Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Jan. 03, 2015 | Feb. 28, 2015 | Jun. 27, 2014 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | FALSE | ||
Document Period End Date | 3-Jan-15 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | PGTI | ||
Entity Registrant Name | PGT, Inc. | ||
Entity Central Index Key | 1354327 | ||
Current Fiscal Year End Date | -2 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 47,707,270 | ||
Entity Public Float | $380,136,516 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Income Statement [Abstract] | |||
Net sales | $306,388 | $239,303 | $174,540 |
Cost of sales | 213,596 | 159,169 | 114,872 |
Gross margin | 92,792 | 80,134 | 59,668 |
Gain on sale of assets held | 0 | -2,195 | |
Selling, general and administrative expenses | 56,377 | 54,594 | 47,094 |
Income from operations | 36,415 | 27,735 | 12,574 |
Interest expense, net | 5,960 | 3,520 | 3,437 |
Debt extinguishment costs | 2,625 | 333 | |
Other expense, net | 1,750 | 437 | 72 |
Income before income taxes | 26,080 | 23,445 | 9,065 |
Income tax expense (benefit) | 9,675 | -3,374 | 110 |
Net income | $16,405 | $26,819 | $8,955 |
Net income per common share: | |||
Basic | $0.35 | $0.55 | $0.17 |
Diluted | $0.33 | $0.51 | $0.16 |
Weighted average shares outstanding: | |||
Basic | 47,376 | 48,881 | 53,620 |
Diluted | 49,777 | 52,211 | 55,262 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Statement of Comprehensive Income [Abstract] | |||
Net income | $16,405 | $26,819 | $8,955 |
Other comprehensive income (loss) before tax | |||
Change in fair value of derivatives | -212 | -1,391 | -24 |
Reclassification to earnings | 1,195 | 145 | 408 |
Other comprehensive income (loss) before tax | 983 | -1,246 | 384 |
Income tax expense (benefit) related to components of other comprehensive income (loss) | 431 | -437 | |
Other comprehensive income (loss), net of tax | 552 | -809 | 384 |
Comprehensive income | $16,957 | $26,010 | $9,339 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ||
Cash and cash equivalents | $42,469 | $30,204 |
Accounts receivable, net | 25,374 | 20,821 |
Inventories | 19,970 | 12,908 |
Prepaid expenses | 1,564 | 1,538 |
Other current assets | 4,900 | 3,166 |
Deferred income taxes | 5,160 | 2,763 |
Total current assets | 99,437 | 71,400 |
Property, plant and equipment, net | 60,898 | 44,123 |
Trade name and other intangible assets, net | 82,724 | 38,869 |
Goodwill | 66,580 | |
Other assets, net | 2,110 | 2,240 |
Total assets | 311,749 | 156,632 |
Current liabilities: | ||
Accounts payable | 5,404 | 3,834 |
Accrued liabilities | 11,924 | 11,688 |
Current portion of long-term debt | 1,962 | 4,890 |
Total current liabilities | 19,290 | 20,412 |
Long-term debt, less current portion | 191,792 | 72,365 |
Deferred income taxes | 25,956 | 13,380 |
Other liabilities | 735 | 1,400 |
Total liabilities | 237,773 | 107,557 |
Shareholders' equity: | ||
Preferred stock; par value $.01 per share; 10,000 shares authorized; none outstanding | ||
Common stock; par value $.01 per share; 200,000 shares authorized; 49,797 and 48,868 shares issued and 47,707 and 46,871 shares outstanding at January 3, 2015, and December 28, 2013, respectively | 498 | 489 |
Additional paid-in-capital | 238,229 | 229,269 |
Accumulated other comprehensive loss | -1,671 | -2,223 |
Accumulated deficit | -152,009 | -168,414 |
Shareholders' equity | 85,047 | 59,121 |
Less: Treasury stock at cost | -11,071 | -10,046 |
Total shareholders' equity | 73,976 | 49,075 |
Total liabilities and shareholders' equity | $311,749 | $156,632 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, Shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, Shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 49,797,000 | 48,868,000 |
Common stock, shares outstanding | 47,707,000 | 46,871,000 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Cash flows from operating activities: | |||
Net income | $16,405 | $26,819 | $8,955 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation | 4,534 | 4,622 | 5,731 |
Amortization | 1,446 | 6,458 | 6,502 |
Provision for allowance for doubtful accounts | -535 | 29 | 37 |
Stock-based compensation | 1,214 | 970 | 1,363 |
Amortization and write-offs of deferred financing costs | 3,533 | 1,660 | 857 |
Derivative financial instruments | 669 | -16 | 136 |
Deferred income taxes | 3,329 | -3,460 | -82 |
Tax benefit on exercised stock options | -6,064 | -396 | 0 |
Gain on disposal of assets | -2,186 | -266 | |
Change in operating assets and liabilities (excluding the effects of the acquisition): | |||
Accounts receivable | -642 | -8,234 | -667 |
Inventories | -3,834 | -1,379 | 73 |
Prepaid expenses and other current assets | -1,628 | -1,267 | 87 |
Accounts payable and accrued liabilities | 3,823 | 2,111 | 462 |
Net cash provided by operating activities | 22,250 | 25,731 | 23,188 |
Cash flows from investing activities: | |||
Purchases of property, plant and equipment | -19,301 | -7,550 | -3,792 |
Acquisition of CGI | -110,438 | ||
Proceeds from disposals of assets | 7,478 | 454 | |
Net cash used in investing activities | -129,739 | -72 | -3,338 |
Cash flows from financing activities: | |||
Payments of long-term debt | -79,500 | -38,500 | -8,000 |
Proceeds from issuance of long-term debt | 198,000 | 80,000 | |
Payments of financing costs | -5,466 | -3,583 | -143 |
Payments of capital leases | -50 | ||
Purchases of treasury stock | -1,025 | -56,091 | -3,946 |
Proceeds from exercise of stock options | 1,691 | 3,580 | 92 |
Tax benefit on exercised stock options | 6,064 | 396 | |
Other | -10 | ||
Net cash provided by (used in) financing activities | 119,754 | -14,198 | -12,047 |
Net increase in cash and cash equivalents | 12,265 | 11,461 | 7,803 |
Cash and cash equivalents at beginning of period | 30,204 | 18,743 | 10,940 |
Cash and cash equivalents at end of period | 42,469 | 30,204 | 18,743 |
Supplemental cash flow information: | |||
Interest paid | 2,216 | 2,662 | 2,767 |
Income tax payments | $1,198 | $135 | $200 |
Consolidated_Statements_of_Sha
Consolidated Statements of Shareholders' Equity (USD $) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | Accumulated Deficit [Member] | Accumulated Other Comprehensive Loss [Member] |
In Thousands, except Share data | ||||||
Beginning Balance at Dec. 31, 2011 | $67,362 | $537 | $272,820 | ($9) | ($204,188) | ($1,798) |
Beginning Balance, Shares at Dec. 31, 2011 | 53,659,496 | |||||
Vesting of restricted stock, Shares | 10,639,000 | |||||
Purchases of treasury stock | -3,946 | -3,946 | ||||
Purchases of treasury stock, Shares | -922,694 | |||||
Stock-based compensation | 1,363 | 1,363 | ||||
Exercise of stock options | 92 | 92 | ||||
Exercise of stock options, including tax benefit of $0, Shares | 66,838 | 66,838 | ||||
Comprehensive income (loss), net of tax effect | 384 | 384 | ||||
Net income | 8,955 | 8,955 | ||||
Ending Balance at Dec. 29, 2012 | 74,210 | 537 | 274,275 | -3,955 | -195,233 | -1,414 |
Ending Balance, Shares at Dec. 29, 2012 | 52,814,279 | |||||
Purchases of treasury stock | -56,091 | -56,091 | ||||
Purchases of treasury stock, Shares | -7,865,249 | |||||
Retirement of treasury stock | -68 | -49,932 | 50,000 | |||
Stock-based compensation | 970 | 970 | ||||
Exercise of stock options | 3,580 | 20 | 3,560 | |||
Exercise of stock options, including tax benefit of $0, Shares | 1,922,167 | 1,922,167 | ||||
Tax benefit on exercised stock options | 396 | 396 | ||||
Comprehensive income (loss), net of tax effect | -809 | -809 | ||||
Net income | 26,819 | 26,819 | ||||
Ending Balance at Dec. 28, 2013 | 49,075 | 489 | 229,269 | -10,046 | -168,414 | -2,223 |
Ending Balance, Shares at Dec. 28, 2013 | 48,868,000 | 46,871,197 | ||||
Vesting of restricted stock, Shares | 22,581,000 | |||||
Purchases of treasury stock | -1,025 | -1,025 | ||||
Purchases of treasury stock, Shares | -2,089,853 | -93,081 | ||||
Stock-based compensation | 1,214 | 1,214 | ||||
Exercise of stock options | 1,691 | 9 | 1,682 | |||
Exercise of stock options, including tax benefit of $0, Shares | 906,573 | 906,573 | ||||
Tax benefit on exercised stock options | 6,064 | 6,064 | ||||
Comprehensive income (loss), net of tax effect | 552 | 552 | ||||
Net income | 16,405 | 16,405 | ||||
Ending Balance at Jan. 03, 2015 | $73,976 | $498 | $238,229 | ($11,071) | ($152,009) | ($1,671) |
Ending Balance, Shares at Jan. 03, 2015 | 49,797,000 | 47,707,270 |
Consolidated_Statements_of_Sha1
Consolidated Statements of Shareholders' Equity (Parenthetical) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 29, 2012 |
Exercise of stock options, Tax benefit Value | $0 |
Additional Paid-in Capital [Member] | |
Exercise of stock options, Tax benefit Value | $0 |
Description_of_Business
Description of Business | 12 Months Ended |
Jan. 03, 2015 | |
Accounting Policies [Abstract] | |
Description of Business | 1. Description of Business |
PGT, Inc. (“PGTI”, “we,” or the “Company”) is a leading manufacturer of impact-resistant aluminum and vinyl-framed windows and doors and offers a broad range of fully customizable window and door products. The majority of our sales, are to customers in the state of Florida; however, we also sell products in over 48 states, the Caribbean, Canada, Australia, and in South and Central America. Products are sold through an authorized dealer and distributor network. | |
On September 22, 2014 (the Closing Date), we completed the acquisition of CGI Windows and Doors Holdings, Inc. (CGI) which became a wholly-owned subsidiary of PGT Industries, Inc., which is wholly-owned by PGTI. CGI was established in 1992 and has consistently built a reputation based on designing and manufacturing quality impact resistant products that meet or exceed the stringent Miami-Dade County impact standards. (See Note 4). | |
We were incorporated in the state of Delaware on December 16, 2003, as JLL Window Holdings, Inc., in North Venice, Florida. On February 15, 2006, our Company was renamed PGT, Inc. We have two manufacturing operations with one in North Venice and one in Miami. Additionally, we have one glass tempering and laminating plant, one insulation glass plant, and we completed a second glass tempering and laminating plant in 2014, all in North Venice. | |
All references to PGTI or our Company apply to the consolidated financial statements of PGT, Inc. unless otherwise noted. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | ||||||||||||||||||||||||
Jan. 03, 2015 | |||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies | ||||||||||||||||||||||||
Basis of Presentation | |||||||||||||||||||||||||
The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). | |||||||||||||||||||||||||
Fiscal period | |||||||||||||||||||||||||
Our fiscal year consists of 52 or 53 weeks ending on the Saturday nearest December 31 of the related year. The year ended January 3, 2015, consisted of 53 weeks. The years ended December 28, 2013, and December 29, 2012, consisted of 52 weeks. | |||||||||||||||||||||||||
Principles of consolidation | |||||||||||||||||||||||||
The consolidated financial statements present the results of the operations, financial position and cash flows of PGTI, its wholly owned subsidiary, PGT Industries, Inc. and its wholly-owned subsidiary, CGI. All significant intercompany accounts and transactions have been eliminated in consolidation. | |||||||||||||||||||||||||
Segment information | |||||||||||||||||||||||||
We operate as one operating segment, the manufacture and sale of windows and doors. | |||||||||||||||||||||||||
Use of estimates | |||||||||||||||||||||||||
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Critical accounting estimates involved in applying our accounting policies are those that require management to make assumptions about matters that are uncertain at the time the accounting estimate is made and those for which different estimates reasonably could have been used for the current period. Critical accounting estimates are also those which could have a material impact on the presentation of PGTI’s financial condition, changes in financial condition or results of operations. Actual results could materially differ from those estimates. | |||||||||||||||||||||||||
Revenue recognition | |||||||||||||||||||||||||
We recognize sales when all of the following criteria have been met: a valid customer order with a fixed price has been received; the product has been delivered; and collectability is reasonably assured. All sales recognized are net of allowances for discounts and estimated credits, which are estimated using historical experience. We record provisions against gross revenues for estimated credits in the period when the related revenue is recorded. These estimates are based on factors that include, but are not limited to, analysis of credit memorandum activity. | |||||||||||||||||||||||||
Cost of sales | |||||||||||||||||||||||||
Cost of sales represents costs directly related to the production of our products. Primary costs include raw materials, direct labor, and manufacturing overhead. Manufacturing overhead and related expenses primarily include salaries, wages, employee benefits, utilities, maintenance, engineering and property taxes. | |||||||||||||||||||||||||
Shipping and handling costs | |||||||||||||||||||||||||
Shipping and handling costs incurred in the purchase of materials used in the manufacturing process are included in cost of sales. Costs relating to shipping and handling of our finished products are included in selling, general and administrative expenses and totaled $13.0 million, $10.6 million and $9.0 million for the years ended January 3, 2015, December 28, 2013, and December 29, 2012, respectively. | |||||||||||||||||||||||||
Advertising | |||||||||||||||||||||||||
We expense advertising costs as incurred. Advertising expense included in selling, general and administrative expenses was $0.7 million, $0.7 million and $0.7 million for the years ended January 3, 2015, December 28, 2013, and December 29, 2012, respectively. | |||||||||||||||||||||||||
Research and development costs | |||||||||||||||||||||||||
We expense research and development costs as incurred. Research and development costs included in cost of sales were $1.8 million, $1.3 million and $1.4 million for the years ended January 3, 2015, December 28, 2013, and December 29, 2012, respectively. | |||||||||||||||||||||||||
Cash and cash equivalents | |||||||||||||||||||||||||
Cash and cash equivalents consist of cash on hand or highly liquid investments with an original maturity date of three months or less. | |||||||||||||||||||||||||
Accounts and notes receivable and allowance for doubtful accounts | |||||||||||||||||||||||||
We extend credit to qualified dealers and distributors, generally on a non-collateralized basis. Accounts receivable and notes receivable are recorded at their gross receivable amount, reduced by an allowance for doubtful accounts that results in the receivable being recorded at its net realizable value. The allowance for doubtful accounts is based on management’s assessments of the amount which may become uncollectible in the future and is determined through consideration of our write-off history, specific identification of uncollectible accounts based in part on the customer’s past due balance (based on contractual terms), and consideration of prevailing economic and industry conditions. Uncollectible accounts are written off after repeated attempts to collect from the customer have been unsuccessful. | |||||||||||||||||||||||||
January 3, | December 28, | ||||||||||||||||||||||||
2015 | 2013 | ||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Accounts receivable | $ | 25,680 | $ | 21,334 | |||||||||||||||||||||
Less: Allowance for doubtful accounts | (306 | ) | (513 | ) | |||||||||||||||||||||
$ | 25,374 | $ | 20,821 | ||||||||||||||||||||||
As of January 3, 2015, December 28, 2013, and December 29, 2012, there were $0.3 million, $0.6 million and $0.2 million of trade notes receivable, respectively, for which there was an allowance of $0.2 million, $0.3 million and $0.2 million, respectively, included in other current assets and other assets, depending on due date, in the accompanying consolidated balance sheets. | |||||||||||||||||||||||||
Self-insurance reserves | |||||||||||||||||||||||||
We are primarily self-insured for employee health benefits and for years prior to 2010 for workers’ compensation claims. Our workers’ compensation reserves are accrued based on third-party actuarial valuations of the expected future liabilities. Health benefits are self-insured by us up to pre-determined stop loss limits. These reserves, including incurred but not reported claims, are based on internal computations. These computations consider our historical claims experience, independent statistics, and trends. Changes to actual workers’ compensation or health benefit claims incurred could have a material impact on our estimated self-insurance reserves. For 2014, 2013, and 2012 we are fully insured with respect to workers’ compensation. Accruals for healthcare claims and workers’ compensation are included in accrued liabilities in the accompanying consolidated balance sheets. | |||||||||||||||||||||||||
Warranty expense | |||||||||||||||||||||||||
We have warranty obligations with respect to most of our manufactured products. Warranty periods, which vary by product components, generally range from 1 to 10 years, although the warranty period for a limited number of specifically identified components in certain applications is a lifetime. However, the majority of the products sold have warranties on components which range from 1 to 3 years. The reserve for warranties is based on management’s assessment of the cost per service call, the lag time between order ship dates and warranty service dates, and the number of service calls expected to be incurred to satisfy warranty obligations on recorded net sales. The reserve is determined after assessing Company history and through specific identification. Expected future obligations are discounted to a current value using a risk-free rate for obligations with similar maturities. The following provides information with respect to our warranty accrual. | |||||||||||||||||||||||||
During 2014, we recorded warranty expense at an average rate of 1.80% of sales. This rate is higher than the average rate of 1.30% of sales accrued in fiscal year 2013, due to an increase in service claims experienced in 2014. We assess the adequacy of our warranty accrual on a quarterly, and yearly basis, and adjust the previous amounts recorded, if necessary, to reflect the change in estimate of the future costs of claims yet to be serviced. | |||||||||||||||||||||||||
Accrued Warranty | Beginning | Acquired | Charged to | Adjustments | Settlements | End of | |||||||||||||||||||
of Period | Expense | Period | |||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Year ended January 3, 2015 | $ | 2,666 | $ | 239 | $ | 5,492 | $ | 473 | $ | (5,568 | ) | $ | 3,302 | ||||||||||||
Year ended December 28, 2013 | $ | 3,858 | $ | — | $ | 2,992 | $ | (419 | ) | $ | (3,765 | ) | $ | 2,666 | |||||||||||
Year ended December 29, 2012 | $ | 4,406 | $ | — | $ | 3,157 | $ | (512 | ) | $ | (3,193 | ) | $ | 3,858 | |||||||||||
The accrual for warranty is included in accrued liabilities and other liabilities, depending on estimated settlement date, in the consolidated balance sheets as of January 3, 2015, and December 28, 2013. The portion of warranty expense related to the issuance of product is $3.1 million, $0.4 million and $0.3 million is included in cost of sales on the consolidated statements of operations for the years ended January 3, 2015, December 28, 2013, and December 29, 2012, respectively. The portion related to servicing warranty claims including costs of the service department personnel is included in selling, general and administrative expenses on the consolidated statements of operations, and is $2.9 million, $2.2 million and $2.3 million, respectively, for the years ended January 3, 2015, December 28, 2013, and December 29, 2012. | |||||||||||||||||||||||||
Inventories | |||||||||||||||||||||||||
Inventories consist principally of raw materials purchased for the manufacture of our products. We have limited finished goods inventory as all products are custom, made-to-order products. Finished goods inventory costs include direct materials, direct labor, and overhead. All inventories are stated at the lower of cost (first-in, first-out method) or market (net realizable value). The reserve for obsolescence is based on management’s assessment of the amount of inventory that may become obsolete in the future and is determined through company history, specific identification and consideration of prevailing economic and industry conditions. Inventories consist of the following: | |||||||||||||||||||||||||
January 3, | December 28, | ||||||||||||||||||||||||
2015 | 2013 | ||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Raw materials | $ | 16,674 | $ | 11,305 | |||||||||||||||||||||
Work in progress | 791 | 329 | |||||||||||||||||||||||
Finished goods | 2,505 | 1,274 | |||||||||||||||||||||||
$ | 19,970 | $ | 12,908 | ||||||||||||||||||||||
Property, plant and equipment | |||||||||||||||||||||||||
Property, plant and equipment are recorded at cost and depreciated using the straight-line method over the estimated useful lives of the related assets. Leasehold improvements are amortized over the shorter of the lease term or their estimated useful life. Depreciable assets are assigned estimated lives as follows: | |||||||||||||||||||||||||
Building and improvements | 5 to 40 years | ||||||||||||||||||||||||
Leasehold improvements | 3 to 5 years | ||||||||||||||||||||||||
Furniture and equipment | 3 to 10 years | ||||||||||||||||||||||||
Vehicles | 5 to 10 years | ||||||||||||||||||||||||
Computer software | 3 years | ||||||||||||||||||||||||
Maintenance and repair expenditures are charged to expense as incurred. | |||||||||||||||||||||||||
Long-lived assets | |||||||||||||||||||||||||
We review long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of long-lived assets to future undiscounted net cash flows expected to be generated. If such assets are considered to be impaired, the impairment recognized is the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less cost to sell, and depreciation is no longer recorded. | |||||||||||||||||||||||||
Computer software | |||||||||||||||||||||||||
We capitalize costs associated with software developed or obtained for internal use when both the preliminary project stage is completed and it is probable that computer software being developed will be completed and placed in service. Capitalized costs include: | |||||||||||||||||||||||||
(i) external direct costs of materials and services consumed in developing or obtaining computer software, | |||||||||||||||||||||||||
(ii) payroll and other related costs for employees who are directly associated with and who devote time to the software project, and | |||||||||||||||||||||||||
(iii) interest costs incurred, when material, while developing internal-use software. | |||||||||||||||||||||||||
Capitalization of such costs ceases no later than the point at which the project is substantially complete and ready for its intended purpose. | |||||||||||||||||||||||||
Capitalized software as of January 3, 2015, and December 28, 2013, was $14.0 million and $13.7 million, respectively. Accumulated depreciation of capitalized software was $13.4 million and $12.9 million as of January 3, 2015, and December 28, 2013, respectively. | |||||||||||||||||||||||||
Depreciation expense for capitalized software was $0.5 million, $0.8 million, and $1.0 million for the years ended January 3, 2015, December 28, 2013, and December 29, 2012, respectively. | |||||||||||||||||||||||||
We review the carrying value of capitalized software and development costs for impairment in accordance with our policy pertaining to the impairment of long-lived assets. | |||||||||||||||||||||||||
Goodwill | |||||||||||||||||||||||||
Goodwill represents the excess of the consideration paid in a business combination over the fair value of the identifiable net assets acquired. We test goodwill for impairment at reporting unit level at least annually or whenever events or circumstances indicate that the carrying value of goodwill may not be recoverable from future cash flows. Our annual test for impairment is done on the first day of our fiscal fourth quarter. We have the option of performing a qualitative assessment of impairment to determine whether any further quantitative testing for impairment is necessary. If we elect to bypass the qualitative assessment or if we determine, based on qualitative factors, that it is more likely than not that the fair value of our reporting unit is less than its carrying amount, a two-step quantitative test is required. In Step 1, we compare the fair value of our reporting unit with its net carrying value, including goodwill. If the net carrying value of our reporting unit exceeds its fair value, we then perform Step 2 of the impairment test to measure the amount of impairment loss, if any. In Step 2, we allocate our reporting unit’s fair value to all of its assets and liabilities in a manner similar to a purchase price allocation, with any residual fair value being allocated to goodwill (implied fair value of goodwill). If the carrying amount of our reporting unit’s goodwill exceeds the implied fair value of that goodwill, we recognize an impairment loss in an amount equal to that excess up to the carrying value of goodwill. In performing the two-step quantitative assessment, fair value of the reporting unit is based on discounted cash flows, market multiples, and/or appraised values, as appropriate. (See Note 6). | |||||||||||||||||||||||||
Significant judgments and estimates are used in the determination our reporting unit’s fair value. Discounted cash flow analyses utilize sensitive estimates, including projections of revenues and operating costs considering historical and anticipated future results, general economic and market conditions, discount rates, as well as the impact of planned business or operational strategies. Deterioration in economic or market conditions, as well as increased costs arising from the effects of regulatory or legislative changes may result in declines in our reporting unit’s performance beyond current expectations. Declines in our reporting unit’s performance, increases in equity capital requirements, or increases in the estimated cost of debt or equity, could cause the estimated fair value of our reporting unit or its associated goodwill to decline, which could result in an impairment charge to earnings in a future period related to some portion of the associated goodwill. | |||||||||||||||||||||||||
Other intangibles | |||||||||||||||||||||||||
Other intangible assets consist of trade names, customer-relationships, developed technology and a non-compete intangible asset. The useful lives of trade names were determined to be indefinite and, therefore, these assets are not being amortized. Customer-related intangible assets are being amortized over their estimated useful lives of eight to ten years. Developed technology is being amortized over its estimated useful lives of ten years. Non-compete intangible asset is being amortized over its estimated useful lives of two years. The impairment evaluation of intangible assets with indefinite lives is conducted annually, on the first day of our fiscal fourth quarter, or more frequently, if events or changes in circumstances indicate that an asset might be impaired. The evaluation is performed by comparing the carrying amount of these assets to their estimated fair value. | |||||||||||||||||||||||||
If the estimated fair value is less than the carrying amount of the indefinite-lived intangible assets, then an impairment charge is recorded to reduce the asset to its estimated fair value. The estimated fair value is generally determined on the basis of discounted future projected cost savings attributable to ownership of the intangible assets with indefinite lives which, for us, are our trade names. | |||||||||||||||||||||||||
The assumptions used in the estimate of fair value are generally consistent with past performance and are also consistent with the projections and assumptions that are used in our current operating plans. Such assumptions are subject to change as a result of changing economic and competitive conditions. | |||||||||||||||||||||||||
The determination of fair value used in that assessment is highly sensitive to differences between estimated and actual cash flows and changes in the related discount rate used to evaluate fair value. Estimated cash flows are sensitive to changes in the Florida housing market and changes in the economy among other things. | |||||||||||||||||||||||||
Deferred financing costs | |||||||||||||||||||||||||
On September 22, 2014, we entered into a Credit Agreement (the “2014 Credit Agreement”), among us, the lending institutions identified in the 2014 Credit Agreement, and Deutsche Bank AG New York Branch, as Administrative Agent and Collateral Agent. The 2014 Credit Agreement establishes new senior secured credit facilities in an aggregate amount of $235.0 million, consisting of a $200.0 million Term B term loan facility maturing in seven years that will amortize on a basis of 1% annually during the seven-year term, and a $35.0 million revolving credit facility maturing in five years that includes a swing line facility and a letter of credit facility. (See Note 8). | |||||||||||||||||||||||||
There was a 1% discount, or $2.0 million, upon issuance of the debt under the 2014 Credit Agreement which we recorded as a discount and which is presented net within the current and long-term portions of debt on the consolidated balance sheet as of January 3, 2015. The Company incurred issuance costs of $5.5 million, of which $3.8 million were paid directly to the lenders and were classified as a discount and presented net within the current and long-term portions of debt on the consolidated balance sheet as of January 3, 2015. The remainder of $1.7 million was reported as deferred financing costs in current assets and other assets on the consolidated balance sheet as of January 3, 2015. | |||||||||||||||||||||||||
At the time we entered into the 2014 Credit Agreement, we had $1.5 million recorded as discount presented net within the current and long-term portions of debt and $1.7 million recorded as deferred financing fees presented in current and other assets relating to the 2013 Credit Agreement. Of these debt issuance costs, $0.2 million of costs recorded as discount and $0.4 million of | |||||||||||||||||||||||||
costs recorded as deferred financing fees were not written-off as one of the lenders in the 2014 Credit Agreement was also a lender in the 2013 Credit Agreement and for which we treated the 2014 refinancing as a modification. The remaining debt issuance costs relating to the 2013 Credit Agreement of $2.6 million were written-off as debt extinguishment costs in other expenses, net, on the consolidated statements of operations for the year ended January 3, 2015. | |||||||||||||||||||||||||
At January 3, 2015, we had debt issuance costs of $5.7 million recorded as discount presented net within the current and long-term portions of debt and $2.0 million recorded as deferred financing fees presented in current and other assets relating to the 2014 Credit Agreement. These debt issuance costs are being amortized to interest expense, net, under the effective interest method on the consolidated statements of operations over the term of the 2014 Credit Agreement. There was $0.9 million of amortization for the year ended January 3, 2015, $1.0 million of amortization for the year ended December 28, 2013, and $0.9 million for the year ended December 29, 2012 related to debt discount and deferred financing costs. | |||||||||||||||||||||||||
Estimated amortization of debt issuance costs is as follows for future fiscal years: | |||||||||||||||||||||||||
Classified As | |||||||||||||||||||||||||
(in thousands) | Deferred | Original | Total | ||||||||||||||||||||||
Financing | Issue | ||||||||||||||||||||||||
Costs | Discount | ||||||||||||||||||||||||
2015 | $ | 301 | $ | 714 | $ | 1,015 | |||||||||||||||||||
2016 | 320 | 783 | 1,103 | ||||||||||||||||||||||
2017 | 329 | 820 | 1,149 | ||||||||||||||||||||||
2018 | 339 | 858 | 1,197 | ||||||||||||||||||||||
2019 | 313 | 899 | 1,212 | ||||||||||||||||||||||
Thereafter | 400 | 1,672 | 2,072 | ||||||||||||||||||||||
Total | $ | 2,002 | $ | 5,746 | $ | 7,748 | |||||||||||||||||||
Derivative financial instruments | |||||||||||||||||||||||||
We utilize certain derivative instruments, from time to time, including forward contracts and interest rate swaps and caps to manage variability in cash flow associated with commodity market price risk exposure in the aluminum market and interest rates. We do not enter into derivatives for speculative purposes. Additional information with regard to derivative instruments is contained in Note 8. | |||||||||||||||||||||||||
We account for derivative instruments in accordance with the guidance under the Derivatives and Hedging topic of the Financial Accounting Standards Board (FASB) Accounting Standards Codification (Codification) which requires us to recognize all of our derivative instruments as either assets or liabilities in the consolidated balance sheet at fair value. The accounting for changes in the fair value (i.e., gains or losses) of a derivative instrument depends on whether it has been designated and qualifies as part of a hedging relationship based on its effectiveness in hedging against the exposure and further, on the type of hedging relationship. For those derivative instruments that are designated and qualify as hedging instruments, we must designate the hedging instrument, based upon the exposure being hedged, as a fair value hedge or a cash flow hedge. | |||||||||||||||||||||||||
Our forward contracts are designated and accounted for as cash flow hedges (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk). The Derivatives and Hedging topic of the Codification provides that the effective portion of the gain or loss on a derivative instrument designated and qualifying as a cash flow hedging instrument be reported as a component of other comprehensive income and be reclassified into earnings in the same line item in the income statement as the hedged item in the same period or periods during which the underlying transaction affects earnings. The ineffective portion of the gain or loss on these derivative instruments, if any, is recognized in other income/expense in current earnings during the period of change. | |||||||||||||||||||||||||
On occasion, cash flow hedges may no longer qualify to be designated as hedging instruments; at that time future changes in fair value are recognized in earnings. When a cash flow hedge is terminated, becomes ineffective, or is de-designated, if the forecasted hedged transaction is still probable of occurrence, amounts previously recorded in other comprehensive income remain in other comprehensive income and are recognized in earnings in the period in which the hedged transaction affects earnings. | |||||||||||||||||||||||||
As of January 3, 2015, we did not have cash on deposit with our commodities broker related to funding of margin calls on open forward contracts for the purchase of aluminum. The net liability position of $491 thousand on January 3, 2015, is included in accrued liabilities in the accompanying consolidated balance sheet as it related to open contracts with scheduled prompt dates in 2015. The net liability position of $479 thousand on December 28, 2013, is included in accrued liabilities and other liabilities in the accompanying consolidated balance sheet as it related to open contracts with scheduled prompt dates in 2014 and 2015. | |||||||||||||||||||||||||
For consolidated statement of cash flows presentation, we present net cash receipts from and payments to the margin account as investing activities. | |||||||||||||||||||||||||
On September 16, 2013, we entered into two interest rate caps and one interest rate swap. At January 3, 2015, only one cap remained, the fair value of which was in an asset position of $2 thousand. (See Note 9). | |||||||||||||||||||||||||
Financial instruments | |||||||||||||||||||||||||
Our financial instruments, not including derivative financial instruments discussed in Note 10, include cash, accounts and notes receivable, and accounts payable, and accrued liabilities whose carrying amounts approximate their fair values due to their short-term nature. Our financial instruments also include long-term debt. The fair value of our long-term debt is based on debt with similar terms and characteristics and was approximately $193.8 million as of January 3, 2015, and $77.3 million as of December 28, 2013, both of which approximate carrying value as of those dates. | |||||||||||||||||||||||||
Concentrations of credit risk | |||||||||||||||||||||||||
Financial instruments, which potentially subject us to concentrations of credit risk, consist principally of cash and cash equivalents and trade accounts receivable. Accounts receivable are due primarily from companies in the construction industry located in Florida and the eastern half of the United States. Credit is extended based on an evaluation of the customer’s financial condition and credit history, and generally collateral is not required. | |||||||||||||||||||||||||
We maintain our cash with several financial institutions. The balance exceeds federally insured limits. At January 3, 2015, and December 28, 2013, such balance exceeded the insured limit by $41.7 million and $29.7 million, respectively. | |||||||||||||||||||||||||
Comprehensive income | |||||||||||||||||||||||||
Comprehensive income is reported on the consolidated statements of comprehensive income. Accumulated other comprehensive loss is reported on the consolidated balance sheets and the consolidated statements of shareholders’ equity. | |||||||||||||||||||||||||
Gains and losses on cash flow hedges, to the extent effective, are included in other comprehensive income (loss). Reclassification adjustments reflecting such gains and losses are recorded as income in the same period as the hedged items affect earnings. Additional information with regard to accounting policies associated with derivative instruments is contained in Note 9. | |||||||||||||||||||||||||
Stock compensation | |||||||||||||||||||||||||
We use a fair-value based approach for measuring stock-based compensation and, therefore, record compensation expense over an award’s vesting period based on the award’s fair value at the date of grant. Our Company’s awards vest based only on service conditions and compensation expense is recognized on a straight-line basis for each separately vesting portion of an award. Stock-based compensation expense is recognized only for those awards that are ultimately expected to vest, and we have applied an estimated forfeiture rate to unvested awards for the purpose of calculating compensation cost. These estimates will be revised in future periods if actual forfeitures differ from the estimates. Changes in forfeiture estimates impact compensation cost in the period in which the change in estimate occurs. We recorded compensation expense for stock based awards of $1.2 million before tax, or $0.02 per diluted share after tax-effect, $1.0 million before tax, or $0.01 per diluted share after tax-effect and $1.4 million before income tax, or $0.02 per diluted share after tax-effect, in the years ended January 3, 2015, December 28, 2013, and December 29, 2012, respectively. | |||||||||||||||||||||||||
Income and Other Taxes | |||||||||||||||||||||||||
We account for income taxes utilizing the liability method. Deferred income taxes are recorded to reflect consequences on future years of differences between financial reporting and the tax basis of assets and liabilities measured using the enacted statutory tax rates and tax laws applicable to the periods in which differences are expected to affect taxable earnings. We have no liability for unrecognized tax benefits. However, should we accrue for such liabilities, when and if they arise in the future, we will recognize interest and penalties associated with uncertain tax positions as part of our income tax provision. | |||||||||||||||||||||||||
Sales taxes collected from customers have been recorded on a net basis. | |||||||||||||||||||||||||
Net income per common share | |||||||||||||||||||||||||
Basic earnings per share is computed using the weighted average number of common shares outstanding during the period. Diluted earnings per share is computed using the weighted average number of common shares outstanding during the period, plus the dilutive effect of common stock equivalents using the treasury stock method. We follow the “two class” method of accounting for earnings per share due to the fact that our unvested restricted stock awards are participating securities. | |||||||||||||||||||||||||
Our weighted average shares outstanding excludes underlying options of less than 0.1 million and 0.5 million for the years ended January 3, 2015, and December 29, 2012, respectively, because their effects were anti-dilutive. There were no anti-dilutive options outstanding for the year ended December 28, 2013. | |||||||||||||||||||||||||
The table below presents the calculation of basic and diluted earnings per share, including a reconciliation of weighted average common shares: | |||||||||||||||||||||||||
Year Ended | |||||||||||||||||||||||||
January 3, | December 28, | December 29, | |||||||||||||||||||||||
2015 | 2013 | 2012 | |||||||||||||||||||||||
(in thousands, except per share amounts) | |||||||||||||||||||||||||
Numerator: | |||||||||||||||||||||||||
Net income | $ | 16,405 | $ | 26,819 | $ | 8,955 | |||||||||||||||||||
Denominator: | |||||||||||||||||||||||||
Weighted-average common shares - Basic | 47,376 | 48,881 | 53,620 | ||||||||||||||||||||||
Add: Dilutive effect of stock compensation plans | 2,401 | 3,330 | 1,642 | ||||||||||||||||||||||
Weighted-average common shares - Diluted | 49,777 | 52,211 | 55,262 | ||||||||||||||||||||||
Net income per common share: | |||||||||||||||||||||||||
Basic | $ | 0.35 | $ | 0.55 | $ | 0.17 | |||||||||||||||||||
Diluted | $ | 0.33 | $ | 0.51 | $ | 0.16 | |||||||||||||||||||
Recently_Adopted_Accounting_Pr
Recently Adopted Accounting Pronouncements | 12 Months Ended |
Jan. 03, 2015 | |
Accounting Changes and Error Corrections [Abstract] | |
Recently Adopted Accounting Pronouncements | 3. Recently Adopted Accounting Pronouncements |
In July 2013, the Financial Accounting Standards Board (FASB) issued ASU No. 2013-11, “Income Taxes: Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward Exists,” which requires tax benefits to be presented in the financial statement as a reduction to deferred tax asset for a net operating loss carryforward or a tax credit carryforward. The provisions of the guidance were effective for us beginning in first quarter of 2014. The adoption of this accounting pronouncement did not have a material impact on our disclosures. |
Acquisition_of_CGI_Windows_and
Acquisition of CGI Windows and Doors | 12 Months Ended | ||||||||
Jan. 03, 2015 | |||||||||
Business Combinations [Abstract] | |||||||||
Acquisition of CGI Windows and Doors | 4. Acquisition of CGI Windows and Doors | ||||||||
On September 22, 2014, we completed the acquisition of CGI which became a wholly-owned subsidiary of PGT, Inc. The transaction, valued at $110.4 million, is consistent with our plan to grow strategically while contributing to earnings growth through targeted acquisitions of complementary specialty products. This acquisition was financed with borrowings under the 2014 Credit Agreement. The estimated fair value of assets acquired and liabilities assumed as of the Closing Date, as adjusted through January 3, 2015, are as follows: | |||||||||
Current | |||||||||
Estimate | |||||||||
Accounts receivable | $ | 4,156 | |||||||
Inventories | 3,229 | ||||||||
Prepaid expenses | 303 | ||||||||
Property, plant and equipment | 1,709 | ||||||||
Intangible assets | 45,300 | ||||||||
Other assets | 65 | ||||||||
Goodwill | 66,580 | ||||||||
Deferred income taxes | (6,417 | ) | |||||||
Accounts payable and accrued liabilities | (4,136 | ) | |||||||
Other liabilities | (351 | ) | |||||||
Purchase price | $ | 110,438 | |||||||
The purchase price paid was preliminarily allocated to the net assets acquired based on their fair value on September 22, 2014, in accordance with ASC 805 “Business Combinations”. The fair value of working capital related items, such as accounts receivable, inventories, prepaids, and accounts payable and accrued liabilities, approximated their book values at the date of acquisition. Valuations of the intangible assets (See Note 6) were valued using income and royalty relief approaches based on projections provided by management, which we consider to be Level 3 inputs. | |||||||||
Acquisition costs totaling $1.7 million are included in selling, general, and administrative expenses on the consolidated statement of operations for the year ended January 3, 2015, and relate to legal expenses, diligence, and accounting services. Net sales and net income included in the consolidated statement of operations for the year ended January 3, 2015, from CGI for the period from the Closing Date to January 3, 2015, are $13.3 million and $148 thousand, respectively. | |||||||||
The remaining consideration, after identified intangible assets and the net assets and liabilities recorded at fair value, was preliminarily determined to be $66.6 million, of which $9.3 million is expected to be deductible for tax purposes. Goodwill represents the increased value of the combined entity through additional sales channel opportunities as well as operational efficiencies. If our preliminary value of assets and liabilities changes, there will be an equal and offsetting change to the recorded goodwill. | |||||||||
The following unaudited pro forma financial information assumes the acquisition had occurred at the beginning of the earliest period presented. Pro forma results have been prepared by adjusting our historical results to include the results of CGI adjusted for the following: amortization expense related to the estimated intangible assets arising from the acquisition and interest expense to reflect the 2014 Credit Agreement entered into in connection with the acquisition. | |||||||||
The unaudited pro forma results below do not necessarily reflect the results of operations that would have resulted had the acquisition been completed at the beginning of the earliest period presented, nor does it indicate the results of operations in future periods. The unaudited pro forma results do not include the impact of synergies, nor any potential impacts on current or future market conditions which could alter the following unaudited pro forma results. | |||||||||
Year Ended | |||||||||
Pro Forma Results (unaudited) | January 3, | December 28, | |||||||
2015 | 2013 | ||||||||
(in thousands, except per share amounts) | |||||||||
Net sales | $ | 337,369 | $ | 272,132 | |||||
Net income | $ | 15,209 | $ | 24,985 | |||||
Net income per common share: | |||||||||
Basic | $ | 0.32 | $ | 0.51 | |||||
Diluted | $ | 0.31 | $ | 0.48 | |||||
Property_Plant_and_Equipment
Property, Plant and Equipment | 12 Months Ended | ||||||||
Jan. 03, 2015 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Property, Plant and Equipment | 5. Property, Plant and Equipment | ||||||||
The following table presents the composition of property, plant and equipment as of: | |||||||||
January 3, | December 28, | ||||||||
2015 | 2013 | ||||||||
(in thousands) | |||||||||
Land | $ | 6,298 | $ | 5,641 | |||||
Buildings and improvements | 45,656 | 36,686 | |||||||
Machinery and equipment | 52,838 | 45,058 | |||||||
Vehicles | 8,048 | 6,453 | |||||||
Software | 13,984 | 13,730 | |||||||
Construction in progress | 5,544 | 3,552 | |||||||
132,368 | 111,120 | ||||||||
Less: Accumulated depreciation | (71,470 | ) | (66,997 | ) | |||||
$ | 60,898 | $ | 44,123 | ||||||
In the second quarter of 2012, we entered into an agreement to list the Salisbury, North Carolina facility for sale with an agent, at which time the asset was moved to assets held for sale in the accompanying consolidated balance sheets. During the fourth quarter we accepted an offer to sell the property and the sale closed in the first quarter of 2013. The purchase price less closing costs is in excess of the current carrying costs. The facility’s carrying value was $5.3 million as of December 29, 2012. On January 23, 2013, the sale closed for approximately $8.0 million in cash (approximately $7.5 million net of selling costs), and as such we recognized a gain of $2.2 million related to the sale in 2013. |
Goodwill_Trade_Names_and_Other
Goodwill, Trade Names and Other Intangible Assets | 12 Months Ended | ||||||||||
Jan. 03, 2015 | |||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||
Goodwill, Trade Names and Other Intangible Assets | 6. Goodwill, Trade Names and Other Intangible Assets | ||||||||||
Trade names and other intangible assets are as follows as of: | |||||||||||
January 3, | December 28, | Initial | |||||||||
2015 | 2013 | Useful Life | |||||||||
(in years) | |||||||||||
(in thousands) | |||||||||||
Goodwill | $ | 66,580 | $ | — | indefinite | ||||||
Other intangible assets: | |||||||||||
Trade names | $ | 57,441 | $ | 38,441 | indefinite | ||||||
Customer relationships | 79,700 | 55,700 | 10-Aug | ||||||||
Developed technology | 1,700 | — | 10 | ||||||||
Non-compete agreement | 600 | — | 2 | ||||||||
Less: Accumulated amortization | (56,717 | ) | (55,272 | ) | |||||||
Subtotal | 25,283 | 428 | |||||||||
Other intangible assets, net | $ | 82,724 | $ | 38,869 | |||||||
Goodwill | |||||||||||
We completed a qualitative assessment of goodwill impairment on our reporting unit on the first day of our fourth quarter of 2014. This qualitative assessment included an evaluation of relevant events and circumstances that existed at the date of our assessment. Those events and circumstances included conditions in the industry in which our reporting unit operates, its competitive environment, the availability and costs of its raw materials and labor, the financial performance of our reporting unit in the several days since its acquisition, and the market’s reaction to our acquisition based on the change in our share price (or lack thereof) in the period following its announcement. We also considered that no new impairment indicators were identified in the six days from the date of acquisition to the date of our qualitative assessment. Based on that assessment, we concluded that it is more likely than not that the fair value of our reporting unit exceeded its carrying value on the first day of our fourth quarter. | |||||||||||
Indefinite Lived Intangible Assets | |||||||||||
The impairment evaluation of the carrying amount of intangible assets with indefinite lives is conducted annually, or more frequently, if events or changes in circumstances indicate that an asset might be impaired. Although a qualitative assessment is permitted, we will continue to perform a quantitative test given recent fluctuations in the markets we serve. This test is performed by comparing the carrying amount of these assets to their estimated fair value. If the estimated fair value is less than the carrying amount of the intangible assets, then an impairment charge is recorded to reduce the asset to its estimated fair value. The estimated fair value is determined using the relief from royalty method that is based upon the discounted projected cost savings (value) attributable to ownership of our trade names, our only indefinite lived intangible assets. We categorize these trade names as being valued using Level 3 inputs. | |||||||||||
In estimating fair value, the method we use requires us to make assumptions, the most material of which are net sales projections attributable to products sold with these trade names, the anticipated royalty rate we would pay if the trade names were not owned (as a percent of net sales), and a weighted average discount rate. These assumptions are subject to change based on changes in the markets in which these products are sold, which impact our projections of future net sales and the assumed royalty rate. Factors affecting the weighted average discount rate include assumed debt to equity ratios, risk-free interest rates and equity returns, each for market participants in our industry. | |||||||||||
Our annual test of trade names performed on the first day of our 2014 fourth quarter, utilized net sales, which reflected the current market conditions and include modest growth in future years, a weighted average royalty rate of 3.9% and a discount rate of 13.4%. The estimated fair value of the trade names for which we performed an annual impairment test exceeded book value by approximately 144%, or $55.3 million. We believe our projected sales are reasonable based on available information regarding our industry. We also believe the royalty rate is appropriate and could improve over time based on market trends and information, including that which is set forth above. The discount rate was based on current financial market trends and will remain dependent on such trends in the future. | |||||||||||
Our annual test of trade names for impairment did not include a quantitative test of the trade names indefinite lived intangible asset acquired in the CGI acquisition (See Note 4). A valuation of this trade name intangible was conducted for purposes of allocating the purchase price to the net assets acquired in accordance with ASC 805, “Business Combinations” as of the Closing Date of September 22, 2014, and resulted in a value of $19.0 million. We concluded that the valuation date of September 22, 2014, and the date of our annual test of indefinite lived intangibles assets for impairment of September 28, 2014 were not significantly different and that a separate quantitative test for impairment of this intangible asset was not necessary. | |||||||||||
However, we completed a qualitative assessment of this indefinite-lived intangible asset on the first day of our fourth quarter of 2014. This qualitative assessment included an evaluation of relevant events and circumstances that existed at the date of our assessment. Those events and circumstances included conditions in the industry in which our reporting unit operates at which this indefinite-lived intangible asset is recorded, its competitive environment, the availability and costs of its raw materials and labor, the financial performance of our reporting unit in the several days since its acquisition, and the market’s reaction to our acquisition based on the change in our share price (or lack thereof) in the period following its announcement. We also considered that no new impairment indicators were identified in the six days from the date of valuation of this indefinite-lived intangible asset to the date of our qualitative assessment. Based on that assessment, we concluded that it is more likely than not that our reporting unit’s trade name is not impaired. | |||||||||||
Amortizable Intangible Assets | |||||||||||
We test amortizable intangible assets for impairment when indicators of impairment exist. No impairment testing was performed during the years ended January 3, 2015, December 28, 2013, and December 29, 2012, as we determined that there were no impairment indicators at any time during that three-year period. | |||||||||||
We acquired certain amortizable intangible assets in the CGI acquisition (See Note 4). A valuation of these amortizable intangible assets was conducted for purposes of allocating the purchase price to the net assets acquired in accordance with ASC 805, “Business Combinations” as of the Closing Date of September 22, 2014, and resulted in values of $24.0 million for customer relationships (8 year life), $1.7 million for developed technology (10 year life) and $600 thousand for a non-compete agreement (2 year life). No impairment testing was performed during the period from September 22, 2014, to January 3, 2015, as we determined that there were no impairment indicators at any time during this period. We are amortizing these assets on a straight-line basis. | |||||||||||
Estimated amortization of our customer relationships, developed technology and non-compete agreement intangible assets is as follows for future fiscal year: | |||||||||||
(in thousands) | |||||||||||
2015 | $ | 3,413 | |||||||||
2016 | 3,379 | ||||||||||
2017 | 3,161 | ||||||||||
2018 | 3,161 | ||||||||||
2019 | 3,161 | ||||||||||
Thereafter | 9,008 | ||||||||||
Total | $ | 25,283 | |||||||||
Accrued_Liabilities
Accrued Liabilities | 12 Months Ended | ||||||||
Jan. 03, 2015 | |||||||||
Payables and Accruals [Abstract] | |||||||||
Accrued Liabilities | 7. Accrued Liabilities | ||||||||
Accrued liabilities consisted of the following: | |||||||||
January 3, | December 28, | ||||||||
2015 | 2013 | ||||||||
(in thousands) | |||||||||
Accrued payroll and benefits | $ | 4,607 | $ | 6,019 | |||||
Accrued warranty | 2,658 | 1,923 | |||||||
Unearned revenue | 1,405 | 1,451 | |||||||
Accrued health claims insurance payable | 908 | 743 | |||||||
Accrued interest | 874 | 246 | |||||||
Aluminum forward contracts | 491 | 441 | |||||||
Other | 981 | 865 | |||||||
$ | 11,924 | $ | 11,688 | ||||||
Other accrued liabilities are comprised primarily of state sales taxes and customer rebates. |
LongTerm_Debt
Long-Term Debt | 12 Months Ended | ||||||||||||
Jan. 03, 2015 | |||||||||||||
Debt Disclosure [Abstract] | |||||||||||||
Long-Term Debt | 8. Long-Term Debt | ||||||||||||
Long-term debt consists of the following: | |||||||||||||
January 3, | December 28, | ||||||||||||
2015 | 2013 | ||||||||||||
(in thousands) | |||||||||||||
Term loan payable with a payment of $0.5 million due quarterly. | |||||||||||||
A lump sum payment of $186.0 million is due on September 22, 2021. Interest is payable quarterly at LIBOR or the prime rate plus an applicable margin. At January 3, 2015, the average rate was 1.00% plus a margin of 4.25%. | $ | 199,500 | $ | — | |||||||||
Term note payable with a payment of $1.0 million due quarterly. | |||||||||||||
A lump sum payment of $63.0 million is due on May 28, 2018. Interest is payable monthly, or quarterly at LIBOR or the prime rate plus an applicable margin. At December 28, 2013, the average rate was 0.16% plus a margin of 3.00%. | — | 79,000 | |||||||||||
Debt discount (1) | (5,746 | ) | (1,745 | ) | |||||||||
193,754 | 77,255 | ||||||||||||
Less current portion of long-term debt | (1,962 | ) | (4,890 | ) | |||||||||
Total | $ | 191,792 | $ | 72,365 | |||||||||
-1 | Debt discount – represents fees paid to the lender at time the debt was issued, and is accounted for as a reduction in the debt proceeds and is amortized over the life of the debt instrument. | ||||||||||||
2013 Credit Agreement | |||||||||||||
On May 28, 2013, we entered into the 2013 Credit Agreement with the various financial institutions and other persons from time to time parties thereto as lenders (the “Lenders”), SunTrust Bank, as administrative agent (in such capacity, the “Administrative Agent”), as collateral agent, as swing line lender and as a letter of credit issuer, and the other agents and parties thereto. The 2013 Credit Agreement established new senior secured credit facilities in an aggregate amount of $105.0 million, consisting of an $80.0 million Tranche A term loan facility maturing in five years that amortized on a basis of 5% annually during the five-year term, and a $25.0 million revolving credit facility maturing in five years that included a $5.0 million swing line facility and a $10.0 million letter of credit facility. | |||||||||||||
Interest on all loans under the 2013 Credit Agreement was payable either quarterly or at the expiration of any LIBOR interest period applicable thereto. Borrowings under the term loans and the revolving credit facility accrued interest at a rate equal to, at our option, a base rate or LIBOR plus an applicable margin. The applicable margin was based on our leverage ratio, ranging from 300 to 350 basis points in the case of LIBOR and 200 to 250 basis points in the case of the base rate. We paid quarterly fees on the unused portion of the revolving credit facility equal to 0.50% as well as a quarterly letter of credit fee at a rate per annum equal to the applicable margin for LIBOR loans on the face amount of any outstanding letters of credit. In connection with this refinancing, we wrote-off $0.3 million of deferred financing costs from the Old Credit Agreement, which are classified within other expense (income), net in the consolidated statement of operations for the year ended December 28, 2013. | |||||||||||||
On September 16, 2013, we entered into two interest rate caps and one interest rate swap to hedge a portion of our debt against volatility in future interest rates. At the time we entered into the 2014 Credit Agreement, we had one cap and the swap outstanding. As a result of the termination of the 2013 Credit Agreement, the underlying transactions relating to the cap and the swap were no longer probable of occurring and both instruments were de-designated and marked-to-market. During the fourth quarter of 2014, we terminated the swap with a payment of $1.4 million. (See Note 9) | |||||||||||||
The 2013 Credit Agreement required us to maintain a maximum leverage ratio (based on the ratio of total funded debt to consolidated EBITDA, each as defined in the 2013 Credit Agreement) and a minimum fixed charge coverage ratio (based on the ratio of consolidated EBITDA minus net cash taxes minus capital expenditures to cash interest expense plus scheduled principal payments of term loans, each as defined in the 2013 Credit Agreement), which was tested quarterly based on the last four fiscal quarters and was set at levels as described in the 2013 Credit Agreement. As of December 28, 2013, we were in compliance with all debt covenants. | |||||||||||||
The Credit Agreement also contained a number of affirmative and restrictive covenants, including limitations on the incurrence of additional debt, liens on property, acquisitions and investments, loans and guarantees, mergers, consolidations, liquidations and dissolutions, asset sales, dividends and other payments in respect of our capital stock, prepayments of certain debt and transactions with affiliates. The 2013 Credit Agreement also contained customary events of default. | |||||||||||||
In connection with entering into the 2013 Credit Agreement, on May 28, 2013, we terminated the Credit Agreement, dated as of June 23, 2011, among PGT Industries, Inc., as the borrower, the Company, as guarantor, the lenders from time to time party thereto and General Electric Capital Corporation, as administrative agent and collateral agent (the “Old Credit Agreement”). Proceeds from the term loan facility under the 2013 Credit Agreement were used to repay amounts outstanding under the Old Credit Agreement, repurchase shares of our common stock having an aggregate value of approximately $50 million, and pay certain fees and expenses. | |||||||||||||
All borrowings under the Old Credit Agreement bore interest, at our option, at either: (a) a “base rate” equal to the highest of: (i) 0.50% per year above the weighted average of the rates on overnight federal funds transactions with members of the Federal Reserve System, (ii) the annual rate of interest in effect for that day as publicly announced as the “prime rate” and (iii) the one-month “eurodollar rate” (not to be less than 1.25%) or (b) a “eurodollar base rate” equal to the higher of (i) 1.25% and (ii) (adjusted for reserve requirements, deposit insurance assessment rates and other regulatory costs for eurodollar liabilities) the rate at which eurodollar deposits in dollars for the relevant interest period (which will be one, two, three or six months or, subject to availability, nine or twelve months, as selected by us) are offered in the interbank eurodollar market plus, in each case, a rate dependent on the ratio of our funded debt as compared to our adjusted consolidated EBITDA, ranging from 3.5% to 2.0% per year for borrowings bearing interest at the “base rate” and from 4.5% to 3.0% per year for borrowings bearing interest at the “eurodollar rate” (such rate added to the “eurodollar rate,” the “Eurodollar Margin”). | |||||||||||||
On August 5, 2013, we entered into Amendment No. 1 (the “Amendment”) to the 2013 Credit Agreement dated May 28, 2013. The Amendment permitted us to make capital expenditures (as defined in the 2013 Credit Agreement) in an amount up to but not exceeding $14.0 million in connection with the expansion and operation of our glass processing business and activities without reducing the amount of capital expenditures otherwise permitted. | |||||||||||||
The face value of the debt as of December 28, 2013, was $79.0 million. The Company incurred issuance costs of $3.6 million, of which $2.0 million of the costs were classified as a discount and presented in the current and long-term portion of debt on the consolidated balance sheet at December 28, 2013. Approximately $1.3 million was reported as debt issuance costs in current assets and other assets on the consolidated balance sheet at December 28, 2013, while the remaining $0.3 million was expensed in selling, general and administrative expense on the consolidated statement of operations for the year ended December 28, 2013. The debt issuance costs and discount were being amortized to interest expense, net on the consolidated statements of operations for the year ended December 28, 2013 over the term of the debt. | |||||||||||||
In connection with the cash proceeds from the sale of our Salisbury facility on January 23, 2013, we voluntarily prepaid $7.5 million of debt under the Old Credit Agreement on January 31, 2013. | |||||||||||||
As discussed under 2014 Credit Agreement below, the 2013 Credit Agreement was terminated effective September 22, 2014. | |||||||||||||
2014 Credit Agreement | |||||||||||||
On September 22, 2014, we entered into the 2014 Credit Agreement, among us, the lending institutions identified in the 2014 Credit Agreement, and Deutsche Bank AG New York Branch, as Administrative Agent and Collateral Agent. The 2014 Credit Agreement establishes new senior secured credit facilities in an aggregate amount of $235.0 million, consisting of a $200.0 million Term B term loan facility maturing in seven years that will amortize on a basis of 1% annually during the seven-year term, and a $35.0 million revolving credit facility maturing in five years that includes a swing line facility and a letter of credit facility. Our obligations under the 2014 Credit Agreement are secured by substantially all of our assets as well as our subsidiaries’ assets. As of January 3, 2015, there were $0.5 million of letters of credit outstanding and $34.5 million available on the revolver. | |||||||||||||
Interest on all loans under the 2014 Credit Agreement is payable either quarterly or at the expiration of any LIBOR interest period applicable thereto. Borrowings under the term loans and the revolving credit facility accrue interest at a rate equal to, at our option, LIBOR (with a floor of 100 basis points in respect of the term loan), or a base rate (with a floor of 200 basis points in respect of the term loan) plus an applicable margin. The applicable margin is 425 basis points in the case of LIBOR and 325 basis points in the case of the base rate. We will pay quarterly fees on the unused portion of the revolving credit facility equal to 50 basis points per annum as well as a quarterly letter of credit fee at 425 basis points per annum on the face amount of any outstanding letters of credit. | |||||||||||||
The 2014 Credit Agreement contains a springing financial covenant, if we draw in excess of twenty percent (20%) of the revolving facility, which requires us to maintain a maximum total net leverage ratio (based on the ratio of total debt for borrowed money to trailing EBITDA, each as defined in the 2014 Credit Agreement), and will be tested quarterly based on the last four fiscal quarters and is set at levels as described in the 2014 Credit Agreement. As of January 3, 2015, no such test is required as we have not exceeded 20% of our revolving capacity. | |||||||||||||
The 2014 Credit Agreement also contains a number of affirmative and restrictive covenants, including limitations on the incurrence of additional debt, liens on property, acquisitions and investments, loans and guarantees, mergers, consolidations, liquidations and dissolutions, asset sales, dividends and other payments in respect of our capital stock, prepayments of certain debt and transactions with affiliates. The 2014 Credit Agreement also contains customary events of default. Upon the occurrence of an event of default, the amounts outstanding under the 2014 Credit Agreement may be accelerated and may become immediately due and payable. | |||||||||||||
In connection with entering into the 2014 Credit Agreement, on September 22, 2014, we terminated our prior credit agreement, dated as of May 28, 2013, among PGT Industries, Inc., as the borrower, the Company, as guarantor, the lenders from time to time party thereto and SunTrust Bank, as administrative agent and collateral agent (the “2013 Credit Agreement”). Proceeds from the term loan facility under the 2014 Credit Agreement were used to repay amounts outstanding under the 2013 Credit Agreement and the acquisition of CGI, and certain fees and expenses. | |||||||||||||
The face value of the Credit Agreement at the time of issuance was $200 million of which $0.5 million was repaid as a scheduled debt repayment in the fourth quarter of 2014. As of January 3, 2015, the face value of debt outstanding under the Credit Agreement was $199.5 million. There was a 1% discount, or $2.0 million, upon issuance of the debt under the Credit Agreement which we recorded as a discount and which is presented in the current and long-term portions of debt on the consolidated balance sheet as of January 3, 2015. The Company incurred issuance costs of $5.5 million, of which $3.8 million were paid directly to the lenders and classified as a discount and presented net within the current and long-term portions of debt on the consolidated balance sheet as of January 3, 2015. The remainder of $1.7 million was reported as deferred financing costs in current assets and other assets on the consolidated balance sheet as of January 3, 2015. | |||||||||||||
At the time of the refinancing, we had $1.5 million recorded as discount presented net within the current and long-term portions of debt and $1.7 million recorded as deferred financing fees presented in current and other assets relating to the 2013 Credit Agreement. Of these debt issuance costs, $0.2 million of costs recorded as discount and $0.4 million of costs recorded as deferred financing fees were not written-off as one of the lenders in the 2014 Credit Agreement was also a lender in the 2013 Credit Agreement and for which we treated the 2014 refinancing as a modification. The remaining debt issuance costs relating to the 2013 Credit Agreement of $2.6 million were written-off as debt extinguishment costs in other expenses, net, on the consolidated statement of operations for the year ended January 3, 2015. | |||||||||||||
At January 3, 2015, we had debt issuance costs of $5.7 million recorded as discount presented net within the current and long-term portions of debt and $2.0 million recorded as deferred financing fees presented in current and other assets relating to the 2014 Credit Agreement. These debt issuance costs are being amortized to interest expense, net, under the effective interest method on the consolidated statements of operations over the term of the 2014 Credit Agreement. | |||||||||||||
The contractual future maturities of long-term debt outstanding as of January 3, 2015, are as follows (excluding unamortized debt discount and deferred financing fees): | |||||||||||||
(in thousands) | |||||||||||||
2015 | $ | 2,000 | |||||||||||
2016 | 2,000 | ||||||||||||
2017 | 2,000 | ||||||||||||
2018 | 2,000 | ||||||||||||
2019 | 2,000 | ||||||||||||
Thereafter | 189,500 | ||||||||||||
Total | $ | 199,500 | |||||||||||
Interest expense, net consisted of the following: | |||||||||||||
Year Ended | |||||||||||||
January 3, | December 28, | December 29, | |||||||||||
2015 | 2013 | 2012 | |||||||||||
(in thousands) | |||||||||||||
Long-term debt | $ | 4,841 | $ | 2,295 | $ | 2,396 | |||||||
Debt fees | 240 | 235 | 213 | ||||||||||
Amortization of deferred financing costs and original issue discount | 945 | 1,021 | 857 | ||||||||||
Interest income | (37 | ) | (25 | ) | (20 | ) | |||||||
Interest expense | 5,989 | 3,526 | 3,446 | ||||||||||
Capitalized interest | (29 | ) | (6 | ) | (9 | ) | |||||||
Interest expense, net | $ | 5,960 | $ | 3,520 | $ | 3,437 | |||||||
Derivatives
Derivatives | 12 Months Ended | ||||||||||||||||||||||||||||
Jan. 03, 2015 | |||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||
Derivatives | 9. Derivatives | ||||||||||||||||||||||||||||
Aluminum Forward Contracts | |||||||||||||||||||||||||||||
We enter into aluminum forward contracts to hedge the fluctuations in the purchase price of aluminum extrusion we use in production. Our contracts are initially designated as cash flow hedges since they are believed to be highly effective in offsetting changes in the cash flows attributable to forecasted purchases of aluminum. | |||||||||||||||||||||||||||||
Guidance under the Financial Instruments topic of the Codification requires us to record our hedge contracts at fair value and consider our credit risk for contracts in a liability position, and our counter-party’s credit risk for contracts in an asset position, in determining fair value. We assess our counter-party’s risk of non-performance when measuring the fair value of financial instruments in an asset position by evaluating their financial position, including cash on hand, as well as their credit ratings. We assess our risk of non-performance when measuring the fair value of our financial instruments in a liability position by evaluating our credit ratings, our current liquidity including cash on hand and availability under our revolving credit facility as compared to the maturities of the financial liabilities. In addition, we entered into a master netting arrangement (MNA) with our commodities broker that provides for, among other things, the close-out netting of exchange-traded transactions in the event of the insolvency of either party to the MNA. | |||||||||||||||||||||||||||||
We net cash collateral from payments of margin calls on deposit with our commodities broker against the liability position of open contracts for the purchase of aluminum on a first-in, first-out basis. For statement of cash flows presentation, we present net cash receipts from and payments to the margin account as investing activities. | |||||||||||||||||||||||||||||
We maintain a $2.0 million line of credit with our commodities broker to cover the liability position of open contracts for the purchase of aluminum in the event that the price of aluminum falls. Should the price of aluminum fall to a level which causes our liability for open aluminum contracts to exceed $2.0 million, we are required to fund daily margin calls to cover the excess. | |||||||||||||||||||||||||||||
As of January 3, 2015, the fair value of our aluminum forward contracts was in a net liability position of approximately $491 thousand. We had 23 outstanding forward contracts for the purchase of 7.9 million pounds of aluminum at an average price of $0.90 per pound with maturity dates of between less than one month and 12 months through December 2015. We assessed our risk of non-performance of the Company on these contracts and recorded an immaterial adjustment to fair value as of January 3, 2015. | |||||||||||||||||||||||||||||
Although it is our intent to have our aluminum hedges qualify as highly effective for reporting purposes, for the year ended January 3, 2015, only 17 of our outstanding contracts during our first quarter ended March 29, 2014, qualified as effective. Since the end of our first quarter of 2014, all outstanding contracts did not qualify as effective. Effectiveness of aluminum forward contracts is determined by comparing the change in the fair value of the forward contract to the change in the expected cash to be paid for the hedged item. The effective portion of the gain or loss on our aluminum forward contracts is reported as a component of accumulated other comprehensive loss and is reclassified into earnings in the same line item in the income statement as the hedged item in the same period or periods during which the transaction affects earnings. When a cash flow hedge becomes ineffective, and if the forecasted hedged transaction is still probable of occurrence, amounts previously recorded in accumulated other comprehensive loss remain in accumulated other comprehensive loss and are recognized in earnings in the period in which the hedged transaction affects earnings. The change in value of the aluminum forward contracts occurring after ineffectiveness is recognized in other expense, net on the consolidated statement of operations for the year ended January 3, 2015, and totaled $0.2 million. The amount of losses recognized in the accumulated other comprehensive loss line item in the accompanying consolidated balance sheet as of January 3, 2015, that will be reclassified to earnings within the next three months will be immaterial. | |||||||||||||||||||||||||||||
As of December 28, 2013, the fair value of our aluminum forward contracts was in a net liability position of approximately $479 thousand. We had 33 outstanding forward contracts for the purchase of 9.5 million pounds of aluminum at an average price of $0.89 per pound with maturity dates of between less than one month and 18 months through June 2015. We assessed our risk of non-performance of the Company on these contracts and recorded an immaterial adjustment to fair value as of December 28, 2013. | |||||||||||||||||||||||||||||
Interest Rate Contracts | |||||||||||||||||||||||||||||
On September 16, 2013, we entered into two interest rate caps and one interest rate swap. The first was a one year interest rate cap agreement with a notional amount of $40.0 million that was designated as a cash flow hedge that protected the variable rate debt from an increase in the floating one month LIBOR rate of greater than 0.50%. This interest rate cap agreement expired during our 2014 third quarter. The second is a two year interest rate cap agreement with a notional amount of $20.0 million that was designated as a cash flow hedge that protects the variable rate debt from an increase in the floating one month LIBOR rate of greater than 0.50%. As a result of the termination of the 2013 Credit Agreement, effective on September 22, 2014, the second cap was de-designated as a cash flow hedge and was and will continue to be marked-to-market. | |||||||||||||||||||||||||||||
The swap was a forward starting three year six months interest rate swap agreement with a notional amount of $40.0 million that effectively converted a portion of the floating rate debt to a fixed rate of 2.15%. As a result of the termination of the 2013 Credit Agreement, effective on September 22, 2014, the swap was de-designated as a cash flow hedge and, during the fourth quarter of 2014, we terminated this interest rate swap with a payment of $1.4 million. | |||||||||||||||||||||||||||||
The fair value of our aluminum hedges and interest rate cap are classified in the accompanying consolidated balance sheets as follows (in thousands): | |||||||||||||||||||||||||||||
January 3, | December 28, | ||||||||||||||||||||||||||||
2015 | 2013 | ||||||||||||||||||||||||||||
Derivatives in a net asset (liability) position | Balance Sheet Location | ||||||||||||||||||||||||||||
Hedging instruments: | |||||||||||||||||||||||||||||
Aluminum forward contracts | Accrued liabilities | $ | (491 | ) | $ | (441 | ) | ||||||||||||||||||||||
Aluminum forward contracts | Other liabilities | — | (38 | ) | |||||||||||||||||||||||||
Interest rate cap | Other current assets | 2 | 21 | ||||||||||||||||||||||||||
Interest rate cap | Other assets | — | 13 | ||||||||||||||||||||||||||
Interest rate swap | Other liabilities | — | (630 | ) | |||||||||||||||||||||||||
Total hedging instruments | $ | (489 | ) | $ | (1,075 | ) | |||||||||||||||||||||||
The ending accumulated balance for the aluminum forward contracts included in accumulated other comprehensive losses, net of tax, was $77 thousand as of January 3, 2015. The ending accumulated balance for the aluminum forward contracts and interest rate swaps included in accumulated other comprehensive losses, net of tax, was $0.7 million as of December 28, 2013. In December 29, 2012, the ending accumulated balance for the aluminum forward contracts included in accumulated other comprehensive income, net of tax, was $0.1 million. | |||||||||||||||||||||||||||||
The impact of the offsetting derivative instruments are depicted below (in thousands): | |||||||||||||||||||||||||||||
As of January 3, 2015 | |||||||||||||||||||||||||||||
Gross Amounts not Offset | |||||||||||||||||||||||||||||
Gross | Gross | Net | Financial | Cash | Net | ||||||||||||||||||||||||
Amounts of | Amounts | Amounts of | Instruments | Collateral | Amount | ||||||||||||||||||||||||
Recognized | Offset | Recognized | Received | ||||||||||||||||||||||||||
Assets | Assets | ||||||||||||||||||||||||||||
Interest rate cap | $ | 2 | $ | — | $ | 2 | $ | — | $ | — | $ | 2 | |||||||||||||||||
Gross Amounts not Offset | |||||||||||||||||||||||||||||
Gross | Gross | Net | Financial | Cash | Net | ||||||||||||||||||||||||
Amounts of | Amounts | Amounts of | Instruments | Collateral | Amount | ||||||||||||||||||||||||
Recognized | Offset | Recognized | Pledged | ||||||||||||||||||||||||||
(Liabilities) | (Liabilities) | ||||||||||||||||||||||||||||
Aluminum forward contracts | $ | (491 | ) | $ | — | $ | (491 | ) | $ | — | $ | — | $ | (491 | ) | ||||||||||||||
As of December 28, 2013 | |||||||||||||||||||||||||||||
Gross Amounts not Offset | |||||||||||||||||||||||||||||
Gross | Gross | Net | Financial | Cash | Net | ||||||||||||||||||||||||
Amounts of | Amounts | Amounts of | Instruments | Collateral | Amount | ||||||||||||||||||||||||
Recognized | Offset | Recognized | Received | ||||||||||||||||||||||||||
Assets | Assets | ||||||||||||||||||||||||||||
Interest rate caps | $ | 34 | $ | — | $ | 34 | $ | — | $ | — | $ | 34 | |||||||||||||||||
Gross Amounts not Offset | |||||||||||||||||||||||||||||
Gross | Gross | Net | Financial | Cash | Net | ||||||||||||||||||||||||
Amounts of | Amounts | Amounts of | Instruments | Collateral | Amount | ||||||||||||||||||||||||
Recognized | Offset | Recognized | Pledged | ||||||||||||||||||||||||||
(Liabilities) | (Liabilities) | ||||||||||||||||||||||||||||
Aluminum forward contracts | $ | (479 | ) | $ | — | $ | (479 | ) | $ | — | $ | — | $ | (479 | ) | ||||||||||||||
Interest rate swap | $ | (630 | ) | $ | — | $ | (630 | ) | $ | — | $ | — | $ | (630 | ) | ||||||||||||||
The following represents the gains (losses) on derivative financial instruments for the years ended January 3, 2015, December 28, 2013, and December 29, 2012, and their classifications within the accompanying consolidated financial statements (in thousands): | |||||||||||||||||||||||||||||
Derivatives in Cash Flow Hedging Relationships | |||||||||||||||||||||||||||||
Amount of Gain or (Loss) | Location of Gain or | Amount of Loss Reclassified from | |||||||||||||||||||||||||||
Recognized in OCI on Derivatives | (Loss) Reclassified | Accumulated OCI into Income | |||||||||||||||||||||||||||
(Effective Portion) | from Accumulated | (Effective Portion) | |||||||||||||||||||||||||||
OCI into Income | |||||||||||||||||||||||||||||
(Effective Portion) | |||||||||||||||||||||||||||||
Year Ended | Year Ended | ||||||||||||||||||||||||||||
January 3, | December 28, | December 29, | January 3, | December 28, | December 29, | ||||||||||||||||||||||||
2015 | 2013 | 2012 | 2015 | 2013 | 2012 | ||||||||||||||||||||||||
Aluminum contracts | $ | 346 | $ | (761 | ) | $ | (24 | ) | Cost of sales | $ | (7 | ) | $ | (145 | ) | $ | (408 | ) | |||||||||||
Interest rate swap | $ | (558 | ) | $ | (630 | ) | $ | — | Interest expense, net | $ | — | $ | — | $ | — | ||||||||||||||
Interest rate swap | $ | — | $ | — | $ | — | Other expense, net | $ | (1,188 | ) | $ | — | $ | — | |||||||||||||||
Location of Gain or | Amount of Gain or (Loss) | ||||||||||||||||||||||||||||
(Loss) Recognized in | Recognized in Income on Derivatives | ||||||||||||||||||||||||||||
Income on | (Ineffective Portion) | ||||||||||||||||||||||||||||
Derivatives | |||||||||||||||||||||||||||||
(Ineffective Portion) | |||||||||||||||||||||||||||||
Year Ended | |||||||||||||||||||||||||||||
January 3, | December 28, | December 29, | |||||||||||||||||||||||||||
2015 | 2013 | 2012 | |||||||||||||||||||||||||||
Aluminum contracts | Other expense, net | $ | (221 | ) | $ | (358 | ) | $ | 208 | ||||||||||||||||||||
Interest rate swap | Other expense, net | $ | (314 | ) | $ | — | $ | — | |||||||||||||||||||||
Interest rate cap | Other expense, net | $ | (27 | ) | $ | — | $ | — | |||||||||||||||||||||
Fair_Value
Fair Value | 12 Months Ended | ||||||||||||||||
Jan. 03, 2015 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Fair Value | 10. Fair Value | ||||||||||||||||
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. A three-tier fair value hierarchy is used to prioritize the inputs used in measuring fair value. The hierarchy gives the highest priority to unadjusted quoted market prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The three levels of the fair value hierarchy are as follows: | |||||||||||||||||
Level 1 Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | |||||||||||||||||
Level 2 Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. | |||||||||||||||||
Level 3 Prices or valuations that require inputs that are both significant to the fair value measurement and unobservable. | |||||||||||||||||
The accounting guidance concerning fair value allows us to elect to measure financial instruments at fair value and report the changes in fair value through earnings. This election can only be made at certain specified dates and is irrevocable once made. We do not have a policy regarding specific assets or liabilities to elect to measure at fair value, but rather we make the election on an instrument-by-instrument basis as they are acquired or incurred. | |||||||||||||||||
During fiscal 2014 or 2013, we did not make any transfers between Level 1 and Level 2 financial assets. Furthermore, during fiscal 2012, we did not have any Level 3 financial assets. We conduct reviews on a quarterly basis to verify pricing, assess liquidity, and determine if significant inputs have changed that would impact the fair value hierarchy disclosure. | |||||||||||||||||
Items Measured at Fair Value on a Recurring Basis | |||||||||||||||||
The following assets and liabilities are measured in the consolidated financial statements at fair value on a recurring basis and are categorized in the table below based upon the lowest level of significant input to the valuation: | |||||||||||||||||
Fair Value Measurements | |||||||||||||||||
Assets (Liabilities) | |||||||||||||||||
Description | January 3, | Quoted | Significant | Significant | |||||||||||||
2015 | Prices in | Other | Unobservable | ||||||||||||||
Active | Observable | Inputs | |||||||||||||||
Markets | Inputs | (Level 3) | |||||||||||||||
(Level 1) | (Level 2) | ||||||||||||||||
(in thousands) | |||||||||||||||||
Aluminum forward contracts | $ | (491 | ) | $ | — | $ | (491 | ) | $ | — | |||||||
Interest rate cap | 2 | — | 2 | — | |||||||||||||
Forward contracts for aluminum, net | $ | (489 | ) | $ | — | $ | (489 | ) | $ | — | |||||||
Description | December 28, | Quoted | Significant | Significant | |||||||||||||
2013 | Prices in | Other | Unobservable | ||||||||||||||
Active | Observable | Inputs | |||||||||||||||
Markets | Inputs | (Level 3) | |||||||||||||||
(Level 1) | (Level 2) | ||||||||||||||||
(in thousands) | |||||||||||||||||
Aluminum forward contracts | $ | (479 | ) | $ | — | $ | (479 | ) | $ | — | |||||||
Interest rate caps | 34 | — | 34 | — | |||||||||||||
Interest rate swap | (630 | ) | — | (630 | ) | — | |||||||||||
Forward contracts for aluminum, net | $ | (1,075 | ) | $ | — | $ | (1,075 | ) | $ | — | |||||||
The following is a description of the methods and assumptions used to estimate the fair values of the Company’s assets and liabilities measured at fair value on a recurring basis, as well as the basis for classifying these assets and liabilities as Level 2. | |||||||||||||||||
Aluminum forward contracts identical to those held by us trade on the London Metal Exchange (“LME”). The LME provides a transparent forum and is the world’s largest center for the trading of futures contracts for non-ferrous metals. The prices are used by the metals industry worldwide as the basis for contracts for the movement of physical material throughout the production cycle. Based on this high degree of volume and liquidity in the LME, we believe the valuation price at any measurement date for contracts with identical terms as to prompt date, trade date and trade price as those we hold at any time represents a contract’s exit price to be used for purposes of determining fair value. | |||||||||||||||||
Interest rate cap and swap contracts identical to that held by us are sold by financial institutions. The valuation price at any measurement date for a contract with identical terms, exercise price, the expiration date, the settlement date, and notional quantities, as the one we hold, is used for determining the fair value. | |||||||||||||||||
Fair Value of Financial Instruments | |||||||||||||||||
The following table presents the carrying values and estimated fair values of financial assets and liabilities that are required to be recorded or disclosed at fair value at January 3, 2015 and December 28, 2013, respectively (in thousands): | |||||||||||||||||
January 3, 2015 | December 28, 2013 | ||||||||||||||||
Carrying | Estimated | Carrying | Estimated | ||||||||||||||
Amount | Fair | Amount | Fair | ||||||||||||||
Value | Value | ||||||||||||||||
Financial assets (liabilities) | |||||||||||||||||
Cash and cash equivalents | $ | 42,469 | $ | 42,469 | $ | 30,204 | $ | 30,204 | |||||||||
Accounts receivable, net | $ | 25,374 | $ | 25,374 | $ | 20,821 | $ | 20,821 | |||||||||
Accounts payable | $ | (5,404 | ) | $ | (5,404 | ) | $ | (3,834 | ) | $ | (3,834 | ) | |||||
Accrued liabilities | $ | (11,924 | ) | $ | (11,924 | ) | $ | (11,688 | ) | $ | (11,688 | ) | |||||
Long-term debt (including current portion) | $ | (193,754 | ) | $ | (193,754 | ) | $ | (77,255 | ) | $ | (77,255 | ) | |||||
The following provides a description of the methods and significant assumptions used in estimating the fair value of the Company’s financial instruments that are not measured at fair value on a recurring basis. | |||||||||||||||||
Cash and cash equivalents — The estimated fair value of these financial instruments approximates their carrying amounts due to their highly liquid or short-term nature. | |||||||||||||||||
Accounts receivable, net — The estimated fair value of these financial instruments approximates their carrying amounts due to their short-term nature. | |||||||||||||||||
Accounts payable and accrued liabilities — The estimated fair value of these financial instruments approximates their carrying amounts due to their short-term nature. | |||||||||||||||||
Debt — The estimated fair value of this debt is based on Level 2 inputs of debt with similar terms and characteristics. |
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||
Jan. 03, 2015 | |||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||
Income Taxes | 11. Income Taxes | ||||||||||||
We consider all income sources, including other comprehensive income, in determining the amount of tax benefit (expense) allocated to continuing operations. | |||||||||||||
The components of income tax expense (benefit) are as follows (in thousands): | |||||||||||||
Year Ended | |||||||||||||
January 3, | December 28, | December 29, | |||||||||||
2015 | 2013 | 2012 | |||||||||||
Current: | |||||||||||||
Federal | $ | 6,346 | $ | 86 | $ | 192 | |||||||
State | — | — | — | ||||||||||
6,346 | 86 | 192 | |||||||||||
Deferred: | |||||||||||||
Federal | 2,379 | (2,265 | ) | — | |||||||||
State | 950 | (1,195 | ) | (82 | ) | ||||||||
3,329 | (3,460 | ) | (82 | ) | |||||||||
Income tax expense (benefit) | $ | 9,675 | $ | (3,374 | ) | $ | 110 | ||||||
The aggregate amount of income taxes included in the consolidated statements of operations and consolidated statements of shareholders’ equity are as follows (in thousands): | |||||||||||||
Year Ended | |||||||||||||
January 3, | December 28, | December 29, | |||||||||||
2015 | 2013 | 2012 | |||||||||||
Consolidated statements of income: | |||||||||||||
Income tax expense (benefit) relating to continuing operations | $ | 9,675 | $ | (3,374 | ) | $ | 110 | ||||||
Income tax expense (benefit) relating to discontinued operations | $ | — | $ | — | $ | — | |||||||
Consolidated statements of shareholders’ equity: | |||||||||||||
Income tax expense (benefit) relating to derivative financial instruments | $ | 431 | $ | (437 | ) | $ | — | ||||||
Income tax benefit relating to share-based compensation | $ | (6,064 | ) | $ | (396 | ) | $ | — | |||||
A reconciliation of the statutory federal income tax rate to our effective rate is provided below: | |||||||||||||
Year Ended | |||||||||||||
January 3, | December 28, | December 29, | |||||||||||
2015 | 2013 | 2012 | |||||||||||
Statutory federal income tax rate | 35 | % | 35 | % | 35 | % | |||||||
State income taxes, net of federal income tax benefit | 3.8 | % | 3.8 | % | 3.8 | % | |||||||
Non-deductible acquisition costs | 0.6 | % | — | — | |||||||||
Domestic manufacturing deduction | (2.1 | )% | — | — | |||||||||
Alternative minimum tax | — | — | 2.1 | % | |||||||||
Non-deductible secondary offering related expenses | — | 1.8 | % | — | |||||||||
Valuation allowance on deferred tax assets | — | (55.1 | )% | (39.1 | )% | ||||||||
Non-deductible expenses | — | 0.2 | % | 0.3 | % | ||||||||
Other | (0.2 | )% | (0.1 | )% | (0.9 | )% | |||||||
37.1 | % | (14.4 | )% | 1.2 | % | ||||||||
Our income tax benefit was $3.4 million for the year ended December 28, 2013 as we released our valuation allowances on deferred tax assets. We released our valuation allowance as we were no longer in a cumulative loss position and it was more likely than not that our deferred tax assets would be realized. | |||||||||||||
Our tax rate is lower than the statutory rate for 2012, as we released a portion of our deferred tax asset valuation allowance to offset our regular tax expense. The $0.1 million of tax expense included in the consolidated statements of operations represents our alternative minimum tax obligation offset by a change in our state tax rate. | |||||||||||||
Excluding the effects of these items, our 2013 and 2012 effective tax rates would have been 40.7% and 40.3%, respectively. | |||||||||||||
In connection with the acquisition of CGI, we recorded an estimated net deferred tax liability of $6.4 million, as follows: | |||||||||||||
Deferred tax assets (liabilities) relate to: | Current | ||||||||||||
Estimate | |||||||||||||
Amortizable intangible assets | $ | (6,249 | ) | ||||||||||
Other indefinitie lived intangible assets | (7,366 | ) | |||||||||||
Property, plant and equipment | (313 | ) | |||||||||||
Net operating loss carryforwards | 7,369 | ||||||||||||
Other assets, net | 142 | ||||||||||||
Net estimated deferred liability | $ | (6,417 | ) | ||||||||||
Deferred income taxes reflect the net tax effects of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of our net deferred tax liability are as follows: | |||||||||||||
January 3, | December 28, | ||||||||||||
2015 | 2013 | ||||||||||||
(in thousands) | |||||||||||||
Deferred tax assets: | |||||||||||||
State and federal net operating loss carryforwards | $ | 6,973 | $ | 970 | |||||||||
Goodwill | 1,941 | 4,152 | |||||||||||
Compensation expense | 2,773 | 2,606 | |||||||||||
Accrued warranty | 1,280 | 1,034 | |||||||||||
AMT tax credits | 574 | 574 | |||||||||||
Obsolete inventory and UNICAP adjustment | 473 | 435 | |||||||||||
Derivative financial instruments | 241 | 475 | |||||||||||
Other deferrals and accruals, net | 66 | 260 | |||||||||||
Allowance for doubtful accounts | 107 | 145 | |||||||||||
Amortizable intangible assets | — | 865 | |||||||||||
Total deferred tax assets | 14,428 | 11,516 | |||||||||||
Deferred tax liabilities: | |||||||||||||
Other indefinite lived intangible assets | (22,270 | ) | (14,904 | ) | |||||||||
Property, plant and equipment | (7,426 | ) | (6,349 | ) | |||||||||
Amortizable intangible assets | (5,058 | ) | — | ||||||||||
Deferred financing costs | (152 | ) | (370 | ) | |||||||||
Prepaid expenses | (318 | ) | (510 | ) | |||||||||
Total deferred tax liabilities | (35,224 | ) | (22,133 | ) | |||||||||
Total deferred tax liabilities, net | $ | (20,796 | ) | $ | (10,617 | ) | |||||||
The following table shows the current deferred tax assets, net, and noncurrent deferred tax liabilities, net, recorded on our consolidated balance sheets: | |||||||||||||
January 3, | December 28, | ||||||||||||
2015 | 2013 | ||||||||||||
(in thousands) | |||||||||||||
Current deferred tax assets, net | $ | 5,160 | $ | 2,763 | |||||||||
Non-current deferred tax liabilities, net | (25,956 | ) | (13,380 | ) | |||||||||
Total deferred tax liabilities, net | $ | (20,796 | ) | $ | (10,617 | ) | |||||||
Regarding tax goodwill, the amount of goodwill deductible for tax purposes was $63.8 million at the time of the 2004 PGT acquisition, of which, $5.4 million and $10.7 million was unamortized as of January 3, 2015 and December 28, 2013, respectively. We also acquired goodwill deductible for tax purposes in the CGI acquisition as the transaction was treated as an acquisition of stock for tax purposes. At the date of the acquisition, the amount of goodwill deductible for tax purposes from the CGI acquisition was $9.3 million. At the time of the acquisition, this goodwill is the same amount for both book and tax purposes and, therefore, no deferred tax asset or liability is recognized. As we amortize this goodwill for tax purposes over its remaining life, which was approximately 7.4 years at the time of the acquisition, we will recognize a deferred tax liability. The unamortized amount of this goodwill was $8.9 million at January 3, 2015. | |||||||||||||
Almost entirely composed of the net operating loss carryforwards acquired in the CGI acquisition, we estimate that we have $6.1 million of tax affected federal net operating loss carryforwards and $1.0 million of state operating loss carryforwards, expiring at various dates through 2027. Use of the net operating loss carryforwards acquired in the CGI acquisition is subject to annual limitations for federal tax purposes. However, we believe they will be fully utilized prior to expiration. | |||||||||||||
We have not recognized any material liability for unrecognized tax benefits; however, should we accrue for such liabilities when and if they arise in the future we will recognize interest and penalties associated with uncertain tax positions as part of our income tax provision. | |||||||||||||
As the result of tax deductible compensation expense in excess of stock-based compensation expense recorded for book purposed relating to the exercise of stock options, concurrent with the full utilization of all of PGT’s regular net operating loss carry-forwards during 2013, for the years ended January 2, 2015, and December 28, 2013, we recognized $6.1 million and $0.4 million, respectively, of excess tax benefits (ETBs) in additional paid-in capital. Our policy with regard to providing for income tax expense when ETBs are utilized is to follow the “with-and-without” approach as described in ASC 740-20 and ASC 718 and include in the measurement the indirect effects of the excess tax deduction. | |||||||||||||
We had no valuation allowance on deferred tax assets at January 3, 2015 and December 28, 2013, as management’s assessment of our ability to realize our deferred tax assets is that it is more likely than not that we will generate sufficient future taxable income to realize all of our deferred tax assets. | |||||||||||||
During 2012, we were under audit by the IRS for tax years 2005, 2008, 2009, and 2010. During 2013, we received notice from the IRS that the audit was completed and no material adjustments came from the audit. The tax years 2011 to 2013 remain open for examination by the IRS. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | ||||
Jan. 03, 2015 | |||||
Commitments and Contingencies Disclosure [Abstract] | |||||
Commitments and Contingencies | 12. Commitments and Contingencies | ||||
We lease production equipment, vehicles, computer equipment, storage units and office equipment under operating leases expiring at various times through 2016. Lease expense was $1.6 million, $1.3 million and $1.2 million for the years ended January 3, 2015, December 28, 2013 and December 29, 2012, respectively. Future minimum lease commitments for non-cancelable operating leases are as follows at January 3, 2015 (in thousands): | |||||
2015 | $ | 1,684 | |||
2016 | 1,474 | ||||
2017 | 1,009 | ||||
2018 | 23 | ||||
Total | $ | 4,190 | |||
Through the terms of certain of our leases, we have the option to purchase the leased equipment for cash in an amount equal to its then fair market value plus all applicable taxes. | |||||
We are obligated to purchase certain raw materials used in the production of our products from certain suppliers pursuant to stocking programs. If these programs were cancelled by us, as of January 3, 2015, we would be required to pay $2.6 million for various materials. During the years ended January 3, 2015, December 28, 2013, and December 29, 2012, we made purchases under these programs totaling $108.7 million, $88.3 million and $57.0 million, respectively. | |||||
At January 3, 2015, we had $0.5 million in standby letters of credit related to our worker’s compensation insurance coverage, and commitments to purchase equipment of $2.2 million. | |||||
We are a party to various legal proceedings in the ordinary course of business. Although the ultimate disposition of those proceedings cannot be predicted with certainty, management believes the outcome of any claim that is pending or threatened, either individually or on a combined basis, will not have a materially adverse effect on our operations, financial position or cash flows. |
Employee_Benefit_Plans
Employee Benefit Plans | 12 Months Ended |
Jan. 03, 2015 | |
Postemployment Benefits [Abstract] | |
Employee Benefit Plans | 13. Employee Benefit Plans |
We have a 401(k) plan covering substantially all employees 18 years of age or older who have at least three months of service. Employees may contribute up to 100% of their annual compensation subject to Internal Revenue Code maximum limitations. We currently make matching contributions based on our operating results. During the years ended January 3, 2015, December 28, 2013, and December 29, 2012, there was an average matching contribution of up to 3%, 3% and 1% made at various times during the years, respectively. Company contributions and earnings thereon vest at the rate of 20% per year of service with us when at least 1,000 hours are worked within the Plan year. We recognized expenses of $1.1 million, $1.2 million and $0.5 million for the years ended January 3, 2015, December 28, 2013, and December 29, 2012, respectively. |
Related_Parties
Related Parties | 12 Months Ended |
Jan. 03, 2015 | |
Related Party Transactions [Abstract] | |
Related Parties | 14. Related Parties |
In the ordinary course of business, we sell windows to Builders FirstSource, Inc., a company controlled by affiliates of JLL Partners, Inc. One of our directors, Floyd F. Sherman, is the president, chief executive officer, and a director of Builders FirstSource, Inc., and another, Brett Milgrim, is also a director. Total net sales to Builders FirstSource, Inc. were $6.7 million, $5.1 million and $4.5 million for the years ended January 3, 2015, December 28, 2013 and December 29, 2012, respectively. As of January 3, 2015, and December 28, 2013, there was $0.9 million and $0.6 million due from Builders FirstSource, Inc. included in accounts receivable in the accompanying consolidated balance sheets. |
Shareholders_Equity
Shareholders' Equity | 12 Months Ended |
Jan. 03, 2015 | |
Equity [Abstract] | |
Shareholders' Equity | 15. Shareholders’ Equity |
On November 15, 2012, the Board of Directors authorized and approved a share repurchase program of up to $20 million. Repurchases were funded from existing cash resources and cash generated by the Company’s operating activities. All share repurchases were made in accordance with Rule 10b5-1 and Rule 10b-18, as applicable, of the Securities Exchange Act of 1934 as to the timing, pricing, and volume of such transactions. From November 15, 2012 to January 3, 2015, the Company acquired 2,089,853 shares of the Company’s common stock at a cost of $11.1 million. These reacquired shares are in treasury. There were 47.7 million and 46.9 million shares of common stock outstanding, net of common stock held in treasury, at January 3, 2015, and December 28, 2013, respectively. | |
In May of 2013, we completed a secondary offering of 12.65 million shares of common stock owned by JLL Partners. Concurrently with the secondary offering, we repurchased, cancelled and retired 6.8 million shares from JLL, which were funded by refinancing our debt and bringing the outstanding gross balance to $80 million. |
Employee_Stock_Based_Compensat
Employee Stock Based Compensation | 12 Months Ended | ||||||||||||||||||
Jan. 03, 2015 | |||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||
Employee Stock Based Compensation | 16. Employee Stock Based Compensation | ||||||||||||||||||
2014 Plan | |||||||||||||||||||
On March 28, 2014, we adopted the 2014 Omnibus Equity Incentive Plan (the “2014 Plan”) whereby equity-based awards may be granted by the Board to eligible non-employee directors, selected officers and other employees, advisors and consultants of ours. On May 7, 2014, our stockholders approved the 2014 Plan. | |||||||||||||||||||
2014 Omnibus Equity Incentive Plan | |||||||||||||||||||
• | total number of shares of common stock available for grant thereunder, 1,500,000, | ||||||||||||||||||
• | sets forth the types of awards eligible under the plan, including issuances of options, share appreciation rights, restricted shares, restricted share units, share bonuses, other share-based awards and cash awards, and | ||||||||||||||||||
• | set forth 1,500,000 as the maximum number of shares that may be made subject to awards in any calendar year to any “covered employee” (within the meaning of Section 162(m) of the Internal Revenue Code). | ||||||||||||||||||
There were 1,425,445 shares available for grant under the 2014 Plan at January 3, 2015. | |||||||||||||||||||
2006 Plan | |||||||||||||||||||
On June 5, 2006, we adopted the 2006 Equity Incentive Plan (the “2006 Plan”) whereby equity-based awards may be granted by the Board to eligible non-employee directors, selected officers and other employees, advisors and consultants of ours. | |||||||||||||||||||
On April 6, 2010, our stockholders approved the PGT, Inc. Amended and Restated 2006 Equity Incentive Plan (the “Amended and Restated 2006 Equity Incentive Plan”). | |||||||||||||||||||
Amended and Restated 2006 Equity Incentive Plan | |||||||||||||||||||
• | total number of shares of common stock available for grant thereunder, 7,000,000, and | ||||||||||||||||||
• | set forth 1,500,000 as the maximum number of shares that may be made subject to awards in any calendar year to any “covered employee” (within the meaning of Section 162(m) of the Internal Revenue Code). | ||||||||||||||||||
There were 541,863 and 472,035 shares available for grant under the 2006 Plan at December 28, 2013 and December 29, 2012, respectively. With the adoption of the 2014 Plan effective on March 28, 2014, no further shares will be granted and, therefore, no shares are available under the 2006 Plan at January 3, 2015. | |||||||||||||||||||
New Issuances | |||||||||||||||||||
During 2014, we issued 20,000 options to one non-executive employee of the Company. These options vest at various time periods through 2019 and have a weighted average exercise price of $11.81 based on the NASDAQ market price of the underlying common stock on the close of business on the day the options were granted and had a weighted average fair value of $5.37. | |||||||||||||||||||
During 2014, we issued 212,393 shares of restricted stock awards to certain directors, executives and non-executive employees of the Company. The restrictions on these awards lapse at various time periods through 2017 and had a weighted average fair value on the dates of the grants of $10.82 based on the NASDAQ market price of the common stock on the close of business on the day the awards were granted. Of the 212,393 shares of restricted stock issued, 74,555 shares were issued from the 2014 Plan and 137,838 shares were issued from the 2006 Plan. The final number of shares awarded under the issuance on March 4, 2014, from the 2006 Plan is subject to adjustment based on the performance of the Company for the 2014 fiscal year and become final upon filing of the Company’s Annual Report on Form 10-K for the year ended January 3, 2015. | |||||||||||||||||||
The performance criteria, as defined in the share awards, provides for a graded awarding of shares based on the percentage by which the Company meets earnings before interest and taxes, as defined, in our 2014 business plan. The percentages, ranging from less than 80% to greater than 120%, provide for the awarding of shares ranging from 0% to 150% and only relates to half of the initial March 4, 2014, issuance of 137,838 shares, or 68,919 shares. The remaining 68,919 shares from the March 4, 2014, issuance are not subject to adjustment based on any performance or other criteria. Based on the performance criteria as established in the award, 57.5%, or 39,626 shares will be awarded resulting in a decrease of 29,293 in outstanding restricted shares awards. The grant date fair value of the March 4, 2014, award was $11.81. | |||||||||||||||||||
During 2013, we issued 22,581 shares of restricted stock awards to certain board members and non-executive employees of the Company. The restrictions on these awards lapse at various time periods through 2016 and have a weighted average fair value on date of grant of $6.76 based on the NASDAQ market price of the common stock on the close of business on the day the awards were granted. | |||||||||||||||||||
During 2012, we issued 673,390 options to certain directors, executives and non-executive employees of the Company. These options vest at various time periods through 2017 and have a weighted average exercise price of $2.42 based on the NASDAQ market price of the underlying common stock on the close of business on the day the options were granted. | |||||||||||||||||||
The compensation cost that was charged against income for stock compensation plans was $1.2 million, $1.0 million and $1.4 million, respectively, for the years ended January 3, 2015, December 28, 2013, and December 29, 2012, and is included in selling, general and administrative expenses in the accompanying consolidated statements of operations. We recognized $6.1 million and $0.4 million in excess income tax benefits for share-based compensation in the years ended January 3, 2015, and December 28, 2013, respectively. There was no excess income tax benefit recognized for share-based compensation for the year ended December 29, 2012, as a result of the valuation allowance on deferred taxes. We currently expect to satisfy share-based awards with registered shares available to be issued. | |||||||||||||||||||
The fair value of each stock option grant was estimated on the date of grant using a Black-Scholes option-pricing model with the following weighted average assumptions used for grants under the 2006 Plan in the following years: | |||||||||||||||||||
2014: dividend yield of 0%, expected volatility of 51.19%, risk-free interest rate of 1.54%, and expected life of 5 years | |||||||||||||||||||
2013: no options granted. | |||||||||||||||||||
2012: dividend yield of 0%, expected volatility of 70.38%, risk-free interest rate 0.8%, and expected life of 5 years. | |||||||||||||||||||
The expected life of options granted represents the period of time that options granted are expected to be outstanding and was determined based on historical experience. The expected volatility is based on the Company’s common stock. The risk-free rate for periods within the contractual term of the options is based on U.S. Treasury yield for instruments with a maturity equal to the life of the option in effect at the time of grant. | |||||||||||||||||||
Stock Options | |||||||||||||||||||
A summary of the status of our stock options as of January 3, 2015, and changes during the year then ended, are presented below: | |||||||||||||||||||
Number of | Weighted Average | Weighted | |||||||||||||||||
Shares | Exercise Price | Average | |||||||||||||||||
Life | |||||||||||||||||||
Outstanding at December 28, 2013 | 5,204,569 | $ | 1.97 | ||||||||||||||||
Granted | 20,000 | $ | 11.81 | ||||||||||||||||
Exercised | (906,573 | ) | $ | 1.87 | |||||||||||||||
Forfeited/Expired | (98,331 | ) | $ | 1.88 | |||||||||||||||
Outstanding at January 3, 2015 | 4,219,665 | $ | 2.06 | 5.4 | |||||||||||||||
Exercisable at January 3, 2015 | 3,130,270 | $ | 1.98 | 5.3 | |||||||||||||||
The following table summarizes information about employee stock options outstanding at January 3, 2015, (dollars in thousands, except per share amounts): | |||||||||||||||||||
Exercise Price | Remaining | Outstanding | Outstanding | Exercisable | Exercisable | ||||||||||||||
Contractual | Intrinsic Value | Intrinsic Value | |||||||||||||||||
Life | |||||||||||||||||||
$0.92 | 1.1 Years | 91,881 | $ | 812 | 91,881 | $ | 812 | ||||||||||||
$1.60-$2.31 | 5.2 Years | 3,875,784 | 30,075 | 2,951,722 | 22,906 | ||||||||||||||
$2.59-$3.25 | 7.4 Years | 232,000 | 1,655 | 86,667 | 621 | ||||||||||||||
$11.81 | 9.2 Years | 20,000 | — | — | — | ||||||||||||||
4,219,665 | $ | 32,542 | 3,130,270 | $ | 24,339 | ||||||||||||||
There were no options granted during the year ended December 28, 2013. The weighted average fair value of options granted during the year ended December 29, 2012 was $2.42. The aggregate intrinsic value of options outstanding and of options exercisable as of December 28, 2013, was $41.8 million and $24.1 million, respectively. The aggregate intrinsic value of options outstanding and of options exercisable as of December 29, 2012, was $18.9 million and $10.0 million, respectively. The total grant date fair value of options vested during the years ended January 3, 2015, December 28, 2013, and December 29, 2012, was $1.3 million, $1.4 million and $1.3 million, respectively. | |||||||||||||||||||
For the year ended January 3, 2015, we received $1.7 million in proceeds from the exercise of 906,573 options for which we recognized $6.1 million in excess tax benefits through additional paid in capital. The aggregate intrinsic value of stock options exercised during the year ended January 3, 2015, was $7.9 million. For the year ended December 28, 2013, we received $3.6 million in proceeds from the exercise of 1,922,167 options for which we recognized $0.4 million in excess tax benefits through additional paid in capital. The aggregate intrinsic value of stock options exercised during the year ended December 28, 2013, was $14.1 million. For the years ended December 29, 2012, we received $0.1 million in proceeds from the exercise of 66,838 options for which there was no tax benefit realized. The aggregate intrinsic value of stock options exercised during the year ended December 29, 2012, was $0.1 million. | |||||||||||||||||||
As of January 3, 2015, there was $146 thousand of unrecognized compensation cost related to non-vested stock option compensation arrangements granted which is expected to be recognized in earnings straight-line over a weighted average period of 1.5 years. | |||||||||||||||||||
Non-Vested (Restricted) Share Awards | |||||||||||||||||||
There were 212,393 restricted share awards granted in the year ended January 3, 2015, which were reduced by 29,293 shares based on performance criteria discussed above and which will vest at various time periods through 2017. There were 22,581 restricted shares awards granted in the year ended December 28, 2013, which will vest during 2014. There were no share awards granted in the year ended December 29, 2012. | |||||||||||||||||||
A summary of the status of non-vested share awards as of January 3, 2015, and changes during the year then ended, are presented below: | |||||||||||||||||||
Number of | Weighted | ||||||||||||||||||
Shares | Average | ||||||||||||||||||
Fair Value | |||||||||||||||||||
Outstanding at December 28, 2013 | 22,581 | $ | 6.76 | ||||||||||||||||
Granted | 212,393 | $ | 10.82 | ||||||||||||||||
Vested | (22,581 | ) | $ | 6.76 | |||||||||||||||
Forfeited/Expired/Performance adjustment | (29,293 | ) | $ | 11.81 | |||||||||||||||
Outstanding at January 3, 2015 | 183,100 | $ | 10.66 | ||||||||||||||||
As of January 3, 2015, the remaining compensation cost related to non-vested share awards was $1.1 million which is expected to be recognized in earnings straight-line over a weighted average period of 1.6 years. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Loss | 12 Months Ended | ||||||||||||||
Jan. 03, 2015 | |||||||||||||||
Text Block [Abstract] | |||||||||||||||
Accumulated Other Comprehensive Loss | 17. Accumulated Other Comprehensive Loss | ||||||||||||||
The following table shows the components of accumulated other comprehensive loss for 2014, 2013 and 2012: | |||||||||||||||
(in thousands) | Aluminum | Interest | Total | ||||||||||||
Forward | Swap | ||||||||||||||
Contracts | |||||||||||||||
Balance at December 31, 2011 | $ | (1,798 | ) | $ | — | $ | (1,798 | ) | |||||||
Other comprehensive loss before reclassification | (24 | ) | — | (24 | ) | ||||||||||
Amounts reclassified from other comprehensive loss | 408 | — | 408 | ||||||||||||
Net current-period other comprehensive income | 384 | — | 384 | ||||||||||||
Balance at December 29, 2012 | (1,414 | ) | — | (1,414 | ) | ||||||||||
Other comprehensive loss before reclassification | (761 | ) | (630 | ) | (1,391 | ) | |||||||||
Amounts reclassified from other comprehensive loss | 145 | — | 145 | ||||||||||||
Tax effect | 193 | 244 | 437 | ||||||||||||
Net current-period other comprehensive loss | (423 | ) | (386 | ) | (809 | ) | |||||||||
Balance at December 28, 2013 | (1,837 | ) | (386 | ) | (2,223 | ) | |||||||||
Other comprehensive income (loss) before reclassification | 346 | (558 | ) | (212 | ) | ||||||||||
Amounts reclassified from other comprehensive loss | 7 | 1,188 | 1,195 | ||||||||||||
Tax effect | (187 | ) | (244 | ) | (431 | ) | |||||||||
Net current-period other comprehensive loss | 166 | 386 | 552 | ||||||||||||
Balance at January 3, 2015 | $ | (1,671 | ) | $ | — | $ | (1,671 | ) | |||||||
Reclassification out of accumulated other comprehensive loss for 2014, 2013, and 2012: | |||||||||||||||
Amounts Reclassified From Accumulated Other Comprehensive Loss | |||||||||||||||
Affected Line Item in Statement | |||||||||||||||
Where Net Income is Presented | |||||||||||||||
Year Ended | |||||||||||||||
January 3, | December 28, | December 29, | |||||||||||||
2015 | 2013 | 2012 | |||||||||||||
Aluminum forward contracts | $ | 7 | $ | 145 | $ | 408 | Cost of sales | ||||||||
Tax effect | (3 | ) | (56 | ) | — | Tax expense | |||||||||
Interest rate swap | $ | 1,188 | $ | — | $ | — | Other expense, net | ||||||||
Tax effect | (461 | ) | — | — | Tax expense |
Sales_by_Product_Group
Sales by Product Group | 12 Months Ended | ||||||||||||
Jan. 03, 2015 | |||||||||||||
Segment Reporting [Abstract] | |||||||||||||
Sales by Product Group | 18. Sales by Product Group | ||||||||||||
The FASB has issued guidance under ASC 280, Segment Reporting topic of the Codification which requires us to disclose certain information about our operating segments. Operating segments are defined as components of an enterprise with separate financial information which are evaluated regularly by the chief operating decision maker and are used in resource allocation and performance assessments. | |||||||||||||
We operate as a single business that manufactures windows and doors. Our chief operating decision maker evaluates performance by reviewing a few major categories of product sales and then considering costs on a total company basis. Sales by product group are as follows: | |||||||||||||
Year Ended | |||||||||||||
January 3, | December 28, | December 29, | |||||||||||
2015 | 2013 | 2012 | |||||||||||
(in millions) | |||||||||||||
Product category: | |||||||||||||
Impact window and door products | $ | 240.3 | $ | 183.4 | $ | 130.1 | |||||||
Other window and door products | 66.1 | 55.9 | 44.5 | ||||||||||
Total net sales | $ | 306.4 | $ | 239.3 | $ | 174.5 | |||||||
Unaudited_Quarterly_Financial_
Unaudited Quarterly Financial Data | 12 Months Ended | ||||||||||||||||
Jan. 03, 2015 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||
Unaudited Quarterly Financial Data | 19. Unaudited Quarterly Financial Data | ||||||||||||||||
The following tables summarize the consolidated quarterly results of operations for 2014 and 2013 (in thousands, except per share amounts): | |||||||||||||||||
2014 | |||||||||||||||||
First | Second | Third | Fourth | ||||||||||||||
Quarter | Quarter | Quarter | Quarter | ||||||||||||||
Net sales | $ | 62,724 | $ | 81,622 | $ | 77,320 | $ | 84,722 | |||||||||
Gross profit | 19,771 | 26,145 | 23,183 | 23,693 | |||||||||||||
Net income | 3,352 | 7,801 | 2,332 | 2,920 | |||||||||||||
Net income per share – basic | $ | 0.07 | $ | 0.17 | $ | 0.05 | $ | 0.06 | |||||||||
Net income per share – diluted | $ | 0.07 | $ | 0.16 | $ | 0.05 | $ | 0.06 | |||||||||
2013 | |||||||||||||||||
First | Second | Third | Fourth | ||||||||||||||
Quarter | Quarter | Quarter | Quarter | ||||||||||||||
Net sales | $ | 49,563 | $ | 62,847 | $ | 64,858 | $ | 62,035 | |||||||||
Gross profit | 17,559 | 21,030 | 20,920 | 20,625 | |||||||||||||
Net income | 5,264 | 9,922 | 6,289 | 5,344 | |||||||||||||
Net income per share – basic | $ | 0.1 | $ | 0.2 | $ | 0.14 | $ | 0.11 | |||||||||
Net income per share – diluted | $ | 0.09 | $ | 0.19 | $ | 0.13 | $ | 0.11 | |||||||||
Earnings per share is computed independently for each of the quarters presented; therefore, the sum of the quarterly earnings per share may not equal the annual earnings per share. Each of our fiscal quarters above consists of 13 weeks except for the fourth quarter of 2014, which consists of 14 weeks, and ended on the last Saturday of the period. | |||||||||||||||||
During the first quarter of 2013, we increased net income by $2.2 million from the gain on sale of the Salisbury, NC facility. In the second quarter, we reversed the deferred tax asset valuation allowance by $3.9 million, and in the fourth quarter we recorded $0.5 million of tax expense in excess of the release of the net operating loss valuation allowance. |
Schedule_II_Valuation_and_Qual
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended | ||||||||||||||||||||
Jan. 03, 2015 | |||||||||||||||||||||
Valuation and Qualifying Accounts [Abstract] | |||||||||||||||||||||
Schedule II - Valuation and Qualifying Accounts | (2) Schedule II – Valuation and Qualifying Accounts | ||||||||||||||||||||
Allowance for Doubtful Accounts | Balance at | Added in | Costs and | Deductions (1) | Balance at | ||||||||||||||||
Beginning | Acquisition | expenses | End of | ||||||||||||||||||
of Period | Period | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Year ended January 3, 2015 | $ | 513 | $ | 85 | $ | (179 | ) | $ | (113 | ) | $ | 306 | |||||||||
Year ended December 28, 2013 | $ | 516 | $ | — | $ | 29 | $ | (32 | ) | $ | 513 | ||||||||||
Year ended December 29, 2012 | $ | 683 | $ | — | $ | 59 | $ | (226 | ) | $ | 516 | ||||||||||
-1 | Represents uncollectible accounts charged against the allowance for doubtful accounts, net of recoveries. | ||||||||||||||||||||
Allowance for Deferred Taxes | Balance at | Deductions (1) | Balance at | ||||||||||||||||||
Beginning | End of | ||||||||||||||||||||
of Period | Period | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Year ended December 28, 2013 | $ | 12,902 | $ | (12,902 | ) | $ | — | ||||||||||||||
Year ended December 29, 2012 | $ | 16,289 | $ | (3,387 | ) | $ | 12,902 | ||||||||||||||
-1 | Reduction related to reversal of valuation allowance. | ||||||||||||||||||||
-2 | The following documents are filed, furnished or incorporated by reference as exhibits to this report as required by Item 601 of Regulation S-K |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | ||||||||||||||||||||||||
Jan. 03, 2015 | |||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||
Basis of Presentation | Basis of Presentation | ||||||||||||||||||||||||
The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). | |||||||||||||||||||||||||
Fiscal Period | Fiscal period | ||||||||||||||||||||||||
Our fiscal year consists of 52 or 53 weeks ending on the Saturday nearest December 31 of the related year. The year ended January 3, 2015, consisted of 53 weeks. The years ended December 28, 2013, and December 29, 2012, consisted of 52 weeks. | |||||||||||||||||||||||||
Principles of Consolidation | Principles of consolidation | ||||||||||||||||||||||||
The consolidated financial statements present the results of the operations, financial position and cash flows of PGTI, its wholly owned subsidiary, PGT Industries, Inc. and its wholly-owned subsidiary, CGI. All significant intercompany accounts and transactions have been eliminated in consolidation. | |||||||||||||||||||||||||
Segment Information | Segment information | ||||||||||||||||||||||||
We operate as one operating segment, the manufacture and sale of windows and doors. | |||||||||||||||||||||||||
Use of Estimates | Use of estimates | ||||||||||||||||||||||||
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Critical accounting estimates involved in applying our accounting policies are those that require management to make assumptions about matters that are uncertain at the time the accounting estimate is made and those for which different estimates reasonably could have been used for the current period. Critical accounting estimates are also those which could have a material impact on the presentation of PGTI’s financial condition, changes in financial condition or results of operations. Actual results could materially differ from those estimates. | |||||||||||||||||||||||||
Revenue Recognition | Revenue recognition | ||||||||||||||||||||||||
We recognize sales when all of the following criteria have been met: a valid customer order with a fixed price has been received; the product has been delivered; and collectability is reasonably assured. All sales recognized are net of allowances for discounts and estimated credits, which are estimated using historical experience. We record provisions against gross revenues for estimated credits in the period when the related revenue is recorded. These estimates are based on factors that include, but are not limited to, analysis of credit memorandum activity. | |||||||||||||||||||||||||
Cost of Sales | Cost of sales | ||||||||||||||||||||||||
Cost of sales represents costs directly related to the production of our products. Primary costs include raw materials, direct labor, and manufacturing overhead. Manufacturing overhead and related expenses primarily include salaries, wages, employee benefits, utilities, maintenance, engineering and property taxes. | |||||||||||||||||||||||||
Shipping and Handling Costs | Shipping and handling costs | ||||||||||||||||||||||||
Shipping and handling costs incurred in the purchase of materials used in the manufacturing process are included in cost of sales. Costs relating to shipping and handling of our finished products are included in selling, general and administrative expenses and totaled $13.0 million, $10.6 million and $9.0 million for the years ended January 3, 2015, December 28, 2013, and December 29, 2012, respectively. | |||||||||||||||||||||||||
Advertising | Advertising | ||||||||||||||||||||||||
We expense advertising costs as incurred. Advertising expense included in selling, general and administrative expenses was $0.7 million, $0.7 million and $0.7 million for the years ended January 3, 2015, December 28, 2013, and December 29, 2012, respectively. | |||||||||||||||||||||||||
Research and Development Costs | Research and development costs | ||||||||||||||||||||||||
We expense research and development costs as incurred. Research and development costs included in cost of sales were $1.8 million, $1.3 million and $1.4 million for the years ended January 3, 2015, December 28, 2013, and December 29, 2012, respectively. | |||||||||||||||||||||||||
Cash and Cash Equivalents | Cash and cash equivalents | ||||||||||||||||||||||||
Cash and cash equivalents consist of cash on hand or highly liquid investments with an original maturity date of three months or less. | |||||||||||||||||||||||||
Accounts and Notes Receivable and Allowance for Doubtful Accounts | Accounts and notes receivable and allowance for doubtful accounts | ||||||||||||||||||||||||
We extend credit to qualified dealers and distributors, generally on a non-collateralized basis. Accounts receivable and notes receivable are recorded at their gross receivable amount, reduced by an allowance for doubtful accounts that results in the receivable being recorded at its net realizable value. The allowance for doubtful accounts is based on management’s assessments of the amount which may become uncollectible in the future and is determined through consideration of our write-off history, specific identification of uncollectible accounts based in part on the customer’s past due balance (based on contractual terms), and consideration of prevailing economic and industry conditions. Uncollectible accounts are written off after repeated attempts to collect from the customer have been unsuccessful. | |||||||||||||||||||||||||
January 3, | December 28, | ||||||||||||||||||||||||
2015 | 2013 | ||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Accounts receivable | $ | 25,680 | $ | 21,334 | |||||||||||||||||||||
Less: Allowance for doubtful accounts | (306 | ) | (513 | ) | |||||||||||||||||||||
$ | 25,374 | $ | 20,821 | ||||||||||||||||||||||
As of January 3, 2015, December 28, 2013, and December 29, 2012, there were $0.3 million, $0.6 million and $0.2 million of trade notes receivable, respectively, for which there was an allowance of $0.2 million, $0.3 million and $0.2 million, respectively, included in other current assets and other assets, depending on due date, in the accompanying consolidated balance sheets. | |||||||||||||||||||||||||
Self-Insurance Reserves | Self-insurance reserves | ||||||||||||||||||||||||
We are primarily self-insured for employee health benefits and for years prior to 2010 for workers’ compensation claims. Our workers’ compensation reserves are accrued based on third-party actuarial valuations of the expected future liabilities. Health benefits are self-insured by us up to pre-determined stop loss limits. These reserves, including incurred but not reported claims, are based on internal computations. These computations consider our historical claims experience, independent statistics, and trends. Changes to actual workers’ compensation or health benefit claims incurred could have a material impact on our estimated self-insurance reserves. For 2014, 2013, and 2012 we are fully insured with respect to workers’ compensation. Accruals for healthcare claims and workers’ compensation are included in accrued liabilities in the accompanying consolidated balance sheets. | |||||||||||||||||||||||||
Warranty Expense | Warranty expense | ||||||||||||||||||||||||
We have warranty obligations with respect to most of our manufactured products. Warranty periods, which vary by product components, generally range from 1 to 10 years, although the warranty period for a limited number of specifically identified components in certain applications is a lifetime. However, the majority of the products sold have warranties on components which range from 1 to 3 years. The reserve for warranties is based on management’s assessment of the cost per service call, the lag time between order ship dates and warranty service dates, and the number of service calls expected to be incurred to satisfy warranty obligations on recorded net sales. The reserve is determined after assessing Company history and through specific identification. Expected future obligations are discounted to a current value using a risk-free rate for obligations with similar maturities. The following provides information with respect to our warranty accrual. | |||||||||||||||||||||||||
During 2014, we recorded warranty expense at an average rate of 1.80% of sales. This rate is higher than the average rate of 1.30% of sales accrued in fiscal year 2013, due to an increase in service claims experienced in 2014. We assess the adequacy of our warranty accrual on a quarterly, and yearly basis, and adjust the previous amounts recorded, if necessary, to reflect the change in estimate of the future costs of claims yet to be serviced. | |||||||||||||||||||||||||
Accrued Warranty | Beginning | Acquired | Charged to | Adjustments | Settlements | End of | |||||||||||||||||||
of Period | Expense | Period | |||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Year ended January 3, 2015 | $ | 2,666 | $ | 239 | $ | 5,492 | $ | 473 | $ | (5,568 | ) | $ | 3,302 | ||||||||||||
Year ended December 28, 2013 | $ | 3,858 | $ | — | $ | 2,992 | $ | (419 | ) | $ | (3,765 | ) | $ | 2,666 | |||||||||||
Year ended December 29, 2012 | $ | 4,406 | $ | — | $ | 3,157 | $ | (512 | ) | $ | (3,193 | ) | $ | 3,858 | |||||||||||
The accrual for warranty is included in accrued liabilities and other liabilities, depending on estimated settlement date, in the consolidated balance sheets as of January 3, 2015, and December 28, 2013. The portion of warranty expense related to the issuance of product is $3.1 million, $0.4 million and $0.3 million is included in cost of sales on the consolidated statements of operations for the years ended January 3, 2015, December 28, 2013, and December 29, 2012, respectively. The portion related to servicing warranty claims including costs of the service department personnel is included in selling, general and administrative expenses on the consolidated statements of operations, and is $2.9 million, $2.2 million and $2.3 million, respectively, for the years ended January 3, 2015, December 28, 2013, and December 29, 2012. | |||||||||||||||||||||||||
Inventories | Inventories | ||||||||||||||||||||||||
Inventories consist principally of raw materials purchased for the manufacture of our products. We have limited finished goods inventory as all products are custom, made-to-order products. Finished goods inventory costs include direct materials, direct labor, and overhead. All inventories are stated at the lower of cost (first-in, first-out method) or market (net realizable value). The reserve for obsolescence is based on management’s assessment of the amount of inventory that may become obsolete in the future and is determined through company history, specific identification and consideration of prevailing economic and industry conditions. Inventories consist of the following: | |||||||||||||||||||||||||
January 3, | December 28, | ||||||||||||||||||||||||
2015 | 2013 | ||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Raw materials | $ | 16,674 | $ | 11,305 | |||||||||||||||||||||
Work in progress | 791 | 329 | |||||||||||||||||||||||
Finished goods | 2,505 | 1,274 | |||||||||||||||||||||||
$ | 19,970 | $ | 12,908 | ||||||||||||||||||||||
Property, Plant and Equipment | Property, plant and equipment | ||||||||||||||||||||||||
Property, plant and equipment are recorded at cost and depreciated using the straight-line method over the estimated useful lives of the related assets. Leasehold improvements are amortized over the shorter of the lease term or their estimated useful life. Depreciable assets are assigned estimated lives as follows: | |||||||||||||||||||||||||
Building and improvements | 5 to 40 years | ||||||||||||||||||||||||
Leasehold improvements | 3 to 5 years | ||||||||||||||||||||||||
Furniture and equipment | 3 to 10 years | ||||||||||||||||||||||||
Vehicles | 5 to 10 years | ||||||||||||||||||||||||
Computer software | 3 years | ||||||||||||||||||||||||
Maintenance and repair expenditures are charged to expense as incurred. | |||||||||||||||||||||||||
Long-Lived Assets | Long-lived assets | ||||||||||||||||||||||||
We review long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of long-lived assets to future undiscounted net cash flows expected to be generated. If such assets are considered to be impaired, the impairment recognized is the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less cost to sell, and depreciation is no longer recorded. | |||||||||||||||||||||||||
Computer Software | Computer software | ||||||||||||||||||||||||
We capitalize costs associated with software developed or obtained for internal use when both the preliminary project stage is completed and it is probable that computer software being developed will be completed and placed in service. Capitalized costs include: | |||||||||||||||||||||||||
(i) external direct costs of materials and services consumed in developing or obtaining computer software, | |||||||||||||||||||||||||
(ii) payroll and other related costs for employees who are directly associated with and who devote time to the software project, and | |||||||||||||||||||||||||
(iii) interest costs incurred, when material, while developing internal-use software. | |||||||||||||||||||||||||
Capitalization of such costs ceases no later than the point at which the project is substantially complete and ready for its intended purpose. | |||||||||||||||||||||||||
Capitalized software as of January 3, 2015, and December 28, 2013, was $14.0 million and $13.7 million, respectively. Accumulated depreciation of capitalized software was $13.4 million and $12.9 million as of January 3, 2015, and December 28, 2013, respectively. | |||||||||||||||||||||||||
Depreciation expense for capitalized software was $0.5 million, $0.8 million, and $1.0 million for the years ended January 3, 2015, December 28, 2013, and December 29, 2012, respectively. | |||||||||||||||||||||||||
We review the carrying value of capitalized software and development costs for impairment in accordance with our policy pertaining to the impairment of long-lived assets. | |||||||||||||||||||||||||
Goodwill | Goodwill | ||||||||||||||||||||||||
Goodwill represents the excess of the consideration paid in a business combination over the fair value of the identifiable net assets acquired. We test goodwill for impairment at reporting unit level at least annually or whenever events or circumstances indicate that the carrying value of goodwill may not be recoverable from future cash flows. Our annual test for impairment is done on the first day of our fiscal fourth quarter. We have the option of performing a qualitative assessment of impairment to determine whether any further quantitative testing for impairment is necessary. If we elect to bypass the qualitative assessment or if we determine, based on qualitative factors, that it is more likely than not that the fair value of our reporting unit is less than its carrying amount, a two-step quantitative test is required. In Step 1, we compare the fair value of our reporting unit with its net carrying value, including goodwill. If the net carrying value of our reporting unit exceeds its fair value, we then perform Step 2 of the impairment test to measure the amount of impairment loss, if any. In Step 2, we allocate our reporting unit’s fair value to all of its assets and liabilities in a manner similar to a purchase price allocation, with any residual fair value being allocated to goodwill (implied fair value of goodwill). If the carrying amount of our reporting unit’s goodwill exceeds the implied fair value of that goodwill, we recognize an impairment loss in an amount equal to that excess up to the carrying value of goodwill. In performing the two-step quantitative assessment, fair value of the reporting unit is based on discounted cash flows, market multiples, and/or appraised values, as appropriate. (See Note 6). | |||||||||||||||||||||||||
Significant judgments and estimates are used in the determination our reporting unit’s fair value. Discounted cash flow analyses utilize sensitive estimates, including projections of revenues and operating costs considering historical and anticipated future results, general economic and market conditions, discount rates, as well as the impact of planned business or operational strategies. Deterioration in economic or market conditions, as well as increased costs arising from the effects of regulatory or legislative changes may result in declines in our reporting unit’s performance beyond current expectations. Declines in our reporting unit’s performance, increases in equity capital requirements, or increases in the estimated cost of debt or equity, could cause the estimated fair value of our reporting unit or its associated goodwill to decline, which could result in an impairment charge to earnings in a future period related to some portion of the associated goodwill. | |||||||||||||||||||||||||
Other Intangibles | Other intangibles | ||||||||||||||||||||||||
Other intangible assets consist of trade names, customer-relationships, developed technology and a non-compete intangible asset. The useful lives of trade names were determined to be indefinite and, therefore, these assets are not being amortized. Customer-related intangible assets are being amortized over their estimated useful lives of eight to ten years. Developed technology is being amortized over its estimated useful lives of ten years. Non-compete intangible asset is being amortized over its estimated useful lives of two years. The impairment evaluation of intangible assets with indefinite lives is conducted annually, on the first day of our fiscal fourth quarter, or more frequently, if events or changes in circumstances indicate that an asset might be impaired. The evaluation is performed by comparing the carrying amount of these assets to their estimated fair value. | |||||||||||||||||||||||||
If the estimated fair value is less than the carrying amount of the indefinite-lived intangible assets, then an impairment charge is recorded to reduce the asset to its estimated fair value. The estimated fair value is generally determined on the basis of discounted future projected cost savings attributable to ownership of the intangible assets with indefinite lives which, for us, are our trade names. | |||||||||||||||||||||||||
The assumptions used in the estimate of fair value are generally consistent with past performance and are also consistent with the projections and assumptions that are used in our current operating plans. Such assumptions are subject to change as a result of changing economic and competitive conditions. | |||||||||||||||||||||||||
The determination of fair value used in that assessment is highly sensitive to differences between estimated and actual cash flows and changes in the related discount rate used to evaluate fair value. Estimated cash flows are sensitive to changes in the Florida housing market and changes in the economy among other things. | |||||||||||||||||||||||||
Deferred Financing Costs | Deferred financing costs | ||||||||||||||||||||||||
On September 22, 2014, we entered into a Credit Agreement (the “2014 Credit Agreement”), among us, the lending institutions identified in the 2014 Credit Agreement, and Deutsche Bank AG New York Branch, as Administrative Agent and Collateral Agent. The 2014 Credit Agreement establishes new senior secured credit facilities in an aggregate amount of $235.0 million, consisting of a $200.0 million Term B term loan facility maturing in seven years that will amortize on a basis of 1% annually during the seven-year term, and a $35.0 million revolving credit facility maturing in five years that includes a swing line facility and a letter of credit facility. (See Note 8). | |||||||||||||||||||||||||
There was a 1% discount, or $2.0 million, upon issuance of the debt under the 2014 Credit Agreement which we recorded as a discount and which is presented net within the current and long-term portions of debt on the consolidated balance sheet as of January 3, 2015. The Company incurred issuance costs of $5.5 million, of which $3.8 million were paid directly to the lenders and were classified as a discount and presented net within the current and long-term portions of debt on the consolidated balance sheet as of January 3, 2015. The remainder of $1.7 million was reported as deferred financing costs in current assets and other assets on the consolidated balance sheet as of January 3, 2015. | |||||||||||||||||||||||||
At the time we entered into the 2014 Credit Agreement, we had $1.5 million recorded as discount presented net within the current and long-term portions of debt and $1.7 million recorded as deferred financing fees presented in current and other assets relating to the 2013 Credit Agreement. Of these debt issuance costs, $0.2 million of costs recorded as discount and $0.4 million of | |||||||||||||||||||||||||
costs recorded as deferred financing fees were not written-off as one of the lenders in the 2014 Credit Agreement was also a lender in the 2013 Credit Agreement and for which we treated the 2014 refinancing as a modification. The remaining debt issuance costs relating to the 2013 Credit Agreement of $2.6 million were written-off as debt extinguishment costs in other expenses, net, on the consolidated statements of operations for the year ended January 3, 2015. | |||||||||||||||||||||||||
At January 3, 2015, we had debt issuance costs of $5.7 million recorded as discount presented net within the current and long-term portions of debt and $2.0 million recorded as deferred financing fees presented in current and other assets relating to the 2014 Credit Agreement. These debt issuance costs are being amortized to interest expense, net, under the effective interest method on the consolidated statements of operations over the term of the 2014 Credit Agreement. There was $0.9 million of amortization for the year ended January 3, 2015, $1.0 million of amortization for the year ended December 28, 2013, and $0.9 million for the year ended December 29, 2012 related to debt discount and deferred financing costs. | |||||||||||||||||||||||||
Estimated amortization of debt issuance costs is as follows for future fiscal years: | |||||||||||||||||||||||||
Classified As | |||||||||||||||||||||||||
(in thousands) | Deferred | Original | Total | ||||||||||||||||||||||
Financing | Issue | ||||||||||||||||||||||||
Costs | Discount | ||||||||||||||||||||||||
2015 | $ | 301 | $ | 714 | $ | 1,015 | |||||||||||||||||||
2016 | 320 | 783 | 1,103 | ||||||||||||||||||||||
2017 | 329 | 820 | 1,149 | ||||||||||||||||||||||
2018 | 339 | 858 | 1,197 | ||||||||||||||||||||||
2019 | 313 | 899 | 1,212 | ||||||||||||||||||||||
Thereafter | 400 | 1,672 | 2,072 | ||||||||||||||||||||||
Total | $ | 2,002 | $ | 5,746 | $ | 7,748 | |||||||||||||||||||
Derivative Financial Instruments | Derivative financial instruments | ||||||||||||||||||||||||
We utilize certain derivative instruments, from time to time, including forward contracts and interest rate swaps and caps to manage variability in cash flow associated with commodity market price risk exposure in the aluminum market and interest rates. We do not enter into derivatives for speculative purposes. Additional information with regard to derivative instruments is contained in Note 8. | |||||||||||||||||||||||||
We account for derivative instruments in accordance with the guidance under the Derivatives and Hedging topic of the Financial Accounting Standards Board (FASB) Accounting Standards Codification (Codification) which requires us to recognize all of our derivative instruments as either assets or liabilities in the consolidated balance sheet at fair value. The accounting for changes in the fair value (i.e., gains or losses) of a derivative instrument depends on whether it has been designated and qualifies as part of a hedging relationship based on its effectiveness in hedging against the exposure and further, on the type of hedging relationship. For those derivative instruments that are designated and qualify as hedging instruments, we must designate the hedging instrument, based upon the exposure being hedged, as a fair value hedge or a cash flow hedge. | |||||||||||||||||||||||||
Our forward contracts are designated and accounted for as cash flow hedges (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk). The Derivatives and Hedging topic of the Codification provides that the effective portion of the gain or loss on a derivative instrument designated and qualifying as a cash flow hedging instrument be reported as a component of other comprehensive income and be reclassified into earnings in the same line item in the income statement as the hedged item in the same period or periods during which the underlying transaction affects earnings. The ineffective portion of the gain or loss on these derivative instruments, if any, is recognized in other income/expense in current earnings during the period of change. | |||||||||||||||||||||||||
On occasion, cash flow hedges may no longer qualify to be designated as hedging instruments; at that time future changes in fair value are recognized in earnings. When a cash flow hedge is terminated, becomes ineffective, or is de-designated, if the forecasted hedged transaction is still probable of occurrence, amounts previously recorded in other comprehensive income remain in other comprehensive income and are recognized in earnings in the period in which the hedged transaction affects earnings. | |||||||||||||||||||||||||
As of January 3, 2015, we did not have cash on deposit with our commodities broker related to funding of margin calls on open forward contracts for the purchase of aluminum. The net liability position of $491 thousand on January 3, 2015, is included in accrued liabilities in the accompanying consolidated balance sheet as it related to open contracts with scheduled prompt dates in 2015. The net liability position of $479 thousand on December 28, 2013, is included in accrued liabilities and other liabilities in the accompanying consolidated balance sheet as it related to open contracts with scheduled prompt dates in 2014 and 2015. | |||||||||||||||||||||||||
For consolidated statement of cash flows presentation, we present net cash receipts from and payments to the margin account as investing activities. | |||||||||||||||||||||||||
On September 16, 2013, we entered into two interest rate caps and one interest rate swap. At January 3, 2015, only one cap remained, the fair value of which was in an asset position of $2 thousand. (See Note 9). | |||||||||||||||||||||||||
Financial Instruments | Financial instruments | ||||||||||||||||||||||||
Our financial instruments, not including derivative financial instruments discussed in Note 10, include cash, accounts and notes receivable, and accounts payable, and accrued liabilities whose carrying amounts approximate their fair values due to their short-term nature. Our financial instruments also include long-term debt. The fair value of our long-term debt is based on debt with similar terms and characteristics and was approximately $193.8 million as of January 3, 2015, and $77.3 million as of December 28, 2013, both of which approximate carrying value as of those dates. | |||||||||||||||||||||||||
Concentrations of Credit Risk | Concentrations of credit risk | ||||||||||||||||||||||||
Financial instruments, which potentially subject us to concentrations of credit risk, consist principally of cash and cash equivalents and trade accounts receivable. Accounts receivable are due primarily from companies in the construction industry located in Florida and the eastern half of the United States. Credit is extended based on an evaluation of the customer’s financial condition and credit history, and generally collateral is not required. | |||||||||||||||||||||||||
We maintain our cash with several financial institutions. The balance exceeds federally insured limits. At January 3, 2015, and December 28, 2013, such balance exceeded the insured limit by $41.7 million and $29.7 million, respectively. | |||||||||||||||||||||||||
Comprehensive Income | Comprehensive income | ||||||||||||||||||||||||
Comprehensive income is reported on the consolidated statements of comprehensive income. Accumulated other comprehensive loss is reported on the consolidated balance sheets and the consolidated statements of shareholders’ equity. | |||||||||||||||||||||||||
Gains and losses on cash flow hedges, to the extent effective, are included in other comprehensive income (loss). Reclassification adjustments reflecting such gains and losses are recorded as income in the same period as the hedged items affect earnings. Additional information with regard to accounting policies associated with derivative instruments is contained in Note 9. | |||||||||||||||||||||||||
Stock Compensation | Stock compensation | ||||||||||||||||||||||||
We use a fair-value based approach for measuring stock-based compensation and, therefore, record compensation expense over an award’s vesting period based on the award’s fair value at the date of grant. Our Company’s awards vest based only on service conditions and compensation expense is recognized on a straight-line basis for each separately vesting portion of an award. Stock-based compensation expense is recognized only for those awards that are ultimately expected to vest, and we have applied an estimated forfeiture rate to unvested awards for the purpose of calculating compensation cost. These estimates will be revised in future periods if actual forfeitures differ from the estimates. Changes in forfeiture estimates impact compensation cost in the period in which the change in estimate occurs. We recorded compensation expense for stock based awards of $1.2 million before tax, or $0.02 per diluted share after tax-effect, $1.0 million before tax, or $0.01 per diluted share after tax-effect and $1.4 million before income tax, or $0.02 per diluted share after tax-effect, in the years ended January 3, 2015, December 28, 2013, and December 29, 2012, respectively. | |||||||||||||||||||||||||
Income and Other Taxes | Income and Other Taxes | ||||||||||||||||||||||||
We account for income taxes utilizing the liability method. Deferred income taxes are recorded to reflect consequences on future years of differences between financial reporting and the tax basis of assets and liabilities measured using the enacted statutory tax rates and tax laws applicable to the periods in which differences are expected to affect taxable earnings. We have no liability for unrecognized tax benefits. However, should we accrue for such liabilities, when and if they arise in the future, we will recognize interest and penalties associated with uncertain tax positions as part of our income tax provision. | |||||||||||||||||||||||||
Sales taxes collected from customers have been recorded on a net basis. | |||||||||||||||||||||||||
Net Income Per Common Share | Net income per common share | ||||||||||||||||||||||||
Basic earnings per share is computed using the weighted average number of common shares outstanding during the period. Diluted earnings per share is computed using the weighted average number of common shares outstanding during the period, plus the dilutive effect of common stock equivalents using the treasury stock method. We follow the “two class” method of accounting for earnings per share due to the fact that our unvested restricted stock awards are participating securities. | |||||||||||||||||||||||||
Our weighted average shares outstanding excludes underlying options of less than 0.1 million and 0.5 million for the years ended January 3, 2015, and December 29, 2012, respectively, because their effects were anti-dilutive. There were no anti-dilutive options outstanding for the year ended December 28, 2013. | |||||||||||||||||||||||||
The table below presents the calculation of basic and diluted earnings per share, including a reconciliation of weighted average common shares: | |||||||||||||||||||||||||
Year Ended | |||||||||||||||||||||||||
January 3, | December 28, | December 29, | |||||||||||||||||||||||
2015 | 2013 | 2012 | |||||||||||||||||||||||
(in thousands, except per share amounts) | |||||||||||||||||||||||||
Numerator: | |||||||||||||||||||||||||
Net income | $ | 16,405 | $ | 26,819 | $ | 8,955 | |||||||||||||||||||
Denominator: | |||||||||||||||||||||||||
Weighted-average common shares - Basic | 47,376 | 48,881 | 53,620 | ||||||||||||||||||||||
Add: Dilutive effect of stock compensation plans | 2,401 | 3,330 | 1,642 | ||||||||||||||||||||||
Weighted-average common shares - Diluted | 49,777 | 52,211 | 55,262 | ||||||||||||||||||||||
Net income per common share: | |||||||||||||||||||||||||
Basic | $ | 0.35 | $ | 0.55 | $ | 0.17 | |||||||||||||||||||
Diluted | $ | 0.33 | $ | 0.51 | $ | 0.16 | |||||||||||||||||||
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Jan. 03, 2015 | |||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||
Schedule of Accounts, Notes Receivable and Allowance for Doubtful Accounts | |||||||||||||||||||||||||
January 3, | December 28, | ||||||||||||||||||||||||
2015 | 2013 | ||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Accounts receivable | $ | 25,680 | $ | 21,334 | |||||||||||||||||||||
Less: Allowance for doubtful accounts | (306 | ) | (513 | ) | |||||||||||||||||||||
$ | 25,374 | $ | 20,821 | ||||||||||||||||||||||
Information Regarding Warranty Accrual | |||||||||||||||||||||||||
Accrued Warranty | Beginning | Acquired | Charged to | Adjustments | Settlements | End of | |||||||||||||||||||
of Period | Expense | Period | |||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Year ended January 3, 2015 | $ | 2,666 | $ | 239 | $ | 5,492 | $ | 473 | $ | (5,568 | ) | $ | 3,302 | ||||||||||||
Year ended December 28, 2013 | $ | 3,858 | $ | — | $ | 2,992 | $ | (419 | ) | $ | (3,765 | ) | $ | 2,666 | |||||||||||
Year ended December 29, 2012 | $ | 4,406 | $ | — | $ | 3,157 | $ | (512 | ) | $ | (3,193 | ) | $ | 3,858 | |||||||||||
Inventories | Inventories consist of the following: | ||||||||||||||||||||||||
January 3, | December 28, | ||||||||||||||||||||||||
2015 | 2013 | ||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Raw materials | $ | 16,674 | $ | 11,305 | |||||||||||||||||||||
Work in progress | 791 | 329 | |||||||||||||||||||||||
Finished goods | 2,505 | 1,274 | |||||||||||||||||||||||
$ | 19,970 | $ | 12,908 | ||||||||||||||||||||||
Schedule of Property, Plant and Equipment | Property, plant and equipment are recorded at cost and depreciated using the straight-line method over the estimated useful lives of the related assets. Leasehold improvements are amortized over the shorter of the lease term or their estimated useful life. Depreciable assets are assigned estimated lives as follows: | ||||||||||||||||||||||||
Building and improvements | 5 to 40 years | ||||||||||||||||||||||||
Leasehold improvements | 3 to 5 years | ||||||||||||||||||||||||
Furniture and equipment | 3 to 10 years | ||||||||||||||||||||||||
Vehicles | 5 to 10 years | ||||||||||||||||||||||||
Computer software | 3 years | ||||||||||||||||||||||||
Schedule of Debt Issuance Costs | Estimated amortization of debt issuance costs is as follows for future fiscal years: | ||||||||||||||||||||||||
Classified As | |||||||||||||||||||||||||
(in thousands) | Deferred | Original | Total | ||||||||||||||||||||||
Financing | Issue | ||||||||||||||||||||||||
Costs | Discount | ||||||||||||||||||||||||
2015 | $ | 301 | $ | 714 | $ | 1,015 | |||||||||||||||||||
2016 | 320 | 783 | 1,103 | ||||||||||||||||||||||
2017 | 329 | 820 | 1,149 | ||||||||||||||||||||||
2018 | 339 | 858 | 1,197 | ||||||||||||||||||||||
2019 | 313 | 899 | 1,212 | ||||||||||||||||||||||
Thereafter | 400 | 1,672 | 2,072 | ||||||||||||||||||||||
Total | $ | 2,002 | $ | 5,746 | $ | 7,748 | |||||||||||||||||||
Calculation of EPS and Reconciliation of Weighted Average Common Shares Used in the Calculation of Basic and Diluted EPS | The table below presents the calculation of basic and diluted earnings per share, including a reconciliation of weighted average common shares: | ||||||||||||||||||||||||
Year Ended | |||||||||||||||||||||||||
January 3, | December 28, | December 29, | |||||||||||||||||||||||
2015 | 2013 | 2012 | |||||||||||||||||||||||
(in thousands, except per share amounts) | |||||||||||||||||||||||||
Numerator: | |||||||||||||||||||||||||
Net income | $ | 16,405 | $ | 26,819 | $ | 8,955 | |||||||||||||||||||
Denominator: | |||||||||||||||||||||||||
Weighted-average common shares - Basic | 47,376 | 48,881 | 53,620 | ||||||||||||||||||||||
Add: Dilutive effect of stock compensation plans | 2,401 | 3,330 | 1,642 | ||||||||||||||||||||||
Weighted-average common shares - Diluted | 49,777 | 52,211 | 55,262 | ||||||||||||||||||||||
Net income per common share: | |||||||||||||||||||||||||
Basic | $ | 0.35 | $ | 0.55 | $ | 0.17 | |||||||||||||||||||
Diluted | $ | 0.33 | $ | 0.51 | $ | 0.16 | |||||||||||||||||||
Acquisition_of_CGI_Windows_and1
Acquisition of CGI Windows and Doors (Tables) | 12 Months Ended | ||||||||
Jan. 03, 2015 | |||||||||
Business Combinations [Abstract] | |||||||||
Schedule of Estimated Fair Value of Assets and Liabilities Assumed | The estimated fair value of assets acquired and liabilities assumed as of the Closing Date, as adjusted through January 3, 2015, are as follows: | ||||||||
Current | |||||||||
Estimate | |||||||||
Accounts receivable | $ | 4,156 | |||||||
Inventories | 3,229 | ||||||||
Prepaid expenses | 303 | ||||||||
Property, plant and equipment | 1,709 | ||||||||
Intangible assets | 45,300 | ||||||||
Other assets | 65 | ||||||||
Goodwill | 66,580 | ||||||||
Deferred income taxes | (6,417 | ) | |||||||
Accounts payable and accrued liabilities | (4,136 | ) | |||||||
Other liabilities | (351 | ) | |||||||
Purchase price | $ | 110,438 | |||||||
Summary of Unaudited Proforma Results | The unaudited pro forma results do not include the impact of synergies, nor any potential impacts on current or future market conditions which could alter the following unaudited pro forma results. | ||||||||
Year Ended | |||||||||
Pro Forma Results (unaudited) | January 3, | December 28, | |||||||
2015 | 2013 | ||||||||
(in thousands, except per share amounts) | |||||||||
Net sales | $ | 337,369 | $ | 272,132 | |||||
Net income | $ | 15,209 | $ | 24,985 | |||||
Net income per common share: | |||||||||
Basic | $ | 0.32 | $ | 0.51 | |||||
Diluted | $ | 0.31 | $ | 0.48 | |||||
Property_Plant_and_Equipment_T
Property, Plant and Equipment (Tables) | 12 Months Ended | ||||||||
Jan. 03, 2015 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Schedule of Property, Plant and Equipment | The following table presents the composition of property, plant and equipment as of: | ||||||||
January 3, | December 28, | ||||||||
2015 | 2013 | ||||||||
(in thousands) | |||||||||
Land | $ | 6,298 | $ | 5,641 | |||||
Buildings and improvements | 45,656 | 36,686 | |||||||
Machinery and equipment | 52,838 | 45,058 | |||||||
Vehicles | 8,048 | 6,453 | |||||||
Software | 13,984 | 13,730 | |||||||
Construction in progress | 5,544 | 3,552 | |||||||
132,368 | 111,120 | ||||||||
Less: Accumulated depreciation | (71,470 | ) | (66,997 | ) | |||||
$ | 60,898 | $ | 44,123 | ||||||
Goodwill_Trade_Names_and_Other1
Goodwill, Trade Names and Other Intangible Assets (Tables) | 12 Months Ended | ||||||||||
Jan. 03, 2015 | |||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||
Schedule of Trade Name and Other Intangible Assets | Trade names and other intangible assets are as follows as of: | ||||||||||
January 3, | December 28, | Initial | |||||||||
2015 | 2013 | Useful Life | |||||||||
(in years) | |||||||||||
(in thousands) | |||||||||||
Goodwill | $ | 66,580 | $ | — | indefinite | ||||||
Other intangible assets: | |||||||||||
Trade names | $ | 57,441 | $ | 38,441 | indefinite | ||||||
Customer relationships | 79,700 | 55,700 | 10-Aug | ||||||||
Developed technology | 1,700 | — | 10 | ||||||||
Non-compete agreement | 600 | — | 2 | ||||||||
Less: Accumulated amortization | (56,717 | ) | (55,272 | ) | |||||||
Subtotal | 25,283 | 428 | |||||||||
Other intangible assets, net | $ | 82,724 | $ | 38,869 | |||||||
Estimated Amortization for Future Fiscal Year | Estimated amortization of our customer relationships, developed technology and non-compete agreement intangible assets is as follows for future fiscal year: | ||||||||||
(in thousands) | |||||||||||
2015 | $ | 3,413 | |||||||||
2016 | 3,379 | ||||||||||
2017 | 3,161 | ||||||||||
2018 | 3,161 | ||||||||||
2019 | 3,161 | ||||||||||
Thereafter | 9,008 | ||||||||||
Total | $ | 25,283 | |||||||||
Accrued_Liabilities_Tables
Accrued Liabilities (Tables) | 12 Months Ended | ||||||||
Jan. 03, 2015 | |||||||||
Payables and Accruals [Abstract] | |||||||||
Schedule of Accrued Liabilities | Accrued liabilities consisted of the following: | ||||||||
January 3, | December 28, | ||||||||
2015 | 2013 | ||||||||
(in thousands) | |||||||||
Accrued payroll and benefits | $ | 4,607 | $ | 6,019 | |||||
Accrued warranty | 2,658 | 1,923 | |||||||
Unearned revenue | 1,405 | 1,451 | |||||||
Accrued health claims insurance payable | 908 | 743 | |||||||
Accrued interest | 874 | 246 | |||||||
Aluminum forward contracts | 491 | 441 | |||||||
Other | 981 | 865 | |||||||
$ | 11,924 | $ | 11,688 | ||||||
LongTerm_Debt_Tables
Long-Term Debt (Tables) | 12 Months Ended | ||||||||||||
Jan. 03, 2015 | |||||||||||||
Debt Disclosure [Abstract] | |||||||||||||
Schedule of Long-term Debt | Long-term debt consists of the following: | ||||||||||||
January 3, | December 28, | ||||||||||||
2015 | 2013 | ||||||||||||
(in thousands) | |||||||||||||
Term loan payable with a payment of $0.5 million due quarterly. | |||||||||||||
A lump sum payment of $186.0 million is due on September 22, 2021. Interest is payable quarterly at LIBOR or the prime rate plus an applicable margin. At January 3, 2015, the average rate was 1.00% plus a margin of 4.25%. | $ | 199,500 | $ | — | |||||||||
Term note payable with a payment of $1.0 million due quarterly. | |||||||||||||
A lump sum payment of $63.0 million is due on May 28, 2018. Interest is payable monthly, or quarterly at LIBOR or the prime rate plus an applicable margin. At December 28, 2013, the average rate was 0.16% plus a margin of 3.00%. | — | 79,000 | |||||||||||
Debt discount (1) | (5,746 | ) | (1,745 | ) | |||||||||
193,754 | 77,255 | ||||||||||||
Less current portion of long-term debt | (1,962 | ) | (4,890 | ) | |||||||||
Total | $ | 191,792 | $ | 72,365 | |||||||||
-1 | Debt discount – represents fees paid to the lender at time the debt was issued, and is accounted for as a reduction in the debt proceeds and is amortized over the life of the debt instrument. | ||||||||||||
Contractual Future Maturities of Long-term Debt | The contractual future maturities of long-term debt outstanding of January 3, 2015, are as follows (excluding unamortized debt discount and deferred financing fees): | ||||||||||||
(in thousands) | |||||||||||||
2015 | $ | 2,000 | |||||||||||
2016 | 2,000 | ||||||||||||
2017 | 2,000 | ||||||||||||
2018 | 2,000 | ||||||||||||
2019 | 2,000 | ||||||||||||
Thereafter | 189,500 | ||||||||||||
Total | $ | 199,500 | |||||||||||
Interest Expense, Net | Interest expense, net consisted of the following: | ||||||||||||
Year Ended | |||||||||||||
January 3, | December 28, | December 29, | |||||||||||
2015 | 2013 | 2012 | |||||||||||
(in thousands) | |||||||||||||
Long-term debt | $ | 4,841 | $ | 2,295 | $ | 2,396 | |||||||
Debt fees | 240 | 235 | 213 | ||||||||||
Amortization of deferred financing costs and original issue discount | 945 | 1,021 | 857 | ||||||||||
Interest income | (37 | ) | (25 | ) | (20 | ) | |||||||
Interest expense | 5,989 | 3,526 | 3,446 | ||||||||||
Capitalized interest | (29 | ) | (6 | ) | (9 | ) | |||||||
Interest expense, net | $ | 5,960 | $ | 3,520 | $ | 3,437 | |||||||
Derivatives_Tables
Derivatives (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||
Jan. 03, 2015 | |||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||||||
Fair Value of Hedges and Interest Rate Cap | The fair value of our aluminum hedges and interest rate cap are classified in the accompanying consolidated balance sheets as follows (in thousands): | ||||||||||||||||||||||||||||
January 3, | December 28, | ||||||||||||||||||||||||||||
2015 | 2013 | ||||||||||||||||||||||||||||
Derivatives in a net asset (liability) position | Balance Sheet Location | ||||||||||||||||||||||||||||
Hedging instruments: | |||||||||||||||||||||||||||||
Aluminum forward contracts | Accrued liabilities | $ | (491 | ) | $ | (441 | ) | ||||||||||||||||||||||
Aluminum forward contracts | Other liabilities | — | (38 | ) | |||||||||||||||||||||||||
Interest rate cap | Other current assets | 2 | 21 | ||||||||||||||||||||||||||
Interest rate cap | Other assets | — | 13 | ||||||||||||||||||||||||||
Interest rate swap | Other liabilities | — | (630 | ) | |||||||||||||||||||||||||
Total hedging instruments | $ | (489 | ) | $ | (1,075 | ) | |||||||||||||||||||||||
Schedule of Offsetting Derivative Instrument | The impact of the offsetting derivative instruments are depicted below (in thousands): | ||||||||||||||||||||||||||||
As of January 3, 2015 | |||||||||||||||||||||||||||||
Gross Amounts not Offset | |||||||||||||||||||||||||||||
Gross | Gross | Net | Financial | Cash | Net | ||||||||||||||||||||||||
Amounts of | Amounts | Amounts of | Instruments | Collateral | Amount | ||||||||||||||||||||||||
Recognized | Offset | Recognized | Received | ||||||||||||||||||||||||||
Assets | Assets | ||||||||||||||||||||||||||||
Interest rate cap | $ | 2 | $ | — | $ | 2 | $ | — | $ | — | $ | 2 | |||||||||||||||||
Gross Amounts not Offset | |||||||||||||||||||||||||||||
Gross | Gross | Net | Financial | Cash | Net | ||||||||||||||||||||||||
Amounts of | Amounts | Amounts of | Instruments | Collateral | Amount | ||||||||||||||||||||||||
Recognized | Offset | Recognized | Pledged | ||||||||||||||||||||||||||
(Liabilities) | (Liabilities) | ||||||||||||||||||||||||||||
Aluminum forward contracts | $ | (491 | ) | $ | — | $ | (491 | ) | $ | — | $ | — | $ | (491 | ) | ||||||||||||||
As of December 28, 2013 | |||||||||||||||||||||||||||||
Gross Amounts not Offset | |||||||||||||||||||||||||||||
Gross | Gross | Net | Financial | Cash | Net | ||||||||||||||||||||||||
Amounts of | Amounts | Amounts of | Instruments | Collateral | Amount | ||||||||||||||||||||||||
Recognized | Offset | Recognized | Received | ||||||||||||||||||||||||||
Assets | Assets | ||||||||||||||||||||||||||||
Interest rate caps | $ | 34 | $ | — | $ | 34 | $ | — | $ | — | $ | 34 | |||||||||||||||||
Gross Amounts not Offset | |||||||||||||||||||||||||||||
Gross | Gross | Net | Financial | Cash | Net | ||||||||||||||||||||||||
Amounts of | Amounts | Amounts of | Instruments | Collateral | Amount | ||||||||||||||||||||||||
Recognized | Offset | Recognized | Pledged | ||||||||||||||||||||||||||
(Liabilities) | (Liabilities) | ||||||||||||||||||||||||||||
Aluminum forward contracts | $ | (479 | ) | $ | — | $ | (479 | ) | $ | — | $ | — | $ | (479 | ) | ||||||||||||||
Interest rate swap | $ | (630 | ) | $ | — | $ | (630 | ) | $ | — | $ | — | $ | (630 | ) | ||||||||||||||
Gains (Losses) on Derivative Financial Instruments | The following represents the gains (losses) on derivative financial instruments for the years ended January 3, 2015, December 28, 2013, and December 29, 2012, and their classifications within the accompanying consolidated financial statements (in thousands): | ||||||||||||||||||||||||||||
Derivatives in Cash Flow Hedging Relationships | |||||||||||||||||||||||||||||
Amount of Gain or (Loss) | Location of Gain or | Amount of Loss Reclassified from | |||||||||||||||||||||||||||
Recognized in OCI on Derivatives | (Loss) Reclassified | Accumulated OCI into Income | |||||||||||||||||||||||||||
(Effective Portion) | from Accumulated | (Effective Portion) | |||||||||||||||||||||||||||
OCI into Income | |||||||||||||||||||||||||||||
(Effective Portion) | |||||||||||||||||||||||||||||
Year Ended | Year Ended | ||||||||||||||||||||||||||||
January 3, | December 28, | December 29, | January 3, | December 28, | December 29, | ||||||||||||||||||||||||
2015 | 2013 | 2012 | 2015 | 2013 | 2012 | ||||||||||||||||||||||||
Aluminum contracts | $ | 346 | $ | (761 | ) | $ | (24 | ) | Cost of sales | $ | (7 | ) | $ | (145 | ) | $ | (408 | ) | |||||||||||
Interest rate swap | $ | (558 | ) | $ | (630 | ) | $ | — | Interest expense, net | $ | — | $ | — | $ | — | ||||||||||||||
Interest rate swap | $ | — | $ | — | $ | — | Other expense, net | $ | (1,188 | ) | $ | — | $ | — | |||||||||||||||
Location of Gain or | Amount of Gain or (Loss) | ||||||||||||||||||||||||||||
(Loss) Recognized in | Recognized in Income on Derivatives | ||||||||||||||||||||||||||||
Income on | (Ineffective Portion) | ||||||||||||||||||||||||||||
Derivatives | |||||||||||||||||||||||||||||
(Ineffective Portion) | |||||||||||||||||||||||||||||
Year Ended | |||||||||||||||||||||||||||||
January 3, | December 28, | December 29, | |||||||||||||||||||||||||||
2015 | 2013 | 2012 | |||||||||||||||||||||||||||
Aluminum contracts | Other expense, net | $ | (221 | ) | $ | (358 | ) | $ | 208 | ||||||||||||||||||||
Interest rate swap | Other expense, net | $ | (314 | ) | $ | — | $ | — | |||||||||||||||||||||
Interest rate cap | Other expense, net | $ | (27 | ) | $ | — | $ | — |
Fair_Value_Tables
Fair Value (Tables) | 12 Months Ended | ||||||||||||||||
Jan. 03, 2015 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Items Measured at Fair Value on a Recurring Basis | The following assets and liabilities are measured in the consolidated financial statements at fair value on a recurring basis and are categorized in the table below based upon the lowest level of significant input to the valuation: | ||||||||||||||||
Fair Value Measurements | |||||||||||||||||
Assets (Liabilities) | |||||||||||||||||
Description | January 3, | Quoted | Significant | Significant | |||||||||||||
2015 | Prices in | Other | Unobservable | ||||||||||||||
Active | Observable | Inputs | |||||||||||||||
Markets | Inputs | (Level 3) | |||||||||||||||
(Level 1) | (Level 2) | ||||||||||||||||
(in thousands) | |||||||||||||||||
Aluminum forward contracts | $ | (491 | ) | $ | — | $ | (491 | ) | $ | — | |||||||
Interest rate cap | 2 | — | 2 | — | |||||||||||||
Forward contracts for aluminum, net | $ | (489 | ) | $ | — | $ | (489 | ) | $ | — | |||||||
Description | December 28, | Quoted | Significant | Significant | |||||||||||||
2013 | Prices in | Other | Unobservable | ||||||||||||||
Active | Observable | Inputs | |||||||||||||||
Markets | Inputs | (Level 3) | |||||||||||||||
(Level 1) | (Level 2) | ||||||||||||||||
(in thousands) | |||||||||||||||||
Aluminum forward contracts | $ | (479 | ) | $ | — | $ | (479 | ) | $ | — | |||||||
Interest rate caps | 34 | — | 34 | — | |||||||||||||
Interest rate swap | (630 | ) | — | (630 | ) | — | |||||||||||
Forward contracts for aluminum, net | $ | (1,075 | ) | $ | — | $ | (1,075 | ) | $ | — | |||||||
Fair Value of Financial Instruments | The following table presents the carrying values and estimated fair values of financial assets and liabilities that are required to be recorded or disclosed at fair value at January 3, 2015 and December 28, 2013, respectively (in thousands): | ||||||||||||||||
January 3, 2015 | December 28, 2013 | ||||||||||||||||
Carrying | Estimated | Carrying | Estimated | ||||||||||||||
Amount | Fair | Amount | Fair | ||||||||||||||
Value | Value | ||||||||||||||||
Financial assets (liabilities) | |||||||||||||||||
Cash and cash equivalents | $ | 42,469 | $ | 42,469 | $ | 30,204 | $ | 30,204 | |||||||||
Accounts receivable, net | $ | 25,374 | $ | 25,374 | $ | 20,821 | $ | 20,821 | |||||||||
Accounts payable | $ | (5,404 | ) | $ | (5,404 | ) | $ | (3,834 | ) | $ | (3,834 | ) | |||||
Accrued liabilities | $ | (11,924 | ) | $ | (11,924 | ) | $ | (11,688 | ) | $ | (11,688 | ) | |||||
Long-term debt (including current portion) | $ | (193,754 | ) | $ | (193,754 | ) | $ | (77,255 | ) | $ | (77,255 | ) |
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||
Jan. 03, 2015 | |||||||||||||
Components of Income Tax Expense (Benefit) | The components of income tax expense (benefit) are as follows (in thousands): | ||||||||||||
Year Ended | |||||||||||||
January 3, | December 28, | December 29, | |||||||||||
2015 | 2013 | 2012 | |||||||||||
Current: | |||||||||||||
Federal | $ | 6,346 | $ | 86 | $ | 192 | |||||||
State | — | — | — | ||||||||||
6,346 | 86 | 192 | |||||||||||
Deferred: | |||||||||||||
Federal | 2,379 | (2,265 | ) | — | |||||||||
State | 950 | (1,195 | ) | (82 | ) | ||||||||
3,329 | (3,460 | ) | (82 | ) | |||||||||
Income tax expense (benefit) | $ | 9,675 | $ | (3,374 | ) | $ | 110 | ||||||
Summary of Income Taxes Included in Consolidated Statements of Income and Consolidated Statements of Equity | The aggregate amount of income taxes included in the consolidated statements of operations and consolidated statements of shareholders’ equity are as follows (in thousands): | ||||||||||||
Year Ended | |||||||||||||
January 3, | December 28, | December 29, | |||||||||||
2015 | 2013 | 2012 | |||||||||||
Consolidated statements of income: | |||||||||||||
Income tax expense (benefit) relating to continuing operations | $ | 9,675 | $ | (3,374 | ) | $ | 110 | ||||||
Income tax expense (benefit) relating to discontinued operations | $ | — | $ | — | $ | — | |||||||
Consolidated statements of shareholders’ equity: | |||||||||||||
Income tax expense (benefit) relating to derivative financial instruments | $ | 431 | $ | (437 | ) | $ | — | ||||||
Income tax benefit relating to share-based compensation | $ | (6,064 | ) | $ | (396 | ) | $ | — | |||||
Reconciliation of Statutory Federal Income Tax Rate | A reconciliation of the statutory federal income tax rate to our effective rate is provided below: | ||||||||||||
Year Ended | |||||||||||||
January 3, | December 28, | December 29, | |||||||||||
2015 | 2013 | 2012 | |||||||||||
Statutory federal income tax rate | 35 | % | 35 | % | 35 | % | |||||||
State income taxes, net of federal income tax benefit | 3.8 | % | 3.8 | % | 3.8 | % | |||||||
Non-deductible acquisition costs | 0.6 | % | — | — | |||||||||
Domestic manufacturing deduction | (2.1 | )% | — | — | |||||||||
Alternative minimum tax | — | — | 2.1 | % | |||||||||
Non-deductible secondary offering related expenses | — | 1.8 | % | — | |||||||||
Valuation allowance on deferred tax assets | — | (55.1 | )% | (39.1 | )% | ||||||||
Non-deductible expenses | — | 0.2 | % | 0.3 | % | ||||||||
Other | (0.2 | )% | (0.1 | )% | (0.9 | )% | |||||||
37.1 | % | (14.4 | )% | 1.2 | % | ||||||||
Components of Net Deferred Tax Asset and Liability | Significant components of our net deferred tax liability are as follows: | ||||||||||||
January 3, | December 28, | ||||||||||||
2015 | 2013 | ||||||||||||
(in thousands) | |||||||||||||
Deferred tax assets: | |||||||||||||
State and federal net operating loss carryforwards | $ | 6,973 | $ | 970 | |||||||||
Goodwill | 1,941 | 4,152 | |||||||||||
Compensation expense | 2,773 | 2,606 | |||||||||||
Accrued warranty | 1,280 | 1,034 | |||||||||||
AMT tax credits | 574 | 574 | |||||||||||
Obsolete inventory and UNICAP adjustment | 473 | 435 | |||||||||||
Derivative financial instruments | 241 | 475 | |||||||||||
Other deferrals and accruals, net | 66 | 260 | |||||||||||
Allowance for doubtful accounts | 107 | 145 | |||||||||||
Amortizable intangible assets | — | 865 | |||||||||||
Total deferred tax assets | 14,428 | 11,516 | |||||||||||
Deferred tax liabilities: | |||||||||||||
Other indefinite lived intangible assets | (22,270 | ) | (14,904 | ) | |||||||||
Property, plant and equipment | (7,426 | ) | (6,349 | ) | |||||||||
Amortizable intangible assets | (5,058 | ) | — | ||||||||||
Deferred financing costs | (152 | ) | (370 | ) | |||||||||
Prepaid expenses | (318 | ) | (510 | ) | |||||||||
Total deferred tax liabilities | (35,224 | ) | (22,133 | ) | |||||||||
Total deferred tax liabilities, net | $ | (20,796 | ) | $ | (10,617 | ) | |||||||
Current and Noncurrent Deferred Tax (Liabilities) Assets | The following table shows the current deferred tax assets, net, and noncurrent deferred tax liabilities, net, recorded on our consolidated balance sheets: | ||||||||||||
January 3, | December 28, | ||||||||||||
2015 | 2013 | ||||||||||||
(in thousands) | |||||||||||||
Current deferred tax assets, net | $ | 5,160 | $ | 2,763 | |||||||||
Non-current deferred tax liabilities, net | (25,956 | ) | (13,380 | ) | |||||||||
Total deferred tax liabilities, net | $ | (20,796 | ) | $ | (10,617 | ) | |||||||
CGI [Member] | |||||||||||||
Components of Net Deferred Tax Asset and Liability | In connection with the acquisition of CGI, we recorded an estimated net deferred tax liability of $6.4 million, as follows: | ||||||||||||
Deferred tax assets (liabilities) relate to: | Current | ||||||||||||
Estimate | |||||||||||||
Amortizable intangible assets | $ | (6,249 | ) | ||||||||||
Other indefinitie lived intangible assets | (7,366 | ) | |||||||||||
Property, plant and equipment | (313 | ) | |||||||||||
Net operating loss carryforwards | 7,369 | ||||||||||||
Other assets, net | 142 | ||||||||||||
Net estimated deferred liability | $ | (6,417 | ) | ||||||||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | ||||
Jan. 03, 2015 | |||||
Commitments and Contingencies Disclosure [Abstract] | |||||
Future Minimum Lease Commitments for Non - Cancelable Operating Leases | Future minimum lease commitments for non-cancelable operating leases are as follows at January 3, 2015 (in thousands): | ||||
2015 | $ | 1,684 | |||
2016 | 1,474 | ||||
2017 | 1,009 | ||||
2018 | 23 | ||||
Total | $ | 4,190 | |||
Employee_Stock_Based_Compensat1
Employee Stock Based Compensation (Tables) | 12 Months Ended | ||||||||||||||||||
Jan. 03, 2015 | |||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||
Summary of the Status of Stock Options | A summary of the status of our stock options as of January 3, 2015, and changes during the year then ended, are presented below: | ||||||||||||||||||
Number of | Weighted Average | Weighted | |||||||||||||||||
Shares | Exercise Price | Average | |||||||||||||||||
Life | |||||||||||||||||||
Outstanding at December 28, 2013 | 5,204,569 | $ | 1.97 | ||||||||||||||||
Granted | 20,000 | $ | 11.81 | ||||||||||||||||
Exercised | (906,573 | ) | $ | 1.87 | |||||||||||||||
Forfeited/Expired | (98,331 | ) | $ | 1.88 | |||||||||||||||
Outstanding at January 3, 2015 | 4,219,665 | $ | 2.06 | 5.4 | |||||||||||||||
Exercisable at January 3, 2015 | 3,130,270 | $ | 1.98 | 5.3 | |||||||||||||||
Summary of Information about Employee Stock Options Outstanding | The following table summarizes information about employee stock options outstanding at January 3, 2015, (dollars in thousands, except per share amounts): | ||||||||||||||||||
Exercise Price | Remaining | Outstanding | Outstanding | Exercisable | Exercisable | ||||||||||||||
Contractual | Intrinsic Value | Intrinsic Value | |||||||||||||||||
Life | |||||||||||||||||||
$0.92 | 1.1 Years | 91,881 | $ | 812 | 91,881 | $ | 812 | ||||||||||||
$1.60-$2.31 | 5.2 Years | 3,875,784 | 30,075 | 2,951,722 | 22,906 | ||||||||||||||
$2.59-$3.25 | 7.4 Years | 232,000 | 1,655 | 86,667 | 621 | ||||||||||||||
$11.81 | 9.2 Years | 20,000 | — | — | — | ||||||||||||||
4,219,665 | $ | 32,542 | 3,130,270 | $ | 24,339 | ||||||||||||||
Summary of the Status of Non-vested Share Awards | A summary of the status of non-vested share awards as of January 3, 2015, and changes during the year then ended are presented below: | ||||||||||||||||||
Number of | Weighted | ||||||||||||||||||
Shares | Average | ||||||||||||||||||
Fair Value | |||||||||||||||||||
Outstanding at December 28, 2013 | 22,581 | $ | 6.76 | ||||||||||||||||
Granted | 212,393 | $ | 10.82 | ||||||||||||||||
Vested | (22,581 | ) | $ | 6.76 | |||||||||||||||
Forfeited/Expired/Performance adjustment | (29,293 | ) | $ | 11.81 | |||||||||||||||
Outstanding at January 3, 2015 | 183,100 | $ | 10.66 | ||||||||||||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended | ||||||||||||||
Jan. 03, 2015 | |||||||||||||||
Text Block [Abstract] | |||||||||||||||
Components of Accumulated Other Comprehensive Loss | The following table shows the components of accumulated other comprehensive loss for 2014, 2013 and 2012: | ||||||||||||||
(in thousands) | Aluminum | Interest | Total | ||||||||||||
Forward | Swap | ||||||||||||||
Contracts | |||||||||||||||
Balance at December 31, 2011 | $ | (1,798 | ) | $ | — | $ | (1,798 | ) | |||||||
Other comprehensive loss before reclassification | (24 | ) | — | (24 | ) | ||||||||||
Amounts reclassified from other comprehensive loss | 408 | — | 408 | ||||||||||||
Net current-period other comprehensive income | 384 | — | 384 | ||||||||||||
Balance at December 29, 2012 | (1,414 | ) | — | (1,414 | ) | ||||||||||
Other comprehensive loss before reclassification | (761 | ) | (630 | ) | (1,391 | ) | |||||||||
Amounts reclassified from other comprehensive loss | 145 | — | 145 | ||||||||||||
Tax effect | 193 | 244 | 437 | ||||||||||||
Net current-period other comprehensive loss | (423 | ) | (386 | ) | (809 | ) | |||||||||
Balance at December 28, 2013 | (1,837 | ) | (386 | ) | (2,223 | ) | |||||||||
Other comprehensive income (loss) before reclassification | 346 | (558 | ) | (212 | ) | ||||||||||
Amounts reclassified from other comprehensive loss | 7 | 1,188 | 1,195 | ||||||||||||
Tax effect | (187 | ) | (244 | ) | (431 | ) | |||||||||
Net current-period other comprehensive loss | 166 | 386 | 552 | ||||||||||||
Balance at January 3, 2015 | $ | (1,671 | ) | $ | — | $ | (1,671 | ) | |||||||
Reclassification Out of Accumulated Other Comprehensive Loss | Reclassification out of accumulated other comprehensive loss for 2014, 2013, and 2012: | ||||||||||||||
Amounts Reclassified From Accumulated Other Comprehensive Loss | |||||||||||||||
Affected Line Item in Statement | |||||||||||||||
Where Net Income is Presented | |||||||||||||||
Year Ended | |||||||||||||||
January 3, | December 28, | December 29, | |||||||||||||
2015 | 2013 | 2012 | |||||||||||||
Aluminum forward contracts | $ | 7 | $ | 145 | $ | 408 | Cost of sales | ||||||||
Tax effect | (3 | ) | (56 | ) | — | Tax expense | |||||||||
Interest rate swap | $ | 1,188 | $ | — | $ | — | Other expense, net | ||||||||
Tax effect | (461 | ) | — | — | Tax expense |
Sales_by_Product_Group_Tables
Sales by Product Group (Tables) | 12 Months Ended | ||||||||||||
Jan. 03, 2015 | |||||||||||||
Segment Reporting [Abstract] | |||||||||||||
Summary of Sales by Product Group | Sales by product group are as follows: | ||||||||||||
Year Ended | |||||||||||||
January 3, | December 28, | December 29, | |||||||||||
2015 | 2013 | 2012 | |||||||||||
(in millions) | |||||||||||||
Product category: | |||||||||||||
Impact window and door products | $ | 240.3 | $ | 183.4 | $ | 130.1 | |||||||
Other window and door products | 66.1 | 55.9 | 44.5 | ||||||||||
Total net sales | $ | 306.4 | $ | 239.3 | $ | 174.5 | |||||||
Unaudited_Quarterly_Financial_1
Unaudited Quarterly Financial Data (Tables) | 12 Months Ended | ||||||||||||||||
Jan. 03, 2015 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||
Summary of Consolidated Quarterly Results of Operations | The following tables summarize the consolidated quarterly results of operations for 2014 and 2013 (in thousands, except per share amounts): | ||||||||||||||||
2014 | |||||||||||||||||
First | Second | Third | Fourth | ||||||||||||||
Quarter | Quarter | Quarter | Quarter | ||||||||||||||
Net sales | $ | 62,724 | $ | 81,622 | $ | 77,320 | $ | 84,722 | |||||||||
Gross profit | 19,771 | 26,145 | 23,183 | 23,693 | |||||||||||||
Net income | 3,352 | 7,801 | 2,332 | 2,920 | |||||||||||||
Net income per share – basic | $ | 0.07 | $ | 0.17 | $ | 0.05 | $ | 0.06 | |||||||||
Net income per share – diluted | $ | 0.07 | $ | 0.16 | $ | 0.05 | $ | 0.06 | |||||||||
2013 | |||||||||||||||||
First | Second | Third | Fourth | ||||||||||||||
Quarter | Quarter | Quarter | Quarter | ||||||||||||||
Net sales | $ | 49,563 | $ | 62,847 | $ | 64,858 | $ | 62,035 | |||||||||
Gross profit | 17,559 | 21,030 | 20,920 | 20,625 | |||||||||||||
Net income | 5,264 | 9,922 | 6,289 | 5,344 | |||||||||||||
Net income per share – basic | $ | 0.1 | $ | 0.2 | $ | 0.14 | $ | 0.11 | |||||||||
Net income per share – diluted | $ | 0.09 | $ | 0.19 | $ | 0.13 | $ | 0.11 |
Description_of_Business_Additi
Description of Business - Additional Information (Detail) | 12 Months Ended |
Jan. 03, 2015 | |
Operations | |
States | |
Description Of Business [Line Items] | |
Number of states selling our products | 48 |
Date of Acquisition of CGI | 22-Sep-14 |
Number of manufacturing operations | 2 |
North Venice [Member] | |
Description Of Business [Line Items] | |
Number of manufacturing operations | 1 |
Miami [Member] | |
Description Of Business [Line Items] | |
Number of manufacturing operations | 1 |
Glass Tempering and Laminating Plant [Member] | |
Description Of Business [Line Items] | |
Number of plants | 1 |
Insulation Glass Plant [Member] | |
Description Of Business [Line Items] | |
Number of plants | 1 |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | 0 Months Ended | ||||
Share data in Millions, except Per Share data, unless otherwise specified | Dec. 28, 2013 | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Sep. 22, 2014 | 28-May-13 | Sep. 16, 2013 |
Segment | Agreement | ||||||
Business Description And Accounting Policies [Line Items] | |||||||
Number of operating segments | 1 | ||||||
Shipping and handling costs | $13,000,000 | $10,600,000 | $9,000,000 | ||||
Advertising Expense | 700,000 | 700,000 | 700,000 | ||||
Research and development costs | 1,800,000 | 1,300,000 | 1,400,000 | ||||
Original maturity date of cash and cash equivalents | Three months or less | ||||||
Trade notes receivable | 600,000 | 300,000 | 600,000 | 200,000 | |||
Allowances related to trade notes receivable | 300,000 | 200,000 | 300,000 | 200,000 | |||
Warranty expense, average rate | 1.80% | 1.30% | |||||
Portion of warranty expense related to issuance of product | 3,100,000 | 400,000 | 300,000 | ||||
Servicing warranty claims | 2,900,000 | 2,200,000 | 2,300,000 | ||||
Capitalization of software | 13,700,000 | 14,000,000 | 13,700,000 | ||||
Accumulated depreciation of capitalized software | 12,900,000 | 13,400,000 | 12,900,000 | ||||
Depreciation expense for capitalized software | 500,000 | 800,000 | 1,000,000 | ||||
Percentage of discount for issuance of the debt under the Credit Agreement | 1.00% | ||||||
Total amount of issuance of the debt under the Credit Agreement | 79,000,000 | 2,000,000 | 79,000,000 | ||||
Debt issuance costs | 3,600,000 | 5,500,000 | |||||
Amount of current and long-term portions of debt discount | 3,800,000 | ||||||
Amount of deferred financing costs in current assets and other assets | 1,700,000 | ||||||
Amount of deferred financing fees | 7,748,000 | ||||||
Discount of debt issuance cost | 1,745,000 | 5,746,000 | 1,745,000 | ||||
Amount of debt extinguished costs | 2,625,000 | 333,000 | |||||
Amortization of deferred financing costs | 945,000 | 1,021,000 | 857,000 | ||||
Net liability position included in accrued liabilities and other liabilities | 479,000 | 491,000 | 479,000 | ||||
Cash deposits with commodities broker | 0 | ||||||
Fair value of current long-term debt | 77,300,000 | 193,800,000 | 77,300,000 | ||||
The amount of insured limit exceeds by the balance | 29,700,000 | 41,700,000 | 29,700,000 | ||||
Compensation expense for stock based awards before tax | 1,200,000 | 1,000,000 | 1,400,000 | ||||
Compensation expense for stock based awards per diluted share after-tax effect | $0.02 | $0.01 | $0.02 | ||||
Material liability for unrecognized tax benefits | 0 | ||||||
Weighted average shares outstanding excluding underlying options | 0 | ||||||
Senior Secured Credit Facilities [Member] | |||||||
Business Description And Accounting Policies [Line Items] | |||||||
Amount available under credit facility | 235,000,000 | 105,000,000 | |||||
Term B Loan Facility [Member] | |||||||
Business Description And Accounting Policies [Line Items] | |||||||
Amount available under credit facility | 200,000,000 | ||||||
Maturity term of credit agreement | 7 years | ||||||
Credit facility amortization percentage | 1.00% | ||||||
Revolving Credit Facility [Member] | |||||||
Business Description And Accounting Policies [Line Items] | |||||||
Amount available under credit facility | 35,000,000 | 25,000,000 | |||||
Maturity term of credit agreement | 5 years | ||||||
Credit facility amortization percentage | 0.50% | ||||||
Maturity term of credit agreement | 5 years | 5 years | |||||
May 28, 2013 Credit Agreement [Member] | |||||||
Business Description And Accounting Policies [Line Items] | |||||||
Amount of deferred financing fees | 1,700,000 | ||||||
Amount of debt extinguished costs | 2,600,000 | ||||||
2014 Credit Agreement [Member] | |||||||
Business Description And Accounting Policies [Line Items] | |||||||
Amount of current and long-term portions of debt discount | 5,700,000 | ||||||
Amount of current and long-term portions of debt discount | 1,500,000 | ||||||
Amount of deferred financing fees | 400,000 | ||||||
Discount of debt issuance cost | 200,000 | ||||||
Amount of deferred financing fees | 2,000,000 | ||||||
Interest Rate Caps [Member] | |||||||
Business Description And Accounting Policies [Line Items] | |||||||
Number of interest rate agreements | 1 | 2 | |||||
Asset position of the fair value of interest rate cap | $2,000 | ||||||
Interest Rate Swap [Member] | |||||||
Business Description And Accounting Policies [Line Items] | |||||||
Number of interest rate agreements | 1 | ||||||
Customer Relationships [Member] | |||||||
Business Description And Accounting Policies [Line Items] | |||||||
Amortization period of intangible assets | 8 years | ||||||
Developed Technology Rights [Member] | |||||||
Business Description And Accounting Policies [Line Items] | |||||||
Amortization period of intangible assets | 10 years | ||||||
Noncompete Agreements [Member] | |||||||
Business Description And Accounting Policies [Line Items] | |||||||
Amortization period of intangible assets | 2 years | 2 years | |||||
Minimum [Member] | |||||||
Business Description And Accounting Policies [Line Items] | |||||||
Warranty periods | 1 year | ||||||
Warranty period of the majority of products sold | 1 year | ||||||
Minimum [Member] | Customer Relationships [Member] | |||||||
Business Description And Accounting Policies [Line Items] | |||||||
Amortization period of intangible assets | 8 years | ||||||
Maximum [Member] | |||||||
Business Description And Accounting Policies [Line Items] | |||||||
Warranty periods | 10 years | ||||||
Warranty period of the majority of products sold | 3 years | ||||||
Weighted average shares outstanding excluding underlying options | 0.1 | 0.5 | |||||
Maximum [Member] | Customer Relationships [Member] | |||||||
Business Description And Accounting Policies [Line Items] | |||||||
Amortization period of intangible assets | 10 years |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies - Schedule of Accounts, Notes Receivable and Allowance for Doubtful Accounts (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Accounting Policies [Abstract] | ||
Accounts receivable | $25,680 | $21,334 |
Less: Allowance for doubtful accounts | -306 | -513 |
Accounts receivable, net total | $25,374 | $20,821 |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies - Information Regarding Warranty Accrual (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Accounting Policies [Abstract] | |||
Accrued Warranty, Beginning of Period | $2,666 | $3,858 | $4,406 |
Accrued Warranty, Acquired | 239 | ||
Accrued Warranty, Charged to Expense | 5,492 | 2,992 | 3,157 |
Accrued Warranty, Adjustments | 473 | -419 | -512 |
Accrued Warranty, Settlements | -5,568 | -3,765 | -3,193 |
Accrued Warranty, End of Period | $3,302 | $2,666 | $3,858 |
Summary_of_Significant_Account6
Summary of Significant Accounting Policies - Inventories (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ||
Raw materials | $16,674 | $11,305 |
Work in progress | 791 | 329 |
Finished goods | 2,505 | 1,274 |
Total inventory | $19,970 | $12,908 |
Summary_of_Significant_Account7
Summary of Significant Accounting Policies - Schedule of Property, Plant and Equipment (Detail) | 12 Months Ended |
Jan. 03, 2015 | |
Building and Improvements [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 5 years |
Building and Improvements [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 40 years |
Leasehold Improvements [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Leasehold Improvements [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 5 years |
Furniture and Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Furniture and Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 10 years |
Vehicles [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 5 years |
Vehicles [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 10 years |
Software Development [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Summary_of_Significant_Account8
Summary of Significant Accounting Policies - Schedule of Debt Issuance Costs (Detail) (USD $) | Jan. 03, 2015 |
In Thousands, unless otherwise specified | |
Warranties [Line Items] | |
2015 | $1,015 |
2016 | 1,103 |
2017 | 1,149 |
2018 | 1,197 |
2019 | 1,212 |
Thereafter | 2,072 |
Total | 7,748 |
Deferred Financing Costs [Member] | |
Warranties [Line Items] | |
2015 | 301 |
2016 | 320 |
2017 | 329 |
2018 | 339 |
2019 | 313 |
Thereafter | 400 |
Total | 2,002 |
Original Issue Discount [Member] | |
Warranties [Line Items] | |
2015 | 714 |
2016 | 783 |
2017 | 820 |
2018 | 858 |
2019 | 899 |
Thereafter | 1,672 |
Total | $5,746 |
Summary_of_Significant_Account9
Summary of Significant Accounting Policies - Calculation of EPS and Reconciliation of Weighted Average Common Shares Used in Calculation of Basic and Diluted EPS (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Jan. 03, 2015 | Sep. 27, 2014 | Jun. 28, 2014 | Mar. 29, 2014 | Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Numerator: | |||||||||||
Net income | $2,920 | $2,332 | $7,801 | $3,352 | $5,344 | $6,289 | $9,922 | $5,264 | $16,405 | $26,819 | $8,955 |
Denominator: | |||||||||||
Weighted-average common shares - Basic | 47,376 | 48,881 | 53,620 | ||||||||
Add: Dilutive effect of stock compensation plans | 2,401 | 3,330 | 1,642 | ||||||||
Weighted-average common shares - Diluted | 49,777 | 52,211 | 55,262 | ||||||||
Net income per common share: | |||||||||||
Basic | $0.06 | $0.05 | $0.17 | $0.07 | $0.11 | $0.14 | $0.20 | $0.10 | $0.35 | $0.55 | $0.17 |
Diluted | $0.06 | $0.05 | $0.16 | $0.07 | $0.11 | $0.13 | $0.19 | $0.09 | $0.33 | $0.51 | $0.16 |
Acquisition_of_CGI_Windows_and2
Acquisition of CGI Windows and Doors - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||
Jan. 03, 2015 | Sep. 27, 2014 | Jun. 28, 2014 | Mar. 29, 2014 | Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2004 | Sep. 22, 2014 | |
Loans At Acquisition Date [Line Items] | |||||||||||||
Net sales | $84,722,000 | $77,320,000 | $81,622,000 | $62,724,000 | $62,035,000 | $64,858,000 | $62,847,000 | $49,563,000 | $306,388,000 | $239,303,000 | $174,540,000 | ||
Net income | 2,920,000 | 2,332,000 | 7,801,000 | 3,352,000 | 5,344,000 | 6,289,000 | 9,922,000 | 5,264,000 | 16,405,000 | 26,819,000 | 8,955,000 | ||
Goodwill | 66,580,000 | 66,580,000 | |||||||||||
Amount deductible for tax purpose | 63,800,000 | ||||||||||||
CGI [Member] | |||||||||||||
Loans At Acquisition Date [Line Items] | |||||||||||||
Transaction costs | 110,400,000 | ||||||||||||
Business combination, acquisition related costs | 1,700,000 | ||||||||||||
Net sales | 13,300,000 | ||||||||||||
Net income | 148,000 | ||||||||||||
Goodwill | 66,580,000 | 66,580,000 | |||||||||||
Amount deductible for tax purpose | $9,300,000 | $9,300,000 |
Acquisition_of_CGI_Windows_and3
Acquisition of CGI Windows and Doors - Schedule of Estimated Fair Value of Assets and Liabilities Assumed (Detail) (USD $) | Jan. 03, 2015 |
In Thousands, unless otherwise specified | |
Loans At Acquisition Date [Line Items] | |
Goodwill | $66,580 |
CGI [Member] | |
Loans At Acquisition Date [Line Items] | |
Accounts receivable | 4,156 |
Inventories | 3,229 |
Prepaid expenses | 303 |
Property, plant and equipment | 1,709 |
Intangible assets | 45,300 |
Other assets | 65 |
Goodwill | 66,580 |
Deferred income taxes | -6,417 |
Accounts payable and accrued liabilities | -4,136 |
Other liabilities | -351 |
Purchase price | $110,438 |
Acquisition_of_CGI_Windows_and4
Acquisition of CGI Windows and Doors - Summary of Unaudited Proforma Results (Detail) (CGI [Member], USD $) | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 |
CGI [Member] | ||
Loans At Acquisition Date [Line Items] | ||
Net sales | $337,369 | $272,132 |
Net income | $15,209 | $24,985 |
Net income per common share: | ||
Basic | $0.32 | $0.51 |
Diluted | $0.31 | $0.48 |
Property_Plant_and_Equipment_S
Property, Plant and Equipment - Schedule of Property, Plant and Equipment (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $132,368 | $111,120 |
Less: Accumulated depreciation | -71,470 | -66,997 |
Property, plant and equipment, net | 60,898 | 44,123 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 6,298 | 5,641 |
Building and Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 45,656 | 36,686 |
Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 52,838 | 45,058 |
Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 8,048 | 6,453 |
Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 13,984 | 13,730 |
Construction in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $5,544 | $3,552 |
Property_Plant_and_Equipment_A
Property, Plant and Equipment - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | |||
Jan. 23, 2013 | Jan. 03, 2015 | Dec. 28, 2013 | Jan. 23, 2013 | Dec. 29, 2012 | |
Property Plant and Equipment Useful Life and Values [Abstract] | |||||
Facility carrying value | $5,300,000 | ||||
Sale closed in cash | 8,000,000 | ||||
Net of selling costs | 7,500,000 | ||||
Gain on sale of assets | $0 | $2,195,000 |
Goodwill_Trade_Names_and_Other2
Goodwill, Trade Names and Other Intangible Assets - Schedule of Trade Name and Other Intangible Assets (Detail) (USD $) | 0 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 22, 2014 | Jan. 03, 2015 | Dec. 28, 2013 |
Indefinite-lived Intangible Assets [Line Items] | |||
Goodwill | 66,580 | ||
Less: Accumulated amortization | -56,717 | -55,272 | |
Subtotal | 25,283 | 428 | |
Other intangible assets, net | 82,724 | 38,869 | |
Trade Names [Member] | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Trade names | 57,441 | 38,441 | |
Customer Relationships [Member] | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Intangible assets | 79,700 | 55,700 | |
Initial Useful Life (in years) | 8 years | ||
Customer Relationships [Member] | Minimum [Member] | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Initial Useful Life (in years) | 8 years | ||
Customer Relationships [Member] | Maximum [Member] | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Initial Useful Life (in years) | 10 years | ||
Developed Technology [Member] | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Intangible assets | 1,700 | ||
Initial Useful Life (in years) | 10 years | 10 years | |
Noncompete Agreements [Member] | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Intangible assets | 600 | ||
Initial Useful Life (in years) | 2 years | 2 years |
Goodwill_Trade_Names_and_Other3
Goodwill, Trade Names and Other Intangible Assets - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | ||||
Sep. 28, 2014 | Sep. 22, 2014 | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Sep. 28, 2014 | |
Indicator | Indicator | Indicator | ||||
Indefinite-lived Intangible Assets [Line Items] | ||||||
Weighted average royalty rate | 3.90% | |||||
Weighted average discount rate | 13.40% | 13.40% | ||||
Impairment indicators | 0 | 0 | 0 | |||
Impairment charges | $0 | $0 | $0 | $0 | ||
Customer Relationships [Member] | ||||||
Indefinite-lived Intangible Assets [Line Items] | ||||||
Purchase price to the net assets acquired | 24,000,000 | |||||
Initial Useful Life (in years) | 8 years | |||||
Developed Technology [Member] | ||||||
Indefinite-lived Intangible Assets [Line Items] | ||||||
Purchase price to the net assets acquired | 1,700,000 | |||||
Initial Useful Life (in years) | 10 years | 10 years | ||||
Noncompete Agreements [Member] | ||||||
Indefinite-lived Intangible Assets [Line Items] | ||||||
Purchase price to the net assets acquired | 600,000 | |||||
Initial Useful Life (in years) | 2 years | 2 years | ||||
Trade Names [Member] | ||||||
Indefinite-lived Intangible Assets [Line Items] | ||||||
Value of intangible asset acquired | 19,000,000 | |||||
Trade Names [Member] | Changes Measurement [Member] | ||||||
Indefinite-lived Intangible Assets [Line Items] | ||||||
Excess of estimated fair value of trade names over book values in percentage | 144.00% | |||||
Excess of estimated fair value of trade names over book values | $55,300,000 |
Goodwill_Trade_Names_and_Other4
Goodwill, Trade Names and Other Intangible Assets - Estimated Amortization for Future Fiscal Year (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Goodwill and Intangible Assets Disclosure [Abstract] | ||
2015 | $3,413 | |
2016 | 3,379 | |
2017 | 3,161 | |
2018 | 3,161 | |
2019 | 3,161 | |
Thereafter | 9,008 | |
Subtotal | $25,283 | $428 |
Accrued_Liabilities_Schedule_o
Accrued Liabilities - Schedule of Accrued Liabilities (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Payables and Accruals [Abstract] | ||
Accrued payroll and benefits | $4,607 | $6,019 |
Accrued warranty | 2,658 | 1,923 |
Unearned revenue | 1,405 | 1,451 |
Accrued health claims insurance payable | 908 | 743 |
Accrued interest | 874 | 246 |
Aluminum forward contracts | 491 | 441 |
Other | 981 | 865 |
Total | $11,924 | $11,688 |
Long_Term_Debt_Schedule_of_Lon
Long Term Debt - Schedule of Long-term Debt (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 | 31-May-13 |
In Thousands, unless otherwise specified | |||
Debt Instrument [Line Items] | |||
Long term debt | $199,500 | $80,000 | |
Debt discount | -5,746 | -1,745 | |
Long term debt | 193,754 | 77,255 | |
Less current portion of long-term debt | -1,962 | -4,890 | |
Total | 191,792 | 72,365 | |
Term Notes Payable [Member] | |||
Debt Instrument [Line Items] | |||
Long term debt | $199,500 | $79,000 |
Long_Term_Debt_Schedule_of_Lon1
Long Term Debt - Schedule of Long-term Debt (Parenthetical) (Detail) (USD $) | 12 Months Ended | ||
Jan. 03, 2015 | Dec. 28, 2013 | 31-May-13 | |
Debt Instrument [Line Items] | |||
Term note payable in quarterly installments | $500,000 | $1,000,000 | |
Lump sum payment due | 199,500,000 | 80,000,000 | |
Average rate of interest payable | 1.00% | 0.16% | |
Average rate margin of interest payable | 4.25% | 3.00% | |
Long term debt | 193,754,000 | 77,255,000 | |
Due on September 22, 2021 [Member] | |||
Debt Instrument [Line Items] | |||
Lump sum payment due | 186,000,000 | ||
Due on May 28, 2018 [Member] | |||
Debt Instrument [Line Items] | |||
Lump sum payment due | $63,000,000 |
Long_Term_Debt_Additional_Info
Long Term Debt - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | 0 Months Ended | |||||||
Dec. 28, 2013 | Sep. 16, 2013 | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Sep. 22, 2014 | 28-May-13 | Jan. 31, 2013 | 31-May-13 | Aug. 05, 2013 | |
Agreement | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Applicable interest margin on LIBOR/Base Rate based on leverage ratio | 4.25% | 3.00% | ||||||||
Number of interest rate caps outstanding | 1 | |||||||||
Number of interest rate swaps outstanding | 1 | |||||||||
Stock repurchase aggregate amount | $1,025,000 | $56,091,000 | $3,946,000 | |||||||
Face value of debt | 79,000,000 | 2,000,000 | 79,000,000 | |||||||
Debt issuance costs | 3,600,000 | 5,500,000 | ||||||||
Debt issuance cost recorded as a discount | 2,000,000 | 5,700,000 | 2,000,000 | |||||||
Debt issuance costs recorded in comprehensive income as selling, general and administrative expense | 300,000 | |||||||||
Debt repaid in connection with cash proceeds from sale | 79,500,000 | 38,500,000 | 8,000,000 | |||||||
Letters of credit outstanding | 500,000 | |||||||||
Credit available on revolver | 34,500,000 | |||||||||
Revolving Credit Facility Percentage Margin Over Base Rate | 20.00% | |||||||||
Term note payable in quarterly installments | 1,000,000 | 500,000 | 1,000,000 | |||||||
Long term debt | 199,500,000 | 80,000,000 | ||||||||
Percentage of discount for issuance of debt under the Credit Agreement | 1.00% | |||||||||
Current and long-term portions of debt discount | 3,800,000 | |||||||||
Debt issuance costs in current assets and other assets | 1,700,000 | |||||||||
Deferred financing fees | 7,748,000 | |||||||||
Debt extinguishment costs | 2,625,000 | 333,000 | ||||||||
Debt issuance costs recorded as deferred financing fees | 2,000,000 | |||||||||
Other Current Assets [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Debt issuance costs | 1,300,000 | |||||||||
Eurodollar Rate [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Credit agreement interest rate, description | The higher of (i) 1.25% and (ii) (adjusted for reserve requirements, deposit insurance assessment rates and other regulatory costs for eurodollar liabilities) the rate at which eurodollar deposits in dollars for the relevant interest period | |||||||||
Interest rate of borrowings | 1.25% | |||||||||
Interest Rate Caps [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Number of interest rate agreements | 2 | 1 | ||||||||
Interest Rate Swap [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Number of interest rate agreements | 1 | |||||||||
Termination payment for interest rate derivative | 1,400,000 | |||||||||
Credit Agreements [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Face value of debt | 200,000,000 | |||||||||
Term Notes Payable [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Long term debt | 79,000,000 | 199,500,000 | 79,000,000 | |||||||
LIBOR [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Applicable interest margin on LIBOR/Base Rate based on leverage ratio | 4.25% | |||||||||
Base Rate [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Applicable interest margin on LIBOR/Base Rate based on leverage ratio | 3.25% | |||||||||
Credit agreement interest rate, description | The highest of (i) 0.50% per year above the weighted average of the rates on overnight federal funds transactions with members of the Federal Reserve System, (ii) the annual rate of interest in effect for that day as publicly announced as the "prime rate" and (iii) the one-month "eurodollar rate" (not to be less than 1.25%) | |||||||||
Interest rate of borrowings | 0.50% | |||||||||
Other Expense, net [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Amortization and write-offs of deferred financing costs | 300,000 | |||||||||
May 28, 2013 Credit Agreement [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Credit agreement date | 28-May-13 | |||||||||
Credit agreement termination date | 23-Jun-11 | |||||||||
Stock repurchase aggregate amount | 50,000,000 | |||||||||
Minimum [Member] | Eurodollar Rate [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Interest rate of borrowings | 3.00% | |||||||||
Minimum [Member] | LIBOR [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Applicable interest margin on LIBOR/Base Rate based on leverage ratio | 3.00% | |||||||||
Minimum [Member] | Base Rate [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Applicable interest margin on LIBOR/Base Rate based on leverage ratio | 2.00% | |||||||||
Interest rate of borrowings | 2.00% | |||||||||
Maximum [Member] | Capital Addition Purchase Commitments [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Capital Expenditures | 14,000,000 | |||||||||
Maximum [Member] | Eurodollar Rate [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Interest rate of borrowings | 4.50% | |||||||||
Maximum [Member] | LIBOR [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Applicable interest margin on LIBOR/Base Rate based on leverage ratio | 3.50% | |||||||||
Maximum [Member] | Base Rate [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Applicable interest margin on LIBOR/Base Rate based on leverage ratio | 2.50% | |||||||||
Interest rate of borrowings | 3.50% | |||||||||
Senior Secured Credit Facilities [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Amount available under credit facility | 235,000,000 | 105,000,000 | ||||||||
Term loan facility [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Amount available under credit facility | 200,000,000 | 80,000,000 | ||||||||
Maturity term of credit agreement | 7 years | 5 years | ||||||||
Credit facility amortization percentage | 1.00% | 5.00% | ||||||||
Term loan facility [Member] | LIBOR [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Applicable interest margin on LIBOR/Base Rate based on leverage ratio | 1.00% | |||||||||
Term loan facility [Member] | Base Rate [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Applicable interest margin on LIBOR/Base Rate based on leverage ratio | 2.00% | |||||||||
Revolving Credit Facility [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Amount available under credit facility | 35,000,000 | 25,000,000 | ||||||||
Maturity term of credit agreement | 5 years | |||||||||
Credit facility amortization percentage | 0.50% | |||||||||
Maturity term of credit agreement | 5 years | 5 years | ||||||||
Swing Line Loan Facility [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Amount available under credit facility | 5,000,000 | |||||||||
Letter of Credit [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Amount available under credit facility | 10,000,000 | |||||||||
Salisbury Facility [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Debt repaid in connection with cash proceeds from sale | 7,500,000 | |||||||||
Letter Of Credit Facility [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Credit facility amortization percentage | 4.25% | |||||||||
September 22, 2014 Credit Agreement [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Credit agreement date | 22-Sep-14 | |||||||||
Credit agreement termination date | 28-May-13 | |||||||||
May 28, 2013 Credit Agreement [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Debt issuance cost recorded as a discount | 1,500,000 | |||||||||
Deferred financing fees | 1,700,000 | |||||||||
Debt extinguishment costs | 2,600,000 | |||||||||
2014 Credit Agreement [Member] | ||||||||||
Line of Credit Facility [Line Items] | ||||||||||
Debt issuance cost recorded as a discount | 200,000 | |||||||||
Current and long-term portions of debt discount | 5,700,000 | |||||||||
Deferred financing fees | $400,000 |
Long_Term_Debt_Contractual_Fut
Long Term Debt - Contractual Future Maturities of Long-Term Debt (Detail) (USD $) | Jan. 03, 2015 | 31-May-13 |
In Thousands, unless otherwise specified | ||
Debt Disclosure [Abstract] | ||
2015 | $2,000 | |
2016 | 2,000 | |
2017 | 2,000 | |
2018 | 2,000 | |
2019 | 2,000 | |
Thereafter | 189,500 | |
Total | $199,500 | $80,000 |
Long_Term_Debt_Interest_Expens
Long Term Debt - Interest Expense, Net (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Debt Disclosure [Abstract] | |||
Long-term debt | $4,841 | $2,295 | $2,396 |
Debt fees | 240 | 235 | 213 |
Amortization of deferred financing costs and original issue discount | 945 | 1,021 | 857 |
Interest income | -37 | -25 | -20 |
Interest expense | 5,989 | 3,526 | 3,446 |
Capitalized interest | -29 | -6 | -9 |
Interest expense, net | $5,960 | $3,520 | $3,437 |
Derivatives_Additional_Informa
Derivatives - Additional Information (Detail) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | ||
Jan. 03, 2015 | Sep. 16, 2013 | Dec. 28, 2013 | Dec. 29, 2012 | Mar. 29, 2014 | |
lb | Contract | ||||
Contract | |||||
Derivative [Line Items] | |||||
Accumulated other comprehensive income, net of tax | $77,000 | $100,000 | |||
Aluminum Contracts [Member] | |||||
Derivative [Line Items] | |||||
Other expense, net | 200,000 | ||||
Interest Rate Caps [Member] | |||||
Derivative [Line Items] | |||||
Number of interest rate agreements | 1 | 2 | |||
Interest Rate Swap [Member] | |||||
Derivative [Line Items] | |||||
Derivative financial instruments, fair value of net liability | 630,000 | ||||
Number of interest rate agreements | 1 | ||||
Term of interest rate cap agreement | 42 months | ||||
Notional amount of interest rate cap agreement | 40,000,000 | ||||
Portion of the variable rate debt from an increase in the floating rate | 2.15% | ||||
Termination payment for interest rate derivative | 1,400,000 | ||||
Accumulated other comprehensive income, net of tax | 700,000 | ||||
Interest Rate Cap Two [Member] | |||||
Derivative [Line Items] | |||||
Term of interest rate cap agreement | 2 years | ||||
Notional amount of interest rate cap agreement | 20,000,000 | ||||
Derivative instrument LIBOR rate exemption, interest rate cap agreement | 0.50% | ||||
Aluminum Forward Contracts [Member] | |||||
Derivative [Line Items] | |||||
Line of credit to cover the liability position of open contracts | 2,000,000 | ||||
Price of aluminum, maximum exposure | 2,000,000 | ||||
Derivative financial instruments, fair value of net liability | $491,000 | $479,000 | |||
Number of outstanding forward contracts, liability | 23 | 33 | 17 | ||
Purchase of aluminum commodity contracts | 7,900,000 | 9,500,000 | |||
Aluminum commodity contracts, average price per pound | 0.9 | 0.89 | |||
Aluminum commodity contracts, lower maturity date | 1 month | 1 month | |||
Aluminum commodity contracts, upper maturity date | 12 months | 18 months |
Derivatives_Fair_Value_of_Hedg
Derivatives - Fair Value of Hedges and Interest Rate Cap (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Derivatives, Fair Value [Line Items] | ||
Total hedging instruments | ($489) | ($1,075) |
Aluminum Forward Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives in a net liability position | -491 | -479 |
Aluminum Forward Contracts [Member] | Other Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives in a net liability position | -38 | |
Aluminum Forward Contracts [Member] | Accrued Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives in a net liability position | -491 | -441 |
Interest Rate Caps [Member] | Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives in a net asset position | 2 | 21 |
Interest Rate Caps [Member] | Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives in a net asset position | 13 | |
Interest Rate Swap [Member] | Other Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives in a net liability position | ($630) |
Derivatives_Schedule_of_Offset
Derivatives - Schedule of Offsetting Derivative Instrument (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Derivative [Line Items] | ||
Financial Instruments - Assets | ($489) | ($1,075) |
Interest Rate Swap [Member] | ||
Derivative [Line Items] | ||
Gross Amounts of Recognized Liabilities | -630 | |
Gross Amounts offset in Balance Sheet - Liabilities | 0 | |
Net amounts of Liabilities Presented in Balance Sheet | -630 | |
Financial Instruments - Liabilities | 0 | |
Cash Collateral Pledged - Liabilities | 0 | |
Net Amount | -630 | |
Interest Rate Caps [Member] | ||
Derivative [Line Items] | ||
Gross Amounts of Recognized Assets | 2 | 34 |
Gross Amounts offset in Balance Sheet - Assets | 0 | 0 |
Net amounts of Assets Presented in Balance Sheet | 2 | 34 |
Financial Instruments - Assets | 0 | 0 |
Cash Collateral Received - Assets | 0 | 0 |
Net Amount | 2 | 34 |
Aluminum Forward Contracts [Member] | ||
Derivative [Line Items] | ||
Gross Amounts of Recognized Liabilities | -491 | -479 |
Gross Amounts offset in Balance Sheet - Liabilities | 0 | 0 |
Net amounts of Liabilities Presented in Balance Sheet | -491 | -479 |
Financial Instruments - Liabilities | 0 | 0 |
Cash Collateral Pledged - Liabilities | 0 | 0 |
Net Amount | ($491) | ($479) |
Derivatives_Gains_Losses_on_De
Derivatives - Gains (Losses) on Derivative Financial Instruments (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Other Expense, net [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) | ($1,188) | ||
Cost of Sales [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) | -7 | -145 | -408 |
Aluminum Contracts [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain (Loss) Recognized in Income on Derivatives (Ineffective Portion) | -200 | ||
Amount of (Loss) Recognized in OCI on Derivatives (Effective Portion) | 346 | -761 | -24 |
Aluminum Contracts [Member] | Other Expense, net [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain (Loss) Recognized in Income on Derivatives (Ineffective Portion) | -221 | -358 | 208 |
Interest Rate Swap [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of (Loss) Recognized in OCI on Derivatives (Effective Portion) | -558 | -630 | |
Interest Rate Swap [Member] | Other Expense, net [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain (Loss) Recognized in Income on Derivatives (Ineffective Portion) | -314 | ||
Interest Rate Caps [Member] | Other Expense, net [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain (Loss) Recognized in Income on Derivatives (Ineffective Portion) | ($27) |
Fair_Value_Items_Measured_at_F
Fair Value - Items Measured at Fair Value on Recurring Basis (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments, net liability and assets | ($489) | ($1,075) |
Aluminum Forward Contracts [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments, net liability and assets | -491 | -479 |
Interest Rate Caps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments, net liability and assets | 2 | 34 |
Interest Rate Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments, net liability and assets | -630 | |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments, net liability and assets | -489 | -1,075 |
Significant Other Observable Inputs (Level 2) [Member] | Aluminum Forward Contracts [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments, net liability and assets | -491 | -479 |
Significant Other Observable Inputs (Level 2) [Member] | Interest Rate Caps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments, net liability and assets | 2 | 34 |
Significant Other Observable Inputs (Level 2) [Member] | Interest Rate Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments, net liability and assets | ($630) |
Fair_Value_Fair_Value_of_Finan
Fair Value - Fair Value of Financial Instruments (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and cash equivalents | $42,469 | $30,204 | $18,743 | $10,940 |
Accounts receivable, net | 25,374 | 20,821 | ||
Accounts payable | -5,404 | -3,834 | ||
Accrued liabilities | -11,924 | -11,688 | ||
Long-term debt (including current portion) | -193,754 | -77,255 | ||
Estimated Fair Value [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and cash equivalents | 42,469 | 30,204 | ||
Accounts receivable, net | 25,374 | 20,821 | ||
Accounts payable | -5,404 | -3,834 | ||
Accrued liabilities | -11,924 | -11,688 | ||
Long-term debt (including current portion) | -193,754 | -77,255 | ||
Carrying Amount [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and cash equivalents | 42,469 | 30,204 | ||
Accounts receivable, net | 25,374 | 20,821 | ||
Accounts payable | -5,404 | -3,834 | ||
Accrued liabilities | -11,924 | -11,688 | ||
Long-term debt (including current portion) | ($193,754) | ($77,255) |
Income_Taxes_Components_of_Inc
Income Taxes - Components of Income Tax Expense (Benefit) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Income Tax Disclosure [Abstract] | |||
Federal | $6,346 | $86 | $192 |
State | 0 | 0 | 0 |
Total current | 6,346 | 86 | 192 |
Federal | 2,379 | -2,265 | |
State | 950 | -1,195 | -82 |
Total deferred | 3,329 | -3,460 | -82 |
Income tax expense (benefit) | $9,675 | ($3,374) | $110 |
Income_Taxes_Summary_of_Income
Income Taxes - Summary of Income Taxes Included in Consolidated Statements of Income and Consolidated Statements of Equity (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Consolidated statements of income: | |||
Income tax expense (benefit) relating to continuing operations | $9,675 | ($3,374) | $110 |
Income tax expense (benefit) relating to discontinued operations | 0 | 0 | 0 |
Consolidated statements of shareholders' equity: | |||
Income tax expense (benefit) relating to derivative financial instruments | 431 | -437 | |
Income tax benefit relating to share-based compensation | ($6,064) | ($396) |
Income_Taxes_Reconciliation_of
Income Taxes - Reconciliation of Statutory Federal Income Tax Rate (Detail) | 12 Months Ended | ||
Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | |
Income Tax Disclosure [Abstract] | |||
Statutory federal income tax rate | 35.00% | 35.00% | 35.00% |
State income taxes, net of federal income tax benefit | 3.80% | 3.80% | 3.80% |
Non-deductible acquisition costs | 0.60% | ||
Domestic manufacturing deduction | -2.10% | ||
Alternative minimum tax | 2.10% | ||
Non-deductible secondary offering related expenses | 1.80% | ||
Valuation allowance on deferred tax assets | -55.10% | -39.10% | |
Non-deductible expenses | 0.20% | 0.30% | |
Other | -0.20% | -0.10% | -0.90% |
Total statutory federal income tax rate | 37.10% | -14.40% | 1.20% |
Income_Taxes_Additional_inform
Income Taxes - Additional information (Detail) (USD $) | 12 Months Ended | |||
Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2004 | |
Income Taxes [Line Items] | ||||
Income tax expense (benefit) | $9,675,000 | ($3,374,000) | $110,000 | |
Effective tax rates | 40.70% | 40.30% | ||
Deferred tax liability | -35,224,000 | -22,133,000 | ||
Goodwill deductible for tax purpose | 63,800,000 | |||
Unamortized goodwill | 5,400,000 | 10,700,000 | ||
Deferred tax asset and liability | -20,796,000 | -10,617,000 | ||
Operating loss carryforwards | 6,100,000 | 400,000 | ||
Operating loss carryforwards, expiration date | 2027 | |||
Valuation allowance | 0 | 0 | ||
Internal Revenue Service (IRS) [Member] | Earliest Tax Year [Member] | ||||
Income Taxes [Line Items] | ||||
Open tax years for examination | 2011 | |||
Internal Revenue Service (IRS) [Member] | Latest Tax Year [Member] | ||||
Income Taxes [Line Items] | ||||
Open tax years for examination | 2013 | |||
CGI [Member] | ||||
Income Taxes [Line Items] | ||||
Deferred tax liability | -6,417,000 | |||
Goodwill deductible for tax purpose | 9,300,000 | |||
Deferred tax asset and liability | 0 | |||
Unamortized goodwill | 8,900,000 | |||
Goodwill remaining amortization period for tax purposes | 7 years 4 months 24 days | |||
Minimum Alternative Tax [Member] | ||||
Income Taxes [Line Items] | ||||
Income tax expense (benefit) | 100,000 | |||
Domestic Country [Member] | ||||
Income Taxes [Line Items] | ||||
Operating loss carryforwards | 6,100,000 | |||
State [Member] | ||||
Income Taxes [Line Items] | ||||
Operating loss carryforwards | $1,000,000 |
Income_Taxes_Components_of_Net
Income Taxes - Components of Net Deferred Tax Liability (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Deferred Tax Liabilities [Line Items] | ||
Other indefinite lived intangible assets | ($22,270) | ($14,904) |
Property, plant and equipment | -7,426 | -6,349 |
Net operating loss carryforwards | 6,973 | 970 |
Net estimated deferred liability | -35,224 | -22,133 |
CGI [Member] | ||
Deferred Tax Liabilities [Line Items] | ||
Amortizable intangible assets | -6,249 | |
Other indefinite lived intangible assets | -7,366 | |
Property, plant and equipment | -313 | |
Net operating loss carryforwards | 7,369 | |
Other assets, net | 142 | |
Net estimated deferred liability | ($6,417) |
Income_Taxes_Components_of_Net1
Income Taxes - Components of Net Deferred Tax Asset and Liability (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Deferred tax assets: | ||
State and federal net operating loss carryforwards | $6,973 | $970 |
Goodwill | 1,941 | 4,152 |
Compensation expense | 2,773 | 2,606 |
Accrued warranty | 1,280 | 1,034 |
AMT tax credits | 574 | 574 |
Obsolete inventory and UNICAP adjustment | 473 | 435 |
Derivative financial instruments | 241 | 475 |
Other deferrals and accruals, net | 66 | 260 |
Allowance for doubtful accounts | 107 | 145 |
Amortizable intangible assets | 865 | |
Total deferred tax assets | 14,428 | 11,516 |
Deferred tax liabilities: | ||
Other indefinite lived intangible assets | -22,270 | -14,904 |
Property, plant and equipment | -7,426 | -6,349 |
Amortizable intangible assets | -5,058 | |
Deferred financing costs | -152 | -370 |
Prepaid expenses | -318 | -510 |
Net estimated deferred liability | -35,224 | -22,133 |
Total deferred tax liabilities, net | ($20,796) | ($10,617) |
Income_Taxes_Current_and_Noncu
Income Taxes - Current and Noncurrent Deferred Tax (Liabilities) Assets (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Income Tax Disclosure [Abstract] | ||
Current deferred tax assets, net | $5,160 | $2,763 |
Non-current deferred tax liabilities, net | -25,956 | -13,380 |
Total deferred tax liabilities, net | ($20,796) | ($10,617) |
Commitments_and_Contingencies_1
Commitments and Contingencies - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Commitments and Contingencies Disclosure [Abstract] | |||
Lease expenses | $1.60 | $1.30 | $1.20 |
Amount required for payment of materials | 2.6 | ||
Purchase of materials | 108.7 | 88.3 | 57 |
Letters of credit | 0.5 | ||
Commitments to purchase equipment | $2.20 |
Commitments_and_Contingencies_2
Commitments and Contingencies - Future Minimum Lease Commitments for Non - Cancelable Operating Leases (Detail) (USD $) | Jan. 03, 2015 |
In Thousands, unless otherwise specified | |
Commitments and Contingencies Disclosure [Abstract] | |
2015 | $1,684 |
2016 | 1,474 |
2017 | 1,009 |
2018 | 23 |
Total | $4,190 |
Employee_Benefit_Plans_Additio
Employee Benefit Plans - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Compensation and Retirement Disclosure [Abstract] | |||
Age of employees | 401(k) plan covering substantially all employees 18 years of age or older who have at least three months of service. | ||
Service period required | 3 months | ||
Employee's contribution | 100.00% | ||
Matching contribution | 3.00% | 3.00% | 1.00% |
Vesting rate | 20.00% | ||
Requisite hours of work | At least 1,000 hours | ||
Recognized employee benefit | $1.10 | $1.20 | $0.50 |
Related_Parties_Additional_Inf
Related Parties - Additional Information (Detail) (Builders FirstSource, Inc [Member], USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Builders FirstSource, Inc [Member] | |||
Related Party Transaction [Line Items] | |||
Total net sales to Builders FirstSource | $6.70 | $5.10 | $4.50 |
Accounts receivable due from Builders FirstSource | $0.90 | $0.60 |
Shareholders_Equity_Additional
Shareholders' Equity - Additional Information (Detail) (USD $) | 12 Months Ended | 26 Months Ended | 1 Months Ended | |||
Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Jan. 03, 2015 | 31-May-13 | Nov. 15, 2012 | |
Schedule Of Equity [Line Items] | ||||||
Stock Repurchase Program, Authorized Amount | $20,000,000 | |||||
Company's common stock acquired | 2,089,853 | |||||
Acquisition of treasury stock | 1,025,000 | 56,091,000 | 3,946,000 | 11,100,000 | ||
Common stock, shares outstanding | 47,707,000 | 46,871,000 | 47,707,000 | |||
Debt instrument carrying amount outstanding | $199,500,000 | $199,500,000 | 80,000,000 | |||
JLL Partners [Member] | ||||||
Schedule Of Equity [Line Items] | ||||||
Secondary offering, shares of common stock | 12,650,000 | |||||
Shares repurchased, cancelled and retired from secondary offering | 6,800,000 |
Employee_Stock_Based_Compensat2
Employee Stock Based Compensation - Additional Information (Detail) (USD $) | 12 Months Ended | ||||
Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | 7-May-14 | Apr. 06, 2010 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of Shares Granted | 20,000 | 673,390 | |||
Weighted Average Exercise Price, Granted | $11.81 | $2.42 | |||
Options Vesting Year | 2019 | 2017 | |||
Weighted average fair value of common stock | $5.37 | ||||
Restricted stock awards | 212,393 | ||||
Weighted average fair value of common stock | $6.76 | ||||
Decrease in number of restricted shares | 98,331 | ||||
Outstanding Intrinsic Value | $32,542,000 | ||||
Exercisable options intrinsic value | 24,339,000 | ||||
Aggregate intrinsic value of stock options exercised | 7,900,000 | 14,100,000 | 100,000 | ||
Number of shares exercised | 906,573 | 1,922,167 | 66,838 | ||
Tax benefit realized | 6,064,000 | 396,000 | 0 | ||
Exercise of options | 1,691,000 | 3,580,000 | 92,000 | ||
Weighted-average period | 1 year 6 months | ||||
Restricted Stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Restricted stock awards | 22,581 | 0 | |||
Weighted average fair value of common stock | $6.76 | ||||
Stock Options [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Weighted-average fair value of options granted | $2.42 | ||||
Outstanding Intrinsic Value | 41,800,000 | 18,900,000 | |||
Exercisable options intrinsic value | 24,100,000 | 10,000,000 | |||
Total fair value of options vested | 1,300,000 | 1,400,000 | 1,300,000 | ||
Tax benefit realized | 6,100,000 | 400,000 | 0 | ||
Exercise of options | 1,700,000 | 3,600,000 | 100,000 | ||
Total unrecognized compensation | 146,000 | ||||
Restricted Stock Award [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Restricted stock awards | 212,393 | ||||
Weighted average fair value of common stock | $11.81 | ||||
Performance criteria defined in share awards | The percentages, ranging from less than 80% to greater than 120%, provide for the awarding of shares ranging from 0% to 150% and only relates to half of the initial March 4, 2014 issuance of 137,838 shares, or 68,919 shares. | ||||
Percentage of share-based compensation awards based on performance criteria | 57.50% | ||||
Restricted stock awards | 39,626 | ||||
Decrease in number of restricted shares | 29,293 | ||||
Weighted-average period | 1 year 7 months 6 days | ||||
Total unrecognized compensation | 1,100,000 | ||||
Restricted Stock Award [Member] | Directors, Executives And Non-executive Employees [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Restricted stock awards | 212,393 | ||||
Weighted average fair value of common stock | $10.82 | ||||
2014 Omnibus Equity Incentive Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Common shares available for grant | 1,425,445 | 1,500,000 | |||
Maximum number of shares | 1,500,000 | ||||
2014 Omnibus Equity Incentive Plan [Member] | Restricted Stock Award [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Restricted stock awards | 68,919 | ||||
2014 Omnibus Equity Incentive Plan [Member] | Restricted Stock Award [Member] | Directors, Executives And Non-executive Employees [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Restricted stock awards | 74,555 | ||||
2006 Equity Incentive Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Common shares available for grant | 0 | 541,863 | 472,035 | 7,000,000 | |
Maximum number of shares | 1,500,000 | ||||
Number of Shares Granted | 0 | ||||
Compensation cost charged against income for stock compensation plan | 1,200,000 | 1,000,000 | 1,400,000 | ||
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense | $6,100,000 | $400,000 | $0 | ||
Dividend yield | 0.00% | 0.00% | |||
Expected volatility | 51.19% | 70.38% | |||
Risk-free interest rate | 1.54% | 0.80% | |||
Expected life | 5 years | 5 years | |||
2006 Equity Incentive Plan [Member] | Restricted Stock Award [Member] | Directors, Executives And Non-executive Employees [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Restricted stock awards | 137,838 |
Employee_Stock_Based_Compensat3
Employee Stock Based Compensation - Summary of the Status of Stock Options (Detail) (USD $) | 12 Months Ended | ||
Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Number of Shares, Outstanding Beginning balance | 5,204,569 | ||
Number of Shares, Granted | 20,000 | 673,390 | |
Number of Shares, Exercised | -906,573 | -1,922,167 | -66,838 |
Number of Shares, Forfeited/Expired | -98,331 | ||
Number of Shares, Outstanding Ending balance | 4,219,665 | 5,204,569 | |
Number of Shares, Exercisable Balance | 3,130,270 | ||
Weighted Average Exercise Price, Outstanding Beginning balance | $1.97 | ||
Weighted Average Exercise Price, Granted | $11.81 | $2.42 | |
Weighted Average Exercise Price, Exercised | $1.87 | ||
Weighted Average Exercise Price, Forfeited/Expired | $1.88 | ||
Weighted Average Exercise Price, Outstanding Ending balance | $2.06 | $1.97 | |
Weighted Average Exercise Price, Exercisable Balance | $1.98 | ||
Weighted Average Remaining Life, Outstanding Balance | 5 years 4 months 24 days | ||
Weighted Average Remaining Life, Exercisable Balance | 5 years 3 months 18 days |
Employee_Stock_Based_Compensat4
Employee Stock Based Compensation - Summary of Information about Employee Stock Options Outstanding (Detail) (USD $) | 12 Months Ended |
In Thousands, except Share data, unless otherwise specified | Jan. 03, 2015 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Outstanding | 4,219,665 |
Outstanding Intrinsic Value | $32,542 |
Exercisable | 3,130,270 |
Exercisable Intrinsic Value | 24,339 |
Range One [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise Price | $0.92 |
Remaining Contractual Life | 1 year 1 month 6 days |
Outstanding | 91,881 |
Outstanding Intrinsic Value | 812 |
Exercisable | 91,881 |
Exercisable Intrinsic Value | 812 |
Range Two [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Remaining Contractual Life | 5 years 2 months 12 days |
Outstanding | 3,875,784 |
Outstanding Intrinsic Value | 30,075 |
Exercisable | 2,951,722 |
Exercisable Intrinsic Value | 22,906 |
Range Two [Member] | Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise Price | $1.60 |
Range Two [Member] | Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise Price | $2.31 |
Range Three [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Remaining Contractual Life | 7 years 4 months 24 days |
Outstanding | 232,000 |
Outstanding Intrinsic Value | 1,655 |
Exercisable | 86,667 |
Exercisable Intrinsic Value | $621 |
Range Three [Member] | Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise Price | $2.59 |
Range Three [Member] | Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise Price | $3.25 |
Range Four [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise Price | $11.81 |
Remaining Contractual Life | 9 years 2 months 12 days |
Outstanding | 20,000 |
Employee_Stock_Based_Compensat5
Employee Stock Based Compensation - Summary of the Status of Non-vested Share Awards (Detail) (USD $) | 12 Months Ended |
Jan. 03, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Number of Shares, Outstanding Beginning balance | 22,581 |
Number of Shares, Granted | 212,393 |
Number of Shares, Vested | -22,581 |
Number of Shares,Forfeited/Expired/Performance adjustment | -29,293 |
Number of Shares, Outstanding Ending balance | 183,100 |
Weighted Average Fair Value, Outstanding Beginning balance | $6.76 |
Weighted Average Fair Value, Granted | $10.82 |
Weighted Average Fair Value, Vested | $6.76 |
Weighted Average Fair Value, Forfeited/Expired/Performance adjustment | $11.81 |
Weighted Average Fair Value, Outstanding Ending balance | $10.66 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Loss - Components of Accumulated Other Comprehensive Loss (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Components of Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | ($2,223) | ($1,414) | ($1,798) |
Other comprehensive income (loss) before reclassification | -212 | -1,391 | -24 |
Amounts reclassified from other comprehensive loss | 1,195 | 145 | 408 |
Tax effect | -431 | 437 | |
Other comprehensive income (loss), net of tax | 552 | -809 | 384 |
Ending Balance | -1,671 | -2,223 | -1,414 |
Aluminum Forward Contracts [Member] | |||
Components of Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | -1,837 | -1,414 | -1,798 |
Other comprehensive income (loss) before reclassification | 346 | -761 | -24 |
Amounts reclassified from other comprehensive loss | 7 | 145 | 408 |
Tax effect | -187 | 193 | |
Other comprehensive income (loss), net of tax | 166 | -423 | 384 |
Ending Balance | -1,671 | -1,837 | -1,414 |
Interest Rate Swap [Member] | |||
Components of Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | -386 | ||
Other comprehensive income (loss) before reclassification | -558 | -630 | |
Amounts reclassified from other comprehensive loss | 1,188 | ||
Tax effect | -244 | 244 | |
Other comprehensive income (loss), net of tax | 386 | -386 | |
Ending Balance | ($386) |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Loss - Reclassification Out of Accumulated Other Comprehensive Loss (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Cost of sales | $213,596 | $159,169 | $114,872 |
Other expense, net | -1,750 | -437 | -72 |
Tax expense | 9,675 | -3,374 | 110 |
Reclassification Out of Accumulated Other Comprehensive Income [Member] | Aluminum Forward Contracts [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Cost of sales | 7 | 145 | 408 |
Tax expense | -3 | -56 | |
Reclassification Out of Accumulated Other Comprehensive Income [Member] | Interest Rate Swap [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Other expense, net | 1,188 | ||
Tax expense | ($461) |
Sales_by_Product_Group_Summary
Sales by Product Group - Summary of Sales by Product Group (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Sep. 27, 2014 | Jun. 28, 2014 | Mar. 29, 2014 | Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Product category: | |||||||||||
Net sales | $84,722 | $77,320 | $81,622 | $62,724 | $62,035 | $64,858 | $62,847 | $49,563 | $306,388 | $239,303 | $174,540 |
Impact Window and Door Products [Member] | |||||||||||
Product category: | |||||||||||
Net sales | 240,300 | 183,400 | 130,100 | ||||||||
Other Window and Door Products [Member] | |||||||||||
Product category: | |||||||||||
Net sales | $66,100 | $55,900 | $44,400 |
Unaudited_Quarterly_Financial_2
Unaudited Quarterly Financial Data - Summary of Consolidated Quarterly Results of Operations (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Jan. 03, 2015 | Sep. 27, 2014 | Jun. 28, 2014 | Mar. 29, 2014 | Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Net sales | $84,722 | $77,320 | $81,622 | $62,724 | $62,035 | $64,858 | $62,847 | $49,563 | $306,388 | $239,303 | $174,540 |
Gross profit | 23,693 | 23,183 | 26,145 | 19,771 | 20,625 | 20,920 | 21,030 | 17,559 | 92,792 | 80,134 | 59,668 |
Net income | $2,920 | $2,332 | $7,801 | $3,352 | $5,344 | $6,289 | $9,922 | $5,264 | $16,405 | $26,819 | $8,955 |
Net income per share - basic | $0.06 | $0.05 | $0.17 | $0.07 | $0.11 | $0.14 | $0.20 | $0.10 | $0.35 | $0.55 | $0.17 |
Net income per share - diluted | $0.06 | $0.05 | $0.16 | $0.07 | $0.11 | $0.13 | $0.19 | $0.09 | $0.33 | $0.51 | $0.16 |
Unaudited_Quarterly_Financial_3
Unaudited Quarterly Financial Data - Additional Information (Detail) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Dec. 28, 2013 | Mar. 30, 2013 | Jun. 29, 2013 |
Quarterly Financial Information Disclosure [Abstract] | |||
Increase in net income | $2.20 | ||
Deferred tax asset valuation allowance | 3.9 | ||
Tax expense | $0.50 |
Schedule_II_Valuation_and_Qual1
Schedule II - Valuation and Qualifying Accounts (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Allowance for Doubtful Accounts [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | $513 | $516 | $683 |
Added in Acquisition | 85 | ||
Costs and expenses | -179 | 29 | 59 |
Deductions | -113 | -32 | -226 |
Balance at End of Period | 306 | 513 | 516 |
Allowance for Deferred Tax Assets [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | 12,902 | 16,289 | |
Deductions | -12,902 | -3,387 | |
Balance at End of Period | $12,902 |