement among BlueLinx Corporation and Canadian Imperial Bank of Commerce as successor to CIBC Asset-Based Lending Inc., dated August 16, 2013 (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on August 19, 2013). | |
10.41 | BlueLinx Holding Inc. Second Half Incentive Plan, effective as of June 30, 2013 (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on August 23, 2013). | |
10.42 | Third Amended and Restated Employment Agreement , dated December 9, 2013 between BlueLinx Corporation and Robert McKagen (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on December 13, 2013). | |
10.43 | Amendment No. 1 to BlueLinx Holdings Inc. Amended and Restated 2006 Long-Term Equity Incentive Plan Performance Share Award Agreement (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on January 3, 2014). | |
10.4 4 | Release Agreement by and between Ned M. Bassil and BlueLinx Corporation, dated December 30, 2013 (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on January 3, 2014). | |
10.45 | Employment Agreement between BlueLinx Corporation and Mitchell Lewis, dated January 15, 2014 (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on January 17, 2014). | |
10.46 | BlueLinx Holdings Inc. Amended and Restated 2006 Long-Term Equity Incentive Plan Restricted Stock Award Agreement (incorporated by reference to Form 8-K filed with the Securities and Exchange Commission on January 17, 2014). | |
14.1 | BlueLinx Code of Ethical Conduct (incorporated by reference to Exhibit 14.1 to Annual Report on Form 10-K for the year ended January 1, 2005, filed with the Securities and Exchange Commission on March 22, 2005) . | |
21.1 | List of subsidiaries of the Company * | |
23.1 | Consent of Ernst & Young LLP* | |
31.1 | Certification of Mitchell B. Lewis, Chief Executive Officer, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002* | |
31.2 | Certification of Howard D. Goforth, Chief Financial Officer and Treasurer, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002* | |
32.1 | Certification of Mitchell B. Lewis, Chief Executive Officer, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002* | |
32.2 | Certification of Howard D. Goforth, Chief Financial Officer and Treasurer, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002* |
83 |
Exhibit Number | Item |
101 | The following financial information from the Registrant’s Annual Report on Form 10-K for the fiscal year ended January 4, 2014, formatted in Extensible Business Reporting Language (“XBRL”): (i) Consolidated Statements of Operations and Comprehensive Loss, (ii) Consolidated Balance Sheets, (iii) Consolidated Statements of Stockholders’ (Deficit) Equity, (iv) Consolidated Statements of Cash Flows and (v) Notes to Consolidated Financial Statements.** |
* | Filed herewith. |
** | Pursuant to Rule 406T of Regulation S-T, these interactive data files are deemed not to be “filed” or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, or Section 18 of the Securities Act of 1934, as amended, and otherwise are not subject to liability under these sections. |
† | Portions of this document were omitted and filed separately with the SEC pursuant to a request for confidential treatment in accordance with Rule 24b-2 of the Exchange Act. |
(A) | Previously filed as Appendix B to the proxy statement for the 2012 Annual Meeting of Stockholders filed on Schedule 14A with the Securities and Exchange Commission on April 16, 2012. |
(B) | Previously filed as an exhibit to Amendment No. 3 to the Company’s Registration Statement on Form S-1 (Reg. No. 333-118750) filed with the Securities and Exchange Commission on November 26, 2004. |
(C) | Previously filed as an exhibit to Amendment No. 1 to the Company’s Registration Statement on Form S-1 (Reg. No. 333-118750) filed with the Securities and Exchange Commission on October 1, 2004. |
(D) | Previously filed as an exhibit to Amendment No. 2 to the Company’s Registration Statement on Form S-1 (Reg. No. 333-118750) filed with the Securities and Exchange Commission on October 8, 2004. |
84 |