Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Jan. 03, 2015 | Mar. 12, 2015 | Jun. 28, 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 | PRTS | ||
Entity Registrant Name | U.S. Auto Parts Network, Inc. | ||
Entity Central Index Key | 1378950 | ||
Current Fiscal Year End Date | -2 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 33,776,499 | ||
Entity Public Float | $50.70 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
ASSETS | ||
Cash and cash equivalents | $7,653 | $818 |
Short-term investments | 62 | 47 |
Accounts receivable, net of allowances of $41 and $213 at January 3, 2015 and December 28, 2013, respectively | 3,804 | 5,029 |
Inventory | 48,362 | 36,986 |
Other current assets | 2,669 | 3,234 |
Total current assets | 62,550 | 46,114 |
Property and equipment, net | 16,966 | 19,663 |
Intangible assets, net | 1,707 | 1,601 |
Other non-current assets | 1,684 | 1,804 |
Total assets | 82,907 | 69,182 |
Current liabilities: | ||
Accounts payable | 25,362 | 19,669 |
Accrued expenses | 7,747 | 5,959 |
Revolving loan payable | 11,022 | 6,774 |
Current portion of capital leases payable | 269 | 269 |
Other current liabilities | 3,505 | 3,682 |
Total current liabilities | 47,905 | 36,353 |
Capital leases payable, net of current portion | 9,270 | 9,502 |
Deferred income taxes | 1,618 | 335 |
Other non-current liabilities | 1,891 | 2,126 |
Total liabilities | 60,684 | 48,316 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Series A convertible preferred stock, $0.001 par value; $1.45 per share liquidation value or aggregate of $6,017; 4,150 shares authorized; 4,150 and 4,150 shares issued and outstanding at January 3, 2015 and December 28, 2013, respectively | 4 | 4 |
Common stock, $0.001 par value; 100,000 shares authorized; 33,624 and 33,352 shares issued and outstanding at January 3, 2015 and December 28, 2013, respectively | 33 | 33 |
Additional paid-in-capital | 174,369 | 168,693 |
Common stock dividend distributable on Series A convertible preferred stock | 0 | 60 |
Accumulated other comprehensive income | 360 | 446 |
Accumulated deficit | -155,489 | -148,370 |
Total stockholders’ equity | 19,277 | 20,866 |
Noncontrolling interest | 2,946 | 0 |
Total equity | 22,223 | 20,866 |
Total liabilities and equity | $82,907 | $69,182 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Accounts receivable, allowances | $41 | $213 |
Common stock, par value (in dollars per share) | $0.00 | $0.00 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares issued (in shares) | 33,624,000 | 33,352,000 |
Common stock, shares outstanding (in shares) | 33,624,000 | 33,352,000 |
Series A Convertible Preferred Stock | ||
Series A convertible preferred stock, par value (in dollars per share) | $0.00 | $0.00 |
Share liquidation value (in dollars per share) | $1.45 | $1.45 |
Share aggregate value | $6,017 | $6,017 |
Series A convertible preferred stock, shares authorized (in shares) | 4,150,000 | 4,150,000 |
Series A convertible preferred stock, shares issued (in shares) | 4,150,000 | 4,150,000 |
Series A convertible preferred stock, shares outstanding (in shares) | 4,150,000 | 4,150,000 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations and Comprehensive 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 | $283,508 | $254,753 | $304,017 | |||
Cost of sales | 205,058 | [1] | 180,620 | [1] | 212,379 | [1] |
Gross profit | 78,450 | 74,133 | 91,638 | |||
Operating expenses: | ||||||
Marketing | 42,008 | 41,045 | 51,416 | |||
General and administrative | 16,701 | 17,567 | 19,857 | |||
Fulfillment | 20,368 | 18,702 | 22,265 | |||
Technology | 4,863 | 5,128 | 6,274 | |||
Amortization of intangible assets | 422 | 381 | 1,189 | |||
Impairment loss on goodwill | 0 | 0 | 18,854 | |||
Impairment loss on property and equipment | 0 | 4,832 | 1,960 | |||
Impairment loss on intangible assets | 0 | 1,245 | 5,613 | |||
Total operating expenses | 84,362 | 88,900 | 127,428 | |||
Loss from operations | -5,912 | -14,767 | -35,790 | |||
Other income (expense): | ||||||
Other income, net | 65 | 148 | 20 | |||
Interest expense | -1,101 | -972 | -785 | |||
Loss on debt extinguishment | 0 | 0 | -360 | |||
Total other expense, net | -1,036 | -824 | -1,125 | |||
Loss before income taxes | -6,948 | -15,591 | -36,915 | |||
Income tax (benefit) provision | 138 | 43 | -937 | |||
Net loss including noncontrolling interests | -7,086 | -15,634 | -35,978 | |||
Net loss attributable to noncontrolling interests | -207 | 0 | 0 | |||
Net loss attributable to U.S. Auto Parts | -6,879 | -15,634 | -35,978 | |||
Other comprehensive income attributable to U.S. Auto Parts, net of tax: | ||||||
Foreign currency translation adjustments | 20 | 55 | 31 | |||
Actuarial loss on defined benefit plan | -106 | 0 | 0 | |||
Unrealized gains on investments | 0 | 7 | 26 | |||
Total other comprehensive income (loss) attributable to U.S. Auto Parts | -86 | 62 | 57 | |||
Comprehensive loss attributable to U.S. Auto Parts | ($6,965) | ($15,572) | ($35,921) | |||
Basic and diluted net loss per share (in dollars per share) | ($0.21) | ($0.48) | ($1.17) | |||
Shares used in computation of basic and diluted net loss per share (in shares) | 33,489 | 32,697 | 30,818 | |||
[1] | Excludes depreciation and amortization expense which is included in marketing, general and administrative and fulfillment expense as described in “Note 1 – Summary of Significant Accounting Policies and Nature of Operations†below. |
Consolidated_Statements_of_Sto
Consolidated Statements of Stockholders' Equity (USD $) | Total | Preferred Stock | Common Stock | Additional Paid-in- Capital | Preferred Stock Dividend Distributable | Accumulated Other Comprehensive Income (Loss) | Accumulated Deficit | Noncontrolling Interest | Total |
In Thousands, except Share data | |||||||||
Beginning balance at Dec. 31, 2011 | $60,924 | $31 | $157,140 | $327 | $66,300 | $60,924 | |||
Beginning balance (in shares) at Dec. 31, 2011 | 30,626,000 | ||||||||
Net loss | -35,978 | -35,978 | -35,978 | ||||||
Issuance of shares in connection with stock option exercises | 636 | 636 | 636 | ||||||
Issuance of shares in connection with stock option exercises (in shares) | 489,000 | ||||||||
Issuance of stock awards | 53 | 53 | 53 | ||||||
Issuance of stock awards (in shares) | 13,000 | ||||||||
Share-based compensation | 1,952 | 1,952 | 1,952 | ||||||
Unrealized gain on investments, net of tax | 26 | 26 | 26 | ||||||
Effect of changes in foreign currencies | 31 | 31 | 31 | ||||||
Ending balance at Dec. 29, 2012 | 27,644 | 31 | 159,781 | 384 | -132,552 | 27,644 | |||
Ending balance (in shares) at Dec. 29, 2012 | 31,128,000 | ||||||||
Issuance of shares | 1,991 | 2 | 1,989 | 1,991 | |||||
Issuance of shares (in shares) | 2,050,000 | ||||||||
Net loss | -15,634 | -15,634 | -15,634 | ||||||
Issuance of shares in connection with Series A Preferred Stock, net of issuance costs | 5,170 | 4 | 5,166 | 5,170 | |||||
Issuance of shares in connection with Series A Preferred Stock, net of issuance costs (in shares) | 4,150,000 | ||||||||
Issuance of common stock in connection with preferred stock dividends | 60 | 60 | 60 | ||||||
Issuance of common stock in connection with preferred stock dividends (in shares) | 50,000 | ||||||||
Issuance of shares in connection with stock option exercises | 183 | 183 | 183 | ||||||
Issuance of shares in connection with stock option exercises (in shares) | 101,000 | ||||||||
Issuance of shares in connection with BOD fees | 31 | 31 | 31 | ||||||
Issuance of shares in connection with BOD fees (in shares) | 23,000 | ||||||||
Share-based compensation | 1,483 | 1,483 | 1,483 | ||||||
Common stock dividend distributable on Series A Preferred Stock | -60 | 60 | -120 | -60 | |||||
Cash dividends on preferred stock | -64 | -64 | -64 | ||||||
Unrealized gain on investments, net of tax | 7 | 7 | 7 | ||||||
Effect of changes in foreign currencies | 55 | 55 | 55 | ||||||
Ending balance at Dec. 28, 2013 | 20,866 | 4 | 33 | 168,693 | 60 | 446 | -148,370 | 20,866 | |
Ending balance (in shares) at Dec. 28, 2013 | 4,150,000 | 33,352,000 | |||||||
Issuance of shares | 5,665 | 2,512 | 3,153 | 2,512 | |||||
Net loss | -7,086 | -6,879 | -207 | -6,879 | |||||
Issuance of common stock in connection with preferred stock dividends | 0 | 300 | -300 | ||||||
Issuance of common stock in connection with preferred stock dividends (in shares) | 107,000 | ||||||||
Issuance of shares in connection with stock option exercises | 295 | 295 | 295 | ||||||
Issuance of shares in connection with stock option exercises (in shares) | 142,000 | 144,000 | |||||||
Issuance of shares in connection with restricted stock units vesting | 0 | ||||||||
Issuance of shares in connection with restricted stock units vesting (in shares) | 21,000 | ||||||||
Share-based compensation | 2,569 | 2,569 | 2,569 | ||||||
Common stock dividend distributable on Series A Preferred Stock | 0 | 240 | -240 | ||||||
Actuarial loss on defined benefit plan | -106 | -106 | -106 | ||||||
Unrealized gain on investments, net of tax | 0 | ||||||||
Effect of changes in foreign currencies | 20 | 20 | 20 | ||||||
Ending balance at Jan. 03, 2015 | $22,223 | $4 | $34 | $174,369 | $0 | $360 | ($155,489) | $2,946 | $19,277 |
Ending balance (in shares) at Jan. 03, 2015 | 4,150,000 | 33,624,000 |
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 |
Operating activities | |||
Net loss including noncontrolling interests | ($7,086) | ($15,634) | ($35,978) |
Adjustments to reconcile net loss to net cash (used in) provided by operating activities: | |||
Depreciation and amortization expense | 8,923 | 12,175 | 15,204 |
Amortization of intangible assets | 422 | 381 | 1,189 |
Deferred income taxes | 74 | 59 | -875 |
Share-based compensation expense | 2,371 | 1,263 | 1,673 |
Stock awards issued for non-employee director service | 0 | 31 | 53 |
Impairment loss on goodwill | 0 | 0 | 18,854 |
Impairment loss on property and equipment | 0 | 4,832 | 1,960 |
Impairment loss on intangible assets | 0 | 1,245 | 5,613 |
Amortization of deferred financing costs | 81 | 81 | 94 |
Loss on debt extinguishment | 0 | 0 | 360 |
Loss (gain) from disposition of assets | -96 | -35 | 14 |
Changes in operating assets and liabilities: | |||
Accounts receivable | 1,105 | 2,403 | 491 |
Inventory | -11,412 | 5,740 | 9,520 |
Other current assets | 471 | 954 | -618 |
Other non-current assets | -39 | -213 | -281 |
Accounts payable and accrued expenses | 6,992 | -11,833 | -14,912 |
Other current liabilities | -302 | -1,054 | -2,964 |
Other non-current liabilities | -261 | 472 | 203 |
Net cash provided by (used in) operating activities | 1,243 | 867 | -400 |
Investing activities | |||
Additions to property and equipment | -5,556 | -8,325 | -10,155 |
Proceeds from sale of property and equipment | 27 | 47 | 14 |
Cash paid for intangibles | -200 | 0 | -34 |
Proceeds from sale of marketable securities and investments | 745 | 52 | 3,171 |
Purchases of marketable securities and investments | -746 | -7 | -8 |
Purchases of company-owned life insurance | 0 | -106 | -166 |
Net cash used in investing activities | -5,730 | -8,339 | -7,178 |
Financing activities | |||
Proceeds from revolving loan payable | 19,506 | 19,561 | 26,731 |
Payments made on revolving loan payable | -15,258 | -29,008 | -10,509 |
Proceeds from sale-leaseback transaction | 0 | 9,584 | 0 |
Payments made on long-term debt | 0 | 0 | -17,875 |
Payment of debt extinguishment costs | 0 | 0 | -175 |
Payments of debt financing costs | 0 | 0 | -407 |
Proceeds from issuance of Series A convertible preferred stock | 0 | 6,017 | 0 |
Payment of issuance costs from Series A convertible preferred stock | 0 | -847 | 0 |
Proceeds from issuance of common stock | 0 | 2,235 | 0 |
Payment of issuance costs from common stock | 0 | -244 | 0 |
Proceeds from sale of equity in subsidiary | 7,000 | 0 | 0 |
Payments on capital leases | -232 | -198 | -137 |
Proceeds from exercise of stock options | 295 | 183 | 636 |
Other | 0 | -64 | 0 |
Net cash provided by (used in) financing activities | 11,311 | 7,219 | -1,736 |
Effect of exchange rate changes on cash | 11 | 41 | 9 |
Net change in cash and cash equivalents | 6,835 | -212 | -9,305 |
Cash and cash equivalents, beginning of period | 818 | 1,030 | 10,335 |
Cash and cash equivalents, end of period | 7,653 | 818 | 1,030 |
Supplemental disclosure of non-cash investing and financing activities: | |||
Accrued asset purchases | 1,232 | 736 | 1,803 |
Property acquired under capital lease | 0 | 322 | 104 |
Unrealized gain on investments | 0 | 7 | 26 |
Supplemental disclosure of cash flow information: | |||
Cash paid during the period for income taxes | 60 | 43 | 0 |
Cash paid during the period for interest | $1,029 | $884 | $495 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies and Nature of Operations | 12 Months Ended | |||||||||||||||
Jan. 03, 2015 | ||||||||||||||||
Accounting Policies [Abstract] | ||||||||||||||||
Summary of Significant Accounting Policies and Nature of Operations | Summary of Significant Accounting Policies and Nature of Operations | |||||||||||||||
U.S. Auto Parts Network, Inc. (including its subsidiaries) is a distributor of aftermarket auto parts and accessories and was established in 1995. The Company entered the e-commerce sector by launching its first website in 2000 and currently derives the majority of its revenues from online sales channels. The Company sells its products to individual consumers through a network of websites and online marketplaces. Through AutoMD.com, the Company educates consumers on maintenance and service of their vehicles. The site provides auto information, with tools for diagnosing car troubles, locating repair shops and do-it-yourself (“DIY”) repair guides. Our flagship websites are located at www.autopartswarehouse.com, www.carparts.com, www.jcwhitney.com and www.AutoMD.com and our corporate website is located at www.usautoparts.net. References to the “Company,” “we,” “us,” or “our” refer to U.S. Auto Parts Network, Inc. and its consolidated subsidiaries. | ||||||||||||||||
The Company’s products consist of body parts, hard parts, performance parts and accessories. The body parts category is primarily comprised of parts for the exterior of an automobile. Our parts in this category are typically replacement parts for original body parts that have been damaged as a result of a collision or through general wear and tear. The majority of these products are sold through our websites. In addition, we sell an extensive line of mirror products, including our own private-label brand called Kool-Vue™, which are marketed and sold as aftermarket replacement parts and as upgrades to existing parts. The hard parts category is comprised of engine components and other mechanical and electrical parts. These parts serve as replacement parts for existing engine parts and are generally used by professionals and do-it-yourselfers for engine and mechanical maintenance and repair. We offer performance versions of many parts sold in each of the above categories. Performance parts and accessories generally consist of parts that enhance the performance of the automobile, upgrade existing functionality of a specific part or improve the physical appearance or comfort of the automobile. | ||||||||||||||||
The Company is a Delaware C corporation and is headquartered in Carson, California. The Company also has employees located in Kansas, Virginia, Tennessee, Texas, Wyoming and Illinois, as well as in the Philippines. | ||||||||||||||||
Fiscal Year | ||||||||||||||||
The Company’s fiscal year is based on a 52/53 week fiscal year ending on the Saturday closest to December 31. The fiscal year ended January 3, 2015 (fiscal year 2014) is a 53 week period and the fiscal years ended December 28, 2013 (fiscal year 2013) and December 29, 2012 (fiscal year 2012) are 52 week periods. | ||||||||||||||||
Principles of Consolidation | ||||||||||||||||
The consolidated financial statements include the accounts of the Company, its wholly-owned subsidiaries and its subsidiaries in which it has a controlling interest. On October 8, 2014, AutoMD, Inc. ("AutoMD") sold seven million shares of its common stock to third-party investors, reducing the Company’s ownership interest in AutoMD to 64.1%. The 35.9% of AutoMD controlled by third-party investors is being reported as a noncontrolling interest. The Company reports noncontrolling interests in consolidated entities as a component of equity separate from the Company’s equity. All inter-company transactions between and among the Company and its consolidated subsidiaries have been eliminated in consolidation. | ||||||||||||||||
Basis of Presentation | ||||||||||||||||
During fiscal year 2014, the Company’s revenues increased 11.3% from fiscal Year 2013 after having decreased in fiscal year 2013 by 16.2% from fiscal year 2012. In Fiscal Year 2014, the Company incurred a net loss of $6,879, after incurring net losses of $15,634 and $35,978 in Fiscal Years 2013 and 2012, respectively. Based on our current operating plan, we believe that our existing cash, cash equivalents, investments, cash flows from operations and available debt financing will be sufficient to finance our operational cash needs through at least the next twelve months. When compared to fiscal year 2014, we expect our revenues to increase and our net loss to be lower in fiscal year 2015. Should the Company’s operating results not meet expectations in 2015, it could negatively impact our liquidity as we may not be able to provide positive cash flows from operations in order to meet our working capital requirements. We may need to borrow additional funds from our credit facility, which under certain circumstances may not be available, sell assets or seek additional equity or additional debt financing in the future. There can be no assurance that we would be able to raise such additional financing or engage in such additional asset sales on acceptable terms, or at all. If revenues were to decline and the net loss is larger or continues for longer than we expect because our strategies to return to profitability are not successful or otherwise, and if we are not able to raise adequate additional financing or proceeds from asset sales to continue to fund our ongoing operations, we will need to defer, reduce or eliminate significant planned expenditures, restructure or significantly curtail our operations. | ||||||||||||||||
Use of Estimates | ||||||||||||||||
The preparation of financial statements in conformity with U.S. 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. Significant estimates made by management include, but are not limited to, those related to revenue recognition, uncollectible receivables, the valuation of investments, valuation of inventory, valuation of deferred tax assets and liabilities, valuation of intangible assets including goodwill and other long-lived assets, recoverability of software development costs, contingencies and share-based compensation expense that results from estimated grant date fair values and vesting of issued equity awards. Actual results could differ from these estimates. | ||||||||||||||||
Statement of Cash Flows | ||||||||||||||||
The net change in the Company’s book overdraft is presented as an operating activity in the consolidated statement of cash flows. The book overdraft represents a credit balance in the Company’s general ledger but the Company has a positive bank account balance. | ||||||||||||||||
Cash and Cash Equivalents | ||||||||||||||||
The Company considers all money market funds and short-term investments purchased with original maturities of ninety days or less to be cash equivalents. | ||||||||||||||||
Fair Value of Financial Instruments | ||||||||||||||||
Financial instruments that are not measured at fair value include accounts receivable, accounts payable and debt. Refer to “Note 3 – Fair Value Measurements” for additional fair value information. If the Company’s revolving loan payable (see “Note 6 – Borrowings”) had been measured at fair value, it would be categorized in Level 2 of the fair value hierarchy, as the estimated value would be based on the quoted market prices for the same or similar issues or on the current rates available to the Company for debt of the same or similar terms. The carrying values of cash and cash equivalents, accounts receivable and accounts payable approximate fair value at January 3, 2015 and December 28, 2013 due to their short-term maturities. Marketable securities and investments are carried at fair value, as discussed below. Based on the borrowing rates currently available to the Company for bank loans with similar terms and average maturities, the fair value of our revolving loan payable, classified as current liability in our consolidated balance sheet, approximates its carrying amount because the interest rate is variable. | ||||||||||||||||
Accounts Receivable and Concentration of Credit Risk | ||||||||||||||||
Accounts receivable are stated net of allowance for doubtful accounts. The allowance for doubtful accounts is determined primarily on the basis of past collection experience and general economic conditions. The Company determines terms and conditions for its customers primarily based on the volume purchased by the customer, customer creditworthiness and past transaction history. | ||||||||||||||||
Concentrations of credit risk are limited to the customer base to which the Company’s products are sold. The Company does not believe significant concentrations of credit risk exist. | ||||||||||||||||
Investments | ||||||||||||||||
Investments are comprised of closed-end funds primarily invested in mutual funds that hold government bonds and stock and short-term money market funds. Mutual funds are classified as short-term investments available-for-sale and recorded at fair market value, based on quoted prices of identical assets that are trading in active markets as of the end of the period for which the values are determined. | ||||||||||||||||
Other-Than-Temporary Impairment | ||||||||||||||||
All of the Company’s marketable securities and investments are subject to a periodic impairment review. The Company recognizes an impairment charge when a decline in the fair value of its investments below the cost basis is judged to be other-than-temporary. The Company considers various factors in determining whether to recognize an impairment charge, including the length of time and extent to which the fair value has been less than the Company’s cost basis, the financial condition and near-term prospects of the investee, and the Company’s intent and ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in the market value. No other-than-temporary impairment charges were recorded on any investments during fiscal years presented. | ||||||||||||||||
Inventory | ||||||||||||||||
Inventories consist of finished goods available-for-sale and are stated at the lower of cost or market value, determined using the first-in first-out (“FIFO”) method. The Company purchases inventory from suppliers both domestically and internationally, and routinely enters into supply agreements with U.S.–based suppliers and its primary drop-ship vendors. The Company believes that its products are generally available from more than one supplier and seeks to maintain multiple sources for its products, both internationally and domestically. The Company primarily purchases products in bulk quantities to take advantage of quantity discounts and to ensure inventory availability. Inventory is reported at the lower of cost or market, adjusted for slow moving, obsolete or scrap product. Inventory at January 3, 2015 and December 28, 2013 was $48,362 and $36,986, respectively, which included items in-transit to our warehouses, in the amount of $12,155 and $6,750, respectively. | ||||||||||||||||
Website and Software Development Costs | ||||||||||||||||
The Company capitalizes certain costs associated with website and software developed for internal use according to ASC 350-50 Intangibles – Goodwill and Other – Website Development Costs and ASC 350-40 Intangibles – Goodwill and Other – Internal-Use Software, when both the preliminary project design and testing stage are completed and management has authorized further funding for the project, which it deems probable of completion and to be used for the function intended. Capitalized costs include amounts directly related to website and software development such as payroll and payroll-related costs for employees who are directly associated with, and who devote time to, the internal-use software project. Capitalization of such costs ceases when the project is substantially complete and ready for its intended use. These amounts are amortized on a straight-line basis over two to three years once the software is placed into service. The Company capitalized website and software development costs of $5,651 and $8,150 during fiscal year 2014 and 2013, respectively. At January 3, 2015 and December 28, 2013, our internally developed website and software costs amounted to $40,757 and $50,250, respectively, and the related accumulated amortization and impairment amounted to $36,060 and $44,211, respectively. During fiscal year 2013 and 2012, the Company recognized an impairment loss on websites and software development costs of $4,832 and $3,868, respectively. No impairment was recognized during fiscal year 2014. | ||||||||||||||||
Long-Lived Assets and Intangibles Subject to Amortization | ||||||||||||||||
The Company accounts for the impairment and disposition of long-lived assets, including intangibles subject to amortization, in accordance with ASC 360 Property, Plant and Equipment (“ASC 360”). Management assesses potential impairments whenever events or changes in circumstances indicate that the carrying value of an asset or asset group may not be recoverable. An impairment loss will result when the carrying value exceeds the undiscounted cash flows estimated to result from the use and eventual disposition of the asset or asset group. Impairment losses will be recognized in operating results to the extent that the carrying value exceeds the discounted future cash flows estimated to result from the use and eventual disposition of the asset or asset group. The Company continually uses judgment when applying these impairment rules to determine the timing of the impairment tests, undiscounted cash flows used to assess impairments, and the fair value of a potentially impaired asset or asset group. The reasonableness of our judgments could significantly affect the carrying value of our long-lived assets. As of January 3, 2015, the Company’s long-lived assets did not indicate a potential impairment under the provisions of ASC 360, therefore no impairment charges were recorded for fiscal year 2014. During the second quarter of 2013, the Company recognized an impairment loss on property and equipment and intangible assets subject to amortization of $4,832 and $1,245, respectively. During the fourth quarter of 2012, the Company recognized an impairment loss on property and equipment and intangible assets subject to amortization of $1,960 and $1,745, respectively. Future impairment losses could result if the fair value of the Company’s long lived assets continues to decline. Refer to “Note 3 – Fair Value Measurements” “Note 4 – Property and Equipment, Net” and “Note 5 – Intangible Assets, net” for further details. | ||||||||||||||||
Goodwill and Indefinite-Lived Intangibles. | ||||||||||||||||
The Company accounts for goodwill under the guidance set forth in ASC Topic 350- Intangibles – Goodwill and Other (“ASC 350”), which specifies that goodwill and indefinite-lived intangibles should not be amortized. The Company has historically evaluated goodwill and indefinite-lived intangibles for impairment on an annual basis or more frequently if events or circumstances occur that would indicate a reduction in fair value. The goodwill impairment test is a two-step impairment test. The first step compares the fair value of each reporting unit with its carrying amount including goodwill. The Company estimates the fair value of the reporting unit based on the income approach, which utilizes discounted future cash flows. Assumptions critical to the fair value estimates under the discounted cash flow model include discount rates, cash flow projections, projected long-term growth rates and the determination of terminal values. The market approach is used as a test of reasonableness to corroborate the income approach. The market approach utilized market multiples of invested capital from publicly traded companies in similar lines of business. The market multiples from invested capital include revenues, total assets, book equity plus debt and EBITDA. | ||||||||||||||||
During the fourth quarter of 2012, the Company identified adverse events related to the Company’s overall financial performance, including the continued downward trend in the Company’s revenues and negative cash flows from operations, | ||||||||||||||||
and a sustained decline in the Company’s share price, that would more likely than not reduce the fair value of our reporting units below their carrying amounts. The excess of carrying value over fair value for our reporting unit as of October 31, 2012, the annual testing date, was approximately $21,843. If the carrying amount exceeds the estimated fair value, then the second step of the impairment test is performed to measure the amount of any impairment loss and the impairment losses will be recognized in operating results. Therefore, the Company performed the second step of the goodwill impairment test to measure the amount of impairment loss. The second step compares the implied fair value of goodwill with the carrying amount of goodwill. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination. The excess of the fair value of a reporting unit over the amounts assigned to its assets and liabilities is the implied fair value of goodwill. Based on its analysis, the Company recognized an impairment loss on goodwill of $18,854, which represented its carrying value as of October 31, 2012. For indefinite lived intangible assets, the Company utilized the royalty savings method to determine the fair value of the trade name intangible assets using a discounted rate of 15.0% and royalty rate of 0.1% for fiscal year 2012. During the fourth quarter of 2012, we recorded an impairment loss on indefinite lived intangible assets totaling $3,868. As a result of the impairment losses taken in fiscal year 2012, the Company did not have any goodwill or indefinite-lived intangibles on its balance sheet in fiscal year 2013. In addition, all the remaining indefinite lived intangibles were reclassified as definite lived intangibles and subject to amortization. Refer to “Note 3- Fair Value Measurements” and “Note 5 – Intangible Assets, net” for additional details. | ||||||||||||||||
Deferred Catalog Expenses | ||||||||||||||||
Deferred catalog expenses consist of third-party direct costs including primarily creative design, paper, printing, postage and mailing costs for all Company direct response catalogs. Such costs are capitalized as deferred catalog expenses and are amortized over their expected future benefit period. Each catalog is fully amortized within nine months. Deferred catalog expenses are included in other current assets and amounted to $441 and $485 at January 3, 2015 and December 28, 2013, respectively. | ||||||||||||||||
Deferred Financing Costs | ||||||||||||||||
Deferred financing costs are being amortized over the life of the loan using the straight-line method as it is not significantly different from the effective interest method. | ||||||||||||||||
Revenue Recognition | ||||||||||||||||
The Company recognizes revenue from product sales and shipping revenues, net of promotional discounts and return allowances, when the following revenue recognition criteria are met: persuasive evidence of an arrangement exists, both title and risk of loss or damage have transferred, delivery has occurred, the selling price is fixed or determinable, and collectability is reasonably assured. The Company retains the risk of loss or damage during transit, therefore, revenue from product sales is recognized at the delivery date to customers. Return allowances, which reduce product revenue by the Company’s best estimate of expected product returns, are estimated using historical experience. | ||||||||||||||||
Revenue from sales of advertising is recorded when performance requirements of the related advertising program agreement are met. For each of the fiscal years ended 2014, 2013 and 2012, the advertising revenue represented approximately 1%, of our total revenue. | ||||||||||||||||
The Company evaluates the criteria of ASC 605-45 Revenue Recognition Principal Agent Considerations in determining whether it is appropriate to record the gross amount of product sales and related costs or the net amount earned as commissions. Generally, when the Company is the primary party obligated in a transaction, the Company is subject to inventory risk, has latitude in establishing prices and selecting suppliers, or has several but not all of these indicators, revenue is recorded at gross. | ||||||||||||||||
Payments received prior to the delivery of goods to customers are recorded as deferred revenue. | ||||||||||||||||
The Company periodically provides incentive offers to its customers to encourage purchases. Such offers include current discount offers, such as percentage discounts off current purchases and other similar offers. Current discount offers, when accepted by the Company’s customers, are treated as a reduction to the purchase price of the related transaction. | ||||||||||||||||
Sales discounts are recorded in the period in which the related sale is recognized. Sales return allowances are estimated based on historical amounts and are recorded upon recognizing the related sales. Credits are issued to customers for returned products. Credits for returned products amounted to $24,903, $24,618, and $30,420 for fiscal year 2014, 2013 and 2012, respectively. | ||||||||||||||||
No customer accounted for more than 10% of the Company’s net sales. | ||||||||||||||||
The following table provides an analysis of the allowance for sales returns and the allowance for doubtful accounts (in thousands): | ||||||||||||||||
Balance at | Charged to | Deductions | Balance at | |||||||||||||
Beginning | Revenue, | End of | ||||||||||||||
of Period | Cost or | Period | ||||||||||||||
Expenses | ||||||||||||||||
Fifty-Three Weeks Ended January 3, 2015 | ||||||||||||||||
Allowance for sales returns | $ | 893 | $ | 24,907 | $ | (24,903 | ) | $ | 897 | |||||||
Allowance for doubtful accounts | 213 | 64 | (236 | ) | 41 | |||||||||||
Fifty-Two Weeks Ended December 28, 2013 | ||||||||||||||||
Allowance for sales returns | $ | 1,364 | $ | 24,147 | $ | (24,618 | ) | $ | 893 | |||||||
Allowance for doubtful accounts | 221 | 181 | (189 | ) | 213 | |||||||||||
Fifty-Two Weeks Ended December 29, 2012 | ||||||||||||||||
Allowance for sales returns | $ | 1,726 | $ | 30,058 | $ | (30,420 | ) | $ | 1,364 | |||||||
Allowance for doubtful accounts | 183 | 247 | (209 | ) | 221 | |||||||||||
Cost of Sales | ||||||||||||||||
Cost of sales consists of the direct costs associated with procuring parts from suppliers and delivering products to customers. These costs include direct product costs, outbound freight and shipping costs, warehouse supplies and warranty costs, partially offset by purchase discounts and cooperative advertising. Total freight and shipping expense included in cost of sales for fiscal year 2014, 2013 and 2012 was $40,428, $34,182, and $39,702, respectively. Depreciation and amortization expenses are excluded from cost of sales and included in marketing, general and administrative and fulfillment expenses as noted below. | ||||||||||||||||
Warranty Costs | ||||||||||||||||
The Company or the vendors supplying its products provide the Company’s customers limited warranties on certain products that range from 30 days to lifetime. In most cases, the Company’s vendors are the party primarily responsible for warranty claims. Standard product warranties sold separately by the Company are recorded as deferred revenue and recognized ratably over the life of the warranty, ranging from one to five years. The Company also offers extended warranties that are imbedded in the price of selected private label products we sell. The product brands that include the extended warranty coverage are offered at three different service levels: (a) a five year unlimited product replacement, (b) a five year one-time product replacement, and (c) a three year one-time product replacement. Warranty costs relating to merchandise sold under warranty not covered by vendors are estimated and recorded as warranty obligations at the time of sale based on each product’s historical return rate and historical warranty cost. The standard and extended warranty obligations are recorded as warranty liabilities and included in other current liabilities in the consolidated balance sheets. For the fiscal year 2014 and 2013, the activity in our aggregate warranty liabilities was as follows (in thousands): | ||||||||||||||||
January 3, | 28-Dec-13 | |||||||||||||||
2015 | ||||||||||||||||
Warranty liabilities, beginning of period | $ | 296 | $ | 282 | ||||||||||||
Adjustments to preexisting warranty liabilities | (123 | ) | (58 | ) | ||||||||||||
Additions to warranty liabilities | 119 | 165 | ||||||||||||||
Reductions to warranty liabilities | (74 | ) | (93 | ) | ||||||||||||
Warranty liabilities, end of period | $ | 218 | $ | 296 | ||||||||||||
Marketing Expense | ||||||||||||||||
Marketing costs, including advertising, are expensed as incurred. The majority of advertising expense is paid to internet search engine service providers and internet commerce facilitators. For fiscal year 2014, 2013 and 2012, the Company recognized advertising costs of $18,485, $16,619 and $21,068, respectively. Marketing costs also include depreciation and amortization expense and share-based compensation expense. | ||||||||||||||||
General and Administrative Expense | ||||||||||||||||
General and administrative expense consists primarily of administrative payroll and related expenses, merchant processing fees, legal and professional fees and other administrative costs. General and administrative expense also includes depreciation and amortization expense and share-based compensation expense. | ||||||||||||||||
Fulfillment Expense | ||||||||||||||||
Fulfillment expense consists primarily of payroll and related costs associated with warehouse employees and the Company’s purchasing group, facilities rent, building maintenance, depreciation and other costs associated with inventory management and wholesale operations. Fulfillment expense also includes share-based compensation expense. | ||||||||||||||||
Technology Expense | ||||||||||||||||
Technology expense consists primarily of payroll and related expenses of our information technology personnel, the cost of hosting the Company’s servers, communications expenses and Internet connectivity costs, computer support and software development amortization expense. Technology expense also includes share-based compensation expense. | ||||||||||||||||
Share-Based Compensation | ||||||||||||||||
The Company accounts for share-based compensation in accordance with ASC 718 Compensation – Stock Compensation (“ASC 718”). All share-based payment awards issued to employees are recognized as share-based compensation expense in the financial statements based on their respective grant date fair values, and are recognized within the statement of comprehensive income or loss as marketing, general and administrative, fulfillment or technology expense, based on employee departmental classifications. Under this standard, compensation expense for both time-based and performance-based restricted stock units is based on the closing stock price of our common shares on the date of grant, and is recognized on a straight-line basis over the requisite service period. Compensation expense for performance-based awards is measured based on the amount of shares ultimately expected to vest, estimated at each reporting date based on management’s expectations regarding the relevant performance criteria. Compensation expense for stock options is based on the fair value estimated on the date of grant using an option pricing model that meets certain requirements, and is recognized over the vesting period of three to four years. The Company currently uses the Black-Scholes option pricing model to estimate the fair value of share-based payment awards for such stock options, which is affected by the Company’s stock price and a number of assumptions, including expected volatility, expected life, risk-free interest rate and expected dividends. | ||||||||||||||||
The Company incorporates its own historical volatility into the grant-date fair value calculations for the stock options. The expected term of an award is based on combining historical exercise data with expected weighted time outstanding. Expected weighted time outstanding is calculated by assuming the settlement of outstanding awards is at the midpoint between the remaining weighted average vesting date and the expiration date. The risk-free interest rate assumption is based on observed interest rates appropriate for the expected life of awards. The dividend yield assumption is based on the Company’s expectation of paying no dividends on its common stock. Forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures significantly differ from those estimates. The Company considers many factors when estimating expected forfeitures, including employee class, economic environment, and historical experience. | ||||||||||||||||
The Company accounts for equity instruments issued in exchange for the receipt of services from non-employee directors in accordance with the provisions of ASC 718. The Company accounts for equity instruments issued in exchange for the receipt of goods or services from other than employees in accordance with ASC 505-50 Equity-Based Payments to Non-Employees. Costs are measured at the estimated fair market value of the consideration received or the estimated fair value of the equity instruments issued, whichever is more reliably measurable. The value of equity instruments issued for consideration other than employee services is determined on the earlier of a performance commitment or completion of performance by the provider of goods or services. Equity instruments awarded to non-employees are periodically re-measured as the underlying awards vest unless the instruments are fully vested, immediately exercisable and non-forfeitable on the date of grant. | ||||||||||||||||
The Company accounts for modifications to its share-based payment awards in accordance with the provisions of ASC 718. Incremental compensation cost is measured as the excess, if any, of the fair value of the modified award over the fair value of the original award immediately before its terms are modified, measured based on the share price and other pertinent factors at that date, and is recognized as compensation cost on the date of modification (for vested awards) or over the remaining service (vesting) period (for unvested awards). Any unrecognized compensation cost remaining from the original award is recognized over the vesting period of the modified award. | ||||||||||||||||
Other Income, net | ||||||||||||||||
Other income, net consists of miscellaneous income or expense such as gains/losses from disposition of assets, and interest income comprised primarily of interest income on investments. | ||||||||||||||||
Interest Expense | ||||||||||||||||
Interest expense consists primarily of interest expense on our outstanding loan balance, deferred financing cost amortization, and capital lease interest. | ||||||||||||||||
Income Taxes | ||||||||||||||||
The Company accounts for income taxes in accordance with ASC 740 Income Taxes (“ASC 740”). Under ASC 740, deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amount of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. When appropriate, a valuation allowance is established to reduce deferred tax assets, which include tax credits and loss carry forwards, to the amount that is more likely than not to be realized. In making such determination, the Company considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, future taxable income exclusive of reversing temporary differences and carryforwards, taxable income in prior carryback years, tax planning strategies and recent financial operations. | ||||||||||||||||
The Company utilizes a two-step approach to recognizing and measuring uncertain tax positions. The first step is to evaluate the tax position for recognition by determining if the weight of available evidence indicates it is more likely than not that the position will be sustained on audit, including resolution of related appeals or litigation processes. The second step is to measure the tax benefit as the largest amount which is more than 50% likely of being realized upon ultimate settlement. The Company considers many factors when evaluating and estimating our tax positions and tax benefits, which may require periodic adjustments and which may not accurately forecast actual outcomes. As of January 3, 2015, the Company had no material unrecognized tax benefits, interest or penalties related to federal and state income tax matters. The Company’s policy is to record interest and penalties as income tax expense. | ||||||||||||||||
Taxes Collected from Customers and Remitted to Governmental Authorities | ||||||||||||||||
We present taxes collected from customers and remitted to governmental authorities on a net basis in accordance with the guidance on ASC 605-45-50-3 Taxes Collected from Customers and Remitted to Governmental Authorities. | ||||||||||||||||
Leases | ||||||||||||||||
The Company analyzes lease agreements for operating versus capital lease treatment in accordance with ASC 840 Leases. Rent expense for leases designated as operating leases is expensed on a straight-line basis over the term of the lease. For capital leases, the present value of future minimum lease payments at the inception of the lease is reflected as a capital lease asset and a capital lease payable in the consolidated balance sheets. Amounts due within one year are classified as current liabilities and the remaining balance as non-current liabilities. | ||||||||||||||||
Foreign Currency Translation | ||||||||||||||||
For each of the Company’s foreign subsidiaries, the functional currency is its local currency. Assets and liabilities of foreign operations are translated into U.S. dollars using the current exchange rates, and revenues and expenses are translated into U.S. dollars using average exchange rates. The effects of the foreign currency translation adjustments are included as a component of accumulated other comprehensive income or loss in the Company’s consolidated balance sheets. | ||||||||||||||||
Comprehensive Income | ||||||||||||||||
The Company reports comprehensive income or loss in accordance with ASC 220 Comprehensive Income. Accumulated other comprehensive income or loss, included in the Company’s consolidated balance sheets, includes foreign currency translation adjustments related to the Company’s foreign operations, and unrealized holding gains and losses from available-for-sale marketable securities and investments. The Company presents the components of net income or loss and other comprehensive income or loss in its consolidated statements of comprehensive operations. | ||||||||||||||||
Segment Data | ||||||||||||||||
The Company operates in two reportable operating segments. The criteria we use to identify operating segments are primarily the nature of the products we sell or services we provide and the consolidated operating results that are regularly reviewed by our chief operating decision maker to assess performance and make operating decisions. We identified two reportable operating segments, Base USAP, which is the core auto parts business, and AutoMD, an online automotive repair source, in accordance with ASC 280 Segment Reporting (“ASC 280”). | ||||||||||||||||
Recent Accounting Pronouncements | ||||||||||||||||
In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2014-9, “Revenue from Contracts with Customers,” (“ASU 2014-9”) which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. This guidance will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The new standard is effective for fiscal years beginning after December 15, 2016. Early application is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. The Company is evaluating the effect that ASU 2014-9 will have on the consolidated financial statements and related disclosures. The Company has not yet selected a transition method nor has the effect of the standard on ongoing financial reporting been determined. | ||||||||||||||||
On August 27, 2014, the FASB issued ASU 2014-15, which provides guidance on determining when and how reporting entities must disclose going-concern uncertainties in their financial statements. The new standard requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date of issuance of the entity’s financial statements (or within one year after the date on which the financial statements are available to be issued, when applicable). Further, an entity must provide certain disclosures if there is “substantial doubt about the entity’s ability to continue as a going concern.” The ASU is effective for annual periods ending after December 15, 2016, and interim periods thereafter; early adoption is permitted. The Company is evaluating the impact the adoption of ASU 2014-15 will have on its consolidated financial statements. |
Investments
Investments | 12 Months Ended | |||||||||||||||
Jan. 03, 2015 | ||||||||||||||||
Investments Schedule [Abstract] | ||||||||||||||||
Investments | Investments | |||||||||||||||
As of January 3, 2015, the Company held the following securities and investments, recorded at fair value: | ||||||||||||||||
Amortized | Unrealized | Fair Value | ||||||||||||||
Cost | Gains | Losses | ||||||||||||||
Mutual funds (1) | $ | 62 | $ | — | $ | — | $ | 62 | ||||||||
As of December 28, 2013, the Company held the following securities and investments, recorded at fair value: | ||||||||||||||||
Amortized | Unrealized | Fair Value | ||||||||||||||
Cost | Gains | Losses | ||||||||||||||
Mutual funds (1) | $ | 40 | $ | 7 | $ | — | $ | 47 | ||||||||
-1 | Mutual funds are classified as short-term investments available-for-sale and recorded at fair market value, based on quoted prices of identical assets that are trading in active markets as of the end of the period for which the values are determined. | |||||||||||||||
Proceeds from the sale of available-for-sale securities are disclosed separately in the accompanying consolidated statements of cash flow. For fiscal years 2014 and 2013, the Company recognized a realized loss of $1 from the sale of mutual funds. |
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | |||||||||||||||||
Jan. 03, 2015 | ||||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||||
Fair Value Measurements | Fair Value Measurements | |||||||||||||||||
Fair value is defined as an exit price representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. | ||||||||||||||||||
Provisions of ASC 820 establish a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: | ||||||||||||||||||
Level 1 – Observable inputs such as quoted prices in active markets; | ||||||||||||||||||
Level 2 – Inputs other than quoted prices in active markets that are either directly or indirectly observable; and | ||||||||||||||||||
Level 3 – Unobservable inputs in which little or no market data exists, therefore, requiring an entity to develop its own assumptions. | ||||||||||||||||||
We measure our financial assets and liabilities at fair value on a recurring basis using the following valuation techniques: | ||||||||||||||||||
(a) | Market Approach – uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. | |||||||||||||||||
(b) | Income Approach – uses valuation techniques to convert future estimated cash flows to a single present amount based on current market expectations about those future amounts, using present value techniques. | |||||||||||||||||
Financial Assets Valued on a Recurring Basis | ||||||||||||||||||
As of January 3, 2015 and December 28, 2013, the Company held certain assets that are required to be measured at fair value on a recurring basis. These included the Company’s financial instruments, including cash and cash equivalents and investments. The following table represents our fair value hierarchy and the valuation techniques used for financial assets measured at fair value on a recurring basis: | ||||||||||||||||||
3-Jan-15 | ||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Valuation | ||||||||||||||
Techniques | ||||||||||||||||||
Assets: | ||||||||||||||||||
Cash and cash equivalents (1) | $ | 7,653 | $ | 7,653 | $ | — | $ | — | (a) | |||||||||
Investments – mutual funds (2) | 62 | 62 | — | — | (a) | |||||||||||||
$ | 7,715 | $ | 7,715 | $ | — | $ | — | |||||||||||
28-Dec-13 | ||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Valuation | ||||||||||||||
Techniques | ||||||||||||||||||
Assets: | ||||||||||||||||||
Cash and cash equivalents (1) | $ | 818 | $ | 818 | $ | — | $ | — | (a) | |||||||||
Investments – mutual funds (2) | 47 | 47 | — | — | (a) | |||||||||||||
$ | 865 | $ | 865 | $ | — | $ | — | |||||||||||
-1 | Cash equivalents consist primarily of money market funds and short-term investments with original maturity dates of three months or less at the date of purchase, for which the Company determines fair value through quoted market prices. | |||||||||||||||||
-2 | Investments consist of mutual funds, classified as short-term investments available-for-sale and recorded at fair market value, based on quoted prices of identical assets that are trading in active markets as of the end of the period for which the values are determined. | |||||||||||||||||
During fiscal year 2014 and 2013, there were no transfers into or out of Level 1 and Level 2 assets. | ||||||||||||||||||
Non-Financial Assets Valued on a Non-Recurring Basis | ||||||||||||||||||
The Company’s long-lived assets, including intangible assets subject to amortization, are measured at fair value on a non-recurring basis. These assets are measured at cost but are written-down to fair value, if necessary, as a result of impairment. As of January 3, 2015, the Company identified adverse events related to the Company's financial performance, including a downward trend in gross margin, and continued operating losses, which indicated certain property and equipment may not be recoverable. The Company performed impairment testing under the provisions of ASC 360 and after performing step 1, the Company determined property and equipment was not impaired as of January 3, 2015, as such, they were not measured at fair value. If such non-financial assets had been measured at fair value, they would be categorized in Level 3 of the fair value hierarchy, as the Company would be required to develop its own assumptions and analysis to determine if such non-financial assets were impaired. | ||||||||||||||||||
During the second quarter of 2013, the Company identified adverse events related to the Company’s overall financial performance, including the continued downward trend in the Company’s revenues and gross margin, and a sustained decline in the Company’s share price, that would more likely than not reduce the fair value of the Company’s long-lived assets below their carrying amount. The Company performed its impairment testing of long-lived assets, including intangible assets subject to amortization, in accordance with ASC 360. The Company recorded impairment losses on property and equipment and intangible assets of $4,832 and $1,245, respectively. The fair value measurements are categorized as Level 3 of the fair value hierarchy, as the Company developed its own assumptions and analysis to determine if such assets were impaired. | ||||||||||||||||||
During the fourth quarter of 2012, the total impairment loss was $26,427. The Company recorded impairment losses on property and equipment, goodwill and intangible assets of $1,960, $18,854 and $5,613, respectively. The fair value measurements are categorized as Level 3 of the fair value hierarchy, as the Company developed its own assumptions and analysis to determine if such assets were impaired. | ||||||||||||||||||
Refer to “Note 1 – Summary of Significant Accounting Policies and Nature of Operations,” “Note 4 – Property and Equipment, Net” and “Note 5 – Intangible Assets, Net” for additional details. |
Property_and_Equipment_Net
Property and Equipment, Net | 12 Months Ended | |||||||
Jan. 03, 2015 | ||||||||
Property, Plant and Equipment [Abstract] | ||||||||
Property and Equipment, Net | Property and Equipment, Net | |||||||
The Company’s fixed assets are stated at cost less accumulated depreciation, amortization and impairment. Depreciation and amortization expense are provided for in amounts sufficient to relate the cost of depreciable and amortizable assets to operations over their estimated service lives. Depreciation and amortization expense for fiscal year 2014, 2013 and 2012 was $8,923, $12,175 and $15,204, respectively. For fiscal years 2014 and 2013, the balance includes amortization expense of $475 and $317, respectively, for capital leased assets related to the LaSalle, Illinois facility (see sale-leaseback discussion below for details). The cost and related accumulated depreciation of assets retired or otherwise disposed of are removed from the accounts and the resultant gain or loss is reflected in earnings. | ||||||||
The Company accounts for the impairment of property and equipment in accordance with ASC 360. As of January 3, 2015, the Company identified adverse events related to the Company's financial performance, including a downward trend in gross margin, and continued operating losses, which indicated certain property and equipment may not be recoverable. The Company performed impairment testing under the provisions of ASC 360 and after performing step 1, the Company determined property and equipment was not impaired as of January 3, 2015. During the second quarter of 2013, the Company identified adverse events related to the Company’s overall financial performance, including accelerating downward trend in the Company’s revenues and gross margin, which indicated that the carrying amount of certain property and equipment may not be recoverable. Given the indicators of impairment, the Company utilized the royalty savings method rather than cost method in determining the fair values, using a discount rate of 14.5% and royalty rate of 1.0%. Based on its analysis, the Company recognized an impairment loss on internally developed software of $4,832. Any future decline in the fair value of an asset group could result in future impairments. During the fourth quarter of 2012, the Company recognized an impairment loss on building and internally developed website and software development costs of $1,000 and $960, respectively. The Company estimated the fair value of the building at La Salle, Illinois at the expected selling price to Store Capital Acquisitions, LLC. The Company used the royalty savings method rather than cost method in determining the fair values of the internally developed websites and software, using a discount rate of 15% and royalty rate of 2.5%. Any future decline in the fair value of an asset group could result in future impairments. All impairment losses in fiscal years 2013 and 2012 are included in the Base USAP reportable segment. | ||||||||
Refer to “Note 1 – Summary of Significant Accounting Policies and Nature of Operations” and “Note 3 – Fair Value Measurements” for additional details. | ||||||||
Property and equipment consisted of the following at January 3, 2015 and December 28, 2013: | ||||||||
January 3, | 28-Dec-13 | |||||||
2015 | ||||||||
Land | $ | 630 | $ | 630 | ||||
Building | 8,877 | 8,877 | ||||||
Machinery and equipment | 9,799 | 12,163 | ||||||
Computer software (purchased and developed) and equipment | 45,170 | 55,383 | ||||||
Vehicles | 136 | 264 | ||||||
Leasehold improvements | 1,761 | 1,767 | ||||||
Furniture and fixtures | 1,036 | 1,057 | ||||||
Construction in process | 1,904 | 2,066 | ||||||
69,313 | 82,207 | |||||||
Less accumulated depreciation, amortization and impairment | (52,347 | ) | (62,544 | ) | ||||
Property and equipment, net | $ | 16,966 | $ | 19,663 | ||||
On April 17, 2013, the Company’s wholly-owned subsidiary, Whitney Automotive Group, Inc. (“WAG”) entered into a sales leaseback for its facility in LaSalle, Illinois, receiving $9,750 pursuant to a purchase and sale agreement dated April 17, 2013 between WAG and STORE Capital Acquisitions, LLC. The Company used the net proceeds of $9,507 (net of $77 in legal fees) from this sale to reduce its revolving loan payable. Simultaneously with the execution of the purchase and sale agreement and the closing of the sale of the property, the Company entered into a lease agreement with STORE Master Funding III, LLC (“STORE”) whereby we leased back the property for our continued use as an office, retail and warehouse facility for storage, sale and distribution of automotive parts, accessories and related items for 20 years, terminating on April 30, 2033. The related assets represent the amounts included in land and building in the summary above. The Company’s initial base annual rent is $853 for the first year (“Base Rent Amount”), after which the rental amount will increase annually on May 1 by the lesser of 1.5% or 1.25 times the change in the Consumer Price Index as published by the U.S. Department of Labor’s Bureau of Labor Statistics, except that in no event will the adjusted annual rental amount fall below the Base Rent Amount. We were not required to pay any security deposit. Under the terms of the lease, we are required to pay all taxes associated with the lease, pay for any required maintenance on the property, maintain certain levels of insurance and indemnify STORE for losses incurred that are related to our use or occupancy of the property. The lease was accounted for as a capital lease and the $376 excess of the net proceeds over the net carrying amount of the property is amortized in interest expense on a straight-line basis over the lease term of 20 years. As of January 3, 2015, the gross carrying value, the accumulated depreciation and the net carrying value of all capital leased assets included in property and equipment were $9,643, $907 and $8,736, respectively. As of December 28, 2013, the gross carrying value, the accumulated depreciation and the net carrying value of all capital leased assets included in property and equipment were $9,771, $518 and $9,253, respectively. | ||||||||
Construction in process primarily relates to the Company’s internally developed software (refer to caption “Website and Software Development Costs” in “Note 1 – Summary of Significant Accounting Policies and Nature of Operations”). Certain of the Company’s net property and equipment were located in the Philippines as of January 3, 2015 and December 28, 2013, in the amount of $244 and $508, respectively. | ||||||||
Depreciation of property and equipment is provided using the straight-line method for financial reporting purposes, at rates based on the following estimated useful lives: | ||||||||
Years | ||||||||
Machinery and equipment | 2 - 5 | |||||||
Computer software (purchased and developed) | 2 - 3 | |||||||
Computer equipment | 5-Feb | |||||||
Vehicles | 3 - 5 | |||||||
Leasehold improvements* | 3 - 5 | |||||||
Furniture and fixtures | 3 - 7 | |||||||
Facility subject to capital lease | 20 | |||||||
* | The estimated useful life is the lesser of 3-5 years or the lease term. |
Intangible_Assets_Net
Intangible Assets, Net | 12 Months Ended | |||||||||||||||||||||||||
Jan. 03, 2015 | ||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||||||||||||||||
Intangible Assets, Net | Intangible Assets, Net | |||||||||||||||||||||||||
Intangible assets consisted of the following at January 3, 2015 and December 28, 2013: | ||||||||||||||||||||||||||
Useful Life | 3-Jan-15 | 28-Dec-13 | ||||||||||||||||||||||||
Gross | Accumulated | Net | Gross | Accum. | Net | |||||||||||||||||||||
Carrying | Amort. and | Carrying | Carrying | Amort. and | Carrying | |||||||||||||||||||||
Amount | Impairment | Amount | Amount | Impairment | Amount | |||||||||||||||||||||
Intangible assets subject to amortization: | ||||||||||||||||||||||||||
Product design intellectual property (1) | 4 years | 2,750 | (2,102 | ) | 648 | 2,750 | (1,842 | ) | 908 | |||||||||||||||||
Patent license agreements | 3 - 5 years | 537 | (94 | ) | 443 | |||||||||||||||||||||
Domain and trade names | 10 years | 1,199 | (583 | ) | 616 | 1,199 | (506 | ) | 693 | |||||||||||||||||
Total | $ | 4,486 | $ | (2,779 | ) | $ | 1,707 | $ | 3,949 | $ | (2,348 | ) | $ | 1,601 | ||||||||||||
-1 | During the second quarter of 2013, based on its impairment analysis, the Company changed the estimated useful life for product design and intellectual property from 9 years to 4 years. | |||||||||||||||||||||||||
Intangible assets subject to amortization are amortized on a straight-line basis. Amortization expense relating to intangibles totaled $422, $381 and $1,189 for fiscal year 2014, 2013 and 2012, respectively. | ||||||||||||||||||||||||||
The following table summarizes the future estimated annual amortization expense for these assets over the next five years: | ||||||||||||||||||||||||||
2015 | $ | 458 | ||||||||||||||||||||||||
2016 | 458 | |||||||||||||||||||||||||
2017 | 321 | |||||||||||||||||||||||||
2018 | 162 | |||||||||||||||||||||||||
2019 | 77 | |||||||||||||||||||||||||
Thereafter | 231 | |||||||||||||||||||||||||
Total | $ | 1,707 | ||||||||||||||||||||||||
Borrowings
Borrowings | 12 Months Ended | |||
Jan. 03, 2015 | ||||
Debt Disclosure [Abstract] | ||||
Borrowings | Borrowings | |||
The Company maintains an asset-based revolving credit facility that provides for, among other things a revolving commitment in an aggregate principal amount of up to $25,000, which is subject to a borrowing base derived from certain receivables, inventory and property and equipment. Upon satisfaction of certain conditions, the Company has the right to increase the revolving commitment to up to $40,000. The Company, to date, has not requested such increases. The credit facility matures on April 26, 2017. At January 3, 2015, our outstanding revolving loan balance was $11,022. The customary events of default under the credit facility (discussed below) include certain subjective acceleration clauses, which management has determined the likelihood of such acceleration is more than remote, considering the recurring losses experienced by the Company, therefore a current classification of our revolving loan payable was required. | ||||
The Company entered into a sixth amendment to the credit facility effective January 2, 2015. Pursuant to the Amendment, the following amendments to the Credit Agreement were made, among others: | ||||
• | The net orderly liquidation value inventory advance rate was increased from 85% to 90%. | |||
• | The Company’s required excess availability related to the “Covenant Testing Trigger Period” (as defined under the Credit Agreement) under the revolving commitment under the Credit Agreement was reduced to less than $2,000 from less than $4,000 for the period commencing on any day that excess availability is less than $2,000 and continuing until excess availability has been greater than or equal to $2,000 for 45 consecutive days. | |||
• | The period during which the Company is subject to a fixed charge coverage ratio begins after June 30, 2016 and the applicable testing period would begin for a 5 month period ending May 31, 2016 or fiscal year 2016 rather than a trailing twelve month period. The full trailing twelve month testing period would begin with the twelve month period ending December 31, 2016. | |||
• | Certain negative covenants applicable to the Company and AutoMD, a subsidiary of the Company, related to certain contractual and financial tests to permit the Company and AutoMD to consummate certain obligations set forth in the agreements entered into by the Company and AutoMD on October 8, 2014 (the “Financing Documents”) in connection with the sale of AutoMD common stock to certain investors (the “AutoMD Financing”) have been revised where the availability requirements are no longer applicable until after June 30, 2016 and further revised reducing the availability requirement to $2,000 before and after giving effect to the consummation of such obligations. | |||
• | The trigger, requiring the Company to provide certain reports under the Credit Agreement, relating to excess availability under the revolving commitment under the Credit Agreement, has been reduced to less than $4,000 from less than $6,000 and continuing until excess availability has been greater than or equal to $4,000 for 45 consecutive days. | |||
Loans drawn under the credit facility bear interest, at the Company’s option, at a per annum rate equal to either (a) one month LIBOR plus an applicable margin of 2.25%, or (b) an “alternate base rate” plus an applicable margin of 0.25%. Subsequent to June 30, 2016, each applicable margin as set forth in the prior sentence is subject to reduction by up to 0.50% per annum based upon the Company’s fixed charge coverage ratio. At January 3, 2015, the Company’s LIBOR based interest rate was 2.44% (on $11,000 principal) and the Company’s prime based rate was 3.50% (on $22 principal). A commitment fee, based upon undrawn availability under the Credit Facility bearing interest at a rate of 0.25% per annum, is payable monthly. Under the terms of the credit agreement, cash receipts are deposited into a lock-box, which are at the Company’s discretion unless the “cash dominion period” is in effect, during which cash receipts will be used to reduce amounts owing under the Credit Agreement. The cash dominion period is triggered in an event of default or if excess availability is less than $4,000 at any time, as defined, and will continue until, during the preceding 45 consecutive days, no event of default existed and excess availability has been greater than $4,000 at all times. The Company’s excess availability was $8,329 at January 3, 2015. | ||||
Certain of the Company’s domestic subsidiaries are co-borrowers (together with the Company, the “Borrowers”) under the Credit Agreement, and certain other domestic subsidiaries are guarantors (the “Guarantors” and, together with the Borrowers, the “Loan Parties”) under the Credit Agreement. The Borrowers and the Guarantors are jointly and severally liable for the Borrowers’ obligations under the Credit Agreement. The Loan Parties’ obligations under the Credit Agreement are secured, subject to customary permitted liens and certain exclusions, by a perfected security interest in (a) all tangible and intangible assets and (b) all of the capital stock owned by the Loan Parties (limited, in the case of foreign subsidiaries, to 65% of the capital stock of such foreign subsidiaries). The Borrowers may voluntarily prepay the loans at any time with payment of a premium equal to the aggregate revolving commitments multiplied by 0.5% if such termination of the commitments occurs prior to January 2, 2016. If prepayment occurs after January 2, 2016 no premium is required. The Borrowers are required to make mandatory prepayments of the loans (without payment of a premium) with net cash proceeds received upon the occurrence of certain “prepayment events,” which include certain sales or other dispositions of collateral, certain casualty or condemnation events, certain equity issuances or capital contributions, and the incurrence of certain debt. | ||||
The Credit Agreement contains customary representations and warranties and customary affirmative and negative covenants applicable to the Company and its subsidiaries, including, among other things, restrictions on indebtedness, liens, fundamental changes, investments, dispositions, prepayment of other indebtedness, mergers, and dividends and other distributions. | ||||
The period during which the Company is subject to a fixed charge coverage ratio begins after June 30, 2016 and the applicable testing period would begin for a five month period ending May 31, 2016 or fiscal year 2016 rather than a trailing twelve month period. The full trailing twelve month testing period would begin with the twelve month period ending December 31, 2016. During the period when the Company is not subject to a fixed charge coverage ratio an “Availability Block” (as defined under the Credit Agreement) of $2,000 will be in effect, and thereafter the “Availability Block” will be eliminated. Beginning July 1, 2016, in the event that “excess availability” (as defined under the Credit Agreement) is less than $2,000, the Company shall be required to maintain a minimum fixed charge coverage ratio of 1.0 to 1.0. Events of default under the Credit Agreement include: failure to timely make payments due under the Credit Agreement; material misrepresentations or misstatements under the Credit Agreement and other related agreements; failure to comply with covenants under the Credit Agreement and other related agreements; certain defaults in respect of other material indebtedness; insolvency or other related events; certain defaulted judgments; certain ERISA-related events; certain security interests or liens under the loan documents cease to be, or are challenged by the Company or any of its subsidiaries as not being, in full force and effect; any loan document or any material provision of the same ceases to be in full force and effect; and certain criminal indictments or convictions of any Loan Party. As of January 3, 2015, the Company was in compliance with all covenants under the Credit Agreement. | ||||
As of January 3, 2015, the Company had total capital leases payable of $$9,539. The present value of the net minimum payments on capital leases as of January 3, 2015 is as follows: | ||||
Total minimum lease payments | $ | 18,520 | ||
Less amount representing interest | (8,981 | ) | ||
Present value of net minimum lease payments | 9,539 | |||
Current portion of capital leases payable | (269 | ) | ||
Capital leases payable, net of current portion | $ | 9,270 | ||
Stockholders_Equity_and_ShareB
Stockholders' Equity and Share-Based Compensation | 12 Months Ended | ||||||||||||
Jan. 03, 2015 | |||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||
Stockholders' Equity and Share-Based Compensation | Stockholders’ Equity and Share-Based Compensation | ||||||||||||
Non-Controlling Interest | |||||||||||||
Non-controlling interests represent equity interests in consolidated subsidiaries that are not attributable, either directly or indirectly, to the Company (i.e., minority interests). Non-controlling interests include the minority equity holders' proportionate share of the equity of AutoMD. | |||||||||||||
Ownership interests in subsidiaries held by parties other than the Company are presented as non-controlling interests within stockholders' equity, separately from the equity held by the Company. Revenues, expenses, net loss and other comprehensive income are reported in the consolidated financial statements at the consolidated amounts, which includes amounts attributable to both the Company's interest and the non-controlling interests in AutoMD. Net loss and other comprehensive income is then attributed to the Company's interest and the non-controlling interests. Net loss to non-controlling interests is deducted from net loss in the consolidated statements of comprehensive operations to determine net loss attributable to the Company's common stockholders. | |||||||||||||
The table below presents the changes in the Company's ownership interest in AutoMD on the Company's equity: | |||||||||||||
Fiscal Year Ended | |||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | |||||||||||
Net loss attributable to U.S. Auto Parts stockholders' | $ | (6,879 | ) | $ | (15,634 | ) | $ | (35,978 | ) | ||||
Transfers (to) from the noncontrolling interest: | |||||||||||||
Increase in U.S. Auto Parts paid-in-capital from sale of AutoMD common stock | 2,512 | — | — | ||||||||||
Changes from net loss attributable to U.S. Auto Parts stockholders' and transfers to noncontrolling interest | $ | (4,367 | ) | $ | (15,634 | ) | $ | (35,978 | ) | ||||
Common Stock | |||||||||||||
The Company has 100,000 shares of common stock authorized. We have never paid cash dividends on our common stock. The following issuances of common stock were made during the fiscal year ended January 3, 2015: | |||||||||||||
• | The Company issued 144 shares of common stock from option exercises under its various share-based compensation plans. | ||||||||||||
• | The Company issued 21 shares of common stock from restricted stock units that vested during the period. | ||||||||||||
• | 107 shares of common stock were issued as stock dividends on the Series A Preferred. | ||||||||||||
Series A Convertible Preferred Stock | |||||||||||||
On March 25, 2013, the Company authorized the issuance of 4,150 shares of Series A Preferred and entered into a Securities Purchase Agreement pursuant to which the Company agreed to sell up to an aggregate of 4,150 shares of our Series A Preferred, $0.001 par value per share at a purchase price per share of $1.45 for aggregate proceeds to the Company of approximately $6,017. On March 25, 2013, we sold 4,000 shares of Series A Preferred for aggregate proceeds of $5,800. On April 5, 2013, we sold the remaining 150 shares of Series A Preferred for aggregate proceeds of $217. The Company incurred issuance costs of $847 and used the net proceeds from the sale of the Series A Preferred to reduce its revolving loan payable. | |||||||||||||
Each share of Series A Preferred is convertible into shares of our common stock at the initial conversion rate of one share of common stock for each share of Series A Preferred. The conversion will be adjusted for certain non-price based events, such as dividends and distributions on the common stock, stock splits, combinations, recapitalizations, reclassifications, mergers, or consolidations. If not previously converted by the holder, the Series A Preferred will automatically convert to common stock if the volume weighted average price for the common stock for any 30 consecutive trading days is equal to or exceeds $4.35 per share. The shares that would be issued if the contingently convertible Series A Preferred were converted are excluded from the calculation of diluted earnings per share due to the Company’s net loss position for the fiscal year ended January 3, 2015 (refer to “Note 8 – Net Loss Per Share” for anti-dilutive securities). | |||||||||||||
In the event of any liquidation event, which includes changes of control of the Company and sales or other dispositions by the Company of more than 50% of its assets, the Series A Preferred is entitled to receive, prior and in preference to any distribution to the common stock, an amount per share equal to $1.45 per share of Series A Preferred, plus all then accrued but unpaid dividends on such Series A Preferred. Following this distribution, if assets or surplus funds remain, the holders of the common stock shall share ratably in all remaining assets of the Company, based on the number of shares of common stock then outstanding. Notwithstanding the foregoing, if, in connection with any liquidation event, a holder of Series A Preferred would receive an amount greater than $1.45 per share of Series A Preferred by converting such shares held by such holder into shares of common stock, then such holder shall be treated as though such holder had converted such shares of Series A Preferred into shares of common stock immediately prior to such liquidation event, whether or not such holder had elected to so convert. | |||||||||||||
Dividends on the Series A Preferred are payable quarterly at a rate of $0.058 per share per annum in cash, in shares of common stock or in any combination of cash and common stock as determined by the Company’s Board of Directors. Certain conditions are required to be satisfied in order for the Company to pay dividends on the Series A Preferred in shares of common stock, including (i) the common stock being registered pursuant to Section 12(b) or (g) of the Securities Exchange Act of 1934, as amended, (ii) the common stock being issued having been approved for listing on a trading market and (iii) the common stock being issued either being covered by an effective registration statement or being freely tradable without restriction under Rule 144 (subject to certain exceptions). The Series A Preferred shall each be entitled to one vote per share for each share of common stock issuable upon conversion thereof (excluding from any such calculation any dividends accrued on such shares) and shall vote together with the holders of common stock as a single class on any matter on which the holders of common stock are entitled to vote. In addition, the Company must obtain the consent of holders of at least a majority of the then outstanding Series A Preferred in connection with (a) any amendment, alteration or repeal of any provision of the certificate of incorporation or bylaws of the Company as to adversely affect the preferences, rights or voting power of the Series A Preferred, or (b) the creation, authorization or issuance of any additional Series A Preferred or any other class or series of capital stock of the Company ranking senior to or on parity with the Series A Preferred or any security convertible into, or exchangeable or exercisable for Series A Preferred or any other class or series of capital stock of the Company ranking senior to or on parity with the Series A Preferred. Concurrent with the Company’s issuance of Series A Preferred, the Company, certain of its domestic subsidiaries and JPMorgan entered into a Second Amended Credit Agreement to allow the Company to pay cash dividends on the Series A Preferred in an aggregate amount of up to $400 per year and pay cash in lieu of issuing fractional shares upon conversion of or in payment of dividends on the Series A Preferred (refer to “Note 6 – Borrowings” of our Notes to Consolidated Financial Statements for additional details). The Company issued 24 shares in payment of dividends on the dividend payment date of December 31, 2013 related to the dividend distributable on the Series A Preferred of $60 accrued on December 28, 2013. For the fiscal year ended January 3, 2015, the Company recorded dividends of $240. The Company issued 83 shares of common stock in payment of the fiscal 2014 dividends. There were no accrued dividends outstanding as of January 3, 2015. | |||||||||||||
Share-Based Compensation Plan Information | |||||||||||||
The Company adopted the 2007 Omnibus Incentive Plan (the “2007 Omnibus Plan”) in January 2007, which became effective on February 8, 2007, the effective date of the registration statement filed in connection with the Company’s initial public offering. Under the 2007 Omnibus Plan, the Company was previously authorized to issue 2,400 shares of common stock, under various instruments to eligible employees and non-employees of the Company, plus an automatic annual increase on the first day of each of the Company’s fiscal years beginning on January 1, 2008 and ending on January 1, 2017 equal to (i) the lesser of (A) 1,500 shares of common stock or (B) five percent (5)% of the number of shares of common stock outstanding on the last day of the immediately preceding fiscal year or (ii) such lesser number of shares of common stock as determined by the Company’s Board of Directors. Options granted under the 2007 Omnibus Plan generally expire no later than ten years from the date of grant and generally vest over a period of four years. The exercise price of all option grants must be equal to 100% of the fair market value on the date of grant. The 2007 Omnibus Plan also provides for automatic grant of options to purchase common stock and common stock awards to non-employee directors. As of January 3, 2015, 1,515 shares were available for future grants under the 2007 Omnibus Plan. Since the restricted stock units (“RSUs”) were granted under the 2007 Omnibus Plan, such RSUs granted have been deducted from the overall pool of equity instruments available under the 2007 Omnibus Plan. For further detail, see Restricted Stock Unit discussion below. | |||||||||||||
The Company adopted the 2007 New Employee Incentive Plan (the “2007 New Employee Plan”) in October 2007. Under the 2007 New Employee Plan, the Company is authorized to issue 2,000 shares of common stock under various instruments solely to new employees. Options granted under the 2007 New Employee Plan generally expire no later than ten years from the date of grant and generally vest over a period of four years. The exercise price of all option grants must not be less than 100% of the fair market value on the date of grant. As of January 3, 2015, 1,552 shares were available for future grants under the 2007 New Employee Plan. | |||||||||||||
The Company adopted the U.S. Auto Parts Network, Inc. 2006 Equity Incentive Plan (the “2006 Plan”) in March 2006. All stock options to purchase common stock granted to employees in 2006 were granted under the 2006 Plan and had exercise prices equal to the fair value of the underlying stock, as determined by the Company’s Board of Directors on the applicable option grant date. After fiscal year 2008, no shares have been available for future grants under the 2006 Plan. | |||||||||||||
The following table summarizes the Company’s stock option activity for the fiscal year ended January 3, 2015, and details regarding the options outstanding and exercisable at January 3, 2015: | |||||||||||||
Shares | Weighted | Weighted Average | Aggregate | ||||||||||
Average | Remaining | Intrinsic Value(1) | |||||||||||
Exercise Price | Contractual | ||||||||||||
Term (in years) | |||||||||||||
Options outstanding, December 28, 2013 | 5,320 | $ | 2.97 | 6.77 | |||||||||
Granted | 840 | $ | 2.32 | ||||||||||
Exercised | (142 | ) | $ | 2.06 | |||||||||
Cancelled: | |||||||||||||
Forfeited | (511 | ) | $ | 1.7 | |||||||||
Expired | (226 | ) | $ | 6.61 | |||||||||
Options outstanding, January 3, 2015 | 5,281 | $ | 2.85 | 6.1 | $ | 1,867 | |||||||
Vested and expected to vest at January 3, 2015 | 4,884 | $ | 2.93 | 5.87 | $ | 1,686 | |||||||
Options exercisable, January 3, 2015 | 3,466 | $ | 3.3 | 4.68 | $ | 1,004 | |||||||
-1 | These amounts represent the difference between the exercise price and the closing price of U.S. Auto Parts Network, Inc. common stock on January 3, 2015 as reported on the NASDAQ Stock Market, for all options outstanding that have an exercise price currently below the closing price. | ||||||||||||
The weighted-average fair value of options granted during fiscal year 2014, 2013 and 2012 was $1.34, $1.22 and $2.53, respectively. The intrinsic value of stock options at the date of the exercise is the difference between the fair value of the stock at the date of exercise and the exercise price. During fiscal year 2014, 2013 and 2012, the total intrinsic value of the exercised options was $153, $61 and $1,244, respectively. The Company had $1,601 of unrecognized share-based compensation expense related to stock options outstanding as of January 3, 2015, which expense is expected to be recognized over a weighted-average period of 2.66 years. | |||||||||||||
Restricted Stock Units | |||||||||||||
During 2014 we granted an aggregate of 1,015 RSUs to certain employees of the Company. The RSUs were granted under the 2007 Omnibus Plan, and reduced the pool of equity instruments available under that plan. | |||||||||||||
Of the 1,015 RSU’s, 738 are time-based, which vest upon the completion of a pre-defined period of employment, ranging from one- to- two years. The remaining 277 RSUs are performance-based RSUs, the number of which that vest, if any, will be determined upon the achievement of certain pre-defined financial goals in fiscal year 2014. The vesting of each RSU is subject to the employee’s continued employment through applicable vesting dates. Some RSUs granted to certain executives may vest on an accelerated basis in part or in full upon the occurrence of certain events. The RSUs are accounted for as equity awards and are measured at fair value based upon the grant date price of the Company's common stock. The closing price of the Company's common stock on February 14, 2014, April 3, 2014, and August 1, 2014, the date of each grant, was $2.03, $2.93, and $3.17 per share, respectively. Compensation expense is recognized on a straight-line basis over the requisite service period of one-to-two years. Compensation expense for performance-based awards is measured based on the amount of shares ultimately expected to vest, estimated at each reporting date based on management’s expectations regarding the relevant performance criteria. As of January 3, 2015, the performance criteria had been met on 171 RSUs and 106 performance RSUs were forfeited. | |||||||||||||
For the fiscal year ended January 3, 2015, we recorded compensation expense of $1,345. As of January 3, 2015, there was unrecognized compensation expense of $757 related to unvested RSUs based on awards that are expected to vest. The unrecognized compensation expense is expected to be recognized over a weighted-average period of 0.9 years. | |||||||||||||
Stock Option Exchange Program | |||||||||||||
On July 9, 2013, the Company’s stockholders approved a proposed stock option exchange program for the exchange of certain outstanding stock options held by eligible employees for new options to purchase fewer shares. On August 12, 2013, the Company commenced an offering to eligible employees to voluntarily exchange certain vested and unvested stock options with exercise prices above $4.00 per share at an exchange ratio of 3.5 to 1 to be granted following the expiration of the tender offer with exercise prices equal to the fair market value of one share of the Company’s common stock on the day the new options were issued. Stock options to purchase an aggregate of 3,733 shares with exercise prices ranging from $4.01 to $11.68 were eligible for tender at the commencement of the program. The Company’s non-employee directors were not eligible to participate in the program. The terms and conditions of the new options are subject to an entirely new four year vesting schedule where 25% will vest on the first anniversary, and the remaining 75% will vest monthly over the following 36 months. All new options have a ten year contractual term. The offer period for the stock option exchange ended on September 9, 2013. | |||||||||||||
On September 10, 2013, the Company accepted for exchange 3,475 eligible options to purchase common stock, with a weighted average exercise price of $6.65 for 45 eligible employees, and issued 993 unvested options to purchase shares of the Company’s common stock with an exercise price of $0.9866, the closing price of the Company’s common stock on that day. Using the Black-Scholes option pricing model, the Company determined that the fair value of the surrendered stock options on a grant-by-grant basis was lower than the fair value of the new stock options, as of the date of the exchange, resulting in incremental fair value of $422. The incremental fair value as a result of the stock option exchange and the remaining compensation expense associated with the surrendered stock options will be recorded as compensation expense over the four year vesting period of the new options. | |||||||||||||
The fair value of the surrendered stock options and the new stock options was estimated on the date of the exchange using the Black-Scholes option pricing model with the following assumptions: | |||||||||||||
Surrendered | New | ||||||||||||
Stock Options | Stock Options | ||||||||||||
Expected life | 1.93 – 6.87 years | 5.84 years | |||||||||||
Risk-free interest rate | 0.5% – 2.4% | 2.00% | |||||||||||
Expected volatility | 55% – 73% | 72% | |||||||||||
Expected dividend yield | —% | —% | |||||||||||
Warrants | |||||||||||||
On May 5, 2009, the Company issued warrants to purchase up to 30 shares of common stock at an exercise price of $2.14 per share. On April 27, 2010, the Company issued additional warrants to purchase up to 20 shares of common stock at an exercise price of $8.32 per share. Both issuances of warrants terminate seven years after their grant date. The warrants were issued in connection with the financial advisory services provided by a consultant to the Company. No warrants were exercised as of fiscal year 2014. As of January 3, 2015, warrants to purchase 50 shares of common stock were outstanding and exercisable. The aggregate intrinsic value of outstanding and exercisable warrants was $2 as of January 3, 2015, which was calculated as the difference between the exercise price of underlying awards and the closing price of the Company’s common stock for warrants that were in-the-money. Total warrants share-based compensation expense recognized during the fiscal years ended January 3, 2015, December 28, 2013 and December 29, 2012 was $0, $0 and $16, respectively. The Company had no unrecognized share-based compensation expense related to warrants outstanding as of January 3, 2015. | |||||||||||||
Share-Based Compensation Expense | |||||||||||||
The fair value of each option grant, excluding those options issued from the stock option exchange program as discussed above, was estimated on the date of grant using the Black-Scholes option pricing model with the following assumptions for each of the periods ended: | |||||||||||||
Fiscal Year Ended | |||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | |||||||||||
Expected life | 5.30 - 5.37 years | 5.21 – 5.73 years | 5.73 years | ||||||||||
Risk-free interest rate | 2% - 2% | 1% – 2% | 1% | ||||||||||
Expected volatility | 62% - 68% | 67% – 73% | 71% – 74% | ||||||||||
Expected dividend yield | —% | —% | —% | ||||||||||
Share-based compensation from options, warrants and stock awards, is included in our consolidated statements of comprehensive operations, as follows: | |||||||||||||
Fiscal Year Ended | |||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | |||||||||||
Marketing expense | $ | 540 | $ | 285 | $ | 505 | |||||||
General and administrative expense | 1,476 | 805 | 1,119 | ||||||||||
Fulfillment expense (1) | 220 | 102 | (38 | ) | |||||||||
Technology expense | 135 | 71 | 87 | ||||||||||
Total share-based compensation expense | $ | 2,371 | $ | 1,263 | $ | 1,673 | |||||||
-1 | For the fifty-two weeks ended December 29, 2012, the negative balance was due to an adjustment of $279 related to performance stock options where the performance goal was not met or it was not probable to be met at the end of the requisite service period. | ||||||||||||
The share-based compensation expense is net of amounts capitalized to internally-developed software of $196, $220 and $252 during the fiscal year 2014, 2013 and 2012, respectively. No tax benefit was recognized for fiscal year 2014, 2013 and 2012 due to the valuation allowance position. | |||||||||||||
Under ASC 718, forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures significantly differ from those estimates. The Company’s estimated forfeiture rates are calculated based on actual historical forfeitures experienced under our equity plans. The Company's forfeiture rates were 16%-34% for fiscal years 2014, 2013 and 2012. |
Net_Loss_Per_Share
Net Loss Per Share | 12 Months Ended | |||||||||||
Jan. 03, 2015 | ||||||||||||
Earnings Per Share [Abstract] | ||||||||||||
Net Loss Per Share | Net Loss Per Share | |||||||||||
Net loss per share has been computed in accordance with ASC 260 Earnings per Share. The following table sets forth the computation of basic and diluted net loss per share: | ||||||||||||
Fiscal Year Ended | ||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | ||||||||||
Net loss per share: | ||||||||||||
Numerator: | ||||||||||||
Net loss attributable to U.S. Auto Parts | $ | (6,879 | ) | $ | (15,634 | ) | $ | (35,978 | ) | |||
Dividends on Series A Convertible Preferred Stock | (240 | ) | (184 | ) | — | |||||||
Net loss available to common shares | $ | (7,119 | ) | $ | (15,818 | ) | $ | (35,978 | ) | |||
Denominator: | ||||||||||||
Weighted-average common shares outstanding (basic and diluted) | 33,489 | 32,697 | 30,818 | |||||||||
Basic and diluted net loss per share | $ | (0.21 | ) | $ | (0.48 | ) | $ | (1.17 | ) | |||
The weighted-average anti-dilutive securities, which are excluded from the calculation of diluted earnings per share due to the Company’s net loss position for the periods then ended (including securities that would otherwise be excluded from the calculation of diluted earnings per share due the Company’s stock price), are as follows: | ||||||||||||
Fiscal Year | ||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | ||||||||||
Common stock warrants | 50 | 50 | 50 | |||||||||
Series A Convertible Preferred Stock | 4,150 | 3,145 | — | |||||||||
Options to purchase common stock | 5,467 | 6,584 | 7,642 | |||||||||
Restricted Stock Units | 796 | — | — | |||||||||
Total | 10,463 | 9,779 | 7,692 | |||||||||
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||||
Jan. 03, 2015 | ||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||
Income Taxes | Income Taxes | |||||||||||
The components of loss before income tax provision consist of the following: | ||||||||||||
Fiscal Year Ended | ||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | ||||||||||
Domestic operations | $ | (7,424 | ) | $ | (16,155 | ) | $ | (37,469 | ) | |||
Foreign operations | 476 | 564 | 554 | |||||||||
Total loss before income taxes | $ | (6,948 | ) | $ | (15,591 | ) | $ | (36,915 | ) | |||
Income tax (benefit) provision for fiscal year 2014, 2013 and 2012 consists of the following: | ||||||||||||
Fiscal Year Ended | ||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | ||||||||||
Current: | ||||||||||||
Federal tax | $ | — | $ | — | $ | — | ||||||
State tax | (15 | ) | 20 | 14 | ||||||||
Foreign tax | 78 | (37 | ) | (76 | ) | |||||||
Total current taxes | 63 | (17 | ) | (62 | ) | |||||||
Deferred: | ||||||||||||
Federal tax | (2,232 | ) | (5,260 | ) | (12,612 | ) | ||||||
State tax | (125 | ) | (1,353 | ) | (2,618 | ) | ||||||
Foreign tax | 74 | 60 | 275 | |||||||||
Total deferred taxes | (2,283 | ) | (6,553 | ) | (14,955 | ) | ||||||
Valuation allowance | 2,358 | 6,613 | 14,080 | |||||||||
Income tax (benefit) provision | $ | 138 | $ | 43 | $ | (937 | ) | |||||
Income tax (benefit) provision differs from the amount that would result from applying the federal statutory rate as follows: | ||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | ||||||||||
Income tax at U.S. federal statutory rate | $ | (2,362 | ) | $ | (5,301 | ) | $ | (12,551 | ) | |||
Share-based compensation | 33 | 43 | 38 | |||||||||
State income tax, net of federal tax effect | (143 | ) | (1,348 | ) | (2,528 | ) | ||||||
Foreign tax | 117 | 70 | (27 | ) | ||||||||
Other | 127 | (42 | ) | 51 | ||||||||
Change in valuation allowance | 2,366 | 6,621 | 14,080 | |||||||||
Effective tax (benefit) provision | $ | 138 | $ | 43 | $ | (937 | ) | |||||
For fiscal year 2014, 2013 and 2012, the effective tax rate for the Company was (2.0)%, (0.3)% and 2.5%, respectively. The Company’s effective tax rate for fiscal years presented differs from the U.S. federal rate primarily as a result of the recording valuation allowances against the Company’s deferred tax assets. | ||||||||||||
Deferred tax assets and deferred tax liabilities consisted of the following: | ||||||||||||
3-Jan-15 | 28-Dec-13 | |||||||||||
Deferred tax assets: | ||||||||||||
Inventory and inventory related allowance | $ | 1,334 | $ | 1,075 | ||||||||
Share-based compensation | 5,248 | 4,545 | ||||||||||
Amortization | 11,805 | 13,704 | ||||||||||
Sales and bad debt allowances | 472 | 583 | ||||||||||
Vacation accrual | 264 | 374 | ||||||||||
Book over tax amortization | 10 | 377 | ||||||||||
Net operating loss and AMT credit carry-forwards | 26,186 | 23,114 | ||||||||||
Other | 807 | 388 | ||||||||||
Total deferred tax assets | 46,126 | 44,160 | ||||||||||
Valuation Allowance | (45,867 | ) | (43,509 | ) | ||||||||
Net deferred tax assets | 259 | 651 | ||||||||||
Deferred tax liabilities: | ||||||||||||
Investment in subsidiary | 1,335 | — | ||||||||||
Tax over book depreciation | 79 | 784 | ||||||||||
Foreign tax withholdings | 409 | — | ||||||||||
Prepaid catalog expenses | 180 | 202 | ||||||||||
Total deferred tax liabilities | 2,003 | 986 | ||||||||||
Net deferred tax liabilities | $ | (1,744 | ) | $ | (335 | ) | ||||||
At January 3, 2015, federal and state net operating loss (“NOL”) carryforwards were $57,552 and $73,610, respectively. Federal NOL carryforwards of $2,690 were acquired in the acquisition of WAG which are subject to Internal Revenue Code section 382 and limited to an annual usage limitation of $135. Additionally, the tax benefit of $41 of the federal and state NOL carryforwards which was created by the exercise of stock options will be credited to additional paid-in-capital once recognized. Federal NOL carryforwards begin to expire in 2029, while state NOL carryforwards begin to expire in 2015. The state NOL carryforwards expire in the respective tax years as follows: | ||||||||||||
2015-2022 | $ | 40,553 | ||||||||||
2023-2032 | 33,057 | |||||||||||
Total | $ | 73,610 | ||||||||||
On October 8, 2014, AutoMD sold seven million shares of its common stock to third-party investors, reducing the Company’s ownership interest in AutoMD to 64.1%. AutoMD will no longer be included in the consolidated state and federal tax filings of the Company. As a result of the investment a deferred tax liability of $1,335 was created which reduced the increase in additional paid-in-capital which was created as a result of the investment. For the fiscal year ended January 3, 2015, the effective tax rate for AutoMD was (0.2)%. AutoMD's effective tax rate differs from the U.S. federal statutory rate primarily as a result of the recording of a $195 valuation allowance against the Company's net deferred tax assets. At January 3, 2015, AutoMD had net operating loss carryforwards (NOLs) of approximately $2,582 for federal tax purposes that begin to expire in 2031. AutoMD state NOLs were not material as of January 3, 2015. | ||||||||||||
The valuation allowance for deferred tax assets recorded during fiscal year 2014 and 2013 is based on a more likely than not threshold. The ability to realize deferred tax assets depends on the ability to generate sufficient taxable income within the carryback or carryforward periods provided for in the tax law for each applicable tax jurisdiction. We considered the following possible sources of taxable income when assessing the realization of deferred tax assets: | ||||||||||||
• | Future reversals of existing taxable temporary differences; | |||||||||||
• | Future taxable income exclusive of reversing temporary differences and carryforwards; | |||||||||||
• | Taxable income in prior carryback years; and | |||||||||||
• | Tax-planning strategies. | |||||||||||
Under the provisions of ASC 740, “Income Taxes”, management is required to evaluate whether a valuation allowance should be established against its deferred tax assets based on the consideration of all available evidence using a “more likely than not” standard. Realization of deferred tax assets is dependent upon taxable income in prior carryback years, estimates of future taxable income, tax planning strategies, and reversal of existing taxable temporary differences. ASC 740 provides that forming a conclusion that a valuation allowance is not needed is difficult when there is negative evidence such as cumulative losses in recent years or losses expected in early future years. Based on this evaluation, as of January 3, 2015, a valuation allowance of $45,867 has been recorded against our deferred tax assets. | ||||||||||||
If, in the future, we generate taxable income on a sustained basis in jurisdictions where we have recorded full valuation allowances, our conclusion regarding the need for full valuation allowances in these tax jurisdictions could change, resulting in the reversal of some or all of the valuation allowances. If our operations generate taxable income prior to reaching profitability on a sustained basis, we would reverse a portion of the valuation allowance related to the corresponding realized tax benefit for that period, without changing our conclusions on the need for a full valuation allowance against the remaining net deferred tax assets. | ||||||||||||
Included in accrued expenses are income taxes payable of $33 and $26 for the fiscal year 2014 and 2013 respectively, consisting primarily of foreign taxes. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | |||||||||||
Jan. 03, 2015 | ||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||||||
Commitments and Contingencies | Commitments and Contingencies | |||||||||||
Facilities Leases | ||||||||||||
The Company’s corporate headquarters is located in Carson, California. The Company’s corporate headquarters has an initial lease term of five years through October 2016, and optional renewals through January 2020. The Company also leases warehouse space in Chesapeake, Virginia under an agreement scheduled to expire in June 2016. The Company’s Philippines subsidiary leases office space under a sixty-three month agreement through May 2015, renewable for an additional sixty months through April 2020. As of the date hereof, the Company has not committed to any facilities lease renewals. | ||||||||||||
Facility rent expense for fiscal year ended 2014, 2013 and 2012 was $1,895, $2,150 and $2,388, respectively. The Company’s facility rent expense was inclusive of amounts charged from a related party of $378 during the fiscal year 2014 and $374 for both fiscal years 2013 and 2012. | ||||||||||||
On September 22, 2011, the Company entered into a sublease agreement for the leasing of approximately 25,000 square feet of commercial office space located in Carson, California. The Sublease has an initial term of 60 months (“Initial Term”), and commenced on November 1, 2011, effective the 42nd month of the Initial Term, we have the ability to terminate the Sublease in exchange for the payment of a termination fee and we have the option to renew through January 2020. | ||||||||||||
In January 2010, the Company’s Philippines subsidiary entered into a new lease agreement that accommodates the Company’s Philippines workforce into one office building. Under the terms of the lease agreement, effective March 1, 2010, the monthly rent will be approximately $25, and is subject to 5% annual escalation beginning on the 3rd year of the lease term and renewable for a sixty month term upon mutual agreement of both parties. | ||||||||||||
In December 2008, the Company entered into a five-year operating lease for warehouse space in Chesapeake, Virginia, which commenced in January 2009 and was initially scheduled to expire in December 2013. In July 2011, we signed a five-year extension to June 30, 2016, which also added approximately 87,000 square feet of space. The monthly base rent commitment was $60 as of January 3, 2015. | ||||||||||||
As described in detail under “Note 4 – Property and Equipment Net”, on April 17, 2013, the Company entered into a sale lease-back agreement with STORE Master Funding III, LLC (“STORE”) whereby we leased back our facility located in LaSalle, Illinois for our continued use as an office, retail and warehouse facility for storage, sale and distribution of automotive parts, accessories and related items for 20 years commencing upon the execution of the lease and terminating on April 30, 2033. The related assets for the sale lease-back land and building is represented by the amount included in leased facility in the summary above. The Company’s initial base annual rent is $853 for the first year (“Base Rent Amount”), after which the rental amount will increase annually on May 1 by the lesser of 1.5% or 1.25 times the change in the Consumer Price Index as published by the U.S. Department of Labor’s Bureau of Labor Statistics, except that in no event will the adjusted annual rental amount fall below the Base Rent Amount. We were not required to pay any security deposit. Under the terms of the lease, we are required to pay all taxes associated with the lease, pay for any required maintenance on the property, maintain certain levels of insurance and indemnify STORE for losses incurred that are related to our use or occupancy of the property. The lease was accounted for as a capital lease and the $376 excess of the net proceeds over the net carrying amount of the property is amortized in interest expense on a straight-line basis over the lease term of 20 years. As of January 3, 2015, the net carrying value of all capital leased assets included in property and equipment was $8,736. | ||||||||||||
Minimum lease commitments under non-cancelable operating leases as of January 3, 2015 are as follows: | ||||||||||||
2015 | $ | 1,279 | ||||||||||
2016 | 786 | |||||||||||
2017 | — | |||||||||||
2018 | — | |||||||||||
2019 | — | |||||||||||
Thereafter | — | |||||||||||
Total minimum lease commitments | $ | 2,065 | ||||||||||
Capital lease commitments as of January 3, 2015 were as follows: | ||||||||||||
Capital Lease | Less: Interest | Principal | ||||||||||
Commitments | Payments | Obligations | ||||||||||
2015 | $ | 1,009 | $ | 740 | $ | 269 | ||||||
2016 | 968 | 725 | 243 | |||||||||
2017 | 909 | 709 | 200 | |||||||||
2018 | 915 | 692 | 223 | |||||||||
2019 | 928 | 674 | 254 | |||||||||
2020 onwards | 13,791 | 5,441 | 8,350 | |||||||||
Total | $ | 18,520 | $ | 8,981 | $ | 9,539 | ||||||
Legal Matters | ||||||||||||
Asbestos. A wholly-owned subsidiary of the Company, Automotive Specialty Accessories and Parts, Inc. and its wholly-owned subsidiary WAG, are named defendants in several lawsuits involving claims for damages caused by installation of brakes during the late 1960’s and early 1970’s that contained asbestos. WAG marketed certain brakes, but did not manufacture any brakes. WAG maintains liability insurance coverage to protect its and the Company’s assets from losses arising from the litigation and coverage is provided on an occurrence rather than a claims made basis, and the Company is not expected to incur significant out-of-pocket costs in connection with this matter that would be material to its consolidated financial statements. | ||||||||||||
The Company is subject to legal proceedings and claims which arise in the ordinary course of its business. As of the date hereof, the Company believes that the final disposition of such matters will not have a material adverse effect on the financial position, results of operations or cash flow of the Company. The Company maintains liability insurance coverage to protect the Company’s assets from losses arising out of or involving activities associated with ongoing and normal business operations. |
Employee_Retirement_Plan_and_D
Employee Retirement Plan and Deferred Compensation Plan | 12 Months Ended |
Jan. 03, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Employee Retirement Plan and Deferred Compensation Plan | Employee Retirement Plan and Deferred Compensation Plan |
Effective February 17, 2006, the Company adopted a 401(k) defined contribution retirement plan covering all full time employees who have completed one month of service. The Company may, at its sole discretion, match fifty cents per dollar up to 6% of each participating employee’s salary. The Company’s contributions vest in annual installments over three years. Discretionary contributions made by the Company totaled $256, $266 and $324 for fiscal year 2014, 2013 and 2012, respectively. | |
In January 2010, the Company adopted the U.S. Auto Parts Network, Inc. Management Deferred Compensation Plan (the “Deferred Compensation Plan”), for the purpose of providing highly compensated employees a program to meet their financial planning needs. The Deferred Compensation Plan provides participants with the opportunity to defer up to 90% of their base salary and up to 100% of their annual earned bonus, all of which, together with the associated investment returns, are 100% vested from the outset. The Deferred Compensation Plan, which is designed to be exempt from most provisions of the Employee Retirement Security Act of 1974, is informally funded by the Company through the purchase of Company-owned life insurance policies with the Company (employer) as the owner and beneficiary, in order to preserve the tax-deferred savings advantages of a non-qualified plan. The plan assets are the cash surrender value of the Company-owned life insurance policies and not associated with the deferred compensation liability. The deferred compensation liabilities (consisting of employer contributions, employee deferrals and associated earnings and losses) are general unsecured obligations of the Company. Liabilities under the Deferred Compensation Plan are recorded at amounts due to participants, based on the fair value of participants’ selected investments. The Company may at its discretion contribute certain amounts to eligible employee accounts. In January 2010, the Company began to contribute 50% of the first 2% of participants’ eligible contributions into their Deferred Compensation Plan accounts. In September 2010, the Company established and transferred its ownership to a rabbi trust to hold the Company-owned life insurance policies. As of January 3, 2015, the assets and associated liabilities of the Deferred Compensation Plan were $854 and $749, respectively, and were $876 and $838, respectively, as of December 28, 2013 and are included in other non-current assets, other current liabilities and other non-current liabilities in our consolidated balance sheets. For fiscal year 2014, the change in the associated liabilities include the employee contributions of $127, the Company contributions of $32 and earnings of $43, offset by distributions of $291. For fiscal year 2013, the associated liabilities primarily include the employee contributions of $126 and the Company contributions of $38 and earnings of $104, offset by distributions of $82. For fiscal year 2014, included in other income, the Company recorded a net loss of $22 for the change in the cash surrender value of the Company-owned life insurance policies. For fiscal year 2013, included in other income, the Company recorded a net gain of $73 for the change in the cash surrender value of the Company-owned life insurance policies. |
Restructuring_Costs
Restructuring Costs | 12 Months Ended | |||
Jan. 03, 2015 | ||||
Restructuring and Related Activities [Abstract] | ||||
Restructuring Costs | Restructuring Costs | |||
Fiscal 2014 | ||||
On June 25, 2014, the Company committed to a plan to permanently close its distribution facility located in Carson, California (the “Carson Distribution Facility”) effective July 25, 2014. The Company consolidated the Carson Distribution Facility’s distribution and warehousing operations into the Company’s existing distribution facilities located in LaSalle, Illinois and Chesapeake, Virginia. This consolidation was part of the Company’s continued efforts for simplification and improved efficiencies. The closure of the Carson Distribution Facility resulted in a head count reduction of approximately 77 employees. | ||||
The following table summarizes the charges related to the restructure recognized during the fiscal year ended January 3, 2015: | ||||
Employee severance | $ | 526 | ||
Accounts receivable allowance | 73 | |||
Relocation costs (employee and equipment) | 127 | |||
Inventory transfers | 411 | |||
Total restructuring costs | $ | 1,137 | ||
Substantially all of the unsold inventory in the Carson Distribution Facility on the date of closure was moved to the remaining two warehouses. Costs related to inventory transfers were recorded to cost of sales. A charge for $130 was taken for inventory that was not deemed economical to transfer. Additionally, due to expected future capacity constraints, the Company reduced the sales price of certain inventory resulting in a charge of $767. The aggregate charge of $897 was recorded to cost of sales. The severance charges and relocation costs were included in fulfillment expense. Severance charges were reduced by $26 in the fourth quarter of 2014 as certain employees were able to find employment before they became eligible for severance benefits. As of January 3, 2015, there was no severance payable. | ||||
Fiscal 2013 | ||||
In the first half of 2013, we laid off 13 employees in the United States and 163 employees in the Philippines reducing our workforce by a total of 176 employees in the first quarter of 2013 and 15 employees in the second quarter of 2013. For the fiscal year ended December 28, 2013, the severance charges of approximately $723 were recorded in marketing expense, general and administrative expense, fulfillment expense and technology expense for $394, $109, $58 and $162, respectively. As of December 28, 2013, there was no severance payable and there were no adjustments made to severance payable during the fiscal year ended December 28, 2013. | ||||
Fiscal 2012 | ||||
In August 2012, we closed our call center in LaSalle, Illinois and reduced our workforce by 71 people resulting in severance charges of approximately $640 recorded in marketing expense, fulfillment expense and technology expense of $396, $228 and $16, respectively. | ||||
All restructuring costs incurred in fiscal years 2014, 2013 and 2012 are included in the Base USAP reportable segment. |
RelatedParty_Transactions
Related-Party Transactions | 12 Months Ended |
Jan. 03, 2015 | |
Related Party Transactions [Abstract] | |
Related-Party Transactions | Related-Party Transactions |
The Company leased its Carson warehouse from Nia Chloe, LLC (“Nia Chloe”), a member of which, Sol Khazani, is one of our board of directors. Lease payments and expenses associated with this related party arrangement totaled $378 for fiscal year 2014 and $374 each for fiscal years 2013 and 2012. The lease expired during fiscal 2014 and was not renewed. | |
On October 8, 2014, Oak Investment Partners XI, L.P. ("Oak") and the Sol Khazani Living Trust ("Trust") purchased 1,500,000 and 500,000 shares of AutoMD common stock, respectively, at a purchase price of $1.00 per share. Fredric W. Harman and Sol Khazani, each a current director of the Company, are affiliated with Oak and the Trust, respectively. | |
The Company has entered into indemnification agreements with the Company’s directors and executive officers. These agreements require the Company to indemnify these individuals to the fullest extent permitted under law against liabilities that may arise by reason of their service to the Company, and to advance expenses incurred as a result of any proceeding against them as to which they could be indemnified. |
Quarterly_Information_Unaudite
Quarterly Information (Unaudited) | 12 Months Ended | |||||||||||||||||||||||||||||||
Jan. 03, 2015 | ||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||||||||||||||||||
Quarterly Information (Unaudited) | Quarterly Information (Unaudited) | |||||||||||||||||||||||||||||||
The following quarterly information (in thousands, except per share data) includes all adjustments which management considers necessary for a fair presentation of such information. For interim quarterly financial statements, the provision for income taxes is estimated using the best available information for projected results for the entire year. | ||||||||||||||||||||||||||||||||
Quarter Ended | Quarter Ended | |||||||||||||||||||||||||||||||
March 29, 2014 | June 28, 2014 (1) | Sep. 27, 2014 (2) | Jan. 3, 2015 (3) | March 30, | June 29, | Sep. 28, | Dec. 28, | |||||||||||||||||||||||||
2013 (4) | 2013 (5) | 2013 | 2013 | |||||||||||||||||||||||||||||
Consolidated Statement of Income Data: | ||||||||||||||||||||||||||||||||
Net sales | $ | 68,028 | $ | 76,947 | $ | 67,965 | $ | 70,568 | $ | 65,405 | $ | 67,889 | $ | 61,724 | $ | 59,735 | ||||||||||||||||
Gross profit | 20,701 | 20,420 | 18,414 | 18,915 | 19,738 | 19,013 | 17,907 | 17,475 | ||||||||||||||||||||||||
Income (loss) from operations | 495 | (1,939 | ) | (2,216 | ) | (2,252 | ) | (3,142 | ) | (9,342 | ) | (1,246 | ) | (1,037 | ) | |||||||||||||||||
Income (loss) before income taxes | 233 | (2,159 | ) | (2,479 | ) | (2,543 | ) | (3,322 | ) | (9,498 | ) | (1,398 | ) | (1,373 | ) | |||||||||||||||||
Net income (loss) | 201 | (2,180 | ) | (2,494 | ) | (2,613 | ) | (3,343 | ) | (9,567 | ) | (1,399 | ) | (1,325 | ) | |||||||||||||||||
Net loss attributable to noncontrolling interests | — | — | — | (207 | ) | — | — | — | — | |||||||||||||||||||||||
Net loss attributable to U.S. Auto Parts | $ | 201 | $ | (2,180 | ) | $ | (2,494 | ) | $ | (2,406 | ) | $ | (3,343 | ) | $ | (9,567 | ) | $ | (1,399 | ) | $ | (1,325 | ) | |||||||||
Basic and diluted net income (loss) per share as reported and adjusted | $ | 0 | $ | (0.07 | ) | $ | (0.08 | ) | $ | (0.07 | ) | $ | (0.11 | ) | $ | (0.29 | ) | $ | (0.04 | ) | $ | (0.04 | ) | |||||||||
Shares used in computation of basic net income (loss) per share as reported and adjusted | 33,384 | 33,460 | 33,532 | 33,573 | 31,141 | 33,119 | 33,218 | 33,308 | ||||||||||||||||||||||||
Shares used in computation of diluted net income (loss) per share as reported and adjusted | 34,158 | 33,460 | 33,532 | 33,573 | 31,141 | 33,119 | 33,218 | 33,308 | ||||||||||||||||||||||||
-1 | Included restructuring charges of $625. | |||||||||||||||||||||||||||||||
-2 | Included restructuring charges of $410. | |||||||||||||||||||||||||||||||
-3 | Included restructuring charges of $102. | |||||||||||||||||||||||||||||||
-4 | Included restructuring charges of $498. | |||||||||||||||||||||||||||||||
-5 | Included impairment loss on property and equipment and intangible assets of $4,832 and $1,245, respectively, and restructuring charges of $225. |
Segment_Information
Segment Information | 12 Months Ended | |||||||||||
Jan. 03, 2015 | ||||||||||||
Segment Reporting [Abstract] | ||||||||||||
Segment Information | Segment Information | |||||||||||
As described in Note 1 above, the Company operates in two reportable segments identified as Base USAP, which is the core auto parts business, and AutoMD, an online automotive repair source of which the Company is a majority stockholder. Segment information is prepared on the same basis that our chief executive officer, who is our chief operating decision maker, manages the segments, evaluates financial results, and makes key operating decisions. Management evaluates the performance of its operating segments based on net sales, gross profit and loss from operations. The accounting policies of the operating segments are the same as those described in Note 1. Operating income represents earnings before other income, interest expense and income taxes. The identifiable assets by segment disclosed in this note are those assets specifically identifiable within each segment. | ||||||||||||
Summarized segment information for our continuing operations from the two reportable segments for the periods presented is as follows (in thousands): | ||||||||||||
Base USAP | AutoMD | Consolidated | ||||||||||
Fiscal year ended January 3, 2015 | ||||||||||||
Net sales | $ | 283,211 | $ | 297 | $ | 283,508 | ||||||
Gross profit | 78,153 | 297 | 78,450 | |||||||||
Operating costs (1) | 81,887 | 2,475 | 84,362 | |||||||||
Loss from operations | (3,734 | ) | (2,178 | ) | (5,912 | ) | ||||||
Capital expenditures | 4,237 | 1,319 | 5,556 | |||||||||
Depreciation and amortization | 7,230 | 1,693 | 8,923 | |||||||||
Total assets, net of accumulated depreciation | 74,414 | 8,493 | 82,907 | |||||||||
Fiscal year ended December 28, 2013 | ||||||||||||
Net sales | $ | 254,422 | $ | 331 | $ | 254,753 | ||||||
Gross profit | 73,802 | 331 | 74,133 | |||||||||
Operating costs (1) | 86,579 | 2,321 | 88,900 | |||||||||
Loss from operations | (12,777 | ) | (1,990 | ) | (14,767 | ) | ||||||
Capital expenditures | 6,297 | 2,028 | 8,325 | |||||||||
Depreciation and amortization | 10,676 | 1,499 | 12,175 | |||||||||
Total assets, net of accumulated depreciation | 67,039 | 2,143 | 69,182 | |||||||||
Fiscal year ended December 29, 2012 | ||||||||||||
Net sales | $ | 303,667 | $ | 350 | $ | 304,017 | ||||||
Gross profit | 91,288 | 350 | 91,638 | |||||||||
Operating costs (1) | 125,048 | 2,380 | 127,428 | |||||||||
Loss from operations | (33,760 | ) | (2,030 | ) | (35,790 | ) | ||||||
Capital expenditures | 8,547 | 1,608 | 10,155 | |||||||||
Depreciation and amortization | 13,475 | 1,729 | 15,204 | |||||||||
Total assets, net of accumulated depreciation | 86,818 | 2,059 | 88,877 | |||||||||
-1 | Operating costs for AutoMD primarily consist of depreciation on fixed assets and personnel costs. |
AutoMD
AutoMD | 12 Months Ended |
Jan. 03, 2015 | |
Noncontrolling Interest [Abstract] | |
AutoMD | AutoMD |
On October 8, 2014, AutoMD entered into a Common Stock Purchase Agreement ("Purchase Agreement") to sell an aggregate of seven million shares of AutoMD common stock at a purchase price of $1.00 per share to third-party investors and investors that are affiliated with two of our board members. The Company retained 64.1% of AutoMD's outstanding common stock, and will continue to consolidate AutoMD. | |
In connection with the sale of the shares of AutoMD, the Company recorded an increase to additional paid-in-capital of $2,534. This amount is equal to the increase in the Company’s interest in the net assets of AutoMD, resulting from this sale of common shares ($3,847), less the related deferred tax liability of $1,313. Refer to “Note 9- Income Taxes” for additional details. | |
In connection with the sale of the shares, the non-controlling shareholders received certain demand and piggyback registration rights. Additionally, pursuant to the terms of the Purchase Agreement, the Company may be required to purchase two million shares of AutoMD common stock at a purchase price of $1.00 per share, with such purchase to be triggered, if applicable, if as of October 8, 2015and October 8, 2016, AutoMD does not meet a required minimum number of approved auto repair shops submitting a quotation on AutoMD’s website (Registered Repair Shops) , or separately if at anytime during the two years following the closing date AutoMD fails to meet specified minimum cash balances and minimum numbers of Registered Repair shops. The Purchase Agreement also limits the use of the $7 million in proceeds from the sale of AutoMD common stock to only general operating purposes of AutoMD. The Company cannot use or borrow any of the proceeds without the approval of AutoMD's Board of Directors. | |
In addition to the Purchase Agreement, AutoMD entered into an Investor Rights Agreement. In addition to certain demand and piggyback registration rights, the agreement includes restrictions on transfers or dilutive transactions involving AutoMD common stock. Prior to October 8, 2017, the Company shall not transfer shares of AutoMD owned by U.S. Auto Parts or enter into any transaction or arrangement (including, without limitation, any sale, gift, merger or consolidation) that would result in U.S. Auto Parts owning, at any time, less than 50% of the shares of capital stock of the Company without the prior written consent of shareholders. In the event of a proposed transfer or dilutive transaction for which any shareholder does not provide its written consent, in the alternative, upon not less than 30 days prior written notice to such non-consenting party, the Company may elect, at its sole option, to purchase all shares of the AutoMD common stock then owned by any non-consenting shareholder at a purchase price equal to $1.00 per share (as adjusted for any stock combinations, splits, recapitalizations, etc.) plus an annual rate of 10% thereon, compounded annually. |
Subsequent_Events
Subsequent Events | 12 Months Ended | |
Jan. 03, 2015 | ||
Subsequent Events [Abstract] | ||
Subsequent Events | Subsequent Events | |
On January 5, 2015, the Company and JPMorgan Chase Bank, N.A. (“JPMorgan”) entered into a Sixth Amendment to Credit Agreement and Second Amendment to Pledge and Security Agreement (the “Amendment”), which amended the Credit Agreement previously entered into by the Company, certain of its domestic subsidiaries and JPMorgan on April 26, 2012 (as amended, the “Credit Agreement”) and the Pledge and Security Agreement previously entered into by the Company, certain of its domestic subsidiaries and JPMorgan on April 26, 2012. By its terms, the Amendment is retroactively effective to January 2, 2015. Pursuant to the Amendment, the following amendments to the Credit Agreement were made, among others: | ||
• | The net orderly liquidation value inventory advance rate was increased from 85% to 90%. | |
• | The Company’s required excess availability related to the “Covenant Testing Trigger Period” (as defined under the Credit Agreement) under the revolving commitment under the Credit Agreement was reduced to less than $2,000 from less than $4,000 for the period commencing on any day that excess availability is less than $2,000 and continuing until excess availability has been greater than or equal to $2,000 for 45 consecutive days. | |
• | The period during which the Company is subject to a fixed charge coverage ratio begins after June 30, 2016 and the applicable testing period would begin for a 5 month period ending May 31, 2016 or fiscal year 2016 rather than a trailing twelve month period. The full trailing twelve month testing period would begin with the twelve month period ending December 31, 2016. | |
• | Certain negative covenants applicable to the Company and AutoMD, a subsidiary of the Company, related to certain contractual and financial tests to permit the Company and AutoMD to consummate certain obligations set forth in the agreements entered into by the Company and AutoMD on October 8, 2014 (the “Financing Documents”) in connection with the sale of AutoMD common stock to certain investors (the “AutoMD Financing”) have been revised where the availability requirements are no longer applicable until after June 30, 2016 and further revised reducing the availability requirement to $2,000 before and after giving effect to the consummation of such obligations. | |
• | The trigger, requiring the Company to provide certain reports under the Credit Agreement, relating to excess availability under the revolving commitment under the Credit Agreement, has been reduced to less than $4,000 from less than $6,000 and continuing until excess availability has been greater than or equal to $4,000 for 45 consecutive days. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies and Nature of Operations (Policies) | 12 Months Ended |
Jan. 03, 2015 | |
Accounting Policies [Abstract] | |
Fiscal Year | The Company’s fiscal year is based on a 52/53 week fiscal year ending on the Saturday closest to December 31. The fiscal year ended January 3, 2015 (fiscal year 2014) is a 53 week period and the fiscal years ended December 28, 2013 (fiscal year 2013) and December 29, 2012 (fiscal year 2012) are 52 week periods. |
Principles of Consolidation | The consolidated financial statements include the accounts of the Company, its wholly-owned subsidiaries and its subsidiaries in which it has a controlling interest. On October 8, 2014, AutoMD, Inc. ("AutoMD") sold seven million shares of its common stock to third-party investors, reducing the Company’s ownership interest in AutoMD to 64.1%. The 35.9% of AutoMD controlled by third-party investors is being reported as a noncontrolling interest. The Company reports noncontrolling interests in consolidated entities as a component of equity separate from the Company’s equity. All inter-company transactions between and among the Company and its consolidated subsidiaries have been eliminated in consolidation. |
Basis of Presentation | During fiscal year 2014, the Company’s revenues increased 11.3% from fiscal Year 2013 after having decreased in fiscal year 2013 by 16.2% from fiscal year 2012. In Fiscal Year 2014, the Company incurred a net loss of $6,879, after incurring net losses of $15,634 and $35,978 in Fiscal Years 2013 and 2012, respectively. Based on our current operating plan, we believe that our existing cash, cash equivalents, investments, cash flows from operations and available debt financing will be sufficient to finance our operational cash needs through at least the next twelve months. When compared to fiscal year 2014, we expect our revenues to increase and our net loss to be lower in fiscal year 2015. Should the Company’s operating results not meet expectations in 2015, it could negatively impact our liquidity as we may not be able to provide positive cash flows from operations in order to meet our working capital requirements. We may need to borrow additional funds from our credit facility, which under certain circumstances may not be available, sell assets or seek additional equity or additional debt financing in the future. There can be no assurance that we would be able to raise such additional financing or engage in such additional asset sales on acceptable terms, or at all. If revenues were to decline and the net loss is larger or continues for longer than we expect because our strategies to return to profitability are not successful or otherwise, and if we are not able to raise adequate additional financing or proceeds from asset sales to continue to fund our ongoing operations, we will need to defer, reduce or eliminate significant planned expenditures, restructure or significantly curtail our operations. |
Use of Estimates | The preparation of financial statements in conformity with U.S. 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. Significant estimates made by management include, but are not limited to, those related to revenue recognition, uncollectible receivables, the valuation of investments, valuation of inventory, valuation of deferred tax assets and liabilities, valuation of intangible assets including goodwill and other long-lived assets, recoverability of software development costs, contingencies and share-based compensation expense that results from estimated grant date fair values and vesting of issued equity awards. Actual results could differ from these estimates. |
Statement of Cash Flows | The net change in the Company’s book overdraft is presented as an operating activity in the consolidated statement of cash flows. The book overdraft represents a credit balance in the Company’s general ledger but the Company has a positive bank account balance. |
Cash and Cash Equivalents | The Company considers all money market funds and short-term investments purchased with original maturities of ninety days or less to be cash equivalents. |
Fair Value of Financial Instruments | Financial instruments that are not measured at fair value include accounts receivable, accounts payable and debt. Refer to “Note 3 – Fair Value Measurements” for additional fair value information. If the Company’s revolving loan payable (see “Note 6 – Borrowings”) had been measured at fair value, it would be categorized in Level 2 of the fair value hierarchy, as the estimated value would be based on the quoted market prices for the same or similar issues or on the current rates available to the Company for debt of the same or similar terms. The carrying values of cash and cash equivalents, accounts receivable and accounts payable approximate fair value at January 3, 2015 and December 28, 2013 due to their short-term maturities. Marketable securities and investments are carried at fair value, as discussed below. Based on the borrowing rates currently available to the Company for bank loans with similar terms and average maturities, the fair value of our revolving loan payable, classified as current liability in our consolidated balance sheet, approximates its carrying amount because the interest rate is variable. |
Accounts Receivable and Concentration of Credit Risk | Accounts receivable are stated net of allowance for doubtful accounts. The allowance for doubtful accounts is determined primarily on the basis of past collection experience and general economic conditions. The Company determines terms and conditions for its customers primarily based on the volume purchased by the customer, customer creditworthiness and past transaction history. |
Concentrations of credit risk are limited to the customer base to which the Company’s products are sold. The Company does not believe significant concentrations of credit risk exist. | |
Investments and Other-Than-Temporary Impairment | Investments |
Investments are comprised of closed-end funds primarily invested in mutual funds that hold government bonds and stock and short-term money market funds. Mutual funds are classified as short-term investments available-for-sale and recorded at fair market value, based on quoted prices of identical assets that are trading in active markets as of the end of the period for which the values are determined. | |
Other-Than-Temporary Impairment | |
All of the Company’s marketable securities and investments are subject to a periodic impairment review. The Company recognizes an impairment charge when a decline in the fair value of its investments below the cost basis is judged to be other-than-temporary. The Company considers various factors in determining whether to recognize an impairment charge, including the length of time and extent to which the fair value has been less than the Company’s cost basis, the financial condition and near-term prospects of the investee, and the Company’s intent and ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in the market value. | |
Inventory | Inventories consist of finished goods available-for-sale and are stated at the lower of cost or market value, determined using the first-in first-out (“FIFO”) method. The Company purchases inventory from suppliers both domestically and internationally, and routinely enters into supply agreements with U.S.–based suppliers and its primary drop-ship vendors. The Company believes that its products are generally available from more than one supplier and seeks to maintain multiple sources for its products, both internationally and domestically. The Company primarily purchases products in bulk quantities to take advantage of quantity discounts and to ensure inventory availability. Inventory is reported at the lower of cost or market, adjusted for slow moving, obsolete or scrap product. |
Website and Software Development Costs | The Company capitalizes certain costs associated with website and software developed for internal use according to ASC 350-50 Intangibles – Goodwill and Other – Website Development Costs and ASC 350-40 Intangibles – Goodwill and Other – Internal-Use Software, when both the preliminary project design and testing stage are completed and management has authorized further funding for the project, which it deems probable of completion and to be used for the function intended. Capitalized costs include amounts directly related to website and software development such as payroll and payroll-related costs for employees who are directly associated with, and who devote time to, the internal-use software project. Capitalization of such costs ceases when the project is substantially complete and ready for its intended use. These amounts are amortized on a straight-line basis over two to three years once the software is placed into service. |
Long-Lived Assets and Intangibles Subject to Amortization | The Company accounts for the impairment and disposition of long-lived assets, including intangibles subject to amortization, in accordance with ASC 360 Property, Plant and Equipment (“ASC 360”). Management assesses potential impairments whenever events or changes in circumstances indicate that the carrying value of an asset or asset group may not be recoverable. An impairment loss will result when the carrying value exceeds the undiscounted cash flows estimated to result from the use and eventual disposition of the asset or asset group. Impairment losses will be recognized in operating results to the extent that the carrying value exceeds the discounted future cash flows estimated to result from the use and eventual disposition of the asset or asset group. The Company continually uses judgment when applying these impairment rules to determine the timing of the impairment tests, undiscounted cash flows used to assess impairments, and the fair value of a potentially impaired asset or asset group. The reasonableness of our judgments could significantly affect the carrying value of our long-lived assets. |
Goodwill and Indefinite-Lived Intangibles | The Company accounts for goodwill under the guidance set forth in ASC Topic 350- Intangibles – Goodwill and Other (“ASC 350”), which specifies that goodwill and indefinite-lived intangibles should not be amortized. The Company has historically evaluated goodwill and indefinite-lived intangibles for impairment on an annual basis or more frequently if events or circumstances occur that would indicate a reduction in fair value. The goodwill impairment test is a two-step impairment test. The first step compares the fair value of each reporting unit with its carrying amount including goodwill. The Company estimates the fair value of the reporting unit based on the income approach, which utilizes discounted future cash flows. Assumptions critical to the fair value estimates under the discounted cash flow model include discount rates, cash flow projections, projected long-term growth rates and the determination of terminal values. The market approach is used as a test of reasonableness to corroborate the income approach. The market approach utilized market multiples of invested capital from publicly traded companies in similar lines of business. The market multiples from invested capital include revenues, total assets, book equity plus debt and EBITDA. |
During the fourth quarter of 2012, the Company identified adverse events related to the Company’s overall financial performance, including the continued downward trend in the Company’s revenues and negative cash flows from operations, | |
and a sustained decline in the Company’s share price, that would more likely than not reduce the fair value of our reporting units below their carrying amounts. The excess of carrying value over fair value for our reporting unit as of October 31, 2012, the annual testing date, was approximately $21,843. If the carrying amount exceeds the estimated fair value, then the second step of the impairment test is performed to measure the amount of any impairment loss and the impairment losses will be recognized in operating results. Therefore, the Company performed the second step of the goodwill impairment test to measure the amount of impairment loss. The second step compares the implied fair value of goodwill with the carrying amount of goodwill. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination. The excess of the fair value of a reporting unit over the amounts assigned to its assets and liabilities is the implied fair value of goodwill. Based on its analysis, the Company recognized an impairment loss on goodwill of $18,854, which represented its carrying value as of October 31, 2012. For indefinite lived intangible assets, the Company utilized the royalty savings method to determine the fair value of the trade name intangible assets using a discounted rate of 15.0% and royalty rate of 0.1% for fiscal year 2012. During the fourth quarter of 2012, we recorded an impairment loss on indefinite lived intangible assets totaling $3,868. As a result of the impairment losses taken in fiscal year 2012, the Company did not have any goodwill or indefinite-lived intangibles on its balance sheet in fiscal year 2013. In addition, all the remaining indefinite lived intangibles were reclassified as definite lived intangibles and subject to amortization. Refer to “Note 3- Fair Value Measurements” and “Note 5 – Intangible Assets, net” for additional details. | |
Deferred Catalog Expenses | Deferred catalog expenses consist of third-party direct costs including primarily creative design, paper, printing, postage and mailing costs for all Company direct response catalogs. Such costs are capitalized as deferred catalog expenses and are amortized over their expected future benefit period. Each catalog is fully amortized within nine months. Deferred catalog expenses are included in other current assets |
Deferred Financing Costs | Deferred financing costs are being amortized over the life of the loan using the straight-line method as it is not significantly different from the effective interest method. |
Revenue Recognition | The Company recognizes revenue from product sales and shipping revenues, net of promotional discounts and return allowances, when the following revenue recognition criteria are met: persuasive evidence of an arrangement exists, both title and risk of loss or damage have transferred, delivery has occurred, the selling price is fixed or determinable, and collectability is reasonably assured. The Company retains the risk of loss or damage during transit, therefore, revenue from product sales is recognized at the delivery date to customers. Return allowances, which reduce product revenue by the Company’s best estimate of expected product returns, are estimated using historical experience. |
Revenue from sales of advertising is recorded when performance requirements of the related advertising program agreement are met. For each of the fiscal years ended 2014, 2013 and 2012, the advertising revenue represented approximately 1%, of our total revenue. | |
The Company evaluates the criteria of ASC 605-45 Revenue Recognition Principal Agent Considerations in determining whether it is appropriate to record the gross amount of product sales and related costs or the net amount earned as commissions. Generally, when the Company is the primary party obligated in a transaction, the Company is subject to inventory risk, has latitude in establishing prices and selecting suppliers, or has several but not all of these indicators, revenue is recorded at gross. | |
Payments received prior to the delivery of goods to customers are recorded as deferred revenue. | |
The Company periodically provides incentive offers to its customers to encourage purchases. Such offers include current discount offers, such as percentage discounts off current purchases and other similar offers. Current discount offers, when accepted by the Company’s customers, are treated as a reduction to the purchase price of the related transaction. | |
Sales discounts are recorded in the period in which the related sale is recognized. Sales return allowances are estimated based on historical amounts and are recorded upon recognizing the related sales. Credits are issued to customers for returned products. | |
Cost of Sales | Cost of sales consists of the direct costs associated with procuring parts from suppliers and delivering products to customers. These costs include direct product costs, outbound freight and shipping costs, warehouse supplies and warranty costs, partially offset by purchase discounts and cooperative advertising. Total freight and shipping expense included in cost of sales for fiscal year 2014, 2013 and 2012 was $40,428, $34,182, and $39,702, respectively. Depreciation and amortization expenses are excluded from cost of sales and included in marketing, general and administrative and fulfillment expenses as noted below. |
Warranty Costs | The Company or the vendors supplying its products provide the Company’s customers limited warranties on certain products that range from 30 days to lifetime. In most cases, the Company’s vendors are the party primarily responsible for warranty claims. Standard product warranties sold separately by the Company are recorded as deferred revenue and recognized ratably over the life of the warranty, ranging from one to five years. The Company also offers extended warranties that are imbedded in the price of selected private label products we sell. The product brands that include the extended warranty coverage are offered at three different service levels: (a) a five year unlimited product replacement, (b) a five year one-time product replacement, and (c) a three year one-time product replacement. Warranty costs relating to merchandise sold under warranty not covered by vendors are estimated and recorded as warranty obligations at the time of sale based on each product’s historical return rate and historical warranty cost. The standard and extended warranty obligations are recorded as warranty liabilities and included in other current liabilities in the consolidated balance sheets. |
Marketing Expense | Marketing costs, including advertising, are expensed as incurred. The majority of advertising expense is paid to internet search engine service providers and internet commerce facilitators. For fiscal year 2014, 2013 and 2012, the Company recognized advertising costs of $18,485, $16,619 and $21,068, respectively. Marketing costs also include depreciation and amortization expense and share-based compensation expense. |
General and Administrative Expense | General and administrative expense consists primarily of administrative payroll and related expenses, merchant processing fees, legal and professional fees and other administrative costs. General and administrative expense also includes depreciation and amortization expense and share-based compensation expense. |
Fulfillment Expense | Fulfillment expense consists primarily of payroll and related costs associated with warehouse employees and the Company’s purchasing group, facilities rent, building maintenance, depreciation and other costs associated with inventory management and wholesale operations. Fulfillment expense also includes share-based compensation expense. |
Technology Expense | Technology expense consists primarily of payroll and related expenses of our information technology personnel, the cost of hosting the Company’s servers, communications expenses and Internet connectivity costs, computer support and software development amortization expense. Technology expense also includes share-based compensation expense. |
Share-Based Compensation | The Company accounts for share-based compensation in accordance with ASC 718 Compensation – Stock Compensation (“ASC 718”). All share-based payment awards issued to employees are recognized as share-based compensation expense in the financial statements based on their respective grant date fair values, and are recognized within the statement of comprehensive income or loss as marketing, general and administrative, fulfillment or technology expense, based on employee departmental classifications. Under this standard, compensation expense for both time-based and performance-based restricted stock units is based on the closing stock price of our common shares on the date of grant, and is recognized on a straight-line basis over the requisite service period. Compensation expense for performance-based awards is measured based on the amount of shares ultimately expected to vest, estimated at each reporting date based on management’s expectations regarding the relevant performance criteria. Compensation expense for stock options is based on the fair value estimated on the date of grant using an option pricing model that meets certain requirements, and is recognized over the vesting period of three to four years. The Company currently uses the Black-Scholes option pricing model to estimate the fair value of share-based payment awards for such stock options, which is affected by the Company’s stock price and a number of assumptions, including expected volatility, expected life, risk-free interest rate and expected dividends. |
The Company incorporates its own historical volatility into the grant-date fair value calculations for the stock options. The expected term of an award is based on combining historical exercise data with expected weighted time outstanding. Expected weighted time outstanding is calculated by assuming the settlement of outstanding awards is at the midpoint between the remaining weighted average vesting date and the expiration date. The risk-free interest rate assumption is based on observed interest rates appropriate for the expected life of awards. The dividend yield assumption is based on the Company’s expectation of paying no dividends on its common stock. Forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures significantly differ from those estimates. The Company considers many factors when estimating expected forfeitures, including employee class, economic environment, and historical experience. | |
The Company accounts for equity instruments issued in exchange for the receipt of services from non-employee directors in accordance with the provisions of ASC 718. The Company accounts for equity instruments issued in exchange for the receipt of goods or services from other than employees in accordance with ASC 505-50 Equity-Based Payments to Non-Employees. Costs are measured at the estimated fair market value of the consideration received or the estimated fair value of the equity instruments issued, whichever is more reliably measurable. The value of equity instruments issued for consideration other than employee services is determined on the earlier of a performance commitment or completion of performance by the provider of goods or services. Equity instruments awarded to non-employees are periodically re-measured as the underlying awards vest unless the instruments are fully vested, immediately exercisable and non-forfeitable on the date of grant. | |
The Company accounts for modifications to its share-based payment awards in accordance with the provisions of ASC 718. Incremental compensation cost is measured as the excess, if any, of the fair value of the modified award over the fair value of the original award immediately before its terms are modified, measured based on the share price and other pertinent factors at that date, and is recognized as compensation cost on the date of modification (for vested awards) or over the remaining service (vesting) period (for unvested awards). Any unrecognized compensation cost remaining from the original award is recognized over the vesting period of the modified award. | |
Other Income, net | Other income, net consists of miscellaneous income or expense such as gains/losses from disposition of assets, and interest income comprised primarily of interest income on investments. |
Interest Expense | Interest expense consists primarily of interest expense on our outstanding loan balance, deferred financing cost amortization, and capital lease interest. |
Income Taxes | The Company accounts for income taxes in accordance with ASC 740 Income Taxes (“ASC 740”). Under ASC 740, deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amount of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. When appropriate, a valuation allowance is established to reduce deferred tax assets, which include tax credits and loss carry forwards, to the amount that is more likely than not to be realized. In making such determination, the Company considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, future taxable income exclusive of reversing temporary differences and carryforwards, taxable income in prior carryback years, tax planning strategies and recent financial operations. |
The Company utilizes a two-step approach to recognizing and measuring uncertain tax positions. The first step is to evaluate the tax position for recognition by determining if the weight of available evidence indicates it is more likely than not that the position will be sustained on audit, including resolution of related appeals or litigation processes. The second step is to measure the tax benefit as the largest amount which is more than 50% likely of being realized upon ultimate settlement. The Company considers many factors when evaluating and estimating our tax positions and tax benefits, which may require periodic adjustments and which may not accurately forecast actual outcomes. | |
Taxes Collected from Customers and Remitted to Governmental Authorities | We present taxes collected from customers and remitted to governmental authorities on a net basis in accordance with the guidance on ASC 605-45-50-3 Taxes Collected from Customers and Remitted to Governmental Authorities. |
Leases | The Company analyzes lease agreements for operating versus capital lease treatment in accordance with ASC 840 Leases. Rent expense for leases designated as operating leases is expensed on a straight-line basis over the term of the lease. For capital leases, the present value of future minimum lease payments at the inception of the lease is reflected as a capital lease asset and a capital lease payable in the consolidated balance sheets. Amounts due within one year are classified as current liabilities and the remaining balance as non-current liabilities. |
Foreign Currency Translation | For each of the Company’s foreign subsidiaries, the functional currency is its local currency. Assets and liabilities of foreign operations are translated into U.S. dollars using the current exchange rates, and revenues and expenses are translated into U.S. dollars using average exchange rates. The effects of the foreign currency translation adjustments are included as a component of accumulated other comprehensive income or loss in the Company’s consolidated balance sheets. |
Comprehensive Income | The Company reports comprehensive income or loss in accordance with ASC 220 Comprehensive Income. Accumulated other comprehensive income or loss, included in the Company’s consolidated balance sheets, includes foreign currency translation adjustments related to the Company’s foreign operations, and unrealized holding gains and losses from available-for-sale marketable securities and investments. The Company presents the components of net income or loss and other comprehensive income or loss in its consolidated statements of comprehensive operations. |
Segment Data | The Company operates in two reportable operating segments. The criteria we use to identify operating segments are primarily the nature of the products we sell or services we provide and the consolidated operating results that are regularly reviewed by our chief operating decision maker to assess performance and make operating decisions. We identified two reportable operating segments, Base USAP, which is the core auto parts business, and AutoMD, an online automotive repair source, in accordance with ASC 280 Segment Reporting (“ASC 280”). |
Recent Accounting Pronouncements | In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2014-9, “Revenue from Contracts with Customers,” (“ASU 2014-9”) which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. This guidance will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The new standard is effective for fiscal years beginning after December 15, 2016. Early application is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. The Company is evaluating the effect that ASU 2014-9 will have on the consolidated financial statements and related disclosures. The Company has not yet selected a transition method nor has the effect of the standard on ongoing financial reporting been determined. |
On August 27, 2014, the FASB issued ASU 2014-15, which provides guidance on determining when and how reporting entities must disclose going-concern uncertainties in their financial statements. The new standard requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date of issuance of the entity’s financial statements (or within one year after the date on which the financial statements are available to be issued, when applicable). Further, an entity must provide certain disclosures if there is “substantial doubt about the entity’s ability to continue as a going concern.” The ASU is effective for annual periods ending after December 15, 2016, and interim periods thereafter; early adoption is permitted. The Company is evaluating the impact the adoption of ASU 2014-15 will have on its consolidated financial statements. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies and Nature of Operations (Tables) | 12 Months Ended | |||||||||||||||
Jan. 03, 2015 | ||||||||||||||||
Accounting Policies [Abstract] | ||||||||||||||||
Allowance for Sales Returns and Allowance for Doubtful Accounts | The following table provides an analysis of the allowance for sales returns and the allowance for doubtful accounts (in thousands): | |||||||||||||||
Balance at | Charged to | Deductions | Balance at | |||||||||||||
Beginning | Revenue, | End of | ||||||||||||||
of Period | Cost or | Period | ||||||||||||||
Expenses | ||||||||||||||||
Fifty-Three Weeks Ended January 3, 2015 | ||||||||||||||||
Allowance for sales returns | $ | 893 | $ | 24,907 | $ | (24,903 | ) | $ | 897 | |||||||
Allowance for doubtful accounts | 213 | 64 | (236 | ) | 41 | |||||||||||
Fifty-Two Weeks Ended December 28, 2013 | ||||||||||||||||
Allowance for sales returns | $ | 1,364 | $ | 24,147 | $ | (24,618 | ) | $ | 893 | |||||||
Allowance for doubtful accounts | 221 | 181 | (189 | ) | 213 | |||||||||||
Fifty-Two Weeks Ended December 29, 2012 | ||||||||||||||||
Allowance for sales returns | $ | 1,726 | $ | 30,058 | $ | (30,420 | ) | $ | 1,364 | |||||||
Allowance for doubtful accounts | 183 | 247 | (209 | ) | 221 | |||||||||||
Aggregate Warranty Liabilities | For the fiscal year 2014 and 2013, the activity in our aggregate warranty liabilities was as follows (in thousands): | |||||||||||||||
January 3, | 28-Dec-13 | |||||||||||||||
2015 | ||||||||||||||||
Warranty liabilities, beginning of period | $ | 296 | $ | 282 | ||||||||||||
Adjustments to preexisting warranty liabilities | (123 | ) | (58 | ) | ||||||||||||
Additions to warranty liabilities | 119 | 165 | ||||||||||||||
Reductions to warranty liabilities | (74 | ) | (93 | ) | ||||||||||||
Warranty liabilities, end of period | $ | 218 | $ | 296 | ||||||||||||
Investments_Tables
Investments (Tables) | 12 Months Ended | |||||||||||||||
Jan. 03, 2015 | ||||||||||||||||
Investments Schedule [Abstract] | ||||||||||||||||
Securities and Investments, Recorded at Fair Value | As of January 3, 2015, the Company held the following securities and investments, recorded at fair value: | |||||||||||||||
Amortized | Unrealized | Fair Value | ||||||||||||||
Cost | Gains | Losses | ||||||||||||||
Mutual funds (1) | $ | 62 | $ | — | $ | — | $ | 62 | ||||||||
As of December 28, 2013, the Company held the following securities and investments, recorded at fair value: | ||||||||||||||||
Amortized | Unrealized | Fair Value | ||||||||||||||
Cost | Gains | Losses | ||||||||||||||
Mutual funds (1) | $ | 40 | $ | 7 | $ | — | $ | 47 | ||||||||
-1 | Mutual funds are classified as short-term investments available-for-sale and recorded at fair market value, based on quoted prices of identical assets that are trading in active markets as of the end of the period for which the values are determined. |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | |||||||||||||||||
Jan. 03, 2015 | ||||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||||
Financial Assets Valued on Recurring Basis | The following table represents our fair value hierarchy and the valuation techniques used for financial assets measured at fair value on a recurring basis: | |||||||||||||||||
3-Jan-15 | ||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Valuation | ||||||||||||||
Techniques | ||||||||||||||||||
Assets: | ||||||||||||||||||
Cash and cash equivalents (1) | $ | 7,653 | $ | 7,653 | $ | — | $ | — | (a) | |||||||||
Investments – mutual funds (2) | 62 | 62 | — | — | (a) | |||||||||||||
$ | 7,715 | $ | 7,715 | $ | — | $ | — | |||||||||||
28-Dec-13 | ||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Valuation | ||||||||||||||
Techniques | ||||||||||||||||||
Assets: | ||||||||||||||||||
Cash and cash equivalents (1) | $ | 818 | $ | 818 | $ | — | $ | — | (a) | |||||||||
Investments – mutual funds (2) | 47 | 47 | — | — | (a) | |||||||||||||
$ | 865 | $ | 865 | $ | — | $ | — | |||||||||||
-1 | Cash equivalents consist primarily of money market funds and short-term investments with original maturity dates of three months or less at the date of purchase, for which the Company determines fair value through quoted market prices. | |||||||||||||||||
-2 | Investments consist of mutual funds, classified as short-term investments available-for-sale and recorded at fair market value, based on quoted prices of identical assets that are trading in active markets as of the end of the period for which the values are determined. |
Property_and_Equipment_Net_Tab
Property and Equipment, Net (Tables) | 12 Months Ended | |||||||
Jan. 03, 2015 | ||||||||
Property, Plant and Equipment [Abstract] | ||||||||
Summary of Property and Equipment | Property and equipment consisted of the following at January 3, 2015 and December 28, 2013: | |||||||
January 3, | 28-Dec-13 | |||||||
2015 | ||||||||
Land | $ | 630 | $ | 630 | ||||
Building | 8,877 | 8,877 | ||||||
Machinery and equipment | 9,799 | 12,163 | ||||||
Computer software (purchased and developed) and equipment | 45,170 | 55,383 | ||||||
Vehicles | 136 | 264 | ||||||
Leasehold improvements | 1,761 | 1,767 | ||||||
Furniture and fixtures | 1,036 | 1,057 | ||||||
Construction in process | 1,904 | 2,066 | ||||||
69,313 | 82,207 | |||||||
Less accumulated depreciation, amortization and impairment | (52,347 | ) | (62,544 | ) | ||||
Property and equipment, net | $ | 16,966 | $ | 19,663 | ||||
Summary of Estimated Useful Lives of Property and Equipment | Depreciation of property and equipment is provided using the straight-line method for financial reporting purposes, at rates based on the following estimated useful lives: | |||||||
Years | ||||||||
Machinery and equipment | 2 - 5 | |||||||
Computer software (purchased and developed) | 2 - 3 | |||||||
Computer equipment | 5-Feb | |||||||
Vehicles | 3 - 5 | |||||||
Leasehold improvements* | 3 - 5 | |||||||
Furniture and fixtures | 3 - 7 | |||||||
Facility subject to capital lease | 20 | |||||||
* | The estimated useful life is the lesser of 3-5 years or the lease term. |
Intangible_Assets_Net_Tables
Intangible Assets, Net (Tables) | 12 Months Ended | |||||||||||||||||||||||||
Jan. 03, 2015 | ||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||||||||||||||||
Summary of Intangible Assets | Intangible assets consisted of the following at January 3, 2015 and December 28, 2013: | |||||||||||||||||||||||||
Useful Life | 3-Jan-15 | 28-Dec-13 | ||||||||||||||||||||||||
Gross | Accumulated | Net | Gross | Accum. | Net | |||||||||||||||||||||
Carrying | Amort. and | Carrying | Carrying | Amort. and | Carrying | |||||||||||||||||||||
Amount | Impairment | Amount | Amount | Impairment | Amount | |||||||||||||||||||||
Intangible assets subject to amortization: | ||||||||||||||||||||||||||
Product design intellectual property (1) | 4 years | 2,750 | (2,102 | ) | 648 | 2,750 | (1,842 | ) | 908 | |||||||||||||||||
Patent license agreements | 3 - 5 years | 537 | (94 | ) | 443 | |||||||||||||||||||||
Domain and trade names | 10 years | 1,199 | (583 | ) | 616 | 1,199 | (506 | ) | 693 | |||||||||||||||||
Total | $ | 4,486 | $ | (2,779 | ) | $ | 1,707 | $ | 3,949 | $ | (2,348 | ) | $ | 1,601 | ||||||||||||
-1 | During the second quarter of 2013, based on its impairment analysis, the Company changed the estimated useful life for product design and intellectual property from 9 years to 4 years. | |||||||||||||||||||||||||
Summary of Future Estimated Annual Amortization Expense | The following table summarizes the future estimated annual amortization expense for these assets over the next five years: | |||||||||||||||||||||||||
2015 | $ | 458 | ||||||||||||||||||||||||
2016 | 458 | |||||||||||||||||||||||||
2017 | 321 | |||||||||||||||||||||||||
2018 | 162 | |||||||||||||||||||||||||
2019 | 77 | |||||||||||||||||||||||||
Thereafter | 231 | |||||||||||||||||||||||||
Total | $ | 1,707 | ||||||||||||||||||||||||
Borrowings_Tables
Borrowings (Tables) | 12 Months Ended | |||||||||||
Jan. 03, 2015 | ||||||||||||
Debt Disclosure [Abstract] | ||||||||||||
Present Value of Net Minimum Payments on Capital Leases | The present value of the net minimum payments on capital leases as of January 3, 2015 is as follows: | |||||||||||
Total minimum lease payments | $ | 18,520 | ||||||||||
Less amount representing interest | (8,981 | ) | ||||||||||
Present value of net minimum lease payments | 9,539 | |||||||||||
Current portion of capital leases payable | (269 | ) | ||||||||||
Capital leases payable, net of current portion | $ | 9,270 | ||||||||||
Capital lease commitments as of January 3, 2015 were as follows: | ||||||||||||
Capital Lease | Less: Interest | Principal | ||||||||||
Commitments | Payments | Obligations | ||||||||||
2015 | $ | 1,009 | $ | 740 | $ | 269 | ||||||
2016 | 968 | 725 | 243 | |||||||||
2017 | 909 | 709 | 200 | |||||||||
2018 | 915 | 692 | 223 | |||||||||
2019 | 928 | 674 | 254 | |||||||||
2020 onwards | 13,791 | 5,441 | 8,350 | |||||||||
Total | $ | 18,520 | $ | 8,981 | $ | 9,539 | ||||||
Stockholders_Equity_and_ShareB1
Stockholders' Equity and Share-Based Compensation (Tables) | 12 Months Ended | ||||||||||||
Jan. 03, 2015 | |||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||
Schedule of Changes in Company's Ownership Interest in AutoMD | The table below presents the changes in the Company's ownership interest in AutoMD on the Company's equity: | ||||||||||||
Fiscal Year Ended | |||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | |||||||||||
Net loss attributable to U.S. Auto Parts stockholders' | $ | (6,879 | ) | $ | (15,634 | ) | $ | (35,978 | ) | ||||
Transfers (to) from the noncontrolling interest: | |||||||||||||
Increase in U.S. Auto Parts paid-in-capital from sale of AutoMD common stock | 2,512 | — | — | ||||||||||
Changes from net loss attributable to U.S. Auto Parts stockholders' and transfers to noncontrolling interest | $ | (4,367 | ) | $ | (15,634 | ) | $ | (35,978 | ) | ||||
Summary of Stock Option Activity | The following table summarizes the Company’s stock option activity for the fiscal year ended January 3, 2015, and details regarding the options outstanding and exercisable at January 3, 2015: | ||||||||||||
Shares | Weighted | Weighted Average | Aggregate | ||||||||||
Average | Remaining | Intrinsic Value(1) | |||||||||||
Exercise Price | Contractual | ||||||||||||
Term (in years) | |||||||||||||
Options outstanding, December 28, 2013 | 5,320 | $ | 2.97 | 6.77 | |||||||||
Granted | 840 | $ | 2.32 | ||||||||||
Exercised | (142 | ) | $ | 2.06 | |||||||||
Cancelled: | |||||||||||||
Forfeited | (511 | ) | $ | 1.7 | |||||||||
Expired | (226 | ) | $ | 6.61 | |||||||||
Options outstanding, January 3, 2015 | 5,281 | $ | 2.85 | 6.1 | $ | 1,867 | |||||||
Vested and expected to vest at January 3, 2015 | 4,884 | $ | 2.93 | 5.87 | $ | 1,686 | |||||||
Options exercisable, January 3, 2015 | 3,466 | $ | 3.3 | 4.68 | $ | 1,004 | |||||||
-1 | These amounts represent the difference between the exercise price and the closing price of U.S. Auto Parts Network, Inc. common stock on January 3, 2015 as reported on the NASDAQ Stock Market, for all options outstanding that have an exercise price currently below the closing price. | ||||||||||||
Summary of Share-based Compensation from Options, Warrants and Stock Awards | Share-based compensation from options, warrants and stock awards, is included in our consolidated statements of comprehensive operations, as follows: | ||||||||||||
Fiscal Year Ended | |||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | |||||||||||
Marketing expense | $ | 540 | $ | 285 | $ | 505 | |||||||
General and administrative expense | 1,476 | 805 | 1,119 | ||||||||||
Fulfillment expense (1) | 220 | 102 | (38 | ) | |||||||||
Technology expense | 135 | 71 | 87 | ||||||||||
Total share-based compensation expense | $ | 2,371 | $ | 1,263 | $ | 1,673 | |||||||
-1 | For the fifty-two weeks ended December 29, 2012, the negative balance was due to an adjustment of $279 related to performance stock options where the performance goal was not met or it was not probable to be met at the end of the requisite service period. | ||||||||||||
Surrendered Stock Options and New Stock Options Member | |||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||
Summary of Assumptions Used | The fair value of the surrendered stock options and the new stock options was estimated on the date of the exchange using the Black-Scholes option pricing model with the following assumptions: | ||||||||||||
Surrendered | New | ||||||||||||
Stock Options | Stock Options | ||||||||||||
Expected life | 1.93 – 6.87 years | 5.84 years | |||||||||||
Risk-free interest rate | 0.5% – 2.4% | 2.00% | |||||||||||
Expected volatility | 55% – 73% | 72% | |||||||||||
Expected dividend yield | —% | —% | |||||||||||
Employee Stock Option | |||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||
Summary of Assumptions Used | The fair value of each option grant, excluding those options issued from the stock option exchange program as discussed above, was estimated on the date of grant using the Black-Scholes option pricing model with the following assumptions for each of the periods ended: | ||||||||||||
Fiscal Year Ended | |||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | |||||||||||
Expected life | 5.30 - 5.37 years | 5.21 – 5.73 years | 5.73 years | ||||||||||
Risk-free interest rate | 2% - 2% | 1% – 2% | 1% | ||||||||||
Expected volatility | 62% - 68% | 67% – 73% | 71% – 74% | ||||||||||
Expected dividend yield | —% | —% | —% |
Net_Loss_Per_Share_Tables
Net Loss Per Share (Tables) | 12 Months Ended | |||||||||||
Jan. 03, 2015 | ||||||||||||
Earnings Per Share [Abstract] | ||||||||||||
Computation of Basic and Diluted Net Loss Per Share | The following table sets forth the computation of basic and diluted net loss per share: | |||||||||||
Fiscal Year Ended | ||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | ||||||||||
Net loss per share: | ||||||||||||
Numerator: | ||||||||||||
Net loss attributable to U.S. Auto Parts | $ | (6,879 | ) | $ | (15,634 | ) | $ | (35,978 | ) | |||
Dividends on Series A Convertible Preferred Stock | (240 | ) | (184 | ) | — | |||||||
Net loss available to common shares | $ | (7,119 | ) | $ | (15,818 | ) | $ | (35,978 | ) | |||
Denominator: | ||||||||||||
Weighted-average common shares outstanding (basic and diluted) | 33,489 | 32,697 | 30,818 | |||||||||
Basic and diluted net loss per share | $ | (0.21 | ) | $ | (0.48 | ) | $ | (1.17 | ) | |||
Anti-Dilutive Securities Excluded from Calculation of Diluted Earnings Per Share | The weighted-average anti-dilutive securities, which are excluded from the calculation of diluted earnings per share due to the Company’s net loss position for the periods then ended (including securities that would otherwise be excluded from the calculation of diluted earnings per share due the Company’s stock price), are as follows: | |||||||||||
Fiscal Year | ||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | ||||||||||
Common stock warrants | 50 | 50 | 50 | |||||||||
Series A Convertible Preferred Stock | 4,150 | 3,145 | — | |||||||||
Options to purchase common stock | 5,467 | 6,584 | 7,642 | |||||||||
Restricted Stock Units | 796 | — | — | |||||||||
Total | 10,463 | 9,779 | 7,692 | |||||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||||||
Jan. 03, 2015 | ||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||
Components of Loss Before Income Taxes | The components of loss before income tax provision consist of the following: | |||||||||||
Fiscal Year Ended | ||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | ||||||||||
Domestic operations | $ | (7,424 | ) | $ | (16,155 | ) | $ | (37,469 | ) | |||
Foreign operations | 476 | 564 | 554 | |||||||||
Total loss before income taxes | $ | (6,948 | ) | $ | (15,591 | ) | $ | (36,915 | ) | |||
Summary of Income Tax (Benefit) Provision | Income tax (benefit) provision for fiscal year 2014, 2013 and 2012 consists of the following: | |||||||||||
Fiscal Year Ended | ||||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | ||||||||||
Current: | ||||||||||||
Federal tax | $ | — | $ | — | $ | — | ||||||
State tax | (15 | ) | 20 | 14 | ||||||||
Foreign tax | 78 | (37 | ) | (76 | ) | |||||||
Total current taxes | 63 | (17 | ) | (62 | ) | |||||||
Deferred: | ||||||||||||
Federal tax | (2,232 | ) | (5,260 | ) | (12,612 | ) | ||||||
State tax | (125 | ) | (1,353 | ) | (2,618 | ) | ||||||
Foreign tax | 74 | 60 | 275 | |||||||||
Total deferred taxes | (2,283 | ) | (6,553 | ) | (14,955 | ) | ||||||
Valuation allowance | 2,358 | 6,613 | 14,080 | |||||||||
Income tax (benefit) provision | $ | 138 | $ | 43 | $ | (937 | ) | |||||
Summary of Differences Between Income Tax Provision (Benefit) and Applied Federal Statutory Rate | Income tax (benefit) provision differs from the amount that would result from applying the federal statutory rate as follows: | |||||||||||
3-Jan-15 | 28-Dec-13 | 29-Dec-12 | ||||||||||
Income tax at U.S. federal statutory rate | $ | (2,362 | ) | $ | (5,301 | ) | $ | (12,551 | ) | |||
Share-based compensation | 33 | 43 | 38 | |||||||||
State income tax, net of federal tax effect | (143 | ) | (1,348 | ) | (2,528 | ) | ||||||
Foreign tax | 117 | 70 | (27 | ) | ||||||||
Other | 127 | (42 | ) | 51 | ||||||||
Change in valuation allowance | 2,366 | 6,621 | 14,080 | |||||||||
Effective tax (benefit) provision | $ | 138 | $ | 43 | $ | (937 | ) | |||||
Summary of Deferred Tax Assets and Deferred Tax Liabilities | Deferred tax assets and deferred tax liabilities consisted of the following: | |||||||||||
3-Jan-15 | 28-Dec-13 | |||||||||||
Deferred tax assets: | ||||||||||||
Inventory and inventory related allowance | $ | 1,334 | $ | 1,075 | ||||||||
Share-based compensation | 5,248 | 4,545 | ||||||||||
Amortization | 11,805 | 13,704 | ||||||||||
Sales and bad debt allowances | 472 | 583 | ||||||||||
Vacation accrual | 264 | 374 | ||||||||||
Book over tax amortization | 10 | 377 | ||||||||||
Net operating loss and AMT credit carry-forwards | 26,186 | 23,114 | ||||||||||
Other | 807 | 388 | ||||||||||
Total deferred tax assets | 46,126 | 44,160 | ||||||||||
Valuation Allowance | (45,867 | ) | (43,509 | ) | ||||||||
Net deferred tax assets | 259 | 651 | ||||||||||
Deferred tax liabilities: | ||||||||||||
Investment in subsidiary | 1,335 | — | ||||||||||
Tax over book depreciation | 79 | 784 | ||||||||||
Foreign tax withholdings | 409 | — | ||||||||||
Prepaid catalog expenses | 180 | 202 | ||||||||||
Total deferred tax liabilities | 2,003 | 986 | ||||||||||
Net deferred tax liabilities | $ | (1,744 | ) | $ | (335 | ) | ||||||
Summary of State NOL Carryforwards Expiration Year | The state NOL carryforwards expire in the respective tax years as follows: | |||||||||||
2015-2022 | $ | 40,553 | ||||||||||
2023-2032 | 33,057 | |||||||||||
Total | $ | 73,610 | ||||||||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | |||||||||||
Jan. 03, 2015 | ||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||||||
Summary of Minimum Lease Commitments under Non-Cancelable Operating Leases | Minimum lease commitments under non-cancelable operating leases as of January 3, 2015 are as follows: | |||||||||||
2015 | $ | 1,279 | ||||||||||
2016 | 786 | |||||||||||
2017 | — | |||||||||||
2018 | — | |||||||||||
2019 | — | |||||||||||
Thereafter | — | |||||||||||
Total minimum lease commitments | $ | 2,065 | ||||||||||
Summary of Capital Lease Commitments | The present value of the net minimum payments on capital leases as of January 3, 2015 is as follows: | |||||||||||
Total minimum lease payments | $ | 18,520 | ||||||||||
Less amount representing interest | (8,981 | ) | ||||||||||
Present value of net minimum lease payments | 9,539 | |||||||||||
Current portion of capital leases payable | (269 | ) | ||||||||||
Capital leases payable, net of current portion | $ | 9,270 | ||||||||||
Capital lease commitments as of January 3, 2015 were as follows: | ||||||||||||
Capital Lease | Less: Interest | Principal | ||||||||||
Commitments | Payments | Obligations | ||||||||||
2015 | $ | 1,009 | $ | 740 | $ | 269 | ||||||
2016 | 968 | 725 | 243 | |||||||||
2017 | 909 | 709 | 200 | |||||||||
2018 | 915 | 692 | 223 | |||||||||
2019 | 928 | 674 | 254 | |||||||||
2020 onwards | 13,791 | 5,441 | 8,350 | |||||||||
Total | $ | 18,520 | $ | 8,981 | $ | 9,539 | ||||||
Restructuring_Costs_Restructur
Restructuring Costs Restructuring Costs (Tables) | 12 Months Ended | |||
Jan. 03, 2015 | ||||
Restructuring and Related Activities [Abstract] | ||||
Summary of Restructuring Charges | The following table summarizes the charges related to the restructure recognized during the fiscal year ended January 3, 2015: | |||
Employee severance | $ | 526 | ||
Accounts receivable allowance | 73 | |||
Relocation costs (employee and equipment) | 127 | |||
Inventory transfers | 411 | |||
Total restructuring costs | $ | 1,137 | ||
Quarterly_Information_Unaudite1
Quarterly Information (Unaudited) (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||||
Jan. 03, 2015 | ||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||||||||||||||||||
Consolidated Statement of Income Data | The following quarterly information (in thousands, except per share data) includes all adjustments which management considers necessary for a fair presentation of such information. For interim quarterly financial statements, the provision for income taxes is estimated using the best available information for projected results for the entire year. | |||||||||||||||||||||||||||||||
Quarter Ended | Quarter Ended | |||||||||||||||||||||||||||||||
March 29, 2014 | June 28, 2014 (1) | Sep. 27, 2014 (2) | Jan. 3, 2015 (3) | March 30, | June 29, | Sep. 28, | Dec. 28, | |||||||||||||||||||||||||
2013 (4) | 2013 (5) | 2013 | 2013 | |||||||||||||||||||||||||||||
Consolidated Statement of Income Data: | ||||||||||||||||||||||||||||||||
Net sales | $ | 68,028 | $ | 76,947 | $ | 67,965 | $ | 70,568 | $ | 65,405 | $ | 67,889 | $ | 61,724 | $ | 59,735 | ||||||||||||||||
Gross profit | 20,701 | 20,420 | 18,414 | 18,915 | 19,738 | 19,013 | 17,907 | 17,475 | ||||||||||||||||||||||||
Income (loss) from operations | 495 | (1,939 | ) | (2,216 | ) | (2,252 | ) | (3,142 | ) | (9,342 | ) | (1,246 | ) | (1,037 | ) | |||||||||||||||||
Income (loss) before income taxes | 233 | (2,159 | ) | (2,479 | ) | (2,543 | ) | (3,322 | ) | (9,498 | ) | (1,398 | ) | (1,373 | ) | |||||||||||||||||
Net income (loss) | 201 | (2,180 | ) | (2,494 | ) | (2,613 | ) | (3,343 | ) | (9,567 | ) | (1,399 | ) | (1,325 | ) | |||||||||||||||||
Net loss attributable to noncontrolling interests | — | — | — | (207 | ) | — | — | — | — | |||||||||||||||||||||||
Net loss attributable to U.S. Auto Parts | $ | 201 | $ | (2,180 | ) | $ | (2,494 | ) | $ | (2,406 | ) | $ | (3,343 | ) | $ | (9,567 | ) | $ | (1,399 | ) | $ | (1,325 | ) | |||||||||
Basic and diluted net income (loss) per share as reported and adjusted | $ | 0 | $ | (0.07 | ) | $ | (0.08 | ) | $ | (0.07 | ) | $ | (0.11 | ) | $ | (0.29 | ) | $ | (0.04 | ) | $ | (0.04 | ) | |||||||||
Shares used in computation of basic net income (loss) per share as reported and adjusted | 33,384 | 33,460 | 33,532 | 33,573 | 31,141 | 33,119 | 33,218 | 33,308 | ||||||||||||||||||||||||
Shares used in computation of diluted net income (loss) per share as reported and adjusted | 34,158 | 33,460 | 33,532 | 33,573 | 31,141 | 33,119 | 33,218 | 33,308 | ||||||||||||||||||||||||
-1 | Included restructuring charges of $625. | |||||||||||||||||||||||||||||||
-2 | Included restructuring charges of $410. | |||||||||||||||||||||||||||||||
-3 | Included restructuring charges of $102. | |||||||||||||||||||||||||||||||
-4 | Included restructuring charges of $498. | |||||||||||||||||||||||||||||||
-5 | Included impairment loss on property and equipment and intangible assets of $4,832 and $1,245, respectively, and restructuring charges of $225. | |||||||||||||||||||||||||||||||
Segment_Information_Tables
Segment Information (Tables) | 12 Months Ended | |||||||||||
Jan. 03, 2015 | ||||||||||||
Segment Reporting [Abstract] | ||||||||||||
Summary of Segment Information | Summarized segment information for our continuing operations from the two reportable segments for the periods presented is as follows (in thousands): | |||||||||||
Base USAP | AutoMD | Consolidated | ||||||||||
Fiscal year ended January 3, 2015 | ||||||||||||
Net sales | $ | 283,211 | $ | 297 | $ | 283,508 | ||||||
Gross profit | 78,153 | 297 | 78,450 | |||||||||
Operating costs (1) | 81,887 | 2,475 | 84,362 | |||||||||
Loss from operations | (3,734 | ) | (2,178 | ) | (5,912 | ) | ||||||
Capital expenditures | 4,237 | 1,319 | 5,556 | |||||||||
Depreciation and amortization | 7,230 | 1,693 | 8,923 | |||||||||
Total assets, net of accumulated depreciation | 74,414 | 8,493 | 82,907 | |||||||||
Fiscal year ended December 28, 2013 | ||||||||||||
Net sales | $ | 254,422 | $ | 331 | $ | 254,753 | ||||||
Gross profit | 73,802 | 331 | 74,133 | |||||||||
Operating costs (1) | 86,579 | 2,321 | 88,900 | |||||||||
Loss from operations | (12,777 | ) | (1,990 | ) | (14,767 | ) | ||||||
Capital expenditures | 6,297 | 2,028 | 8,325 | |||||||||
Depreciation and amortization | 10,676 | 1,499 | 12,175 | |||||||||
Total assets, net of accumulated depreciation | 67,039 | 2,143 | 69,182 | |||||||||
Fiscal year ended December 29, 2012 | ||||||||||||
Net sales | $ | 303,667 | $ | 350 | $ | 304,017 | ||||||
Gross profit | 91,288 | 350 | 91,638 | |||||||||
Operating costs (1) | 125,048 | 2,380 | 127,428 | |||||||||
Loss from operations | (33,760 | ) | (2,030 | ) | (35,790 | ) | ||||||
Capital expenditures | 8,547 | 1,608 | 10,155 | |||||||||
Depreciation and amortization | 13,475 | 1,729 | 15,204 | |||||||||
Total assets, net of accumulated depreciation | 86,818 | 2,059 | 88,877 | |||||||||
-1 | Operating costs for AutoMD primarily consist of depreciation on fixed assets and personnel costs. |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies and Nature of Operations - Principles of Consolidation (Details) (AutoMD) | 0 Months Ended | |
Oct. 08, 2014 | Oct. 08, 2014 | |
AutoMD | ||
Subsidiary or Equity Method Investee [Line Items] | ||
Common stock issued | 7,000,000 | |
Percentage ownership after issuance of shares | 64.10% | |
Percentage ownership of noncontrolling interests | 35.90% | 35.90% |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies and Nature of Operations - Additional Information (Detail) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||
Oct. 31, 2012 | Jan. 03, 2015 | Sep. 27, 2014 | Jun. 28, 2014 | Mar. 29, 2014 | Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | |
supplier | |||||||||||||
segment | |||||||||||||
Schedule Of Significant Accounting Policies [Line Items] | |||||||||||||
Percentage increase (decrease) in revenues | 11.30% | -16.20% | |||||||||||
Net loss | $2,406,000 | $2,494,000 | $2,180,000 | ($201,000) | $1,325,000 | $1,399,000 | $9,567,000 | $3,343,000 | $6,879,000 | $15,634,000 | $35,978,000 | ||
Other-than-temporary impairment charges on investments | 0 | 0 | 0 | ||||||||||
Number of suppliers products are available from (more than) | 1 | ||||||||||||
Inventory | 48,362,000 | 36,986,000 | 48,362,000 | 36,986,000 | |||||||||
Inventory in-transit | 12,155,000 | 6,750,000 | 12,155,000 | 6,750,000 | |||||||||
Capitalized website and software development costs | 196,000 | 220,000 | 252,000 | ||||||||||
Impairment loss on property and equipment | 4,832,000 | 1,960,000 | 0 | 4,832,000 | 1,960,000 | ||||||||
Impairment loss on intangible assets subject to amortization | 1,245,000 | 1,745,000 | |||||||||||
Excess of carrying value over fair value | 21,843,000 | ||||||||||||
Impairment loss on goodwill | 18,854,000 | 0 | 0 | 18,854,000 | |||||||||
Fair value inputs, discount rate | 14.50% | ||||||||||||
Impairment loss on indefinite lived intangible assets | 3,868,000 | ||||||||||||
Goodwill | 0 | 0 | |||||||||||
Indefinite-lived intangible assets | 0 | 0 | |||||||||||
Catalog amortization period | 9 months | ||||||||||||
Advertising revenue as a percentage of total revenue | 1.00% | 1.00% | 1.00% | ||||||||||
Credits for returned products | 24,903,000 | 24,618,000 | 30,420,000 | ||||||||||
Limited warranty description | The Company or the vendors supplying its products provide the Company’s customers limited warranties on certain products that range from 30 days to lifetime. | ||||||||||||
Standard product warranties, coverage period (or greater than) | 30 days | ||||||||||||
Extended product warranty description | The product brands that include the extended warranty coverage are offered at three different service levels: (a)Â a five year unlimited product replacement, (b)Â a five year one-time product replacement, and (c)Â a three year one-time product replacement. | ||||||||||||
Five year unlimited product replacement, coverage period | 5 years | ||||||||||||
Five year one-time product replacement period, coverage period | 5 years | ||||||||||||
Three year one-time product replacement period, coverage period | 3 years | ||||||||||||
Advertising costs | 18,485,000 | 16,619,000 | 21,068,000 | ||||||||||
Unrecognized tax benefits, interest or penalties | 0 | 0 | |||||||||||
Number of reportable segments | 2 | ||||||||||||
Number of operating segments | 2 | ||||||||||||
Trade Names | |||||||||||||
Schedule Of Significant Accounting Policies [Line Items] | |||||||||||||
Fair value inputs, discount rate | 15.00% | ||||||||||||
Royalty rate | 0.10% | ||||||||||||
Minimum | |||||||||||||
Schedule Of Significant Accounting Policies [Line Items] | |||||||||||||
Standard product warranty, recognition period | 1 year | ||||||||||||
Maximum | |||||||||||||
Schedule Of Significant Accounting Policies [Line Items] | |||||||||||||
Standard product warranty, recognition period | 5 years | ||||||||||||
Website and Software Development | |||||||||||||
Schedule Of Significant Accounting Policies [Line Items] | |||||||||||||
Capitalized website and software development costs | 5,651,000 | 8,150,000 | |||||||||||
Capitalized website and software development cost amount | 40,757,000 | 50,250,000 | 40,757,000 | 50,250,000 | |||||||||
Capitalized website and software development costs accumulated amortization and impairment amount | 36,060,000 | 44,211,000 | 36,060,000 | 44,211,000 | |||||||||
Capitalized websites and software development costs impairment loss | 4,832,000 | 3,868,000 | |||||||||||
Website and Software Development | Minimum | |||||||||||||
Schedule Of Significant Accounting Policies [Line Items] | |||||||||||||
Amortization on a straight-line basis, period | 2 years | ||||||||||||
Website and Software Development | Maximum | |||||||||||||
Schedule Of Significant Accounting Policies [Line Items] | |||||||||||||
Amortization on a straight-line basis, period | 3 years | ||||||||||||
Other Current Assets | |||||||||||||
Schedule Of Significant Accounting Policies [Line Items] | |||||||||||||
Deferred catalog expenses | 441,000 | 485,000 | 441,000 | 485,000 | |||||||||
Cost of Sales | |||||||||||||
Schedule Of Significant Accounting Policies [Line Items] | |||||||||||||
Freight and shipping expenses | $40,428,000 | $34,182,000 | $39,702,000 | ||||||||||
Employee Stock Option | Minimum | |||||||||||||
Schedule Of Significant Accounting Policies [Line Items] | |||||||||||||
Stock options vesting period | 3 years | ||||||||||||
Employee Stock Option | Maximum | |||||||||||||
Schedule Of Significant Accounting Policies [Line Items] | |||||||||||||
Stock options vesting period | 4 years |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies and Nature of Operations - Allowance for Sales Returns and Allowance for Doubtful Accounts (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Allowance for sales returns | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | $893 | $1,364 | $1,726 |
Charged to Revenue, Cost or Expenses | 24,907 | 24,147 | 30,058 |
Deductions | -24,903 | -24,618 | -30,420 |
Balance at End of Period | 897 | 893 | 1,364 |
Allowance for doubtful accounts | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | 213 | 221 | 183 |
Charged to Revenue, Cost or Expenses | 64 | 181 | 247 |
Deductions | -236 | -189 | -209 |
Balance at End of Period | $41 | $213 | $221 |
Summary_of_Significant_Account6
Summary of Significant Accounting Policies and Nature of Operations - Aggregate Warranty Liabilities (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 |
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward] | ||
Warranty liabilities, beginning of period | $296 | $282 |
Adjustments to preexisting warranty liabilities | -123 | -58 |
Additions to warranty liabilities | 119 | 165 |
Reductions to warranty liabilities | -74 | -93 |
Warranty liabilities, end of period | $218 | $296 |
Investments_Securities_and_Inv
Investments - Securities and Investments, Recorded at Fair Value (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Available-for-sale Securities, Amortized Cost Basis [Abstract] | ||
Securities and investments, amortized cost | $62 | $40 |
Securities and investments, unrealized gain | 0 | 7 |
Securities and investments, unrealized loss | 0 | 0 |
Short-term investments | $62 | $47 |
Investments_Additional_Informa
Investments - Additional Information (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 |
Investments Schedule [Abstract] | ||
Recognized gross realized loss from the sale of mutual funds | $1 | $1 |
Fair_Value_Measurements_Financ
Fair Value Measurements - Financial Assets Valued on Recurring Basis (Detail) (Fair Value, Measurements, Recurring, 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] | ||
Assets, fair value | $7,715 | $865 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 7,715 | 865 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Market Approach Valuation | Cash and cash equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 7,653 | 818 |
Market Approach Valuation | Investments - mutual funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 62 | 47 |
Market Approach Valuation | Level 1 | Cash and cash equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 7,653 | 818 |
Market Approach Valuation | Level 1 | Investments - mutual funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 62 | 47 |
Market Approach Valuation | Level 2 | Cash and cash equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Market Approach Valuation | Level 2 | Investments - mutual funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Market Approach Valuation | Level 3 | Cash and cash equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Market Approach Valuation | Level 3 | Investments - mutual funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | $0 | $0 |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | |||
Oct. 31, 2012 | Jun. 29, 2013 | Dec. 29, 2012 | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Sep. 28, 2013 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Transfers into level 2 from level 1 assets | $0 | $0 | |||||
Transfers into level 1 from level 2 assets | 0 | 0 | |||||
Impairment loss on property and equipment | 4,832,000 | 1,960,000 | 0 | 4,832,000 | 1,960,000 | ||
Impairment loss on intangible assets | 1,245,000 | 0 | 1,245,000 | 5,613,000 | |||
Impairment loss on goodwill | 18,854,000 | 0 | 0 | 18,854,000 | |||
Level 3 | Fair value, Measurements, Non-recurring | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Impairment loss | 26,427,000 | 0 | |||||
Impairment loss on property and equipment | 1,960,000 | 4,832,000 | |||||
Impairment loss on intangible assets | 5,613,000 | 1,245,000 | |||||
Impairment loss on goodwill | $18,854,000 |
Property_and_Equipment_Net_Add
Property and Equipment, Net - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 0 Months Ended | |||
In Thousands, unless otherwise specified | Jun. 29, 2013 | Dec. 29, 2012 | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Apr. 17, 2013 |
Property, Plant and Equipment [Line Items] | ||||||
Depreciation and amortization expense | $8,923 | $12,175 | $15,204 | |||
Fair values discount rate | 14.50% | |||||
Fair values royalty rate | 1.00% | |||||
Impairment loss on property and equipment | 4,832 | 1,960 | 0 | 4,832 | 1,960 | |
Net proceeds from sale of La Salle, Illinois facility | 0 | 9,584 | 0 | |||
Property and equipment, gross carrying value | 69,313 | 82,207 | ||||
Property and equipment, accumulated depreciation | 52,347 | 62,544 | ||||
Property and equipment, net | 16,966 | 19,663 | ||||
Philippines | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Property and equipment, net | 244 | 508 | ||||
Building | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Impairment loss on property and equipment | 1,000 | |||||
Property and equipment, gross carrying value | 8,877 | 8,877 | ||||
Website and Software Development | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Fair values discount rate | 15.00% | |||||
Fair values royalty rate | 2.50% | |||||
Impairment loss on property and equipment | 960 | |||||
Computer software (purchased and developed) | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Impairment loss on property and equipment | 4,832 | |||||
Property and equipment, gross carrying value | 45,170 | 55,383 | ||||
Capital Leased Assets (Facility) | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Excess of net proceeds over the net carrying value of capital leased asset under sale and lease back | 376 | |||||
Estimated useful life of property and equipment | 20 years | 20 years | ||||
Property and equipment, gross carrying value | 9,643 | 9,771 | ||||
Property and equipment, accumulated depreciation | 907 | 518 | ||||
Property and equipment, net | 8,736 | 9,253 | ||||
LaSalle, Illinois Facility | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Amortization expense related to capital leased asset | 475 | 317 | ||||
Lease terms under sale and lease back | The Company’s initial base annual rent is $853 for the first year (“Base Rent Amountâ€), after which the rental amount will increase annually on May 1 by the lesser of 1.5% or 1.25 times the change in the Consumer Price Index as published by the U.S. Department of Labor’s Bureau of Labor Statistics, except that in no event will the adjusted annual rental amount fall below the Base Rent Amount. | |||||
Period of lease under sale and lease back transaction | 20 years | |||||
Execution of the lease terminate date | 30-Apr-33 | |||||
Initial base annual rent for first year | 853 | |||||
Percentage of annual increase in base rent | 1.50% | |||||
Increased percentage in base rent with change in consumer price index | 1.25 | |||||
LaSalle, Illinois Facility | Whitney Automotive Group (WAG) | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Gross proceeds from sale of La Salle, Illinois facility | 9,750 | |||||
Net proceeds from sale of La Salle, Illinois facility | 9,507 | |||||
Legal fees | $77 |
Property_and_Equipment_Net_Sum
Property and Equipment, Net - Summary of Property and Equipment (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $69,313 | $82,207 |
Less accumulated depreciation, amortization and impairment | -52,347 | -62,544 |
Property and equipment, net | 16,966 | 19,663 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 630 | 630 |
Building | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 8,877 | 8,877 |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 9,799 | 12,163 |
Computer software (purchased and developed) | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 45,170 | 55,383 |
Vehicles | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 136 | 264 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 1,761 | 1,767 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 1,036 | 1,057 |
Construction in process | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $1,904 | $2,066 |
Property_and_Equipment_Net_Sum1
Property and Equipment, Net - Summary of Estimated Useful Lives of Property and Equipment (Detail) | 0 Months Ended | 12 Months Ended |
Apr. 17, 2013 | Jan. 03, 2015 | |
Machinery and equipment | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life of property and equipment | 2 years | |
Machinery and equipment | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life of property and equipment | 5 years | |
Computer software (purchased and developed) | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life of property and equipment | 2 years | |
Computer software (purchased and developed) | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life of property and equipment | 3 years | |
Computer equipment | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life of property and equipment | 2 years | |
Computer equipment | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life of property and equipment | 5 years | |
Vehicles | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life of property and equipment | 3 years | |
Vehicles | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life of property and equipment | 5 years | |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Description of estimated useful life of property and equipment | The estimated useful life is the lesser of 3-5 years or the lease term. | |
Leasehold improvements | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life of property and equipment | 3 years | |
Leasehold improvements | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life of property and equipment | 5 years | |
Furniture and fixtures | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life of property and equipment | 3 years | |
Furniture and fixtures | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life of property and equipment | 7 years | |
Capital Leased Assets (Facility) | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life of property and equipment | 20 years | 20 years |
Intangible_Assets_Net_Addition
Intangible Assets, Net - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||
In Thousands, unless otherwise specified | Jun. 29, 2013 | Dec. 29, 2012 | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Finite-Lived Intangible Assets [Line Items] | |||||
Impairment loss on intangible assets, finite-lived | $1,245 | $1,745 | |||
Fair values discount rate | 14.50% | ||||
Fair values royalty rate | 1.00% | ||||
Amortization expense relating to intangible assets | $422 | $381 | $1,189 |
Intangible_Assets_Net_Summary_
Intangible Assets, Net - Summary of Intangible Assets (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 29, 2013 | Mar. 30, 2013 | Jan. 03, 2015 | Dec. 28, 2013 |
Finite-Lived Intangible Assets [Line Items] | ||||
Gross Carrying Amount | $4,486 | $3,949 | ||
Accumulated Amort. and Impairment | -2,779 | -2,348 | ||
Net Carrying Amount | 1,707 | 1,601 | ||
Product Design Intellectual Property | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Useful Life | 4 years | 9 years | 4 years | |
Gross Carrying Amount | 2,750 | 2,750 | ||
Accumulated Amort. and Impairment | -2,102 | -1,842 | ||
Net Carrying Amount | 648 | 908 | ||
Patent License Agreement | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Gross Carrying Amount | 537 | |||
Accumulated Amort. and Impairment | -94 | |||
Net Carrying Amount | 443 | |||
Domain and Trade Names | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Useful Life | 10 years | |||
Gross Carrying Amount | 1,199 | 1,199 | ||
Accumulated Amort. and Impairment | -583 | -506 | ||
Net Carrying Amount | $616 | $693 | ||
Minimum | Patent License Agreement | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Useful Life | 3 years | |||
Maximum | Patent License Agreement | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Useful Life | 5 years |
Intangible_Assets_Net_Summary_1
Intangible Assets, Net - Summary of Future Estimated Annual Amortization Expense (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | ||
2015 | $458 | |
2016 | 458 | |
2017 | 321 | |
2018 | 162 | |
2019 | 77 | |
Thereafter | 231 | |
Net Carrying Amount | $1,707 | $1,601 |
Borrowings_Additional_Informat
Borrowings - Additional Information (Detail) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | 5 Months Ended | 6 Months Ended | 12 Months Ended | 18 Months Ended | |||
Jan. 03, 2015 | Jan. 02, 2015 | Jan. 01, 2015 | Jan. 01, 2015 | Jul. 01, 2016 | Jan. 03, 2016 | 31-May-16 | Dec. 31, 2016 | Dec. 31, 2016 | Jun. 30, 2016 | Dec. 28, 2013 | |
Line of Credit Facility [Line Items] | |||||||||||
Revolving loan payable | $11,022,000 | $6,774,000 | |||||||||
Total capital leases payable | 9,539,000 | ||||||||||
Revolving Line of Credit Facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Number of consecutive days excess availability is above required amount | 45 days | ||||||||||
Event of default amount | 0 | ||||||||||
JPMorgan Chase Bank | Revolving Line of Credit Facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Net orderly liquidation value inventory advance rate | 90.00% | 85.00% | |||||||||
Minimum availability required trigger amount (if less than) | 4,000,000 | 4,000,000 | 6,000,000 | ||||||||
Number of consecutive days excess availability is above required amount | 45 days | ||||||||||
Maximum borrowing capacity | 25,000,000 | ||||||||||
Maximum revolving commitment upon fulfillment of certain conditions | 40,000,000 | ||||||||||
Line of credit facility maturity date | 26-Apr-17 | ||||||||||
Revolving loan payable | 11,022,000 | ||||||||||
Unused credit commitment fee | 0.25% | ||||||||||
Cash dominion period exit amount of excess availability (greater than) | 4,000,000 | ||||||||||
Excess availability under credit facility | 8,329,000 | ||||||||||
Early repayment premium percentage | 0.50% | ||||||||||
London Interbank Offered Rate (LIBOR) | Revolving Line of Credit Facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
LIBOR based interest rate, principal | 11,000,000 | ||||||||||
Interest rate | 2.44% | ||||||||||
London Interbank Offered Rate (LIBOR) | JPMorgan Chase Bank | Revolving Line of Credit Facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Applicable margin for LIBOR-based interest rate/ Applicable margin for Alternate base rate | 2.25% | ||||||||||
Base Rate | Revolving Line of Credit Facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Interest rate | 3.50% | ||||||||||
Prime Based Rate Principal | 22,000 | ||||||||||
Base Rate | JPMorgan Chase Bank | Revolving Line of Credit Facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Applicable margin for LIBOR-based interest rate/ Applicable margin for Alternate base rate | 0.25% | ||||||||||
Scenario, Forecast | JPMorgan Chase Bank | Revolving Line of Credit Facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Minimum availability required trigger amount (if less than) | 2,000,000 | 2,000,000 | |||||||||
Testing period the Company is subject to a fixed charge coverage ratio | 5 months | 12 months | |||||||||
Decrease to the applicable margin | 0.50% | ||||||||||
Limited security by foreign subsidiaries' capital stock percentage | 65.00% | ||||||||||
Premium required | 0 | ||||||||||
Minimum availability required under availability block | 2,000,000 | ||||||||||
Minimum fixed charge coverage ratio if less than minimum excess availability | 1 | ||||||||||
Line of Credit | JPMorgan Chase Bank | Revolving Line of Credit Facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Net orderly liquidation value inventory advance rate | 90.00% | 85.00% | |||||||||
Minimum availability required trigger amount (if less than) | 4,000,000 | 6,000,000 | |||||||||
Number of consecutive days excess availability is above required amount | 45 days | ||||||||||
Line of Credit | Scenario, Forecast | JPMorgan Chase Bank | Revolving Line of Credit Facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Minimum availability required trigger amount (if less than) | $2,000,000 | ||||||||||
Number of consecutive days excess availability is above required amount | 45 days | ||||||||||
Testing period the Company is subject to a fixed charge coverage ratio | 5 months | 12 months |
Borrowings_Present_Value_of_Ne
Borrowings - Present Value of Net Minimum Payments on Capital Leases (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Debt Disclosure [Abstract] | ||
Total minimum lease payments | $18,520 | |
Less amount representing interest | -8,981 | |
Present value of net minimum lease payments | 9,539 | |
Current portion of capital leases payable | -269 | -269 |
Capital leases payable, net of current portion | $9,270 | $9,502 |
Stockholders_Equity_and_ShareB2
Stockholders' Equity and Share-Based Compensation - Schedule of Changes in Company's Ownership Interest in AutoMD (Details) (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 |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||
Net loss attributable to U.S. Auto Parts stockholders' | ($2,406) | ($2,494) | ($2,180) | $201 | ($1,325) | ($1,399) | ($9,567) | ($3,343) | ($6,879) | ($15,634) | ($35,978) |
Transfers (to) from the noncontrolling interest: | |||||||||||
Increase in U.S. Auto Parts paid-in-capital from sale of AutoMD common stock | 2,512 | 0 | 0 | ||||||||
Changes from net loss attributable to U.S. Auto Parts stockholders' and transfers to noncontrolling interest | ($4,367) | ($15,634) | ($35,978) |
Stockholders_Equity_and_ShareB3
Stockholders' Equity and Share-Based Compensation - Common Stock (Detail) | 12 Months Ended | ||
Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock, shares authorized | 100,000,000 | 100,000,000 | |
Shares of common stock issued from option exercises | 142,000 | ||
Series A Convertible Preferred Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Issuance of common stock in connection with preferred stock dividends (in shares) | 83,000 | 24,000 | |
Common Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock, shares authorized | 100,000 | ||
Shares of common stock issued from option exercises | 144,000 | 101,000 | 489,000 |
Issuance of common stock in connection with preferred stock dividends (in shares) | 107,000 | 50,000 | |
Common Stock | Series A Convertible Preferred Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Issuance of common stock in connection with preferred stock dividends (in shares) | 107,000 | ||
Employee Stock Option | Common Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares of common stock issued from option exercises | 144,000 | ||
Restricted Stock Units (RSUs) | Common Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares of common stock issued from option exercises | 21 |
Stockholders_Equity_and_ShareB4
Stockholders' Equity and Share-Based Compensation - Series A Convertible Preferred Stock (Details) (Series A Convertible Preferred Stock, USD $) | 0 Months Ended | 12 Months Ended | |||
Apr. 05, 2013 | Mar. 25, 2013 | Jan. 03, 2015 | Dec. 28, 2013 | Mar. 25, 2013 | |
Series A Convertible Preferred Stock | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Series A convertible preferred stock, shares authorized | 4,150,000 | 4,150,000 | 4,150,000 | 4,150,000 | |
Aggregate shares to be sold | 4,150,000 | 4,150,000 | |||
Series A convertible preferred stock, par value | $0.00 | $0.00 | $0.00 | $0.00 | |
Preferred stock purchase price per share | $1.45 | $1.45 | |||
Preferred stock purchase, amount | $6,017,000 | ||||
Preferred stock sold | 150,000 | 4,000,000 | |||
Aggregate proceeds of preferred stock | 217,000 | 5,800,000 | |||
Issuance costs incurred to company | 847,000 | ||||
Conversion rate of common stock for each share of Series A preferred stock | 1 | ||||
Consecutive trading days for calculating weighted average price for the common stock | 30 days | ||||
Minimum common stock price for consecutive thirty trading days for stock conversion | $4.35 | ||||
Percentage of changes of control of company and sales or other dispositions by company (more than) | 50.00% | ||||
Amount per share to series A preferred in case of liquidation | $1.45 | $1.45 | |||
Preferred stock annual dividend rate | $0.06 | ||||
Cash dividends on amended credit | 400,000 | ||||
Common stock dividends during the period | 0 | 60,000 | |||
Dividends | $240,000 | ||||
Issuance of common stock in connection with preferred stock dividends (in shares) | 83,000 | 24,000 |
Stockholders_Equity_and_ShareB5
Stockholders' Equity and Share-Based Compensation - Share-Based Compensation Plan Information (Details) (USD $) | 12 Months Ended | ||
Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted-average fair value of options granted | $1.34 | $1.22 | $2.53 |
Intrinsic value of the exercised options | $153,000 | $61,000 | $1,244,000 |
Unrecognized share-based compensation expense | $1,601,000 | ||
Weighted-average period of unrecognized compensation expense | 2 years 7 months 28 days | ||
2006 Equity Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for future grants | 0 | ||
2007 Omnibus Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock authorized | 2,400,000 | ||
Maximum number of shares authorized to issued under condition one | 1,500,000 | ||
Maximum percentage of shares authorized to issued under condition one | 5.00% | ||
Expiration period | 10 years | ||
Option grant vesting period | 4 years | ||
Exercise price of option grants | 100.00% | ||
Shares available for future grants | 1,515,000 | ||
2007 New Employee Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock authorized | 2,000,000 | ||
Expiration period | 10 years | ||
Option grant vesting period | 4 years | ||
Exercise price of option grants | 100.00% | ||
Shares available for future grants | 1,552,000 |
Stockholders_Equity_and_ShareB6
Stockholders' Equity and Share-Based Compensation - Summary of Stock Option Activity (Detail) (USD $) | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Outstanding, beginning (in shares) | 5,320 | |
Granted (in shares) | 840 | |
Exercised (in shares) | -142 | |
Forfeited (in shares) | -511 | |
Expired (in shares) | -226 | |
Outstanding, ending (in shares) | 5,281 | 5,320 |
Vested and expected to vest (in shares) | 4,884 | |
Exercisable (in shares) | 3,466 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | ||
Outstanding, beginning (in dollars per share) | $2.97 | |
Granted (in dollars per share) | $2.32 | |
Exercised (in dollars per share) | $2.06 | |
Forfeited (in dollars per share) | $1.70 | |
Expired (in dollars per share) | $6.61 | |
Outstanding, beginning (in dollars per share) | $2.85 | $2.97 |
Vested and expected to vest (in dollars per share) | $2.93 | |
Exercisable (in dollars per share) | $3.30 | |
Outstanding, weighted average contractual term, beginning | 6 years 1 month 6 days | 6 years 9 months 7 days |
Outstanding, weighted average contractual term, ending | 6 years 1 month 6 days | 6 years 9 months 7 days |
Vested and expected to vest, weighted average contractual term | 5 years 10 months 13 days | |
Exercisable, weighted average contractual term | 4 years 8 months 4 days | |
Outstanding, aggregate intrinsic value | $1,867 | |
Vested and expected to vest, aggregate intrinsic value | 1,686 | |
Exercisable, aggregate intrinsic value | $1,004 |
Stockholders_Equity_and_ShareB7
Stockholders' Equity and Share-Based Compensation - Restricted Stock Units (Details) (USD $) | 12 Months Ended | |||
In Thousands, except Share data, unless otherwise specified | Jan. 03, 2015 | Aug. 01, 2014 | Apr. 03, 2014 | Feb. 14, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Weighted-average period of unrecognized compensation expense | 2 years 7 months 28 days | |||
Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awards granted | 1,015,000 | |||
Closing price of grant (in dollars per share) | $3.17 | $2.93 | $2.03 | |
Awards forfeited | 171,000 | |||
Compensation expense | $1,345 | |||
Unrecognized compensation expense | $757 | |||
Weighted-average period of unrecognized compensation expense | 10 months 12 days | |||
Time-Based RSU Award | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awards granted | 738,000 | |||
Performance-based RSU Award | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awards granted | 277,000 | |||
Awards forfeited | 106,000 |
Stockholders_Equity_and_ShareB8
Stockholders' Equity and Share-Based Compensation - Stock Option Exchange Program (Detail) (USD $) | 0 Months Ended | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 10, 2013 | Jul. 09, 2013 | Jan. 03, 2015 | Sep. 10, 2013 |
employee | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise price of shares issued under exchange program | 2.06 | |||
Stock Option Exchange Program | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise price of shares issued under exchange program | $4 | |||
Share exchange ratio per share | 3.5 | |||
Shares issued under exchange program | 3,733,000 | |||
Stock option exercise price, minimum | $4.01 | |||
Stock option exercise price, maximum | $11.68 | |||
Stock options vesting period | 4 years | 4 years | ||
Stock options vesting, description | The terms and conditions of the new options are subject to an entirely new four year vesting schedule where 25% will vest on the first anniversary, and the remaining 75% will vest monthly over the following 36 months. All new options have a ten year contractual term. | |||
Contractual term | 10 years | |||
Exercisable options | 3,475,000 | 3,475,000 | ||
Stock options exercised, weighted average exercise price | $6.65 | $6.65 | ||
Eligible employees | 45 | |||
Unvested exercisable options | 993,000 | 993,000 | ||
Unvested exercisable options exercise price | $0.99 | $0.99 | ||
Incremental fair value on the date of exchange | $422 | |||
Stock Option Exchange Program | Stock Options Vesting in Year One | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock options vested, percentage | 25.00% | |||
Stock Option Exchange Program | Stock Options Vesting After Year One | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock options vesting period | 36 months | |||
Stock options vested, percentage | 75.00% |
Stockholders_Equity_and_ShareB9
Stockholders' Equity and Share-Based Compensation - Summary of Assumptions Used for Fair Value of Surrendered Stock Options and New Stock Options (Detail) | 12 Months Ended |
Jan. 03, 2015 | |
Surrendered Stock Options | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Expected dividend yield | 0.00% |
Surrendered Stock Options | Minimum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Expected life | 1 year 11 months 4 days |
Risk-free interest rate | 0.50% |
Expected volatility | 55.00% |
Surrendered Stock Options | Maximum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Expected life | 6 years 10 months 13 days |
Risk-free interest rate | 2.40% |
Expected volatility | 73.00% |
New Stock Options | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Expected life | 5 years 10 months 2 days |
Risk-free interest rate | 2.00% |
Expected volatility | 72.00% |
Expected dividend yield | 0.00% |
Recovered_Sheet1
Stockholders' Equity and Share-Based Compensation - Warrants (Details) (USD $) | 0 Months Ended | 12 Months Ended | ||||
5-May-09 | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Apr. 27, 2010 | 5-May-09 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Weighted-average period of unrecognized compensation expense | 2 years 7 months 28 days | |||||
Unrecognized share-based compensation expense | $1,601,000 | |||||
Warrant | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Exercise price | 2.14 | 8.32 | 2.14 | |||
Expiration period | 7 years | |||||
Warrants exercised | 0 | |||||
Aggregate intrinsic value for warrants outstanding and exercisable | 2,000 | |||||
Compensation expense | 0 | 0 | 16,000 | |||
Unrecognized share-based compensation expense | $0 | |||||
Warrant | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Warrants exercisable | 50,000 | |||||
Warrants Issued | Warrant | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of warrants | 30,000 | 50,000 | 20 | 30,000 |
Recovered_Sheet2
Stockholders' Equity and Share-Based Compensation - Summary of Assumptions Used for Fair Value of Option Grant (Detail) (Option Grant) | 12 Months Ended | ||
Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected life | 5 years 8 months 23 days | ||
Risk-free interest rate | 1.00% | ||
Expected dividend yield | 0.00% | 0.00% | 0.00% |
Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected life | 5 years 3 months 18 days | 5 years 2 months 15 days | |
Risk-free interest rate | 2.00% | 1.00% | |
Expected volatility | 62.00% | 67.00% | 71.00% |
Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected life | 5 years 4 months 13 days | 5 years 8 months 23 days | |
Risk-free interest rate | 2.00% | 2.00% | |
Expected volatility | 68.00% | 73.00% | 74.00% |
Recovered_Sheet3
Stockholders' Equity and Share-Based Compensation - Summary of Share-based Compensation from Options, Warrants and Stock Awards (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Share-based compensation expense | $2,371 | $1,263 | $1,673 |
Adjustment related to performance stock options | 279 | ||
Marketing expense | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Share-based compensation expense | 540 | 285 | 505 |
General and administrative expense | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Share-based compensation expense | 1,476 | 805 | 1,119 |
Fulfillment expense | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Share-based compensation expense | 220 | 102 | -38 |
Technology expense | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Share-based compensation expense | $135 | $71 | $87 |
Recovered_Sheet4
Stockholders' Equity and Share-Based Compensation - Additional Information (Details) (USD $) | 12 Months Ended | ||
Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Amounts capitalized to internally-developed software | $196,000 | $220,000 | $252,000 |
Tax benefit valuation allowance recognized | $0 | $0 | $0 |
Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Revised estimated forfeiture rate | 16.00% | 16.00% | 16.00% |
Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Revised estimated forfeiture rate | 34.00% | 34.00% | 34.00% |
Net_Loss_Per_Share_Computation
Net Loss Per Share - Computation of Basic and Diluted Net Loss Per Share (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 loss attributable to U.S. Auto Parts stockholders' | ($2,406) | ($2,494) | ($2,180) | $201 | ($1,325) | ($1,399) | ($9,567) | ($3,343) | ($6,879) | ($15,634) | ($35,978) |
Dividends on Series A Convertible Preferred Stock | -240 | -184 | 0 | ||||||||
Net loss available to common shares | ($7,119) | ($15,818) | ($35,978) | ||||||||
Denominator: | |||||||||||
Weighted-average common shares outstanding (basic and diluted) (in shares) | 33,489 | 32,697 | 30,818 | ||||||||
Basic and diluted net loss per share (in dollars per share) | ($0.07) | ($0.08) | ($0.07) | $0 | ($0.04) | ($0.04) | ($0.29) | ($0.11) | ($0.21) | ($0.48) | ($1.17) |
Net_Loss_Per_Share_AntiDilutiv
Net Loss Per Share - Anti-Dilutive Securities Excluded from Calculation of Diluted Earnings Per Share (Detail) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from calculation of diluted earnings per share | 10,463 | 9,779 | 7,692 |
Series A Convertible Preferred Stock | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from calculation of diluted earnings per share | 4,150 | 3,145 | 0 |
Warrants | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from calculation of diluted earnings per share | 50 | 50 | 50 |
Stock Option | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from calculation of diluted earnings per share | 5,467 | 6,584 | 7,642 |
Restricted Stock Units (RSUs) | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from calculation of diluted earnings per share | 796 | 0 | 0 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 12 Months Ended | 0 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Oct. 08, 2014 |
Income Taxes [Line Items] | ||||
Effective tax rate | -2.00% | -0.30% | 2.50% | |
Change in valuation allowance | $2,366 | $6,621 | $14,080 | |
Annual usage limitation | 135 | |||
Amount of tax benefit of the federal and state NOL carryforwards which was created by the exercise of stock options | 41 | |||
Accrued expenses related to income taxes payable | 33 | 26 | ||
Deferred tax liability as a result of transaction | 1,335 | 0 | ||
Valuation allowance | 45,867 | 43,509 | ||
Federal | ||||
Income Taxes [Line Items] | ||||
Net operating loss carryforwards | 57,552 | |||
NOL carryforwards expire date | 2029 | |||
State | ||||
Income Taxes [Line Items] | ||||
Net operating loss carryforwards | 73,610 | |||
NOL carryforwards expire date | 2015 | |||
Whitney Automotive Group (WAG) | Federal | ||||
Income Taxes [Line Items] | ||||
Net operating loss carryforwards | 2,690 | |||
AutoMD | ||||
Income Taxes [Line Items] | ||||
Effective tax rate | -0.20% | |||
Common stock issued | 7,000,000 | |||
Percentage ownership after issuance of shares | 64.10% | |||
Deferred tax liability as a result of transaction | 1,335 | |||
Valuation allowance | 195 | |||
AutoMD | Federal | ||||
Income Taxes [Line Items] | ||||
Net operating loss carryforwards | $2,582 |
Income_Taxes_Components_of_Los
Income Taxes - Components of Loss Before Income Tax Provision (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 |
Income Tax Disclosure [Abstract] | |||||||||||
Domestic operations | ($7,424) | ($16,155) | ($37,469) | ||||||||
Foreign operations | 476 | 564 | 554 | ||||||||
Loss before income taxes | ($2,543) | ($2,479) | ($2,159) | $233 | ($1,373) | ($1,398) | ($9,498) | ($3,322) | ($6,948) | ($15,591) | ($36,915) |
Income_Taxes_Summary_of_Income
Income Taxes - Summary of Income Tax (Benefit) Provision (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Current: | |||
Federal tax | $0 | $0 | $0 |
State tax | -15 | 20 | 14 |
Foreign tax | 78 | -37 | -76 |
Total current taxes | 63 | -17 | -62 |
Deferred: | |||
Federal tax | -2,232 | -5,260 | -12,612 |
State tax | -125 | -1,353 | -2,618 |
Foreign tax | 74 | 60 | 275 |
Total deferred taxes | -2,283 | -6,553 | -14,955 |
Valuation allowance | 2,358 | 6,613 | 14,080 |
Income tax (benefit) provision | $138 | $43 | ($937) |
Income_Taxes_Summary_of_Differ
Income Taxes - Summary of Differences Between Income Tax Provision (Benefit) and Applied Federal Statutory Rate (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Income Tax Disclosure [Abstract] | |||
Income tax at U.S. federal statutory rate | ($2,362) | ($5,301) | ($12,551) |
Share-based compensation | 33 | 43 | 38 |
State income tax, net of federal tax effect | -143 | -1,348 | -2,528 |
Foreign tax | 117 | 70 | -27 |
Other | 127 | -42 | 51 |
Change in valuation allowance | 2,366 | 6,621 | 14,080 |
Income tax (benefit) provision | $138 | $43 | ($937) |
Income_Taxes_Summary_of_Deferr
Income Taxes - Summary of Deferred Tax Assets and Deferred Tax Liabilities (Detail) (USD $) | Jan. 03, 2015 | Dec. 28, 2013 |
In Thousands, unless otherwise specified | ||
Deferred tax assets: | ||
Inventory and inventory related allowance | $1,334 | $1,075 |
Share-based compensation | 5,248 | 4,545 |
Amortization | 11,805 | 13,704 |
Sales and bad debt allowances | 472 | 583 |
Vacation accrual | 264 | 374 |
Book over tax amortization | 10 | 377 |
Net operating loss and AMT credit carry-forwards | 26,186 | 23,114 |
Other | 807 | 388 |
Total deferred tax assets | 46,126 | 44,160 |
Valuation Allowance | -45,867 | -43,509 |
Net deferred tax assets | 259 | 651 |
Deferred tax liabilities: | ||
Investment in subsidiary | 1,335 | 0 |
Tax over book depreciation | 79 | 784 |
Foreign tax withholdings | 409 | 0 |
Prepaid catalog expenses | 180 | 202 |
Total deferred tax liabilities | 2,003 | 986 |
Net deferred tax liabilities | ($1,744) | ($335) |
Income_Taxes_Summary_of_State_
Income Taxes - Summary of State NOL Carryforwards Expiration Year (Detail) (State, USD $) | Jan. 03, 2015 |
In Thousands, unless otherwise specified | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss carryforwards | $73,610 |
2015-2022 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss carryforwards | 40,553 |
2023-2032 | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss carryforwards | $33,057 |
Commitments_and_Contingencies_1
Commitments and Contingencies - Additional Information (Detail) (USD $) | 12 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | |||||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Apr. 17, 2013 | Jul. 31, 2011 | Dec. 31, 2008 | Mar. 01, 2010 | Nov. 01, 2011 | Sep. 22, 2011 |
sqft | |||||||||
Other Commitments [Line Items] | |||||||||
Initial lease term | 5 years | ||||||||
Facility rent expense | $1,895 | $2,150 | $2,388 | ||||||
Property and equipment | 16,966 | 19,663 | |||||||
Capital Leased Assets (Facility) | |||||||||
Other Commitments [Line Items] | |||||||||
Estimated useful life of property and equipment | 20 years | 20 years | |||||||
Property and equipment | 8,736 | 9,253 | |||||||
Chesapeake, Virginia | |||||||||
Other Commitments [Line Items] | |||||||||
Lease expiration date | 30-Jun-16 | ||||||||
Chesapeake, Virginia | Warehouse | |||||||||
Other Commitments [Line Items] | |||||||||
Initial lease term | 5 years | ||||||||
Lease expiration date | 30-Jun-16 | 31-Dec-13 | |||||||
Base rent commitment | 60 | ||||||||
Philippines | |||||||||
Other Commitments [Line Items] | |||||||||
Initial lease term | 63 months | ||||||||
Lease renewal term | 60 months | ||||||||
Property and equipment | 244 | 508 | |||||||
Philippines | Commercial Office Space | |||||||||
Other Commitments [Line Items] | |||||||||
Lease renewal term | 60 months | ||||||||
Monthly lease rent | 25 | ||||||||
Annual escalation, percentage | 5.00% | ||||||||
Lease escalation beginning period | 3 years | ||||||||
Carson, California | Commercial Office Space | |||||||||
Other Commitments [Line Items] | |||||||||
Sublease initial term | 60 months | ||||||||
Effective sublease initial term | 42 months | ||||||||
Nia Chloe | Sol Khazani | |||||||||
Other Commitments [Line Items] | |||||||||
Facility rent expense | 378 | 374 | 374 | ||||||
STORE | LaSalle, Illinois Facility | |||||||||
Other Commitments [Line Items] | |||||||||
Lease expiration date | 30-Apr-33 | ||||||||
Purchase and sale agreement date | April 17, 2013 | ||||||||
Period of lease under sale and lease back transaction | 20 years | ||||||||
Initial base annual rent for first year | 853 | ||||||||
Percentage of annual increase in base rent | 1.50% | ||||||||
Increased percentage in base rent with change in consumer price index | 1.25 | ||||||||
Excess of net proceeds over the net carrying value of capital leased asset under sale and lease back | 376 | ||||||||
STORE | LaSalle, Illinois Facility | Capital Leased Assets (Facility) | |||||||||
Other Commitments [Line Items] | |||||||||
Estimated useful life of property and equipment | 20 years | ||||||||
Property and equipment | $8,736 | ||||||||
Sublease of Office Building | Carson, California | |||||||||
Other Commitments [Line Items] | |||||||||
Area of Real Estate Property | 25,000 | ||||||||
Sublease of Warehouse | Chesapeake, Virginia | |||||||||
Other Commitments [Line Items] | |||||||||
Area of Real Estate Property | 87,000 |
Commitments_and_Contingencies_2
Commitments and Contingencies - Summary of Minimum Lease Commitments under Non-Cancelable Operating Leases (Detail) (USD $) | Jan. 03, 2015 |
In Thousands, unless otherwise specified | |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
2015 | $1,279 |
2016 | 786 |
2017 | 0 |
2018 | 0 |
2019 | 0 |
Thereafter | 0 |
Total minimum lease commitments | $2,065 |
Commitments_and_Contingencies_3
Commitments and Contingencies - Summary of Capital Lease Commitments (Detail) (USD $) | Jan. 03, 2015 |
In Thousands, unless otherwise specified | |
Capital Leases, Future Minimum Payments, Present Value of Net Minimum Payments, Fiscal Year Maturity [Abstract] | |
Capital Lease Commitments, 2015 | $1,009 |
Capital Lease Commitments, 2016 | 968 |
Capital Lease Commitments, 2017 | 909 |
Capital Lease Commitments, 2018 | 915 |
Capital Lease Commitments, 2019 | 928 |
Capital Lease Commitments, 2020 onwards | 13,791 |
Capital Lease Commitments, Total | 18,520 |
Less: Interest Payments, 2015 | 740 |
Less: Interest Payments, 2016 | 725 |
Less: Interest Payments, 2017 | 709 |
Less: Interest Payments, 2018 | 692 |
Less: Interest Payments, 2019 | 674 |
Less: Interest Payments, 2020 onwards | 5,441 |
Less: Interest Payments, Total | 8,981 |
Principal Obligations, 2015 | 269 |
Principal Obligations, 2016 | 243 |
Principal Obligations, 2017 | 200 |
Principal Obligations, 2018 | 223 |
Principal Obligations, 2019 | 254 |
Principal Obligations, 2020 onwards | 8,350 |
Present value of net minimum lease payments | $9,539 |
Employee_Retirement_Plan_and_D1
Employee Retirement Plan and Deferred Compensation Plan - Additional Information (Detail) (USD $) | 12 Months Ended | 1 Months Ended | ||
Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Jan. 31, 2010 | |
Compensation and Retirement Disclosure [Abstract] | ||||
Minimum service period required to cover under plan | 1 month | |||
Employer's match per dollar of participants salary | $0.50 | |||
Employer's match percentage of participants salary | 6.00% | |||
Contributions vest in annual installments | 3 years | |||
Discretionary contributions | 256,000 | 266,000 | 324,000 | |
Highly Compensated Employees | ||||
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||||
Participant deferral of base salary, percentage (up to) | 90.00% | |||
Participant deferral of annual earned bonus, percentage (up to) | 100.00% | |||
Deferred compensation plan vested | 100.00% | |||
Employer contribution percentage of eligible participants eligible contribution | 50.00% | |||
Employer matching contribution, percentage of participants eligible contributions | 2.00% | |||
Increase (decrease) in deferred compensation, employee contribution | 127,000 | 126,000 | ||
Increase (decrease) in deferred compensation, employer contribution | 32,000 | 38,000 | ||
Increase (decrease) in deferred compensation, earnings | 43,000 | 104,000 | ||
Increase (decrease) in deferred compensation, distributions | 291,000 | 82,000 | ||
Gain (loss) on change in cash surrender value | 22,000 | 73,000 | ||
Other non-current assets | Highly Compensated Employees | ||||
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||||
Deferred compensation plan assets | 854,000 | 876,000 | ||
Other non-current liabilities | Highly Compensated Employees | ||||
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||||
Deferred compensation plan associated liabilities | $749,000 | $838,000 |
Restructuring_Costs_Detail
Restructuring Costs (Detail) (USD $) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | 3 Months Ended | 0 Months Ended | |
Aug. 31, 2012 | Mar. 30, 2013 | Jun. 29, 2013 | Dec. 28, 2013 | Jan. 03, 2015 | Jan. 03, 2015 | Jul. 25, 2014 | |
employee | employee | employee | employee | ||||
Fiscal 2012 | Lasalle, Illinois | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Headcount reduction, number of employees | 71 | ||||||
Fiscal 2012 | Employee severance | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance charges | 640,000 | ||||||
Fiscal 2012 | Employee severance | Fulfillment Expense | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance charges | 228,000 | ||||||
Fiscal 2012 | Employee severance | Marketing expense | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance charges | 396,000 | ||||||
Fiscal 2012 | Employee severance | Technology expense | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance charges | 16,000 | ||||||
Fiscal 2013 | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Headcount reduction, number of employees | 176 | 15 | |||||
Fiscal 2013 | United States | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Headcount reduction, number of employees | 13 | ||||||
Fiscal 2013 | Philippines | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Headcount reduction, number of employees | 163 | ||||||
Fiscal 2013 | Employee severance | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance payable | 0 | ||||||
Severance charges | 723,000 | ||||||
Adjustments to severance payable | 0 | ||||||
Fiscal 2013 | Employee severance | Fulfillment Expense | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance charges | 58,000 | ||||||
Fiscal 2013 | Employee severance | Marketing expense | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance charges | 394,000 | ||||||
Fiscal 2013 | Employee severance | General and administrative expense | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance charges | 109,000 | ||||||
Fiscal 2013 | Employee severance | Technology expense | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance charges | 162,000 | ||||||
Fiscal 2014 | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Number of remaining warehouses | 2 | 2 | |||||
Fiscal 2014 | Inventory transfers | Cost of Sales | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Inventory not deemed economically transferable | 130,000 | ||||||
Inventory write-down | 767,000 | ||||||
Aggregate inventory charge | 897,000 | ||||||
Fiscal 2014 | Employee severance | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance payable | 0 | 0 | |||||
Fiscal 2014 | Employee severance | Fulfillment Expense | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Reduction in severance charges | $26,000 | ||||||
Fiscal 2014 | Facility Closure | Carson, California | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Headcount reduction, number of employees | 77 |
Restructuring_Costs_Summary_of
Restructuring Costs - Summary of Restructuring Charges (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Jan. 03, 2015 | Sep. 27, 2014 | Jun. 28, 2014 | Jun. 29, 2013 | Mar. 30, 2013 | Jan. 03, 2015 |
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring costs | $102 | $410 | $625 | $225 | $498 | |
Fiscal 2014 | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring costs | 1,137 | |||||
Employee severance | Fiscal 2014 | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring costs | 526 | |||||
Accounts receivable allowance | Fiscal 2014 | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring costs | 73 | |||||
Relocation costs (employee and equipment) | Fiscal 2014 | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring costs | 127 | |||||
Inventory transfers | Fiscal 2014 | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring costs | $411 |
RelatedParty_Transactions_Addi
Related-Party Transactions - Additional Information (Detail) (USD $) | 12 Months Ended | 0 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Oct. 08, 2014 |
Related Party Transaction [Line Items] | ||||
Lease payments and expenses | $1,895 | $2,150 | $2,388 | |
Nia Chloe | Directors | ||||
Related Party Transaction [Line Items] | ||||
Lease payments and expenses | 378 | 374 | 374 | |
Nia Chloe | Directors | Lease Agreement | ||||
Related Party Transaction [Line Items] | ||||
Lease payments and expenses | $378 | $374 | ||
Oak | Directors | ||||
Related Party Transaction [Line Items] | ||||
Common stock issued | 1,500,000 | |||
Trust | Directors | ||||
Related Party Transaction [Line Items] | ||||
Common stock issued | 500,000 | |||
Purchase price of shares issued | 1 |
Quarterly_Information_Unaudite2
Quarterly Information (Unaudited) - Consolidated Statement of Income Data (Details) (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 | Dec. 29, 2012 | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 |
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||
Net sales | $70,568 | $67,965 | $76,947 | $68,028 | $59,735 | $61,724 | $67,889 | $65,405 | $283,508 | $254,753 | $304,017 | |
Gross profit | 18,915 | 18,414 | 20,420 | 20,701 | 17,475 | 17,907 | 19,013 | 19,738 | 78,450 | 74,133 | 91,638 | |
Income (loss) from operations | -2,252 | -2,216 | -1,939 | 495 | -1,037 | -1,246 | -9,342 | -3,142 | -5,912 | -14,767 | -35,790 | |
Income (loss) before income taxes | -2,543 | -2,479 | -2,159 | 233 | -1,373 | -1,398 | -9,498 | -3,322 | -6,948 | -15,591 | -36,915 | |
Net loss including noncontrolling interests | -2,613 | -2,494 | -2,180 | 201 | -1,325 | -1,399 | -9,567 | -3,343 | -7,086 | -15,634 | -35,978 | |
Net loss attributable to noncontrolling interests | -207 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -207 | 0 | 0 | |
Net income (loss) | -2,406 | -2,494 | -2,180 | 201 | -1,325 | -1,399 | -9,567 | -3,343 | -6,879 | -15,634 | -35,978 | |
Basic and diluted net income (loss) per share (in dollars per share) | ($0.07) | ($0.08) | ($0.07) | $0 | ($0.04) | ($0.04) | ($0.29) | ($0.11) | ($0.21) | ($0.48) | ($1.17) | |
Shares used in computation of basic net income (loss) per share as reported and adjusted (in shares) | 33,573 | 33,532 | 33,460 | 33,384 | 33,308 | 33,218 | 33,119 | 31,141 | ||||
Shares used in computation of diluted net income (loss) per share as reported and adjusted (in shares) | 33,573 | 33,532 | 33,460 | 34,158 | 33,308 | 33,218 | 33,119 | 31,141 | ||||
Restructuring costs | 102 | 410 | 625 | 225 | 498 | |||||||
Impairment loss on property and equipment | 4,832 | 1,960 | 0 | 4,832 | 1,960 | |||||||
Impairment loss on intangible assets | $1,245 | $0 | $1,245 | $5,613 |
Segment_Information_Additional
Segment Information - Additional Information (Details) | 12 Months Ended |
Jan. 03, 2015 | |
segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
Segment_Information_Summary_of
Segment Information - Summary of Segment Information (Details) (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 |
Segment Reporting Information [Line Items] | |||||||||||
Net sales | $70,568 | $67,965 | $76,947 | $68,028 | $59,735 | $61,724 | $67,889 | $65,405 | $283,508 | $254,753 | $304,017 |
Gross profit | 18,915 | 18,414 | 20,420 | 20,701 | 17,475 | 17,907 | 19,013 | 19,738 | 78,450 | 74,133 | 91,638 |
Operating costs | 84,362 | 88,900 | 127,428 | ||||||||
Loss from operations | -2,252 | -2,216 | -1,939 | 495 | -1,037 | -1,246 | -9,342 | -3,142 | -5,912 | -14,767 | -35,790 |
Capital expenditures | 5,556 | 8,325 | 10,155 | ||||||||
Depreciation and amortization expense | 8,923 | 12,175 | 15,204 | ||||||||
Total assets, net of accumulated depreciation | 82,907 | 69,182 | 82,907 | 69,182 | 88,877 | ||||||
Reportable Segments | Base USAP | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 283,211 | 254,422 | 303,667 | ||||||||
Gross profit | 78,153 | 73,802 | 91,288 | ||||||||
Operating costs | 81,887 | 86,579 | 125,048 | ||||||||
Loss from operations | -3,734 | -12,777 | -33,760 | ||||||||
Capital expenditures | 4,237 | 6,297 | 8,547 | ||||||||
Depreciation and amortization expense | 7,230 | 10,676 | 13,475 | ||||||||
Total assets, net of accumulated depreciation | 74,414 | 67,039 | 74,414 | 67,039 | 86,818 | ||||||
Reportable Segments | AutoMD | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 297 | 331 | 350 | ||||||||
Gross profit | 297 | 331 | 350 | ||||||||
Operating costs | 2,475 | 2,321 | 2,380 | ||||||||
Loss from operations | -2,178 | -1,990 | -2,030 | ||||||||
Capital expenditures | 1,319 | 2,028 | 1,608 | ||||||||
Depreciation and amortization expense | 1,693 | 1,499 | 1,729 | ||||||||
Total assets, net of accumulated depreciation | $8,493 | $2,143 | $8,493 | $2,143 | $2,059 |
AutoMD_Details
AutoMD (Details) (USD $) | 12 Months Ended | 0 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Jan. 03, 2015 | Dec. 28, 2013 | Dec. 29, 2012 | Oct. 08, 2014 |
Noncontrolling Interest [Line Items] | ||||
Issuance of shares | $5,665 | $1,991 | ||
Deferred tax liability as a result of transaction | 1,335 | 0 | ||
Proceeds from sale of equity in subsidiary | 7,000 | 0 | 0 | |
AutoMD | ||||
Noncontrolling Interest [Line Items] | ||||
Common stock issued | 7,000,000 | |||
Percentage ownership after issuance of shares | 64.10% | |||
Deferred tax liability as a result of transaction | 1,335 | |||
Purchase Agreement | AutoMD | ||||
Noncontrolling Interest [Line Items] | ||||
Common stock issued | 7,000,000 | |||
Purchase price of shares issued | 1 | |||
Percentage ownership after issuance of shares | 64.10% | |||
Issuance of shares | 2,534 | |||
Increase in Company's interest | 3,847 | |||
Deferred tax liability as a result of transaction | 1,313 | |||
Number of shares the Company may be required to purchase | 2,000,000 | |||
Share price | 1 | |||
Period following closing date the Company is subject to stock repurchase | 2 years | |||
Proceeds from sale of equity in subsidiary | 7,000 | |||
Annual interest rate in event of default of agreement terms | 10.00% | |||
Purchase Agreement | Directors | AutoMD | ||||
Noncontrolling Interest [Line Items] | ||||
Number of board members affiliated with the transaction | 2 | |||
Investor Rights Agreement | AutoMD | ||||
Noncontrolling Interest [Line Items] | ||||
Share price | 1 | |||
Minimum ownership percentage required by the Company in agreement | 50.00% | |||
Number of days written notice in event of default of agreement terms | 30 days |
Subsequent_Events_Details
Subsequent Events (Details) (Revolving Line of Credit Facility, USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 5 Months Ended | 6 Months Ended | 12 Months Ended | |
Jan. 03, 2015 | Jan. 02, 2015 | Jan. 01, 2015 | Jan. 01, 2015 | 31-May-16 | Dec. 31, 2016 | Dec. 31, 2016 | |
Subsequent Event [Line Items] | |||||||
Number of consecutive days excess availability is above required amount | 45 days | ||||||
JPMorgan Chase Bank | |||||||
Subsequent Event [Line Items] | |||||||
Net orderly liquidation value inventory advance rate | 90.00% | 85.00% | |||||
Minimum availability required trigger amount (if less than) | 4,000,000 | $4,000,000 | $6,000,000 | ||||
Number of consecutive days excess availability is above required amount | 45 days | ||||||
Line of Credit | JPMorgan Chase Bank | |||||||
Subsequent Event [Line Items] | |||||||
Net orderly liquidation value inventory advance rate | 90.00% | 85.00% | |||||
Minimum availability required trigger amount (if less than) | 4,000,000 | 6,000,000 | |||||
Number of consecutive days excess availability is above required amount | 45 days | ||||||
Scenario, Forecast | JPMorgan Chase Bank | |||||||
Subsequent Event [Line Items] | |||||||
Minimum availability required trigger amount (if less than) | 2,000,000 | 2,000,000 | |||||
Testing period the Company is subject to a fixed charge coverage ratio | 5 months | 12 months | |||||
Scenario, Forecast | Line of Credit | JPMorgan Chase Bank | |||||||
Subsequent Event [Line Items] | |||||||
Minimum availability required trigger amount (if less than) | $2,000,000 | ||||||
Number of consecutive days excess availability is above required amount | 45 days | ||||||
Testing period the Company is subject to a fixed charge coverage ratio | 5 months | 12 months |