Blue Bird (BLBD) 10-Q 4 Aug 17 2017 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Jul. 01, 2017	Jul. 31, 2017
Document and Entity Information [Abstract]
Entity Registrant Name	Blue Bird Corp
Entity Central Index Key	1,589,526
Current Fiscal Year End Date	--09-30
Entity Filer Category	Smaller Reporting Company
Document Type	10-Q
Document Period End Date	Jul. 1, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q3
Amendment Flag	false
Entity Common Stock, Shares Outstanding		24,233,924

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jul. 01, 2017	Oct. 01, 2016
Current assets
Cash and cash equivalents	$ 50,311	$ 52,309
Accounts receivable, net	34,180	20,315
Inventories	126,602	53,806
Other current assets	12,074	6,104
Total current assets	223,167	132,534
Property, plant and equipment, net	34,156	33,466
Goodwill	18,825	18,825
Intangible assets, net	57,984	59,491
Equity investment in affiliate	13,455	12,944
Deferred tax assets	18,289	19,080
Other assets	904	1,526
Total assets	366,780	277,866
Current liabilities
Accounts payable	135,417	80,646
Warranty	8,316	7,972
Accrued expenses	20,976	20,455
Deferred warranty income	6,508	5,666
Other current liabilities	11,138	4,032
Current portion of long-term debt	8,000	11,750
Total current liabilities	190,355	130,521
Long-term liabilities
Long-term debt	145,028	140,366
Warranty	11,966	11,472
Deferred warranty income	12,022	10,521
Other liabilities	15,131	15,592
Pension	51,910	56,368
Total long-term liabilities	236,057	234,319
Guarantees, commitments and contingencies (Note 6)
Stockholders' deficit
Preferred stock, $0.0001 par value, 10,000,000 shares authorized, 500,000 issued with liquidation preference of $50,000	50,000	50,000
Common stock, $0.0001 par value, 100,000,000 shares authorized, 23,730,211 and 22,518,058 issued and outstanding at July 1, 2017 and October 1, 2016, respectively	2	2
Additional paid-in capital	60,760	50,771
Accumulated deficit	(114,599)	(128,856)
Accumulated other comprehensive loss	(55,795)	(58,891)
Total stockholders' deficit	(59,632)	(86,974)
Total liabilities and stockholders' deficit	$ 366,780	$ 277,866

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($)	Jul. 01, 2017	Oct. 01, 2016
Statement of Financial Position [Abstract]
Preferred Stock, Par Value (in dollars per share)	$ 0.0001	$ 0.0001
Preferred Stock, Shares Authorized	10,000,000	10,000,000
Preferred Stock, Shares Issued	500,000	500,000
Preferred Stock, Liquidation Preference, Value	$ 50,000,000	$ 50,000,000
Common Stock, Par Value (in dollars per share)	$ 0.0001	$ 0.0001
Common Stock, Shares Authorized	100,000,000	100,000,000
Common Stock, Shares Issued	23,730,211	22,518,058
Common Stock, Shares Outstanding	23,730,211	22,518,058

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 01, 2017	Jul. 02, 2016	Jul. 01, 2017	Jul. 02, 2016
Income Statement [Abstract]
Net sales	$ 332,604	$ 323,055	$ 677,915	$ 645,596
Cost of goods sold	287,594	276,247	590,058	554,921
Gross profit	45,010	46,808	87,857	90,675
Operating expenses
Selling, general and administrative expenses	16,331	45,505	53,782	81,329
Operating profit	28,679	1,303	34,075	9,346
Interest expense	(1,398)	(4,040)	(5,801)	(12,736)
Interest income	50	7	63	118
Other (expense) income, net	(11)	0	13	16
Loss on debt extinguishment	0	0	(10,142)	0
Income (loss) before income taxes	27,320	(2,730)	18,208	(3,256)
Income tax expense	(8,302)	(887)	(5,806)	(2,069)
Equity in net income of non-consolidated affiliate	1,036	696	1,997	1,494
Net income (loss) from continuing operations	20,054	(2,921)	14,399	(3,831)
Loss from discontinued operations, net of tax	(22)	(13)	(142)	(46)
Net income (loss)	20,032	(2,934)	14,257	(3,877)
Defined benefit pension plan, net of tax expense of $566, $419, $1,698, and $1,257, respectively	1,007	777	3,020	2,333
Cash flow hedge (loss) gain, net of tax (benefit) expense of ($13), ($33), $41, and ($149), respectively	(26)	(60)	76	(276)
Comprehensive income (loss)	21,013	(2,217)	17,353	(1,820)
Earnings per share:
Net income (loss) (from above)	20,032	(2,934)	14,257	(3,877)
Less: preferred stock dividends	974	964	2,944	2,915
Net income (loss) available to common stockholders	$ 19,058	$ (3,898)	$ 11,313	$ (6,792)
Basic weighted average shares outstanding	23,659,057	21,084,878	23,101,685	20,989,737
Diluted weighted average shares outstanding	29,527,612	21,084,878	24,654,158	20,989,737
Basic earnings per share, continuing operations (in dollars per share)	$ 0.81	$ (0.18)	$ 0.50	$ (0.32)
Basic earnings per share, discontinued operations (in dollars per share)	0	0	(0.01)	0
Basic earnings per share (in dollars per share)	0.81	(0.18)	0.49	(0.32)
Diluted earnings per share, continuing operations (in dollars per share)	0.68	(0.18)	0.46	(0.32)
Diluted earnings per share, discontinued operations (in dollars per share)	0	0	0	0
Diluted net income per share (in dollars per share)	$ 0.68	$ (0.18)	$ 0.46	$ (0.32)

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Operations and Comprehensive Income/(Loss) (Parentheticals) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 01, 2017	Jul. 02, 2016	Jul. 01, 2017	Jul. 02, 2016
Income Statement [Abstract]
Defined benefit pension plan, net of tax expense of $566, $419, $1,698, and $1,257, respectively	$ 566	$ 419	$ 1,698	$ 1,257
Cash flow hedge (loss) gain, net of tax (benefit) expense of ($13), ($33), $41, and ($149), respectively	$ (13)	$ (33)	$ 41	$ (149)

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Jul. 01, 2017	Jul. 02, 2016
Cash flows from operating activities
Net income (loss)	$ 14,257	$ (3,877)
Loss from discontinued operations, net of tax	142	46
Adjustments to reconcile net income (loss) to net cash provided by continuing operations
Depreciation and amortization	6,106	6,025
Amortization of debt costs	912	2,232
Share-based compensation	904	12,717
Unfunded portion of Phantom Equity Plan	0	1,355
Equity in net income of affiliate	(1,997)	(1,494)
(Gain) loss on disposal of fixed assets	(43)	29
Deferred taxes	(874)	8,461
Provision for bad debt	0	(5)
Amortization of deferred actuarial pension losses	4,718	3,590
Loss on debt extinguishment	10,142	0
Changes in assets and liabilities:
Accounts receivable	(13,701)	(6,003)
Inventories	(72,796)	(52,232)
Other assets	(5,941)	(6,055)
Accounts payable	56,671	50,332
Accrued expenses, pension and other liabilities	6,060	3,870
Dividend from equity investment in affiliate	1,412	2,316
Total adjustments	(8,427)	25,138
Net cash provided by continuing operations	5,972	21,307
Net cash used in discontinued operations	(221)	(46)
Total cash provided by operating activities	5,751	21,261
Cash flows from investing activities
Cash paid for fixed assets	(7,193)	(6,511)
Proceeds from sale of fixed assets	47	0
Total cash used in investing activities	(7,146)	(6,511)
Cash flows from financing activities
Repayments under the former senior term loan	(161,500)	(33,812)
Borrowings under the new term loan	156,887	0
Repayments under the new term loan	(4,000)	0
Cash paid for capital leases	(117)	(168)
Cash paid for debt issuance costs	(299)	(1,117)
Cash paid to extinguish debt	(507)	0
Contributions from former majority stockholder	0	15,616
Payment of dividends on preferred stock	(2,944)	(1,917)
Cash paid for employee taxes on stock option exercises and vested restricted shares	(981)	(3,511)
Proceeds from exercises of warrants	12,858	0
Total cash used in financing activities	(603)	(24,909)
Change in cash and cash equivalents	(1,998)	(10,159)
Cash and cash equivalents, beginning of period	52,309	52,861
Cash and cash equivalents, end of period	50,311	42,702
Supplemental disclosures of cash flow information
Interest paid, net of interest received	4,775	9,411
Income tax paid, net of tax refunds	1,318	1,073
Non-cash Investing and Financing activities
Capital expenditures funded by capital lease borrowings	0	100
Change in accounts payable for capital additions to property, plant and equipment	(1,900)	(220)
Common stock dividend on Series A preferred stock (market value of common shares)	0	998
Cashless exercise of stock options	4,124	0
Cash receivable for warrant exercises	$ 164	$ 0

Nature of Business and Basis of

Nature of Business and Basis of Presentation	9 Months Ended
	Jul. 01, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Business and Basis of Presentation	1. Nature of Business and Basis of Presentation Nature of Business On February 24, 2015, Hennessy Capital Acquisition Corp. ("HCAC") consummated its business combination (the “Business Combination”), pursuant to which HCAC acquired all of the outstanding capital stock of School Bus Holdings, Inc. (“SBH”) from The Traxis Group B.V. (the “Seller” or "Traxis"). SBH operates its business of designing and manufacturing school buses through subsidiaries and under the Blue Bird Corporation (“Blue Bird”) name. In the Business Combination, the total purchase price was paid in a combination of cash ( $100 million ) and in shares of HCAC’s Common Stock ( 12,000,000 shares valued at a total of $120 million ). In connection with the closing of the Business Combination, we changed our name from Hennessy Capital Acquisition Corp. to Blue Bird Corporation. Upon consummation of the Business Combination, SBH became a wholly-owned subsidiary of Blue Bird Corporation and SBH’s direct and indirect subsidiaries became indirect subsidiaries of our parent corporation. Pursuant to, and subject to the terms of, a Purchase and Sale Agreement, dated as of May 26, 2016 (the “Purchase Agreement”), by and among Traxis, ASP BB Holdings LLC, a Delaware limited liability company (“ASP”), and the Company, Traxis agreed to sell and ASP agreed to purchase all of the 12,000,000 shares of common stock, par value $0.0001 (the “Common Stock”), of the Company owned by Traxis (the “Transaction Shares”). Subject to the terms and conditions set forth in the Purchase Agreement, ASP acquired 7,000,000 Transaction Shares at an initial closing on June 3, 2016 for an amount in cash equal to $10.10 per share and 5,000,000 Transaction Shares at a second closing on June 8, 2016 for an amount in cash equal to $11.00 per share, for an aggregate purchase price of $125.7 million . There were no proceeds to the Company from this transaction. The sale of Transaction Shares triggered a phantom equity compensation payment. This payment was primarily funded by Traxis and not by the Company. Blue Bird Body Company, a wholly-owned subsidiary of Blue Bird, was incorporated in 1958 and has manufactured, assembled and sold school buses to a variety of municipal, federal and commercial customers since 1927. The majority of Blue Bird’s sales are made to an independent distributor network, which in turn sells buses to ultimate end users. We are headquartered in Fort Valley, Georgia. References in these notes to financial statements to “Blue Bird”, the “Company,” “we,” “our,” or “us” refer to Blue Bird Corporation and its wholly-owned subsidiaries, unless the context specifically indicates otherwise. Basis of Presentation The accompanying unaudited condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant inter-company transactions and accounts have been eliminated in consolidation. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial reporting and Article 8 of Regulation S-X. The Company’s fiscal year ends on the Saturday closest to September 30 with its quarters consisting of thirteen weeks in most years. In fiscal year 2017 , there are a total of 52 weeks. For fiscal years 2017 and 2016 , the third quarters both included 13 weeks and the nine months ended both included 39 weeks. In the opinion of management, all adjustments considered necessary for a fair presentation of financial results have been made. Such adjustments consist of only those of a normal recurring nature. Operating results for any interim period are not necessarily indicative of the results that may be expected for the entire year. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. The Condensed Consolidated Balance Sheet data as of October 1, 2016 was derived from the Company’s audited financial statements but do not include all disclosures required by generally accepted accounting principles. For additional information, including the Company’s significant accounting policies, refer to the consolidated financial statements and related footnotes for the fiscal year ended October 1, 2016 as set forth in the Company's 2016 Form 10-K filed on December 15, 2016 . The Business Combination was accounted for as a reverse acquisition, since immediately following completion of the transaction, the sole stockholder of SBH immediately prior to the Business Combination maintained effective control of Blue Bird Corporation, the post-combination company. For accounting purposes, SBH is deemed the accounting acquirer in the transaction and, consequently, the transaction is treated as a recapitalization of SBH (i.e., a capital transaction involving the issuance of stock and payment of cash by HCAC for the stock of SBH). Accordingly, the consolidated assets, liabilities and results of operations of SBH are the historical financial statements of Blue Bird Corporation, and HCAC assets, liabilities and results of operations are consolidated with SBH beginning on the acquisition date. No step-up in basis of intangible assets or goodwill was recorded in this transaction. We have effected this treatment through opening stockholders' deficit by adjusting the number of our common shares outstanding. Other than transaction costs paid and a contribution from our majority stockholder for payment of management incentive compensation related to the transaction, the transaction was primarily non-cash and involved exchanges of consideration and equity between our majority stockholder and HCAC and its related entities. Use of Estimates and Assumptions The preparation of financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) requires management to make estimates and assumptions. At the date of the financial statements, these estimates and assumptions affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities, and during the reporting period, these estimates and assumptions affect the reported amounts of revenues and expenses. For example, significant management judgments are required in determining excess, obsolete, or unsalable inventory, allowance for doubtful accounts, potential impairment of long-lived assets, goodwill and intangibles, the accounting for self-insurance reserves, warranty reserves, pension obligations, income taxes, environmental liabilities and contingencies. Future events and their effects cannot be predicted with certainty, and, accordingly, the Company’s accounting estimates require the exercise of judgment. The accounting estimates used in the preparation of the Company’s condensed consolidated financial statements may change as new events occur, as more experience is acquired, as additional information is obtained and as the Company’s operating environment changes. The Company evaluates and updates its assumptions and estimates on an ongoing basis and may employ outside experts to assist in the Company’s evaluations. Actual results could differ from the estimates that the Company has used.

Summary of Significant Accounti

Summary of Significant Accounting Policies and Recently Issued Accounting Standards	9 Months Ended
	Jul. 01, 2017
Accounting Policies [Abstract]
Summary of Significant Accounting Policies and Recently Issued Accounting Standards	2. Summary of Significant Accounting Policies and Recent Accounting Standards The Company’s significant accounting policies are described in the Company’s 2016 Form 10-K, filed with the SEC on December 15, 2016 . Our senior management has reviewed these significant accounting policies and related disclosures and determined that there were no significant changes in our critical accounting policies in the nine months ended July 1, 2017 . Recently Adopted Accounting Standards ASU 2015-17 — In November 2015, the FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes, which simplifies the presentation of deferred taxes by requiring deferred tax assets and liabilities to be classified as non-current on the balance sheet. The standard is effective for public companies for annual reporting periods beginning after December 15, 2016, and interim periods within those fiscal years. The guidance may be adopted prospectively or retrospectively and early adoption is permitted. The Company elected to early adopt this standard on a retrospective basis in the first quarter of fiscal 2017, and reclassified $7.6 million of current deferred tax assets to long-term deferred tax assets, resulting in a total of $19.1 million of long-term deferred tax assets at October 1, 2016 , compared to the prior presentation of $11.5 million . All future deferred tax assets and liabilities will be recorded as long-term.

Supplemental Financial Informat

Supplemental Financial Information	9 Months Ended
	Jul. 01, 2017
Condensed Financial Information [Abstract]
Supplemental Financial Information	3. Supplemental Financial Information Inventory The Company values inventories at the lower of cost or market value. The Company uses a standard costing methodology, which approximates cost on a first-in, first-out basis. The Company reviews the standard costs of raw materials, work-in-process and finished goods inventory on a periodic basis to ensure that its inventories approximate current actual costs. Manufacturing cost includes raw materials, direct labor and manufacturing overhead. The following table presents the components of inventory at the dates indicated: (in thousands of dollars) July 1, 2017 October 1, 2016 Raw materials $ 71,718 $ 40,940 Work in process 39,008 10,011 Finished goods 15,876 2,855 Total inventory $ 126,602 $ 53,806 Product Warranties The Company’s products are generally warranted against defects in material and workmanship for a period of one to five years . A provision for estimated warranty costs is recorded at the time the unit is sold. The methodology to determine warranty reserve calculates average expected warranty claims using warranty claims by body type, by month, over the life of the bus, which is then multiplied by remaining months under warranty, by warranty type. Management believes the methodology provides an accurate reserve estimate. Actual claims incurred could differ from the original estimates, requiring future adjustments. The following table reflects activity in accrued warranty cost (current and long-term portion combined) for the periods presented: Three Months Ended Nine Months Ended (in thousands of dollars) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Balance at beginning of period $ 18,612 $ 16,768 $ 19,444 $ 17,661 Add current period accruals 3,775 3,691 7,555 7,195 Current period reductions of accrual (2,105 ) (1,956 ) (6,717 ) (6,353 ) Balance at end of period $ 20,282 $ 18,503 $ 20,282 $ 18,503 The Company also sells extended warranties related to its products. Revenue related to these contracts is recognized on a straight-line basis over the contract period and costs thereunder are expensed as incurred. All warranty expenses are recorded in the cost of goods sold line in the Condensed Consolidated Statements of Operations and Comprehensive Income (Loss). The methodology to determine the short-term extended warranty income reserve is based on twelve months of the remaining warranty value for each effective extended warranty at the balance sheet date. The following table reflects activity in deferred warranty income (current and long-term portions combined), for the sale of extended warranties of two to five years , for the periods presented: Three Months Ended Nine Months Ended (in thousands of dollars) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Balance at beginning of period $ 16,654 $ 14,060 $ 16,187 $ 14,145 Add current period deferred income 3,396 2,952 6,769 5,446 Current period recognition of income (1,520 ) (1,261 ) (4,426 ) (3,840 ) Balance at end of period $ 18,530 $ 15,751 $ 18,530 $ 15,751 Self-Insurance The following table reflects our total accrued self-insurance liability, comprised of workers compensation and health insurance related claims, at the dates indicated: (in thousands of dollars) July 1, 2017 October 1, 2016 Current portion $ 3,167 $ 3,679 Long-term portion 2,396 2,786 Total accrued self-insurance $ 5,563 $ 6,465 The current and long-term portions of the accrued self-insurance liability are reflected in accrued expenses and other liabilities, respectively, on the Condensed Consolidated Balance Sheets. Shipping and Handling Revenues Shipping and handling revenues represent costs billed to customers and are included in net sales. Shipping and handling costs incurred are included in cost of goods sold. Shipping and handling revenues were $6.6 million and $6.2 million for the three months ended July 1, 2017 and July 2, 2016 , respectively, and $12.8 million and $11.5 million for the nine months ended July 1, 2017 and July 2, 2016 , respectively. The related cost of goods sold was $6.0 million and $5.7 million for the three months ended July 1, 2017 and July 2, 2016 , respectively, and $11.3 million and $10.1 million for the nine months ended July 1, 2017 and July 2, 2016 , respectively. Pension Expense Components of net periodic pension benefit cost were as follows for the periods presented: Three Months Ended Nine Months Ended (in thousands of dollars) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Interest cost $ 1,266 $ 1,411 $ 3,797 $ 4,232 Expected return on plan assets (1,590 ) (1,528 ) (4,769 ) (4,584 ) Amortization of prior loss 1,573 1,196 4,718 3,590 Net periodic benefit cost $ 1,249 $ 1,079 $ 3,746 $ 3,238 Amortization of prior loss, recognized in other comprehensive income 1,573 1,196 4,718 3,590 Total recognized in net periodic pension benefit cost and other comprehensive income $ (324 ) $ (117 ) $ (972 ) $ (352 ) Warrants At July 1, 2017 , there were a total of 7,180,466 warrants outstanding to purchase 3,590,233 shares of our Common Stock.

Debt

Debt	9 Months Ended
	Jul. 01, 2017
Debt Disclosure [Abstract]
Debt	4. Debt On December 12, 2016, Blue Bird Body Company, a wholly-owned subsidiary of the Company, executed a $235.0 million five -year credit agreement provided by Bank of Montreal, which acts as the administrative agent and an issuing bank, Fifth Third Bank, as co-syndication agent and an issuing bank, and Regions Bank, as Co-Syndication Agent, together with other lenders (the "Credit Agreement"). The credit facility provided for under the Credit Agreement consists of a term loan facility in an aggregate initial principal amount of $160.0 million (the “Term Loan Facility”) and a revolving credit facility with aggregate commitments of $75.0 million . The revolving credit facility includes a $15.0 million letter of credit sub-facility and a $5.0 million swingline sub-facility (the “Revolving Credit Facility,” and together with the Term Loan Facility, each a “Credit Facility” and collectively, the “Credit Facilities”). As a result of the Credit Agreement, we incurred $3.3 million of debt discount and issuance costs, which have been recorded as contra-debt and will be amortized over the life of the Credit Agreement using the effective interest method. Proceeds from the Term Loan Facility were used to fully extinguish our previous credit agreement with Societe Generale. In connection with the extinguishment, we recorded a $10.1 million loss, which was the difference in the reacquisition price of the extinguished debt and the net carrying value at extinguishment. The loss includes the write-off of unamortized deferred financing costs recorded as a reduction of the prior debt, unamortized issuance costs associated with the previous revolving credit facility recorded in other assets, as well as interest and legal fees incurred to extinguish the prior debt. The interest rate on the Term Loan Facility is (i) from the Closing Date until April 1, 2017, an election of either base rate plus 1 point or LIBOR plus 2 points and (ii) commencing with the fiscal quarter ending on April 1, 2017 and thereafter, dependent on the Total Net Leverage Ratio (as defined below) of the Company, an election of either base rate or LIBOR pursuant to the table below: Level Total Net Leverage Ratio ABR Loans Eurodollar Loans I Less than 2.00x 0.75% 1.75% II Greater than or equal to 2.00x and less than 2.50x 1.00% 2.00% III Greater than or equal to 2.50x and less than 3.00x 1.25% 2.25% IV Greater than or equal to 3.00x 1.50% 2.50% Debt consisted of the following at the dates indicated: (in thousands of dollars) July 1, 2017 October 1, 2016 2021 term loan, net of deferred financing costs of $2,972 $ 153,028 $ — 2020 term loan, net of deferred financing costs of $9,384 — 152,116 Less: Current portion of long-term debt 8,000 11,750 Long-term debt, net of current portion $ 145,028 $ 140,366 Term loans are recognized on the Condensed Consolidated Balance Sheets at the unpaid principal balance, and are not subject to fair value measurement; however, given the variable rates on the loans, the Company estimates that the unpaid principal balance approximates fair value. If measured at fair value in the financial statements, the term loans would be classified as Level 2 in the fair value hierarchy. At July 1, 2017 and October 1, 2016 , $156.0 million and $161.5 million , respectively, were outstanding on the term loans. At July 1, 2017 and October 1, 2016 , the stated interest rates on the term loans were 2.8% and 6.5% , respectively. At July 1, 2017 and October 1, 2016 , the weighted-average annual effective interest rates for the term loans were 4.8% and 8.3% , respectively, which included amortization of the deferred financing costs. No borrowings were outstanding on the Revolving Credit Facility at July 1, 2017 , however, since there were $5.1 million of Letters of Credit outstanding on July 1, 2017 , the Company would have been able to borrow $69.9 million on the revolving line of credit. Interest expense on all indebtedness was $1.4 million and $4.0 million for the three months ended July 1, 2017 and July 2, 2016 , respectively, and $5.8 million and $12.7 million for the nine months ended July 1, 2017 and July 2, 2016 , respectively. The schedules of remaining principal maturities for the term loan for the next five fiscal years are as follows: (in thousands of dollars) Year Principal Payments 2017 $ 2,000 2018 8,000 2019 8,000 2020 11,000 2021 15,000 Thereafter 112,000 Total remaining principal payments $ 156,000

Income Taxes

Income Taxes	9 Months Ended
	Jul. 01, 2017
Income Tax Disclosure [Abstract]
Income Taxes	5. Income Taxes Income tax provisions for interim periods are based on estimated annual income tax rates, adjusted to reflect the effects of any significant infrequent or unusual items which are required to be discretely recognized within the current interim period. The effective tax rates in the periods presented are largely based upon the forecast pre-tax earnings mix and allocation of certain expenses in various taxing jurisdictions where the Company conducts its business, primarily the United States. The effective tax rate for the three month period ended July 1, 2017 was 30.4% , which differed from the statutory federal income tax rate of 35% due mainly to tax rate benefit items such as the domestic production activities deduction, foreign tax credits, and stock option deductions in excess of recorded expense. These benefits were partially offset by discrete expense items, the largest being interest and penalties on uncertain tax positions. The effective tax rate for the three month period ended July 2, 2016 was (32.5)% and differed from the statutory federal income tax rate of 35% , primarily from discrete items in the period, including interest and penalties on uncertain tax positions and a net tax shortfall from the vesting of share-based compensation awards pursuant to the adoption of ASU 2016-09, which were partially offset by the benefit from operating losses in the period. The effective tax rate for the nine month period ended July 1, 2017 was 31.9% and differed from the statutory federal income tax rate of 35% primarily from tax rate benefit items such as the domestic production activities deduction, foreign tax credits, and stock option deductions in excess of recorded expense. These benefits were partially offset by discrete expense items, the largest being interest and penalties on uncertain tax positions. The effective tax rate for the nine month period ended July 2, 2016 was (63.5)% and differed from the statutory federal income tax rate of 35% , primarily from discrete items increasing tax expense in the year to date period, including a change in investor tax on our non-consolidated affiliate income, the application of tax credits claimed as offsets against our payroll tax liabilities, interest and penalties on uncertain tax positions, the vesting of share-based compensation awards pursuant to the adoption of ASU 2016-09, which were partially offset by recording the impact of new tax legislation and by the benefit from operating losses in the period.

Guarantees, Commitments and Con

Guarantees, Commitments and Contingencies	9 Months Ended
	Jul. 01, 2017
Commitments and Contingencies Disclosure [Abstract]
Guarantees, Commitments and Contingencies	6. Guarantees, Commitments and Contingencies Litigation At July 1, 2017 , the Company had a number of product liability and other cases pending. Management believes that, considering the Company’s insurance coverage and its intention to vigorously defend its positions, the ultimate resolution of these matters will not have a material adverse effect on the Company’s financial statements. Environmental The Company is subject to a variety of environmental regulations relating to the use, storage, discharge and disposal of hazardous materials used in its manufacturing processes. Failure by the Company to comply with present and future regulations could subject it to future liabilities. In addition, such regulations could require the Company to acquire costly equipment or to incur other significant expenses to comply with environmental regulations. The Company is currently not involved in any material environmental proceedings and therefore management believes that the resolution of environmental matters will not have a material adverse effect on the Company’s financial statements.

Segment Information

Segment Information	9 Months Ended
	Jul. 01, 2017
Segment Reporting [Abstract]
Segment Information	7. Segment Information We manage our business in two operating segments, which are also our reportable segments. The Bus segment includes the manufacturing and assembly of buses to be sold to a variety of customers across the United States, Canada and in international markets. The Parts segment consists primarily of the purchase of parts from third parties to be sold to dealers within the Company’s network. Financial information is reported on the basis that it is used internally by the chief operating decision maker (the “CODM”) in evaluating segment performance and deciding how to allocate resources. The President and Chief Executive Officer of the Company has been identified as the CODM. Management evaluates the segments based primarily upon revenues and gross profit. A measure of assets is not applicable, as segment assets are not regularly reviewed by the CODM for evaluating performance or allocating resources. The tables below present segment net sales and gross profit for the periods presented: Net sales Three Months Ended Nine Months Ended (in thousands of dollars) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Bus $ 317,333 $ 309,432 $ 633,499 $ 604,832 Parts 15,271 13,623 44,416 40,764 Segment net sales $ 332,604 $ 323,055 $ 677,915 $ 645,596 Gross profit Three Months Ended Nine Months Ended (in thousands of dollars) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Bus $ 39,843 $ 41,594 $ 72,234 $ 75,108 Parts 5,167 5,214 15,623 15,567 Segment gross profit $ 45,010 $ 46,808 $ 87,857 $ 90,675 The following table is a reconciliation of segment gross profit to consolidated income (loss) before income taxes for the periods presented: Three Months Ended Nine Months Ended (in thousands of dollars) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Segment gross profit $ 45,010 $ 46,808 $ 87,857 $ 90,675 Adjustments: Selling, general and administrative expenses (16,331 ) (45,505 ) (53,782 ) (81,329 ) Interest expense (1,398 ) (4,040 ) (5,801 ) (12,736 ) Interest income 50 7 63 118 Other income, net (11 ) — 13 16 Loss on debt extinguishment — — (10,142 ) — Income (loss) before income taxes $ 27,320 $ (2,730 ) $ 18,208 $ (3,256 ) Sales are attributable to geographic areas based on customer location and were as follows for the periods presented: Three Months Ended Nine Months Ended (in thousands of dollars) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 United States $ 291,672 $ 298,532 $ 608,350 $ 591,549 Canada 40,550 21,642 66,535 46,261 Rest of world 382 2,881 3,030 7,786 Total net sales $ 332,604 $ 323,055 $ 677,915 $ 645,596

Foreign Exchange Contracts

Foreign Exchange Contracts	9 Months Ended
	Jul. 01, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Foreign Exchange Contracts	8. Foreign Exchange Contracts The Company enters into foreign exchange swaps as economic hedges of anticipated cash flows denominated in Canadian Dollars. The contracts are entered into to protect against the risk that the eventual cash flows resulting from certain transactions would be affected by changes in exchange rates between the U.S. Dollar and the Canadian Dollar. At July 1, 2017 , the Company had seven foreign exchange swap contracts with an aggregate notional amount of $15.6 million . The foreign exchange contracts qualify for hedge accounting and have been designated as cash flow hedges with the effective portion of the gain or loss on the derivative instruments recorded in other comprehensive income until the underlying transactions occur. Once the anticipated transactions occur, the gain or loss on the swaps is recorded in current period earnings on the Consolidated Statements of Operations and Comprehensive Income (Loss). The fair value of the foreign exchange contracts is based on the forward contract rates, which classifies as a Level 2 fair value measurement. At July 1, 2017 , the fair value of all foreign exchange contracts was $0.1 million and included in "other current assets" on the Consolidated Balance Sheet. At October 1, 2016 , the fair value of the foreign exchange contracts was $(0.2) million and included in "other current liabilities" on the Consolidated Balance Sheet. The table below presents the effect of the Company's cash flow hedges for the periods presented: (in thousands of dollars) Three Months Ended Nine Months Ended Foreign Exchange Contracts Location July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Amount of (loss) gain recognized in income on derivatives (effective portion) OCI $ (39 ) $ (93 ) $ 344 $ (425 ) Amount of loss (gain) reclassified from AOCI into income (effective portion) Other expense — — (227 ) — Total amount recognized in other comprehensive (loss) income $ (39 ) $ (93 ) $ 117 $ (425 ) All amounts in accumulated other comprehensive income (loss) are expected to be reclassified into earnings during the next 12 months.

Earnings Per Share

Earnings Per Share	9 Months Ended
	Jul. 01, 2017
Earnings Per Share [Abstract]
Earnings Per Share	9. Earnings Per Share The following table presents the earnings per share computation for the periods presented: Three Months Ended Nine Months Ended (in thousands except for share data) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Numerator: Net income (loss) $ 20,032 $ (2,934 ) $ 14,257 $ (3,877 ) Less: Loss from discontinued operations, net of tax (22 ) (13 ) (142 ) (46 ) Income (loss) from continuing operations, net of tax 20,054 (2,921 ) 14,399 (3,831 ) Less: convertible preferred stock dividends 974 964 2,944 2,915 Income (loss) from continuing operations available to common stockholders, net of tax $ 19,080 $ (3,885 ) $ 11,455 $ (6,746 ) Basic earnings per share (1): Weighted average common shares outstanding 23,659,057 21,084,878 23,101,685 20,989,737 Basic earnings per share, continuing operations 0.81 (0.18 ) 0.50 (0.32 ) Basic earnings per share, discontinued operations — — (0.01 ) — Basic earnings per share $ 0.81 $ (0.18 ) $ 0.49 $ (0.32 ) Diluted earnings per share (2): Weighted average common shares outstanding 23,659,057 21,084,878 23,101,685 20,989,737 Weighted average dilutive securities, convertible preferred stock 4,314,064 — — — Weighted average dilutive securities, restricted stock 2,383 — 484 — Weighted average dilutive securities, warrants 1,326,916 — 1,314,161 — Weighted average dilutive securities, stock options 225,192 — 237,828 — Weighted average shares and dilutive potential common shares 29,527,612 21,084,878 24,654,158 20,989,737 Diluted earnings per share, continuing operations 0.68 (0.18 ) 0.46 (0.32 ) Diluted earnings per share, discontinued operations — — — — Diluted earnings per share $ 0.68 $ (0.18 ) $ 0.46 $ (0.32 ) (1) Basic earnings per share is calculated by dividing income available to common stockholders from continuing operations, discontinued operations, and net income by the weighted average common shares outstanding during the period. (2) Diluted earnings per share is calculated by adjusting the weighted average shares outstanding for the dilutive effect of common stock equivalents outstanding during the period, determined by using the treasury-stock method, and adjusting for the dilutive effect of our convertible preferred stock, determined by using the if-converted method. For the nine months ended July 1, 2017 , 4,314,064 shares of convertible preferred stock were excluded from the dilutive calculation as the if-converted impact would be anti-dilutive. We incurred a net loss for the three and nine months ended July 2, 2016 . As a result, basic and diluted shares outstanding are equal to each other for those periods due to the exclusion of potentially dilutive shares from the calculation of earnings per share as the effect would be anti-dilutive. For the three and nine months ended July 2, 2016 , potentially dilutive shares excluded from the calculation were 4,417,141 and 4,356,032 , respectively.

Share Based Compensation

Share Based Compensation	9 Months Ended
	Jul. 01, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Share Based Compensation	10. Share-Based Compensation Restricted Stock Awards The following table summarizes the Company's restricted stock ("RSAs") and restricted stock units ("RSUs") award activity for the period presented: Nine Months Ended July 1, 2017 Restricted Stock Activity Number of Shares Weighted-Average Grant Date Fair Value Balance, beginning of period — $ — Granted 77,451 15.82 Balance, end of period 77,451 15.82 Compensation expense for restricted stock awards, recognized in selling, general and administrative expenses on the Condensed Consolidated Statements of Operations and Comprehensive Income (Loss), was $0.4 million and $0.6 million with associated tax benefits of $0.1 million and $0.2 million for the three and nine months ended July 1, 2017 , respectively. At July 1, 2017 , unrecognized compensation cost related to restricted stock awards totaled $0.7 million and is expected to be recognized over a weighted-average period of seven months . Stock Option Awards The following table summarizes the Company's stock option activity for the period presented: Nine Months Ended July 1, 2017 Stock Option Award Activity Number of Options Weighted Average Exercise Price per Share ($) Outstanding options, beginning of period 918,749 $ 10.08 Granted 133,484 15.50 Exercised (1) (409,044 ) 10.08 Outstanding options, end of period (2) 643,189 11.20 Fully vested and exercisable options, end of period (3) 509,705 10.07 (1) Stock options exercised in the period had an aggregate intrinsic value totaling $2.2 million . (2) Stock options outstanding at the end of the period had an aggregate intrinsic value totaling $3.7 million . (3) Fully vested and exercisable options at the end of the period had an aggregate intrinsic value totaling $3.5 million with a weighted average contractual remaining term of 7.8 years . Compensation expense for stock option awards, recognized in selling, general and administrative expenses on the Consolidated Statements of Operations and Comprehensive Income (Loss), was $0.1 million and $0.3 million with associated tax benefits of $0.0 million and $0.1 million for the three and nine months ended July 1, 2017 , respectively. At July 1, 2017 , unrecognized compensation cost related to stock option awards totaled $0.4 million and is expected to be recognized over a weighted-average period of six months . The fair value of each option award at grant date was estimated using the Black-Scholes option-pricing model with the following assumptions and resulting grant-date fair value during the period presented: Nine Months Ended July 1, 2017 Expected volatility 33.7 % Expected dividend yield 0 % Risk-free interest rate 1.94 % Expected term (in years) 5.5 Weighted-average grant-date fair value $ 5.35

Nature of Business and Basis 17

Nature of Business and Basis of Presentation (Policies)	9 Months Ended
	Jul. 01, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant inter-company transactions and accounts have been eliminated in consolidation. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial reporting and Article 8 of Regulation S-X. The Company’s fiscal year ends on the Saturday closest to September 30 with its quarters consisting of thirteen weeks in most years. In fiscal year 2017 , there are a total of 52 weeks. For fiscal years 2017 and 2016 , the third quarters both included 13 weeks and the nine months ended both included 39 weeks. In the opinion of management, all adjustments considered necessary for a fair presentation of financial results have been made. Such adjustments consist of only those of a normal recurring nature. Operating results for any interim period are not necessarily indicative of the results that may be expected for the entire year. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. The Condensed Consolidated Balance Sheet data as of October 1, 2016 was derived from the Company’s audited financial statements but do not include all disclosures required by generally accepted accounting principles. For additional information, including the Company’s significant accounting policies, refer to the consolidated financial statements and related footnotes for the fiscal year ended October 1, 2016 as set forth in the Company's 2016 Form 10-K filed on December 15, 2016 . The Business Combination was accounted for as a reverse acquisition, since immediately following completion of the transaction, the sole stockholder of SBH immediately prior to the Business Combination maintained effective control of Blue Bird Corporation, the post-combination company. For accounting purposes, SBH is deemed the accounting acquirer in the transaction and, consequently, the transaction is treated as a recapitalization of SBH (i.e., a capital transaction involving the issuance of stock and payment of cash by HCAC for the stock of SBH). Accordingly, the consolidated assets, liabilities and results of operations of SBH are the historical financial statements of Blue Bird Corporation, and HCAC assets, liabilities and results of operations are consolidated with SBH beginning on the acquisition date. No step-up in basis of intangible assets or goodwill was recorded in this transaction. We have effected this treatment through opening stockholders' deficit by adjusting the number of our common shares outstanding. Other than transaction costs paid and a contribution from our majority stockholder for payment of management incentive compensation related to the transaction, the transaction was primarily non-cash and involved exchanges of consideration and equity between our majority stockholder and HCAC and its related entities.
Use of Estimates and Assumptions	Use of Estimates and Assumptions The preparation of financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) requires management to make estimates and assumptions. At the date of the financial statements, these estimates and assumptions affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities, and during the reporting period, these estimates and assumptions affect the reported amounts of revenues and expenses. For example, significant management judgments are required in determining excess, obsolete, or unsalable inventory, allowance for doubtful accounts, potential impairment of long-lived assets, goodwill and intangibles, the accounting for self-insurance reserves, warranty reserves, pension obligations, income taxes, environmental liabilities and contingencies. Future events and their effects cannot be predicted with certainty, and, accordingly, the Company’s accounting estimates require the exercise of judgment. The accounting estimates used in the preparation of the Company’s condensed consolidated financial statements may change as new events occur, as more experience is acquired, as additional information is obtained and as the Company’s operating environment changes. The Company evaluates and updates its assumptions and estimates on an ongoing basis and may employ outside experts to assist in the Company’s evaluations. Actual results could differ from the estimates that the Company has used.
Recently Issued Accounting Standards	Recently Adopted Accounting Standards ASU 2015-17 — In November 2015, the FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes, which simplifies the presentation of deferred taxes by requiring deferred tax assets and liabilities to be classified as non-current on the balance sheet. The standard is effective for public companies for annual reporting periods beginning after December 15, 2016, and interim periods within those fiscal years. The guidance may be adopted prospectively or retrospectively and early adoption is permitted. The Company elected to early adopt this standard on a retrospective basis in the first quarter of fiscal 2017, and reclassified $7.6 million of current deferred tax assets to long-term deferred tax assets, resulting in a total of $19.1 million of long-term deferred tax assets at October 1, 2016 , compared to the prior presentation of $11.5 million . All future deferred tax assets and liabilities will be recorded as long-term.

Supplemental Financial Inform18

Supplemental Financial Information (Tables)	9 Months Ended
	Jul. 01, 2017
Condensed Financial Information [Abstract]
Inventory	Manufacturing cost includes raw materials, direct labor and manufacturing overhead. The following table presents the components of inventory at the dates indicated: (in thousands of dollars) July 1, 2017 October 1, 2016 Raw materials $ 71,718 $ 40,940 Work in process 39,008 10,011 Finished goods 15,876 2,855 Total inventory $ 126,602 $ 53,806
Product Warranties	The following table reflects activity in accrued warranty cost (current and long-term portion combined) for the periods presented: Three Months Ended Nine Months Ended (in thousands of dollars) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Balance at beginning of period $ 18,612 $ 16,768 $ 19,444 $ 17,661 Add current period accruals 3,775 3,691 7,555 7,195 Current period reductions of accrual (2,105 ) (1,956 ) (6,717 ) (6,353 ) Balance at end of period $ 20,282 $ 18,503 $ 20,282 $ 18,503 The Company also sells extended warranties related to its products. Revenue related to these contracts is recognized on a straight-line basis over the contract period and costs thereunder are expensed as incurred. All warranty expenses are recorded in the cost of goods sold line in the Condensed Consolidated Statements of Operations and Comprehensive Income (Loss). The methodology to determine the short-term extended warranty income reserve is based on twelve months of the remaining warranty value for each effective extended warranty at the balance sheet date. The following table reflects activity in deferred warranty income (current and long-term portions combined), for the sale of extended warranties of two to five years , for the periods presented: Three Months Ended Nine Months Ended (in thousands of dollars) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Balance at beginning of period $ 16,654 $ 14,060 $ 16,187 $ 14,145 Add current period deferred income 3,396 2,952 6,769 5,446 Current period recognition of income (1,520 ) (1,261 ) (4,426 ) (3,840 ) Balance at end of period $ 18,530 $ 15,751 $ 18,530 $ 15,751
Self-Insurance	The following table reflects our total accrued self-insurance liability, comprised of workers compensation and health insurance related claims, at the dates indicated: (in thousands of dollars) July 1, 2017 October 1, 2016 Current portion $ 3,167 $ 3,679 Long-term portion 2,396 2,786 Total accrued self-insurance $ 5,563 $ 6,465
Pension Expense	Components of net periodic pension benefit cost were as follows for the periods presented: Three Months Ended Nine Months Ended (in thousands of dollars) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Interest cost $ 1,266 $ 1,411 $ 3,797 $ 4,232 Expected return on plan assets (1,590 ) (1,528 ) (4,769 ) (4,584 ) Amortization of prior loss 1,573 1,196 4,718 3,590 Net periodic benefit cost $ 1,249 $ 1,079 $ 3,746 $ 3,238 Amortization of prior loss, recognized in other comprehensive income 1,573 1,196 4,718 3,590 Total recognized in net periodic pension benefit cost and other comprehensive income $ (324 ) $ (117 ) $ (972 ) $ (352 )

Debt (Tables)

Debt (Tables)	9 Months Ended
	Jul. 01, 2017
Debt Disclosure [Abstract]
Schedule of Long-term Debt Instruments	The interest rate on the Term Loan Facility is (i) from the Closing Date until April 1, 2017, an election of either base rate plus 1 point or LIBOR plus 2 points and (ii) commencing with the fiscal quarter ending on April 1, 2017 and thereafter, dependent on the Total Net Leverage Ratio (as defined below) of the Company, an election of either base rate or LIBOR pursuant to the table below: Level Total Net Leverage Ratio ABR Loans Eurodollar Loans I Less than 2.00x 0.75% 1.75% II Greater than or equal to 2.00x and less than 2.50x 1.00% 2.00% III Greater than or equal to 2.50x and less than 3.00x 1.25% 2.25% IV Greater than or equal to 3.00x 1.50% 2.50% Debt consisted of the following at the dates indicated: (in thousands of dollars) July 1, 2017 October 1, 2016 2021 term loan, net of deferred financing costs of $2,972 $ 153,028 $ — 2020 term loan, net of deferred financing costs of $9,384 — 152,116 Less: Current portion of long-term debt 8,000 11,750 Long-term debt, net of current portion $ 145,028 $ 140,366
Schedule of Maturities of Long-term Debt	The schedules of remaining principal maturities for the term loan for the next five fiscal years are as follows: (in thousands of dollars) Year Principal Payments 2017 $ 2,000 2018 8,000 2019 8,000 2020 11,000 2021 15,000 Thereafter 112,000 Total remaining principal payments $ 156,000

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	Jul. 01, 2017
Segment Reporting [Abstract]
Schedule of Segment Reporting Information, by Segment	The tables below present segment net sales and gross profit for the periods presented: Net sales Three Months Ended Nine Months Ended (in thousands of dollars) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Bus $ 317,333 $ 309,432 $ 633,499 $ 604,832 Parts 15,271 13,623 44,416 40,764 Segment net sales $ 332,604 $ 323,055 $ 677,915 $ 645,596 Gross profit Three Months Ended Nine Months Ended (in thousands of dollars) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Bus $ 39,843 $ 41,594 $ 72,234 $ 75,108 Parts 5,167 5,214 15,623 15,567 Segment gross profit $ 45,010 $ 46,808 $ 87,857 $ 90,675
Reconciliation of Operating Profit (Loss) from Segments to Consolidated	The following table is a reconciliation of segment gross profit to consolidated income (loss) before income taxes for the periods presented: Three Months Ended Nine Months Ended (in thousands of dollars) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Segment gross profit $ 45,010 $ 46,808 $ 87,857 $ 90,675 Adjustments: Selling, general and administrative expenses (16,331 ) (45,505 ) (53,782 ) (81,329 ) Interest expense (1,398 ) (4,040 ) (5,801 ) (12,736 ) Interest income 50 7 63 118 Other income, net (11 ) — 13 16 Loss on debt extinguishment — — (10,142 ) — Income (loss) before income taxes $ 27,320 $ (2,730 ) $ 18,208 $ (3,256 )
Revenue from External Customers by Geographic Areas	Sales are attributable to geographic areas based on customer location and were as follows for the periods presented: Three Months Ended Nine Months Ended (in thousands of dollars) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 United States $ 291,672 $ 298,532 $ 608,350 $ 591,549 Canada 40,550 21,642 66,535 46,261 Rest of world 382 2,881 3,030 7,786 Total net sales $ 332,604 $ 323,055 $ 677,915 $ 645,596

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	Jul. 01, 2017
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following table presents the earnings per share computation for the periods presented: Three Months Ended Nine Months Ended (in thousands except for share data) July 1, 2017 July 2, 2016 July 1, 2017 July 2, 2016 Numerator: Net income (loss) $ 20,032 $ (2,934 ) $ 14,257 $ (3,877 ) Less: Loss from discontinued operations, net of tax (22 ) (13 ) (142 ) (46 ) Income (loss) from continuing operations, net of tax 20,054 (2,921 ) 14,399 (3,831 ) Less: convertible preferred stock dividends 974 964 2,944 2,915 Income (loss) from continuing operations available to common stockholders, net of tax $ 19,080 $ (3,885 ) $ 11,455 $ (6,746 ) Basic earnings per share (1): Weighted average common shares outstanding 23,659,057 21,084,878 23,101,685 20,989,737 Basic earnings per share, continuing operations 0.81 (0.18 ) 0.50 (0.32 ) Basic earnings per share, discontinued operations — — (0.01 ) — Basic earnings per share $ 0.81 $ (0.18 ) $ 0.49 $ (0.32 ) Diluted earnings per share (2): Weighted average common shares outstanding 23,659,057 21,084,878 23,101,685 20,989,737 Weighted average dilutive securities, convertible preferred stock 4,314,064 — — — Weighted average dilutive securities, restricted stock 2,383 — 484 — Weighted average dilutive securities, warrants 1,326,916 — 1,314,161 — Weighted average dilutive securities, stock options 225,192 — 237,828 — Weighted average shares and dilutive potential common shares 29,527,612 21,084,878 24,654,158 20,989,737 Diluted earnings per share, continuing operations 0.68 (0.18 ) 0.46 (0.32 ) Diluted earnings per share, discontinued operations — — — — Diluted earnings per share $ 0.68 $ (0.18 ) $ 0.46 $ (0.32 ) (1) Basic earnings per share is calculated by dividing income available to common stockholders from continuing operations, discontinued operations, and net income by the weighted average common shares outstanding during the period. (2) Diluted earnings per share is calculated by adjusting the weighted average shares outstanding for the dilutive effect of common stock equivalents outstanding during the period, determined by using the treasury-stock method, and adjusting for the dilutive effect of our convertible preferred stock, determined by using the if-converted method. For the nine months ended July 1, 2017 , 4,314,064 shares of convertible preferred stock were excluded from the dilutive calculation as the if-converted impact would be anti-dilutive. We incurred a net loss for the three and nine months ended July 2, 2016 . As a result, basic and diluted shares outstanding are equal to each other for those periods due to the exclusion of potentially dilutive shares from the calculation of earnings per share as the effect would be anti-dilutive. For the three and nine months ended July 2, 2016 , potentially dilutive shares excluded from the calculation were 4,417,141 and 4,356,032 , respectively.

Share Based Compensation (Table

Share Based Compensation (Tables)	9 Months Ended
	Jul. 01, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity	The following table summarizes the Company's restricted stock ("RSAs") and restricted stock units ("RSUs") award activity for the period presented: Nine Months Ended July 1, 2017 Restricted Stock Activity Number of Shares Weighted-Average Grant Date Fair Value Balance, beginning of period — $ — Granted 77,451 15.82 Balance, end of period 77,451 15.82
Schedule of Share-based Compensation, Stock Options, Activity	The following table summarizes the Company's stock option activity for the period presented: Nine Months Ended July 1, 2017 Stock Option Award Activity Number of Options Weighted Average Exercise Price per Share ($) Outstanding options, beginning of period 918,749 $ 10.08 Granted 133,484 15.50 Exercised (1) (409,044 ) 10.08 Outstanding options, end of period (2) 643,189 11.20 Fully vested and exercisable options, end of period (3) 509,705 10.07 (1) Stock options exercised in the period had an aggregate intrinsic value totaling $2.2 million . (2) Stock options outstanding at the end of the period had an aggregate intrinsic value totaling $3.7 million . (3) Fully vested and exercisable options at the end of the period had an aggregate intrinsic value totaling $3.5 million with a weighted average contractual remaining term of 7.8 years .
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions	The fair value of each option award at grant date was estimated using the Black-Scholes option-pricing model with the following assumptions and resulting grant-date fair value during the period presented: Nine Months Ended July 1, 2017 Expected volatility 33.7 % Expected dividend yield 0 % Risk-free interest rate 1.94 % Expected term (in years) 5.5 Weighted-average grant-date fair value $ 5.35

Nature of Business and Basis 23

Nature of Business and Basis of Presentation - Narrative (Details) - USD ($)	Jun. 08, 2016	Jun. 08, 2016	Jun. 03, 2016	Feb. 24, 2015	Jul. 01, 2017	Oct. 01, 2016	May 26, 2016
Business Combination, Separately Recognized Transactions [Line Items]
Common stock, par value (in dollars per share)					$ 0.0001	$ 0.0001
School Bus Holdings, Inc.
Business Combination, Separately Recognized Transactions [Line Items]
Cash paid				$ 100,000,000
Shares issued for acquisition (in shares)				12,000,000
Shares issued for acquisition, value				$ 120,000,000
The Traxis Group B.V. | ASP BB Holdings LLC | Blue Bird Corporation
Business Combination, Separately Recognized Transactions [Line Items]
Cash paid		$ 125,700,000
Number of shares acquired	5,000,000	12,000,000	7,000,000
Common stock, par value (in dollars per share)							$ 0.0001
Price per share acquired (in dollars per share)	$ 11	$ 11	$ 10.10

Summary of Significant Accoun24

Summary of Significant Accounting Policies and Recently Issued Accounting Standards - Narrative (Details) - USD ($) $ in Thousands	Jul. 01, 2017	Oct. 01, 2016
New Accounting Pronouncement, Early Adoption [Line Items]
Reclassification (from) current deferred tax asset to long-term deferred tax asset	$ 18,289	$ 19,080
New Accounting Pronouncement, Early Adoption, Effect
New Accounting Pronouncement, Early Adoption [Line Items]
Reclassification (from) current deferred tax asset to long-term deferred tax asset		(7,600)
Scenario, Previously Reported
New Accounting Pronouncement, Early Adoption [Line Items]
Reclassification (from) current deferred tax asset to long-term deferred tax asset		$ 11,500

Supplemental Financial Inform25

Supplemental Financial Information - Inventory (Details) - USD ($) $ in Thousands	Jul. 01, 2017	Oct. 01, 2016
Condensed Financial Information [Abstract]
Raw materials	$ 71,718	$ 40,940
Work in process	39,008	10,011
Finished goods	15,876	2,855
Total inventory	$ 126,602	$ 53,806

Supplemental Financial Inform26

Supplemental Financial Information - Product Warranty Rollforward (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 01, 2017	Jul. 02, 2016	Jul. 01, 2017	Jul. 02, 2016
Movement in Standard Product Warranty Accrual [Roll Forward]
Balance at beginning of period	$ 18,612	$ 16,768	$ 19,444	$ 17,661
Add current period accruals	3,775	3,691	7,555	7,195
Current period reductions of accrual	(2,105)	(1,956)	(6,717)	(6,353)
Balance at end of period	$ 20,282	$ 18,503	$ 20,282	$ 18,503

Supplemental Financial Inform27

Supplemental Financial Information - Extended Warranty Income (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 01, 2017	Jul. 02, 2016	Jul. 01, 2017	Jul. 02, 2016
Movement in Extended Product Warranty Accrual [Roll Forward]
Balance at beginning of period	$ 16,654	$ 14,060	$ 16,187	$ 14,145
Add current period deferred income	3,396	2,952	6,769	5,446
Current period recognition of income	(1,520)	(1,261)	(4,426)	(3,840)
Balance at end of period	$ 18,530	$ 15,751	$ 18,530	$ 15,751

Supplemental Financial Inform28

Supplemental Financial Information - Self Insurance (Details) - USD ($) $ in Thousands	Jul. 01, 2017	Oct. 01, 2016
Condensed Financial Information [Abstract]
Current portion	$ 3,167	$ 3,679
Long-term portion	2,396	2,786
Total accrued self-insurance	$ 5,563	$ 6,465

Supplemental Financial Inform29

Supplemental Financial Information - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Jul. 01, 2017	Jul. 02, 2016	Jul. 01, 2017	Jul. 02, 2016
Product Warranty Liability [Line Items]
Shipping and handling revenues	$ 6.6	$ 6.2	$ 12.8	$ 11.5
Shipping and handling cost of goods sold	$ 6	$ 5.7	$ 11.3	$ 10.1
Warrants outstanding (in shares)	7,180,466		7,180,466
Common stock shares that may be called by warrants (in shares)	3,590,233		3,590,233
Minimum
Product Warranty Liability [Line Items]
Standard product warranty, period			1 year
Extended product warranty, period			2 years
Maximum
Product Warranty Liability [Line Items]
Standard product warranty, period			5 years
Extended product warranty, period			5 years

Supplemental Financial Inform30

Supplemental Financial Information - Pension Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 01, 2017	Jul. 02, 2016	Jul. 01, 2017	Jul. 02, 2016
Condensed Financial Information [Abstract]
Interest cost	$ 1,266	$ 1,411	$ 3,797	$ 4,232
Expected return on plan assets	(1,590)	(1,528)	(4,769)	(4,584)
Amortization of prior loss	1,573	1,196	4,718	3,590
Net periodic benefit cost	1,249	1,079	3,746	3,238
Amortization of prior loss, recognized in other comprehensive income	1,573	1,196	4,718	3,590
Total recognized in net periodic pension benefit cost and other comprehensive income	$ (324)	$ (117)	$ (972)	$ (352)

Debt - Narrative (Details)

Debt - Narrative (Details) - USD ($) $ in Thousands	Dec. 12, 2016	Jul. 01, 2017	Jul. 02, 2016	Jul. 01, 2017	Jul. 02, 2016	Oct. 01, 2016
Debt Instrument [Line Items]
Loss on debt extinguishment	$ 10,100	$ 0	$ 0	$ (10,142)	$ 0
Interest expense		1,400	$ 4,000	5,800	$ 12,700
Credit Agreement
Debt Instrument [Line Items]
Face amount	235,000
Unamortized discount and debt issuance costs, net	$ 3,300
Debt term	5 years
Term Loan | Credit Agreement
Debt Instrument [Line Items]
Face amount	$ 160,000
Senior Term Loan | Senior Credit Facility
Debt Instrument [Line Items]
Long-term line of credit		$ 156,000		$ 156,000		$ 161,500
Stated interest rate (as a percent)		2.80%		2.80%		6.50%
Weighted average effective interest rate (as a percent)		4.80%		4.80%		8.30%
Base Rate | Term Loan | Credit Agreement
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)	1.00%
LIBOR | Term Loan | Credit Agreement
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)	2.00%
Revolving Credit Facility | Credit Facility | Credit Agreement
Debt Instrument [Line Items]
Maximum borrowing capacity	$ 75,000
Revolving Credit Facility | Credit Facility | Senior Revolving Credit Facility
Debt Instrument [Line Items]
Long-term line of credit		$ 0		$ 0
Letters of Credit | Credit Facility | Credit Agreement
Debt Instrument [Line Items]
Maximum borrowing capacity	15,000
Letters of Credit | Credit Facility | Senior Revolving Credit Facility
Debt Instrument [Line Items]
Letters of credit, amount outstanding		5,100		5,100
Remaining borrowing capacity		$ 69,900		$ 69,900
Swingline Credit Facility | Credit Facility | Credit Agreement
Debt Instrument [Line Items]
Maximum borrowing capacity	$ 5,000

Debt - Covenants (Details)

Debt - Covenants (Details) - Term Loan - Credit Agreement	Dec. 12, 2016
Less than 2.00x | ABR Loans
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)	0.75%
Less than 2.00x | Eurodollar Loans
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)	1.75%
Less than 2.00x | Maximum
Debt Instrument [Line Items]
Leverage ratio	2
Greater than or equal to 2.00x and less than 2.50x | ABR Loans
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)	1.00%
Greater than or equal to 2.00x and less than 2.50x | Eurodollar Loans
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)	2.00%
Greater than or equal to 2.00x and less than 2.50x | Minimum
Debt Instrument [Line Items]
Leverage ratio	2
Greater than or equal to 2.00x and less than 2.50x | Maximum
Debt Instrument [Line Items]
Leverage ratio	2.50
Greater than or equal to 2.50x and less than 3.00x | ABR Loans
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)	1.25%
Greater than or equal to 2.50x and less than 3.00x | Eurodollar Loans
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)	2.25%
Greater than or equal to 2.50x and less than 3.00x | Minimum
Debt Instrument [Line Items]
Leverage ratio	2.50
Greater than or equal to 2.50x and less than 3.00x | Maximum
Debt Instrument [Line Items]
Leverage ratio	3
Greater than or equal to 3.00x | ABR Loans
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)	1.50%
Greater than or equal to 3.00x | Eurodollar Loans
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)	2.50%
Greater than or equal to 3.00x | Minimum
Debt Instrument [Line Items]
Leverage ratio	3

Debt - Schedule of Long-term De

Debt - Schedule of Long-term Debt (Details) - USD ($) $ in Thousands	Jul. 01, 2017	Oct. 01, 2016
Debt Instrument [Line Items]
Current portion of long-term debt	$ 8,000	$ 11,750
Long-term debt	145,028	140,366
Senior Term Loan | 2021 Term Loan
Debt Instrument [Line Items]
Total debt	153,028	0
Deferred financing costs	2,972
Senior Term Loan | 2020 Senior Term Loan
Debt Instrument [Line Items]
Total debt	0	$ 152,116
Deferred financing costs	$ 9,384

Debt - Maturity Schedule (Detai

Debt - Maturity Schedule (Details) $ in Thousands	Jul. 01, 2017USD ($)
Long-term Debt, Fiscal Year Maturity
2,017	$ 2,000
2,018	8,000
2,019	8,000
2,020	11,000
2,021	15,000
Thereafter	112,000
Total debt	$ 156,000

Income Taxes (Details)

Income Taxes (Details)	3 Months Ended		9 Months Ended
	Jul. 01, 2017	Jul. 02, 2016	Jul. 01, 2017	Jul. 02, 2016
Income Tax Disclosure [Abstract]
Effective tax rate (as a percent)	30.40%	(32.50%)	31.90%	(63.50%)
Statutory Federal income tax rate (as a percent)	35.00%	35.00%	35.00%	35.00%

Segment Information (Details)

Segment Information (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 01, 2017USD ($)	Jul. 02, 2016USD ($)	Jul. 01, 2017USD ($)segment	Jul. 02, 2016USD ($)
Segment Reporting Information [Line Items]
Number of Operating Segments | segment			2
Net sales	$ 332,604	$ 323,055	$ 677,915	$ 645,596
Gross profit	45,010	46,808	87,857	90,675
United States
Segment Reporting Information [Line Items]
Net sales	291,672	298,532	608,350	591,549
Canada
Segment Reporting Information [Line Items]
Net sales	40,550	21,642	66,535	46,261
Rest of world
Segment Reporting Information [Line Items]
Net sales	382	2,881	3,030	7,786
Operating Segments
Segment Reporting Information [Line Items]
Gross profit	45,010	46,808	87,857	90,675
Operating Segments | Bus
Segment Reporting Information [Line Items]
Net sales	317,333	309,432	633,499	604,832
Gross profit	39,843	41,594	72,234	75,108
Operating Segments | Parts
Segment Reporting Information [Line Items]
Net sales	15,271	13,623	44,416	40,764
Gross profit	$ 5,167	$ 5,214	$ 15,623	$ 15,567

Segment Information - Reconcili

Segment Information - Reconciliation of Segment Gross Profit (Details) - USD ($) $ in Thousands	Dec. 12, 2016	Jul. 01, 2017	Jul. 02, 2016	Jul. 01, 2017	Jul. 02, 2016
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Segment gross profit		$ 45,010	$ 46,808	$ 87,857	$ 90,675
Selling, general and administrative expenses		(16,331)	(45,505)	(53,782)	(81,329)
Interest expense		(1,398)	(4,040)	(5,801)	(12,736)
Interest income		50	7	63	118
Other (expense) income, net		(11)	0	13	16
Loss on debt extinguishment	$ 10,100	0	0	(10,142)	0
Income (loss) before income taxes		27,320	(2,730)	18,208	(3,256)
Operating Segments
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Segment gross profit		45,010	46,808	87,857	90,675
Segment Reconciling Items
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Selling, general and administrative expenses		(16,331)	(45,505)	(53,782)	(81,329)
Interest expense		(1,398)	(4,040)	(5,801)	(12,736)
Interest income		50	7	63	118
Other (expense) income, net		(11)	0	13	16
Loss on debt extinguishment		$ 0	$ 0	$ (10,142)	$ 0

Foreign Exchange Contracts - Na

Foreign Exchange Contracts - Narrative (Details) - Foreign Exchange Swap $ in Millions	Jul. 01, 2017USD ($)contract	Oct. 01, 2016USD ($)
Derivative [Line Items]
Derivative, Number of contracts | contract	7
Derivative, notional amount	$ 15.6
Cash Flow Hedge | Other current assets
Derivative [Line Items]
Fair value of foreign exchange contract, net	$ 0.1
Cash Flow Hedge | Other current liabilities
Derivative [Line Items]
Fair value of foreign exchange contract, net		$ (0.2)

Foreign Exchange Contracts - Ot

Foreign Exchange Contracts - Other Comprehensive Income (Details) - Foreign Exchange Contract - Cash Flow Hedge - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 01, 2017	Jul. 02, 2016	Jul. 01, 2017	Jul. 02, 2016
Derivative Instruments, Gain (Loss) [Line Items]
Amount of (loss) gain recognized in income on derivatives (effective portion)	$ (39)	$ (93)	$ 344	$ (425)
Amount of loss (gain) reclassified from AOCI into income (effective portion)	0	0	(227)	0
Total amount recognized in other comprehensive (loss) income	$ (39)	$ (93)	$ 117	$ (425)

Earnings Per Share - Narrative

Earnings Per Share - Narrative (Details) - shares	3 Months Ended		9 Months Ended
	Jul. 01, 2017	Jul. 02, 2016	Jul. 01, 2017	Jul. 02, 2016
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earnings per share (in shares)		4,417,141		4,356,032
Convertible Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earnings per share (in shares)	4,314,064	4,314,064	4,314,064

Earnings Per Share - Summary of

Earnings Per Share - Summary of Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Jul. 01, 2017	Jul. 02, 2016	Jul. 01, 2017	Jul. 02, 2016
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Net income (loss)	$ 20,032	$ (2,934)	$ 14,257	$ (3,877)
Less: Loss from discontinued operations, net of tax	(22)	(13)	(142)	(46)
Net income (loss) from continuing operations	20,054	(2,921)	14,399	(3,831)
Less: convertible preferred stock dividends	974	964	2,944	2,915
Net income (loss) available to common stockholders	$ 19,080	$ (3,885)	$ 11,455	$ (6,746)
Weighted average common shares outstanding (in shares)	23,659,057	21,084,878	23,101,685	20,989,737
Basic earnings per share, continuing operations (in dollars per share)	$ 0.81	$ (0.18)	$ 0.50	$ (0.32)
Basic earnings per share, discontinued operations (in dollars per share)	0	0	(0.01)	0
Basic earnings per share (in dollars per share)	$ 0.81	$ (0.18)	$ 0.49	$ (0.32)
Basic weighted average shares outstanding	23,659,057	21,084,878	23,101,685	20,989,737
Weighted average dilutive securities, convertible preferred stock (in shares)	4,314,064	0	0	0
Weighted average dilutive securities, warrants (in shares)	1,326,916	0	1,314,161	0
Weighted average shares and dilutive potential common shares	29,527,612	21,084,878	24,654,158	20,989,737
Diluted earnings per share, continuing operations (in dollars per share)	$ 0.68	$ (0.18)	$ 0.46	$ (0.32)
Diluted earnings per share, discontinued operations (in dollars per share)	0	0	0	0
Diluted net income per share (in dollars per share)	$ 0.68	$ (0.18)	$ 0.46	$ (0.32)
Restricted Stock
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Weighted average dilutive securities, share-based compensation (in shares)	2,383	0	484	0
Options
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Weighted average dilutive securities, share-based compensation (in shares)	225,192	0	237,828	0

Share Based Compensation - Rest

Share Based Compensation - Restricted Stock and Unit Activity (Details) - Restricted Stock and Restricted Stock Units (RSUs) $ / shares in Units, $ in Millions	3 Months Ended	9 Months Ended
	Jul. 01, 2017USD ($)$ / sharesshares	Jul. 01, 2017USD ($)$ / sharesshares
Number of Shares
Balance, beginning of period (in shares) | shares		0
Granted (in shares) | shares		77,451
Balance, end of period (in shares) | shares	77,451	77,451
Weighted-Average Grant Date Fair Value
Balance, beginning of period (in dollars per share) | $ / shares		$ 0
Granted (in dollars per share) | $ / shares		15.82
Balance, end of period (in dollars per share) | $ / shares	$ 15.82	$ 15.82
Share-based compensation | $	$ 0.4	$ 0.6
Excess tax benefit | $	0.1	0.2
Unrecognized compensation cost | $	$ 0.7	$ 0.7
Period for recognition of unrecognized compensation costs		7 months

Share Based Compensation - Stoc

Share Based Compensation - Stock Option Activity (Details) - Options $ / shares in Units, $ in Millions	3 Months Ended	9 Months Ended
	Jul. 01, 2017USD ($)$ / sharesshares	Jul. 01, 2017USD ($)$ / sharesshares
Number of Shares
Outstanding options, beginning of period (in shares) | shares		918,749
Granted (in shares) | shares		133,484
Exercised (in shares) | shares		(409,044)
Outstanding options, end of period (in shares) | shares	643,189	643,189
Fully vested and exercisable options, end of period (in shares) | shares	509,705	509,705
Weighted Average Exercise Price per Share
Outstanding options, beginning of period (in dollars per share) | $ / shares		$ 10.08
Granted (in dollars per share) | $ / shares		15.50
Exercised (in dollars per share) | $ / shares		10.08
Outstanding options, end of period (in dollars per share) | $ / shares	$ 11.20	11.20
Fully vested and exercisable options, end of period (in dollars per share) | $ / shares	$ 10.07	$ 10.07
Options exercised during period, aggregate intrinsic value		$ 2.2
Outstanding options, Aggregate Intrinsic Value	$ 3.7	3.7
Fully vested and exercisable options, end of period, Aggregate Intrinsic Value	3.5	$ 3.5
Fully vested and exercisable options, end of period, Weighted Average Contractual Remaining Term		7 years 9 months 15 days
Share-based compensation	0.1	$ 0.3
Excess tax benefit	0	0.1
Unrecognized compensation cost	$ 0.4	$ 0.4
Period for recognition of unrecognized compensation costs		6 months

Share Based Compensation - Fair

Share Based Compensation - Fair Value Assumptions (Details) - Options	9 Months Ended
	Jul. 01, 2017$ / shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected Volatility	33.70%
Dividend Yield	0.00%
Risk-Free Interest Rate	1.90%
Expected Term	5 years 6 months
Weighted-average grant date fair value of an option award granted in period (in dollars per share)	$ 5.35