Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Jan. 01, 2017 | Feb. 06, 2017 | |
Document and Entity Information | ||
Entity Registrant Name | VISTA OUTDOOR INC. | |
Entity Central Index Key | 1,616,318 | |
Document Type | 10-Q | |
Document Period End Date | Jan. 1, 2017 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --03-31 | |
Entity Well-known Seasoned Issuer | Yes | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 57,054,063 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 01, 2017 | Jan. 03, 2016 | Jan. 01, 2017 | Jan. 03, 2016 | |
Income Statement [Abstract] | ||||
Sales, net | $ 653,558 | $ 592,557 | $ 1,968,139 | $ 1,658,431 |
Cost of sales | 484,952 | 425,053 | 1,442,747 | 1,202,611 |
Gross profit | 168,606 | 167,504 | 525,392 | 455,820 |
Operating expenses: | ||||
Research and development | 8,170 | 3,681 | 24,151 | 8,851 |
Selling, general, and administrative | 95,893 | 88,591 | 303,060 | 252,011 |
Acquisition claim settlement gain, net | 0 | 0 | (30,027) | 0 |
Goodwill and intangibles impairment | 449,199 | 0 | 449,199 | 0 |
Income (loss) before interest and income taxes | (384,656) | 75,232 | (220,991) | 194,958 |
Interest expense, net | 10,551 | 7,776 | 32,657 | 16,908 |
Income (loss) before income taxes | (395,207) | 67,456 | (253,648) | 178,050 |
Income tax provision (benefit) | (17,548) | 24,297 | 21,663 | 68,326 |
Net income (loss) | $ (377,659) | $ 43,159 | $ (275,311) | $ 109,724 |
Earnings (loss) per common share: | ||||
Earnings Per Share, Basic | $ (6.48) | $ 0.70 | $ (4.63) | $ 1.76 |
Earnings Per Share, Diluted | $ (6.44) | $ 0.70 | $ (4.60) | $ 1.75 |
Weighted-average number of common shares outstanding: | ||||
Basic EPS shares outstanding | 58,275 | 61,717 | 59,478 | 62,175 |
Diluted EPS shares outstanding | 58,634 | 62,092 | 59,819 | 62,534 |
Pension and other postretirement benefit liabilities: | ||||
Reclassification of prior service credits for pension and postretirement benefit plans recorded to net income, net of tax benefit | $ (274) | $ (267) | $ (822) | $ (801) |
Reclassification of net actuarial loss for pension and postretirement benefit plans recorded to net income, net of tax expense | (1,236) | (1,381) | (3,708) | (4,143) |
Change in derivatives, net of tax benefit (expense) | 0 | (3) | 0 | 83 |
Change in cumulative translation adjustment, net of tax benefi | (10,711) | (788) | (15,255) | (4,837) |
Total other comprehensive income (loss) | (9,749) | 323 | (12,369) | (1,412) |
Comprehensive income (loss) | $ (387,408) | $ 43,482 | $ (287,680) | $ 108,312 |
CONDENSED CONSOLIDATED STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (unaudited) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 01, 2017 | Jan. 03, 2016 | Jan. 01, 2017 | Jan. 03, 2016 | |
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Tax [Abstract] | ||||
Reclassification of prior service credits for pension and postretirement benefit plans recorded to net income, net of tax benefit for the quarter ended and for the six months ended | $ 162 | $ 158 | $ 486 | $ 474 |
Reclassification of net actuarial loss for pension and postretirement benefit plans recorded to net income, net of tax expense for the quarter ended and for the six months ended | 734 | 819 | 2,202 | 2,457 |
Change in derivatives, net of tax benefit (expense) for the quarter ended and for the six months ended | 0 | (2) | 0 | 49 |
Change in cumulative translation adjustment, net of tax benefit for the quarter ended and for the six months ended | $ 0 | $ 0 | $ 0 | $ 0 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) - USD ($) $ in Thousands | Jan. 01, 2017 | Mar. 31, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 40,841 | $ 151,692 |
Net receivables | 533,334 | 428,398 |
Net inventories | 585,116 | 440,240 |
Income tax receivable | 8,904 | 0 |
Other current assets | 28,443 | 29,334 |
Total current assets | 1,196,638 | 1,049,664 |
Net property, plant, and equipment | 247,715 | 203,485 |
Goodwill | 855,215 | 1,023,451 |
Net intangible assets | 717,165 | 650,472 |
Deferred charges and other non-current assets | 27,432 | 15,562 |
Total assets | 3,044,165 | 2,942,634 |
Current liabilities: | ||
Current portion of long-term debt | 222,000 | 17,500 |
Accounts payable | 102,904 | 147,738 |
Accrued compensation | 39,923 | 47,394 |
Accrued income taxes | 0 | 12,171 |
Federal excise tax | 31,196 | 27,701 |
Other current liabilities | 181,421 | 116,397 |
Total current liabilities | 577,444 | 368,901 |
Long-term debt | 921,601 | 652,787 |
Deferred income tax liabilities | 153,130 | 135,957 |
Accrued pension and postemployment liabilities | 69,575 | 73,503 |
Other long-term liabilities | 64,731 | 51,319 |
Total liabilities | 1,786,481 | 1,282,467 |
Commitments and contingencies (Notes 10 and 13) | ||
Issued and outstanding— 57,722,723 shares at January 1, 2017 and 60,825,914 shares at March 31, 2016 | 577 | 608 |
Additional paid-in capital | 1,755,742 | 1,743,371 |
(Accumulated deficit) Retained earnings | (108,890) | 166,421 |
Accumulated other comprehensive loss | (122,583) | (110,214) |
Common stock in treasury, at cost— 6,241,716 shares held at January 1, 2017 and 3,138,525 shares held at March 31, 2016 | (267,162) | (140,019) |
Total stockholders' equity | 1,257,684 | 1,660,167 |
Total liabilities and stockholders' equity | $ 3,044,165 | $ 2,942,634 |
CONDENSED CONSOLIDATED BALANCE5
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) (Parenthetical) - $ / shares | Jan. 01, 2017 | Mar. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized shares | 500,000,000 | 500,000,000 |
Common stock, issued shares | 57,722,723 | 60,825,914 |
Common stock, outstanding shares | 57,722,723 | 60,825,914 |
Common stock in treasury, shares | 6,241,716 | 3,138,525 |
CONDENSED CONSOLIDATED STATEME6
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Jan. 01, 2017 | Jan. 03, 2016 | |
Operating Activities | ||
Net income (loss) | $ (275,311) | $ 109,724 |
Adjustments to net income(loss) to arrive at cash provided by operating activities: | ||
Depreciation | 40,805 | 28,134 |
Amortization of intangible assets | 31,020 | 24,602 |
Goodwill and intangibles impairment | 449,199 | 0 |
Amortization of deferred financing costs | 3,474 | 1,831 |
Deferred income taxes | (30,171) | 697 |
Loss (gain) on disposal of property, plant, and equipment | 140 | (180) |
Stock-based compensation | 9,603 | 9,055 |
Excess tax benefits from share-based plans | 0 | (206) |
Changes in assets and liabilities, net of acquisition of businesses: | ||
Net receivables | (19,226) | (36,387) |
Net inventories | (85,162) | (75,437) |
Accounts payable | (79,414) | (32,909) |
Accrued compensation | (18,871) | 5,328 |
Accrued income taxes | (15,863) | (4,543) |
Federal excise tax | 3,566 | 5,688 |
Pension and other postretirement benefits | 635 | 3,458 |
Other assets and liabilities | 43,467 | 32,433 |
Cash provided by operating activities | 57,891 | 71,288 |
Investing Activities: | ||
Capital expenditures | (49,302) | (26,301) |
Acquisition of businesses, net of cash acquired | (458,149) | (462,116) |
Proceeds from the disposition of property, plant, and equipment | 92 | 696 |
Cash used for investing activities | (507,359) | (487,721) |
Financing Activities: | ||
Borrowings on line of credit | 445,000 | 360,000 |
Payments on line of credit | (255,000) | (360,000) |
Proceeds from issuance of long-term debt | 307,500 | 350,000 |
Payment from former parent | 0 | 6,500 |
Payments made on long-term debt | (24,000) | (13,125) |
Payments made for debt issuance costs | (3,660) | (4,379) |
Purchase of treasury shares | (122,860) | (115,194) |
Deferred payments for acquisitions | (7,136) | 0 |
Excess tax benefits from share-based plans | 0 | 206 |
Proceeds from employee stock compensation plans | 75 | 438 |
Cash provided by financing activities | 339,919 | 224,446 |
Effect of foreign exchange rate fluctuations on cash | (1,302) | (830) |
Decrease in cash and cash equivalents | (110,851) | (192,817) |
Cash and cash equivalents at beginning of period | 151,692 | 263,951 |
Cash and cash equivalents at end of period | 40,841 | 71,134 |
Non-cash investing activity: | ||
Capital expenditures included in accounts payable | 2,760 | 921 |
Non-cash financing activity: | ||
Treasury shares purchased included in other accrued liabilities | $ 4,479 | $ 1,934 |
CONDENSED CONSOLIDATED STATEME7
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (unaudited) - USD ($) $ in Thousands | Total | Common Stock $.01 Par Value | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock |
Balance at Mar. 31, 2015 | $ 1,648,764 | $ 639 | $ 1,742,125 | $ 19,384 | $ (110,303) | $ (3,081) |
Balance (in shares) at Mar. 31, 2015 | 63,878,499 | |||||
Increase (Decrease) in Stockholders' Equity | ||||||
Comprehensive income (loss) | 108,312 | 109,724 | (1,412) | |||
Exercise of stock options (in shares) | 20,078 | |||||
Exercise of stock options | 438 | (426) | 864 | |||
Restricted stock grants net of forfeitures (in shares) | 68,272 | |||||
Restricted stock grants net of forfeitures | 219 | (3,046) | 3,265 | |||
Share-based compensation | 9,055 | 9,055 | ||||
Restricted stock vested and shares withheld (in shares) | (21,955) | |||||
Restricted stock vested and shares withheld | $ (202) | 955 | (1,157) | |||
Treasury stock purchased (in shares) | (2,607,436) | (2,607,436) | ||||
Treasury stock purchased | $ (115,355) | (115,355) | ||||
Contribution from former parent and other (in shares) | 647 | |||||
Contribution from former parent and other | 6,477 | $ 26 | 6,479 | (28) | ||
Balance at Jan. 03, 2016 | 1,644,754 | $ 613 | 1,742,184 | 129,108 | (111,715) | (115,436) |
Balance (in shares) at Jan. 03, 2016 | 61,338,105 | |||||
Balance at Mar. 31, 2016 | 1,660,167 | $ 608 | 1,743,371 | 166,421 | (110,214) | (140,019) |
Balance (in shares) at Mar. 31, 2016 | 60,825,914 | |||||
Increase (Decrease) in Stockholders' Equity | ||||||
Comprehensive income (loss) | (287,680) | (275,311) | (12,369) | |||
Exercise of stock options (in shares) | 4,892 | |||||
Exercise of stock options | 75 | (147) | 222 | |||
Restricted stock grants net of forfeitures (in shares) | 22,289 | |||||
Restricted stock grants net of forfeitures | (431) | (66) | (365) | |||
Share-based compensation | 9,603 | 9,603 | ||||
Restricted stock vested and shares withheld (in shares) | (4,881) | |||||
Restricted stock vested and shares withheld | $ (758) | (318) | (440) | |||
Treasury stock purchased (in shares) | (3,095,952) | (3,095,952) | ||||
Treasury stock purchased | $ (126,560) | (126,560) | ||||
Contribution from former parent and other (in shares) | 5,277 | |||||
Contribution from former parent and other | 3,268 | $ (31) | (3,299) | |||
Balance at Jan. 01, 2017 | $ 1,257,684 | $ 577 | $ 1,755,742 | $ (108,890) | $ (122,583) | $ (267,162) |
Balance (in shares) at Jan. 01, 2017 | 57,722,723 |
CONDENSED CONSOLIDATED STATEME8
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (unaudited) (Parenthetical) - $ / shares | Jan. 01, 2017 | Mar. 31, 2016 |
Statement of Stockholders' Equity [Abstract] | ||
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Basis of Presentation and Respo
Basis of Presentation and Responsibility for Interim Financial Statements | 9 Months Ended |
Jan. 01, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Responsibility for Interim Financial Statements | Basis of Presentation and Responsibility for Interim Financial Statements Nature of Operations. Vista Outdoor Inc. (together with our subsidiaries, "we", "our", and "us") is a leading global designer, manufacturer, and marketer of consumer products in the growing outdoor sports and recreation markets. We operate in two segments, Outdoor Products and Shooting Sports. Vista Outdoor is headquartered in Farmington, Utah and has manufacturing operations and facilities in 13 U.S. States, Canada, Mexico, and Puerto Rico along with international customer service, sales, and sourcing operations in Asia, Australia, Canada, Europe, and New Zealand. Vista Outdoor was incorporated in Delaware in 2014. This Quarterly Report on Form 10-Q should be read in conjunction with our consolidated and combined financial statements and notes included in our fiscal 2016 financial statements as filed on Form 8-K on August 11, 2016. Basis of Presentation. Our unaudited condensed consolidated financial statements have been prepared in accordance with the requirements of the Securities and Exchange Commission ("SEC") for interim reporting. As permitted under those rules, certain disclosures and other financial information that are normally required by accounting principles generally accepted in the United States can be condensed or omitted. Our accounting policies are described in the notes to the consolidated and combined financial statements in our Annual Report on Form 10-K for the fiscal year ended March 31, 2016 (“fiscal 2016”). Management is responsible for the condensed consolidated financial statements included in this document, which are unaudited but, in the opinion of management, include all adjustments necessary for a fair presentation of our financial position as of January 1, 2017 and March 31, 2016 , our results of operations for the quarters and nine month periods ended January 1, 2017 and January 3, 2016 and our cash flows for the nine months ended January 1, 2017 and January 3, 2016 . New Accounting Pronouncements. On February 25, 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standard Update ("ASU") 2016-02, Leases . The new guidance was issued to increase transparency and comparability among companies by requiring most leases be included on the balance sheet and by expanding disclosure requirements. Based on the current effective dates, the new guidance would first apply in the first quarter of our fiscal 2020. We are in the process of evaluating the effect of adoption on our financial statements. On March 30, 2016, the FASB issued ASU No. 2016-09, Improvements to Employee Share-Based Payment Accounting , which simplifies several aspects of the accounting for employee share-based payment transactions including the accounting for income taxes, forfeitures and classification in the statement of cash flows. The standard allows for early adoption. As of March 31, 2016, we elected to early adopt this standard and prospectively present the change to the financial statements given the immaterial nature of the prior period balances. Besides those noted above and in our fiscal 2016 financial statements, there are no other new accounting pronouncements that are expected to have a significant impact on our condensed consolidated financial statements. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 9 Months Ended |
Jan. 01, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The current authoritative guidance on fair value clarifies the definition of fair value, prescribes a framework for measuring fair value, establishes a fair value hierarchy based on the inputs used to measure fair value, and expands disclosures about the use of fair value measurements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The valuation techniques required by the current authoritative literature are based upon observable and unobservable inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect internal market assumptions. These two types of inputs create the following fair value hierarchy: Level 1—Quoted prices for identical instruments in active markets. Level 2—Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations whose inputs are observable or whose significant value drivers are observable. Level 3—Significant inputs to the valuation model are unobservable. The following section describes the valuation methodologies we used to measure our financial instruments at fair value. Long-term debt —The fair value of the variable-rate long-term debt is calculated based on current market rates for debt of the same risk and maturities. The fair value of the fixed-rate long-term debt is based on market quotes for the outstanding notes. We consider these to be Level 2 instruments. Contingent Consideration —The acquisition-related contingent consideration liability represents the estimated fair value of additional future earn-outs payable for acquisitions of businesses that included earn-out clauses. The valuation of the contingent consideration will be evaluated on an ongoing basis and is based on management estimates and entity-specific assumptions which are considered Level 3 inputs. See Note 4 for further details. The following table presents our financial assets and liabilities that are not measured at fair value on a recurring basis. The carrying values and estimated fair values were as follows: January 1, 2017 March 31, 2016 Carrying Fair Carrying Fair Fixed-rate debt $ 350,000 $ 367,063 $ 350,000 $ 366,625 Variable-rate debt 806,000 806,000 332,500 332,500 |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 9 Months Ended |
Jan. 01, 2017 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Share | Earnings (Loss) Per Share The computation of earnings (loss) per share ("EPS") includes Basic EPS computed based upon the weighted average number of common shares outstanding for each period. Diluted EPS is computed based on the weighted average number of common shares and common equivalent shares. Common equivalent shares represent the effect of stock-based awards during each period presented, which, if exercised or earned, would have a dilutive effect on EPS. In computing EPS for the quarters and nine month periods ended January 1, 2017 and January 3, 2016 , earnings (loss), as reported for each respective period, is divided by: Quarter ended Nine months ended (in thousands) January 1, 2017 January 3, 2016 January 1, 2017 January 3, 2016 Basic EPS shares outstanding 58,275 61,717 59,478 62,175 Dilutive effect of stock-based awards 359 375 341 359 Diluted EPS shares outstanding 58,634 62,092 59,819 62,534 Shares excluded from the calculation of diluted EPS because the option exercise/threshold price was greater than the average market price of the common shares 139 68 139 68 Share Repurchases On February 25, 2015, our Board of Directors authorized a share repurchase program of up to $200,000 worth of shares of our common stock, executable over two years. We completed this program during the nine months ended January 1, 2017. On August 25, 2016, our Board of Directors authorized a new share repurchase program of up to $100,000 worth of our common stock, executable through March 31, 2018. The shares may be purchased from time to time in open market, block purchase, or negotiated transactions, subject to compliance with applicable laws and regulations. The repurchase authorization also allows us to make repurchases under Rule 10b5-1 of the Securities Exchange Act of 1934. During the quarters ended January 1, 2017 and January 3, 2016 , we repurchased 1,559,938 shares for $59,993 and 1,405,729 shares for $61,338 , respectively. During the nine months ended January 1, 2017 and January 3, 2016 , we repurchased 3,095,952 shares for $126,560 and 2,607,436 shares for $115,355 , respectively. Since the inception of the programs through January 1, 2017 , we have repurchased 6,437,038 shares for $275,630 . Any additional repurchases would be subject to market conditions and our compliance with our debt covenants. |
Acquisitions
Acquisitions | 9 Months Ended |
Jan. 01, 2017 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisition of Camp Chef On September 1, 2016, we completed the acquisition of privately owned Logan Outdoor Products, LLC and Peak Trades, LLC ("Camp Chef"), a leading provider of outdoor cooking solutions. Under the terms of the transaction, we paid $60,000 , subject to customary working capital adjustments, utilizing cash on hand and borrowings under our existing credit facility. An additional $4,000 has been deferred and will be paid in equal installments on the first, second and third anniversary of the closing date, and $10,000 will be payable if incremental profitability growth milestones are met and key members of Camp Chef management continue their employment with us. The $10,000 will be expensed over the three-year measurement period and paid at each milestone date. The preliminary purchase price allocation is subject to further refinement and may require significant adjustments to arrive at the final purchase price allocation. A majority of the goodwill generated in this acquisition will be deductible for tax purposes. Camp Chef is an immaterial acquisition to our company. Acquisition of Action Sports On April 1, 2016, we completed the acquisition of BRG Sports Inc.’s Action Sports division, operated by Bell Sports Corp. ("Action Sports"). The acquisition includes brands Bell, Giro, Blackburn, CoPilot, Krash, and Raskullz. Under the terms of the transaction, we paid $400,000 , subject to customary working capital adjustments, utilizing cash on hand and borrowings under our existing credit facilities, and additional contingent consideration payable if incremental profitability growth milestones within the Bell Powersports product line are achieved. We determined a value of the future contingent consideration as of the acquisition date of $4,272 utilizing the Black Scholes option pricing model; the total amount paid may differ from this value. The option pricing model requires us to make assumptions including the risk-free rate, expected volatility, cash flows, and expected life. The risk-free rate is based on U.S. Treasury zero-coupon issues with a remaining term that approximates the expected life assumed at the date of grant. The expected option life is based on the contractual term of the agreement. Expected volatility is based on the average volatility of similar public companies' stock over the past three years. The discounted cash flows are based on our estimates of future performance of the business. Action Sports remains headquartered in Scotts Valley, California and operates facilities in the U.S., Canada, Europe and Asia. The acquisition of Action Sports includes more than 600 employees worldwide. The preliminary purchase price allocation is subject to further refinement and may require significant adjustments to arrive at the final purchase price allocation. A portion of the goodwill generated in this acquisition will be deductible for tax purposes. Acquisition of CamelBak Products On August 3, 2015, we completed the acquisition of CamelBak Products, LLC ("CamelBak") for total consideration of $412,500 , subject to a customary working capital adjustment, utilizing cash on hand and borrowings under our existing credit facilities. CamelBak is the leading provider of personal hydration solutions for outdoor, recreation and military use. CamelBak’s products include hydration packs, reusable bottles and individual purification and filtration systems. CamelBak has approximately 300 employees worldwide. The purchase price allocation was completed during the quarter ended October 2, 2016. A portion of the goodwill generated in this acquisition will be deductible for tax purposes. Acquisition of Jimmy Styks On July 20, 2015, we completed the acquisition of Jimmy Styks, LLC ("Jimmy Styks"), using $40,000 of cash on hand with additional contingent consideration payable if incremental profitability growth milestones are achieved over the next three years. We determined a value of the future contingent consideration as of the acquisition date of $4,471 utilizing the Black Scholes option pricing model; the total amount paid may differ from this value. The option pricing model requires us to make assumptions including the risk-free rate, expected volatility, cash flows, and expected life. The risk-free rate is based on U.S. Treasury zero-coupon issues with a remaining term that approximates the expected life assumed at the date of grant. The expected option life is based on the contractual term of the agreement. Expected volatility is based on the average volatility of similar public companies' stock over the past three years. The discounted cash flows are based on our estimates of future performance of the business. As of January 1, 2017 , the value of the future contingent consideration was $1,075 . The reduction from the original estimate was primarily a result of not achieving the first growth milestone. The purchase price allocation was completed during the quarter ended October 2, 2016. The majority of the goodwill generated in this acquisition will be deductible for tax purposes. Jimmy Styks is an immaterial acquisition to our company. Current quarter results for acquisitions For the quarter and nine months ended January 1, 2017 , Vista Outdoor recorded sales of approximately $92,134 and $332,580 and gross profit of approximately $24,167 and $98,449 , associated with the operations of these acquired businesses for periods in which they were not part of Vista Outdoor in the comparable prior year periods. Vista Outdoor recorded sales of approximately $41,265 and $65,636 for the quarter and nine months ended January 3, 2016 and gross profit of approximately $16,715 and $25,931 for the quarter and nine months ended January 3, 2016 associated with the operations of these acquired businesses. The results are reflected in the Outdoor Products segment results. Bushnell acquisition settlement During the nine months ended January 1, 2017, we finalized a settlement of claims that we brought against the previous owner of Bushnell Holdings and third party insurance providers relating to certain disputes arising under the purchase agreement with respect to the acquisition. A settlement was reached in which we received a total of $30,027 net of current period litigation costs associated with the claims. Separately, in accordance with the purchase agreement, we paid the previous owner for certain tax deductions in the amount of $7,136 , which were taken on the final pre-acquisition income tax return of Bushnell Holdings. Allocation of Consideration Transferred to Net Assets Acquired for Action Sports and CamelBak: The following amounts represent the preliminary determination of the fair value of identifiable assets acquired and liabilities assumed from the Action Sports acquisition and the final determination for the CamelBak acquisition. The final determination of the fair value of certain assets and liabilities for Action Sports will be completed within the required measurement period, which will be no later than 12 months from the date of acquisition. The size and breadth of the Action Sports acquisition will necessitate the use of this measurement period to adequately analyze and assess a number of the factors used in establishing the asset and liability fair values as of the acquisition date, including the significant contractual and operational factors underlying the trade name and customer relationship intangible assets and the related tax impacts of any changes made. Any potential adjustments made could be material in relation to the preliminary values presented below: Action Sports Preliminary Purchase Price Allocation: April 1, 2016 Purchase price net of cash acquired: Cash paid $ 400,000 Estimated earnout value 4,272 Cash received for working capital (1,289 ) Total purchase price 402,983 Fair value of assets acquired: Receivables $ 79,328 Inventories 56,527 Tradename, customer relationship, and technology intangibles 155,100 Property, plant, and equipment 34,114 Other assets 6,876 Total assets 331,945 Fair value of liabilities assumed: Accounts payable 30,240 Deferred tax liabilities 46,500 Other liabilities 33,168 Total liabilities 109,908 Net assets acquired 222,037 Goodwill $ 180,946 CamelBak Final Purchase Price Allocation: August 3, 2015 Purchase price net of cash acquired: Cash paid $ 412,500 Cash paid for working capital 8,472 Total purchase price 420,972 Fair value of assets acquired: Receivables $ 30,093 Inventories 30,916 Tradename, customer relationship, and technology intangibles 133,800 Property, plant, and equipment 7,985 Deferred tax assets 5,857 Other assets 4,460 Total assets 213,111 Fair value of liabilities assumed: Accounts payable 8,219 Other liabilities 11,479 Total liabilities 19,698 Net assets acquired 193,413 Goodwill $ 227,559 Intangible assets above include: Value Useful life (years) Action Sports Indefinite lived tradenames $ 76,700 Indefinite Definite lived tradenames 1,400 15 Customer relationships 74,700 15-20 Technology 2,300 10 CamelBak Indefinite lived tradename $ 79,400 Indefinite Customer relationships 49,400 10-20 Technology 5,000 7-17 Supplemental Pro Forma Data for Action Sports and CamelBak: We used the acquisition method of accounting to account for these acquisitions and, accordingly, the results of Action Sports and CamelBak are included in our consolidated financial statements for the period subsequent to the date of acquisition. The following unaudited supplemental pro forma data for the quarter and nine months ended January 1, 2017 and January 3, 2016 present consolidated information as if the CamelBak acquisition had been completed on April 1, 2014 and the Action Sports acquisition had been completed on April 1, 2015. The pro forma results were calculated by combining our results with the standalone results of Action Sports and CamelBak for the pre-acquisition periods, which were adjusted to account for certain costs which would have been incurred during this pre-acquisition period: Quarter ended Nine months ended (Amounts in thousands except per share data) January 1, 2017 January 3, 2016 January 1, 2017 January 3, 2016 Sales $ 653,558 $ 670,771 $ 1,968,139 $ 1,969,945 Net income (loss) (377,659 ) 46,103 (273,858 ) 120,845 Basic earnings (loss) per common share (6.48 ) 0.75 (4.60 ) 1.94 Diluted earnings (loss) per common share (6.44 ) 0.74 (4.58 ) 1.93 The unaudited supplemental pro forma data above include the following significant non-recurring adjustments made to account for certain costs which would have been incurred if the CamelBak acquisition had been completed on April 1, 2014 and the Action Sports acquisition had been completed on April 1, 2015, as adjusted for the applicable tax impact: Quarter ended Nine months ended January 1, 2017 January 3, 2016 January 1, 2017 January 3, 2016 Inventory step-up, net (1) $ — $ (313 ) $ (502 ) $ (145 ) Fees for advisory, legal, accounting services (2) — (56 ) (946 ) (3,331 ) (1) Adjustment reflects the increased cost of goods sold expense resulting from the fair value step-up in inventory of $817 for Action Sports and $1,043 for CamelBak which was expensed over the first inventory cycle. (2) We removed the fees that were incurred in connection with the acquisition of Action Sports from fiscal 2017 and considered those fees as incurred during the first quarter of fiscal 2016. Costs were recorded in Selling, general, and administrative expense. We have incurred total of $2,837 in fees in connection with the acquisition of Action Sports during fiscal 2016 and 2017. We removed the fees that were incurred in connection with the acquisition of CamelBak from fiscal 2016 and considered those fees as incurred during the first quarter of fiscal 2015. |
Net Receivables
Net Receivables | 9 Months Ended |
Jan. 01, 2017 | |
Receivables [Abstract] | |
Net Receivables | Net Receivables Net receivables are summarized as follows: January 1, 2017 March 31, 2016 Trade receivables $ 553,932 $ 446,032 Other receivables 3,023 1,778 Less: allowance for doubtful accounts and discounts (23,621 ) (19,412 ) Net receivables $ 533,334 $ 428,398 One customer represented 12% and 13% of the total trade receivables balance as of January 1, 2017 and March 31, 2016 , respectively. |
Net Inventories
Net Inventories | 9 Months Ended |
Jan. 01, 2017 | |
Inventory Disclosure [Abstract] | |
Net Inventories | Net Inventories Net inventories consist of the following: January 1, 2017 March 31, 2016 Raw materials $ 116,220 $ 91,898 Work in process 58,468 61,864 Finished goods 410,428 286,478 Net inventories $ 585,116 $ 440,240 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 9 Months Ended |
Jan. 01, 2017 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The components of AOCL, net of income taxes, are as follows: January 1, 2017 March 31, 2016 Pension and other postretirement benefits $ (60,781 ) $ (63,667 ) Cumulative translation adjustment (61,802 ) (46,547 ) Total AOCL $ (122,583 ) $ (110,214 ) The following tables summarize the changes in the balance of AOCL, net of income tax: Quarter ended January 1, 2017 Nine months ended January 1, 2017 Pension and other postretirement benefits Cumulative translation adjustment Total Pension and other postretirement benefits Cumulative translation adjustment Total Beginning balance in AOCL $ (61,743 ) $ (51,091 ) $ (112,834 ) $ (63,667 ) $ (46,547 ) $ (110,214 ) Net actuarial losses reclassified from AOCL (1) 1,236 — 1,236 3,708 — 3,708 Prior service costs reclassified from AOCL (1) (274 ) — (274 ) (822 ) — (822 ) Net change in cumulative translation adjustment — (10,711 ) (10,711 ) — (15,255 ) (15,255 ) Ending balance in AOCL $ (60,781 ) $ (61,802 ) $ (122,583 ) $ (60,781 ) $ (61,802 ) $ (122,583 ) (1) Amounts related to our pension and other postretirement benefits that were reclassified from AOCL were recorded as a component of net periodic benefit cost for each period presented. Quarter ended January 3, 2016 Nine months ended January 3, 2016 Derivatives Pension and other postretirement benefits Cumulative translation adjustment Total Derivatives Pension and other postretirement benefits Cumulative translation adjustment Total Beginning balance in AOCL $ 86 $ (55,927 ) $ (56,197 ) $ (112,038 ) $ — $ (58,155 ) $ (52,148 ) $ (110,303 ) Net increase in fair value of derivatives 114 — — 114 232 — — 232 Net losses reclassified from AOCL, offsetting the price paid to suppliers (1) (117 ) — — (117 ) (149 ) — — (149 ) Net actuarial losses reclassified from AOCL (2) — 1,381 — 1,381 — 4,143 — 4,143 Prior service costs reclassified from AOCL (2) — (267 ) — (267 ) — (801 ) — (801 ) Net change in cumulative translation adjustment — — (788 ) (788 ) — — (4,837 ) (4,837 ) Ending balance in AOCL $ 83 $ (54,813 ) $ (56,985 ) $ (111,715 ) $ 83 $ (54,813 ) $ (56,985 ) $ (111,715 ) (1) Amounts related to our derivative instruments that were reclassified from AOCL and recorded as a component of cost of sales. (2) Amounts related to our pension and other postretirement benefits that were reclassified from AOCL were recorded as a component of net periodic benefit cost for each period presented. |
Goodwill and Net Intangible Ass
Goodwill and Net Intangible Assets | 9 Months Ended |
Jan. 01, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Net Intangible Assets | The changes in the carrying amount of goodwill by segment were as follows: Outdoor Products Shooting Sports Total Balance, March 31, 2016 $ 818,560 $ 204,891 $ 1,023,451 Acquisitions 192,820 — 192,820 Impairment (353,915 ) — (353,915 ) Effect of foreign currency exchange rates (6,941 ) (200 ) (7,141 ) Balance, January 1, 2017 $ 650,524 $ 204,691 $ 855,215 The acquisitions in Outdoor Products related to the preliminary purchase price allocations for Action Sports and Camp Chef as previously discussed. A challenging retail environment and other market pressures resulted in deeper discounting of Vista Outdoor’s accessories products during the quarter ending January 1, 2017. The deeper discounting caused a reduction in the projected cash flows of the Hunting and Shooting Accessories reporting unit. Given this drop in projected cash flows and a continued challenging retail environment, we determined a triggering event had occurred. The triggering event indicated it was more likely than not that the fair value of the reporting unit was less than the book value of the reporting unit. The fair value of the reporting unit is determined using both an income and market approach. The value estimated using a discounted cash flow model is weighted against the estimated value, which is derived from the guideline company market approach method. This market approach method estimates the price reasonably expected to be realized from the sale of the company based on comparable companies. The goodwill recorded within the Outdoor Products segment above is presented net of $353,915 in current period impairment losses. In addition, as a result of the factors noted above, we evaluated the fair value of the other intangibles assets as well. We determined the fair value of the trade names and technology based on the relief of royalty method and used royalty rates in a range of .5% to 5% for the trade names and a royalty rate of .5% on technologies based on public guideline royalty-based transactions and profitability and a discount rate of 9.5% . This analysis resulted in a $34,230 non-cash impairment charge on non-amortizing trade names related primarily to the Bushnell trade name. The analysis also resulted in a $61,054 non-cash impairment charge related to a number of amortizing trade name and technology intangibles associated with the Bushnell acquisition completed in fiscal 2014 and the Blackhawk tradename. The remeasurement of goodwill and intangible assets is classified as a Level 3 fair value assessment as described in Note 2 due to the significance of unobservable inputs developed using company-specific information. The goodwill recorded within the Outdoor Products and Shooting Sports segments are presented net of $47,791 and $41,020 of accumulated impairment losses, respectively, recorded prior to March 31, 2016. Net intangibles consisted of the following: January 1, 2017 March 31, 2016 Gross Accumulated Total Gross Accumulated Total Trade names $ 106,159 $ (15,110 ) $ 91,049 $ 185,162 $ (46,812 ) $ 138,350 Patented technology 19,066 (7,470 ) 11,596 27,900 (9,949 ) 17,951 Customer relationships and other 370,326 (70,773 ) 299,553 272,431 (50,757 ) 221,674 Total 495,551 (93,353 ) 402,198 485,493 (107,518 ) 377,975 Non-amortizing trade names 314,967 — 314,967 272,497 — 272,497 Net intangibles $ 810,518 $ (93,353 ) $ 717,165 $ 757,990 $ (107,518 ) $ 650,472 The gross amount of amortizing and non-amortizing intangible assets increased from March 31, 2016 due to the acquisitions of Action Sports and Camp Chef partially offset by the impairments noted above. The assets in the table above are being amortized using a straight-line method over a weighted average remaining period of approximately 13.0 years . Amortization expense for the quarters and nine month periods ended January 1, 2017 and January 3, 2016 was $10,627 and $8,951 and $31,020 and $24,602 , respectively. We expect amortization expense related to these assets to be as follows: Remainder of fiscal 2017 $ 9,204 Fiscal 2018 36,816 Fiscal 2019 34,072 Fiscal 2020 33,245 Fiscal 2021 33,229 Thereafter 255,632 Total $ 402,198 |
Other Current and Non-current L
Other Current and Non-current Liabilities | 9 Months Ended |
Jan. 01, 2017 | |
Other Liabilities Disclosure [Abstract] | |
Other Current and Non-current liabilities | Other Current and Non-current Liabilities Other current and non-current liabilities consisted of the following: January 1, 2017 March 31, 2016 Other current liabilities: In-transit inventory and other $ 82,962 $ 40,242 Rebate 46,501 17,957 Accrued advertising 15,424 10,315 Employee benefits and insurance 12,221 11,131 Warranty 9,117 8,611 Interest 5,559 13,157 Customer obligations 2,975 9,613 Freight accrual 2,499 2,446 Accrued taxes 2,350 1,303 Product liability 1,813 1,622 Total other current liabilities $ 181,421 $ 116,397 Other non-current liabilities: Non-current portion of accrued income tax liability $ 27,097 $ 25,421 Contingent consideration and deferred purchase price 8,044 4,471 Product liability 4,193 — Management non-qualified deferred compensation plan 3,185 2,668 Environmental remediation 740 745 Other 21,472 18,014 Total other non-current liabilities $ 64,731 $ 51,319 We provide consumer warranties against manufacturing defects on certain products within the Outdoor Products and Shooting Sports segments with warranty periods ranging typically from one year to a lifetime. The estimated costs of such product warranties are recorded at the time the sale is recorded based upon actual past experience, our current production environment as well as specific and identifiable warranties as applicable. The warranty liability recorded at each balance sheet date reflects the estimated liability for warranty coverage for products delivered based on historical information and current trends. The following is a reconciliation of the changes in our product warranty liability during the period presented: Balance, March 31, 2016 $ 8,611 Payments made (2,992 ) Warranties issued 2,575 Warranties assumed in acquisition 1,159 Changes related to preexisting warranties (236 ) Balance, January 1, 2017 $ 9,117 |
Long-term Debt
Long-term Debt | 9 Months Ended |
Jan. 01, 2017 | |
Debt Disclosure [Abstract] | |
Long-term Debt | Long-term Debt Long-term debt, including the current portion, consisted of the following: January 1, 2017 March 31, 2016 Senior Credit Facility: Term Loan $ 616,000 $ 332,500 Revolving Credit Facility 190,000 — Total principal amount of Credit Agreement 806,000 332,500 5.875% Senior Notes due 2023 350,000 350,000 Principal amount of long-term debt 1,156,000 682,500 Less: unamortized deferred financing costs 12,399 12,213 Carrying amount of long-term debt 1,143,601 670,287 Less: current portion 222,000 17,500 Carrying amount of long-term debt, excluding current portion $ 921,601 $ 652,787 Credit Agreement On April 1, 2016, we entered into an Amended and Restated Credit Agreement (the “2016 Credit Agreement”), which replaced our 2014 Credit Agreement. The 2016 Credit Agreement is comprised of a Term A Loan of $640,000 and a $400,000 Revolving Credit Facility, both of which mature on April 1, 2021. The Term A Loan is subject to quarterly principal payments of $8,000 , with the remaining balance due on April 1, 2021. Borrowings under the 2016 Credit Agreement bear interest at a rate equal to either the sum of a base rate plus a specified margin or the sum of a Eurodollar rate plus a specified margin. Each margin is based on our consolidated leverage ratio, as defined in the 2016 Credit Agreement. Based on the ratio in effect as of January 1, 2017 , the base rate margin was 0.75% and the Eurodollar margin was 1.75% . The weighted average interest rate for our borrowings under the 2016 Credit Agreement as of January 1, 2017 was 2.41% . We pay a commitment fee on the unused portion of the Revolving Credit Facility based on our consolidated leverage ratio, and based on the current ratio, this fee is 0.30% . As of January 1, 2017 , we had $190,000 in borrowings against our $400,000 Revolving Credit Facility and had outstanding letters of credit of $26,015 , which reduced amounts available on the Revolving Credit Facility to $183,985 . With the exception of assets owned by the legal entities operating the Camp Chef business, substantially all domestic tangible and intangible assets of Vista Outdoor and its subsidiaries, as well as the tangible and intangible assets of Advanced Arrow S. de R.L. de C.V. and Hydrosport, S. de R.L. de C.V., are pledged as collateral under the 2016 Credit Agreement. The domestic tangible and intangible assets of Camp Chef are expected to be pledged as collateral during fiscal 2017. Debt issuance costs of approximately $12,000 are being amortized over the term of the 2016 Credit Agreement. In fiscal 2014, we entered into a credit agreement (the "2014 Credit Agreement"), which was comprised of a Term A Loan of $350,000 and a Revolving Credit Facility of $400,000 , both of which were to mature on February 9, 2020. During the quarter ended July 3, 2016, we refinanced this agreement as noted above. In connection with this transaction, we wrote off $1,521 of unamortized deferred debt issuance costs in the nine months ended January 1, 2017. 5.875% Notes On August 11, 2015, we issued $350,000 aggregate principal amount of 5.875% Senior Notes (the "5.875% Notes") that mature on October 1, 2023. These notes are unsecured and senior obligations. Interest on these notes is payable semi-annually in arrears on April 1 and October 1 of each year, starting on April 1, 2016. We have the right to redeem some or all of these notes from time to time on or after October 1, 2018, at specified redemption prices. Prior to October 1, 2018, we may redeem some or all of these notes at a price equal to 100% of their principal amount plus accrued and unpaid interest to the date of redemption and a specified make-whole premium. In addition, prior to October 1, 2018, we may redeem up to 35% of the aggregate principal amount of these notes with the net cash proceeds of certain equity offerings, at a price equal to 105.875% of their principal amount plus accrued and unpaid interest to the date of redemption. Debt issuance costs of approximately $4,300 are being amortized to interest expense over 8 years, the term of the notes. Rank and Guarantees The 2016 Credit Agreement obligations are guaranteed on a secured basis, jointly and severally and fully and unconditionally by substantially all of our domestic subsidiaries, with the exception of the legal entities operating the Camp Chef business, and by Advanced Arrow S. de R.L. de C.V. and Hydrosport, S. de R.L. de C.V.. Vista Outdoor (the parent company issuer) has no independent assets or operations. We own 100% of all of these guarantor subsidiaries. The 5.875% Notes are senior unsecured obligations and will rank equally in right of payment with any future senior unsecured indebtedness and senior in right of payment to any future subordinated indebtedness. The 5.875% Notes are fully and unconditionally guaranteed, jointly and severally, by our existing and future domestic subsidiaries that guarantee indebtedness under our 2016 Credit Agreement or that guarantee certain of our other indebtedness, or indebtedness of any subsidiary guarantor, in an aggregate principal amount in excess of $50,000 . These guarantees are senior unsecured obligations of the applicable subsidiary guarantors. The guarantee by any subsidiary guarantor of our obligations in respect of the 5.875% Notes will be released in any of the following circumstances: • if, as a result of the sale of its capital stock, such subsidiary guarantor ceases to be a restricted subsidiary; • if such subsidiary guarantor is designated as an “Unrestricted Subsidiary;” • upon defeasance or satisfaction and discharge of the 5.875% Notes; or • if such subsidiary guarantor has been released from its guarantees of indebtedness under the 2016 Credit Agreement and all capital markets debt securities. The guarantee by any subsidiary guarantor of our obligations in respect of the 2016 Credit Agreement will be released in any of the following circumstances: • if, as a result of the sale of its capital stock, such subsidiary guarantor ceases to be a subsidiary; • if such subsidiary guarantor ceases to be a Domestic Subsidiary; or • upon repayment of all obligations under the 2016 Credit Agreement. Cash Paid for Interest on Debt Cash paid for interest on debt, including commitment fees, for the nine months ended January 1, 2017 and January 3, 2016 totaled $15,034 and $6,387 , respectively. |
Employee Benefit Plans
Employee Benefit Plans | 9 Months Ended |
Jan. 01, 2017 | |
Compensation and Retirement Disclosure [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans The total expense for employee benefit plans for the quarter and nine months ended January 1, 2017 and January 3, 2016 was $1,690 and $1,825 , and $5,072 and $5,475 respectively. Employer Contributions. During the nine months ended January 1, 2017 , we made the legally required minimum contribution of $4,400 directly to the pension trust, and no contributions to our other postretirement benefit plans. We made distributions of $10 directly to retirees under the non-qualified supplemental executive retirement plan. During the nine months ended January 3, 2016 , we contributed $2,000 directly to the pension trust, made no contributions to our other postretirement benefit plans, and made no distributions to retirees under the non-qualified supplemental executive retirement plan. There are no additional contributions expected to be made directly to the pension trust and we expect to contribute approximately $174 to our other postretirement benefit plans, and distribute approximately $688 directly to retirees under our non-qualified supplemental executive retirement plans during the remainder of fiscal 2017 . |
Income Taxes
Income Taxes | 9 Months Ended |
Jan. 01, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Our provision for income taxes includes federal, foreign, and state income taxes. Income tax provisions for interim periods are based on estimated effective annual income tax rates. The income tax provisions for the quarters ended January 1, 2017 and January 3, 2016 represent effective tax rates of 4.4% and 36.0% , respectively. The change in the rate from the prior year quarter is primarily caused by the goodwill impairment charge in the current quarter that is nondeductible for tax purposes. The income tax provision for the nine months ended January 1, 2017 and January 3, 2016 represent effective tax rates of (8.5)% and 38.4% , respectively. The decrease in the rate from the prior year period is primarily caused by the nondeductible goodwill impairment charge partially offset by a nontaxable acquisition claim settlement gain. The 4.4% effective tax rate for the quarter ended January 1, 2017 differs from the statutory federal income tax rate of 35% primarily as a result of the nondeductible goodwill impairment charge. The (8.5)% effective tax rate for the nine months ended January 1, 2017 differs from the statutory federal income tax rate of 35% primarily as a result of the nondeductible goodwill impairment charge partially offset by the nontaxable treatment of the acquisition claim settlement gain related to the Bushnell acquisition. We entered into a Tax Matters Agreement with Orbital ATK that governs the respective rights, responsibilities and obligations of Vista Outdoor and Orbital ATK after the distribution of all of the shares of our common stock on a pro rata basis to the holders of Alliant Techsystems Inc. common stock (the “Spin-Off”) with respect to tax liabilities and benefits, tax attributes, tax contests and other tax sharing regarding U.S. federal, state, local and foreign income taxes, other tax matters and related tax returns. We have joint and several liability with Orbital ATK to the IRS for the consolidated U.S. federal income taxes of the Orbital ATK consolidated group relating to the taxable periods in which we were part of that group. However, the Tax Matters Agreement specifies the portion, if any, of this tax liability for which we bear responsibility, and Orbital ATK agrees to indemnify us against any amounts for which we are not responsible. The Tax Matters Agreement also provides special rules for allocating tax liabilities in the event that the Spin-Off is determined not to be tax-free. Though valid as between the parties, the Tax Matters Agreement is not binding on the IRS. Prior to the Spin-Off, Orbital ATK or one of its subsidiaries filed income tax returns in the U.S. federal and various U.S. state jurisdictions which included Vista Outdoor. In addition, certain of our subsidiaries filed income tax returns in foreign jurisdictions. After the Spin-Off we are filing income tax returns in the U.S. federal, foreign and various U.S. state jurisdictions. With a few exceptions, Orbital ATK and its subsidiaries and Vista are no longer subject to U.S. federal, state and local, or foreign income tax examinations by tax authorities prior to 2009. The IRS has completed the audits of Orbital ATK through fiscal 2014 and is currently auditing Orbital ATK for fiscal 2015. The IRS is currently auditing our tax return for the period that begins after the Spin-Off (February 9, 2015) and ends on March 31, 2015. We believe appropriate provisions for all outstanding issues relating to our portion of these returns have been made for all remaining open years in all jurisdictions. Although the timing and outcome of audit settlements are uncertain, it is reasonably possible that a $2,512 reduction of the uncertain tax benefits will occur in the next 12 months. The settlement of these unrecognized tax benefits could result in earnings from $0 to $1,726 . |
Contingencies
Contingencies | 9 Months Ended |
Jan. 01, 2017 | |
Loss Contingency [Abstract] | |
Contingencies | Contingencies Litigation. From time to time, we are subject to various legal proceedings, including lawsuits, which arise out of, and are incidental to, the conduct of our business. We do not consider any of such proceedings that are currently pending, individually or in the aggregate, to be material to our business or likely to result in a material adverse effect on our operating results, financial condition, or cash flows. Environmental Liabilities. Our operations and ownership or use of real property are subject to a number of federal, state, and local environmental laws and regulations, as well as applicable foreign laws and regulations, including those governing the discharge of hazardous materials, remediation of contaminated sites, and restoration of damage to the environment. We are obligated to conduct investigation and/or remediation activities at certain sites that we own or operate or formerly owned or operated. We also have been identified as a potentially responsible party (“PRP”), along with other parties, in a regulatory agency action associated with hazardous waste sites. As a PRP, we may be required to pay a share of the costs of the investigation and clean-up of these sites. While uncertainties exist with respect to the amounts and timing of the ultimate environmental liabilities, based on currently available information, we have concluded that these matters, individually or in the aggregate, will not have a material adverse effect on our operating results, financial condition, or cash flows. We have recorded a liability for environmental remediation of $765 as of January 1, 2017 and March 31, 2016 . We could incur substantial additional costs, including cleanup costs, resource restoration, fines, and penalties or third-party property damage or personal injury claims, as a result of violations or liabilities under environmental laws or non-compliance with environmental permits. While environmental laws and regulations have not had a material adverse effect on our operating results, financial condition, or cash flows in the past, and we have environmental management programs in place to mitigate these risks, it is difficult to predict whether they will have a material impact in the future. |
Condensed Consolidating Financi
Condensed Consolidating Financial Statements (Notes) | 9 Months Ended |
Jan. 01, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Financial Information of Parent Company Only Disclosure [Text Block] | Condensed Consolidating Financial Statements The 5.875% Notes are guaranteed on an unsecured basis, jointly and severally and fully and unconditionally by substantially all of our domestic subsidiaries with the exception of the legal entities operating the Camp Chef business, and by Advanced Arrow S. de R.L. de C.V. and Hydrosport, S. de R.L. de C.V. The parent company has no independent assets or operations. All of these guarantor subsidiaries are 100% owned by Vista Outdoor. These guarantees are senior or senior subordinated obligations, as applicable, of the applicable subsidiary guarantors. In conjunction with the registration of the 5.875% Notes the consolidating financial information of the guarantor and non-guarantor subsidiaries is presented on the following pages. The guarantee by any subsidiary guarantor of our obligations in respect of the 5.875% Notes will be released in any of the following circumstances: • if, as a result of the sale of its capital stock, such subsidiary guarantor ceases to be a restricted subsidiary; • if such subsidiary guarantor is designated as an “Unrestricted Subsidiary;” • upon defeasance or satisfaction and discharge of the 5.875% Notes; or • if such subsidiary guarantor has been released from its guarantees of indebtedness under the Credit Agreement and all capital markets debt securities. VISTA OUTDOOR INC. CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (LOSS) (unaudited) Quarter ended January 1, 2017 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated Sales, net $ — $ 619,140 $ 69,504 $ (35,086 ) $ 653,558 Cost of sales — 469,600 49,804 (34,452 ) 484,952 Gross profit — 149,540 19,700 (634 ) 168,606 Operating expenses: Research and development — 8,020 150 — 8,170 Selling, general, and administrative — 80,748 15,145 — 95,893 Goodwill and intangibles impairment — 449,199 — — 449,199 Income (loss) before interest and income taxes — (388,427 ) 4,405 (634 ) (384,656 ) Equity in income of subsidiaries (371,067 ) 2,179 — 368,888 — Interest expense, net (10,551 ) — — — (10,551 ) Income (loss) before income taxes (381,618 ) (386,248 ) 4,405 368,254 (395,207 ) Income tax provision (benefit) (3,959 ) (15,181 ) 1,838 (246 ) (17,548 ) Net income (loss) $ (377,659 ) $ (371,067 ) $ 2,567 $ 368,500 $ (377,659 ) Other comprehensive income (loss), net of tax: Net income (loss) (from above) $ (377,659 ) $ (371,067 ) $ 2,567 $ 368,500 $ (377,659 ) Total other comprehensive loss (9,749 ) (9,749 ) (10,711 ) 20,460 (9,749 ) Comprehensive income (loss) $ (387,408 ) $ (380,816 ) $ (8,144 ) $ 388,960 $ (387,408 ) VISTA OUTDOOR INC. CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (unaudited) Quarter ended January 3, 2016 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated Sales, net $ — $ 561,252 $ 56,594 $ (25,289 ) $ 592,557 Cost of sales — 414,422 36,393 (25,762 ) 425,053 Gross profit — 146,830 20,201 473 167,504 Operating expenses: Research and development — 3,681 — — 3,681 Selling, general, and administrative — 75,628 12,963 — 88,591 Income before interest and income taxes — 67,521 7,238 473 75,232 Equity in income of subsidiaries 48,017 5,653 — (53,670 ) — Interest expense, net (7,776 ) — — — (7,776 ) Income before income taxes 40,241 73,174 7,238 (53,197 ) 67,456 Income tax provision (benefit) (2,918 ) 25,157 1,876 182 24,297 Net income $ 43,159 $ 48,017 $ 5,362 $ (53,379 ) $ 43,159 Other comprehensive income, net of tax: Net income (from above) $ 43,159 $ 48,017 $ 5,362 $ (53,379 ) $ 43,159 Total other comprehensive income (loss) 323 323 (788 ) 465 323 Comprehensive income $ 43,482 $ 48,340 $ 4,574 $ (52,914 ) $ 43,482 VISTA OUTDOOR INC. CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (LOSS) (unaudited) Nine months ended January 1, 2017 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated Sales, net $ — $ 1,872,948 $ 184,763 $ (89,572 ) $ 1,968,139 Cost of sales — 1,407,821 123,601 (88,675 ) 1,442,747 Gross profit — 465,127 61,162 (897 ) 525,392 Operating expenses: Research and development — 23,957 194 — 24,151 Selling, general, and administrative — 258,027 45,033 — 303,060 Acquisition claim settlement gain, net (30,027 ) — — — (30,027 ) Goodwill and intangibles impairment — 449,199 — — 449,199 Income (loss) before interest and income taxes 30,027 (266,056 ) 15,935 (897 ) (220,991 ) Equity in income of subsidiaries (284,930 ) 9,433 — 275,497 — Interest expense, net (32,657 ) — — — (32,657 ) Income (loss) before income taxes (287,560 ) (256,623 ) 15,935 274,600 (253,648 ) Income tax provision (benefit) (12,249 ) 28,307 5,936 (331 ) 21,663 Net income (loss) $ (275,311 ) $ (284,930 ) $ 9,999 $ 274,931 $ (275,311 ) Other comprehensive (loss) income, net of tax: Net income (loss)(from above) $ (275,311 ) $ (284,930 ) $ 9,999 $ 274,931 $ (275,311 ) Total other comprehensive loss (12,369 ) (12,369 ) (15,255 ) 27,624 (12,369 ) Comprehensive loss $ (287,680 ) $ (297,299 ) $ (5,256 ) $ 302,555 $ (287,680 ) VISTA OUTDOOR INC. CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (unaudited) Nine months ended January 3, 2016 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated Sales, net $ — $ 1,566,650 $ 170,755 $ (78,974 ) $ 1,658,431 Cost of sales — 1,168,477 113,943 (79,809 ) 1,202,611 Gross profit — 398,173 56,812 835 455,820 Operating expenses: Research and development — 8,851 — — 8,851 Selling, general, and administrative — 212,122 39,889 — 252,011 Income before interest and income taxes — 177,200 16,923 835 194,958 Equity in income of subsidiaries 120,291 12,791 — (133,082 ) — Interest expense, net (16,908 ) — — — (16,908 ) Income before income taxes 103,383 189,991 16,923 (132,247 ) 178,050 Income tax provision (benefit) (6,341 ) 69,700 4,642 325 68,326 Net income $ 109,724 $ 120,291 $ 12,281 $ (132,572 ) $ 109,724 Other comprehensive income, net of tax: Net income (from above) $ 109,724 $ 120,291 $ 12,281 $ (132,572 ) $ 109,724 Total other comprehensive loss (1,412 ) (1,412 ) (4,837 ) 6,249 (1,412 ) Comprehensive income $ 108,312 $ 118,879 $ 7,444 $ (126,323 ) $ 108,312 VISTA OUTDOOR INC. CONDENSED CONSOLIDATED BALANCE SHEET (unaudited) January 1, 2017 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated ASSETS Current assets: Cash and cash equivalents $ — $ 14,605 $ 26,236 $ — $ 40,841 Net receivables — 484,318 49,016 — 533,334 Due from affiliates, current — 8,913 — (8,913 ) — Net inventories — 528,045 62,262 (5,191 ) 585,116 Income tax receivable — 8,070 834 — 8,904 Other current assets — 25,120 3,323 — 28,443 Total current assets — 1,069,071 141,671 (14,104 ) 1,196,638 Net property, plant, and equipment — 237,997 9,718 — 247,715 Investment in subsidiaries 2,701,872 53,672 — (2,755,544 ) — Goodwill — 737,533 117,682 — 855,215 Net intangible assets — 646,048 71,117 — 717,165 Long-term due from affiliates — 340,653 — (340,653 ) — Deferred charges and other non-current assets — 19,070 8,362 — 27,432 Total assets $ 2,701,872 $ 3,104,044 $ 348,550 $ (3,110,301 ) $ 3,044,165 LIABILITIES AND EQUITY Current liabilities: Current portion of long-term debt $ 222,000 $ — $ — $ — $ 222,000 Accounts payable — 89,683 13,221 — 102,904 Due to affiliates, current — — 8,913 (8,913 ) — Accrued compensation — 36,926 2,997 — 39,923 Federal excise tax — 30,482 714 — 31,196 Other current liabilities — 170,273 11,148 — 181,421 Total current liabilities 222,000 327,364 36,993 (8,913 ) 577,444 Long-term debt 921,601 — — — 921,601 Deferred income tax liabilities — 147,208 7,806 (1,884 ) 153,130 Accrued pension and postemployment liabilities — 69,575 — — 69,575 Long-term due to affiliates 300,587 — 40,066 (340,653 ) — Other long-term liabilities — 63,687 1,044 — 64,731 Total liabilities 1,444,188 607,834 85,909 (351,450 ) 1,786,481 Equity Total stockholders' equity 1,257,684 2,496,210 262,641 (2,758,851 ) 1,257,684 Total liabilities and stockholders' equity $ 2,701,872 $ 3,104,044 $ 348,550 $ (3,110,301 ) $ 3,044,165 VISTA OUTDOOR INC. CONDENSED CONSOLIDATED BALANCE SHEET (unaudited) March 31, 2016 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated ASSETS Current assets: Cash and cash equivalents $ — $ 133,503 $ 18,189 $ — $ 151,692 Net receivables — 382,662 45,736 — 428,398 Due from affiliates, current — 19,912 — (19,912 ) — Net inventories — 379,658 64,867 (4,285 ) 440,240 Other current assets — 26,517 2,817 — 29,334 Total current assets — 942,252 131,609 (24,197 ) 1,049,664 Net property, plant, and equipment — 192,674 10,811 — 203,485 Investment in subsidiaries 2,530,524 36,865 — (2,567,389 ) — Goodwill — 911,715 111,736 — 1,023,451 Net intangible assets — 613,869 36,603 — 650,472 Long-term due from affiliates — 241,598 — (241,598 ) — Deferred charges and other non-current assets — 11,833 3,729 — 15,562 Total assets $ 2,530,524 $ 2,950,806 $ 294,488 $ (2,833,184 ) $ 2,942,634 LIABILITIES AND EQUITY Current liabilities: Current portion of long-term debt $ 17,500 $ — $ — $ — $ 17,500 Accounts payable — 134,334 13,404 — 147,738 Due to affiliates, current — — 19,912 (19,912 ) — Accrued compensation — 43,826 3,568 — 47,394 Accrued income taxes — 11,698 473 — 12,171 Federal excise tax — 27,329 372 — 27,701 Other current liabilities — 107,499 8,898 — 116,397 Total current liabilities 17,500 324,686 46,627 (19,912 ) 368,901 Long-term debt 652,787 — — — 652,787 Deferred income tax liabilities — 127,483 8,192 282 135,957 Accrued pension and postemployment liabilities — 73,503 — — 73,503 Long-term due to affiliates 200,070 — 41,528 (241,598 ) — Other long-term liabilities — 50,048 1,271 — 51,319 Total liabilities 870,357 575,720 97,618 (261,228 ) 1,282,467 Equity Total stockholders' equity 1,660,167 2,375,086 196,870 (2,571,956 ) 1,660,167 Total liabilities and stockholders' equity $ 2,530,524 $ 2,950,806 $ 294,488 $ (2,833,184 ) $ 2,942,634 VISTA OUTDOOR INC. CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (unaudited) Nine months ended January 1, 2017 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated Operating Activities: Cash provided by operating activities $ 11,298 $ 42,857 $ 3,736 $ — $ 57,891 Investing Activities: Capital expenditures — (48,443 ) (859 ) — (49,302 ) Due from affiliates — (116,584 ) — 116,584 — Acquisition of businesses, net of cash acquired (465,684 ) 3,230 4,305 — (458,149 ) Proceeds from the disposition of property, plant, and equipment — 42 50 — 92 Cash provided by (used for) investing activities (465,684 ) (161,755 ) 3,496 116,584 (507,359 ) Financing Activities: Due to affiliates 114,467 — 2,117 (116,584 ) — Borrowings on line of credit 445,000 — — — 445,000 Payments on line of credit (255,000 ) — — — (255,000 ) Proceeds from issuance of long-term debt 307,500 — — — 307,500 Payments made on long-term debt (24,000 ) — — — (24,000 ) Payments made for debt issuance costs (3,660 ) — — — (3,660 ) Purchase of treasury shares (122,860 ) — — — (122,860 ) Deferred payments for acquisitions (7,136 ) — — — (7,136 ) Proceeds from employee stock compensation plans 75 — — — 75 Cash provided by financing activities 454,386 — 2,117 (116,584 ) 339,919 Effect of foreign exchange rate fluctuations on cash — — (1,302 ) — (1,302 ) (Decrease) increase in cash and cash equivalents — (118,898 ) 8,047 — (110,851 ) Cash and cash equivalents at beginning of period — 133,503 18,189 — 151,692 Cash and cash equivalents at end of period $ — $ 14,605 $ 26,236 $ — $ 40,841 VISTA OUTDOOR INC. CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (unaudited) Nine months ended January 3, 2016 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated Operating Activities: Cash provided by (used for) operating activities $ (11,422 ) $ 75,482 $ 7,228 $ — $ 71,288 Investing Activities: Capital expenditures — (24,806 ) (1,495 ) — (26,301 ) Due from affiliates — (249,214 ) — 249,214 — Acquisition of businesses, net of cash acquired (466,841 ) 4,725 — — (462,116 ) Proceeds from the disposition of property, plant, and equipment — 461 235 — 696 Cash used for investing activities (466,841 ) (268,834 ) (1,260 ) 249,214 (487,721 ) Financing Activities: Due to affiliates 253,817 — (4,603 ) (249,214 ) — Borrowings on line of credit 360,000 — — — 360,000 Payments on line of credit (360,000 ) — — — (360,000 ) Proceeds from issuance of long-term debt 350,000 — — — 350,000 Payment from former parent 6,500 — — — 6,500 Payments made on long-term debt (13,125 ) — — — (13,125 ) Payments made for debt issuance costs (4,379 ) — — — (4,379 ) Purchase of treasury shares (115,194 ) — — — (115,194 ) Excess tax benefits from share-based plans 206 — — — 206 Proceeds from employee stock compensation plans 438 — — — 438 Cash provided by financing activities 478,263 — (4,603 ) (249,214 ) 224,446 Effect of foreign exchange rate fluctuations on cash — — (830 ) — (830 ) (Decrease) increase in cash and cash equivalents — (193,352 ) 535 — (192,817 ) Cash and cash equivalents at beginning of period — 247,375 16,576 — 263,951 Cash and cash equivalents at end of period $ — $ 54,023 $ 17,111 $ — $ 71,134 |
Operating Segment Information (
Operating Segment Information (Notes) | 9 Months Ended |
Jan. 01, 2017 | |
Segment Reporting [Abstract] | |
Operating Segment Information | Operating Segment Information We operate our business structure within two operating segments. These operating segments are also considered our reportable Segments in accordance with ASC 280 and are defined based on the reporting and review process used by the chief operating decision maker, our chief executive officer. Management reviews the operating segments based on net sales and gross profit. Certain significant selling, general, and administrative expenses are not allocated to the segments. In addition certain significant asset balances are not readily identifiable with individual segments and therefore cannot be allocated. Each segment is described below: • Outdoor Products generated 46% of our external sales in the nine months ended January 1, 2017 . The Outdoor Products product lines are action sports, archery/hunting accessories, camping, global eyewear and sport protection products, golf, hydration products, optics, shooting accessories, tactical products, and water sports. Action sports includes helmets, goggles, and accessories for cycling, snow sports, action sports and powersports. Archery/hunting accessories include high-performance hunting arrows, game calls, hunting blinds, game cameras and waterfowl decoys. Camping products include our outdoor cooking solutions. Global eyewear and sport protection products include safety and protective eyewear, goggles, and helmets, as well as fashion and sports eyewear. Golf products include laser rangefinders. Hydration products include hydration packs and water bottles. Optics products include binoculars, riflescopes and telescopes. Shooting accessories products include reloading equipment, clay targets, and premium gun care products. Tactical products include holsters, duty gear, bags and packs. Water sports products include stand up paddle boards. • Shooting Sports generated 54% of our external sales in the nine months ended January 1, 2017 . The Shooting Sports product lines include centerfire ammunition, rimfire ammunition, shotshell ammunition, reloading components, and firearms. One customer contributed 11% of our sales for the nine months ended January 1, 2017 and no customer contributed 10% of our sales for the nine months ended January 3, 2016 . No other single customer contributed more than 10% of our sales for the nine months ended January 1, 2017 . The following summarizes our results by segment: Quarter ended Nine months ended January 1, 2017 January 3, 2016 January 1, 2017 January 3, 2016 Sales to external customers: Outdoor Products $ 292,800 $ 236,099 $ 900,981 $ 631,672 Shooting Sports 360,758 356,458 1,067,158 1,026,759 Total sales to external customers $ 653,558 $ 592,557 $ 1,968,139 $ 1,658,431 Gross Profit Outdoor Products $ 71,161 $ 63,607 $ 235,818 $ 173,886 Shooting Sports 97,560 103,864 290,010 282,144 Corporate (115 ) 33 (436 ) (210 ) Total gross profit $ 168,606 $ 167,504 $ 525,392 $ 455,820 The sales above exclude intercompany sales between Outdoor Products and Shooting Sports of $1,769 and $800 for the quarters ended January 1, 2017 and January 3, 2016 , respectively. The sales above exclude intercompany sales between Outdoor Products and Shooting Sports of $3,518 and $2,276 for the nine months ended January 1, 2017 and January 3, 2016 , respectively. |
Basis of Presentation and Res24
Basis of Presentation and Responsibility for Interim Financial Statements (Policies) | 9 Months Ended |
Jan. 01, 2017 | |
Accounting Policies [Abstract] | |
New Accounting Pronouncements | New Accounting Pronouncements. On February 25, 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standard Update ("ASU") 2016-02, Leases . The new guidance was issued to increase transparency and comparability among companies by requiring most leases be included on the balance sheet and by expanding disclosure requirements. Based on the current effective dates, the new guidance would first apply in the first quarter of our fiscal 2020. We are in the process of evaluating the effect of adoption on our financial statements. On March 30, 2016, the FASB issued ASU No. 2016-09, Improvements to Employee Share-Based Payment Accounting , which simplifies several aspects of the accounting for employee share-based payment transactions including the accounting for income taxes, forfeitures and classification in the statement of cash flows. The standard allows for early adoption. As of March 31, 2016, we elected to early adopt this standard and prospectively present the change to the financial statements given the immaterial nature of the prior period balances. Besides those noted above and in our fiscal 2016 financial statements, there are no other new accounting pronouncements that are expected to have a significant impact on our condensed consolidated financial statements. |
Fair Value of Financial Instr25
Fair Value of Financial Instruments (Tables) | 9 Months Ended |
Jan. 01, 2017 | |
Fair Value Disclosures [Abstract] | |
Schedule of carrying values and estimated fair values of assets and liabilities that are not measured on a recurring basis | The following table presents our financial assets and liabilities that are not measured at fair value on a recurring basis. The carrying values and estimated fair values were as follows: January 1, 2017 March 31, 2016 Carrying Fair Carrying Fair Fixed-rate debt $ 350,000 $ 367,063 $ 350,000 $ 366,625 Variable-rate debt 806,000 806,000 332,500 332,500 |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 9 Months Ended |
Jan. 01, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | In computing EPS for the quarters and nine month periods ended January 1, 2017 and January 3, 2016 , earnings (loss), as reported for each respective period, is divided by: Quarter ended Nine months ended (in thousands) January 1, 2017 January 3, 2016 January 1, 2017 January 3, 2016 Basic EPS shares outstanding 58,275 61,717 59,478 62,175 Dilutive effect of stock-based awards 359 375 341 359 Diluted EPS shares outstanding 58,634 62,092 59,819 62,534 Shares excluded from the calculation of diluted EPS because the option exercise/threshold price was greater than the average market price of the common shares 139 68 139 68 |
Acquisitions (Tables)
Acquisitions (Tables) | 9 Months Ended |
Jan. 01, 2017 | |
Business Combinations [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | Allocation of Consideration Transferred to Net Assets Acquired for Action Sports and CamelBak: The following amounts represent the preliminary determination of the fair value of identifiable assets acquired and liabilities assumed from the Action Sports acquisition and the final determination for the CamelBak acquisition. The final determination of the fair value of certain assets and liabilities for Action Sports will be completed within the required measurement period, which will be no later than 12 months from the date of acquisition. The size and breadth of the Action Sports acquisition will necessitate the use of this measurement period to adequately analyze and assess a number of the factors used in establishing the asset and liability fair values as of the acquisition date, including the significant contractual and operational factors underlying the trade name and customer relationship intangible assets and the related tax impacts of any changes made. Any potential adjustments made could be material in relation to the preliminary values presented below: Action Sports Preliminary Purchase Price Allocation: April 1, 2016 Purchase price net of cash acquired: Cash paid $ 400,000 Estimated earnout value 4,272 Cash received for working capital (1,289 ) Total purchase price 402,983 Fair value of assets acquired: Receivables $ 79,328 Inventories 56,527 Tradename, customer relationship, and technology intangibles 155,100 Property, plant, and equipment 34,114 Other assets 6,876 Total assets 331,945 Fair value of liabilities assumed: Accounts payable 30,240 Deferred tax liabilities 46,500 Other liabilities 33,168 Total liabilities 109,908 Net assets acquired 222,037 Goodwill $ 180,946 CamelBak Final Purchase Price Allocation: August 3, 2015 Purchase price net of cash acquired: Cash paid $ 412,500 Cash paid for working capital 8,472 Total purchase price 420,972 Fair value of assets acquired: Receivables $ 30,093 Inventories 30,916 Tradename, customer relationship, and technology intangibles 133,800 Property, plant, and equipment 7,985 Deferred tax assets 5,857 Other assets 4,460 Total assets 213,111 Fair value of liabilities assumed: Accounts payable 8,219 Other liabilities 11,479 Total liabilities 19,698 Net assets acquired 193,413 Goodwill $ 227,559 |
Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Business Combination | Intangible assets above include: Value Useful life (years) Action Sports Indefinite lived tradenames $ 76,700 Indefinite Definite lived tradenames 1,400 15 Customer relationships 74,700 15-20 Technology 2,300 10 CamelBak Indefinite lived tradename $ 79,400 Indefinite Customer relationships 49,400 10-20 Technology 5,000 7-17 |
Business Acquisition, Pro Forma Information | The pro forma results were calculated by combining our results with the standalone results of Action Sports and CamelBak for the pre-acquisition periods, which were adjusted to account for certain costs which would have been incurred during this pre-acquisition period: Quarter ended Nine months ended (Amounts in thousands except per share data) January 1, 2017 January 3, 2016 January 1, 2017 January 3, 2016 Sales $ 653,558 $ 670,771 $ 1,968,139 $ 1,969,945 Net income (loss) (377,659 ) 46,103 (273,858 ) 120,845 Basic earnings (loss) per common share (6.48 ) 0.75 (4.60 ) 1.94 Diluted earnings (loss) per common share (6.44 ) 0.74 (4.58 ) 1.93 |
Business Acquisition, Pro Forma Information, Nonrecurring Adjustments | The unaudited supplemental pro forma data above include the following significant non-recurring adjustments made to account for certain costs which would have been incurred if the CamelBak acquisition had been completed on April 1, 2014 and the Action Sports acquisition had been completed on April 1, 2015, as adjusted for the applicable tax impact: Quarter ended Nine months ended January 1, 2017 January 3, 2016 January 1, 2017 January 3, 2016 Inventory step-up, net (1) $ — $ (313 ) $ (502 ) $ (145 ) Fees for advisory, legal, accounting services (2) — (56 ) (946 ) (3,331 ) (1) Adjustment reflects the increased cost of goods sold expense resulting from the fair value step-up in inventory of $817 for Action Sports and $1,043 for CamelBak which was expensed over the first inventory cycle. (2) We removed the fees that were incurred in connection with the acquisition of Action Sports from fiscal 2017 and considered those fees as incurred during the first quarter of fiscal 2016. Costs were recorded in Selling, general, and administrative expense. We have incurred total of $2,837 in fees in connection with the acquisition of Action Sports during fiscal 2016 and 2017. We removed the fees that were incurred in connection with the acquisition of CamelBak from fiscal 2016 and considered those fees as incurred during the first quarter of fiscal 2015. |
Net Receivables (Tables)
Net Receivables (Tables) | 9 Months Ended |
Jan. 01, 2017 | |
Receivables [Abstract] | |
Schedule of receivables, including amounts due under long-term contracts (contract receivables) | Net receivables are summarized as follows: January 1, 2017 March 31, 2016 Trade receivables $ 553,932 $ 446,032 Other receivables 3,023 1,778 Less: allowance for doubtful accounts and discounts (23,621 ) (19,412 ) Net receivables $ 533,334 $ 428,398 |
Net Inventories (Tables)
Net Inventories (Tables) | 9 Months Ended |
Jan. 01, 2017 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory, Current | Net inventories consist of the following: January 1, 2017 March 31, 2016 Raw materials $ 116,220 $ 91,898 Work in process 58,468 61,864 Finished goods 410,428 286,478 Net inventories $ 585,116 $ 440,240 |
Accumulated Other Comprehensi30
Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended |
Jan. 01, 2017 | |
Equity [Abstract] | |
Schedule of components of AOCL, net of income taxes | The components of AOCL, net of income taxes, are as follows: January 1, 2017 March 31, 2016 Pension and other postretirement benefits $ (60,781 ) $ (63,667 ) Cumulative translation adjustment (61,802 ) (46,547 ) Total AOCL $ (122,583 ) $ (110,214 ) |
Schedule of net of income tax activity in AOCL | The following tables summarize the changes in the balance of AOCL, net of income tax: Quarter ended January 1, 2017 Nine months ended January 1, 2017 Pension and other postretirement benefits Cumulative translation adjustment Total Pension and other postretirement benefits Cumulative translation adjustment Total Beginning balance in AOCL $ (61,743 ) $ (51,091 ) $ (112,834 ) $ (63,667 ) $ (46,547 ) $ (110,214 ) Net actuarial losses reclassified from AOCL (1) 1,236 — 1,236 3,708 — 3,708 Prior service costs reclassified from AOCL (1) (274 ) — (274 ) (822 ) — (822 ) Net change in cumulative translation adjustment — (10,711 ) (10,711 ) — (15,255 ) (15,255 ) Ending balance in AOCL $ (60,781 ) $ (61,802 ) $ (122,583 ) $ (60,781 ) $ (61,802 ) $ (122,583 ) (1) Amounts related to our pension and other postretirement benefits that were reclassified from AOCL were recorded as a component of net periodic benefit cost for each period presented. Quarter ended January 3, 2016 Nine months ended January 3, 2016 Derivatives Pension and other postretirement benefits Cumulative translation adjustment Total Derivatives Pension and other postretirement benefits Cumulative translation adjustment Total Beginning balance in AOCL $ 86 $ (55,927 ) $ (56,197 ) $ (112,038 ) $ — $ (58,155 ) $ (52,148 ) $ (110,303 ) Net increase in fair value of derivatives 114 — — 114 232 — — 232 Net losses reclassified from AOCL, offsetting the price paid to suppliers (1) (117 ) — — (117 ) (149 ) — — (149 ) Net actuarial losses reclassified from AOCL (2) — 1,381 — 1,381 — 4,143 — 4,143 Prior service costs reclassified from AOCL (2) — (267 ) — (267 ) — (801 ) — (801 ) Net change in cumulative translation adjustment — — (788 ) (788 ) — — (4,837 ) (4,837 ) Ending balance in AOCL $ 83 $ (54,813 ) $ (56,985 ) $ (111,715 ) $ 83 $ (54,813 ) $ (56,985 ) $ (111,715 ) (1) Amounts related to our derivative instruments that were reclassified from AOCL and recorded as a component of cost of sales. (2) Amounts related to our pension and other postretirement benefits that were reclassified from AOCL were recorded as a component of net periodic benefit cost for each period presented. |
Goodwill and Net Intangible A31
Goodwill and Net Intangible Assets (Tables) | 9 Months Ended |
Jan. 01, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of changes in the carrying amount of goodwill by segment | The changes in the carrying amount of goodwill by segment were as follows: Outdoor Products Shooting Sports Total Balance, March 31, 2016 $ 818,560 $ 204,891 $ 1,023,451 Acquisitions 192,820 — 192,820 Impairment (353,915 ) — (353,915 ) Effect of foreign currency exchange rates (6,941 ) (200 ) (7,141 ) Balance, January 1, 2017 $ 650,524 $ 204,691 $ 855,215 |
Schedule of net intangibles | Net intangibles consisted of the following: January 1, 2017 March 31, 2016 Gross Accumulated Total Gross Accumulated Total Trade names $ 106,159 $ (15,110 ) $ 91,049 $ 185,162 $ (46,812 ) $ 138,350 Patented technology 19,066 (7,470 ) 11,596 27,900 (9,949 ) 17,951 Customer relationships and other 370,326 (70,773 ) 299,553 272,431 (50,757 ) 221,674 Total 495,551 (93,353 ) 402,198 485,493 (107,518 ) 377,975 Non-amortizing trade names 314,967 — 314,967 272,497 — 272,497 Net intangibles $ 810,518 $ (93,353 ) $ 717,165 $ 757,990 $ (107,518 ) $ 650,472 |
Schedule of expected future amortization expense | We expect amortization expense related to these assets to be as follows: Remainder of fiscal 2017 $ 9,204 Fiscal 2018 36,816 Fiscal 2019 34,072 Fiscal 2020 33,245 Fiscal 2021 33,229 Thereafter 255,632 Total $ 402,198 |
Other Current and Non-current32
Other Current and Non-current Liabilities (Tables) | 9 Months Ended |
Jan. 01, 2017 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of major categories of other current and non-current liabilities | Other current and non-current liabilities consisted of the following: January 1, 2017 March 31, 2016 Other current liabilities: In-transit inventory and other $ 82,962 $ 40,242 Rebate 46,501 17,957 Accrued advertising 15,424 10,315 Employee benefits and insurance 12,221 11,131 Warranty 9,117 8,611 Interest 5,559 13,157 Customer obligations 2,975 9,613 Freight accrual 2,499 2,446 Accrued taxes 2,350 1,303 Product liability 1,813 1,622 Total other current liabilities $ 181,421 $ 116,397 Other non-current liabilities: Non-current portion of accrued income tax liability $ 27,097 $ 25,421 Contingent consideration and deferred purchase price 8,044 4,471 Product liability 4,193 — Management non-qualified deferred compensation plan 3,185 2,668 Environmental remediation 740 745 Other 21,472 18,014 Total other non-current liabilities $ 64,731 $ 51,319 |
Schedule of reconciliation of the changes in product warranty liability | The following is a reconciliation of the changes in our product warranty liability during the period presented: Balance, March 31, 2016 $ 8,611 Payments made (2,992 ) Warranties issued 2,575 Warranties assumed in acquisition 1,159 Changes related to preexisting warranties (236 ) Balance, January 1, 2017 $ 9,117 |
Long-term Debt (Tables)
Long-term Debt (Tables) | 9 Months Ended |
Jan. 01, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of long-term debt, including the current portion | Long-term debt, including the current portion, consisted of the following: January 1, 2017 March 31, 2016 Senior Credit Facility: Term Loan $ 616,000 $ 332,500 Revolving Credit Facility 190,000 — Total principal amount of Credit Agreement 806,000 332,500 5.875% Senior Notes due 2023 350,000 350,000 Principal amount of long-term debt 1,156,000 682,500 Less: unamortized deferred financing costs 12,399 12,213 Carrying amount of long-term debt 1,143,601 670,287 Less: current portion 222,000 17,500 Carrying amount of long-term debt, excluding current portion $ 921,601 $ 652,787 |
Condensed Consolidating Finan34
Condensed Consolidating Financial Statements (Tables) | 9 Months Ended |
Jan. 01, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Statement of Comprehensive Income | CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (unaudited) Quarter ended January 3, 2016 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated Sales, net $ — $ 561,252 $ 56,594 $ (25,289 ) $ 592,557 Cost of sales — 414,422 36,393 (25,762 ) 425,053 Gross profit — 146,830 20,201 473 167,504 Operating expenses: Research and development — 3,681 — — 3,681 Selling, general, and administrative — 75,628 12,963 — 88,591 Income before interest and income taxes — 67,521 7,238 473 75,232 Equity in income of subsidiaries 48,017 5,653 — (53,670 ) — Interest expense, net (7,776 ) — — — (7,776 ) Income before income taxes 40,241 73,174 7,238 (53,197 ) 67,456 Income tax provision (benefit) (2,918 ) 25,157 1,876 182 24,297 Net income $ 43,159 $ 48,017 $ 5,362 $ (53,379 ) $ 43,159 Other comprehensive income, net of tax: Net income (from above) $ 43,159 $ 48,017 $ 5,362 $ (53,379 ) $ 43,159 Total other comprehensive income (loss) 323 323 (788 ) 465 323 Comprehensive income $ 43,482 $ 48,340 $ 4,574 $ (52,914 ) $ 43,482 Nine months ended January 3, 2016 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated Sales, net $ — $ 1,566,650 $ 170,755 $ (78,974 ) $ 1,658,431 Cost of sales — 1,168,477 113,943 (79,809 ) 1,202,611 Gross profit — 398,173 56,812 835 455,820 Operating expenses: Research and development — 8,851 — — 8,851 Selling, general, and administrative — 212,122 39,889 — 252,011 Income before interest and income taxes — 177,200 16,923 835 194,958 Equity in income of subsidiaries 120,291 12,791 — (133,082 ) — Interest expense, net (16,908 ) — — — (16,908 ) Income before income taxes 103,383 189,991 16,923 (132,247 ) 178,050 Income tax provision (benefit) (6,341 ) 69,700 4,642 325 68,326 Net income $ 109,724 $ 120,291 $ 12,281 $ (132,572 ) $ 109,724 Other comprehensive income, net of tax: Net income (from above) $ 109,724 $ 120,291 $ 12,281 $ (132,572 ) $ 109,724 Total other comprehensive loss (1,412 ) (1,412 ) (4,837 ) 6,249 (1,412 ) Comprehensive income $ 108,312 $ 118,879 $ 7,444 $ (126,323 ) $ 108,312 Nine months ended January 1, 2017 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated Sales, net $ — $ 1,872,948 $ 184,763 $ (89,572 ) $ 1,968,139 Cost of sales — 1,407,821 123,601 (88,675 ) 1,442,747 Gross profit — 465,127 61,162 (897 ) 525,392 Operating expenses: Research and development — 23,957 194 — 24,151 Selling, general, and administrative — 258,027 45,033 — 303,060 Acquisition claim settlement gain, net (30,027 ) — — — (30,027 ) Goodwill and intangibles impairment — 449,199 — — 449,199 Income (loss) before interest and income taxes 30,027 (266,056 ) 15,935 (897 ) (220,991 ) Equity in income of subsidiaries (284,930 ) 9,433 — 275,497 — Interest expense, net (32,657 ) — — — (32,657 ) Income (loss) before income taxes (287,560 ) (256,623 ) 15,935 274,600 (253,648 ) Income tax provision (benefit) (12,249 ) 28,307 5,936 (331 ) 21,663 Net income (loss) $ (275,311 ) $ (284,930 ) $ 9,999 $ 274,931 $ (275,311 ) Other comprehensive (loss) income, net of tax: Net income (loss)(from above) $ (275,311 ) $ (284,930 ) $ 9,999 $ 274,931 $ (275,311 ) Total other comprehensive loss (12,369 ) (12,369 ) (15,255 ) 27,624 (12,369 ) Comprehensive loss $ (287,680 ) $ (297,299 ) $ (5,256 ) $ 302,555 $ (287,680 ) CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (LOSS) (unaudited) Quarter ended January 1, 2017 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated Sales, net $ — $ 619,140 $ 69,504 $ (35,086 ) $ 653,558 Cost of sales — 469,600 49,804 (34,452 ) 484,952 Gross profit — 149,540 19,700 (634 ) 168,606 Operating expenses: Research and development — 8,020 150 — 8,170 Selling, general, and administrative — 80,748 15,145 — 95,893 Goodwill and intangibles impairment — 449,199 — — 449,199 Income (loss) before interest and income taxes — (388,427 ) 4,405 (634 ) (384,656 ) Equity in income of subsidiaries (371,067 ) 2,179 — 368,888 — Interest expense, net (10,551 ) — — — (10,551 ) Income (loss) before income taxes (381,618 ) (386,248 ) 4,405 368,254 (395,207 ) Income tax provision (benefit) (3,959 ) (15,181 ) 1,838 (246 ) (17,548 ) Net income (loss) $ (377,659 ) $ (371,067 ) $ 2,567 $ 368,500 $ (377,659 ) Other comprehensive income (loss), net of tax: Net income (loss) (from above) $ (377,659 ) $ (371,067 ) $ 2,567 $ 368,500 $ (377,659 ) Total other comprehensive loss (9,749 ) (9,749 ) (10,711 ) 20,460 (9,749 ) Comprehensive income (loss) $ (387,408 ) $ (380,816 ) $ (8,144 ) $ 388,960 $ (387,408 ) |
Condensed Balance Sheet | CONDENSED CONSOLIDATED BALANCE SHEET (unaudited) January 1, 2017 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated ASSETS Current assets: Cash and cash equivalents $ — $ 14,605 $ 26,236 $ — $ 40,841 Net receivables — 484,318 49,016 — 533,334 Due from affiliates, current — 8,913 — (8,913 ) — Net inventories — 528,045 62,262 (5,191 ) 585,116 Income tax receivable — 8,070 834 — 8,904 Other current assets — 25,120 3,323 — 28,443 Total current assets — 1,069,071 141,671 (14,104 ) 1,196,638 Net property, plant, and equipment — 237,997 9,718 — 247,715 Investment in subsidiaries 2,701,872 53,672 — (2,755,544 ) — Goodwill — 737,533 117,682 — 855,215 Net intangible assets — 646,048 71,117 — 717,165 Long-term due from affiliates — 340,653 — (340,653 ) — Deferred charges and other non-current assets — 19,070 8,362 — 27,432 Total assets $ 2,701,872 $ 3,104,044 $ 348,550 $ (3,110,301 ) $ 3,044,165 LIABILITIES AND EQUITY Current liabilities: Current portion of long-term debt $ 222,000 $ — $ — $ — $ 222,000 Accounts payable — 89,683 13,221 — 102,904 Due to affiliates, current — — 8,913 (8,913 ) — Accrued compensation — 36,926 2,997 — 39,923 Federal excise tax — 30,482 714 — 31,196 Other current liabilities — 170,273 11,148 — 181,421 Total current liabilities 222,000 327,364 36,993 (8,913 ) 577,444 Long-term debt 921,601 — — — 921,601 Deferred income tax liabilities — 147,208 7,806 (1,884 ) 153,130 Accrued pension and postemployment liabilities — 69,575 — — 69,575 Long-term due to affiliates 300,587 — 40,066 (340,653 ) — Other long-term liabilities — 63,687 1,044 — 64,731 Total liabilities 1,444,188 607,834 85,909 (351,450 ) 1,786,481 Equity Total stockholders' equity 1,257,684 2,496,210 262,641 (2,758,851 ) 1,257,684 Total liabilities and stockholders' equity $ 2,701,872 $ 3,104,044 $ 348,550 $ (3,110,301 ) $ 3,044,165 VISTA OUTDOOR INC. CONDENSED CONSOLIDATED BALANCE SHEET (unaudited) March 31, 2016 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated ASSETS Current assets: Cash and cash equivalents $ — $ 133,503 $ 18,189 $ — $ 151,692 Net receivables — 382,662 45,736 — 428,398 Due from affiliates, current — 19,912 — (19,912 ) — Net inventories — 379,658 64,867 (4,285 ) 440,240 Other current assets — 26,517 2,817 — 29,334 Total current assets — 942,252 131,609 (24,197 ) 1,049,664 Net property, plant, and equipment — 192,674 10,811 — 203,485 Investment in subsidiaries 2,530,524 36,865 — (2,567,389 ) — Goodwill — 911,715 111,736 — 1,023,451 Net intangible assets — 613,869 36,603 — 650,472 Long-term due from affiliates — 241,598 — (241,598 ) — Deferred charges and other non-current assets — 11,833 3,729 — 15,562 Total assets $ 2,530,524 $ 2,950,806 $ 294,488 $ (2,833,184 ) $ 2,942,634 LIABILITIES AND EQUITY Current liabilities: Current portion of long-term debt $ 17,500 $ — $ — $ — $ 17,500 Accounts payable — 134,334 13,404 — 147,738 Due to affiliates, current — — 19,912 (19,912 ) — Accrued compensation — 43,826 3,568 — 47,394 Accrued income taxes — 11,698 473 — 12,171 Federal excise tax — 27,329 372 — 27,701 Other current liabilities — 107,499 8,898 — 116,397 Total current liabilities 17,500 324,686 46,627 (19,912 ) 368,901 Long-term debt 652,787 — — — 652,787 Deferred income tax liabilities — 127,483 8,192 282 135,957 Accrued pension and postemployment liabilities — 73,503 — — 73,503 Long-term due to affiliates 200,070 — 41,528 (241,598 ) — Other long-term liabilities — 50,048 1,271 — 51,319 Total liabilities 870,357 575,720 97,618 (261,228 ) 1,282,467 Equity Total stockholders' equity 1,660,167 2,375,086 196,870 (2,571,956 ) 1,660,167 Total liabilities and stockholders' equity $ 2,530,524 $ 2,950,806 $ 294,488 $ (2,833,184 ) $ 2,942,634 |
Condensed Cash Flow Statement | CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (unaudited) Nine months ended January 1, 2017 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated Operating Activities: Cash provided by operating activities $ 11,298 $ 42,857 $ 3,736 $ — $ 57,891 Investing Activities: Capital expenditures — (48,443 ) (859 ) — (49,302 ) Due from affiliates — (116,584 ) — 116,584 — Acquisition of businesses, net of cash acquired (465,684 ) 3,230 4,305 — (458,149 ) Proceeds from the disposition of property, plant, and equipment — 42 50 — 92 Cash provided by (used for) investing activities (465,684 ) (161,755 ) 3,496 116,584 (507,359 ) Financing Activities: Due to affiliates 114,467 — 2,117 (116,584 ) — Borrowings on line of credit 445,000 — — — 445,000 Payments on line of credit (255,000 ) — — — (255,000 ) Proceeds from issuance of long-term debt 307,500 — — — 307,500 Payments made on long-term debt (24,000 ) — — — (24,000 ) Payments made for debt issuance costs (3,660 ) — — — (3,660 ) Purchase of treasury shares (122,860 ) — — — (122,860 ) Deferred payments for acquisitions (7,136 ) — — — (7,136 ) Proceeds from employee stock compensation plans 75 — — — 75 Cash provided by financing activities 454,386 — 2,117 (116,584 ) 339,919 Effect of foreign exchange rate fluctuations on cash — — (1,302 ) — (1,302 ) (Decrease) increase in cash and cash equivalents — (118,898 ) 8,047 — (110,851 ) Cash and cash equivalents at beginning of period — 133,503 18,189 — 151,692 Cash and cash equivalents at end of period $ — $ 14,605 $ 26,236 $ — $ 40,841 VISTA OUTDOOR INC. CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (unaudited) Nine months ended January 3, 2016 (Amounts in thousands) Parent Issuer Guarantors Non-Guarantors Eliminations Consolidated Operating Activities: Cash provided by (used for) operating activities $ (11,422 ) $ 75,482 $ 7,228 $ — $ 71,288 Investing Activities: Capital expenditures — (24,806 ) (1,495 ) — (26,301 ) Due from affiliates — (249,214 ) — 249,214 — Acquisition of businesses, net of cash acquired (466,841 ) 4,725 — — (462,116 ) Proceeds from the disposition of property, plant, and equipment — 461 235 — 696 Cash used for investing activities (466,841 ) (268,834 ) (1,260 ) 249,214 (487,721 ) Financing Activities: Due to affiliates 253,817 — (4,603 ) (249,214 ) — Borrowings on line of credit 360,000 — — — 360,000 Payments on line of credit (360,000 ) — — — (360,000 ) Proceeds from issuance of long-term debt 350,000 — — — 350,000 Payment from former parent 6,500 — — — 6,500 Payments made on long-term debt (13,125 ) — — — (13,125 ) Payments made for debt issuance costs (4,379 ) — — — (4,379 ) Purchase of treasury shares (115,194 ) — — — (115,194 ) Excess tax benefits from share-based plans 206 — — — 206 Proceeds from employee stock compensation plans 438 — — — 438 Cash provided by financing activities 478,263 — (4,603 ) (249,214 ) 224,446 Effect of foreign exchange rate fluctuations on cash — — (830 ) — (830 ) (Decrease) increase in cash and cash equivalents — (193,352 ) 535 — (192,817 ) Cash and cash equivalents at beginning of period — 247,375 16,576 — 263,951 Cash and cash equivalents at end of period $ — $ 54,023 $ 17,111 $ — $ 71,134 |
Operating Segment Information35
Operating Segment Information (Tables) | 9 Months Ended |
Jan. 01, 2017 | |
Segment Reporting [Abstract] | |
Summary Results by Segment | The following summarizes our results by segment: Quarter ended Nine months ended January 1, 2017 January 3, 2016 January 1, 2017 January 3, 2016 Sales to external customers: Outdoor Products $ 292,800 $ 236,099 $ 900,981 $ 631,672 Shooting Sports 360,758 356,458 1,067,158 1,026,759 Total sales to external customers $ 653,558 $ 592,557 $ 1,968,139 $ 1,658,431 Gross Profit Outdoor Products $ 71,161 $ 63,607 $ 235,818 $ 173,886 Shooting Sports 97,560 103,864 290,010 282,144 Corporate (115 ) 33 (436 ) (210 ) Total gross profit $ 168,606 $ 167,504 $ 525,392 $ 455,820 |
Basis of Presentation and Res36
Basis of Presentation and Responsibility for Interim Financial Statements (Details) | 9 Months Ended |
Jan. 01, 2017segment | |
Accounting Policies [Abstract] | |
Number of operating segments | 2 |
Fair Value of Financial Instr37
Fair Value of Financial Instruments (Details) - Fair value of assets and liabilities that are not measured on a recurring basis - USD ($) $ in Thousands | Jan. 01, 2017 | Mar. 31, 2016 |
Carrying amount | ||
Assets and liabilities that are not measured on a recurring basis | ||
Fixed-rate debt | $ 350,000 | $ 350,000 |
Variable-rate debt | 806,000 | 332,500 |
Fair value | ||
Assets and liabilities that are not measured on a recurring basis | ||
Fixed-rate debt | 367,063 | 366,625 |
Variable-rate debt | $ 806,000 | $ 332,500 |
Earnings (Loss) Per Share (Deta
Earnings (Loss) Per Share (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 22 Months Ended | ||||
Jan. 01, 2017 | Jan. 03, 2016 | Jan. 01, 2017 | Jan. 03, 2016 | Jan. 01, 2017 | Aug. 25, 2016 | Feb. 25, 2015 | |
Earnings Per Share [Abstract] | |||||||
Basic EPS shares outstanding | 58,275,000 | 61,717,000 | 59,478,000 | 62,175,000 | |||
Dilutive effect of stock-based awards | 359,000 | 375,000 | 341,000 | 359,000 | |||
Diluted EPS shares outstanding | 58,634,000 | 62,092,000 | 59,819,000 | 62,534,000 | |||
Shares excluded from the calculation of diluted EPS because the option exercise threshold price was greater than the average market price of the common shares | 139,000 | 68,000 | 139,000 | 68,000 | |||
Stock Repurchase Program, Authorized Amount | $ 100,000 | $ 200,000 | |||||
Stock Repurchased During Period, Shares | 1,559,938 | 1,405,729 | 6,437,038 | ||||
Stock Repurchased During Period, Value | $ 59,993 | $ 61,338 | $ 275,630 | ||||
Treasury Stock, Shares, Acquired | 3,095,952 | 2,607,436 | |||||
Treasury Stock, Value, Acquired, Cost Method | $ 126,560 | $ 115,355 |
Acquisitions (Narrative) (Detai
Acquisitions (Narrative) (Details) $ in Thousands | Sep. 01, 2016USD ($) | Apr. 01, 2016USD ($) | Aug. 03, 2015USD ($) | Jan. 01, 2017USD ($) | Jan. 03, 2016USD ($) | Oct. 04, 2015USD ($) | Jan. 01, 2017USD ($) | Jan. 03, 2016USD ($) |
Business Acquisition [Line Items] | ||||||||
Revenue of acquiree since acquisition date | $ 92,134 | $ 41,265 | $ 332,580 | $ 65,636 | ||||
Gross profit of acquiree since acquisition date | 24,167 | 16,715 | 98,449 | 25,931 | ||||
Acquisition claim settlement gain, net | 0 | $ 0 | 30,027 | $ 0 | ||||
Camp Chef [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Payments to acquire businesses | $ 60,000 | |||||||
Business combination, deferred payments to acquire business | 4,000 | |||||||
Business Combination, Contingent Consideration, Liability | $ 10,000 | |||||||
Action Sports [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Payments to acquire businesses | $ 400,000 | |||||||
Consideration transferred, liabilities incurred | $ 4,272 | |||||||
Entity Number of Employees | 600 | |||||||
Camelbak [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Payments to acquire businesses | $ 412,500 | |||||||
Entity Number of Employees | 300 | |||||||
Jimmy Styks [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Payments to acquire businesses | $ 40,000 | |||||||
Consideration transferred, liabilities incurred | $ 4,471 | 1,075 | ||||||
Bushell [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Acquisition claim settlement gain, net | 30,027 | |||||||
Business Acquisition, Preacquisition Contingency, Amount of Settlement | $ 7,136 | $ 7,136 |
Acquisitions (Purchase Price Al
Acquisitions (Purchase Price Allocation) (Details) - USD ($) $ in Thousands | Apr. 01, 2016 | Aug. 03, 2015 | Jan. 01, 2017 | Mar. 31, 2016 |
Fair value of liabilities assumed: | ||||
Goodwill | $ 855,215 | $ 1,023,451 | ||
Action Sports [Member] | ||||
Purchase price net of cash acquired: | ||||
Cash paid | $ 400,000 | |||
Estimated earnout value | 4,272 | |||
Cash received for working capital | (1,289) | |||
Total purchase price | 402,983 | |||
Fair value of assets acquired: | ||||
Receivables | 79,328 | |||
Inventories | 56,527 | |||
Tradename, customer relationship, and technology intangibles | 155,100 | |||
Property, plant, and equipment | 34,114 | |||
Other assets | 6,876 | |||
Total assets | 331,945 | |||
Fair value of liabilities assumed: | ||||
Accounts payable | 30,240 | |||
Deferred tax liabilities | 46,500 | |||
Other liabilities | 33,168 | |||
Total liabilities | 109,908 | |||
Net assets acquired | 222,037 | |||
Goodwill | $ 180,946 | |||
Camelbak [Member] | ||||
Purchase price net of cash acquired: | ||||
Cash paid | $ 412,500 | |||
Cash received for working capital | 8,472 | |||
Total purchase price | 420,972 | |||
Fair value of assets acquired: | ||||
Receivables | 30,093 | |||
Inventories | 30,916 | |||
Tradename, customer relationship, and technology intangibles | 133,800 | |||
Property, plant, and equipment | 7,985 | |||
Deferred tax assets | 5,857 | |||
Other assets | 4,460 | |||
Total assets | 213,111 | |||
Fair value of liabilities assumed: | ||||
Accounts payable | 8,219 | |||
Other liabilities | 11,479 | |||
Total liabilities | 19,698 | |||
Net assets acquired | 193,413 | |||
Goodwill | $ 227,559 |
Acquisitions (Intangible Assets
Acquisitions (Intangible Assets Acquired) (Details) - USD ($) $ in Thousands | 9 Months Ended | |||
Jan. 01, 2017 | Sep. 01, 2016 | Apr. 01, 2016 | Aug. 03, 2015 | |
Camp Chef [Member] | ||||
Business Acquisition [Line Items] | ||||
Business Combination, Contingent Consideration, Liability | $ 10,000 | |||
Trade names | Action Sports [Member] | ||||
Business Acquisition [Line Items] | ||||
Indefinite lived tradename | $ 76,700 | |||
Definite lived tradenames | 1,400 | |||
Trade names | Camelbak [Member] | ||||
Business Acquisition [Line Items] | ||||
Indefinite lived tradename | $ 79,400 | |||
Customer Relationships [Member] | Action Sports [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite lived intangibles | 74,700 | |||
Customer Relationships [Member] | Camelbak [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite lived intangibles | 49,400 | |||
Technology [Member] | Action Sports [Member] | ||||
Business Acquisition [Line Items] | ||||
Useful life (years) | 10 years | |||
Finite lived intangibles | $ 2,300 | |||
Technology [Member] | Camelbak [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite lived intangibles | $ 5,000 | |||
Trade names | Action Sports [Member] | ||||
Business Acquisition [Line Items] | ||||
Useful life (years) | 15 years | |||
Minimum | Customer Relationships [Member] | Action Sports [Member] | ||||
Business Acquisition [Line Items] | ||||
Useful life (years) | 15 years | |||
Minimum | Customer Relationships [Member] | Camelbak [Member] | ||||
Business Acquisition [Line Items] | ||||
Useful life (years) | 10 years | |||
Minimum | Technology [Member] | Camelbak [Member] | ||||
Business Acquisition [Line Items] | ||||
Useful life (years) | 7 years | |||
Maximum | Customer Relationships [Member] | Action Sports [Member] | ||||
Business Acquisition [Line Items] | ||||
Useful life (years) | 20 years | |||
Maximum | Customer Relationships [Member] | Camelbak [Member] | ||||
Business Acquisition [Line Items] | ||||
Useful life (years) | 20 years | |||
Maximum | Technology [Member] | Camelbak [Member] | ||||
Business Acquisition [Line Items] | ||||
Useful life (years) | 17 years |
Acquisitions (Pro Forma) (Detai
Acquisitions (Pro Forma) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 01, 2017 | Jan. 03, 2016 | Jan. 01, 2017 | Jan. 03, 2016 | |
Business Acquisition [Line Items] | ||||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | $ 92,134 | $ 41,265 | $ 332,580 | $ 65,636 |
Sales | 653,558 | 670,771 | 1,968,139 | 1,969,945 |
Net income (loss) | $ (377,659) | $ 46,103 | $ (273,858) | $ 120,845 |
Basic earnings (loss) per common share | $ (6.48) | $ 0.75 | $ (4.60) | $ 1.94 |
Diluted earnings (loss) per common share | $ (6.44) | $ 0.74 | $ (4.58) | $ 1.93 |
Selling, General and Administrative Expense | $ 95,893 | $ 88,591 | $ 303,060 | $ 252,011 |
Acquisitions (Nonrecurring Adju
Acquisitions (Nonrecurring Adjustments) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 01, 2017 | Jan. 03, 2016 | Jan. 01, 2017 | Jan. 03, 2016 | |
Business Acquisition [Line Items] | ||||
Cost of sales | $ 484,952 | $ 425,053 | $ 1,442,747 | $ 1,202,611 |
Selling, general, and administrative | 2,837 | 2,837 | ||
Selling, general, and administrative | (95,893) | (88,591) | (303,060) | (252,011) |
Fair Value Adjustment to Inventory [Member] | ||||
Business Acquisition [Line Items] | ||||
Cost of sales | 0 | (313) | (502) | (145) |
Fair Value, Measurements, Nonrecurring [Member] | Action Sports [Member] | ||||
Business Acquisition [Line Items] | ||||
Cost of sales | 817 | |||
Fair Value, Measurements, Nonrecurring [Member] | Camelbak [Member] | ||||
Business Acquisition [Line Items] | ||||
Cost of sales | 1,043 | |||
Acquisition-related Costs [Member] | ||||
Business Acquisition [Line Items] | ||||
Selling, general, and administrative | $ 0 | $ (56) | $ (946) | $ (3,331) |
Net Receivables (Details)
Net Receivables (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Jan. 01, 2017 | Jan. 03, 2016 | Mar. 31, 2016 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Trade receivables | $ 553,932 | $ 446,032 | |
Other Receivables | 3,023 | 1,778 | |
Less allowance for doubtful accounts and discounts | (23,621) | (19,412) | |
Net receivables | $ 533,334 | $ 428,398 | |
Credit Concentration Risk [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Customers above 10% total trade receivables balance | 1 | ||
Concentration Risk, Percentage | 12.00% | 13.00% |
Net Inventories (Details)
Net Inventories (Details) - USD ($) $ in Thousands | Jan. 01, 2017 | Mar. 31, 2016 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 116,220 | $ 91,898 |
Work in process | 58,468 | 61,864 |
Finished goods | 410,428 | 286,478 |
Net inventories | $ 585,116 | $ 440,240 |
Accumulated Other Comprehensi46
Accumulated Other Comprehensive Loss (Components of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | Jan. 01, 2017 | Oct. 02, 2016 | Mar. 31, 2016 | Jan. 03, 2016 | Oct. 04, 2015 | Mar. 31, 2015 |
Equity [Abstract] | ||||||
Pension and other postretirement benefits | $ 60,781 | $ 63,667 | ||||
Cumulative translation adjustment | (61,802) | (46,547) | ||||
Total AOCL | $ (122,583) | $ (112,834) | $ (110,214) | $ (111,715) | $ (112,038) | $ (110,303) |
Accumulated Other Comprehensi47
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Jan. 01, 2017 | Jan. 03, 2016 | Jan. 01, 2017 | Jan. 03, 2016 | Oct. 02, 2016 | Mar. 31, 2016 | Oct. 04, 2015 | Mar. 31, 2015 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||||||||
Accumulated Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Net of Tax | $ (60,781) | $ (60,781) | $ (63,667) | |||||
Cumulative translation adjustment | (61,802) | (61,802) | (46,547) | |||||
Accumulated other comprehensive loss | (122,583) | $ (111,715) | (122,583) | $ (111,715) | $ (112,834) | (110,214) | $ (112,038) | $ (110,303) |
Net increase in fair value of derivatives | 114 | 232 | ||||||
Net losses reclassified from AOCI, offsetting the price paid to suppliers | (117) | (149) | ||||||
Reclassification of net actuarial loss for pension and postretirement benefit plans recorded to net income, net of tax expense | (1,236) | (1,381) | (3,708) | (4,143) | ||||
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, Net of Tax | 1,236 | 1,381 | 3,708 | 4,143 | ||||
Reclassification of prior service credits for pension and postretirement benefit plans recorded to net income, net of tax benefit | (274) | (267) | (822) | (801) | ||||
Change in cumulative translation adjustment, net of tax benefit | (10,711) | (788) | (15,255) | (4,837) | ||||
Derivative Adjustments [Member] | ||||||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||||||
Derivatives | 83 | 83 | 86 | 0 | ||||
Net increase in fair value of derivatives | 114 | 232 | ||||||
Net losses reclassified from AOCI, offsetting the price paid to suppliers | (117) | (149) | ||||||
Pension and Other Postretirement Benefits Adjustments [Member] | ||||||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||||||
Accumulated Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Net of Tax | (60,781) | (54,813) | (60,781) | (54,813) | (61,743) | (63,667) | (55,927) | (58,155) |
Cumulative Translation Adjustment [Member] | ||||||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||||||
Cumulative translation adjustment | $ (61,802) | $ (56,985) | $ (61,802) | $ (56,985) | $ (51,091) | $ (46,547) | $ (56,197) | $ (52,148) |
Goodwill and Net Intangible A48
Goodwill and Net Intangible Assets (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 01, 2017 | Jan. 03, 2016 | Jan. 01, 2017 | Jan. 03, 2016 | |
Indefinite-lived Intangible Assets [Line Items] | ||||
Goodwill, Impairment Loss | $ (353,915) | |||
Fair Value Inputs, Royalty Rate, Minimum | 0.50% | |||
Fair Value Inputs, Royalty Rate, Maximum | 5.00% | |||
Fair Value Inputs. Royalty Rate, Public Guideline | 0.50% | |||
Fair Value Inputs, Discount Rate | 9.50% | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 13 years | |||
Amortization expense | $ 10,627 | $ 8,951 | $ 31,020 | $ 24,602 |
Shooting Sports [Member] | ||||
Indefinite-lived Intangible Assets [Line Items] | ||||
Goodwill, Impairment Loss | 0 | |||
Goodwill, Impaired, Accumulated Impairment Loss | 41,020 | 41,020 | ||
Outdoor Products [Member] | ||||
Indefinite-lived Intangible Assets [Line Items] | ||||
Goodwill, Impairment Loss | (353,915) | |||
Goodwill, Impaired, Accumulated Impairment Loss | 47,791 | $ 47,791 | ||
Trade Names | ||||
Indefinite-lived Intangible Assets [Line Items] | ||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 34,230 | |||
Trade Names | ||||
Indefinite-lived Intangible Assets [Line Items] | ||||
Impairment of Intangible Assets, Finite-lived | $ 61,054 |
Goodwill and Net Intangible A49
Goodwill and Net Intangible Assets (Goodwill Rollforward) (Details) $ in Thousands | 9 Months Ended |
Jan. 01, 2017USD ($) | |
Goodwill [Roll Forward] | |
Balance at the beginning of the period | $ 1,023,451 |
Acquisitions | 192,820 |
Goodwill, Impairment Loss | (353,915) |
Effect of foreign currency exchange rates | (7,141) |
Balance at the end of the period | 855,215 |
Outdoor Products [Member] | |
Goodwill [Roll Forward] | |
Balance at the beginning of the period | 818,560 |
Acquisitions | 192,820 |
Goodwill, Impairment Loss | (353,915) |
Effect of foreign currency exchange rates | (6,941) |
Balance at the end of the period | 650,524 |
Shooting Sports [Member] | |
Goodwill [Roll Forward] | |
Balance at the beginning of the period | 204,891 |
Acquisitions | 0 |
Goodwill, Impairment Loss | 0 |
Effect of foreign currency exchange rates | (200) |
Balance at the end of the period | $ 204,691 |
Goodwill and Net Intangible A50
Goodwill and Net Intangible Assets (Schedule of Net Intangible Assets) (Details) - USD ($) $ in Thousands | Jan. 01, 2017 | Mar. 31, 2016 |
Amortizing assets | ||
Gross carrying amount | $ 495,551 | $ 485,493 |
Accumulated amortization | (93,353) | (107,518) |
Total | 402,198 | 377,975 |
Intangible assets, gross | 810,518 | 757,990 |
Net intangible assets | 717,165 | 650,472 |
Trade names | ||
Amortizing assets | ||
Gross carrying amount | 106,159 | 185,162 |
Accumulated amortization | (15,110) | (46,812) |
Total | 91,049 | 138,350 |
Patented technology | ||
Amortizing assets | ||
Gross carrying amount | 19,066 | 27,900 |
Accumulated amortization | (7,470) | (9,949) |
Total | 11,596 | 17,951 |
Customer relationships and other | ||
Amortizing assets | ||
Gross carrying amount | 370,326 | 272,431 |
Accumulated amortization | (70,773) | (50,757) |
Total | 299,553 | 221,674 |
Non-amortizing trade names | ||
Amortizing assets | ||
Non-amortizing trade names | $ 314,967 | $ 272,497 |
Goodwill and Net Intangible A51
Goodwill and Net Intangible Assets (Future Amortization Expense) (Details) - USD ($) $ in Thousands | Jan. 01, 2017 | Mar. 31, 2016 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of fiscal 2017 | $ 9,204 | |
Fiscal 2,018 | 36,816 | |
Fiscal 2,019 | 34,072 | |
Fiscal 2,020 | 33,245 | |
Fiscal 2,021 | 33,229 | |
Thereafter | 255,632 | |
Total | $ 402,198 | $ 377,975 |
Other Current and Non-current52
Other Current and Non-current Liabilities (Components of Current and Non-current Liabilities) (Details) - USD ($) $ in Thousands | Jan. 01, 2017 | Mar. 31, 2016 |
Other Liabilities Disclosure [Abstract] | ||
In-transit inventory and other | $ 82,962 | $ 40,242 |
Rebate | 46,501 | 17,957 |
Accrued advertising | 15,424 | 10,315 |
Employee benefits and insurance | 12,221 | 11,131 |
Warranty | 9,117 | 8,611 |
Interest | 5,559 | 13,157 |
Customer obligations | 2,975 | 9,613 |
Freight accrual | 2,499 | 2,446 |
Accrued taxes | 2,350 | 1,303 |
Product liability | 1,813 | 1,622 |
Total other current liabilities | 181,421 | 116,397 |
Non-current portion of accrued income tax liability | 27,097 | 25,421 |
Contingent consideration and deferred purchase price | 8,044 | 4,471 |
Product iability (non-current) | 4,193 | 0 |
Management non-qualified deferred compensation plan | 3,185 | 2,668 |
Environmental remediation | 740 | 745 |
Other | 21,472 | 18,014 |
Total other non-current liabilities | $ 64,731 | $ 51,319 |
Other Current and Non-current53
Other Current and Non-current Liabilities (Product Warranty Rollforward) (Details) $ in Thousands | 9 Months Ended |
Jan. 01, 2017USD ($) | |
Movement in Standard and Extended Product Warranty Accrual, Increase (Decrease) [Roll Forward] | |
Balance at the beginning of the period | $ 8,611 |
Payments made | (2,992) |
Warranties issued | 2,575 |
Warranties assumed in acquisition | 1,159 |
Changes related to preexisting warranties | (236) |
Balance at the end of period | $ 9,117 |
Long-term Debt (Components of L
Long-term Debt (Components of Long-term Debt) (Details) - USD ($) $ in Thousands | Jan. 01, 2017 | Apr. 01, 2016 | Mar. 31, 2016 | Aug. 11, 2015 |
Long-Term Debt | ||||
Long-term Debt | $ 1,143,601 | $ 670,287 | ||
Principal amount of long-term debt | 1,156,000 | 682,500 | ||
Unamortized deferred financing costs | 12,399 | 12,213 | ||
Current portion of long-term debt | 222,000 | 17,500 | ||
Carrying amount of long-term debt, excluding current portion | 921,601 | 652,787 | ||
Term A Loan due 2021 [Member] | ||||
Long-Term Debt | ||||
Long-term Debt | 616,000 | 332,500 | ||
Principal amount of long-term debt | $ 640,000 | |||
Line of Credit due 2020 [Member] | ||||
Long-Term Debt | ||||
Principal amount of long-term debt | 350,000 | |||
Term A Loan due 2020 [Member] | ||||
Long-Term Debt | ||||
Principal amount of long-term debt | 400,000 | |||
Line of Credit due 2021 [Member] | ||||
Long-Term Debt | ||||
Long-term Debt | 190,000 | 0 | ||
Principal amount of long-term debt | $ 400,000 | |||
Total principal amount of Credit Agreement [Member] | ||||
Long-Term Debt | ||||
Long-term Debt | 806,000 | 332,500 | ||
5.875% notes [Member] | ||||
Long-Term Debt | ||||
Long-term Debt | $ 350,000 | $ 350,000 | $ 350,000 |
Long-term Debt (Narrative - Cre
Long-term Debt (Narrative - Credit Agreement) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 01, 2017 | Jan. 01, 2017 | Apr. 01, 2016 | Mar. 31, 2016 | |
Long-Term Debt | ||||
Principal amount of long-term debt | $ 1,156,000 | $ 1,156,000 | $ 682,500 | |
Write off of Deferred Debt Issuance Cost | 1,521 | |||
Debt Instrument, Periodic Payment, Principal | 8,000 | |||
Annual commitment fee on the unused portion (as a percent) | 0.30% | |||
Long-term Debt | $ 1,143,601 | 1,143,601 | 670,287 | |
Letters of Credit Outstanding, Amount | 26,015 | 26,015 | ||
Line of Credit Facility, Remaining Borrowing Capacity | 183,985 | 183,985 | ||
Line of Credit due 2021 [Member] | ||||
Long-Term Debt | ||||
Principal amount of long-term debt | $ 400,000 | |||
Long-term Debt | $ 190,000 | $ 190,000 | 0 | |
Term A Loan due 2021 [Member] | ||||
Long-Term Debt | ||||
Principal amount of long-term debt | $ 640,000 | |||
Base rate margin (as a percent) | 0.75% | 0.75% | ||
Eurodollar margin (as a percent) | 1.75% | 1.75% | ||
Weighted average interest rate (as a percent) | 2.41% | 2.41% | ||
Long-term Debt | $ 616,000 | $ 616,000 | $ 332,500 | |
Deferred Finance Costs Gross, Accordion Feature | $ 12,000 | $ 12,000 |
Long-term Debt (Narrative - 5.8
Long-term Debt (Narrative - 5.875% Notes) (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Jan. 01, 2017 | Mar. 31, 2016 | Aug. 11, 2015 | |
Debt Instrument [Line Items] | |||
Long-term Debt | $ 1,143,601 | $ 670,287 | |
5.875% notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt | $ 350,000 | $ 350,000 | $ 350,000 |
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 5.875% | ||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||
Debt Instrument, Redemption with Net Proceeds from Equity Offerings as Percentage of Original Principal | 35.00% | ||
Debt Instrument, Redemption Price with Net Proceeds from Equity Offerings as Percentage of Original Principal | 105.875% | ||
Debt Issuance Costs, Gross | $ 4,300 | ||
Bottom threshhold of guarantee | $ 50,000 |
Long-term Debt (Narrative - Cas
Long-term Debt (Narrative - Cash Paid for Interest on Debt) (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Jan. 01, 2017 | Jan. 03, 2016 | |
Debt Disclosure [Abstract] | ||
Interest Paid | $ 15,034 | $ 6,387 |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Jan. 01, 2017 | Jan. 03, 2016 | Jan. 01, 2017 | Jan. 03, 2016 | Mar. 31, 2017 | |
Defined Benefit Plans | |||||
Expense for employee benefit plans | $ 1,690 | $ 1,825 | $ 5,072 | $ 5,475 | |
Document Fiscal Year Focus | 2,017 | ||||
Supplemental Employee Retirement Plan [Member] | |||||
Defined Benefit Plans | |||||
Contribution by employer | $ 10 | 0 | |||
Other Postretirement Benefit Plans, Defined Benefit [Member] | |||||
Defined Benefit Plans | |||||
Contribution by employer | 0 | 0 | |||
Pension Plan [Member] | |||||
Defined Benefit Plans | |||||
Contribution by employer | $ 4,400 | $ 2,000 | |||
Scenario, Forecast [Member] | Supplemental Employee Retirement Plan [Member] | |||||
Defined Benefit Plans | |||||
Estimated future employer contributions in the next year | $ 688 | ||||
Scenario, Forecast [Member] | Other Postretirement Benefit Plans, Defined Benefit [Member] | |||||
Defined Benefit Plans | |||||
Estimated future employer contributions in the next year | 174 | ||||
Scenario, Forecast [Member] | Pension Plan [Member] | |||||
Defined Benefit Plans | |||||
Estimated future employer contributions in the next year | $ 0 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 01, 2017 | Jan. 03, 2016 | Jan. 01, 2017 | Jan. 03, 2016 | |
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | ||||
Income tax provision (as a percent) | 4.40% | 36.00% | (8.50%) | 38.40% |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 35.00% | 35.00% | ||
Potential reduction of uncertain tax benefits over the next 12 months from audit settlements | $ (2,512) | $ (2,512) | ||
Minimum | ||||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | ||||
Unrecognized tax benefits that would impact effective tax rate | 0 | 0 | ||
Maximum | ||||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | ||||
Unrecognized tax benefits that would impact effective tax rate | $ 1,726 | $ 1,726 |
Contingencies (Details)
Contingencies (Details) - USD ($) $ in Thousands | Jan. 01, 2017 | Mar. 31, 2016 |
Loss Contingency [Abstract] | ||
Accrual for Environmental Loss Contingencies | $ 765 | $ 765 |
Condensed Consolidating Finan61
Condensed Consolidating Financial Statements (Condensed Consolidated Statement of Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 01, 2017 | Jan. 03, 2016 | Jan. 01, 2017 | Jan. 03, 2016 | |
Condensed Income Statements, Captions [Line Items] | ||||
Sales, net | $ 653,558 | $ 592,557 | $ 1,968,139 | $ 1,658,431 |
Cost of sales | 484,952 | 425,053 | 1,442,747 | 1,202,611 |
Gross profit | 168,606 | 167,504 | 525,392 | 455,820 |
Research and development | 8,170 | 3,681 | 24,151 | 8,851 |
Selling, general, and administrative | 95,893 | 88,591 | 303,060 | 252,011 |
Goodwill and intangibles impairment | 449,199 | 0 | 449,199 | 0 |
Acquisition claim settlement gain, net | 0 | 0 | (30,027) | 0 |
Income (loss) before interest and income taxes | (384,656) | 75,232 | (220,991) | 194,958 |
Income (Loss) from Equity Method Investments | 0 | 0 | 0 | 0 |
Interest Expense | (10,551) | (7,776) | (32,657) | (16,908) |
Income (loss) before income taxes | (395,207) | 67,456 | (253,648) | 178,050 |
Income tax provision (benefit) | (17,548) | 24,297 | 21,663 | 68,326 |
Net income (loss) | (377,659) | 43,159 | (275,311) | 109,724 |
Other Comprehensive Income (Loss), Net of Tax | (9,749) | 323 | (12,369) | (1,412) |
Comprehensive income (loss) | (387,408) | 43,482 | (287,680) | 108,312 |
Consolidation, Eliminations [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Sales, net | (35,086) | (25,289) | (89,572) | (78,974) |
Cost of sales | (34,452) | (25,762) | (88,675) | (79,809) |
Gross profit | (634) | 473 | (897) | 835 |
Research and development | 0 | 0 | 0 | 0 |
Selling, general, and administrative | 0 | 0 | 0 | 0 |
Goodwill and intangibles impairment | 0 | 0 | ||
Acquisition claim settlement gain, net | 0 | |||
Income (loss) before interest and income taxes | (634) | 473 | (897) | 835 |
Income (Loss) from Equity Method Investments | 368,888 | (53,670) | 275,497 | (133,082) |
Interest Expense | 0 | 0 | 0 | 0 |
Income (loss) before income taxes | 368,254 | (53,197) | 274,600 | (132,247) |
Income tax provision (benefit) | (246) | 182 | (331) | 325 |
Net income (loss) | 368,500 | (53,379) | 274,931 | (132,572) |
Other Comprehensive Income (Loss), Net of Tax | 20,460 | 465 | 27,624 | 6,249 |
Comprehensive income (loss) | 388,960 | (52,914) | 302,555 | (126,323) |
Parent Company [Member] | Reportable Legal Entities [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Sales, net | 0 | 0 | 0 | 0 |
Cost of sales | 0 | 0 | 0 | 0 |
Gross profit | 0 | 0 | 0 | 0 |
Research and development | 0 | 0 | 0 | 0 |
Selling, general, and administrative | 0 | 0 | 0 | 0 |
Goodwill and intangibles impairment | 0 | 0 | ||
Acquisition claim settlement gain, net | (30,027) | |||
Income (loss) before interest and income taxes | 0 | 0 | 30,027 | 0 |
Income (Loss) from Equity Method Investments | (371,067) | 48,017 | (284,930) | 120,291 |
Interest Expense | (10,551) | (7,776) | (32,657) | (16,908) |
Income (loss) before income taxes | (381,618) | 40,241 | (287,560) | 103,383 |
Income tax provision (benefit) | (3,959) | (2,918) | (12,249) | (6,341) |
Net income (loss) | (377,659) | 43,159 | (275,311) | 109,724 |
Other Comprehensive Income (Loss), Net of Tax | (9,749) | 323 | (12,369) | (1,412) |
Comprehensive income (loss) | (387,408) | 43,482 | (287,680) | 108,312 |
Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Sales, net | 619,140 | 561,252 | 1,872,948 | 1,566,650 |
Cost of sales | 469,600 | 414,422 | 1,407,821 | 1,168,477 |
Gross profit | 149,540 | 146,830 | 465,127 | 398,173 |
Research and development | 8,020 | 3,681 | 23,957 | 8,851 |
Selling, general, and administrative | 80,748 | 75,628 | 258,027 | 212,122 |
Goodwill and intangibles impairment | 449,199 | 449,199 | ||
Acquisition claim settlement gain, net | 0 | |||
Income (loss) before interest and income taxes | (388,427) | 67,521 | (266,056) | 177,200 |
Income (Loss) from Equity Method Investments | 2,179 | 5,653 | 9,433 | 12,791 |
Interest Expense | 0 | 0 | 0 | 0 |
Income (loss) before income taxes | (386,248) | 73,174 | (256,623) | 189,991 |
Income tax provision (benefit) | (15,181) | 25,157 | 28,307 | 69,700 |
Net income (loss) | (371,067) | 48,017 | (284,930) | 120,291 |
Other Comprehensive Income (Loss), Net of Tax | (9,749) | 323 | (12,369) | (1,412) |
Comprehensive income (loss) | (380,816) | 48,340 | (297,299) | 118,879 |
Non-Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Sales, net | 69,504 | 56,594 | 184,763 | 170,755 |
Cost of sales | 49,804 | 36,393 | 123,601 | 113,943 |
Gross profit | 19,700 | 20,201 | 61,162 | 56,812 |
Research and development | 150 | 0 | 194 | 0 |
Selling, general, and administrative | 15,145 | 12,963 | 45,033 | 39,889 |
Goodwill and intangibles impairment | 0 | 0 | ||
Acquisition claim settlement gain, net | 0 | |||
Income (loss) before interest and income taxes | 4,405 | 7,238 | 15,935 | 16,923 |
Income (Loss) from Equity Method Investments | 0 | 0 | 0 | 0 |
Interest Expense | 0 | 0 | 0 | 0 |
Income (loss) before income taxes | 4,405 | 7,238 | 15,935 | 16,923 |
Income tax provision (benefit) | 1,838 | 1,876 | 5,936 | 4,642 |
Net income (loss) | 2,567 | 5,362 | 9,999 | 12,281 |
Other Comprehensive Income (Loss), Net of Tax | (10,711) | (788) | (15,255) | (4,837) |
Comprehensive income (loss) | $ (8,144) | $ 4,574 | $ (5,256) | $ 7,444 |
Condensed Consolidating Finan62
Condensed Consolidating Financial Statements (Condensed Consolidated Balance Sheet) (Details) - USD ($) $ in Thousands | Jan. 01, 2017 | Mar. 31, 2016 | Jan. 03, 2016 | Mar. 31, 2015 |
Condensed Balance Sheet Statements, Captions [Line Items] | ||||
Cash and cash equivalents | $ 40,841 | $ 151,692 | $ 71,134 | $ 263,951 |
Net receivables | 533,334 | 428,398 | ||
Due from affiliates, current | 0 | 0 | ||
Net inventories | 585,116 | 440,240 | ||
Income tax receivable | 8,904 | 0 | ||
Other current assets | 28,443 | 29,334 | ||
Total current assets | 1,196,638 | 1,049,664 | ||
Net property, plant, and equipment | 247,715 | 203,485 | ||
Investment in subsidiaries | 0 | 0 | ||
Goodwill | 855,215 | 1,023,451 | ||
Net intangible assets | 717,165 | 650,472 | ||
Long-term due from affiliates | 0 | 0 | ||
Deferred charges and other non-current assets | 27,432 | 15,562 | ||
Total assets | 3,044,165 | 2,942,634 | ||
Current portion of long-term debt | 222,000 | 17,500 | ||
Accounts payable | 102,904 | 147,738 | ||
Due to affiliates, current | 0 | 0 | ||
Accrued compensation | 39,923 | 47,394 | ||
Accrued income taxes | 0 | 12,171 | ||
Federal excise tax | 31,196 | 27,701 | ||
Other current liabilities | 181,421 | 116,397 | ||
Total current liabilities | 577,444 | 368,901 | ||
Long-term debt | 921,601 | 652,787 | ||
Deferred income tax liabilities | 153,130 | 135,957 | ||
Accrued pension and postemployment liabilities | 69,575 | 73,503 | ||
Long-term due to affiliates | 0 | 0 | ||
Other long-term liabilities | 64,731 | 51,319 | ||
Total liabilities | 1,786,481 | 1,282,467 | ||
Total stockholders' equity | 1,257,684 | 1,660,167 | ||
Total liabilities and stockholders' equity | 3,044,165 | 2,942,634 | ||
Consolidation, Eliminations [Member] | ||||
Condensed Balance Sheet Statements, Captions [Line Items] | ||||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Net receivables | 0 | 0 | ||
Due from affiliates, current | (8,913) | (19,912) | ||
Net inventories | (5,191) | (4,285) | ||
Income tax receivable | 0 | |||
Other current assets | 0 | 0 | ||
Total current assets | (14,104) | (24,197) | ||
Net property, plant, and equipment | 0 | 0 | ||
Investment in subsidiaries | (2,755,544) | (2,567,389) | ||
Goodwill | 0 | 0 | ||
Net intangible assets | 0 | 0 | ||
Long-term due from affiliates | (340,653) | (241,598) | ||
Deferred charges and other non-current assets | 0 | 0 | ||
Total assets | (3,110,301) | (2,833,184) | ||
Current portion of long-term debt | 0 | 0 | ||
Accounts payable | 0 | 0 | ||
Due to affiliates, current | (8,913) | (19,912) | ||
Accrued compensation | 0 | 0 | ||
Accrued income taxes | 0 | |||
Federal excise tax | 0 | 0 | ||
Other current liabilities | 0 | 0 | ||
Total current liabilities | (8,913) | (19,912) | ||
Long-term debt | 0 | 0 | ||
Deferred income tax liabilities | (1,884) | 282 | ||
Accrued pension and postemployment liabilities | 0 | 0 | ||
Long-term due to affiliates | (340,653) | (241,598) | ||
Other long-term liabilities | 0 | 0 | ||
Total liabilities | (351,450) | (261,228) | ||
Total stockholders' equity | (2,758,851) | (2,571,956) | ||
Total liabilities and stockholders' equity | (3,110,301) | (2,833,184) | ||
Parent Company [Member] | Reportable Legal Entities [Member] | ||||
Condensed Balance Sheet Statements, Captions [Line Items] | ||||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Net receivables | 0 | 0 | ||
Due from affiliates, current | 0 | 0 | ||
Net inventories | 0 | 0 | ||
Income tax receivable | 0 | |||
Other current assets | 0 | 0 | ||
Total current assets | 0 | 0 | ||
Net property, plant, and equipment | 0 | 0 | ||
Investment in subsidiaries | 2,701,872 | 2,530,524 | ||
Goodwill | 0 | 0 | ||
Net intangible assets | 0 | 0 | ||
Long-term due from affiliates | 0 | 0 | ||
Deferred charges and other non-current assets | 0 | 0 | ||
Total assets | 2,701,872 | 2,530,524 | ||
Current portion of long-term debt | 222,000 | 17,500 | ||
Accounts payable | 0 | 0 | ||
Due to affiliates, current | 0 | 0 | ||
Accrued compensation | 0 | 0 | ||
Accrued income taxes | 0 | |||
Federal excise tax | 0 | 0 | ||
Other current liabilities | 0 | 0 | ||
Total current liabilities | 222,000 | 17,500 | ||
Long-term debt | 921,601 | 652,787 | ||
Deferred income tax liabilities | 0 | 0 | ||
Accrued pension and postemployment liabilities | 0 | 0 | ||
Long-term due to affiliates | 300,587 | 200,070 | ||
Other long-term liabilities | 0 | 0 | ||
Total liabilities | 1,444,188 | 870,357 | ||
Total stockholders' equity | 1,257,684 | 1,660,167 | ||
Total liabilities and stockholders' equity | 2,701,872 | 2,530,524 | ||
Non-Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ||||
Condensed Balance Sheet Statements, Captions [Line Items] | ||||
Cash and cash equivalents | 26,236 | 18,189 | 17,111 | 16,576 |
Net receivables | 49,016 | 45,736 | ||
Due from affiliates, current | 0 | 0 | ||
Net inventories | 62,262 | 64,867 | ||
Income tax receivable | 834 | |||
Other current assets | 3,323 | 2,817 | ||
Total current assets | 141,671 | 131,609 | ||
Net property, plant, and equipment | 9,718 | 10,811 | ||
Investment in subsidiaries | 0 | 0 | ||
Goodwill | 117,682 | 111,736 | ||
Net intangible assets | 71,117 | 36,603 | ||
Long-term due from affiliates | 0 | 0 | ||
Deferred charges and other non-current assets | 8,362 | 3,729 | ||
Total assets | 348,550 | 294,488 | ||
Current portion of long-term debt | 0 | 0 | ||
Accounts payable | 13,221 | 13,404 | ||
Due to affiliates, current | 8,913 | 19,912 | ||
Accrued compensation | 2,997 | 3,568 | ||
Accrued income taxes | 473 | |||
Federal excise tax | 714 | 372 | ||
Other current liabilities | 11,148 | 8,898 | ||
Total current liabilities | 36,993 | 46,627 | ||
Long-term debt | 0 | 0 | ||
Deferred income tax liabilities | 7,806 | 8,192 | ||
Accrued pension and postemployment liabilities | 0 | 0 | ||
Long-term due to affiliates | 40,066 | 41,528 | ||
Other long-term liabilities | 1,044 | 1,271 | ||
Total liabilities | 85,909 | 97,618 | ||
Total stockholders' equity | 262,641 | 196,870 | ||
Total liabilities and stockholders' equity | 348,550 | 294,488 | ||
Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ||||
Condensed Balance Sheet Statements, Captions [Line Items] | ||||
Cash and cash equivalents | 14,605 | 133,503 | $ 54,023 | $ 247,375 |
Net receivables | 484,318 | 382,662 | ||
Due from affiliates, current | 8,913 | 19,912 | ||
Net inventories | 528,045 | 379,658 | ||
Income tax receivable | 8,070 | |||
Other current assets | 25,120 | 26,517 | ||
Total current assets | 1,069,071 | 942,252 | ||
Net property, plant, and equipment | 237,997 | 192,674 | ||
Investment in subsidiaries | 53,672 | 36,865 | ||
Goodwill | 737,533 | 911,715 | ||
Net intangible assets | 646,048 | 613,869 | ||
Long-term due from affiliates | 340,653 | 241,598 | ||
Deferred charges and other non-current assets | 19,070 | 11,833 | ||
Total assets | 3,104,044 | 2,950,806 | ||
Current portion of long-term debt | 0 | 0 | ||
Accounts payable | 89,683 | 134,334 | ||
Due to affiliates, current | 0 | 0 | ||
Accrued compensation | 36,926 | 43,826 | ||
Accrued income taxes | 11,698 | |||
Federal excise tax | 30,482 | 27,329 | ||
Other current liabilities | 170,273 | 107,499 | ||
Total current liabilities | 327,364 | 324,686 | ||
Long-term debt | 0 | 0 | ||
Deferred income tax liabilities | 147,208 | 127,483 | ||
Accrued pension and postemployment liabilities | 69,575 | 73,503 | ||
Long-term due to affiliates | 0 | 0 | ||
Other long-term liabilities | 63,687 | 50,048 | ||
Total liabilities | 607,834 | 575,720 | ||
Total stockholders' equity | 2,496,210 | 2,375,086 | ||
Total liabilities and stockholders' equity | $ 3,104,044 | $ 2,950,806 |
Condensed Consolidating Finan63
Condensed Consolidating Financial Statements (Condensed Consolidated Statement of Cash Flows) (Details) - USD ($) $ in Thousands | 9 Months Ended | |||
Jan. 01, 2017 | Jan. 03, 2016 | Mar. 31, 2016 | Mar. 31, 2015 | |
Condensed Consolidated Cash Flow Statements, Captions [Line Items] | ||||
Cash provided by operating activities | $ 57,891 | $ 71,288 | ||
Capital expenditures | (49,302) | (26,301) | ||
Due from affiliates | 0 | 0 | ||
Acquisition of businesses, net of cash acquired | (458,149) | (462,116) | ||
Proceeds from the disposition of property, plant, and equipment | 92 | 696 | ||
Cash used for investing activities | (507,359) | (487,721) | ||
Due to affiliates | 0 | 0 | ||
Borrowings on line of credit | 445,000 | 360,000 | ||
Payments on line of credit | (255,000) | (360,000) | ||
Proceeds from issuance of long-term debt | 307,500 | 350,000 | ||
Payment from former parent | 0 | 6,500 | ||
Payments made on long-term debt | (24,000) | (13,125) | ||
Payments made for debt issuance costs | (3,660) | (4,379) | ||
Purchase of treasury shares | (122,860) | (115,194) | ||
Deferred payments for acquisitions | (7,136) | 0 | ||
Excess tax benefits from share-based plans | 0 | 206 | ||
Proceeds from employee stock compensation plans | 75 | 438 | ||
Cash provided by financing activities | 339,919 | 224,446 | ||
Effect of foreign exchange rate fluctuations on cash | (1,302) | (830) | ||
Decrease in cash and cash equivalents | (110,851) | (192,817) | ||
Cash and cash equivalents | 40,841 | 71,134 | $ 151,692 | $ 263,951 |
Consolidation, Eliminations [Member] | ||||
Condensed Consolidated Cash Flow Statements, Captions [Line Items] | ||||
Cash provided by operating activities | 0 | 0 | ||
Capital expenditures | 0 | 0 | ||
Due from affiliates | 116,584 | 249,214 | ||
Acquisition of businesses, net of cash acquired | 0 | 0 | ||
Proceeds from the disposition of property, plant, and equipment | 0 | 0 | ||
Cash used for investing activities | 116,584 | 249,214 | ||
Due to affiliates | (116,584) | (249,214) | ||
Borrowings on line of credit | 0 | 0 | ||
Payments on line of credit | 0 | 0 | ||
Proceeds from issuance of long-term debt | 0 | 0 | ||
Payment from former parent | 0 | |||
Payments made on long-term debt | 0 | 0 | ||
Payments made for debt issuance costs | 0 | 0 | ||
Purchase of treasury shares | 0 | 0 | ||
Deferred payments for acquisitions | 0 | |||
Excess tax benefits from share-based plans | 0 | |||
Proceeds from employee stock compensation plans | 0 | 0 | ||
Cash provided by financing activities | (116,584) | (249,214) | ||
Effect of foreign exchange rate fluctuations on cash | 0 | 0 | ||
Decrease in cash and cash equivalents | 0 | 0 | ||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Parent Company [Member] | Reportable Legal Entities [Member] | ||||
Condensed Consolidated Cash Flow Statements, Captions [Line Items] | ||||
Cash provided by operating activities | 11,298 | (11,422) | ||
Capital expenditures | 0 | 0 | ||
Due from affiliates | 0 | 0 | ||
Acquisition of businesses, net of cash acquired | (465,684) | (466,841) | ||
Proceeds from the disposition of property, plant, and equipment | 0 | 0 | ||
Cash used for investing activities | (465,684) | (466,841) | ||
Due to affiliates | 114,467 | 253,817 | ||
Borrowings on line of credit | 445,000 | 360,000 | ||
Payments on line of credit | (255,000) | (360,000) | ||
Proceeds from issuance of long-term debt | 307,500 | 350,000 | ||
Payment from former parent | 6,500 | |||
Payments made on long-term debt | (24,000) | (13,125) | ||
Payments made for debt issuance costs | (3,660) | (4,379) | ||
Purchase of treasury shares | (122,860) | (115,194) | ||
Deferred payments for acquisitions | (7,136) | |||
Excess tax benefits from share-based plans | 206 | |||
Proceeds from employee stock compensation plans | 75 | 438 | ||
Cash provided by financing activities | 454,386 | 478,263 | ||
Effect of foreign exchange rate fluctuations on cash | 0 | 0 | ||
Decrease in cash and cash equivalents | 0 | 0 | ||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ||||
Condensed Consolidated Cash Flow Statements, Captions [Line Items] | ||||
Cash provided by operating activities | 42,857 | 75,482 | ||
Capital expenditures | (48,443) | (24,806) | ||
Due from affiliates | (116,584) | (249,214) | ||
Acquisition of businesses, net of cash acquired | 3,230 | 4,725 | ||
Proceeds from the disposition of property, plant, and equipment | 42 | 461 | ||
Cash used for investing activities | (161,755) | (268,834) | ||
Due to affiliates | 0 | 0 | ||
Borrowings on line of credit | 0 | 0 | ||
Payments on line of credit | 0 | 0 | ||
Proceeds from issuance of long-term debt | 0 | 0 | ||
Payment from former parent | 0 | |||
Payments made on long-term debt | 0 | 0 | ||
Payments made for debt issuance costs | 0 | 0 | ||
Purchase of treasury shares | 0 | 0 | ||
Deferred payments for acquisitions | 0 | |||
Excess tax benefits from share-based plans | 0 | |||
Proceeds from employee stock compensation plans | 0 | 0 | ||
Cash provided by financing activities | 0 | 0 | ||
Effect of foreign exchange rate fluctuations on cash | 0 | 0 | ||
Decrease in cash and cash equivalents | (118,898) | (193,352) | ||
Cash and cash equivalents | 14,605 | 54,023 | 133,503 | 247,375 |
Non-Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ||||
Condensed Consolidated Cash Flow Statements, Captions [Line Items] | ||||
Cash provided by operating activities | 3,736 | 7,228 | ||
Capital expenditures | (859) | (1,495) | ||
Due from affiliates | 0 | 0 | ||
Acquisition of businesses, net of cash acquired | 4,305 | 0 | ||
Proceeds from the disposition of property, plant, and equipment | 50 | 235 | ||
Cash used for investing activities | 3,496 | (1,260) | ||
Due to affiliates | 2,117 | (4,603) | ||
Borrowings on line of credit | 0 | 0 | ||
Payments on line of credit | 0 | 0 | ||
Proceeds from issuance of long-term debt | 0 | 0 | ||
Payment from former parent | 0 | |||
Payments made on long-term debt | 0 | 0 | ||
Payments made for debt issuance costs | 0 | 0 | ||
Purchase of treasury shares | 0 | 0 | ||
Deferred payments for acquisitions | 0 | |||
Excess tax benefits from share-based plans | 0 | |||
Proceeds from employee stock compensation plans | 0 | 0 | ||
Cash provided by financing activities | 2,117 | (4,603) | ||
Effect of foreign exchange rate fluctuations on cash | (1,302) | (830) | ||
Decrease in cash and cash equivalents | 8,047 | 535 | ||
Cash and cash equivalents | $ 26,236 | $ 17,111 | $ 18,189 | $ 16,576 |
Operating Segment Information64
Operating Segment Information (Narrative) (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 01, 2017USD ($) | Jan. 03, 2016USD ($) | Jan. 01, 2017USD ($)segment | Jan. 03, 2016USD ($) | |
Revenue, Major Customer [Line Items] | ||||
Segment Reporting Information, Intersegment Revenue | $ | $ 1,769 | $ 800 | $ 3,518 | $ 2,276 |
Number of operating segments | segment | 2 | |||
Segment Reporting, Disclosure of Major Customers | 1 | 0 | ||
Outdoor Products [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
Revenues from external customers, percentage | 46.00% | |||
Shooting Sports [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
Revenues from external customers, percentage | 54.00% | |||
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
Concentration Risk, Percentage | 11.00% |
Operating Segment Information65
Operating Segment Information (Schedule of Results by Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 01, 2017 | Jan. 03, 2016 | Jan. 01, 2017 | Jan. 03, 2016 | |
Segment Reporting Information [Line Items] | ||||
Sales, net | $ 653,558 | $ 592,557 | $ 1,968,139 | $ 1,658,431 |
Gross profit | 168,606 | 167,504 | $ 525,392 | 455,820 |
Outdoor Products [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues from External Customers Percentage | 46.00% | |||
Sales, net | 292,800 | 236,099 | $ 900,981 | 631,672 |
Gross profit | $ 71,161 | 63,607 | 235,818 | 173,886 |
Shooting Sports [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues from External Customers Percentage | 54.00% | |||
Sales, net | $ 360,758 | 356,458 | 1,067,158 | 1,026,759 |
Gross profit | 97,560 | 103,864 | 290,010 | 282,144 |
Corporate [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Gross profit | $ (115) | $ 33 | $ (436) | $ (210) |