Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Apr. 05, 2014 | 8-May-14 | |
Document and Entity Information [Abstract] | ' | ' |
Entity Registrant Name | 'BlueLinx Holdings Inc. | ' |
Entity Central Index Key | '0001301787 | ' |
Trading Symbol | 'bxc | ' |
Current Fiscal Year End Date | '--01-03 | ' |
Entity Filer Category | 'Non-accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 87,711,516 |
Document Type | '10-Q | ' |
Document Period End Date | 5-Apr-14 | ' |
Amendment Flag | 'false | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (unaudited) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Apr. 05, 2014 | Mar. 30, 2013 |
Consolidated Statements Of Operations and Comprehensive Loss [Abstract] | ' | ' |
Net sales | $443,944 | $503,153 |
Cost of sales | 391,268 | 446,695 |
Gross profit | 52,676 | 56,458 |
Operating expenses: | ' | ' |
Selling, general, and administrative | 51,987 | 59,419 |
Depreciation and amortization | 2,352 | 2,173 |
Total operating expenses | 54,339 | 61,592 |
Operating loss | -1,663 | -5,134 |
Non-operating expenses: | ' | ' |
Interest expense | 6,454 | 7,192 |
Other expense, net | 160 | 110 |
Loss before provision for income taxes | -8,277 | -12,436 |
Provision for income taxes | 331 | 213 |
Net loss | -8,608 | -12,649 |
Basic and diluted weighted average number of common shares outstanding (in shares) | 85,187 | 66,714 |
Basic and diluted net loss per share applicable to common stock (in dollars per share) | ($0.10) | ($0.19) |
Comprehensive loss: | ' | ' |
Net loss | -8,608 | -12,649 |
Other comprehensive income (loss): | ' | ' |
Unrealized gain from pension plan, net of taxes | 115 | 718 |
Foreign currency translation | -231 | -109 |
Total other comprehensive (loss) income | -116 | 609 |
Comprehensive loss | ($8,724) | ($12,040) |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Apr. 05, 2014 | Jan. 04, 2014 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $7,579 | $5,034 |
Receivables, net | 190,766 | 150,297 |
Inventories, net | 261,006 | 223,580 |
Other current assets | 25,756 | 22,814 |
Total current assets | 485,107 | 401,725 |
Property, plant, and equipment: | ' | ' |
Land and land improvements | 41,182 | 41,176 |
Buildings | 90,172 | 90,082 |
Machinery and equipment | 76,672 | 73,004 |
Construction in progress | 760 | 3,028 |
Property, plant, and equipment, at cost | 208,786 | 207,290 |
Accumulated depreciation | -98,344 | -96,171 |
Property, plant, and equipment, net | 110,442 | 111,119 |
Non-current deferred income tax assets, net | 824 | 824 |
Other non-current assets | 15,443 | 16,578 |
Total assets | 611,816 | 530,246 |
Current liabilities: | ' | ' |
Accounts payable | 98,008 | 60,363 |
Bank overdrafts | 21,516 | 19,377 |
Accrued compensation | 5,510 | 4,173 |
Current maturities of long-term debt | 38,078 | 9,141 |
Deferred income taxes, net | 823 | 823 |
Other current liabilities | 12,414 | 12,949 |
Total current liabilities | 176,349 | 106,826 |
Non-current liabilities: | ' | ' |
Long-term debt | 409,294 | 388,995 |
Other non-current liabilities | 40,559 | 40,323 |
Total liabilities | 626,202 | 536,144 |
Stockholders' Deficit: | ' | ' |
Common Stock, $0.01 par value, 200,000,000 shares authorized at April 5, 2014 and January 4, 2014; 87,602,613 and 86,545,000 shares issued at April 5, 2014 and January 4, 2014, respectively. | 877 | 866 |
Additional paid-in capital | 251,374 | 251,150 |
Accumulated other comprehensive loss | -16,409 | -16,293 |
Accumulated deficit | -250,228 | -241,621 |
Total stockholders' deficit | -14,386 | -5,898 |
Total liabilities and stockholders' deficit | $611,816 | $530,246 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parentheticals) (USD $) | Apr. 05, 2014 | Jan. 04, 2014 |
Consolidated Balance Sheets [Abstract] | ' | ' |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 87,602,613 | 86,545,000 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Apr. 05, 2014 | Mar. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net loss | ($8,608) | ($12,649) |
Adjustments to reconcile net loss to net cash used in operations: | ' | ' |
Depreciation and amortization | 2,352 | 2,173 |
Amortization of debt issuance costs | 744 | 946 |
Write-off of debt issuance costs | ' | 119 |
Gain from sale of property | -210 | -238 |
Restructuring payments | -603 | ' |
Intraperiod income tax allocation related to hourly pension plan | -76 | ' |
Pension expense | 225 | 1,148 |
Share-based compensation expense | 690 | 824 |
Increase in restricted cash related to insurance and other | -1,285 | -361 |
Other | 808 | -894 |
Adjustments to reconcile net loss to cash used in operations, Total | -5,963 | -8,932 |
Changes in primary working capital components: | ' | ' |
Receivables | -40,469 | -61,396 |
Inventories | -37,426 | -89,595 |
Accounts payable | 37,743 | 64,084 |
Net cash used in operating activities | -46,115 | -95,839 |
Cash flows from investing activities: | ' | ' |
Property, plant and equipment investments | -775 | -955 |
Proceeds from disposition of assets | 283 | 195 |
Net cash used in investing activities | -492 | -760 |
Cash flows from financing activities: | ' | ' |
Excess tax benefits from share-based compensation arrangements | ' | 16 |
Repurchase of shares to satisfy employee tax withholdings | -456 | -1,206 |
Repayments on the revolving credit facilities | -99,146 | -128,836 |
Borrowings from the revolving credit facilities | 149,191 | 199,828 |
Payments of principal on mortgage | -809 | -646 |
Payments on capital lease obligations | -570 | -384 |
Increase (decrease) in bank overdrafts | 2,139 | -6,298 |
Increase in restricted cash related to the mortgage | -1,024 | -2,955 |
Debt issuance costs | -75 | -2,715 |
Proceeds from stock offering, less expenses paid | -98 | 39,892 |
Net cash provided by financing activities | 49,152 | 96,696 |
Increase in cash | 2,545 | 97 |
Balance, beginning of period | 5,034 | 5,188 |
Balance, end of period | 7,579 | 5,285 |
Noncash transactions: | ' | ' |
Capital leases | $983 | ' |
Basis_of_Presentation_and_Back
Basis of Presentation and Background | 3 Months Ended |
Apr. 05, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Basis of Presentation and Background | ' |
1. Basis of Presentation and Background | |
Basis of Presentation | |
BlueLinx Holdings Inc. has prepared the accompanying Unaudited Consolidated Financial Statements, including its accounts and the accounts of its wholly-owned subsidiaries, in accordance with the instructions to Form 10-Q, and therefore they do not include all of the information and notes required by United States generally accepted accounting principles (“GAAP”). These interim financial statements should be read in conjunction with the financial statements and accompanying notes included in our Annual Report on Form 10-K for the year ended January 4, 2014, as filed with the Securities and Exchange Commission (“SEC”). Fiscal 2014 contains 52 weeks and fiscal 2013 contained 53 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. BlueLinx Corporation is the wholly-owned operating subsidiary of BlueLinx Holdings Inc. and is referred to herein as the “operating subsidiary” when necessary. | |
We believe the accompanying Unaudited Consolidated Financial Statements reflect all adjustments, consisting only of normal recurring adjustments and other nonrecurring adjustments disclosed in the subsequent notes to the consolidated financial statements, necessary for a fair presentation of our financial position, results of operations and cash flows for the periods presented. The preparation of the consolidated financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the amounts reported in the Unaudited Consolidated Financial Statements and accompanying notes. Actual results could differ from those estimates and such differences could be material. In addition, the operating results for interim periods may not be indicative of the results of operations for a full year. We are exposed to fluctuations in quarterly sales volumes and expenses due to seasonal factors, with the second and third quarters typically accounting for the highest sales volumes. These seasonal factors are common in the building products distribution industry. | |
We are a leading distributor of building products in North America with approximately 1,700 employees. We offer approximately 10,000 products from over 750 suppliers to service more than 11,500 customers nationwide, including dealers, industrial manufacturers, manufactured housing producers and home improvement retailers. We operate our distribution business from sales centers in Atlanta and Denver, and our current network of approximately 50 distribution centers. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 3 Months Ended | ||||||||
Apr. 05, 2014 | |||||||||
Summary Of Significant Accounting Policies [Abstract] | ' | ||||||||
Summary of Significant Accounting Policies | ' | ||||||||
2. Summary of Significant Accounting Policies | |||||||||
Revenue Recognition | |||||||||
We recognize revenue when the following criteria are met: persuasive evidence of an agreement exists, delivery has occurred or services have been rendered, our price to the buyer is fixed and determinable and collectability is reasonably assured. Delivery is not considered to have occurred until the customer takes title and assumes the risks and rewards of ownership. The timing of revenue recognition is largely dependent on shipping terms. For sales transactions designated as FOB (free on board) shipping point, revenue is recorded at the time of shipment. For sales transactions designated FOB destination, revenue is recorded when the product is delivered to the customer’s delivery site. | |||||||||
All revenues are recorded gross. The key indicators used to determine when and how revenue is recorded are as follows: | |||||||||
● | 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, 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. | ||||||||
In addition, we provide inventory to certain customers through pre-arranged agreements on a consignment basis. Customer consigned inventory is maintained and stored by certain customers; however, ownership and risk of loss remain with us. When the inventory is sold by the customer, we recognize revenue on a gross basis. Customer consigned inventory at April 5, 2014 and January 4, 2014 was approximately $11.8 million and $10.1 million, respectively. | |||||||||
All revenues are recorded after trade allowances, cash discounts and sales returns are deducted. Cash discounts and sales returns are estimated using historical experience. Trade allowances are based on the estimated obligations and historical experience. | |||||||||
Cash and Cash Equivalents | |||||||||
Cash and cash equivalents include all highly liquid investments with maturity dates of less than three months when purchased. | |||||||||
Restricted Cash | |||||||||
We had restricted cash of $14.0 million and $11.7 million at April 5, 2014 and January 4, 2014, respectively. Restricted cash primarily includes amounts held in escrow related to our mortgage and insurance for workers’ compensation, auto liability, and general liability. Restricted cash is included in “Other current assets” and “Other non-current assets” on the accompanying Consolidated Balance Sheets. | |||||||||
The table below provides the balances of each individual component in restricted cash as of April 5, 2014 and January 4, 2014 (in thousands): | |||||||||
April 5, | January 4, | ||||||||
2014 | 2014 | ||||||||
Cash in escrow: | |||||||||
Mortgage | $ | 1,024 | $ | — | |||||
Insurance | 7,924 | 7,921 | |||||||
Other (primarily real estate related) | 5,042 | 3,760 | |||||||
Total | $ | 13,990 | $ | 11,681 | |||||
Allowance for Doubtful Accounts and Related Reserves | |||||||||
We evaluate the collectability of accounts receivable based on numerous factors, including past transaction history with customers and their creditworthiness. We maintain an allowance for doubtful accounts for each aging category on our aged trial balance, which is aged utilizing contractual terms, based on our historical loss experience. This estimate is periodically adjusted when we become aware of specific customers’ potential inability to meet their financial obligations (e.g., bankruptcy filing or other evidence of liquidity problems). As we determine that specific balances ultimately will be uncollectible, we remove them from our aged trial balance. Additionally, we maintain reserves for cash discounts that we expect customers to earn as well as expected returns. At April 5, 2014 and January 4, 2014, these reserves totaled $4.6 million and $4.4 million, respectively. | |||||||||
Inventory Valuation | |||||||||
Inventories are carried at the lower of cost or market. The cost of all inventories is determined by the moving average cost method. We have included all material charges directly or indirectly incurred in bringing inventory to its existing condition and location. We evaluate our inventory value at the end of each quarter to ensure that first quality, actively moving inventory, when viewed by category, is carried at the lower of cost or market. At April 5, 2014 and January 4, 2014, the market value of our inventory exceeded its cost. | |||||||||
Additionally, we maintain a reserve for the estimated value impairment associated with damaged, excess and obsolete inventory. The damaged, excess and obsolete reserve generally includes discontinued items or inventory that has turn days in excess of 270 days, excluding new items during their product launch. At April 5, 2014 and January 4, 2014, our damaged, excess and obsolete inventory reserves were $1.8 million. During the second quarter of fiscal 2013, approximately $1.0 million was recorded in “Cost of sales” in the Consolidated Statements of Operations and Comprehensive Loss for damaged, excess and obsolete inventory related to the closure of five distribution centers. There was less than $0.1 million of this reserve remaining as of April 5, 2014 and $0.3 million of this reserve remaining as of January 4, 2014. We discuss the closure or ceasing of operations of these distribution centers, which is included in our 2013 restructuring plan (the “2013 restructuring”), further in “Note 3 – Restructuring Charges”. | |||||||||
Consignment Inventory | |||||||||
We enter into consignment inventory agreements with our vendors. This vendor consignment inventory relationship allows us to obtain and store vendor inventory at our warehouses and reload facilities; however, ownership and risk of loss generally remains with the vendor. When the inventory is sold, we are required to pay the vendor, and we simultaneously take and transfer ownership from the vendor to the customer. | |||||||||
Consideration Received from Vendors and Consideration Paid to Customers | |||||||||
Each year, we enter into agreements with many of our vendors providing for inventory purchase rebates, generally based on the achievement of specified volume purchasing levels. We also receive rebates related to price protection and various marketing allowances that are common industry practice. We accrue for the receipt of vendor rebates based on purchases, and also reduce inventory value to reflect the net acquisition cost (purchase price less expected purchase rebates). At April 5, 2014 and January 4, 2014, the vendor rebate receivable totaled $5.9 million and $7.6 million, respectively. | |||||||||
In addition, we enter into agreements with many of our customers to offer customer rebates, generally based on achievement of specified volume sales levels and various marketing allowances that are common industry practice. We accrue for the payment of customer rebates based on sales to the customer, and also reduce sales value to reflect the net sales (sales price less expected customer rebates). At April 5, 2014 and January 4, 2014, the customer rebate payable totaled $2.7 million and $6.3 million, respectively. | |||||||||
Loss per Common Share | |||||||||
We calculate our basic loss per share by dividing net loss by the weighted average number of common shares and participating securities outstanding for the period. Restricted stock granted by us to certain of our officers, directors, and certain other employees participate in dividends on the same basis as common shares and are non-forfeitable by the holder. The unvested restricted stock contains non-forfeitable rights to dividends or dividend equivalents. As a result, these share-based awards meet the definition of a participating security and are included in the weighted average number of common shares outstanding, pursuant to the two-class method, for the periods that present net income. The two-class method is an earnings allocation formula that treats a participating security as having rights to earnings that would otherwise have been available to common stockholders. | |||||||||
Given that the restricted stockholders do not have a contractual obligation to participate in the losses and the inclusion of such unvested restricted shares in our basic and dilutive per share calculations would be anti-dilutive, we have not included these amounts in our weighted average number of common shares outstanding for periods in which we report a net loss. Therefore, we have not included 2,265,072 and 2,892,936 of unvested shares of restricted stock that had the right to participate in dividends in our basic and dilutive calculations for the first quarter of fiscal 2014 and the first quarter of fiscal 2013, respectively. | |||||||||
Except when the effect would be anti-dilutive, the diluted earnings per share calculation includes the dilutive effect of the assumed exercise of stock options and performance shares using the treasury stock method. There were no grants of performance shares during the first quarter of fiscal 2014. During the first quarter of fiscal 2013, we granted 1,872,852 performance shares under our 2006 Long-Term Equity Incentive Plan (the “2006 Plan”) in which shares are issuable upon satisfaction of certain performance criteria. As of April 5, 2014 and March 30, 2013, we assumed that 1,699,233 and 1,749,815, respectively, of the performance shares will vest, net of forfeitures and vesting, as of first quarter fiscal 2014 and first quarter fiscal 2013. We are assuming that all but 311,653 of these performance shares outstanding as of April 5, 2014 will vest based on our assumption that meeting the performance criteria is probable. The remaining 311,653 performance shares outstanding as of April 5, 2014 will vest in the second quarter of fiscal 2014 due to the completion of the vesting term and the Compensation Committee’s discretionary decision on December 30, 2013 to waive the performance criteria due to the significant restructuring activities undertaken by the Company during the vesting period and vest these performance shares regardless of satisfaction of the performance criteria. The performance shares are not considered participating shares under the two-class method because they do not receive any non-transferable rights to dividends. The performance shares we assumed will vest were not included in the computation of diluted earnings per share calculation because they were antidilutive. | |||||||||
Except when the effect would be anti-dilutive, the diluted earnings per share calculation includes the dilutive effect of the assumed exercise of stock options and performance shares using the treasury stock method. As we experienced losses in all periods, basic and diluted loss per share are computed by dividing net loss by the weighted average number of common shares outstanding for the period. For the first quarter of fiscal 2014 we excluded 4,748,805 of unvested share-based awards, which includes excluding the assumed exercise of 784,500 unexpired stock options and 1,699,233 performance shares unvested share-based awards, from the diluted earnings per share calculation because they were anti-dilutive. For the first quarter of fiscal 2013, we excluded 5,512,898 of unvested share-based awards, which includes excluding the assumed exercise of 870,147 unexpired stock options and 1,749,815 performance shares, from the diluted earnings per share calculation because they were anti-dilutive. | |||||||||
Share-Based Compensation | |||||||||
We have two stock-based compensation plans covering officers, directors, certain employees and consultants: the 2004 Equity Incentive Plan (the “2004 Plan”) and the 2006 Plan. The plans are designed to motivate and retain individuals who are responsible for the attainment of our primary long-term performance goals. The plans provide a means whereby our employees and directors develop a sense of proprietorship and personal involvement in our development and financial success and encourage them to devote their best efforts to our business. Although we do not have a formal policy on the matter, we issue new shares of our common stock to participants upon the exercise of options, upon the granting of restricted stock or upon the vesting of performance shares, out of the total amount of common shares authorized for issuance under either the 2004 Plan or the 2006 Plan. During the first quarter of fiscal 2014, the Compensation Committee granted 1,114,311 restricted shares of our common stock to certain of our officers, directors, and certain other employees. Restricted shares of 287,616 vested in the first quarter of fiscal 2014 due to the completion of the vesting term. Performance shares of 386,541 vested in the first quarter of fiscal 2014 due to the completion of the vesting term and the Compensation Committee’s discretionary decision on December 30, 2013 to waive the performance criteria due to the significant restructuring activities undertaken by the Company during the vesting period and vest these performance shares regardless of satisfaction of the performance criteria. | |||||||||
We recognize compensation expense equal to the grant-date fair value for all share-based payment awards that are expected to vest. This expense is recorded on a straight-line basis over the requisite service period of the entire award, unless the awards are subject to market or performance conditions, in which case we recognize compensation expense over the requisite service period of each separate vesting tranche to the extent the occurrence of such conditions are probable. All compensation expense related to our share-based payment awards is recorded in “Selling, general, and administrative” expense in the Consolidated Statements of Operations and Comprehensive Loss. For the first quarter of fiscal 2014 and for the first quarter of fiscal 2013, our total share-based compensation expense was $0.7 million and $0.8 million, respectively. | |||||||||
Income Taxes | |||||||||
Deferred income taxes are provided using the liability method. Accordingly, deferred income taxes are recognized for differences between the income tax and financial reporting bases of our assets and liabilities based on enacted tax laws and tax rates applicable to the periods in which the differences are expected to affect taxable income. We recognize a valuation allowance, when based on the weight of all available evidence, we believe it is more likely than not that our deferred tax assets will not be realized. In evaluating our ability to recover our deferred income tax assets, we considered available positive and negative evidence, including our past operating results, our ability to carryback losses against prior taxable income, the existence of cumulative losses in the most recent years, our forecast of future taxable income and an excess of appreciated assets over the tax basis of our net assets. In estimating future taxable income, we developed assumptions including the amount of future state and federal pretax operating and non-operating income, the reversal of temporary differences and the implementation of feasible and prudent tax planning strategies. These assumptions required significant judgment about the forecasts of future taxable income. We considered all of the available positive and negative evidence during the first quarter of fiscal 2014, and based on the weight of available evidence, we recorded an additional deferred tax asset and valuation allowance of $3.2 million relating to our current period net operating losses, which resulted in a total net deferred tax asset of $91.5 million with a valuation allowance of a corresponding amount as of April 5, 2014. As of January 4, 2014, our total net deferred tax asset was $88.3 million with a valuation allowance of a corresponding amount. | |||||||||
If the realization of deferred tax assets in the future is considered more likely than not, a reduction to the valuation allowance related to the deferred tax assets would increase net income in the period such determination is made. The amount of the deferred tax asset considered realizable is based on significant estimates, and it is possible that changes in these estimates could materially affect the financial condition and results of operations. Our effective tax rate may vary from period to period based on changes in estimated taxable income or loss; changes to the valuation allowance; changes to federal or state tax laws; and as a result of acquisitions. | |||||||||
We generally believe that the positions taken on previously filed tax returns are more likely than not to be sustained by the taxing authorities. We have recorded income tax and related interest liabilities where we believe our position may not be sustained. Such amounts are disclosed in Note 5 in our Annual Report on Form 10-K for the year-ended January 4, 2014. There have been no material changes to our tax positions during the first quarter of fiscal 2014. | |||||||||
Impairment of Long-Lived Assets | |||||||||
We consider whether there are indicators of potential impairment of long-lived assets, primarily property, plant, and equipment, on a quarterly basis. Indicators of impairment include current period losses combined with a history of losses, management’s decision to exit a facility, reductions in the fair market value of real properties and changes in other circumstances that indicate the carrying amount of an asset may not be recoverable. | |||||||||
Our evaluation of long-lived assets is performed at the lowest level of identifiable cash flows, which is generally the individual distribution facility. In the event of indicators of impairment, the assets of the distribution facility are evaluated by comparing the facility’s undiscounted cash flows over the estimated useful life of the asset, which ranges between 5-40 years, to its carrying amount. If the carrying amount is greater than the undiscounted cash flows, an impairment loss is recognized for the difference between the carrying amount of the asset and the estimated fair market value. Impairment losses are recorded as a component of “Selling, general, and administrative” expenses in the Consolidated Statements of Operations and Comprehensive Loss. | |||||||||
Our estimate of undiscounted cash flows is subject to assumptions that affect estimated operating income at a distribution facility level. These assumptions are related to future sales, margin growth rates, economic conditions, market competition and inflation. In the event that undiscounted cash flows do not exceed the carrying amount of a facility, our estimates of fair market value are generally based on market appraisals and our experience with related market transactions. We use a two year average of cash flows based on 2013 EBITDA and 2014 projected EBITDA, which includes a growth factor assumption, to estimate undiscounted cash flows. In our impairment analysis we use level 3 measurement assumptions in the fair value hierarchy. We define the measurement assumptions in Note 13 of the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended January 4, 2014. | |||||||||
No impairment indicators appear to be present that would result in material reductions to our January 4, 2014 projected undiscounted cash flows, which exceeded our carrying amount in all cases during the performance of our January 4, 2014 impairment analysis. | |||||||||
Self-Insurance | |||||||||
It is our policy to self-insure, up to certain limits, traditional risks including workers’ compensation, comprehensive general liability, and auto liability. Our self-insured deductible for each claim involving workers’ compensation and auto liability is limited to $0.8 million and $2.0 million, respectively. Our self-insured retention for each claim involving comprehensive general liability (including product liability claims) is limited to $0.8 million. We are also self-insured up to certain limits for certain other insurable risks, primarily physical loss to property ($0.1 million per occurrence) and the majority of our medical benefit plans ($0.3 million per occurrence). Insurance coverage is maintained for catastrophic property and casualty exposures as well as those risks required to be insured by law or contract. A provision for claims under this self-insured program, based on our estimate of the aggregate liability for claims incurred, is revised annually. The estimate is derived from both internal and external sources including but not limited to actuarial estimates. The actuarial estimates are subject to uncertainty from various sources, including, among others, changes in claim reporting patterns, claim settlement patterns, judicial decisions, legislation, and economic conditions. Although we believe that the actuarial estimates are reasonable, significant differences related to the items noted above could materially affect our self-insurance obligations, future expense and cash flow. At April 5, 2014 and January 4, 2014, the self-insurance reserves totaled $7.0 million and $6.9 million, respectively. | |||||||||
New Accounting Standards | |||||||||
In the third quarter of fiscal 2013, the Financial Accounting Standards Board (the “FASB”) issued an amendment to previously issued guidance which requires entities to present unrecognized tax benefits as a decrease in a net operating loss, a similar tax loss or a tax credit carryforward, if certain criteria are met. The determination of whether a deferred tax asset is available is based on the unrecognized tax benefit and the deferred tax asset that exists at the reporting date and presumes disallowance of the tax position at the reporting date. The amendment, which did not materially impact our financial statements, is effective for public companies in fiscal years, and interim periods within those years, beginning after December 15, 2013. We have adopted this guidance during the first quarter of fiscal 2014. | |||||||||
There were no other accounting pronouncements adopted during the first quarter of fiscal 2014 that had a material impact on our financial statements. | |||||||||
Reclassifications | |||||||||
During the first quarter of fiscal 2014, we have broken out certain amounts, which had historically been presented as “Other” changes in the “Cash flows from operating activities” to conform the historical presentation to the current and future presentation. |
Restructuring_Charges
Restructuring Charges | 3 Months Ended | ||||||||||||
Apr. 05, 2014 | |||||||||||||
Restructuring Charges [Abstract] | ' | ||||||||||||
Restructuring Charges | ' | ||||||||||||
3. Restructuring Charges | |||||||||||||
We account for exit and disposal costs by recognizing a liability for costs associated with an exit or disposal activity at fair value in the period in which it is incurred or when the entity ceases using the right conveyed by a contract (i.e., the right to use a leased property). We account for severance and outplacement costs by recognizing a liability for employees’ rights to post-employment benefits when management has committed to a plan, due to the existence of a post employment benefit agreement. These costs are included in “Selling, general, and administrative” expenses in the Consolidated Statements of Operations and Comprehensive Loss for the first quarter of fiscal 2014 and the first quarter of fiscal 2013, and in “Accrued compensation” on the Consolidated Balance Sheets at April 5, 2014 and January 4, 2014. | |||||||||||||
2013 Facility Lease Obligation and Severance Costs | |||||||||||||
During the second quarter of fiscal 2013, we announced the 2013 restructuring which included the realignment of headquarters resources and the strategic review of our distribution centers. This review resulted in the Company designating five distribution centers to be sold or closed. These distribution centers were closed or ceased operations during the third quarter of fiscal 2013. During the second quarter of fiscal 2013, we also announced that George R. Judd no longer would serve as President and Chief Executive Officer of the Company (the “change in executive leadership”). | |||||||||||||
The table below summarizes the balance of reduction in force activities and the related accrued facility lease obligation reserve and the changes in the accrual for the first quarter of fiscal 2014 (in thousands): | |||||||||||||
Reduction in | Facility Lease | Total | |||||||||||
Force | Obligation | ||||||||||||
Activities | |||||||||||||
Balance at January 4, 2014 | $ | 2,550 | $ | 928 | $ | 3,478 | |||||||
Charges | — | — | — | ||||||||||
Assumption changes | (29 | ) | 2 | (27 | ) | ||||||||
Payments | (500 | ) | (103 | ) | (603 | ) | |||||||
Accretion of liability | — | 8 | 8 | ||||||||||
Balance at April 5, 2014 | $ | 2,021 | $ | 835 | $ | 2,856 | |||||||
During the third quarter of fiscal 2011, we entered into an amendment to our corporate headquarters lease in Atlanta, Georgia related to the unoccupied 4100 building, which was exited during fiscal 2007. The final payment related to this amendment was made during the first quarter of fiscal 2014 in the amount of $0.3 million. |
Assets_Held_for_Sale_and_Net_G
Assets Held for Sale and Net Gain on Disposition | 3 Months Ended |
Apr. 05, 2014 | |
Assets Held For Sale and Net Gain On Disposition [Abstract] | ' |
Assets Held for Sale and Net Gain on Disposition | ' |
4. Assets Held for Sale and Net Gain on Disposition | |
We have certain assets that we have designated as assets held for sale. At the time of designation, we ceased recognizing depreciation expense on these assets. As of April 5, 2014, and January 4, 2014, total assets held for sale were $2.6 million and were included in “Other current assets” in our Consolidated Balance Sheets. During the first quarter of fiscal 2014 we did not sell any real properties classified as held for sale. However, we recognized an additional gain related to our Fremont, California location during the first quarter of 2014 of approximately $0.2 million. The gain was related to proceeds previously held in an escrow account for certain environmental remediation procedures. We continue to actively market all properties that are designated as held for sale. |
Employee_Benefits
Employee Benefits | 3 Months Ended | ||||||||
Apr. 05, 2014 | |||||||||
Employee Benefits [Abstract] | ' | ||||||||
Employee Benefits | ' | ||||||||
5. Employee Benefits | |||||||||
Most of our hourly employees participate in noncontributory defined benefit pension plans. These include a plan that is administered solely by us (the “hourly pension plan”) and union-administered multiemployer plans. Our funding policy for the hourly pension plan is based on actuarial calculations and the applicable requirements of federal law. Benefits under the majority of plans for hourly employees (including multiemployer plans) are primarily related to years of service. We believe that our portion of each multiemployer pension plan is immaterial to our financial statements and that we represent an immaterial portion of the total contributions and future obligations of these plans. | |||||||||
Net periodic pension cost for our pension plans included the following (in thousands): | |||||||||
First Quarter | |||||||||
Period from January 5, 2014 | Period from December 30, | ||||||||
to April 5, 2014 | 2012 to March 30, 2013 | ||||||||
Service cost | $ | 264 | $ | 548 | |||||
Interest cost on projected benefit obligation | 1,280 | 1,188 | |||||||
Expected return on plan assets | (1,510 | ) | (1,306 | ) | |||||
Amortization of unrecognized loss | 191 | 718 | |||||||
Net periodic pension cost | $ | 225 | $ | 1,148 | |||||
The Company’s minimum required contribution for plan year 2012 was $3.2 million. In an effort to preserve additional cash for operations, we applied for a waiver from the Internal Revenue Service (“IRS”) for our 2012 minimum required contribution. The Company received approval from the IRS during the first quarter of fiscal 2014 granting the waiver. As the Company was granted the requested waiver, our contributions for 2012 will be amortized over the following five years, increasing our future minimum required contributions. | |||||||||
The Company’s minimum required contribution for plan year 2013 was estimated to be $6.0 million, including the impact of the waiver. During the second quarter of fiscal 2013, we contributed certain qualifying employer real property to the hourly pension plan. The properties, including certain land and buildings, are located in Charleston, S.C. and Buffalo, N.Y., and were valued at approximately $6.8 million by independent appraisals prior to the contribution. The contribution was recorded by the hourly pension plan at the fair value of $6.8 million. We are leasing back the contributed properties for an initial term of twenty years with two five-year extension options and continue to use the properties in our distribution operations. Each lease provides us a right of first refusal on any subsequent sale by the hourly pension plan and a repurchase option. The hourly pension plan engaged an independent fiduciary who evaluated the transaction on behalf of the hourly pension plan, negotiated the terms of the property contribution and the leases, and also manages the properties on behalf of the hourly pension plan. As the Company was granted the requested waiver, the property contribution was designated to the 2013 plan year. | |||||||||
We determined that the contribution of the properties does not meet the accounting definition of a plan asset within the scope of relevant accounting guidance. Accordingly, the contributed properties are not considered a contribution for financial reporting purposes and, as a result, are not included in plan assets and have no impact on the net pension liability recorded on our Consolidated Balance Sheets. We continue to depreciate the carrying value of the properties in our financial statements, and no gain or loss was recognized at the contribution date for financial reporting purposes. Rent payments will be made on a monthly basis and will be recorded as contributions to the hourly pension plan, of which $0.1 million has been recorded as of April 5, 2014 for fiscal 2014. These rental payments will reduce our unfunded obligation to the hourly pension plan. | |||||||||
The Company’s minimum required contribution for plan year 2014 is approximately $5.1 million. We currently are required to make three quarterly cash contributions during fiscal 2014 of $1.5 million each and twelve monthly lease payments associated with the 2013 property contribution of less than $0.1 million each. |
Revolving_Credit_Facilities
Revolving Credit Facilities | 3 Months Ended |
Apr. 05, 2014 | |
Revolving Credit Facilities [Abstract] | ' |
Revolving Credit Facilities | ' |
6. Revolving Credit Facilities | |
We have our U.S. revolving credit facility agreement (the “U.S. revolving credit facility”) with several lenders including Wells Fargo Bank, National Association, successor by merger to Wachovia Bank, National Association (“Wells Fargo Bank”), dated August 4, 2006, as amended. The U.S. revolving credit facility has a final maturity of April 15, 2016 and maximum available credit of $447.5 million. The U.S. revolving credit facility also includes an additional $75 million uncommitted accordion credit facility, which permits us to increase the maximum available credit up to $522.5 million. | |
On March 14, 2014, we entered into an amendment to our U.S. revolving credit facility, in the form of a separate tranche, which became effective on that date. The most significant of the changes included in the amendment is the addition of up to $20.0 million in borrowing capacity for a period of up to 180 days from the effective date, which increased the maximum available credit of the U.S. revolving credit facility to $467.5 million. This additional available credit of $20.0 million was utilized in the first quarter of fiscal 2014. In conjunction with this amendment, we incurred $0.1 million of debt issuance fees that were capitalized and are being amortized over the 180 day term. In addition, pursuant to the $20.0 million tranche, specific adjustments were made to the excess availability threshold calculation, the interest rate, and the fixed charge coverage ratio. | |
On June 28, 2013, we entered into an amendment to our U.S. revolving credit facility, which became effective on that date and pursuant to which certain components of the borrowing base calculation and excess liquidity calculation were adjusted. The most significant of the changes included in the amendment is the addition of PNC Bank, National Association (“PNC”) as a lender and their additional loan commitment of $25.0 million, which at that time increased the maximum availability of the U.S. revolving credit facility to $447.5 million. The new terms of this amended agreement are described in this footnote. In conjunction with this amendment, we incurred $0.1 million of debt fees that were capitalized and are being amortized over the amended debt term. | |
On March 29, 2013, we entered into an amendment to our U.S. revolving credit facility, which became effective on that date and pursuant to which certain components of the borrowing base calculation and excess liquidity calculation were adjusted. The most significant of the changes included in the amendment are extending the final maturity of the U.S. revolving credit facility, increasing the maximum available credit under the facility and adjusting the excess availability threshold calculation. In conjunction with this amendment, we incurred $2.8 million of debt fees that were capitalized and are being amortized over the amended debt term. | |
On March 27, 2013, we concluded the 2013 Rights Offering. The 2013 Rights Offering was fully subscribed and resulted in net proceeds of approximately $38.6 million. We issued 22.9 million shares of stock to our stockholders in conjunction with the 2013 Rights Offering. | |
As of April 5, 2014, we had outstanding borrowings of $258.4 million and excess availability of $87.7 million under the terms of our U.S. revolving credit facility. The interest rate on the U.S. revolving credit facility was 3.8% at April 5, 2014, including the impact of the $20.0 million tranche. As of January 4, 2014, we had outstanding borrowings of $207.9 million and excess availability of $44.5 million under the terms of our U.S. revolving credit facility. The interest rate on the U.S. revolving credit facility was 3.7% at January 4, 2014. As of April 5, 2014 and January 4, 2014, we had outstanding letters of credit totaling $3.6 million, for the purposes of securing collateral requirements related to guaranteeing lease and certain other obligations. The $3.6 million in outstanding letters of credit as of April 5, 2014 does not include an additional $1.5 million fully collateralized letter of credit securing certain insurance obligations that was issued outside of the U.S. revolving credit facility. | |
As of April 5, 2014, our U.S. revolving credit facility, as amended, contains customary negative covenants and restrictions for asset based loans, including a requirement that we maintain a fixed charge coverage ratio of 1.1 to 1.0 in the event our excess availability falls below the greater of $33.2 million during the time the $20.0 million increase is outstanding and $31.8 million at all times thereafter or the amount equal to 12.5% of the lesser of the borrowing base or $467.5 million during the time the $20.0 million increase is outstanding, and $447.5 million at all times thereafter (the “Excess Availability Threshold”). The fixed charge coverage ratio is calculated as EBITDA divided by the sum of cash payments for income taxes, interest expense, cash dividends, principal payments on debt, and capital expenditures. EBITDA is defined as BlueLinx Corporation’s net income before interest and tax expense, depreciation and amortization expense, and other non-cash charges. The fixed charge coverage ratio requirement only applies to us when excess availability under our amended U.S. revolving credit facility is less than the Excess Availability Threshold on any date. As of April 5, 2014 and through the time of the filing of this Form 10-Q, we were in compliance with all covenants under the U.S. revolving credit facility. We are required to maintain the Excess Availability Threshold in order to avoid being required to meet certain financial ratios and triggering additional limits on capital expenditures. Our lowest level of fiscal month-end availability as of the twelve month period ended April 5, 2014 was $44.5 million. We do not anticipate our excess availability in fiscal 2014 will drop below the Excess Availability Threshold. Should our excess availability fall below the Excess Availability Threshold on any date, however, we would not meet the required fixed charge coverage ratio covenant with our current operating results. | |
In the event that excess availability falls below $38.7 million during the time the $20.0 million increase is outstanding and $37.1 million at all times thereafter, or the amount equal to 15% of the lesser of the borrowing base or $467.5 million during the time the $20.0 million increase is outstanding, and $447.5 million at all times thereafter, the U.S. revolving credit facility gives the lenders the right to dominion of our bank accounts. This would not make the underlying debt callable by the lender and may not change our ability to borrow on the U.S. revolving credit facility. However, we would be required to reclassify the “Long-term debt” to “Current maturities of long-term debt” on our Consolidated Balance Sheet. In addition, we would be required to maintain a springing lock-box arrangement where customer remittances go directly to a lock-box maintained by our lenders and then are forwarded to our general bank accounts. Our amended U.S. revolving credit facility does not contain a subjective acceleration clause, which would allow our lenders to accelerate the scheduled maturities of our debt or to cancel our agreement. | |
On August 16, 2013, we entered into an amendment to our Canadian revolving credit facility (the “Canadian revolving credit facility”), which became effective on that date. The Amendment modifies the maturity date under the Credit Agreement to the earlier of (i) August 12, 2016 or the (ii) maturity date of the U.S. revolving credit facility. All other terms of the Canadian revolving credit facility remain the same. | |
As of April 5, 2014, we had outstanding borrowings of $2.8 million and excess availability of $1.6 million under the terms of our Canadian revolving credit facility. As of January 4, 2014, we had outstanding borrowings of $3.3 million and excess availability of $1.3 million under the terms of our Canadian revolving credit facility. The interest rate on the Canadian revolving credit facility was 4.0% at April 5, 2014 and January 4, 2014. The Canadian revolving credit facility contains customary covenants and events of default for asset-based credit agreements of this type, including the requirement for BlueLinx Building Products Canada Ltd. ("BlueLinx Canada") to maintain a minimum adjusted tangible net worth of $3.9 million and for that entity’s capital expenditures not to exceed 120% of the amount budgeted in a given year. As of April 5, 2014 and through the time of the filing of this Form 10-Q, we were in compliance with all covenants under this facility. |
Mortgage
Mortgage | 3 Months Ended | ||||
Apr. 05, 2014 | |||||
Mortgage Disclosure [Abstract] | ' | ||||
Mortgage | ' | ||||
7. Mortgage | |||||
We have a ten-year mortgage loan with the German American Capital Corporation. The mortgage matures July 1, 2016 and is secured by 50 distribution facilities. The stated interest rate on the mortgage is fixed at 6.35%. German American Capital Corporation assigned half of its interest in the mortgage loan to Wells Fargo Bank and both lenders securitized their Notes in separate commercial mortgage backed securities pools in 2006. As of April 5, 2014 and January 4, 2014, the balance on our mortgage loan was $186.1 million and $186.9 million, respectively. | |||||
The mortgage loan required interest-only payments through June 2011, at which time we began making payments on the outstanding principal balance. The balance of the loan outstanding at the end of the ten year term will then become due and payable. The principal will be paid in the following increments (in thousands): | |||||
2014 | 1,793 | ||||
2015 | 2,586 | ||||
2016 | 181,756 | ||||
2017 | — | ||||
2018 | — | ||||
Thereafter | — | ||||
Total | $ | 186,135 | |||
On September 19, 2012, we entered into an amendment to our mortgage agreement, which provided for the immediate prepayment of approximately $11.8 million of the indebtedness under the mortgage agreement without incurring a prepayment premium from cash currently held as collateral under the mortgage agreement. In addition, on the last business day of each calendar quarter, starting with the fourth quarter of fiscal 2012, additional funds held as collateral under the mortgage agreement will be used to prepay indebtedness under the mortgage agreement, without prepayment premium, up to an aggregate additional prepayment of $10.0 million. Thereafter, any cash remaining in the collateral account under the mortgage agreement, up to an aggregate of $10.0 million, will be released to the Company on the last business day of each calendar quarter through the third quarter of fiscal 2014. All funds released pursuant to these provisions may only be used by the Company to pay for usual and customary operating expenses. During the periods described above in which cash in the collateral account is used to either prepay indebtedness under the mortgage agreement or released to the Company, the lenders will not release any of the cash collateral to the Company for specified capital expenditures as previously provided under the mortgage agreement. Under the terms of our mortgage, we are required to transfer certain funds to be held as collateral. Approximately $3.1 million of cash held in collateral were released to the Company during the first quarter of fiscal 2014 to pay for usual and customary operating expenses. We expect to transfer approximately $13.3 million into the mortgage escrow as collateral during the next twelve month period, approximately $1.3 million of which will be remitted to us on a quarterly basis to pay for usual and customary operating expenses, in accordance with the mortgage agreement. | |||||
During the third quarter of fiscal 2013, we sold our sales center in Denver, Colorado and increased the restricted cash related to our mortgage by $8.4 million, which represents the allocated mortgage related to the property. During the fourth quarter of fiscal 2013, we sold our Sioux Falls, South Dakota facility and increased the restricted cash related to our mortgage by $1.9 million, which represents the allocated mortgage related to the property. This restricted cash for both locations was used to pay down the outstanding principal of the mortgage in the fourth quarter of fiscal 2013. |
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended |
Apr. 05, 2014 | |
Fair Value Measurements [Abstract] | ' |
Fair Value Measurements | ' |
8. Fair Value Measurements | |
We determine a fair value measurement based on the assumptions a market participant would use in pricing an asset or liability. The fair value measurement guidance established a three level hierarchy making a distinction between market participant assumptions based on (i) unadjusted quoted prices for identical assets or liabilities in an active market (Level 1), (ii) quoted prices in markets that are not active or inputs that are observable either directly or indirectly for substantially the full term of the asset or liability (Level 2), and (iii) prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement (Level 3). | |
Carrying amounts for our financial instruments are not significantly different from their fair value, with the exception of our mortgage. To determine the fair value of our mortgage, we used a discounted cash flow model. We believe the mortgage fair value valuation to be Level 2 in the fair value hierarchy, as the valuation model has inputs that are observable for substantially the full term of the liability. Assumptions critical to our fair value measurements in the period are present value factors used in determining fair value and an interest rate. At April 5, 2014, the discounted carrying amount and fair value of our mortgage was $186.3 million and $186.0 million, respectively. At January 4, 2014, the discounted carrying amount and fair value of our mortgage was $186.9 million and $186.6 million, respectively. |
Related_Party_Transactions
Related Party Transactions | 3 Months Ended |
Apr. 05, 2014 | |
Related Party Transactions [Abstract] | ' |
Related Party Transactions | ' |
9. Related Party Transactions | |
Cerberus Capital Management, L.P., our equity sponsor, retains consultants that specialize in operations management and support and who provide Cerberus with consulting advice concerning portfolio companies in which funds and accounts managed by Cerberus or its affiliates have invested. From time to time, Cerberus makes the services of these consultants available to Cerberus portfolio companies. We believe that the terms of these consulting arrangements are favorable to us, or, alternatively, are materially consistent with those terms that would have been obtained by us in an arrangement with an unaffiliated third party. We have normal service, purchase and sales arrangements with other entities that are owned or controlled by Cerberus. We believe that these transactions are not material to our results of operations or financial position. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
Apr. 05, 2014 | |
Commitments and Contingencies [Abstract] | ' |
Commitments and Contingencies | ' |
10. Commitments and Contingencies | |
Legal Proceedings | |
During the first quarter of fiscal 2014, there were no material changes to our previously disclosed legal proceedings. Additionally, we are, and from time to time may be, a party to routine legal proceedings incidental to the operation of our business. The outcome of any pending or threatened proceedings is not expected to have a material adverse effect on our financial condition, operating results or cash flows, based on our current understanding of the relevant facts. Legal expenses incurred related to these contingencies are generally expensed as incurred. | |
Environmental and Legal Matters | |
From time to time, we are involved in various proceedings incidental to our businesses and we are subject to a variety of environmental and pollution control laws and regulations in all jurisdictions in which we operate. Although the ultimate outcome of these proceedings cannot be determined with certainty, based on presently available information management believes that adequate reserves have been established for probable losses with respect thereto. Management further believes that the ultimate outcome of these matters could be material to operating results in any given quarter but will not have a materially adverse effect on our long-term financial condition, our results of operations, or our cash flows. | |
Collective Bargaining Agreements | |
As of April 5, 2014, approximately 34% of our employees were represented by various labor unions. As of April 5, 2014, we had 38 collective bargaining agreements, of which 6 are up for renewal in fiscal 2014. As of April 5, 2014, we have renegotiated one of the agreements, which became effective in the first quarter of fiscal 2014. We consider our relationship with our employees generally to be good. |
Subsequent_Events
Subsequent Events | 3 Months Ended |
Apr. 05, 2014 | |
Subsequent Events [Abstract] | ' |
Subsequent Events | ' |
11. Subsequent Events | |
On May 8, 2014, we announced that Ms. Susan C. O’Farrell will serve as Senior Vice President, Chief Financial Officer, Treasurer and Principal Accounting Officer, effective as of May 19, 2014. In such role Ms. O’Farrell will also serve as our principal financial and principal accounting officer. Mr. H. Douglas Goforth, our current Senior Vice President, Chief Financial Officer, Treasurer and Principal Accounting Officer, is expected to serve in an advisory capacity through June 1, 2014 in order to assist with the transition. | |
We are not aware of any significant events, other than those disclosed above, that occurred subsequent to the balance sheet date but prior to the filing of this report that would have a material impact on our Consolidated Financial Statements. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Loss | 3 Months Ended | ||||||||||||||||
Apr. 05, 2014 | |||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | ||||||||||||||||
Accumulated Other Comprehensive Loss | ' | ||||||||||||||||
12. Accumulated Other Comprehensive Loss | |||||||||||||||||
Comprehensive loss is a measure of income which includes both net loss and other comprehensive (loss) income. Other comprehensive (loss) income results from items deferred from recognition into our Consolidated Statements of Operations and Comprehensive Loss. Accumulated other comprehensive loss is separately presented on our Consolidated Balance Sheets as part of common stockholders’ deficit. Other comprehensive (loss) income was $(0.1) million for the quarter ended April 5, 2014 and was $0.6 million for the quarter ended March 30, 2013. | |||||||||||||||||
The changes in accumulated balances for each component of other comprehensive (loss) income for the quarter ended April 5, 2014 were as follows (in thousands): | |||||||||||||||||
Foreign | Defined | Other, net of tax | Total | ||||||||||||||
currency, net | benefit pension plan, net of tax | ||||||||||||||||
of tax | |||||||||||||||||
Beginning balance | $ | 1,636 | $ | (18,141 | ) | $ | 212 | $ | (16,293 | ) | |||||||
Other comprehensive loss before reclassification | (231 | ) | — | — | (231 | ) | |||||||||||
Amounts reclassified from accumulated other comprehensive loss, net of tax | — | 115 | — | 115 | |||||||||||||
Current-period other comprehensive (loss) income, net of tax | (231 | ) | 115 | — | (116 | ) | |||||||||||
Ending balance, net of tax | $ | 1,405 | $ | (18,026 | ) | $ | 212 | $ | (16,409 | ) | |||||||
The changes in accumulated balances for each component of other comprehensive (loss) income for the quarter ended March 30, 2013 were as follows (in thousands): | |||||||||||||||||
Foreign | Defined | Other, net of tax | Total | ||||||||||||||
currency, net | benefit pension plan, net of tax | ||||||||||||||||
of tax | |||||||||||||||||
Beginning balance | $ | 1,797 | $ | (32,051 | ) | $ | 212 | $ | (30,042 | ) | |||||||
Other comprehensive loss before reclassification | (109 | ) | — | — | (109 | ) | |||||||||||
Amounts reclassified from accumulated other comprehensive loss, net of tax | — | 718 | — | 718 | |||||||||||||
Current-period other comprehensive (loss) income, net of tax | (109 | ) | 718 | — | 609 | ||||||||||||
Ending balance | $ | 1,688 | $ | (31,333 | ) | $ | 212 | $ | (29,433 | ) | |||||||
Reclassifications out of accumulated other comprehensive loss in the Consolidated Statements of Operations and Comprehensive Loss for the quarter ended April 5, 2014 were as follows (in thousands): | |||||||||||||||||
Amount reclassified from | Affected line item in the | ||||||||||||||||
Details about accumulated other comprehensive loss | accumulated other | statement where net | |||||||||||||||
components | comprehensive loss | income is presented | |||||||||||||||
Amortization of defined benefit pension items: | |||||||||||||||||
Actuarial loss | $ | 191 | Total before tax | ||||||||||||||
Tax impact | 76 | Tax impact (1) | |||||||||||||||
Total, net of tax | $ | 115 | Net of tax (2) | ||||||||||||||
(1) We allocated income tax expense to accumulated other comprehensive loss into the Consolidated Statements of Operations to the extent income was recorded in accumulated other comprehensive loss and we have a loss from continuing operations. | |||||||||||||||||
(2) These accumulated other comprehensive loss components, related to the hourly pension plan, are included in the computation of net periodic pension cost. | |||||||||||||||||
Reclassifications out of accumulated other comprehensive loss in the Consolidated Statements of Operations and Comprehensive Loss for the quarter ended March 30, 2013 were as follows (in thousands): | |||||||||||||||||
Amount reclassified from | Affected line item in the | ||||||||||||||||
Details about accumulated other comprehensive loss | accumulated other | statement where net | |||||||||||||||
components | comprehensive loss | income is presented | |||||||||||||||
Amortization of defined benefit pension items: | |||||||||||||||||
Actuarial loss | $ | 718 | Total before tax | ||||||||||||||
Tax impact | — | Tax impact (1) | |||||||||||||||
Total, net of tax | $ | 718 | Net of tax (2) | ||||||||||||||
(1) There was no tax effect for this accumulated other comprehensive loss component item due to the fact that there was no intraperiod income tax allocation and the deferred tax benefit was fully offset by a valuation allowance. | |||||||||||||||||
(2) These accumulated other comprehensive loss components are included in the computation of net periodic pension cost. See Note 5 for additional details. |
Unaudited_Supplemental_Consoli
Unaudited Supplemental Consolidating Financial Statements | 3 Months Ended | ||||||||||||||||||||
Apr. 05, 2014 | |||||||||||||||||||||
Supplemental Condensed Consolidating Financial Statements [Abstract] | ' | ||||||||||||||||||||
Unaudited Supplemental Consolidating Financial Statements | ' | ||||||||||||||||||||
13. Unaudited Supplemental Consolidating Financial Statements | |||||||||||||||||||||
The consolidating financial information as of April 5, 2014 and January 4, 2014 is provided due to restrictions in our revolving credit facility that limit distributions by BlueLinx Corporation, our operating company and our wholly-owned subsidiary, to us, which, in turn, may limit our ability to pay dividends to holders of our common stock (see our Annual Report on Form 10-K for the year ended January 4, 2014, for a more detailed discussion of these restrictions and the terms of the facility). Also included in the supplemental consolidated financial statements are fifty-one single member limited liability companies, which are wholly owned by us (the “LLC subsidiaries”). The LLC subsidiaries own certain warehouse properties that are occupied by BlueLinx Corporation, each under the terms of a master lease agreement. The warehouse properties collateralize our mortgage loan and are not available to satisfy the debts and other obligations of either us or BlueLinx Corporation. Certain changes have been made to the prior year presentation to conform to the current year presentation. | |||||||||||||||||||||
The consolidating statement of operations for BlueLinx Holdings Inc. for the period from January 5, 2014 to April 5, 2014 follows (in thousands): | |||||||||||||||||||||
BlueLinx | BlueLinx | LLC | |||||||||||||||||||
Holdings | Corporation | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Inc. | and | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Net sales | $ | — | $ | 443,944 | $ | 6,666 | $ | (6,666 | ) | $ | 443,944 | ||||||||||
Cost of sales | — | 391,268 | — | — | 391,268 | ||||||||||||||||
Gross profit | — | 52,676 | 6,666 | (6,666 | ) | 52,676 | |||||||||||||||
Operating expenses (income): | |||||||||||||||||||||
Selling, general, and administrative | 1,433 | 57,260 | (40 | ) | (6,666 | ) | 51,987 | ||||||||||||||
Depreciation and amortization | — | 1,549 | 803 | — | 2,352 | ||||||||||||||||
Total operating expenses (income) | 1,433 | 58,809 | 763 | (6,666 | ) | 54,339 | |||||||||||||||
Operating (loss) income | (1,433 | ) | (6,133 | ) | 5,903 | — | (1,663 | ) | |||||||||||||
Non-operating expenses (income): | |||||||||||||||||||||
Interest expense | — | 3,123 | 3,331 | — | 6,454 | ||||||||||||||||
Other expense (income), net | — | 161 | (1 | ) | — | 160 | |||||||||||||||
(Loss) income before (benefit from) provision for income taxes | (1,433 | ) | (9,417 | ) | 2,573 | — | (8,277 | ) | |||||||||||||
(Benefit from) provision for income taxes | (36 | ) | 303 | 64 | — | 331 | |||||||||||||||
Equity in (loss) income of subsidiaries | (7,211 | ) | — | — | 7,211 | — | |||||||||||||||
Net (loss) income | $ | (8,608 | ) | $ | (9,720 | ) | $ | 2,509 | $ | 7,211 | $ | (8,608 | ) | ||||||||
The consolidating statement of operations for BlueLinx Holdings Inc. for the period from December 30, 2012 to March 30, 2013 follows (in thousands): | |||||||||||||||||||||
BlueLinx | BlueLinx | LLC | |||||||||||||||||||
Holdings | Corporation | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Inc. | and Subsidiaries | ||||||||||||||||||||
Net sales | $ | — | $ | 503,153 | $ | 6,888 | $ | (6,888 | ) | $ | 503,153 | ||||||||||
Cost of sales | — | 446,695 | — | — | 446,695 | ||||||||||||||||
Gross profit | — | 56,458 | 6,888 | (6,888 | ) | 56,458 | |||||||||||||||
Operating expenses (income): | |||||||||||||||||||||
Selling, general, and administrative | 1,036 | 65,109 | 162 | (6,888 | ) | 59,419 | |||||||||||||||
Depreciation and amortization | — | 1,297 | 876 | — | 2,173 | ||||||||||||||||
Total operating expenses (income) | 1,036 | 66,406 | 1,038 | (6,888 | ) | 61,592 | |||||||||||||||
Operating (loss) income | (1,036 | ) | (9,948 | ) | 5,850 | — | (5,134 | ) | |||||||||||||
Non-operating expenses (income): | |||||||||||||||||||||
Interest expense | — | 3,560 | 3,632 | — | 7,192 | ||||||||||||||||
Other expense (income), net | — | 111 | (1 | ) | — | 110 | |||||||||||||||
(Loss) income before provision for income taxes | (1,036 | ) | (13,619 | ) | 2,219 | — | (12,436 | ) | |||||||||||||
Provision for income taxes | 188 | 25 | — | — | 213 | ||||||||||||||||
Equity in (loss) income of subsidiaries | (11,425 | ) | — | — | 11,425 | — | |||||||||||||||
Net (loss) income | $ | (12,649 | ) | $ | (13,644 | ) | $ | 2,219 | $ | 11,425 | $ | (12,649 | ) | ||||||||
The consolidating balance sheet for BlueLinx Holdings Inc. as of April 5, 2014 follows (in thousands): | |||||||||||||||||||||
BlueLinx | |||||||||||||||||||||
BlueLinx | Corporation | LLC | |||||||||||||||||||
Holdings Inc. | and | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash | $ | 37 | $ | 7,542 | $ | — | $ | — | $ | 7,579 | |||||||||||
Receivables | — | 190,766 | — | — | 190,766 | ||||||||||||||||
Inventories | — | 261,006 | — | — | 261,006 | ||||||||||||||||
Deferred income tax asset, net | — | — | 397 | (397 | ) | — | |||||||||||||||
Other current assets | 1,215 | 21,701 | 2,840 | — | 25,756 | ||||||||||||||||
Intercompany receivable | 71,274 | 30,278 | — | (101,552 | ) | — | |||||||||||||||
Total current assets | 72,526 | 511,293 | 3,237 | (101,949 | ) | 485,107 | |||||||||||||||
Property and equipment: | |||||||||||||||||||||
Land and land improvements | — | 4,047 | 37,135 | — | 41,182 | ||||||||||||||||
Buildings | — | 10,930 | 79,242 | — | 90,172 | ||||||||||||||||
Machinery and equipment | — | 76,672 | — | — | 76,672 | ||||||||||||||||
Construction in progress | — | 760 | — | — | 760 | ||||||||||||||||
Property and equipment, at cost | — | 92,409 | 116,377 | — | 208,786 | ||||||||||||||||
Accumulated depreciation | — | (65,927 | ) | (32,417 | ) | — | (98,344 | ) | |||||||||||||
Property and equipment, net | — | 26,482 | 83,960 | — | 110,442 | ||||||||||||||||
Investment in subsidiaries | (58,138 | ) | — | — | 58,138 | — | |||||||||||||||
Non-current deferred income tax assets, net | — | 1,221 | — | (397 | ) | 824 | |||||||||||||||
Other non-current assets | — | 10,969 | 4,474 | — | 15,443 | ||||||||||||||||
Total assets | $ | 14,388 | $ | 549,965 | $ | 91,671 | $ | (44,208 | ) | $ | 611,816 | ||||||||||
Liabilities: | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable | $ | 683 | $ | 97,325 | $ | — | $ | — | $ | 98,008 | |||||||||||
Bank overdrafts | — | 21,516 | — | — | 21,516 | ||||||||||||||||
Accrued compensation | 33 | 5,477 | — | — | 5,510 | ||||||||||||||||
Current maturities of long-term debt | — | 29,234 | 8,844 | — | 38,078 | ||||||||||||||||
Deferred income taxes, net | — | 1,220 | — | (397 | ) | 823 | |||||||||||||||
Other current liabilities | — | 12,156 | 258 | — | 12,414 | ||||||||||||||||
Intercompany payable | 28,058 | 71,274 | 2,220 | (101,552 | ) | — | |||||||||||||||
Total current liabilities | 28,774 | 238,202 | 11,322 | (101,949 | ) | 176,349 | |||||||||||||||
Non-current liabilities: | |||||||||||||||||||||
Long-term debt | — | 232,003 | 177,291 | — | 409,294 | ||||||||||||||||
Non-current deferred income taxes | — | — | 397 | (397 | ) | — | |||||||||||||||
Other non-current liabilities | — | 40,559 | — | — | 40,559 | ||||||||||||||||
Total liabilities | 28,774 | 510,764 | 189,010 | (102,346 | ) | 626,202 | |||||||||||||||
Stockholders’(deficit) equity/Parent’s Investment | (14,386 | ) | 39,201 | (97,339 | ) | 58,138 | (14,386 | ) | |||||||||||||
Total liabilities and (deficit) equity | $ | 14,388 | $ | 549,965 | $ | 91,671 | $ | (44,208 | ) | $ | 611,816 | ||||||||||
The consolidating balance sheet for BlueLinx Holdings Inc. as of January 4, 2014 follows (in thousands): | |||||||||||||||||||||
BlueLinx | |||||||||||||||||||||
BlueLinx | Corporation | LLC | |||||||||||||||||||
Holdings Inc. | and | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Subsidiaries | |||||||||||||||||||||
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 | ||||||||||
The consolidating statement of cash flows for BlueLinx Holdings Inc. for the period from January 5, 2014 to April 5, 2014 follows (in thousands): | |||||||||||||||||||||
BlueLinx | BlueLinx | LLC | |||||||||||||||||||
Holdings | Corporation | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Inc. | and | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||||
Net (loss) income | $ | (8,608 | ) | $ | (9,720 | ) | $ | 2,509 | $ | 7,211 | $ | (8,608 | ) | ||||||||
Adjustments to reconcile net (loss) income to cash (used in) provided by operating activities: | |||||||||||||||||||||
Depreciation and amortization | — | 1,549 | 803 | — | 2,352 | ||||||||||||||||
Amortization of debt issue costs | — | 413 | 331 | — | 744 | ||||||||||||||||
Gain from the sale of properties | — | — | (210 | ) | — | (210 | ) | ||||||||||||||
Restructuring payments | — | (603 | ) | — | — | (603 | ) | ||||||||||||||
Share-based compensation expense | 423 | 267 | — | — | 690 | ||||||||||||||||
Intraperiod income tax allocation related to the hourly pension plan | — | (76 | ) | — | — | (76 | ) | ||||||||||||||
Pension expense | — | 225 | — | — | 225 | ||||||||||||||||
Increase in restricted cash related to insurance and other | — | (1,285 | ) | — | — | (1,285 | ) | ||||||||||||||
Other | (392 | ) | 2,040 | (955 | ) | 115 | 808 | ||||||||||||||
Equity (deficit) in earnings of subsidiaries | 7,211 | — | — | (7,211 | ) | — | |||||||||||||||
Intercompany receivable | (2,820 | ) | (3,904 | ) | — | 6,724 | — | ||||||||||||||
Intercompany payable | 1,684 | 2,820 | 2,220 | (6,724 | ) | — | |||||||||||||||
(2,502 | ) | (8,274 | ) | 4,698 | 115 | (5,963 | ) | ||||||||||||||
Changes in primary working capital components: | |||||||||||||||||||||
Receivables | — | (40,469 | ) | — | — | (40,469 | ) | ||||||||||||||
Inventories | — | (37,426 | ) | — | — | (37,426 | ) | ||||||||||||||
Accounts payable | (299 | ) | 38,040 | — | 2 | 37,743 | |||||||||||||||
Net cash (used in) provided by operating activities | (2,801 | ) | (48,129 | ) | 4,698 | 117 | (46,115 | ) | |||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Investment in subsidiaries | 3,110 | 81 | (3,074 | ) | (117 | ) | — | ||||||||||||||
Property, plant and equipment investments | — | (775 | ) | — | — | (775 | ) | ||||||||||||||
Proceeds from disposition of assets | — | 74 | 209 | — | 283 | ||||||||||||||||
Net cash provided by (used in) investing activities | 3,110 | (620 | ) | (2,865 | ) | (117 | ) | (492 | ) | ||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Repurchase of shares to satisfy employee tax withholdings | (221 | ) | (235 | ) | — | — | (456 | ) | |||||||||||||
Repayments on revolving credit facilities | — | (99,146 | ) | — | — | (99,146 | ) | ||||||||||||||
Borrowings on revolving credit facilities | — | 149,191 | — | — | 149,191 | ||||||||||||||||
Payments of principal on mortgage | — | — | (809 | ) | — | (809 | ) | ||||||||||||||
Payments on capital lease obligations | — | (570 | ) | — | — | (570 | ) | ||||||||||||||
Increase in bank overdrafts | — | 2,139 | — | — | 2,139 | ||||||||||||||||
Increase in restricted cash related to the mortgage | — | — | (1,024 | ) | — | (1,024 | ) | ||||||||||||||
Proceeds from rights offering, less expenses paid | (98 | ) | — | — | (98 | ) | |||||||||||||||
Debt issuance costs | — | (75 | ) | — | — | (75 | ) | ||||||||||||||
Net cash (used in) provided by financing activities | (319 | ) | 51,304 | (1,833 | ) | — | 49,152 | ||||||||||||||
Increase in cash | (10 | ) | 2,555 | — | — | 2,545 | |||||||||||||||
Balance, beginning of period | 47 | 4,987 | — | — | 5,034 | ||||||||||||||||
Balance, end of period | $ | 37 | $ | 7,542 | $ | — | $ | — | $ | 7,579 | |||||||||||
Noncash transactions: | |||||||||||||||||||||
Capital leases | $ | — | $ | 983 | $ | — | $ | — | $ | 983 | |||||||||||
The consolidating statement of cash flows for BlueLinx Holdings Inc. for the period from December 30, 2012 to March 30, 2013 follows (in thousands): | |||||||||||||||||||||
BlueLinx | BlueLinx | LLC | |||||||||||||||||||
Holdings | Corporation | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Inc. | and | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||||
Net (loss) income | $ | (12,649 | ) | $ | (13,644 | ) | $ | 2,219 | $ | 11,425 | $ | (12,649 | ) | ||||||||
Adjustments to reconcile net (loss) income to cash (used in) provided by operating activities: | |||||||||||||||||||||
Depreciation and amortization | — | 1,297 | 876 | — | 2,173 | ||||||||||||||||
Amortization of debt issue costs | — | 615 | 331 | — | 946 | ||||||||||||||||
Write off of debt issuance costs | — | 119 | — | — | 119 | ||||||||||||||||
Gain from the sale of properties | — | — | (238 | ) | — | (238 | ) | ||||||||||||||
Pension expense | — | 1,148 | — | — | 1,148 | ||||||||||||||||
Share-based compensation expense | 227 | 597 | — | — | 824 | ||||||||||||||||
Increase in restricted cash related to insurance and other | — | (361 | ) | — | — | (361 | ) | ||||||||||||||
Other | 694 | (507 | ) | (1,081 | ) | — | (894 | ) | |||||||||||||
Equity (deficit) in earnings of subsidiaries | 11,425 | — | — | (11,425 | ) | — | |||||||||||||||
Intercompany receivable | (1,812 | ) | (2,575 | ) | — | 4,387 | — | ||||||||||||||
Intercompany payable | 2,575 | 1,812 | — | (4,387 | ) | — | |||||||||||||||
460 | (11,499 | ) | 2,107 | — | (8,932 | ) | |||||||||||||||
Changes in primary working capital components: | |||||||||||||||||||||
Receivables | — | (61,396 | ) | — | — | (61,396 | ) | ||||||||||||||
Inventories | — | (89,595 | ) | — | — | (89,595 | ) | ||||||||||||||
Accounts payable | 217 | 64,257 | (390 | ) | — | 64,084 | |||||||||||||||
Net cash provided by (used in) operating activities | 677 | (98,233 | ) | 1,717 | — | (95,839 | ) | ||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Investment in subsidiaries | (39,364 | ) | 37,643 | 1,721 | — | — | |||||||||||||||
Property, plant and equipment investments | — | (955 | ) | — | — | (955 | ) | ||||||||||||||
Proceeds from disposition of assets | — | 32 | 163 | — | 195 | ||||||||||||||||
Net cash (used in) provided by investing activities | (39,364 | ) | 36,720 | 1,884 | — | (760 | ) | ||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Excess tax benefits from share-based compensation arrangements | — | 16 | — | — | 16 | ||||||||||||||||
Repurchase of shares to satisfy employee tax withholdings | (1,206 | ) | — | — | — | (1,206 | ) | ||||||||||||||
Repayments on revolving credit facilities | — | (128,836 | ) | — | — | (128,836 | ) | ||||||||||||||
Borrowings on revolving credit facilities | — | 199,828 | — | — | 199,828 | ||||||||||||||||
Payments of principal on mortgage | — | — | (646 | ) | — | (646 | ) | ||||||||||||||
Payments on capital lease obligations | — | (384 | ) | — | — | (384 | ) | ||||||||||||||
Decrease in bank overdrafts | — | (6,298 | ) | — | — | (6,298 | ) | ||||||||||||||
Increase in restricted cash related to the mortgage | — | — | (2,955 | ) | — | (2,955 | ) | ||||||||||||||
Debt issuance costs | — | (2,715 | ) | — | — | (2,715 | ) | ||||||||||||||
Proceeds from rights offering less expenses paid | 39,892 | — | — | — | 39,892 | ||||||||||||||||
Net cash provided by (used in) financing activities | 38,686 | 61,611 | (3,601 | ) | — | 96,696 | |||||||||||||||
Increase in cash | (1 | ) | 98 | — | — | 97 | |||||||||||||||
Balance, beginning of period | 28 | 5,160 | — | — | 5,188 | ||||||||||||||||
Balance, end of period | $ | 27 | $ | 5,258 | $ | — | $ | — | $ | 5,285 | |||||||||||
Noncash transactions: | |||||||||||||||||||||
Capital leases | $ | — | $ | — | $ | — | $ | — | $ | — |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 3 Months Ended | ||||||||
Apr. 05, 2014 | |||||||||
Summary Of Significant Accounting Policies [Abstract] | ' | ||||||||
Revenue Recognition | ' | ||||||||
Revenue Recognition | |||||||||
We recognize revenue when the following criteria are met: persuasive evidence of an agreement exists, delivery has occurred or services have been rendered, our price to the buyer is fixed and determinable and collectability is reasonably assured. Delivery is not considered to have occurred until the customer takes title and assumes the risks and rewards of ownership. The timing of revenue recognition is largely dependent on shipping terms. For sales transactions designated as FOB (free on board) shipping point, revenue is recorded at the time of shipment. For sales transactions designated FOB destination, revenue is recorded when the product is delivered to the customer’s delivery site. | |||||||||
All revenues are recorded gross. The key indicators used to determine when and how revenue is recorded are as follows: | |||||||||
● | 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, 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. | ||||||||
In addition, we provide inventory to certain customers through pre-arranged agreements on a consignment basis. Customer consigned inventory is maintained and stored by certain customers; however, ownership and risk of loss remain with us. When the inventory is sold by the customer, we recognize revenue on a gross basis. Customer consigned inventory at April 5, 2014 and January 4, 2014 was approximately $11.8 million and $10.1 million, respectively. | |||||||||
All revenues are recorded after trade allowances, cash discounts and sales returns are deducted. Cash discounts and sales returns are estimated using historical experience. Trade allowances are based on the estimated obligations and historical experience. | |||||||||
Cash and Cash Equivalents | ' | ||||||||
Cash and Cash Equivalents | |||||||||
Cash and cash equivalents include all highly liquid investments with maturity dates of less than three months when purchased. | |||||||||
Restricted Cash | ' | ||||||||
Restricted Cash | |||||||||
We had restricted cash of $14.0 million and $11.7 million at April 5, 2014 and January 4, 2014, respectively. Restricted cash primarily includes amounts held in escrow related to our mortgage and insurance for workers’ compensation, auto liability, and general liability. Restricted cash is included in “Other current assets” and “Other non-current assets” on the accompanying Consolidated Balance Sheets. | |||||||||
The table below provides the balances of each individual component in restricted cash as of April 5, 2014 and January 4, 2014 (in thousands): | |||||||||
April 5, | January 4, | ||||||||
2014 | 2014 | ||||||||
Cash in escrow: | |||||||||
Mortgage | $ | 1,024 | $ | — | |||||
Insurance | 7,924 | 7,921 | |||||||
Other (primarily real estate related) | 5,042 | 3,760 | |||||||
Total | $ | 13,990 | $ | 11,681 | |||||
Allowance for Doubtful Accounts and Related Reserves | ' | ||||||||
Allowance for Doubtful Accounts and Related Reserves | |||||||||
We evaluate the collectability of accounts receivable based on numerous factors, including past transaction history with customers and their creditworthiness. We maintain an allowance for doubtful accounts for each aging category on our aged trial balance, which is aged utilizing contractual terms, based on our historical loss experience. This estimate is periodically adjusted when we become aware of specific customers’ potential inability to meet their financial obligations (e.g., bankruptcy filing or other evidence of liquidity problems). As we determine that specific balances ultimately will be uncollectible, we remove them from our aged trial balance. Additionally, we maintain reserves for cash discounts that we expect customers to earn as well as expected returns. At April 5, 2014 and January 4, 2014, these reserves totaled $4.6 million and $4.4 million, respectively. | |||||||||
Inventory Valuation | ' | ||||||||
Inventory Valuation | |||||||||
Inventories are carried at the lower of cost or market. The cost of all inventories is determined by the moving average cost method. We have included all material charges directly or indirectly incurred in bringing inventory to its existing condition and location. We evaluate our inventory value at the end of each quarter to ensure that first quality, actively moving inventory, when viewed by category, is carried at the lower of cost or market. At April 5, 2014 and January 4, 2014, the market value of our inventory exceeded its cost. | |||||||||
Additionally, we maintain a reserve for the estimated value impairment associated with damaged, excess and obsolete inventory. The damaged, excess and obsolete reserve generally includes discontinued items or inventory that has turn days in excess of 270 days, excluding new items during their product launch. At April 5, 2014 and January 4, 2014, our damaged, excess and obsolete inventory reserves were $1.8 million. During the second quarter of fiscal 2013, approximately $1.0 million was recorded in “Cost of sales” in the Consolidated Statements of Operations and Comprehensive Loss for damaged, excess and obsolete inventory related to the closure of five distribution centers. There was less than $0.1 million of this reserve remaining as of April 5, 2014 and $0.3 million of this reserve remaining as of January 4, 2014. We discuss the closure or ceasing of operations of these distribution centers, which is included in our 2013 restructuring plan (the “2013 restructuring”), further in “Note 3 – Restructuring Charges”. | |||||||||
Consignment Inventory | ' | ||||||||
Consignment Inventory | |||||||||
We enter into consignment inventory agreements with our vendors. This vendor consignment inventory relationship allows us to obtain and store vendor inventory at our warehouses and reload facilities; however, ownership and risk of loss generally remains with the vendor. When the inventory is sold, we are required to pay the vendor, and we simultaneously take and transfer ownership from the vendor to the customer. | |||||||||
Consideration Received from Vendors and Paid to Customers | ' | ||||||||
Consideration Received from Vendors and Consideration Paid to Customers | |||||||||
Each year, we enter into agreements with many of our vendors providing for inventory purchase rebates, generally based on the achievement of specified volume purchasing levels. We also receive rebates related to price protection and various marketing allowances that are common industry practice. We accrue for the receipt of vendor rebates based on purchases, and also reduce inventory value to reflect the net acquisition cost (purchase price less expected purchase rebates). At April 5, 2014 and January 4, 2014, the vendor rebate receivable totaled $5.9 million and $7.6 million, respectively. | |||||||||
In addition, we enter into agreements with many of our customers to offer customer rebates, generally based on achievement of specified volume sales levels and various marketing allowances that are common industry practice. We accrue for the payment of customer rebates based on sales to the customer, and also reduce sales value to reflect the net sales (sales price less expected customer rebates). At April 5, 2014 and January 4, 2014, the customer rebate payable totaled $2.7 million and $6.3 million, respectively. | |||||||||
Loss per Common Share | ' | ||||||||
Loss per Common Share | |||||||||
We calculate our basic loss per share by dividing net loss by the weighted average number of common shares and participating securities outstanding for the period. Restricted stock granted by us to certain of our officers, directors, and certain other employees participate in dividends on the same basis as common shares and are non-forfeitable by the holder. The unvested restricted stock contains non-forfeitable rights to dividends or dividend equivalents. As a result, these share-based awards meet the definition of a participating security and are included in the weighted average number of common shares outstanding, pursuant to the two-class method, for the periods that present net income. The two-class method is an earnings allocation formula that treats a participating security as having rights to earnings that would otherwise have been available to common stockholders. | |||||||||
Given that the restricted stockholders do not have a contractual obligation to participate in the losses and the inclusion of such unvested restricted shares in our basic and dilutive per share calculations would be anti-dilutive, we have not included these amounts in our weighted average number of common shares outstanding for periods in which we report a net loss. Therefore, we have not included 2,265,072 and 2,892,936 of unvested shares of restricted stock that had the right to participate in dividends in our basic and dilutive calculations for the first quarter of fiscal 2014 and the first quarter of fiscal 2013, respectively. | |||||||||
Except when the effect would be anti-dilutive, the diluted earnings per share calculation includes the dilutive effect of the assumed exercise of stock options and performance shares using the treasury stock method. There were no grants of performance shares during the first quarter of fiscal 2014. During the first quarter of fiscal 2013, we granted 1,872,852 performance shares under our 2006 Long-Term Equity Incentive Plan (the “2006 Plan”) in which shares are issuable upon satisfaction of certain performance criteria. As of April 5, 2014 and March 30, 2013, we assumed that 1,699,233 and 1,749,815, respectively, of the performance shares will vest, net of forfeitures and vesting, as of first quarter fiscal 2014 and first quarter fiscal 2013. We are assuming that all but 311,653 of these performance shares outstanding as of April 5, 2014 will vest based on our assumption that meeting the performance criteria is probable. The remaining 311,653 performance shares outstanding as of April 5, 2014 will vest in the second quarter of fiscal 2014 due to the completion of the vesting term and the Compensation Committee’s discretionary decision on December 30, 2013 to waive the performance criteria due to the significant restructuring activities undertaken by the Company during the vesting period and vest these performance shares regardless of satisfaction of the performance criteria. The performance shares are not considered participating shares under the two-class method because they do not receive any non-transferable rights to dividends. The performance shares we assumed will vest were not included in the computation of diluted earnings per share calculation because they were antidilutive. | |||||||||
Except when the effect would be anti-dilutive, the diluted earnings per share calculation includes the dilutive effect of the assumed exercise of stock options and performance shares using the treasury stock method. As we experienced losses in all periods, basic and diluted loss per share are computed by dividing net loss by the weighted average number of common shares outstanding for the period. For the first quarter of fiscal 2014 we excluded 4,748,805 of unvested share-based awards, which includes excluding the assumed exercise of 784,500 unexpired stock options and 1,699,233 performance shares unvested share-based awards, from the diluted earnings per share calculation because they were anti-dilutive. For the first quarter of fiscal 2013, we excluded 5,512,898 of unvested share-based awards, which includes excluding the assumed exercise of 870,147 unexpired stock options and 1,749,815 performance shares, from the diluted earnings per share calculation because they were anti-dilutive. | |||||||||
Share-Based Compensation | ' | ||||||||
Share-Based Compensation | |||||||||
We have two stock-based compensation plans covering officers, directors, certain employees and consultants: the 2004 Equity Incentive Plan (the “2004 Plan”) and the 2006 Plan. The plans are designed to motivate and retain individuals who are responsible for the attainment of our primary long-term performance goals. The plans provide a means whereby our employees and directors develop a sense of proprietorship and personal involvement in our development and financial success and encourage them to devote their best efforts to our business. Although we do not have a formal policy on the matter, we issue new shares of our common stock to participants upon the exercise of options, upon the granting of restricted stock or upon the vesting of performance shares, out of the total amount of common shares authorized for issuance under either the 2004 Plan or the 2006 Plan. During the first quarter of fiscal 2014, the Compensation Committee granted 1,114,311 restricted shares of our common stock to certain of our officers, directors, and certain other employees. Restricted shares of 287,616 vested in the first quarter of fiscal 2014 due to the completion of the vesting term. Performance shares of 386,541 vested in the first quarter of fiscal 2014 due to the completion of the vesting term and the Compensation Committee’s discretionary decision on December 30, 2013 to waive the performance criteria due to the significant restructuring activities undertaken by the Company during the vesting period and vest these performance shares regardless of satisfaction of the performance criteria. | |||||||||
We recognize compensation expense equal to the grant-date fair value for all share-based payment awards that are expected to vest. This expense is recorded on a straight-line basis over the requisite service period of the entire award, unless the awards are subject to market or performance conditions, in which case we recognize compensation expense over the requisite service period of each separate vesting tranche to the extent the occurrence of such conditions are probable. All compensation expense related to our share-based payment awards is recorded in “Selling, general, and administrative” expense in the Consolidated Statements of Operations and Comprehensive Loss. For the first quarter of fiscal 2014 and for the first quarter of fiscal 2013, our total share-based compensation expense was $0.7 million and $0.8 million, respectively. | |||||||||
Income Taxes | ' | ||||||||
Income Taxes | |||||||||
Deferred income taxes are provided using the liability method. Accordingly, deferred income taxes are recognized for differences between the income tax and financial reporting bases of our assets and liabilities based on enacted tax laws and tax rates applicable to the periods in which the differences are expected to affect taxable income. We recognize a valuation allowance, when based on the weight of all available evidence, we believe it is more likely than not that our deferred tax assets will not be realized. In evaluating our ability to recover our deferred income tax assets, we considered available positive and negative evidence, including our past operating results, our ability to carryback losses against prior taxable income, the existence of cumulative losses in the most recent years, our forecast of future taxable income and an excess of appreciated assets over the tax basis of our net assets. In estimating future taxable income, we developed assumptions including the amount of future state and federal pretax operating and non-operating income, the reversal of temporary differences and the implementation of feasible and prudent tax planning strategies. These assumptions required significant judgment about the forecasts of future taxable income. We considered all of the available positive and negative evidence during the first quarter of fiscal 2014, and based on the weight of available evidence, we recorded an additional deferred tax asset and valuation allowance of $3.2 million relating to our current period net operating losses, which resulted in a total net deferred tax asset of $91.5 million with a valuation allowance of a corresponding amount as of April 5, 2014. As of January 4, 2014, our total net deferred tax asset was $88.3 million with a valuation allowance of a corresponding amount. | |||||||||
If the realization of deferred tax assets in the future is considered more likely than not, a reduction to the valuation allowance related to the deferred tax assets would increase net income in the period such determination is made. The amount of the deferred tax asset considered realizable is based on significant estimates, and it is possible that changes in these estimates could materially affect the financial condition and results of operations. Our effective tax rate may vary from period to period based on changes in estimated taxable income or loss; changes to the valuation allowance; changes to federal or state tax laws; and as a result of acquisitions. | |||||||||
We generally believe that the positions taken on previously filed tax returns are more likely than not to be sustained by the taxing authorities. We have recorded income tax and related interest liabilities where we believe our position may not be sustained. Such amounts are disclosed in Note 5 in our Annual Report on Form 10-K for the year-ended January 4, 2014. There have been no material changes to our tax positions during the first quarter of fiscal 2014. | |||||||||
Impairment of Long-Lived Assets | ' | ||||||||
Impairment of Long-Lived Assets | |||||||||
We consider whether there are indicators of potential impairment of long-lived assets, primarily property, plant, and equipment, on a quarterly basis. Indicators of impairment include current period losses combined with a history of losses, management’s decision to exit a facility, reductions in the fair market value of real properties and changes in other circumstances that indicate the carrying amount of an asset may not be recoverable. | |||||||||
Our evaluation of long-lived assets is performed at the lowest level of identifiable cash flows, which is generally the individual distribution facility. In the event of indicators of impairment, the assets of the distribution facility are evaluated by comparing the facility’s undiscounted cash flows over the estimated useful life of the asset, which ranges between 5-40 years, to its carrying amount. If the carrying amount is greater than the undiscounted cash flows, an impairment loss is recognized for the difference between the carrying amount of the asset and the estimated fair market value. Impairment losses are recorded as a component of “Selling, general, and administrative” expenses in the Consolidated Statements of Operations and Comprehensive Loss. | |||||||||
Our estimate of undiscounted cash flows is subject to assumptions that affect estimated operating income at a distribution facility level. These assumptions are related to future sales, margin growth rates, economic conditions, market competition and inflation. In the event that undiscounted cash flows do not exceed the carrying amount of a facility, our estimates of fair market value are generally based on market appraisals and our experience with related market transactions. We use a two year average of cash flows based on 2013 EBITDA and 2014 projected EBITDA, which includes a growth factor assumption, to estimate undiscounted cash flows. In our impairment analysis we use level 3 measurement assumptions in the fair value hierarchy. We define the measurement assumptions in Note 13 of the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended January 4, 2014. | |||||||||
No impairment indicators appear to be present that would result in material reductions to our January 4, 2014 projected undiscounted cash flows, which exceeded our carrying amount in all cases during the performance of our January 4, 2014 impairment analysis. | |||||||||
Self-Insurance | ' | ||||||||
Self-Insurance | |||||||||
It is our policy to self-insure, up to certain limits, traditional risks including workers’ compensation, comprehensive general liability, and auto liability. Our self-insured deductible for each claim involving workers’ compensation and auto liability is limited to $0.8 million and $2.0 million, respectively. Our self-insured retention for each claim involving comprehensive general liability (including product liability claims) is limited to $0.8 million. We are also self-insured up to certain limits for certain other insurable risks, primarily physical loss to property ($0.1 million per occurrence) and the majority of our medical benefit plans ($0.3 million per occurrence). Insurance coverage is maintained for catastrophic property and casualty exposures as well as those risks required to be insured by law or contract. A provision for claims under this self-insured program, based on our estimate of the aggregate liability for claims incurred, is revised annually. The estimate is derived from both internal and external sources including but not limited to actuarial estimates. The actuarial estimates are subject to uncertainty from various sources, including, among others, changes in claim reporting patterns, claim settlement patterns, judicial decisions, legislation, and economic conditions. Although we believe that the actuarial estimates are reasonable, significant differences related to the items noted above could materially affect our self-insurance obligations, future expense and cash flow. At April 5, 2014 and January 4, 2014, the self-insurance reserves totaled $7.0 million and $6.9 million, respectively. | |||||||||
New Accounting Standards | ' | ||||||||
New Accounting Standards | |||||||||
In the third quarter of fiscal 2013, the Financial Accounting Standards Board (the “FASB”) issued an amendment to previously issued guidance which requires entities to present unrecognized tax benefits as a decrease in a net operating loss, a similar tax loss or a tax credit carryforward, if certain criteria are met. The determination of whether a deferred tax asset is available is based on the unrecognized tax benefit and the deferred tax asset that exists at the reporting date and presumes disallowance of the tax position at the reporting date. The amendment, which did not materially impact our financial statements, is effective for public companies in fiscal years, and interim periods within those years, beginning after December 15, 2013. We have adopted this guidance during the first quarter of fiscal 2014. | |||||||||
There were no other accounting pronouncements adopted during the first quarter of fiscal 2014 that had a material impact on our financial statements. | |||||||||
Reclassifications | ' | ||||||||
Reclassifications | |||||||||
During the first quarter of fiscal 2014, we have broken out certain amounts, which had historically been presented as “Other” changes in the “Cash flows from operating activities” to conform the historical presentation to the current and future presentation. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 3 Months Ended | ||||||||
Apr. 05, 2014 | |||||||||
Summary Of Significant Accounting Policies [Abstract] | ' | ||||||||
Schedule of components of restricted cash | ' | ||||||||
April 5, | January 4, | ||||||||
2014 | 2014 | ||||||||
Cash in escrow: | |||||||||
Mortgage | $ | 1,024 | $ | — | |||||
Insurance | 7,924 | 7,921 | |||||||
Other (primarily real estate related) | 5,042 | 3,760 | |||||||
Total | $ | 13,990 | $ | 11,681 |
Restructuring_Charges_Tables
Restructuring Charges (Tables) | 3 Months Ended | ||||||||||||
Apr. 05, 2014 | |||||||||||||
Restructuring Charges [Abstract] | ' | ||||||||||||
Schedule of summary of the balances of accrued facility lease obligation reserve and severance and the changes in the accruals | ' | ||||||||||||
Reduction in | Facility Lease | Total | |||||||||||
Force | Obligation | ||||||||||||
Activities | |||||||||||||
Balance at January 4, 2014 | $ | 2,550 | $ | 928 | $ | 3,478 | |||||||
Charges | — | — | — | ||||||||||
Assumption changes | (29 | ) | 2 | (27 | ) | ||||||||
Payments | (500 | ) | (103 | ) | (603 | ) | |||||||
Accretion of liability | — | 8 | 8 | ||||||||||
Balance at April 5, 2014 | $ | 2,021 | $ | 835 | $ | 2,856 |
Employee_Benefits_Tables
Employee Benefits (Tables) | 3 Months Ended | ||||||||
Apr. 05, 2014 | |||||||||
Employee Benefits [Abstract] | ' | ||||||||
Schedule of net periodic pension cost for pension plans | ' | ||||||||
First Quarter | |||||||||
Period from January 5, 2014 | Period from December 30, | ||||||||
to April 5, 2014 | 2012 to March 30, 2013 | ||||||||
Service cost | $ | 264 | $ | 548 | |||||
Interest cost on projected benefit obligation | 1,280 | 1,188 | |||||||
Expected return on plan assets | (1,510 | ) | (1,306 | ) | |||||
Amortization of unrecognized loss | 191 | 718 | |||||||
Net periodic pension cost | $ | 225 | $ | 1,148 |
Mortgage_Tables
Mortgage (Tables) | 3 Months Ended | ||||
Apr. 05, 2014 | |||||
Mortgage Disclosure [Abstract] | ' | ||||
Schedule of mortgage outstanding principal balance | ' | ||||
2014 | 1,793 | ||||
2015 | 2,586 | ||||
2016 | 181,756 | ||||
2017 | — | ||||
2018 | — | ||||
Thereafter | — | ||||
Total | $ | 186,135 |
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended | ||||||||||||||||
Apr. 05, 2014 | |||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | ||||||||||||||||
Schedule of changes in accumulated balances for each component of other comprehensive income (loss) | ' | ||||||||||||||||
The changes in accumulated balances for each component of other comprehensive (loss) income for the quarter ended April 5, 2014 were as follows (in thousands): | |||||||||||||||||
Foreign | Defined | Other, net of tax | Total | ||||||||||||||
currency, net | benefit pension plan, net of tax | ||||||||||||||||
of tax | |||||||||||||||||
Beginning balance | $ | 1,636 | $ | (18,141 | ) | $ | 212 | $ | (16,293 | ) | |||||||
Other comprehensive loss before reclassification | (231 | ) | — | — | (231 | ) | |||||||||||
Amounts reclassified from accumulated other comprehensive loss, net of tax | — | 115 | — | 115 | |||||||||||||
Current-period other comprehensive (loss) income, net of tax | (231 | ) | 115 | — | (116 | ) | |||||||||||
Ending balance, net of tax | $ | 1,405 | $ | (18,026 | ) | $ | 212 | $ | (16,409 | ) | |||||||
The changes in accumulated balances for each component of other comprehensive (loss) income for the quarter ended March 30, 2013 were as follows (in thousands): | |||||||||||||||||
Foreign | Defined | Other, net of tax | Total | ||||||||||||||
currency, net | benefit pension plan, net of tax | ||||||||||||||||
of tax | |||||||||||||||||
Beginning balance | $ | 1,797 | $ | (32,051 | ) | $ | 212 | $ | (30,042 | ) | |||||||
Other comprehensive loss before reclassification | (109 | ) | — | — | (109 | ) | |||||||||||
Amounts reclassified from accumulated other comprehensive loss, net of tax | — | 718 | — | 718 | |||||||||||||
Current-period other comprehensive (loss) income, net of tax | (109 | ) | 718 | — | 609 | ||||||||||||
Ending balance | $ | 1,688 | $ | (31,333 | ) | $ | 212 | $ | (29,433 | ) | |||||||
Schedule of reclassifications out of accumulated other comprehensive loss | ' | ||||||||||||||||
Reclassifications out of accumulated other comprehensive loss in the Consolidated Statements of Operations and Comprehensive Loss for the quarter ended April 5, 2014 were as follows (in thousands): | |||||||||||||||||
Amount reclassified from | Affected line item in the | ||||||||||||||||
Details about accumulated other comprehensive loss | accumulated other | statement where net | |||||||||||||||
components | comprehensive loss | income is presented | |||||||||||||||
Amortization of defined benefit pension items: | |||||||||||||||||
Actuarial loss | $ | 191 | Total before tax | ||||||||||||||
Tax impact | 76 | Tax impact (1) | |||||||||||||||
Total, net of tax | $ | 115 | Net of tax (2) | ||||||||||||||
(1) We allocated income tax expense to accumulated other comprehensive loss into the Consolidated Statements of Operations to the extent income was recorded in accumulated other comprehensive loss and we have a loss from continuing operations. | |||||||||||||||||
(2) These accumulated other comprehensive loss components, related to the hourly pension plan, are included in the computation of net periodic pension cost. | |||||||||||||||||
Reclassifications out of accumulated other comprehensive loss in the Consolidated Statements of Operations and Comprehensive Loss for the quarter ended March 30, 2013 were as follows (in thousands): | |||||||||||||||||
Amount reclassified from | Affected line item in the | ||||||||||||||||
Details about accumulated other comprehensive loss | accumulated other | statement where net | |||||||||||||||
components | comprehensive loss | income is presented | |||||||||||||||
Amortization of defined benefit pension items: | |||||||||||||||||
Actuarial loss | $ | 718 | Total before tax | ||||||||||||||
Tax impact | — | Tax impact (1) | |||||||||||||||
Total, net of tax | $ | 718 | Net of tax (2) | ||||||||||||||
(1) There was no tax effect for this accumulated other comprehensive loss component item due to the fact that there was no intraperiod income tax allocation and the deferred tax benefit was fully offset by a valuation allowance. | |||||||||||||||||
(2) These accumulated other comprehensive loss components are included in the computation of net periodic pension cost. See Note 5 for additional details. |
Unaudited_Supplemental_Consoli1
Unaudited Supplemental Consolidating Financial Statements (Tables) | 3 Months Ended | ||||||||||||||||||||
Apr. 05, 2014 | |||||||||||||||||||||
Unaudited Supplemental Consolidating Financial Statements [Abstract] | ' | ||||||||||||||||||||
Schedule of condensed consolidating statement of operations | ' | ||||||||||||||||||||
The consolidating statement of operations for BlueLinx Holdings Inc. for the period from January 5, 2014 to April 5, 2014 follows (in thousands): | |||||||||||||||||||||
BlueLinx | BlueLinx | LLC | |||||||||||||||||||
Holdings | Corporation | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Inc. | and | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Net sales | $ | — | $ | 443,944 | $ | 6,666 | $ | (6,666 | ) | $ | 443,944 | ||||||||||
Cost of sales | — | 391,268 | — | — | 391,268 | ||||||||||||||||
Gross profit | — | 52,676 | 6,666 | (6,666 | ) | 52,676 | |||||||||||||||
Operating expenses (income): | |||||||||||||||||||||
Selling, general, and administrative | 1,433 | 57,260 | (40 | ) | (6,666 | ) | 51,987 | ||||||||||||||
Depreciation and amortization | — | 1,549 | 803 | — | 2,352 | ||||||||||||||||
Total operating expenses (income) | 1,433 | 58,809 | 763 | (6,666 | ) | 54,339 | |||||||||||||||
Operating (loss) income | (1,433 | ) | (6,133 | ) | 5,903 | — | (1,663 | ) | |||||||||||||
Non-operating expenses (income): | |||||||||||||||||||||
Interest expense | — | 3,123 | 3,331 | — | 6,454 | ||||||||||||||||
Other expense (income), net | — | 161 | (1 | ) | — | 160 | |||||||||||||||
(Loss) income before (benefit from) provision for income taxes | (1,433 | ) | (9,417 | ) | 2,573 | — | (8,277 | ) | |||||||||||||
(Benefit from) provision for income taxes | (36 | ) | 303 | 64 | — | 331 | |||||||||||||||
Equity in (loss) income of subsidiaries | (7,211 | ) | — | — | 7,211 | — | |||||||||||||||
Net (loss) income | $ | (8,608 | ) | $ | (9,720 | ) | $ | 2,509 | $ | 7,211 | $ | (8,608 | ) | ||||||||
The consolidating statement of operations for BlueLinx Holdings Inc. for the period from December 30, 2012 to March 30, 2013 follows (in thousands): | |||||||||||||||||||||
BlueLinx | BlueLinx | LLC | |||||||||||||||||||
Holdings | Corporation | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Inc. | and Subsidiaries | ||||||||||||||||||||
Net sales | $ | — | $ | 503,153 | $ | 6,888 | $ | (6,888 | ) | $ | 503,153 | ||||||||||
Cost of sales | — | 446,695 | — | — | 446,695 | ||||||||||||||||
Gross profit | — | 56,458 | 6,888 | (6,888 | ) | 56,458 | |||||||||||||||
Operating expenses (income): | |||||||||||||||||||||
Selling, general, and administrative | 1,036 | 65,109 | 162 | (6,888 | ) | 59,419 | |||||||||||||||
Depreciation and amortization | — | 1,297 | 876 | — | 2,173 | ||||||||||||||||
Total operating expenses (income) | 1,036 | 66,406 | 1,038 | (6,888 | ) | 61,592 | |||||||||||||||
Operating (loss) income | (1,036 | ) | (9,948 | ) | 5,850 | — | (5,134 | ) | |||||||||||||
Non-operating expenses (income): | |||||||||||||||||||||
Interest expense | — | 3,560 | 3,632 | — | 7,192 | ||||||||||||||||
Other expense (income), net | — | 111 | (1 | ) | — | 110 | |||||||||||||||
(Loss) income before provision for income taxes | (1,036 | ) | (13,619 | ) | 2,219 | — | (12,436 | ) | |||||||||||||
Provision for income taxes | 188 | 25 | — | — | 213 | ||||||||||||||||
Equity in (loss) income of subsidiaries | (11,425 | ) | — | — | 11,425 | — | |||||||||||||||
Net (loss) income | $ | (12,649 | ) | $ | (13,644 | ) | $ | 2,219 | $ | 11,425 | $ | (12,649 | ) | ||||||||
Schedule of condensed consolidating balance sheet | ' | ||||||||||||||||||||
The consolidating balance sheet for BlueLinx Holdings Inc. as of April 5, 2014 follows (in thousands): | |||||||||||||||||||||
BlueLinx | |||||||||||||||||||||
BlueLinx | Corporation | LLC | |||||||||||||||||||
Holdings Inc. | and | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash | $ | 37 | $ | 7,542 | $ | — | $ | — | $ | 7,579 | |||||||||||
Receivables | — | 190,766 | — | — | 190,766 | ||||||||||||||||
Inventories | — | 261,006 | — | — | 261,006 | ||||||||||||||||
Deferred income tax asset, net | — | — | 397 | (397 | ) | — | |||||||||||||||
Other current assets | 1,215 | 21,701 | 2,840 | — | 25,756 | ||||||||||||||||
Intercompany receivable | 71,274 | 30,278 | — | (101,552 | ) | — | |||||||||||||||
Total current assets | 72,526 | 511,293 | 3,237 | (101,949 | ) | 485,107 | |||||||||||||||
Property and equipment: | |||||||||||||||||||||
Land and land improvements | — | 4,047 | 37,135 | — | 41,182 | ||||||||||||||||
Buildings | — | 10,930 | 79,242 | — | 90,172 | ||||||||||||||||
Machinery and equipment | — | 76,672 | — | — | 76,672 | ||||||||||||||||
Construction in progress | — | 760 | — | — | 760 | ||||||||||||||||
Property and equipment, at cost | — | 92,409 | 116,377 | — | 208,786 | ||||||||||||||||
Accumulated depreciation | — | (65,927 | ) | (32,417 | ) | — | (98,344 | ) | |||||||||||||
Property and equipment, net | — | 26,482 | 83,960 | — | 110,442 | ||||||||||||||||
Investment in subsidiaries | (58,138 | ) | — | — | 58,138 | — | |||||||||||||||
Non-current deferred income tax assets, net | — | 1,221 | — | (397 | ) | 824 | |||||||||||||||
Other non-current assets | — | 10,969 | 4,474 | — | 15,443 | ||||||||||||||||
Total assets | $ | 14,388 | $ | 549,965 | $ | 91,671 | $ | (44,208 | ) | $ | 611,816 | ||||||||||
Liabilities: | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable | $ | 683 | $ | 97,325 | $ | — | $ | — | $ | 98,008 | |||||||||||
Bank overdrafts | — | 21,516 | — | — | 21,516 | ||||||||||||||||
Accrued compensation | 33 | 5,477 | — | — | 5,510 | ||||||||||||||||
Current maturities of long-term debt | — | 29,234 | 8,844 | — | 38,078 | ||||||||||||||||
Deferred income taxes, net | — | 1,220 | — | (397 | ) | 823 | |||||||||||||||
Other current liabilities | — | 12,156 | 258 | — | 12,414 | ||||||||||||||||
Intercompany payable | 28,058 | 71,274 | 2,220 | (101,552 | ) | — | |||||||||||||||
Total current liabilities | 28,774 | 238,202 | 11,322 | (101,949 | ) | 176,349 | |||||||||||||||
Non-current liabilities: | |||||||||||||||||||||
Long-term debt | — | 232,003 | 177,291 | — | 409,294 | ||||||||||||||||
Non-current deferred income taxes | — | — | 397 | (397 | ) | — | |||||||||||||||
Other non-current liabilities | — | 40,559 | — | — | 40,559 | ||||||||||||||||
Total liabilities | 28,774 | 510,764 | 189,010 | (102,346 | ) | 626,202 | |||||||||||||||
Stockholders’(deficit) equity/Parent’s Investment | (14,386 | ) | 39,201 | (97,339 | ) | 58,138 | (14,386 | ) | |||||||||||||
Total liabilities and (deficit) equity | $ | 14,388 | $ | 549,965 | $ | 91,671 | $ | (44,208 | ) | $ | 611,816 | ||||||||||
The consolidating balance sheet for BlueLinx Holdings Inc. as of January 4, 2014 follows (in thousands): | |||||||||||||||||||||
BlueLinx | |||||||||||||||||||||
BlueLinx | Corporation | LLC | |||||||||||||||||||
Holdings Inc. | and | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Subsidiaries | |||||||||||||||||||||
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 | ||||||||||
Schedule of condensed consolidating statement of cash flows | ' | ||||||||||||||||||||
The consolidating statement of cash flows for BlueLinx Holdings Inc. for the period from January 5, 2014 to April 5, 2014 follows (in thousands): | |||||||||||||||||||||
BlueLinx | BlueLinx | LLC | |||||||||||||||||||
Holdings | Corporation | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Inc. | and | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||||
Net (loss) income | $ | (8,608 | ) | $ | (9,720 | ) | $ | 2,509 | $ | 7,211 | $ | (8,608 | ) | ||||||||
Adjustments to reconcile net (loss) income to cash (used in) provided by operating activities: | |||||||||||||||||||||
Depreciation and amortization | — | 1,549 | 803 | — | 2,352 | ||||||||||||||||
Amortization of debt issue costs | — | 413 | 331 | — | 744 | ||||||||||||||||
Gain from the sale of properties | — | — | (210 | ) | — | (210 | ) | ||||||||||||||
Restructuring payments | — | (603 | ) | — | — | (603 | ) | ||||||||||||||
Share-based compensation expense | 423 | 267 | — | — | 690 | ||||||||||||||||
Intraperiod income tax allocation related to the hourly pension plan | — | (76 | ) | — | — | (76 | ) | ||||||||||||||
Pension expense | — | 225 | — | — | 225 | ||||||||||||||||
Increase in restricted cash related to insurance and other | — | (1,285 | ) | — | — | (1,285 | ) | ||||||||||||||
Other | (392 | ) | 2,040 | (955 | ) | 115 | 808 | ||||||||||||||
Equity (deficit) in earnings of subsidiaries | 7,211 | — | — | (7,211 | ) | — | |||||||||||||||
Intercompany receivable | (2,820 | ) | (3,904 | ) | — | 6,724 | — | ||||||||||||||
Intercompany payable | 1,684 | 2,820 | 2,220 | (6,724 | ) | — | |||||||||||||||
(2,502 | ) | (8,274 | ) | 4,698 | 115 | (5,963 | ) | ||||||||||||||
Changes in primary working capital components: | |||||||||||||||||||||
Receivables | — | (40,469 | ) | — | — | (40,469 | ) | ||||||||||||||
Inventories | — | (37,426 | ) | — | — | (37,426 | ) | ||||||||||||||
Accounts payable | (299 | ) | 38,040 | — | 2 | 37,743 | |||||||||||||||
Net cash (used in) provided by operating activities | (2,801 | ) | (48,129 | ) | 4,698 | 117 | (46,115 | ) | |||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Investment in subsidiaries | 3,110 | 81 | (3,074 | ) | (117 | ) | — | ||||||||||||||
Property, plant and equipment investments | — | (775 | ) | — | — | (775 | ) | ||||||||||||||
Proceeds from disposition of assets | — | 74 | 209 | — | 283 | ||||||||||||||||
Net cash provided by (used in) investing activities | 3,110 | (620 | ) | (2,865 | ) | (117 | ) | (492 | ) | ||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Repurchase of shares to satisfy employee tax withholdings | (221 | ) | (235 | ) | — | — | (456 | ) | |||||||||||||
Repayments on revolving credit facilities | — | (99,146 | ) | — | — | (99,146 | ) | ||||||||||||||
Borrowings on revolving credit facilities | — | 149,191 | — | — | 149,191 | ||||||||||||||||
Payments of principal on mortgage | — | — | (809 | ) | — | (809 | ) | ||||||||||||||
Payments on capital lease obligations | — | (570 | ) | — | — | (570 | ) | ||||||||||||||
Increase in bank overdrafts | — | 2,139 | — | — | 2,139 | ||||||||||||||||
Increase in restricted cash related to the mortgage | — | — | (1,024 | ) | — | (1,024 | ) | ||||||||||||||
Proceeds from rights offering, less expenses paid | (98 | ) | — | — | (98 | ) | |||||||||||||||
Debt issuance costs | — | (75 | ) | — | — | (75 | ) | ||||||||||||||
Net cash (used in) provided by financing activities | (319 | ) | 51,304 | (1,833 | ) | — | 49,152 | ||||||||||||||
Increase in cash | (10 | ) | 2,555 | — | — | 2,545 | |||||||||||||||
Balance, beginning of period | 47 | 4,987 | — | — | 5,034 | ||||||||||||||||
Balance, end of period | $ | 37 | $ | 7,542 | $ | — | $ | — | $ | 7,579 | |||||||||||
Noncash transactions: | |||||||||||||||||||||
Capital leases | $ | — | $ | 983 | $ | — | $ | — | $ | 983 | |||||||||||
The consolidating statement of cash flows for BlueLinx Holdings Inc. for the period from December 30, 2012 to March 30, 2013 follows (in thousands): | |||||||||||||||||||||
BlueLinx | BlueLinx | LLC | |||||||||||||||||||
Holdings | Corporation | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Inc. | and | ||||||||||||||||||||
Subsidiaries | |||||||||||||||||||||
Cash flows from operating activities: | |||||||||||||||||||||
Net (loss) income | $ | (12,649 | ) | $ | (13,644 | ) | $ | 2,219 | $ | 11,425 | $ | (12,649 | ) | ||||||||
Adjustments to reconcile net (loss) income to cash (used in) provided by operating activities: | |||||||||||||||||||||
Depreciation and amortization | — | 1,297 | 876 | — | 2,173 | ||||||||||||||||
Amortization of debt issue costs | — | 615 | 331 | — | 946 | ||||||||||||||||
Write off of debt issuance costs | — | 119 | — | — | 119 | ||||||||||||||||
Gain from the sale of properties | — | — | (238 | ) | — | (238 | ) | ||||||||||||||
Pension expense | — | 1,148 | — | — | 1,148 | ||||||||||||||||
Share-based compensation expense | 227 | 597 | — | — | 824 | ||||||||||||||||
Increase in restricted cash related to insurance and other | — | (361 | ) | — | — | (361 | ) | ||||||||||||||
Other | 694 | (507 | ) | (1,081 | ) | — | (894 | ) | |||||||||||||
Equity (deficit) in earnings of subsidiaries | 11,425 | — | — | (11,425 | ) | — | |||||||||||||||
Intercompany receivable | (1,812 | ) | (2,575 | ) | — | 4,387 | — | ||||||||||||||
Intercompany payable | 2,575 | 1,812 | — | (4,387 | ) | — | |||||||||||||||
460 | (11,499 | ) | 2,107 | — | (8,932 | ) | |||||||||||||||
Changes in primary working capital components: | |||||||||||||||||||||
Receivables | — | (61,396 | ) | — | — | (61,396 | ) | ||||||||||||||
Inventories | — | (89,595 | ) | — | — | (89,595 | ) | ||||||||||||||
Accounts payable | 217 | 64,257 | (390 | ) | — | 64,084 | |||||||||||||||
Net cash provided by (used in) operating activities | 677 | (98,233 | ) | 1,717 | — | (95,839 | ) | ||||||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Investment in subsidiaries | (39,364 | ) | 37,643 | 1,721 | — | — | |||||||||||||||
Property, plant and equipment investments | — | (955 | ) | — | — | (955 | ) | ||||||||||||||
Proceeds from disposition of assets | — | 32 | 163 | — | 195 | ||||||||||||||||
Net cash (used in) provided by investing activities | (39,364 | ) | 36,720 | 1,884 | — | (760 | ) | ||||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Excess tax benefits from share-based compensation arrangements | — | 16 | — | — | 16 | ||||||||||||||||
Repurchase of shares to satisfy employee tax withholdings | (1,206 | ) | — | — | — | (1,206 | ) | ||||||||||||||
Repayments on revolving credit facilities | — | (128,836 | ) | — | — | (128,836 | ) | ||||||||||||||
Borrowings on revolving credit facilities | — | 199,828 | — | — | 199,828 | ||||||||||||||||
Payments of principal on mortgage | — | — | (646 | ) | — | (646 | ) | ||||||||||||||
Payments on capital lease obligations | — | (384 | ) | — | — | (384 | ) | ||||||||||||||
Decrease in bank overdrafts | — | (6,298 | ) | — | — | (6,298 | ) | ||||||||||||||
Increase in restricted cash related to the mortgage | — | — | (2,955 | ) | — | (2,955 | ) | ||||||||||||||
Debt issuance costs | — | (2,715 | ) | — | — | (2,715 | ) | ||||||||||||||
Proceeds from rights offering less expenses paid | 39,892 | — | — | — | 39,892 | ||||||||||||||||
Net cash provided by (used in) financing activities | 38,686 | 61,611 | (3,601 | ) | — | 96,696 | |||||||||||||||
Increase in cash | (1 | ) | 98 | — | — | 97 | |||||||||||||||
Balance, beginning of period | 28 | 5,160 | — | — | 5,188 | ||||||||||||||||
Balance, end of period | $ | 27 | $ | 5,258 | $ | — | $ | — | $ | 5,285 | |||||||||||
Noncash transactions: | |||||||||||||||||||||
Capital leases | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||
Basis_of_Presentation_and_Back1
Basis of Presentation and Background (Detail Textuals) | 3 Months Ended |
Apr. 05, 2014 | |
Customer | |
Product | |
Supplier | |
Distribution_Center | |
Employee | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Number of employees | 1,700 |
Number of products | 10,000 |
Number of suppliers | 750 |
Number of customers | 11,500 |
Number of distribution centers | 50 |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies (Details) (USD $) | Apr. 05, 2014 | Jan. 04, 2014 |
In Thousands, unless otherwise specified | ||
Cash in escrow: | ' | ' |
Restricted cash | $13,990 | $11,681 |
Mortgage | ' | ' |
Cash in escrow: | ' | ' |
Restricted cash | 1,024 | ' |
Insurance | ' | ' |
Cash in escrow: | ' | ' |
Restricted cash | 7,924 | 7,921 |
Other (primarily real estate related) | ' | ' |
Cash in escrow: | ' | ' |
Restricted cash | $5,042 | $3,760 |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies (Detail Textuals) (USD $) | 3 Months Ended | 12 Months Ended | |
Apr. 05, 2014 | Jan. 04, 2014 | Jun. 29, 2013 | |
Center | Cost of Sales | ||
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Customer consigned inventory | $11,800,000 | $10,100,000 | ' |
Restricted cash | 13,990,000 | 11,681,000 | ' |
Allowances for receivables (in dollars) | 4,600,000 | 4,400,000 | ' |
Inventory reserve | 100,000 | 300,000 | ' |
Turn days of items considered for inclusion in excess or obsolescence | '270 days | ' | ' |
Inventory reserves related to sale or closure of distribution centers | ' | ' | 1,000,000 |
Damaged, excess and obsolete inventory reserves | 1,800,000 | 1,800,000 | ' |
Number of distribution centers sold or closed | ' | 5 | ' |
Total vendor rebate receivable | 5,900,000 | 7,600,000 | ' |
Total customer rebate payable | $2,700,000 | $6,300,000 | ' |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies (Detail Textuals 1) | 3 Months Ended | |
Apr. 05, 2014 | Mar. 30, 2013 | |
Unvested Restricted Stock | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Anti-dilutive shares excluded from earnings per share calculation | 2,265,072 | 2,892,936 |
Unvested Share-based Awards | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Anti-dilutive shares excluded from earnings per share calculation | 4,748,805 | 5,512,898 |
Performance Shares | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Anti-dilutive shares excluded from earnings per share calculation | 1,699,233 | 1,749,815 |
Stock options | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Anti-dilutive shares excluded from earnings per share calculation | 784,500 | 870,147 |
Summary_of_Significant_Account6
Summary of Significant Accounting Policies (Detail Textuals 2) (USD $) | 3 Months Ended | |
In Millions, except Share data, unless otherwise specified | Apr. 05, 2014 | Mar. 30, 2013 |
Performance Shares | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Number of shares vested | 311,653 | ' |
Number of shares vested in second quarter of fiscal 2014 | 311,653 | ' |
Stock-Based Compensation Expense | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Stock-based compensation expense | $0.70 | $0.80 |
2006 Long-Term Incentive Plan | Performance Shares | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Performance shares granted and approved during the period | ' | 1,872,852 |
Performance shares expected to vest | 1,699,233 | 1,749,815 |
Number of shares vested | 386,541 | ' |
2006 Long-Term Incentive Plan | Restricted Stock | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Number of shares vested | 287,616 | ' |
2006 Long-Term Incentive Plan | Restricted Stock | Officers and directors | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Number of restricted stock issued during period | 1,114,311 | ' |
Summary_of_Significant_Account7
Summary of Significant Accounting Policies (Detail Textuals 3) (USD $) | Apr. 05, 2014 | Jan. 04, 2014 | Apr. 05, 2014 | Apr. 05, 2014 |
In Millions, unless otherwise specified | Minimum | Maximum | ||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' |
Long - lived assets estimated useful life | ' | ' | '5 years | '40 years |
Increase in deferred tax asset and valuation allowance | $3.20 | ' | ' | ' |
Deferred tax asset valuation allowance | 91.5 | 88.3 | ' | ' |
Workers' compensation liability risk | 0.8 | ' | ' | ' |
Auto liability risk | 2 | ' | ' | ' |
Limit for other insurable risks, physical loss to property (in dollars per occurrence) | ' | ' | ' | 0.1 |
Limits for other insurable risks, medical benefit plans (in dollars per occurrence) | ' | ' | ' | 0.3 |
Self insurance reserves | 7 | 6.9 | ' | ' |
Limited of self-insured retention for each claim involving comprehensive general liability (including product liability claims) | $0.80 | ' | ' | ' |
Restructuring_Charges_Details
Restructuring Charges (Details) (USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Apr. 05, 2014 |
Restructuring Cost and Reserve [Line Items] | ' |
Balance at January 4, 2014 | $3,478 |
Charges | ' |
Assumption changes | -27 |
Payments | -603 |
Accretion of Liability | 8 |
Balance at April 5, 2014 | 2,856 |
2013 Facility Lease Obligation and Severance Costs | Reduction in Force Activities | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Balance at January 4, 2014 | 2,550 |
Charges | ' |
Assumption changes | -29 |
Payments | -500 |
Accretion of Liability | ' |
Balance at April 5, 2014 | 2,021 |
2013 Facility Lease Obligation and Severance Costs | Facility Lease Obligation | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Balance at January 4, 2014 | 928 |
Charges | ' |
Assumption changes | 2 |
Payments | -103 |
Accretion of Liability | 8 |
Balance at April 5, 2014 | $835 |
Restructuring_Charges_Detail_T
Restructuring Charges (Detail Textuals) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Apr. 05, 2014 |
Restructuring Charges [Abstract] | ' |
Final payment for amendment to corporate headquarters lease in Atlanta, Georgia | $0.30 |
Assets_Held_for_Sale_and_Net_G1
Assets Held for Sale and Net Gain on Disposition (Detail Textuals) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Apr. 05, 2014 | Apr. 05, 2014 | Jan. 04, 2014 |
Other current assets | Other current assets | ||
Assets Held For Sale and Net Gain On Disposition [Line Items] | ' | ' | ' |
Total assets held for sale current | ' | $2.60 | $2.60 |
Additional gain realized related to sale of Fremont, CA property | $0.20 | ' | ' |
Employee_Benefits_Details
Employee Benefits (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Apr. 05, 2014 | Mar. 30, 2013 |
Net periodic pension cost | ' | ' |
Service cost | $264 | $548 |
Interest cost on projected benefit obligation | 1,280 | 1,188 |
Expected return on plan assets | -1,510 | -1,306 |
Amortization of unrecognized loss | 191 | 718 |
Net periodic pension cost | $225 | $1,148 |
Employee_Benefits_Detail_Textu
Employee Benefits (Detail Textuals) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | ||
In Millions, unless otherwise specified | Apr. 05, 2014 | Jan. 04, 2014 | Dec. 29, 2012 | Apr. 05, 2014 | Jun. 29, 2013 |
Hourly Pension Plan | Hourly Pension Plan | ||||
Payment | |||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' |
Total defined benefit employer minimum required contribution | $5.10 | $6 | $3.20 | ' | ' |
Minimum required contribution for plan year, per quarter cash contributions during fiscal - 2014 | 1.5 | ' | ' | ' | ' |
Deferred and amortized period for defined benefit plan contribution | ' | ' | '5 years | ' | ' |
Independent appraisals cost of land and buildings located in Charleston, S.C. and Buffalo, N.Y. | ' | ' | ' | ' | 6.8 |
Lease back period for real property | ' | ' | ' | ' | '20 years |
Lease back period extension options for real property | ' | ' | ' | ' | '5 years |
Number of minimum quarterly cash contributions during fiscal 2014 | ' | ' | ' | 3 | ' |
Number of minimum monthly lease payment associated with property contribution | ' | ' | ' | 12 | ' |
Rent payments on monthly basis contributions in hourly pension plan | ' | ' | ' | 0.1 | ' |
Lease payment on monthly basis associated with property contribution | $0.10 | ' | ' | ' | ' |
Revolving_Credit_Facilities_De
Revolving Credit Facilities (Detail Textuals) (USD $) | 1 Months Ended | 3 Months Ended | 1 Months Ended | 3 Months Ended | 3 Months Ended | ||||
In Millions, unless otherwise specified | Mar. 30, 2013 | Apr. 05, 2014 | Mar. 14, 2014 | Jun. 28, 2013 | Mar. 30, 2013 | Apr. 05, 2014 | Jan. 04, 2014 | Apr. 05, 2014 | Jan. 04, 2014 |
U.S. | U.S. | U.S. | U.S. | U.S. | U.S. | U.S. | U.S. | ||
Revolving credit facility | Revolving credit facility | Revolving credit facility | Revolving credit facility | Revolving credit facility | Revolving credit facility | Letters of credit | Letters of credit | ||
PNC Bank National Association | Wells Fargo Bank | Wells Fargo Bank | Wells Fargo Bank | Wells Fargo Bank | Wells Fargo Bank | ||||
Line of Credit Facility [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
U.S. revolving credit facility maximum available credit less the uncommitted accordion feature | ' | ' | ' | ' | ' | $447.50 | ' | ' | ' |
Line of credit accordion credit | ' | ' | ' | ' | ' | 75 | ' | ' | ' |
Date of the final maturity of revolving credit facility | ' | ' | ' | ' | ' | 15-Apr-16 | ' | ' | ' |
Additional loan commitment | ' | ' | 20 | 25 | ' | ' | ' | ' | ' |
Additional available credit utilized | ' | ' | ' | ' | ' | 20 | ' | ' | ' |
Debt issuance fees | ' | 0.1 | ' | 0.1 | 2.8 | ' | ' | ' | ' |
Net proceeds from rights offering | 38.6 | ' | ' | ' | ' | ' | ' | ' | ' |
Shares issued to stockholders on rights offering | 22.9 | ' | ' | ' | ' | ' | ' | ' | ' |
U.S. revolving credit facility maximum available credit less the uncommitted accordion feature plus the additional loan commitment | ' | ' | 467.5 | ' | ' | ' | ' | ' | ' |
U.S. revolving credit facility maximum available credit plus the uncommitted accordion feature | ' | ' | ' | ' | ' | 522.5 | ' | ' | ' |
Collateralized letter of credit securing insurance obligations | ' | ' | ' | ' | ' | ' | ' | 1.5 | ' |
Outstanding lines of credit | ' | ' | ' | ' | ' | 258.4 | 207.9 | ' | ' |
Revolving credit facility excess availability | ' | ' | ' | ' | ' | 87.7 | 44.5 | ' | ' |
Interest rate on revolving credit facility | ' | ' | ' | ' | ' | 3.80% | 3.70% | ' | ' |
Outstanding letters of credit | ' | ' | ' | ' | ' | ' | ' | 3.6 | 3.6 |
Covenant description | ' | ' | ' | ' | ' | 'As of April 5, 2014, our U.S. revolving credit facility, as amended, contains customary negative covenants and restrictions for asset based loans, including a requirement that we maintain a fixed charge coverage ratio of 1.1 to 1.0 in the event our excess availability falls below the greater of $33.2 million during the time the $20.0 million increase is outstanding and $31.8 million at all times thereafter or the amount equal to 12.5% of the lesser of the borrowing base or $467.5 million during the time the $20.0 million increase is outstanding, and $447.5 million at all times thereafter (the "Excess Availability Threshold"). | ' | ' | ' |
Revolving credit facility fixed charge coverage ratio requirement | ' | ' | ' | ' | ' | '1.1 to 1.0 | ' | ' | ' |
Minimum amount of revolving credit facility excess availability threshold | ' | ' | ' | ' | ' | 33.2 | ' | ' | ' |
Minimum amount of revolving credit facility excess availability threshold at all times thereafter | ' | ' | ' | ' | ' | 31.8 | ' | ' | ' |
Percentage of revolving credit facility excess availability threshold | ' | ' | ' | ' | ' | 12.50% | ' | ' | ' |
Lowest level of fiscal month-end availability revolving credit facility | ' | ' | ' | ' | ' | $44.50 | ' | ' | ' |
Revolving_Credit_Facilities_De1
Revolving Credit Facilities (Detail Textuals 1) (Revolving credit facility, USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Apr. 05, 2014 | Jan. 04, 2014 |
U.S. | Wells Fargo Bank | ' | ' |
Line of Credit Facility [Line Items] | ' | ' |
Minimum amount of excess availability required to avoid lender dominion of our accounts | $38.70 | ' |
Minimum amount of excess availability required to avoid lender dominion of our accounts as a percentage of the revolving credit facility balance | 15.00% | ' |
Outstanding lines of credit | 258.4 | 207.9 |
Revolving credit facility excess availability | 87.7 | 44.5 |
Interest rate on revolving credit facility | 3.80% | 3.70% |
Bluelinx Building Products Canada Ltd | Canada | CIBC Asset Based Lending Inc | ' | ' |
Line of Credit Facility [Line Items] | ' | ' |
Outstanding lines of credit | 2.8 | 3.3 |
Revolving credit facility excess availability | 1.6 | 1.3 |
Interest rate on revolving credit facility | 4.00% | 4.00% |
Canadian minimum adjusted tangible net worth covenant | $3.90 | ' |
Canadian capital expenditures maximum percentage limit covenant | 120.00% | ' |
Mortgage_Details
Mortgage (Details) (USD $) | Apr. 05, 2014 |
In Thousands, unless otherwise specified | |
Mortgage outstanding principal balance | ' |
2014 | $1,793 |
2015 | 2,586 |
2016 | 181,756 |
2017 | ' |
2018 | ' |
Thereafter | ' |
Total | $186,135 |
Mortgage_Detail_Textuals
Mortgage (Detail Textuals) (USD $) | 3 Months Ended | |||
In Millions, unless otherwise specified | Apr. 05, 2014 | Jan. 04, 2014 | Sep. 28, 2013 | Sep. 19, 2012 |
Facility | ||||
Debt Instrument [Line Items] | ' | ' | ' | ' |
Mortgage loan balance | $186.10 | $186.90 | ' | ' |
Mortgage | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' |
Mortgage loan term | '10 years | ' | ' | ' |
Distribution facilities | 50 | ' | ' | ' |
Mortgage interest rate | 6.35% | ' | ' | ' |
Payment of indebtedness under the mortgage | ' | ' | ' | 11.8 |
Collateral to be remitted to mortgage company after amendment of mortgage | ' | ' | ' | 10 |
Collateral to be remitted to borrower after amendment of mortgage | ' | ' | ' | 10 |
Funds transferred as collateral in next twelve months | ' | ' | ' | 13.3 |
Funds transferred as collateral for mortgage loans remitted for use | ' | ' | ' | 1.3 |
Increase in restricted cash | ' | 1.9 | 8.4 | ' |
Amount released to pay for usual and customary operating expenses | $3.10 | ' | ' | ' |
Fair_Value_Measurements_Detail
Fair Value Measurements (Detail Textuals) (USD $) | Apr. 05, 2014 | Jan. 04, 2014 |
In Millions, unless otherwise specified | ||
Discounted carrying amount | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Value of mortgage | $186.30 | $186.90 |
Fair value | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' |
Value of mortgage | $186 | $186.60 |
Commitments_and_Contingencies_
Commitments and Contingencies (Detail Textuals) | Apr. 05, 2014 |
Agreement | |
Commitments and Contingencies [Abstract] | ' |
Percentages of employees represented by various labour unions | 34.00% |
Number of collective bargaining agreements | 38 |
Number of collective bargaining agreements up for renewal | 6 |
Number of agreements renegotiated | 1 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Loss (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Apr. 05, 2014 | Mar. 30, 2013 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' |
Beginning balance | ($16,293) | ($30,042) |
Other comprehensive loss before reclassification | -231 | -109 |
Amounts reclassified from accumulated other comprehensive loss, net of tax | 115 | 718 |
Current-period other comprehensive (loss) income, net of tax | -116 | 609 |
Ending balance, net of tax | -16,409 | -29,433 |
Foreign currency, net of tax | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' |
Beginning balance | 1,636 | 1,797 |
Other comprehensive loss before reclassification | -231 | -109 |
Amounts reclassified from accumulated other comprehensive loss, net of tax | ' | ' |
Current-period other comprehensive (loss) income, net of tax | -231 | -109 |
Ending balance, net of tax | 1,405 | 1,688 |
Defined benefit pension plan, net of tax | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' |
Beginning balance | -18,141 | -32,051 |
Other comprehensive loss before reclassification | ' | ' |
Amounts reclassified from accumulated other comprehensive loss, net of tax | 115 | 718 |
Current-period other comprehensive (loss) income, net of tax | 115 | 718 |
Ending balance, net of tax | -18,026 | -31,333 |
Other, net of tax | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' |
Beginning balance | 212 | 212 |
Other comprehensive loss before reclassification | ' | ' |
Amounts reclassified from accumulated other comprehensive loss, net of tax | ' | ' |
Current-period other comprehensive (loss) income, net of tax | ' | ' |
Ending balance, net of tax | $212 | $212 |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Loss (Details 1) (Reclassifications out of accumulated other comprehensive loss, USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Apr. 05, 2014 | Mar. 30, 2013 | ||
Reclassifications out of accumulated other comprehensive loss | ' | ' | ||
Amortization of defined benefit pension items: | ' | ' | ||
Actuarial loss | $191 | $718 | ||
Tax impact | 76 | [1] | ' | [2] |
Total, net of tax | $115 | [3] | $718 | [4] |
[1] | We allocated income tax expense to accumulated other comprehensive loss into the Consolidated Statements of Operations to the extent income was recorded in accumulated other comprehensive loss and we have a loss from continuing operations. | |||
[2] | There was no tax effect for this accumulated other comprehensive loss component item due to the fact that there was no intraperiod income tax allocation and the deferred tax benefit was fully offset by a valuation allowance. | |||
[3] | These accumulated other comprehensive loss components, related to the hourly pension plan, are included in the computation of net periodic pension cost. | |||
[4] | These accumulated other comprehensive loss components are included in the computation of net periodic pension cost. See Note 5 for additional details. |
Accumulated_Other_Comprehensiv4
Accumulated Other Comprehensive Loss (Detail Textuals) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Apr. 05, 2014 | Mar. 30, 2013 |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | ' |
Other comprehensive income (loss), net | ($0.10) | $0.60 |
Supplemental_Condensed_Consoli
Supplemental Condensed Consolidating Financial Statements (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Apr. 05, 2014 | Mar. 30, 2013 |
Consolidating statement of operations | ' | ' |
Net sales | $443,944 | $503,153 |
Cost of sales | 391,268 | 446,695 |
Gross profit | 52,676 | 56,458 |
Operating expenses (income): | ' | ' |
Selling, general and administrative | 51,987 | 59,419 |
Depreciation and amortization | 2,352 | 2,173 |
Total operating expenses (income) | 54,339 | 61,592 |
Operating (loss) income | -1,663 | -5,134 |
Non-operating expenses (income): | ' | ' |
Interest expense | 6,454 | 7,192 |
Other expense (income), net | 160 | 110 |
(Loss) income before provision for (benefit from) income taxes | -8,277 | -12,436 |
(Benefit from) provision for income taxes | 331 | 213 |
Equity in (loss) income of subsidiaries | ' | ' |
Net (loss) income | -8,608 | -12,649 |
BlueLinx Holdings | ' | ' |
Consolidating statement of operations | ' | ' |
Net sales | ' | ' |
Cost of sales | ' | ' |
Gross profit | ' | ' |
Operating expenses (income): | ' | ' |
Selling, general and administrative | 1,433 | 1,036 |
Depreciation and amortization | ' | ' |
Total operating expenses (income) | 1,433 | 1,036 |
Operating (loss) income | -1,433 | -1,036 |
Non-operating expenses (income): | ' | ' |
Interest expense | ' | ' |
Other expense (income), net | ' | ' |
(Loss) income before provision for (benefit from) income taxes | -1,433 | -1,036 |
(Benefit from) provision for income taxes | -36 | 188 |
Equity in (loss) income of subsidiaries | -7,211 | -11,425 |
Net (loss) income | -8,608 | -12,649 |
BlueLinx Corporation and Subsidiaries | ' | ' |
Consolidating statement of operations | ' | ' |
Net sales | 443,944 | 503,153 |
Cost of sales | 391,268 | 446,695 |
Gross profit | 52,676 | 56,458 |
Operating expenses (income): | ' | ' |
Selling, general and administrative | 57,260 | 65,109 |
Depreciation and amortization | 1,549 | 1,297 |
Total operating expenses (income) | 58,809 | 66,406 |
Operating (loss) income | -6,133 | -9,948 |
Non-operating expenses (income): | ' | ' |
Interest expense | 3,123 | 3,560 |
Other expense (income), net | 161 | 111 |
(Loss) income before provision for (benefit from) income taxes | -9,417 | -13,619 |
(Benefit from) provision for income taxes | 303 | 25 |
Equity in (loss) income of subsidiaries | ' | ' |
Net (loss) income | -9,720 | -13,644 |
LLC Subsidiaries | ' | ' |
Consolidating statement of operations | ' | ' |
Net sales | 6,666 | 6,888 |
Cost of sales | ' | ' |
Gross profit | 6,666 | 6,888 |
Operating expenses (income): | ' | ' |
Selling, general and administrative | -40 | 162 |
Depreciation and amortization | 803 | 876 |
Total operating expenses (income) | 763 | 1,038 |
Operating (loss) income | 5,903 | 5,850 |
Non-operating expenses (income): | ' | ' |
Interest expense | 3,331 | 3,632 |
Other expense (income), net | -1 | -1 |
(Loss) income before provision for (benefit from) income taxes | 2,573 | 2,219 |
(Benefit from) provision for income taxes | 64 | ' |
Equity in (loss) income of subsidiaries | ' | ' |
Net (loss) income | 2,509 | 2,219 |
Eliminations | ' | ' |
Consolidating statement of operations | ' | ' |
Net sales | -6,666 | -6,888 |
Cost of sales | ' | ' |
Gross profit | -6,666 | -6,888 |
Operating expenses (income): | ' | ' |
Selling, general and administrative | -6,666 | -6,888 |
Depreciation and amortization | ' | ' |
Total operating expenses (income) | -6,666 | -6,888 |
Operating (loss) income | ' | ' |
Non-operating expenses (income): | ' | ' |
Interest expense | ' | ' |
Other expense (income), net | ' | ' |
(Loss) income before provision for (benefit from) income taxes | ' | ' |
(Benefit from) provision for income taxes | ' | ' |
Equity in (loss) income of subsidiaries | 7,211 | 11,425 |
Net (loss) income | $7,211 | $11,425 |
Supplemental_Condensed_Consoli1
Supplemental Condensed Consolidating Financial Statements (Details 1) (USD $) | Apr. 05, 2014 | Jan. 04, 2014 | Mar. 30, 2013 | Dec. 29, 2012 |
In Thousands, unless otherwise specified | ||||
Current assets: | ' | ' | ' | ' |
Cash | $7,579 | $5,034 | $5,285 | $5,188 |
Receivables | 190,766 | 150,297 | ' | ' |
Inventories | 261,006 | 223,580 | ' | ' |
Deferred income tax asset, net | ' | ' | ' | ' |
Other current assets | 25,756 | 22,814 | ' | ' |
Intercompany receivable | ' | ' | ' | ' |
Total current assets | 485,107 | 401,725 | ' | ' |
Property and equipment: | ' | ' | ' | ' |
Land and land improvements | 41,182 | 41,176 | ' | ' |
Buildings | 90,172 | 90,082 | ' | ' |
Machinery and equipment | 76,672 | 73,004 | ' | ' |
Construction in progress | 760 | 3,028 | ' | ' |
Property and equipment, at cost | 208,786 | 207,290 | ' | ' |
Accumulated depreciation | -98,344 | -96,171 | ' | ' |
Property and equipment, net | 110,442 | 111,119 | ' | ' |
Investment in subsidiaries | ' | ' | ' | ' |
Non-current deferred income tax assets, net | 824 | 824 | ' | ' |
Other non-current assets | 15,443 | 16,578 | ' | ' |
Total assets | 611,816 | 530,246 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | 98,008 | 60,363 | ' | ' |
Bank overdrafts | 21,516 | 19,377 | ' | ' |
Accrued compensation | 5,510 | 4,173 | ' | ' |
Current maturities of long-term debt | 38,078 | 9,141 | ' | ' |
Deferred income taxes, net | 823 | 823 | ' | ' |
Other current liabilities | 12,414 | 12,949 | ' | ' |
Intercompany payable | ' | ' | ' | ' |
Total current liabilities | 176,349 | 106,826 | ' | ' |
Non-current liabilities: | ' | ' | ' | ' |
Long-term debt | 409,294 | 388,995 | ' | ' |
Non-current deferred income taxes | ' | ' | ' | ' |
Other non-current liabilities | 40,559 | 40,323 | ' | ' |
Total liabilities | 626,202 | 536,144 | ' | ' |
Stockholders' (deficit) equity/Parent's Investment | -14,386 | -5,898 | ' | ' |
Total liabilities and (deficit) equity | 611,816 | 530,246 | ' | ' |
BlueLinx Holdings Inc. | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash | 37 | 47 | 27 | 28 |
Receivables | ' | ' | ' | ' |
Inventories | ' | ' | ' | ' |
Deferred income tax asset, net | ' | ' | ' | ' |
Other current assets | 1,215 | 790 | ' | ' |
Intercompany receivable | 71,274 | 68,454 | ' | ' |
Total current assets | 72,526 | 69,291 | ' | ' |
Property and equipment: | ' | ' | ' | ' |
Land and land improvements | ' | ' | ' | ' |
Buildings | ' | ' | ' | ' |
Machinery and equipment | ' | ' | ' | ' |
Construction in progress | ' | ' | ' | ' |
Property and equipment, at cost | ' | ' | ' | ' |
Accumulated depreciation | ' | ' | ' | ' |
Property and equipment, net | ' | ' | ' | ' |
Investment in subsidiaries | -58,138 | -47,735 | ' | ' |
Non-current deferred income tax assets, net | ' | ' | ' | ' |
Other non-current assets | ' | ' | ' | ' |
Total assets | 14,388 | 21,556 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | 683 | 1,080 | ' | ' |
Bank overdrafts | ' | ' | ' | ' |
Accrued compensation | 33 | ' | ' | ' |
Current maturities of long-term debt | ' | ' | ' | ' |
Deferred income taxes, net | ' | ' | ' | ' |
Other current liabilities | ' | ' | ' | ' |
Intercompany payable | 28,058 | 26,374 | ' | ' |
Total current liabilities | 28,774 | 27,454 | ' | ' |
Non-current liabilities: | ' | ' | ' | ' |
Long-term debt | ' | ' | ' | ' |
Non-current deferred income taxes | ' | ' | ' | ' |
Other non-current liabilities | ' | ' | ' | ' |
Total liabilities | 28,774 | 27,454 | ' | ' |
Stockholders' (deficit) equity/Parent's Investment | -14,386 | -5,898 | ' | ' |
Total liabilities and (deficit) equity | 14,388 | 21,556 | ' | ' |
BlueLinx Corporation and Subsidiaries | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash | 7,542 | 4,987 | 5,258 | 5,160 |
Receivables | 190,766 | 150,297 | ' | ' |
Inventories | 261,006 | 223,580 | ' | ' |
Deferred income tax asset, net | ' | ' | ' | ' |
Other current assets | 21,701 | 20,208 | ' | ' |
Intercompany receivable | 30,278 | 26,374 | ' | ' |
Total current assets | 511,293 | 425,446 | ' | ' |
Property and equipment: | ' | ' | ' | ' |
Land and land improvements | 4,047 | 4,040 | ' | ' |
Buildings | 10,930 | 10,839 | ' | ' |
Machinery and equipment | 76,672 | 73,004 | ' | ' |
Construction in progress | 760 | 3,028 | ' | ' |
Property and equipment, at cost | 92,909 | 90,911 | ' | ' |
Accumulated depreciation | -65,927 | -64,557 | ' | ' |
Property and equipment, net | 26,482 | 26,354 | ' | ' |
Investment in subsidiaries | ' | ' | ' | ' |
Non-current deferred income tax assets, net | 1,221 | 1,221 | ' | ' |
Other non-current assets | 10,969 | 11,768 | ' | ' |
Total assets | 549,965 | 464,789 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | 97,325 | 59,283 | ' | ' |
Bank overdrafts | 21,516 | 19,377 | ' | ' |
Accrued compensation | 5,477 | 4,173 | ' | ' |
Current maturities of long-term debt | 29,234 | ' | ' | ' |
Deferred income taxes, net | 1,220 | 1,220 | ' | ' |
Other current liabilities | 12,156 | 11,727 | ' | ' |
Intercompany payable | 71,274 | 68,454 | ' | ' |
Total current liabilities | 238,202 | 164,234 | ' | ' |
Non-current liabilities: | ' | ' | ' | ' |
Long-term debt | 232,003 | 211,193 | ' | ' |
Non-current deferred income taxes | ' | ' | ' | ' |
Other non-current liabilities | 40,559 | 40,323 | ' | ' |
Total liabilities | 510,764 | 415,750 | ' | ' |
Stockholders' (deficit) equity/Parent's Investment | 39,201 | 49,039 | ' | ' |
Total liabilities and (deficit) equity | 549,965 | 464,789 | ' | ' |
LLC Subsidiaries | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash | ' | ' | ' | ' |
Receivables | ' | ' | ' | ' |
Inventories | ' | ' | ' | ' |
Deferred income tax asset, net | 397 | 397 | ' | ' |
Other current assets | 2,840 | 1,816 | ' | ' |
Intercompany receivable | ' | ' | ' | ' |
Total current assets | 3,237 | 2,213 | ' | ' |
Property and equipment: | ' | ' | ' | ' |
Land and land improvements | 37,135 | 37,136 | ' | ' |
Buildings | 79,242 | 79,243 | ' | ' |
Machinery and equipment | ' | ' | ' | ' |
Construction in progress | ' | ' | ' | ' |
Property and equipment, at cost | 116,377 | 116,379 | ' | ' |
Accumulated depreciation | -32,417 | -31,614 | ' | ' |
Property and equipment, net | 83,960 | 84,765 | ' | ' |
Investment in subsidiaries | ' | ' | ' | ' |
Non-current deferred income tax assets, net | ' | ' | ' | ' |
Other non-current assets | 4,474 | 4,810 | ' | ' |
Total assets | 91,671 | 91,788 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | ' | ' | ' | ' |
Bank overdrafts | ' | ' | ' | ' |
Accrued compensation | ' | ' | ' | ' |
Current maturities of long-term debt | 8,844 | 9,141 | ' | ' |
Deferred income taxes, net | ' | ' | ' | ' |
Other current liabilities | 258 | 1,222 | ' | ' |
Intercompany payable | 2,220 | ' | ' | ' |
Total current liabilities | 11,322 | 10,363 | ' | ' |
Non-current liabilities: | ' | ' | ' | ' |
Long-term debt | 177,291 | 177,802 | ' | ' |
Non-current deferred income taxes | 397 | 397 | ' | ' |
Other non-current liabilities | ' | ' | ' | ' |
Total liabilities | 189,010 | 188,562 | ' | ' |
Stockholders' (deficit) equity/Parent's Investment | -97,339 | -96,774 | ' | ' |
Total liabilities and (deficit) equity | 91,671 | 91,788 | ' | ' |
Eliminations | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash | ' | ' | ' | ' |
Receivables | ' | ' | ' | ' |
Inventories | ' | ' | ' | ' |
Deferred income tax asset, net | -397 | -397 | ' | ' |
Other current assets | ' | ' | ' | ' |
Intercompany receivable | -101,552 | -94,828 | ' | ' |
Total current assets | -101,949 | -95,225 | ' | ' |
Property and equipment: | ' | ' | ' | ' |
Land and land improvements | ' | ' | ' | ' |
Buildings | ' | ' | ' | ' |
Machinery and equipment | ' | ' | ' | ' |
Construction in progress | ' | ' | ' | ' |
Property and equipment, at cost | ' | ' | ' | ' |
Accumulated depreciation | ' | ' | ' | ' |
Property and equipment, net | ' | ' | ' | ' |
Investment in subsidiaries | 58,138 | 47,735 | ' | ' |
Non-current deferred income tax assets, net | -397 | -397 | ' | ' |
Other non-current assets | ' | ' | ' | ' |
Total assets | -44,208 | -47,887 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable | ' | ' | ' | ' |
Bank overdrafts | ' | ' | ' | ' |
Accrued compensation | ' | ' | ' | ' |
Current maturities of long-term debt | ' | ' | ' | ' |
Deferred income taxes, net | -397 | -397 | ' | ' |
Other current liabilities | ' | ' | ' | ' |
Intercompany payable | -101,552 | -94,828 | ' | ' |
Total current liabilities | -101,949 | -95,225 | ' | ' |
Non-current liabilities: | ' | ' | ' | ' |
Long-term debt | ' | ' | ' | ' |
Non-current deferred income taxes | -397 | -397 | ' | ' |
Other non-current liabilities | ' | ' | ' | ' |
Total liabilities | -102,346 | -95,622 | ' | ' |
Stockholders' (deficit) equity/Parent's Investment | 58,138 | 47,735 | ' | ' |
Total liabilities and (deficit) equity | ($44,208) | ($47,887) | ' | ' |
Supplemental_Condensed_Consoli2
Supplemental Condensed Consolidating Financial Statements (Details 2) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Apr. 05, 2014 | Mar. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net (loss) income | ($8,608) | ($12,649) |
Adjustments to reconcile net (loss) income to cash (used in) provided by operating activities: | ' | ' |
Depreciation and amortization | 2,352 | 2,173 |
Amortization of debt issue costs | 744 | 946 |
Write off of debt issuance costs | ' | 119 |
Gain from the sale of properties | -210 | -238 |
Restructuring payments | -603 | ' |
Share-based compensation expense | 690 | 824 |
Intraperiod income tax allocation related to hourly pension plan | -76 | ' |
Pension expense | 225 | 1,148 |
Increase in restricted cash related to insurance and other | -1,285 | -361 |
Other | 808 | -894 |
Equity (deficit) in earnings of subsidiaries | ' | ' |
Intercompany receivable | ' | ' |
Intercompany payable | ' | ' |
Adjustments to reconcile net loss to cash used in operations, Total | -5,963 | -8,932 |
Changes in primary working capital components: | ' | ' |
Receivables | -40,469 | -61,396 |
Inventories | -37,426 | -89,595 |
Accounts payable | 37,743 | 64,084 |
Net cash (used in) provided by operating activities | -46,115 | -95,839 |
Cash flows from investing activities: | ' | ' |
Investment in subsidiaries | ' | ' |
Property, plant and equipment investments | -775 | -955 |
Proceeds from disposition of assets | 283 | 195 |
Net cash provided by (used in) investing activities | -492 | -760 |
Cash flows from financing activities: | ' | ' |
Excess tax benefits from share-based compensation arrangements | ' | 16 |
Repurchase of shares to satisfy employee tax withholdings | -456 | -1,206 |
Repayments on the revolving credit facilities | -99,146 | -128,836 |
Borrowings from the revolving credit facilities | 149,191 | 199,828 |
Payments of principal on mortgage | -809 | -646 |
Payments on capital lease obligations | -570 | -384 |
Increase (decrease) in bank overdrafts | 2,139 | -6,298 |
Increase in restricted cash related to the mortgage | -1,024 | -2,955 |
Proceeds from stock offering, less expenses paid | -98 | 39,892 |
Debt issuance costs | -75 | -2,715 |
Net cash provided by (used in) financing activities | 49,152 | 96,696 |
Increase in cash | 2,545 | 97 |
Balance, beginning of period | 5,034 | 5,188 |
Balance, end of period | 7,579 | 5,285 |
Noncash transactions: | ' | ' |
Capital leases | 983 | ' |
BlueLinx Holdings | ' | ' |
Cash flows from operating activities: | ' | ' |
Net (loss) income | -8,608 | -12,649 |
Adjustments to reconcile net (loss) income to cash (used in) provided by operating activities: | ' | ' |
Depreciation and amortization | ' | ' |
Amortization of debt issue costs | ' | ' |
Gain from the sale of properties | ' | ' |
Share-based compensation expense | 423 | 227 |
Intraperiod income tax allocation related to hourly pension plan | ' | ' |
Pension expense | ' | ' |
Increase in restricted cash related to insurance and other | ' | ' |
Other | -392 | 694 |
Equity (deficit) in earnings of subsidiaries | 7,211 | 11,425 |
Intercompany receivable | -2,820 | -1,812 |
Intercompany payable | 1,684 | 2,575 |
Adjustments to reconcile net loss to cash used in operations, Total | -2,502 | 460 |
Changes in primary working capital components: | ' | ' |
Receivables | ' | ' |
Inventories | ' | ' |
Accounts payable | -299 | 217 |
Net cash (used in) provided by operating activities | -2,801 | 677 |
Cash flows from investing activities: | ' | ' |
Investment in subsidiaries | 3,110 | -39,364 |
Property, plant and equipment investments | ' | ' |
Proceeds from disposition of assets | ' | ' |
Net cash provided by (used in) investing activities | 3,110 | -39,364 |
Cash flows from financing activities: | ' | ' |
Excess tax benefits from share-based compensation arrangements | ' | ' |
Repurchase of shares to satisfy employee tax withholdings | -221 | -1,206 |
Repayments on the revolving credit facilities | ' | ' |
Borrowings from the revolving credit facilities | ' | ' |
Payments of principal on mortgage | ' | ' |
Payments on capital lease obligations | ' | ' |
Increase (decrease) in bank overdrafts | ' | ' |
Increase in restricted cash related to the mortgage | ' | ' |
Proceeds from stock offering, less expenses paid | -98 | 39,892 |
Debt issuance costs | ' | ' |
Net cash provided by (used in) financing activities | -319 | 38,686 |
Increase in cash | -10 | -1 |
Balance, beginning of period | 47 | 28 |
Balance, end of period | 37 | 27 |
Noncash transactions: | ' | ' |
Capital leases | ' | ' |
BlueLinx Corporation and Subsidiaries | ' | ' |
Cash flows from operating activities: | ' | ' |
Net (loss) income | -9,720 | -13,644 |
Adjustments to reconcile net (loss) income to cash (used in) provided by operating activities: | ' | ' |
Depreciation and amortization | 1,549 | 1,297 |
Amortization of debt issue costs | 413 | 615 |
Write off of debt issuance costs | ' | 119 |
Gain from the sale of properties | ' | ' |
Restructuring payments | -603 | ' |
Share-based compensation expense | 267 | 597 |
Intraperiod income tax allocation related to hourly pension plan | -76 | ' |
Pension expense | 225 | 1,148 |
Increase in restricted cash related to insurance and other | -1,285 | -361 |
Other | 2,040 | -507 |
Equity (deficit) in earnings of subsidiaries | ' | ' |
Intercompany receivable | -3,904 | -2,575 |
Intercompany payable | 2,820 | 1,812 |
Adjustments to reconcile net loss to cash used in operations, Total | -8,274 | -11,499 |
Changes in primary working capital components: | ' | ' |
Receivables | -40,469 | -61,396 |
Inventories | -37,426 | -89,595 |
Accounts payable | 38,040 | 64,257 |
Net cash (used in) provided by operating activities | -48,129 | -98,233 |
Cash flows from investing activities: | ' | ' |
Investment in subsidiaries | 81 | 37,643 |
Property, plant and equipment investments | -775 | -955 |
Proceeds from disposition of assets | 74 | 32 |
Net cash provided by (used in) investing activities | -620 | 36,720 |
Cash flows from financing activities: | ' | ' |
Excess tax benefits from share-based compensation arrangements | ' | 16 |
Repurchase of shares to satisfy employee tax withholdings | -235 | ' |
Repayments on the revolving credit facilities | -99,146 | -128,836 |
Borrowings from the revolving credit facilities | 149,191 | 199,828 |
Payments of principal on mortgage | ' | ' |
Payments on capital lease obligations | -570 | -384 |
Increase (decrease) in bank overdrafts | 2,139 | -6,298 |
Increase in restricted cash related to the mortgage | ' | ' |
Proceeds from stock offering, less expenses paid | ' | ' |
Debt issuance costs | -75 | -2,715 |
Net cash provided by (used in) financing activities | 51,304 | 61,611 |
Increase in cash | 2,555 | 98 |
Balance, beginning of period | 4,987 | 5,160 |
Balance, end of period | 7,542 | 5,258 |
Noncash transactions: | ' | ' |
Capital leases | 983 | ' |
LLC Subsidiaries | ' | ' |
Cash flows from operating activities: | ' | ' |
Net (loss) income | 2,509 | 2,219 |
Adjustments to reconcile net (loss) income to cash (used in) provided by operating activities: | ' | ' |
Depreciation and amortization | 803 | 876 |
Amortization of debt issue costs | 331 | 331 |
Gain from the sale of properties | -210 | -238 |
Share-based compensation expense | ' | ' |
Intraperiod income tax allocation related to hourly pension plan | ' | ' |
Pension expense | ' | ' |
Increase in restricted cash related to insurance and other | ' | ' |
Other | -955 | -1,081 |
Equity (deficit) in earnings of subsidiaries | ' | ' |
Intercompany receivable | ' | ' |
Intercompany payable | 2,220 | ' |
Adjustments to reconcile net loss to cash used in operations, Total | 4,698 | 2,107 |
Changes in primary working capital components: | ' | ' |
Receivables | ' | ' |
Inventories | ' | ' |
Accounts payable | ' | -390 |
Net cash (used in) provided by operating activities | 4,698 | 1,717 |
Cash flows from investing activities: | ' | ' |
Investment in subsidiaries | -3,074 | 1,721 |
Property, plant and equipment investments | ' | ' |
Proceeds from disposition of assets | 209 | 163 |
Net cash provided by (used in) investing activities | -2,865 | 1,884 |
Cash flows from financing activities: | ' | ' |
Excess tax benefits from share-based compensation arrangements | ' | ' |
Repurchase of shares to satisfy employee tax withholdings | ' | ' |
Repayments on the revolving credit facilities | ' | ' |
Borrowings from the revolving credit facilities | ' | ' |
Payments of principal on mortgage | -809 | -646 |
Payments on capital lease obligations | ' | ' |
Increase (decrease) in bank overdrafts | ' | ' |
Increase in restricted cash related to the mortgage | -1,024 | -2,955 |
Proceeds from stock offering, less expenses paid | ' | ' |
Debt issuance costs | ' | ' |
Net cash provided by (used in) financing activities | -1,833 | -3,601 |
Increase in cash | ' | ' |
Balance, beginning of period | ' | ' |
Balance, end of period | ' | ' |
Noncash transactions: | ' | ' |
Capital leases | ' | ' |
Eliminations | ' | ' |
Cash flows from operating activities: | ' | ' |
Net (loss) income | 7,211 | 11,425 |
Adjustments to reconcile net (loss) income to cash (used in) provided by operating activities: | ' | ' |
Depreciation and amortization | ' | ' |
Amortization of debt issue costs | ' | ' |
Gain from the sale of properties | ' | ' |
Share-based compensation expense | ' | ' |
Intraperiod income tax allocation related to hourly pension plan | ' | ' |
Pension expense | ' | ' |
Increase in restricted cash related to insurance and other | ' | ' |
Other | 115 | ' |
Equity (deficit) in earnings of subsidiaries | -7,211 | -11,425 |
Intercompany receivable | 6,724 | 4,387 |
Intercompany payable | -6,724 | -4,387 |
Adjustments to reconcile net loss to cash used in operations, Total | 115 | ' |
Changes in primary working capital components: | ' | ' |
Receivables | ' | ' |
Inventories | ' | ' |
Accounts payable | 2 | ' |
Net cash (used in) provided by operating activities | 117 | ' |
Cash flows from investing activities: | ' | ' |
Investment in subsidiaries | -117 | ' |
Property, plant and equipment investments | ' | ' |
Proceeds from disposition of assets | ' | ' |
Net cash provided by (used in) investing activities | -117 | ' |
Cash flows from financing activities: | ' | ' |
Excess tax benefits from share-based compensation arrangements | ' | ' |
Repurchase of shares to satisfy employee tax withholdings | ' | ' |
Repayments on the revolving credit facilities | ' | ' |
Borrowings from the revolving credit facilities | ' | ' |
Payments of principal on mortgage | ' | ' |
Payments on capital lease obligations | ' | ' |
Increase (decrease) in bank overdrafts | ' | ' |
Increase in restricted cash related to the mortgage | ' | ' |
Proceeds from stock offering, less expenses paid | ' | ' |
Debt issuance costs | ' | ' |
Net cash provided by (used in) financing activities | ' | ' |
Increase in cash | ' | ' |
Balance, beginning of period | ' | ' |
Balance, end of period | ' | ' |
Noncash transactions: | ' | ' |
Capital leases | ' | ' |