Varex Imaging (VREX) 10-Q14 Aug 202020 Q3 Quarterly reportFinancial data

Company Profile

Cover

Cover - shares shares in Millions	9 Months Ended
Cover - shares shares in Millions	Jul. 03, 2020	Aug. 03, 2020
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jul. 3, 2020
Document Transition Report	false
Entity File Number	001-37860
Entity Registrant Name	VAREX IMAGING CORPORATION
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	81-3434516
Entity Address, Address Line One	1678 S. Pioneer Road
Entity Address, City or Town	Salt Lake City
Entity Address, State or Province	UT
Entity Address, Postal Zip Code	84104
City Area Code	801
Local Phone Number	972-5000
Title of 12(b) Security	Common Stock
Trading Symbol	VREX
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Smaller Reporting Company	false
Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)		39.1
Amendment Flag	false
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3
Entity Central Index Key	0001681622
Current Fiscal Year End Date	--10-02

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Income Statement [Abstract]
Revenues, net	$ 171.2	$ 196.7	$ 568.3	$ 578.2
Cost of revenues	144.9	136	423.3	393.1
Gross margin	26.3	60.7	145	185.1
Operating expenses:
Research and development	19	20.9	61.6	58.5
Selling, general and administrative	31.4	31.2	101.5	92.3
Impairment of intangible assets	2.7	4	2.7	4.8
Total operating expenses	53.1	56.1	165.8	155.6
Operating (loss) earnings	(26.8)	4.6	(20.8)	29.5
Interest income	0	0	0.1	0.1
Interest expense	(6.9)	(5.1)	(16.9)	(15.7)
Other expense, net	(6.1)	(0.1)	(4.5)	(2.6)
Interest and other expense, net	(13)	(5.2)	(21.3)	(18.2)
(Loss) earnings before taxes	(39.8)	(0.6)	(42.1)	11.3
Income tax (benefit) expense	(11.6)	0.7	(10.9)	3.7
Net (loss) earnings	(28.2)	(1.3)	(31.2)	7.6
Less: Net earnings attributable to noncontrolling interests	0.1	0.1	0.3	0.2
Net (loss) earnings attributable to Varex	$ (28.3)	$ (1.4)	$ (31.5)	$ 7.4
Net (loss) earnings per common share attributable to Varex
Basic (in USD per share)	$ (0.73)	$ (0.04)	$ (0.81)	$ 0.19
Diluted (in USD per share)	$ (0.73)	$ (0.04)	$ (0.81)	$ 0.19
Weighted average common shares outstanding
Basic (in shares)	39	38.3	38.7	38.2
Diluted (in shares)	39	38.3	38.7	38.4

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) EARNINGS (Unaudited) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Statement of Comprehensive Income [Abstract]
Net (loss) earnings	$ (28.2)	$ (1.3)	$ (31.2)	$ 7.6
Other comprehensive (loss) earnings, net of tax:
Unrealized (loss)/gain on interest rate swap contracts	0.3	(2.3)	(2)	(6)
Foreign currency translation adjustments	(3.7)	(0.2)	0.6	(0.2)
Other comprehensive (loss) earnings, net of tax	(3.4)	(2.5)	(1.4)	(6.2)
Comprehensive (loss) earnings	(31.6)	(3.8)	(32.6)	1.4
Less: Comprehensive earnings attributable to noncontrolling interests	0.1	0.1	0.3	0.2
Comprehensive (loss) earnings attributable to Varex	$ (31.7)	$ (3.9)	$ (32.9)	$ 1.2

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Millions	Jul. 03, 2020	Sep. 27, 2019
Current assets:
Cash and cash equivalents	$ 87.4	$ 29.9
Accounts receivable, net	109.7	141
Inventories	283.2	248.2
Prepaid expenses and other current assets	18.6	19.3
Total current assets	498.9	438.4
Property, plant and equipment, net	145.5	142.3
Goodwill	290.8	290.8
Intangible assets, net	70.6	86.3
Investments in privately-held companies	50.9	53.6
Deferred tax assets	6.3	0
Operating lease right-of-use assets	29.6	0
Other assets	29.1	27.5
Total assets	1,121.7	1,038.9
Current liabilities:
Accounts payable	79.8	58.2
Accrued liabilities and other current liabilities	69.5	75.7
Current operating lease liabilities	5.6	0
Current maturities of long-term debt	27.6	30.7
Deferred revenues	9.4	10.5
Total current liabilities	191.9	175.1
Long-term debt, net	389.5	364.4
Deferred tax liabilities	0	8.2
Operating lease liabilities	24.1	0
Other long-term liabilities	35.1	32.5
Total liabilities	640.6	580.2
Commitments and contingencies
Redeemable noncontrolling interests	10.8	10.5
Equity:
Preferred stock, $.01 par value: 20,000,000 shares authorized, none issued	0	0
Common stock, $.01 par value: 150,000,000 shares authorized, shares issued and outstanding - 39,056,965 and 38,371,305 at July3, 2020 and September 27, 2019, respectively	0.4	0.4
Additional paid-in capital	427.2	371.8
Accumulated other comprehensive loss	(3.1)	(1.7)
Retained earnings	42.6	74.4
Total Varex equity	467.1	444.9
Noncontrolling interests	3.2	3.3
Total equity	470.3	448.2
Total liabilities, redeemable noncontrolling interests and equity	$ 1,121.7	$ 1,038.9

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / shares	Jul. 03, 2020	Sep. 27, 2019
Statement of Financial Position [Abstract]
Preferred stock, par value (in USD per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	20,000,000	20,000,000
Preferred stock, shares issued (in shares)	0	0
Common stock, par value per share (in USD per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	150,000,000	150,000,000
Common stock, shares, issued (in shares)	39,056,965	38,371,305
Common stock, shares, outstanding (in shares)	39,056,965	38,371,305

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Millions	9 Months Ended
	Jul. 03, 2020	Jun. 28, 2019
Cash flows from operating activities:
Net (loss) earnings	$ (31.2)	$ 7.6
Adjustments to reconcile net (loss) earnings to net cash provided by operating activities:
Share-based compensation expense	10.2	8.7
Depreciation	17.3	18.7
Amortization of intangible assets	13.1	11.4
Deferred taxes	(15.6)	(5.7)
Loss from equity method investments	1.6	0.7
Amortization of deferred loan costs	2.3	1.8
Impairment of intangible assets	5.4	4.8
Inventory write-down	15.8	3.1
Other, net	0.7	1
Changes in assets and liabilities, net of effects of acquisition:
Accounts receivable	31.6	25.1
Inventories	(50.1)	(26.2)
Prepaid expenses and other assets	(7.7)	4.7
Accounts payable	21.7	(4.3)
Accrued liabilities and other current and long-term operating liabilities	11	(0.5)
Deferred revenues	(1.1)	(1.9)
Net cash provided by operating activities	25	49
Cash flows from investing activities:
Purchases of property, plant and equipment	(19.5)	(13.3)
Acquisitions of businesses, net of cash acquired	(1.2)	(69.5)
Investments in privately-held companies	(2.5)	(3.6)
Net cash used in investing activities	(23.2)	(86.4)
Cash flows from financing activities:
Borrowings under credit agreements	91.7	79
Repayments of borrowing under credit agreements	(218)	(65.7)
Proceeds from issuance of convertible debt	200	0
Proceeds from issuance of warrants	49.8	0
Purchases of hedges	(61)	0
Payment of debt issuance costs	(8.5)	(0.5)
Proceeds from exercise of stock options	1.5	0.2
Proceeds from shares issued under employee stock purchase plan	3.6	3.8
Taxes related to net share settlement of equity awards	(1.8)	(2.1)
Other financing activities	(0.6)	0
Net cash provided by financing activities	56.7	14.7
Effects of exchange rate changes on cash and cash equivalents and restricted cash	(1)	(0.7)
Net increase (decrease) in cash and cash equivalents and restricted cash	57.5	(23.4)
Cash and cash equivalents and restricted cash at beginning of period	31.3	53.4
Cash and cash equivalents and restricted cash at end of period	88.8	30
Supplemental cash flow information:
Cash paid for interest	11.6	13.7
Cash paid for income tax	6.8	3.8
Supplemental non-cash activities:
Purchases of property, plant and equipment financed through accounts payable	$ 1.1	$ 0.2

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (Unaudited) - USD ($) $ in Millions	Total	Cumulative Effect, Period of Adoption, Adjustment	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Loss	Retained Earnings	Retained EarningsCumulative Effect, Period of Adoption, Adjustment	Total Varex Equity	Total Varex EquityCumulative Effect, Period of Adoption, Adjustment	Noncontrolling Interests
Common stock, shares, outstanding, beginning balance (in shares) at Sep. 28, 2018			38,000,000
Stockholders' equity, beginning balance at Sep. 28, 2018	$ 428.3	$ (3.5)	$ 0.4	$ 357.6	$ 5.8	$ 62.4	$ (3.5)	$ 426.2	$ (3.5)	$ 2.1
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) earnings	7.2					7.4		7.4		(0.2)
Exercise of stock options	0.1			0.1				0.1
Common stock issued upon vesting of restricted shares (in shares)			200,000
Shares withheld on vesting of restricted stock (in shares)			(100,000)
Shares withheld on vesting of restricted stock	(2.1)			(2.1)				(2.1)
Common stock issued under employee stock purchase plan (in shares)			200,000
Common stock issued under employee stock purchase plan	3.8			3.8				3.8
Share-based compensation	8.7			8.7				8.7
Unrealized loss on interest rate swap contracts, net of tax	(6)				(6)			(6)
Currency translation adjustments	(0.2)				(0.2)			(0.2)
Noncontrolling interest acquired / consolidated	1.4									1.4
Common stock, shares, outstanding, ending balance (in shares) at Jun. 28, 2019			38,300,000
Stockholders' equity, ending balance at Jun. 28, 2019	437.7		$ 0.4	368.1	(0.4)	66.3		434.4		3.3
Common stock, shares, outstanding, beginning balance (in shares) at Mar. 29, 2019			38,200,000
Stockholders' equity, beginning balance at Mar. 29, 2019	435.2		$ 0.4	363.1	2.1	67.7		433.3		1.9
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) earnings	(1.4)					(1.4)		(1.4)
Common stock issued under employee stock purchase plan (in shares)			100,000
Common stock issued under employee stock purchase plan	1.9			1.9				1.9
Share-based compensation	3.1			3.1				3.1
Unrealized loss on interest rate swap contracts, net of tax	(2.3)				(2.3)			(2.3)
Currency translation adjustments	(0.2)				(0.2)			(0.2)
Noncontrolling interest acquired / consolidated	1.4									1.4
Common stock, shares, outstanding, ending balance (in shares) at Jun. 28, 2019			38,300,000
Stockholders' equity, ending balance at Jun. 28, 2019	$ 437.7		$ 0.4	368.1	(0.4)	66.3		434.4		3.3
Common stock, shares, outstanding, beginning balance (in shares) at Sep. 27, 2019	38,371,305		38,400,000
Stockholders' equity, beginning balance at Sep. 27, 2019	$ 448.2	$ (0.3)	$ 0.4	371.8	(1.7)	74.4	$ (0.3)	444.9	$ (0.3)	3.3
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) earnings	$ (31.6)					(31.5)		(31.5)		(0.1)
Exercise of stock options (in shares)	64,000		100,000
Exercise of stock options	$ 1.5			1.5				1.5
Common stock issued upon vesting of restricted shares (in shares)			200,000
Common stock issued upon vesting of restricted shares	0
Shares withheld on vesting of restricted stock (in shares)			(100,000)
Shares withheld on vesting of restricted stock	(1.8)			(1.8)				(1.8)
Common stock issued under employee stock purchase plan (in shares)			200,000
Common stock issued under employee stock purchase plan	3.6			3.6				3.6
Share-based compensation	10.2			10.2				10.2
Unrealized loss on interest rate swap contracts, net of tax	(2)				(2)			(2)
Conversion feature of Convertible Notes, net of issuance costs	46.1			46.1				46.1
Purchase of hedges	(61)			(61)	0			(61)
Issuance of warrants	49.8			49.8				49.8
Currency translation adjustments	0.6				0.6			0.6
Shares issued to settle deferred consideration (in shares)			300,000
Shares issued to settle deferred consideration	7.4			7.4				7.4
Other	$ (0.4)			(0.4)				(0.4)
Common stock, shares, outstanding, ending balance (in shares) at Jul. 03, 2020	39,056,965		39,100,000
Stockholders' equity, ending balance at Jul. 03, 2020	$ 470.3		$ 0.4	427.2	(3.1)	42.6		467.1		3.2
Common stock, shares, outstanding, beginning balance (in shares) at Apr. 03, 2020			38,700,000
Stockholders' equity, beginning balance at Apr. 03, 2020	454.3		$ 0.4	379.5	0.3	70.9		451.1		3.2
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net (loss) earnings	(28.3)					(28.3)		(28.3)
Common stock issued under employee stock purchase plan (in shares)			100,000
Common stock issued under employee stock purchase plan	1.8			1.8				1.8
Share-based compensation	3.7			3.7				3.7
Unrealized loss on interest rate swap contracts, net of tax	0.3				0.3			0.3
Conversion feature of Convertible Notes, net of issuance costs	46.1			46.1				46.1
Purchase of hedges	(61)			(61)				(61)
Issuance of warrants	49.8			49.8				49.8
Currency translation adjustments	(3.7)				(3.7)			(3.7)
Shares issued to settle deferred consideration (in shares)			300,000
Shares issued to settle deferred consideration	7.4			7.4				7.4
Other	$ (0.1)			(0.1)				(0.1)
Common stock, shares, outstanding, ending balance (in shares) at Jul. 03, 2020	39,056,965		39,100,000
Stockholders' equity, ending balance at Jul. 03, 2020	$ 470.3		$ 0.4	$ 427.2	$ (3.1)	$ 42.6		$ 467.1		$ 3.2

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	Jul. 03, 2020
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Description of Business Varex Imaging Corporation (the “Company,” “Varex” or “Varex Imaging”) designs, manufactures, sells and services a broad range of Medical products, which include X-ray imaging components, including X-ray tubes, digital detectors and accessories, high voltage connectors, image processing software and workstations, computer-aided diagnostic software, collimators, automatic exposure control devices, generators, ionization chambers and buckys, for use in a range of applications, including radiographic or fluoroscopic imaging, mammography, computed tomography, oncology and computer-aided detection. The Company sells its products to imaging system original equipment manufacturer (“OEM”) customers for incorporation into new medical diagnostic, radiation therapy, dental, and veterinary imaging systems, to independent service companies, distributors and directly to end-users for replacement purposes. The Company also designs, manufacturers, sells and services industrial products, which include Linatron ® X-ray accelerators, imaging processing software and image detection products for security and inspection purposes, such as cargo screening at ports and borders and nondestructive examination in a variety of applications. The Company generally sells security and inspection products to OEM customers who incorporate Varex’s products into their inspection systems. The Company conducts an active research and development program to focus on new technology and applications in both the medical and industrial X-ray imaging markets. Varex Imaging Corporation was incorporated in Delaware on July 18, 2016 and is listed on the NASDAQ Global Select Market under the ticker “VREX.” Basis of Presentation and Principle of Consolidation The accompanying condensed consolidated financial statements are unaudited. These condensed consolidated financial statements have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) and prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). In the opinion of management, these condensed consolidated financial statements include all adjustments necessary for a fair statement of the results for the interim periods. These condensed consolidated financial statements and the accompanying notes are unaudited and should be read in conjunction with the consolidated financial statements for the fiscal years ended 2019, 2018 and 2017 included in the Company’s Form 10-K, which was filed with the SEC on December 20, 2019. The Company considers events or transactions that occur after the balance sheet date, but before the financial statements are issued, to provide additional evidence relative to certain estimates or to identify matters that require additional disclosures. Except for the change in certain policies upon adoption of the accounting standards described below, there have been no material changes to the Company's significant accounting policies, compared to the accounting policies described in Note 1, Summary of Significant Accounting Policies , in the Company’s Annual Report on Form 10-K for fiscal year 2019. Certain prior period amounts have been reclassified to conform the prior period presentation to the current year. Segment Reporting The Company has two reportable operating segments, Medical and Industrial, which align with how its Chief Executive Officer, who has been identified as the Company's Chief Operating Decision Maker ("CODM"), views and measures the Company’s business performance. See Note 16, Segment Information, for further information on the Company’s segments. Fiscal Year The fiscal years of the Company as reported are the 52 or 53-week period ending on the Friday nearest September 30. Fiscal year 2020 is the 53-week period ending October 2, 2020. Fiscal year 2019 was the 52-week period that ended on September 27, 2019. The fiscal quarters ended July 3, 2020 and June 28, 2019 were 13-week periods. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Such estimates include the valuation of inventories, goodwill and intangible assets, impairment on investments, and taxes on earnings. Actual results could differ from these estimates. Impact of COVID-19 The coronavirus (“COVID-19”) pandemic and the mitigation efforts by governments to attempt to control its spread created uncertainties and disruptions in the economic and financial markets. The extent to which COVID-19 will continue to impact the Company’s business and financial results will depend on numerous evolving factors including, but not limited to: the magnitude and duration of COVID-19, the extent to which it will impact worldwide macroeconomic conditions including interest rates, employment rates, the speed of the anticipated recovery, and governmental and business reactions to the pandemic. During the quarter ended July 3, 2020, as a result of the economic downturn resulting from COVID-19, the Company experienced reduced demand in the Company’s industrial segment and for certain higher end medical products that negatively impacted revenues and gross margin. The Company assessed certain accounting matters that generally require consideration of forecasted financial information in context with the information reasonably available to the Company and the currently estimated future impacts COVID-19 as of July 3, 2020 and through the date of filing this report. The accounting matters assessed included, but were not limited to, the Company’s carrying value of goodwill, intangibles, long-lived assets, equity method investments, inventory and related reserves, and allowance for doubtful accounts. The Company’s future assessment of the magnitude and duration of COVID-19, as well as other factors, could result in material negative impacts to the Company’s consolidated financial statements in future reporting periods. These future developments are highly uncertain and the outcomes can not be estimated with certainty. Actual results may differ from those estimates, and such differences may be material to the financial statements. The Company’s Credit Agreement, as defined in Note 11, Borrowings, contains financial covenants, including certain leverage ratio covenants. The Company was in compliance with all financial covenants as of July 3, 2020. However, the adverse effects of the COVID-19 pandemic on the Company’s financial condition and results of operations are expected to be more persistent and have been more severe than previously estimated in the prior quarter forecasted financial results. Specifically, in conjunction with analyzing the results for the Company’s third quarter, the Company now believes that reduced demand in the Company’s industrial segment and for certain higher end medical products will continue to negatively impact revenues, gross margin and the other items used to calculate the Company’s financial covenants contained in its Credit Agreement. Based on the Company’s current forecasts, it is probable that the Company will be in violation of certain leverage ratio covenants contained in its Credit Agreement within the twelve-month period following the issuance of these financial statements, including as early as the end of the Company's fiscal year end 2020. Failure to comply with the covenants, if not amended or waived, would result in an event of default under the Credit Agreement and the acceleration of the outstanding balance of the loans thereunder. If an event of default under the Credit Agreement occurs, then pursuant to cross default and/or cross acceleration clauses, substantially all of the Company’s other outstanding debt and derivative contract payables would become due, and all debt and derivative contracts could be terminated, which would have a material adverse impact to the Company’s operations and liquidity as the Company currently does not have the financial resources to satisfy such obligations if they were to become due and payable. These events and conditions raise substantial doubt about the Company’s ability to continue as a going concern within the twelve-month period following the issuance of these financial statements. The Company is actively pursuing various options to prevent an event of default from occurring under the Credit Agreement. The Company is implementing actions to improve its financial results and other items used to calculate the financial covenants, such as accelerating the closure of its Santa Clara facility, the previously announced reduction in force, austerity programs related to outside services, and other appropriate actions. The Company is also taking actions to improve cash flow such as working capital reductions and reduced spending for property, plant and equipment, as well as pursuing potential additional fundraising to modify, supplement, or replace its Credit Agreement. While the Company has and continues to take actions to mitigate the risk of an event of default under the Credit Agreement, there is no assurance that it will be successful in doing so. The Company’s unaudited condensed consolidated financial statements have been prepared on a going concern basis and do not reflect any adjustments that might result if the Company is unable to continue as a going concern. Restricted Cash Restricted cash primarily consists of cash collateral related to certain leases and inventory arrangements. Restricted cash is included in other assets on the condensed consolidated balance sheet. Cash and cash equivalents and restricted cash as reported within the condensed consolidated statements of cash flows consisted of the following: Nine Months Ended July 3, 2020 Nine Months Ended June 28, 2019 Beginning of Period End of Period Beginning of Period End of Period Cash and cash equivalents $ 29.9 $ 87.4 $ 51.9 $ 28.5 Restricted cash 1.4 1.4 1.5 1.5 Cash and cash equivalents and restricted cash as reported per statement of cash flows $ 31.3 $ 88.8 $ 53.4 $ 30.0 Concentration of Risk Financial instruments that potentially expose the Company to concentrations of credit risk consist principally of cash, cash equivalents and trade accounts receivable. Cash held with financial institutions may exceed the Federal Deposit Insurance Corporation insurance limits or similar limits in foreign jurisdictions. The Company has not experienced any losses on its deposits of cash and cash equivalents. The Company performs ongoing credit evaluations of its customers and, except for government tenders, group purchases and orders with a letter of credit, its industrial customers often provide a down payment. The Company maintains an allowance for doubtful accounts based on the expected collectability of accounts receivable. The Company obtains some of the components in its products from a limited group of suppliers or from a single-source supplier. The Company has neither experienced nor expects any significant disruptions to its operations due to supplier concentration. Credit is extended to customers based on an evaluation of the customer’s financial condition, and collateral is not required. During the periods presented, one of the Company's Medical segment customers accounted for a significant portion of revenues, as follows: Three Months Ended Nine Months Ended July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Canon Medical Systems Corporation 23.7 % 17.1 % 21.7% 17.5% Canon Medical Systems Corporation accounted for 15.7% and 10.1% of the Company’s accounts receivable as of July 3, 2020 and September 27, 2019, respectively. Investments The Company accounts for its equity investments in privately-held companies under the equity method of accounting if the Company has the ability to exercise significant influence in these investments. Distributions received from an equity method investment are classified using the cumulative earnings approach. Under the cumulative earnings approach, distributions up to the amount of cumulative equity in earnings recognized will be treated as returns on investment as operating cash flows and those in excess of that amount will be treated as returns of investment as investing cash flows. The Company reviews its equity investments in privately-held companies for impairment whenever events or changes in business circumstances are other than temporary and indicate that the carrying amount of the investments may not be fully recoverable. During the three and nine months ended July 3, 2020, the Company wrote off a $2.7 million cost investment in a privately-held company, the related expense is included as part of other expenses, net in the Company's condensed consolidated financial statements. Loss Contingencies From time to time, the Company is a party to or otherwise involved in legal proceedings, claims and government inspections or investigations, customs and duties audits, other contingency matters, both inside and outside the United States, arising in the ordinary course of its business or otherwise. The Company accrues amounts for probable losses, to the extent they can be reasonably estimated, that it believes are adequate to address any liabilities related to legal proceedings and other loss contingencies that the Company believes will result in a probable loss (including, among other things, probable settlement value). A loss or a range of loss is disclosed when it is reasonably possible that a material loss will be incurred and can be estimated or when it is reasonably possible that the amount of a loss, when material, will exceed the recorded provision. Product Warranty The Company warrants most of its products for a specific period of time, usually 12 to 24 months from delivery or acceptance, against material defects. The Company provides for the estimated future costs of warranty obligations in cost of revenues when the related revenues are recognized. The accrued warranty costs represent the best estimate at the time of sale of the total costs that the Company will incur to repair or replace product parts that fail while still under warranty. The amount of the accrued estimated warranty costs obligation for established products is primarily based on historical experience as to product failures adjusted for current information on repair costs. For new products, the Company bases warranty estimates on historical experience for similar products and adds a reasonable allowance for warranty expenses associated with new products. On a quarterly basis, the Company reviews the accrued warranty costs and updates the historical warranty cost trends, if required. The following table reflects the changes in the Company’s accrued product warranty: Nine Months Ended (In millions) July 3, 2020 June 28, 2019 Accrued product warranty, at beginning of period $ 8.1 $ 7.3 Charged to cost of revenues 9.7 9.8 Product warranty expenditures (9.7) (9.2) Accrued product warranty, at end of period $ 8.1 $ 7.9 Leases The Company determines if an arrangement is or contains a lease at the inception of an arrangement. The Company's operating lease right-of-use ("ROU") assets represent the right to use an underlying asset over the lease term and lease liabilities represent its obligation to make lease payments arising from the lease. ROU assets may also include initial direct costs incurred and prepaid lease payments, less lease incentives. Lease liabilities and their corresponding ROU assets are recognized based on the present value of lease payments over the lease term, discounted using the Company's incremental borrowing rate ("IBR"). The Company recognizes operating leases with lease terms of more than twelve months in operating lease assets, current operating lease liabilities, and operating lease liabilities on its condensed consolidated balance sheets. The Company recognizes finance leases with lease terms of more than twelve months in property, plant, and equipment, net, accrued liabilities and other current liabilities, and other long-term liabilities on its condensed consolidated balance sheets. For purposes of calculating lease liabilities and the corresponding ROU assets, the Company's lease term may include options to extend or terminate the lease when it is reasonably certain that it will exercise that option. Recently Adopted Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (the "FASB") issued Accounting Standards Update ("ASU") No. 2016-02 Upon transition, the Company applied the package of practical expedients permitted under ASC 842 transition guidance to its entire lease portfolio at September 28, 2019. As a result, the Company was not required to reassess (i) whether any expired or existing contracts are or contain leases, (ii) the classification of any expired or existing leases, and (iii) initial direct costs for any existing leases. Also, the Company applied the hindsight practical expedient. Furthermore, as a lessee the Company elected to combine lease and non-lease components for the majority of its leases, which means that the Company accounted for each separate lease component and the non-lease components associated with that lease component as a single lease component. The only asset class that did not combine lease and non-lease components were vehicle leases. The most significant impact of the standards for the Company relate to the recognition of the right-of-use assets and lease liabilities for the operating leases in the balance sheet. Upon adoption of the new lease standard, the Company recognized operating lease right-of-use assets and finance lease right-of-use assets of $26.8 million and $0.6 million, respectively, and corresponding operating lease liabilities and finance lease liabilities of $27.5 million and $0.6 million, respectively. This includes the recording of the Company’s existing capital leases as finance leases at transition. The cumulative impact of adoption was a $0.3 million decrease to retained earnings. Refer to Note 3, Leases, for a detailed description of the impact of adopting this standard and its impact on the consolidated financial statements and related disclosures. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income , which provides the option to reclassify certain income tax effects related to the Tax Cuts and Jobs Act passed in December of 2017 between accumulated other comprehensive income and retained earnings and also requires additional disclosures. The amendments in this ASU are effective for all entities for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Effective September 28, 2019, the Company adopted ASU 2018-02 and it did not have a material effect on the Company’s financial statements and related disclosures. In January 2017, the FASB issued ASU 2017-04, Intan gibles - Goodwill and Other, Simplifying the Test for Goodwill Impairment , which simplified the testing required for the impairment of goodwill by removing Step 2 from the goodwill impairment test. Step 2 of the goodwill impairment test measures a goodwill impairment loss by comparing the implied fair value of a reporting units goodwill with the carrying amount of that goodwill. ASU 2017-04 allows an entity to measure the impairment based off Step 1 of the impairment test, which calculates the impairment as the difference between the carrying amount of the reporting unit and its fair value. Adoption of this ASU was required for the Company in the first quarter of fiscal year 2021. The Company elected to early adopt this standard effective April 4, 2020. This adoption was made on a prospective basis, as required by the standard. Recent Accounting Standards or Updates Not Yet Effective In March 2020, the FASB issued ASU 2020-04 to provide optional guidance for a limited period of time to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting. The Company is currently evaluating the impact from the replacement of the London Interbank Offered Rate (LIBOR) and whether the Company will elect the adoption of the optional guidance. In December 2019, the FASB issued ASU 2019-12 which simplifies the accounting for income taxes by removing certain exceptions to the current guidance, and improving the consistent application of and simplification of other areas of the guidance. The standard is effective for the Company beginning in the first quarter of fiscal year 2022. Early adoption is permitted. The Company is evaluating the impact of adopting this guidance to its condensed consolidated financial statements. In June 2016, the FASB issued ASU 2016-13, "Measurement of Credit Losses on Financial Instruments." This ASU replaces the incurred loss impairment methodology with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. In addition, the ASU requires new disclosures. This standard will be effective for the Company's interim and annual periods beginning with the first quarter of fiscal 2021 and must be applied on a modified retrospective basis. The Company is evaluating the potential impact of this standard to its condensed consolidated financial statements.

REVENUE RECOGNITION

REVENUE RECOGNITION	9 Months Ended
REVENUE RECOGNITION	Jul. 03, 2020
Revenue from Contract with Customer [Abstract]
REVENUE RECOGNITION	REVENUE RECOGNITION The Company’s revenues are derived primarily from the sale of hardware and services. The Company recognizes its revenues net of any value-added or sales tax and net of sales discounts. The Company accounts for revenue in accordance with ASC Topic 606, Revenue from Contracts with Customers . The Company sells a high proportion of its X-ray products to a limited number of OEM customers. X-ray tubes, digital detectors and image-processing tools and security and inspection products are generally sold on a stand-alone basis. However, the Company occasionally sells its digital detectors, X-ray tubes and imaging processing tools as a package that is optimized for digital X-ray imaging and sells its Linatron ® X-ray accelerators together with its imaging processing software and image detection products to OEM customers that incorporate them into their inspection systems. Service contracts are often sold with certain security and inspection products and computer-aided detection products. Transaction price and allocation to performance obligations Transaction prices of products or services are typically based on contracted rates. To the extent that the transaction price includes variable consideration, the Company estimates the amount of variable consideration that should be included in the transaction price utilizing the expected value method when there is a large number of transactions with similar characteristics or the most likely amount method when there are two possible outcomes, depending on the circumstances of the transaction, to which the Company expects to be entitled. Variable consideration is included in the transaction price if, in the Company’s judgment, it is probable that a significant future reversal of cumulative revenue under the contract will not occur. Estimates of variable consideration and determination of whether to include estimated amounts in the transaction price are based largely on an assessment of the Company’s anticipated performance and all information (historical, current and forecasted) that is reasonably available. The Company allows customers to return specific parts of purchased X-ray tubes for a partial refund credit, which is identified as variable consideration. ASC 606-10-55-23 requires that for sales with a right of return, revenue is reduced for expected returns, a liability is recorded for expected returns, and an asset is recorded for the right to recover products from customers on settling the liability. The Company recognizes a reduction to revenue and cost of sales at the time of sale and a corresponding contract liability and contract asset. The Company records this estimate based on the historical volume of product returns and adjusts the estimate on a quarterly basis based on the current quarter sales and current quarter returns. If a contract contains a single performance obligation, the entire transaction price is allocated to the single performance obligation. Contracts that contain multiple performance obligations require an allocation of the transaction price based on the estimated relative standalone selling prices of the promised products or services underlying each performance obligation. The Company determines standalone selling prices based on the price at which the performance obligation is sold separately. Contracts and performance obligations The Company accounts for a contract with a customer when there is an approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance and collectability of the consideration is probable. The Company's performance obligations consist mainly of transferring control of products and services identified in the contracts or purchase orders. For each contract, the Company considers the obligation to transfer products and services to the customer, which are distinct, to be performance obligations. Revenue recognition Revenue is recognized when, or as, obligations under the terms of a contract are satisfied, which occurs when control of the promised products or services is transferred to customers. Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring products or services to a customer. Product revenue is generally recognized when the customer obtains control of the Company’s product, which occurs at a point in time, and may be upon shipment or upon delivery based on the contractual shipping terms of a contract. Service revenue is generally recognized over time as the services are rendered to the customer based on the extent of progress towards completion of the performance obligation. The Company recognizes service revenue over the term of the service contract. Services are expected to be transferred to the customer throughout the term of the contract and the Company believes recognizing revenue ratably over the term of the contract best depicts the transfer of value to the customer. Disaggregation of Revenue Revenue is disaggregated from contracts between geography and by reportable operating segment, which the Company believes best depicts how the nature, amount, timing, and uncertainty of revenues and cash flows are affected by economic factors. The following table disaggregates the Company’s revenue by geographic region: Three Months Ended Nine Months Ended (In millions) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Americas $ 58.7 $ 73.8 $ 191.5 $ 216.4 EMEA 46.8 67.3 176.0 198.0 APAC 65.7 55.6 200.8 163.8 $ 171.2 $ 196.7 $ 568.3 $ 578.2 Revenue in the United States of America was $56.9 million and $71.4 million for the three months ended July 3, 2020 and June 28, 2019, respectively. Revenue in the United States of America was $185.6 million and $210.8 million for the nine months ended July 3, 2020 and June 28, 2019, respectively. Refer to Note 16, Segment Information , for the disaggregation of the Company’s revenue based on reportable operating segments. Contract Balances Contract assets are included within the prepaid expenses and other current assets, and other assets balances. Contract liabilities, which also include refund obligations are included within the accrued liabilities and other current liabilities, deferred revenues, and other long-term liabilities balances. The following table summarizes the changes in the contract assets and refund liabilities for the nine months ended July 3, 2020: (In millions) Contract Assets Balance at September 27, 2019 $ 23.7 Costs recovered from product returns during the period (4.3) Contract asset from shipments of products, subject to return during the period 5.2 Balance at July 3, 2020 $ 24.6 (In millions) Refund Liabilities Balance at September 27, 2019 $ 26.4 Release of refund liability included in beginning of year refund liability (4.8) Additions to refund liabilities 5.7 Balance at July 3, 2020 $ 27.3 During the three and nine months ended July 3, 2020, the Company recognized revenue of $0.5 million and $7.8 million respectively, related to contract liabilities which existed at September 27, 2019. During the three and nine months ended June 28, 2019, the Company recognized revenue of $0.7 million and $8.9 million respectively, related to contract liabilities which existed at September 28, 2018. Remaining Performance Obligations Remaining performance obligations represent the transaction price of firm orders for which revenue has not yet been recognized. As of July 3, 2020, total remaining performance obligations amounted to $235.7 million. The Company expects to recognize the remaining performance obligations over the next 12 months. Costs to Obtain or Fulfill a Customer Contract The Company has certain costs to obtain and fulfill a customer contract, such as commissions and shipping costs. The Company recognizes the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets that the Company otherwise would have recognized is one year or less. Incremental costs of obtaining contracts that would be recognized over greater than one year are not material. The Company accounts for shipping and handling activities related to contracts with customers as costs to fulfill the promise to transfer the associated products. These costs are included as a component of cost of revenues.

LEASES

LEASES	9 Months Ended
LEASES	Jul. 03, 2020
Leases [Abstract]
LEASES	LEASES On September 28, 2019, the Company adopted a new accounting standard that amends the guidance for the accounting and reporting of leases. The determination of whether an arrangement is, or contains, a lease is performed at the inception of the arrangement. The Company has operating and finance leases for office space, warehouse and manufacturing space, vehicles and certain equipment. The Company's lease agreements do not contain any material residual value guarantees, variable lease costs, bargain purchase options or restrictive covenants. The Company does not have any lease transactions with related parties. Leases with an initial term of 12 months or less are generally not recorded on the balance sheet and expense for these leases is recognized on a straight-line basis over the lease term. The Company's leases have remaining lease terms of one year to approximately seven years, some of which may include options to extend the leases for up to six years and some include options to terminate early. These options have been included in the determination of the lease liability when it is reasonably certain that the option will be exercised. Right-of-use assets represent the Company's right to use an underlying asset for the lease term and lease liabilities represent the Company's obligation to make lease payments arising from the lease contract. Operating lease liabilities and their corresponding right-of-use assets are recorded based on the present value of fixed lease payments over the expected lease term. The interest rate implicit in lease contracts is typically not readily determinable. As such, our incremental borrowing rate is based on a credit-adjusted risk-free rate, which best approximates a secured rate over a similar term of lease. The following table presents supplemental balance sheet information related to the Company's operating and finance leases: July 3, 2020 (In millions) Balance Sheet Location Operating Leases Finance Leases Assets Operating lease right-of-use assets Operating lease assets $ 29.6 $ — Finance lease right-of-use assets Property, plant and equipment, net $ — $ 0.6 Liabilities Operating lease liabilities (current) Current operating lease liabilities $ 5.6 $ — Finance lease liabilities (current) Accrued liabilities and other current liabilities $ — $ 0.2 Operating lease liabilities (non-current) Operating lease liabilities $ 24.1 $ — Finance lease liabilities (non-current) Other long-term liabilities $ — $ 0.4 The following table presents the weighted average remaining lease term and discount rate information related to the Company's operating and finance leases: July 3, 2020 Operating Leases Finance Leases Weighted average remaining lease term (in years) 6.7 3.4 Weighted average discount rate 4.7 % 4.1 % The following table provides information related to the Company’s operating and finance leases: (In millions) Three Months Ended July 3, 2020 Nine Months Ended July 3, 2020 Total operating lease costs (a) $ 2.0 $ 6.0 Total finance lease costs $ 0.1 $ 0.2 Operating cash flows from operating leases $ 1.8 $ 5.9 Financing cash flows from finance leases 0.1 0.1 Total cash paid for amounts included in the measurement of lease liabilities $ 1.9 $ 6.0 Noncash operating right-of-use assets obtained in exchange for new lease liabilities (b) $ 0.3 $ 10.6 Noncash finance right-of-use assets obtained in exchange for new lease liabilities (b) — 0.2 Total right-of-use assets obtained in exchange for new lease liabilities (b) $ 0.3 $ 10.8 (a) Includes variable and short-term lease expense, which were immaterial for the three and nine months ended July 3, 2020. (b) Excludes the impact of adopting the new leases standard in the first quarter of 2020. For the three and nine months ended June 28, 2019 the Company's lease expense was $1.2 million and $3.8 million, respectively. As of July 3, 2020, maturities of operating lease and finance lease liabilities for each of the following five years and a total thereafter were as follows: (In millions) Fiscal years: Operating Leases Finance Leases 2020 remaining $ 1.7 $ 0.1 2021 6.9 0.2 2022 6.5 0.1 2023 4.2 0.1 2024 3.6 0.1 Thereafter 12.4 — Total future lease payments $ 35.3 $ 0.6 Less: imputed interest (5.6) — Present value of lease liabilities $ 29.7 $ 0.6 At September 27, 2019, the Company was committed to minimum rentals under non-cancelable operating leases (including rent escalation clauses) for fiscal years 2020 through 2024 and therea fter, as follows: $7.5 million, $5.4 million, $4.7 million, $1.8 million, $0.9 million, and $0.2 million, respectively. During the second and third quarters of 2020, the Company identified offsetting errors related to the adoption of ASC 842, which was adopted as of September 28, 2019, and recorded first quarter adjustments of $0.3 million to the lease right-of-use asset balance and $0.8 million to the lease liability balance, which reduced these balances and also recorded an adjustment of $0.3 million to increase retained earnings. There was no material impact to the income statement for this correction. We evaluated the materiality of this error on our current quarter and prior quarter consolidated financial statements and have concluded that this error was not material when considering both qualitative and quantitative factors.
LEASES	LEASES On September 28, 2019, the Company adopted a new accounting standard that amends the guidance for the accounting and reporting of leases. The determination of whether an arrangement is, or contains, a lease is performed at the inception of the arrangement. The Company has operating and finance leases for office space, warehouse and manufacturing space, vehicles and certain equipment. The Company's lease agreements do not contain any material residual value guarantees, variable lease costs, bargain purchase options or restrictive covenants. The Company does not have any lease transactions with related parties. Leases with an initial term of 12 months or less are generally not recorded on the balance sheet and expense for these leases is recognized on a straight-line basis over the lease term. The Company's leases have remaining lease terms of one year to approximately seven years, some of which may include options to extend the leases for up to six years and some include options to terminate early. These options have been included in the determination of the lease liability when it is reasonably certain that the option will be exercised. Right-of-use assets represent the Company's right to use an underlying asset for the lease term and lease liabilities represent the Company's obligation to make lease payments arising from the lease contract. Operating lease liabilities and their corresponding right-of-use assets are recorded based on the present value of fixed lease payments over the expected lease term. The interest rate implicit in lease contracts is typically not readily determinable. As such, our incremental borrowing rate is based on a credit-adjusted risk-free rate, which best approximates a secured rate over a similar term of lease. The following table presents supplemental balance sheet information related to the Company's operating and finance leases: July 3, 2020 (In millions) Balance Sheet Location Operating Leases Finance Leases Assets Operating lease right-of-use assets Operating lease assets $ 29.6 $ — Finance lease right-of-use assets Property, plant and equipment, net $ — $ 0.6 Liabilities Operating lease liabilities (current) Current operating lease liabilities $ 5.6 $ — Finance lease liabilities (current) Accrued liabilities and other current liabilities $ — $ 0.2 Operating lease liabilities (non-current) Operating lease liabilities $ 24.1 $ — Finance lease liabilities (non-current) Other long-term liabilities $ — $ 0.4 The following table presents the weighted average remaining lease term and discount rate information related to the Company's operating and finance leases: July 3, 2020 Operating Leases Finance Leases Weighted average remaining lease term (in years) 6.7 3.4 Weighted average discount rate 4.7 % 4.1 % The following table provides information related to the Company’s operating and finance leases: (In millions) Three Months Ended July 3, 2020 Nine Months Ended July 3, 2020 Total operating lease costs (a) $ 2.0 $ 6.0 Total finance lease costs $ 0.1 $ 0.2 Operating cash flows from operating leases $ 1.8 $ 5.9 Financing cash flows from finance leases 0.1 0.1 Total cash paid for amounts included in the measurement of lease liabilities $ 1.9 $ 6.0 Noncash operating right-of-use assets obtained in exchange for new lease liabilities (b) $ 0.3 $ 10.6 Noncash finance right-of-use assets obtained in exchange for new lease liabilities (b) — 0.2 Total right-of-use assets obtained in exchange for new lease liabilities (b) $ 0.3 $ 10.8 (a) Includes variable and short-term lease expense, which were immaterial for the three and nine months ended July 3, 2020. (b) Excludes the impact of adopting the new leases standard in the first quarter of 2020. For the three and nine months ended June 28, 2019 the Company's lease expense was $1.2 million and $3.8 million, respectively. As of July 3, 2020, maturities of operating lease and finance lease liabilities for each of the following five years and a total thereafter were as follows: (In millions) Fiscal years: Operating Leases Finance Leases 2020 remaining $ 1.7 $ 0.1 2021 6.9 0.2 2022 6.5 0.1 2023 4.2 0.1 2024 3.6 0.1 Thereafter 12.4 — Total future lease payments $ 35.3 $ 0.6 Less: imputed interest (5.6) — Present value of lease liabilities $ 29.7 $ 0.6 At September 27, 2019, the Company was committed to minimum rentals under non-cancelable operating leases (including rent escalation clauses) for fiscal years 2020 through 2024 and therea fter, as follows: $7.5 million, $5.4 million, $4.7 million, $1.8 million, $0.9 million, and $0.2 million, respectively. During the second and third quarters of 2020, the Company identified offsetting errors related to the adoption of ASC 842, which was adopted as of September 28, 2019, and recorded first quarter adjustments of $0.3 million to the lease right-of-use asset balance and $0.8 million to the lease liability balance, which reduced these balances and also recorded an adjustment of $0.3 million to increase retained earnings. There was no material impact to the income statement for this correction. We evaluated the materiality of this error on our current quarter and prior quarter consolidated financial statements and have concluded that this error was not material when considering both qualitative and quantitative factors.

BUSINESS COMBINATIONS

BUSINESS COMBINATIONS	9 Months Ended
BUSINESS COMBINATIONS	Jul. 03, 2020
Business Combinations [Abstract]
BUSINESS COMBINATIONS	BUSINESS COMBINATIONS During April 2019, Varex completed the acquisition of approximately 98.2% of the outstanding shares of common stock of Direct Conversion AB (publ) (“Direct Conversion”) for $69.5 million in cash, net of cash acquired, the assumption of Direct Conversion's debt of $4.5 million and deferred consideration equal to $9.9 million or 0.3 million shares of the Company’s common stock. To settle the deferred consideration, in April 2020, the Company issued the 0.3 million shares of its common stock to certain shareholders of Direct Conversion. In issuing the shares, the Company relied on the exemptions from registration under Section 4(a)(2) of the Securities Act of 1933 (the “Securities Act”), Rule 506 of Regulation D, and/or Regulation S promulgated under the Securities Act. The acquisition of Direct Conversion expands our detector product portfolio to include photon counting technology. This technology will allow Varex to expand its range of imaging applications and offer new solutions to both Medical and Industrial customers. The following table summarizes the purchase price allocation: (In millions) Fair Value Allocation of the purchase consideration: Accounts receivable $ 2.4 Inventories 5.7 Prepaid expenses and other current assets 0.7 Property, plant, and equipment 0.9 Goodwill 47.2 Intangible assets 32.9 Total assets acquired $ 89.8 Accounts payable $ (1.0) Accrued liabilities and other current liabilities (1.5) Current maturities of long-term debt (1.0) Deferred revenues (0.9) Long-term debt (3.5) Other long-term liabilities (1.1) Total liabilities assumed $ (9.0) Noncontrolling interest $ (1.4) Net assets acquired, less noncontrolling interest $ 79.4 Net cash paid $ 69.5 Deferred consideration 9.9 Total consideration $ 79.4 The Company recorded the assets acquired and liabilities assumed at their fair values. Intangibles were valued primarily using a discounted cash flow, which included estimated revenue growth and discount rate. The fair value assigned to goodwill is primarily attributable to expected synergies. The goodwill related to the Direct Conversion acquisition is not tax deductible. The following amounts represent the determination of the fair value and estimated weighted average useful lives of identifiable intangible assets for the Direct Conversion, which are amortized using the straight-line method: (In millions) Fair Value Estimated Weighted Average Backlog $ 0.2 1 Trade names 2.5 5 Developed technology 18.4 10 In-process research and development 2.8 indefinite Customer relationships 9.0 10 Total intangible assets acquired $ 32.9 During the third quarter of 2020 the in-process research and development assets from the Direct Conversion acquisition were determined to be impaired. Refer to Note 10, Goodwill and Intangible Assets, for more information.

RELATED-PARTY TRANSACTIONS

RELATED-PARTY TRANSACTIONS	9 Months Ended
RELATED-PARTY TRANSACTIONS	Jul. 03, 2020
Related Party Transactions [Abstract]
RELATED-PARTY TRANSACTIONS	RELATED PARTY TRANSACTIONS Investment in Privately-Held Companies The Company has a 40% ownership interest in dpiX Holding LLC (“dpiX Holding”), a four-member consortium that has a 100% ownership interest in dpiX LLC (“dpiX”), a supplier of amorphous silicon based thin film transistor arrays for digital flat panel image detectors. In accordance with the dpiX Holding operating agreement, net profits or losses are allocated to the members in accordance with their ownership interests. The investment in dpiX Holding is accounted for under the equity method of accounting. When the Company recognizes its share of net profits or losses of dpiX Holding, profits or losses in inventory purchased from dpiX are eliminated. During the three months ended July 3, 2020 and June 28, 2019, the Company recorded (loss)/income on the equity investment in dpiX Holding of $(0.5) million and $0.4 million, respectively. During the nine months ended July 3, 2020 and June 28, 2019, the Company recorded loss on the equity investment in dpiX Holding of $(0.4) million and $(0.3) million, respectively. Income and loss on the equity investment in dpiX Holding is included in other expense, net in the condensed consolidated statements of operations. The carrying value of the equity investment in dpiX Holding was $46.8 million and $48.1 million at July 3, 2020 and September 27, 2019, respectively. During the three months ended July 3, 2020 and June 28, 2019, the Company purchased glass transistor arrays from dpiX totaling $4.9 million and $5.5 million, respectively. During the nine months ended July 3, 2020 and June 28, 2019, the Company purchased glass transistor arrays from dpiX totaling $15.8 million and $16.7 million, respectively. These purchases of glass transistor arrays are included as a component of inventories on the condensed consolidated balance sheets or cost of revenues in the condensed consolidated statements of operations. As of July 3, 2020, and September 27, 2019, the Company had accounts payable to dpiX totaling $3.7 million and $3.6 million, respectively. In October 2013, the Company entered into an amended agreement with dpiX and other parties that, among other things, provides the Company with the right to 50% of dpiX’s total manufacturing capacity produced after January 1, 2014. In addition the amended agreement requires the Company to pay for 50% of the fixed costs (as defined in the amended agreement), as determined at the beginning of each calendar year. In January 2020, the fixed cost commitment was determined and approved by the dpiX board of directors to be $12.7 million for calendar year 2020. As of July 3, 2020, the Company had $6.4 million fixed cost commitments related to this agreement remaining for calendar year 2020. The amended agreement will continue unless the ownership structure of dpiX changes as provided in the amended agreement. The Company has determined that dpiX is a variable interest entity because at-risk equity holders, as a group, lack the characteristics of a controlling financial interest. Majority votes are required to direct the manufacturing activities, legal operations and other activities that most significantly affect dpiX’s economic performance. The Company does not have majority voting rights and no power to direct the activities of dpiX and therefore is not the primary beneficiary of dpiX. The Company’s exposure to loss as a result of its involvement with dpiX is limited to the carrying value of the Company’s investment of $46.8 million and fixed cost commitments. In November 2018, the Company and CETTEEN GmbH (“CETTEEN”), formed a German limited liability company that governs the affairs and conduct of the business of VEC Imaging Verwaltungsgesellschaft GmbH (“VEC”), a joint venture formed to develop technology for use in X-ray imaging components. In accordance with the VEC agreement, net profits or losses are allocated to the members in accordance with their ownership interest. The Company's investment in VEC is accounted for under the equity method. As of July 3, 2020, the Company has made contributions totaling $4.0 million, and has committed to contribute an additional $1.1 million as milestones are achieved, and to provide certain full-time employees to support prototyping and manufacturing activities in exchange for a 50% interest in VEC. CETTEEN made contributions of certain assets including intellectual property in exchange for a 50% interest in VEC. The Company's investment in VEC was $2.6 million and $2.0 million at July 3, 2020 and September 27, 2019, respectively.

RESTRUCTURING

RESTRUCTURING	9 Months Ended
RESTRUCTURING	Jul. 03, 2020
Restructuring and Related Activities [Abstract]
RESTRUCTURING	RESTRUCTURING In July 2018, the Company committed to a plan to relocate the production of amorphous silicon glass for digital detectors, from its Santa Clara facility, to the jointly owned dpiX fabrication facility in Colorado. In July 2019, the Company committed to close its Santa Clara facility and to relocate the remaining production to its other existing facilities. The Company expects operations at the Santa Clara facility to cease by the end of September 2020 and all activities related to the closure of the facility to be complete by the end of December 2020. In connection with the relocation of the glass production and site closure the Company recorded $1.5 million and $0.0 million of restructuring charges for the three months ended July 3, 2020 and June 28, 2019, respectively and $4.0 million and $6.0 million of restructuring charges for the nine months ended July 3, 2020 and June 28, 2019, respectively. The Company expects to incur an additional $4.0 million to $8.0 million of restructuring charges through December 2020. Cash outflows associated with these restructuring charges are limited to employee termination expenses, facility closure and equipment sales and disposals. Below is a detail of restructuring charges incurred during the three and nine months ended July 3, 2020 and June 28, 2019, respectively, which predominantly relate to the Company's Medical segment: Three Months Ended Nine Months Ended (In millions) Location of Restructuring Charges in Consolidated Statements of Operations July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Accelerated depreciation Cost of revenues $ 0.9 $ — $ 2.1 $ 4.2 Severance costs Selling, general and administrative 0.6 — 1.9 1.8 Total restructuring charges $ 1.5 $ 0.0 $ 4.0 $ 6.0

FINANCIAL DERIVATIVES AND HEDGI

FINANCIAL DERIVATIVES AND HEDGING ACTIVITIES	9 Months Ended
FINANCIAL DERIVATIVES AND HEDGING ACTIVITIES	Jul. 03, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
FINANCIAL DERIVATIVES AND HEDGING ACTIVITIES	FINANCIAL DERIVATIVES AND HEDGING ACTIVITIES As part of the Company’s overall risk management practices, the Company enters into financial derivatives to manage its financial exposures to foreign currency exchange rates and interest rates. The Company records all derivatives on the consolidated balance sheets at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting, and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. A qualitative assessment of hedge effectiveness is performed on a quarterly basis, unless facts and circumstances indicate the hedge may no longer be highly effective. The changes in fair value for all trades that are not designated for hedge accounting are recognized in current period earnings. The Company does not offset fair value amounts recognized for derivative instruments in its consolidated balance sheets for presentation purposes. Credit risk related to derivative transactions reflects the risk that a party to the transaction could fail to meet its obligation under the derivative contracts. Therefore, the Company’s exposure to the counterparty’s credit risk is generally limited to the amounts, if any, by which the counterparty’s obligations to the Company exceed the Company’s obligations to the counterparty. The Company’s policy is to enter into contracts only with financial institutions which meet certain minimum credit ratings to help mitigate counterparty credit risk. Derivatives Designated as Hedging Instruments - Cash Flow Hedges The Company uses interest rate swap contracts as cash flow hedges to manage its exposure to fluctuations in LIBOR interest rates. Interest rate swap contracts hedging variable rate debt effectively fix the LIBOR component of its interest rate for a specific period of time. As of July 3, 2020, the Company had the following outstanding derivatives designated as hedging instruments: (In millions, except for number of instruments) Number of Instruments Notional Value Interest Rate Swap Contracts 6 $ 241.9 The following table summarizes the amount of pre-tax earnings recognized from derivative instruments for the periods indicated and the line items in the accompanying statements of operations where the results are recorded for cash flow hedges: Amount of Gain (Loss) Recognized in OCI on Derivative Location of Gain or (Loss) Reclassified from Accumulated OCI into Income Amount of Gain (Loss) Reclassified from Accumulated OCI into Income (In millions) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Interest Rate Swap Contracts $ (0.3) $ (2.4) Interest expense $ (0.7) $ 0.5 Amount of Gain (Loss) Recognized in OCI on Derivative Location of Gain or (Loss) Reclassified from Accumulated OCI into Income Amount of Gain (Loss) Reclassified from Accumulated OCI into Income (In millions) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Interest Rate Swap Contracts $ (3.3) $ (6.1) Interest expense $ (0.6) $ 1.6 The Company expects that approximately $3.2 million of the accumulated other comprehensive loss related to cash flow hedges will be realized in pre-tax earnings over the next 12 months, but the amount will vary depending on interest rates. These derivative instruments are subject to master netting agreements giving effect to rights of offset with each counterparty. The following table summarizes the fair values of derivative instruments as of the periods indicated and the line items in the accompanying consolidated balance sheets where the instruments are recorded: (In millions) Derivative Assets and Liabilities Derivatives designated as cash flow hedges Balance sheet location July 3, 2020 September 27, 2019 Interest rate swap contracts Accrued liabilities and other current liabilities $ (3.2) $ — Interest rate swap contracts Other long-term liabilities — (0.5) $ (3.2) $ (0.5) Derivatives Designated as Hedging Instruments - Net Investment Hedges The Company uses cross currency swap contracts as net investment hedges to manage its risk of variability in foreign currency-denominated net investments in wholly owned international operations. All changes in fair value of the derivatives designated as net investment hedges are reported in accumulated other comprehensive (loss) income along with the foreign currency translation adjustments on those investments. As of July 3, 2020, the Company had the following outstanding derivatives designated as net investment hedging instruments: (In millions, except for number of instruments) Number of Instruments Notional Value Cross Currency Swap Contracts 4 $ 77.7 The following table summarizes the amount of pre-tax earnings recognized from derivative instruments for the periods indicated and the line items in the accompanying statements of operations where the results are recorded for net investment hedges: Amount of Gain (Loss) Recognized in OCI on Derivative Location of Gain or (Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) Amount of Gain or (Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) (In millions) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Cross Currency Swap Contracts $ (2.2) $ — Interest expense $ 0.4 $ — Amount of Gain (Loss) Recognized in OCI on Derivative Location of Gain or (Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) Amount of Gain or (Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) (In millions) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Cross Currency Swap Contracts $ 2.1 $ — Interest expense $ 1.1 $ — These derivative instruments are subject to master netting agreements giving effect to rights of offset with each counterparty. None of the balances were eligible for netting. The following table summarizes the gross fair values of derivative instruments as of the periods indicated and the line items in the accompanying consolidated balance sheets where the instruments are recorded: (In millions) Derivative Assets and Liabilities Derivatives designated as net investment hedges Balance sheet location July 3, 2020 September 27, 2019 Cross Currency Swap Contracts Other current assets $ 1.5 $ — Cross Currency Swap Contracts Other non-current assets 0.6 — $ 2.1 $ — Balance Sheet Hedges The Company’s foreign currency management objective is to mitigate the potential impact of currency fluctuations on the value of its U.S. dollar cash flows and to reduce the variability of certain cash flows at the subsidiary level. These forward contracts are not designated for hedge accounting treatment, therefore, the change in fair value of these derivatives is recorded as a component of other income (expense) and offsets the change in fair value of the foreign currency denominated assets and liabilities, which are also recorded in other income (expense). The Company does not and does not intend to use derivative financial instruments for speculative or trading purposes. The following table shows the notional amounts of outstanding foreign currency contracts as of July 3, 2020: Notional Value of Derivatives not Designated as Hedging Instruments: (In millions) Buy contracts Sell contract Japanese yen $ 1.5 $ — Swiss franc — (1.0) Chinese renminbi 2.8 — Euro — (6.8) $ 4.3 $ (7.8)

FAIR VALUE

FAIR VALUE	9 Months Ended
FAIR VALUE	Jul. 03, 2020
Fair Value Disclosures [Abstract]
FAIR VALUE	FAIR VALUE Assets/Liabilities Measured at Fair Value on a Recurring Basis In the tables below, the Company has segregated all assets and liabilities that are measured at fair value on a recurring basis into the most appropriate level within the fair value hierarchy based on the inputs used to determine the fair value at the measurement date. Fair Value Measurements at July 3, 2020 (In millions) Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets: Cash equivalents - Money market funds $ — $ 10.0 $ — $ 10.0 Derivative assets — 1.9 — 1.9 Total assets measured at fair value $ — $ 11.9 $ — $ 11.9 Liabilities: Derivative liabilities — 3.2 — 3.2 Total liabilities measured at fair value $ — $ 3.2 $ — $ 3.2 As of July 3, 2020, the outstanding borrowings under the Company's Credit Agreement were $260.5 million, net of deferred loan costs, which approximated its fair value. The fair values of certain of the Company’s financial instruments, including bank deposits included in cash and cash equivalents, accounts receivable and accounts payable, also approximate their fair values due to their short maturities. As of July 3, 2020, the fair value of the Company's Convertible Notes, as defined in Note 11, Borrowings, was $193.3 million. The Company has elected to use the income approach to value its derivative instruments using standard valuation techniques and Level 2 inputs, such as currency spot rates, forward points and credit default swap spreads. There were no financial assets or liabilities measured on a recurring basis using significant unobservable inputs (Level 3) and there were no transfers in or out of Level 1, 2 or 3 during the nine months ended July 3, 2020. At September 27, 2019, the Company determined the following levels of inputs at fair value for the following assets or liabilities: Fair Value Measurements at September 27, 2019 (In millions) Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets: Cash equivalents - Money market funds $ — $ 8.8 $ — $ 8.8 Total assets measured at fair value $ — $ 8.8 $ — $ 8.8 Liabilities: Derivative liabilities $ — $ 0.7 $ — $ 0.7 Deferred Consideration 8.9 — — 8.9 Total liabilities measured at fair value $ 8.9 $ 0.7 $ — $ 9.6

INVENTORIES

INVENTORIES	9 Months Ended
INVENTORIES	Jul. 03, 2020
Inventory Disclosure [Abstract]
INVENTORIES	INVENTORIES The following table summarizes the Company’s inventories: (In millions) July 3, 2020 September 27, 2019 Raw materials and parts $ 179.9 $ 160.1 Work-in-process 33.1 27.9 Finished goods 70.2 60.2 Total inventories $ 283.2 $ 248.2

GOODWILL AND INTANGIBLE ASSETS

GOODWILL AND INTANGIBLE ASSETS	9 Months Ended
GOODWILL AND INTANGIBLE ASSETS	Jul. 03, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND INTANGIBLE ASSETS	GOODWILL AND INTANGIBLE ASSETS In the third quarter of 2020, changes in facts and circumstances and general market declines from COVID-19 resulted in reduced expectations of future operating results. The Company considered these circumstances and the potential long-term impact on cash flows associated with its reporting units and indefinite-lived intangible assets and determined that an indicator of possible impairment existed within its Medical and Industrial reporting units and indefinite-lived intangible assets. Accordingly, the Company performed a quantitative impairment analysis to determine the fair values of those reporting units and indefinite-lived intangible assets. The Company used both an income approach utilizing the discounted cash flow method ("DCF") and a market approach utilizing the public company market multiple method. The Company developed multiple forecasted future cash flow scenarios for the reporting units and indefinite-lived intangible assets with varied recovery timing and sales impact assumptions. Based on the output of the analysis, the Company determined that the fair values of both the Medical and Industrial reporting units exceeded their carrying amounts. The Company's Industrial reporting unit's fair value exceeded its carrying value by more than 20% and the Company's Medical reporting unit's fair value exceeded its carrying value by more than 30%. Accordingly, no impairment charges were required as of July 3, 2020. However, an impairment charge was required for the Company's in-process R&D as discussed below. Fair value determinations require considerable judgment and are sensitive to changes in underlying assumptions, estimates, and market factors. Estimating the fair value of individual reporting units requires us to make assumptions and estimates regarding our future plans, as well as industry, economic, and regulatory conditions. These assumptions and estimates include estimated future annual net cash flows, income tax rates, discount rates, growth rates, market multiples, terminal value and other market factors. This fair value measurement was based on significant inputs not observable in the market and thus represents a Level 3 fair value measurement. If current expectations of future growth rates and margins, both in size and timing, are not met, if market factors outside of our control, such as discount rates, change, if market multiples decline, or if management’s expectations or plans otherwise change, including as a result of the development of our global five-year operating plan, then one or more of our reporting units might become impaired in the future. The Company will continue to monitor the financial performance of and assumptions for its reporting units. A future impairment charge for goodwill could have a material effect on the Company's consolidated financial position and results of operations. The following table reflect goodwill by reportable operating segment: (In millions) Medical Industrial Total Balance at September 27, 2019 $ 173.0 $ 117.8 $ 290.8 Balance at July 3, 2020 $ 173.0 $ 117.8 $ 290.8 The following table reflects the gross carrying amount and accumulated amortization of the Company’s intangible assets included in other assets in the condensed consolidated balance sheets: July 3, 2020 September 27, 2019 (In millions) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Acquired existing technology $ 74.1 $ (35.2) $ 38.9 $ 74.1 $ (28.4) $ 45.7 Patents, licenses and other $ 12.8 $ (9.4) $ 3.4 $ 12.7 $ (8.4) $ 4.3 Customer contracts and supplier relationship $ 50.7 $ (22.4) $ 28.3 $ 50.7 $ (17.2) $ 33.5 Total intangible assets with finite lives $ 137.6 $ (67.0) $ 70.6 $ 137.5 $ (54.0) $ 83.5 In-process R&D with indefinite lives $ — $ — $ — $ 2.8 $ — $ 2.8 Total intangible assets $ 137.6 $ (67.0) $ 70.6 $ 140.3 $ (54.0) $ 86.3 Amortization expense for intangible assets was $4.2 million and $4.1 million for the three months ended July 3, 2020 and June 28, 2019, respectively and $13.1 million and $11.4 million for the nine months ended July 3, 2020 and June 28, 2019, respectively. For the three months ended July 3, 2020 and June 28, 2019, the Company recognized intangible asset impairment charges of $2.8 million and $4.0 million, respectively, which are included in impairment of intangible assets in the condensed consolidated statements of operations. For the nine months ended July 3, 2020 and June 28, 2019, the Company recognized intangible asset impairment charges of $2.8 million and $4.8 million, respectively, which are included in impairment of intangible assets in the condensed consolidated statements of operations. These impairment charges related primarily to the Company's Medical reporting segment. The fair value of the asset impaired during the third quarter of 2020 was determined using an estimated weighted average cost of capital of 25.0% (consistent with the rate used at the acquisition date), which reflects the risks inherent in future cash flow projections and represents a rate of return that a market participant would expect for this asset. The Company believes its assumptions are consistent with the plans and estimates that a market participant would use to manage the business. The estimated fair value of the in-process R&D intangible asset as of July 3, 2020 was zero. This fair value measurement was based on significant inputs not observable in the market and thus represents a Level 3 fair value measurement.

BORROWINGS

BORROWINGS	9 Months Ended
BORROWINGS	Jul. 03, 2020
Debt Disclosure [Abstract]
BORROWINGS	BORROWINGS The following table summarizes the Company's short-term and long-term debt: July 3, 2020 September 27, 2019 $ Change (In millions, except for percentages) Amount Weighted-Average Interest Rate Amount Weighted-Average Interest Rate Current maturities of long-term debt Term facility $ 26.8 5.6 % $ 29.4 5.6 % $ (2.6) Other debt 0.8 1.3 (0.5) Total current maturities of long-term debt $ 27.6 $ 30.7 $ (3.1) Non-current maturities of long-term debt: Revolving credit facility $ — — % $ 59.0 5.6 % $ (59.0) Term facility 238.7 5.6 % 308.6 5.6 % (69.9) Convertible Notes 200.0 — 200.0 Other debt 8.2 2.5 5.7 Debt issuance costs - Credit Agreement (5.0) (5.7) 0.7 Unamortized discount - Convertible Notes (52.4) — (52.4) Non-current maturities of long-term debt 389.5 364.4 25.1 Total long-term debt, net $ 417.1 $ 395.1 $ 22.0 Existing Credit Agreement On May 1, 2017 Varex entered into a new secured revolving credit facility (the “Revolving Credit Facility”) in an aggregate principal amount of up to $200 million with a term of five years, and a secured term facility (the “Term Facility” and together with the Revolving Credit Facility, the “Credit Agreement”) in an aggregate principal amount of $400 million, which was subsequently amended. In connection with the issuance of the Convertible Notes (defined below), on June 6, 2020, the Company amended the Credit Agreement (“Amendment No. 6”) to revise certain covenants, including covenants that restricted the incurrence of debt and restricted the Company’s ability to enter into the Call Spread Transactions (defined below) and issue the Convertible Notes. In connection with Amendment No. 6, Varex permanently reduced the total amount available under the Revolving Credit Facility to $100 million. At July 3, 2020, the Company had $100 million of the Revolving Credit Facility available for borrowings, subject to covenants contained in the Credit Agreement. The Term Facility will be repaid over five years, with 5.0% payable in quarterly installments during each of the first two years of the term thereof, 7.5% payable in quarterly installments during the third and fourth years of the term thereof, and 10% payable in quarterly installments in the fifth year of the term thereof, with the remaining amount due at maturity. Both the Term Facility and Revolving Credit Facility expire on May 1, 2022. The Credit Agreement contains various customary restrictive covenants that limits, among other things, the incurrence of indebtedness by Varex and its subsidiaries, the grant or incurrence of liens by Varex and its subsidiaries, the entry into sale and leaseback transactions by Varex and its subsidiaries, and the entry into certain fundamental change transactions by Varex and its subsidiaries. It also contains customary events of default and certain financial covenants. The Company agreed to maintain financial covenants, which include maximum consolidated total leverage ratio, maximum consolidated senior secured leverage ratio, maximum capital expenditures and a minimum consolidated fixed charge coverage ratio. The Company was in compliance with all financial covenants under the Credit Agreement as of July 3, 2020. However, the adverse effects of the COVID-19 pandemic on the Company’s financial condition and results of operations are expected to be more persistent and have been more severe than previously assumed in prior quarter forecasted cash flow estimates. Based on the Company’s current forecasts, it is probable that the Company will be in violation of certain leverage ratio covenants contained in its Credit Agreement within the twelve-month period following the issuance of these financial statements, including as early as the Company's fiscal year end 2020. The Credit Agreement is secured by the stock and assets of Varex’s material subsidiaries. The Credit Agreement has several borrowing and interest rate options including the following indices: (a) LIBOR rate subject to a 0.75% floor, or (b) the base rate (equal to the greater of the prime rate, the federal funds rate plus 0.50% or the LIBOR rate for a one-month period plus 1.00%). Loans under the Credit Agreement bear interest at a rate per annum using the applicable indices plus a varying interest rate margin of between 1.75% and 3.50% (for LIBOR rate loans) and 0.75%-2.50% (for base rate loans). The Credit Agreement also provides for fees applicable to amounts available to be drawn under outstanding letters of credit of 0.125%, and a fee on unused commitments which ranges from 0.25% to 0.40%. Convertible Notes On June 9, 2020, Varex issued $200.0 million in aggregate principal amount of 4.00% unsecured convertible senior notes due 2025 (“Convertible Notes”). The net proceeds from the issuance of the Convertible Notes, after deducting transaction fees and offering expense payable by us, were approximately $193.1 million. The Convertible Notes bear interest at the annual rate of 4.00%, payable semiannually on June 15 and December 15 of each year, beginning on December 15, 2020, and will mature on June 15, 2025, unless earlier converted or repurchased by us. The Convertible Notes will be convertible into cash, shares of our common stock or a combination thereof, at our election, at an initial conversion rate of 48.05 shares of common stock per $1,000 principal amount of Convertible Notes, which is equivalent to an initial conversion price of approximately $20.81 per share, subject to adjustment pursuant to the terms of the Indenture governing the Convertible Notes (the "Indenture"). The Convertible Notes may be converted at any time after, and including, December 15, 2024 until the close of business on the second scheduled trading day immediately before the maturity date. The conversion rate of the Convertible Notes may be adjusted in certain circumstances, including in connection with a conversion of the Convertible Notes made following certain fundamental changes and under other circumstances set forth in the Indenture. It is our current intent and policy to settle any conversions of notes through a combination of cash and shares. Prior to the close of business on the business day immediately preceding December 15, 2024, the Convertible Notes at the option of the holder can be convertible only under the following circumstances: 1. during any calendar quarter commencing after the calendar quarter ending on September 30, 2020, if the last reported sale price per share of our common stock exceeds 130% of the conversion price for each of at least 20 trading days during the 30 consecutive trading days ending on, and including, the last trading day of the immediately preceding calendar quarter; 2. during the five five five 3. upon the occurrence of certain corporate events or distributions on our common stock, as described in the Indenture; or 4. if we call any notes for redemption (under the conditions specified below). The Convertible Notes will be redeemable, in whole or in part, at the Company’s option at any time, and from time to time, on or after June 1, 2023 and on or before the 60th scheduled trading day immediately before the maturity date, at a cash redemption price equal to the principal amount of the Convertible Notes to be redeemed, plus accrued and unpaid interest, if any, but only if the last reported sale price per share of the Company’s common stock exceeds 130% of the conversion price on (i) each of at least 20 trading days, whether or not consecutive, during the 30 consecutive trading days ending on, and including, the trading day immediately before the date the Company sends the related redemption notice; and (ii) the trading day immediately before the date the Company sends such notice. In addition, calling any Convertible Note for redemption will constitute a make-whole fundamental change with respect to that Convertible Note, in which case the conversion rate applicable to the conversion of that Convertible Note will be increased in certain circumstances if it is converted after it is called for redemption. No sinking fund is provided for the Convertible Notes. Total interest expense related to the Convertible Notes for the three months ended July 3, 2020 was $1.0 million and was comprised of $0.5 million related to the contractual interest coupon and $0.5 million related to the amortization of the discount on the liability component. Call Spread On June 4, 2020 and June 5, 2020, in connection with the offering of the Convertible Notes, Varex entered into privately negotiated convertible note hedge transactions (collectively, the “Hedge Transactions”). The Hedge Transactions cover, subject to customary anti-dilution adjustments, the number of shares of our common stock that initially underlie the Convertible Notes. The Hedge Transactions are expected generally to reduce the potential dilution and/or offset any cash payments Varex is required to make in excess of the principal amount due upon conversion of the Convertible Notes in the event that the market price of our common stock is greater than the strike price of the Hedge Transactions, which was initially $20.81 per share (subject to adjustment under the terms of the Hedge Transactions). The strike price of $20.81 corresponds to the initial conversion price of the Convertible Notes. The number of shares underlying the Hedge Transactions is 9.6 million. On June 4, 2020 and June 5, 2020, Varex also entered into privately negotiated warrant transactions (collectively, the “Warrant Transactions” and, together with the Hedge Transactions, the “Call Spread Transactions”), whereby we sold warrants at a higher strike price relating to the same number of shares of our common stock that initially underlie the Convertible Notes, subject to customary anti-dilution adjustments. The initial strike price of the warrants is $24.975 per share (subject to adjustment under the terms of the Warrant Transactions), which is 50% above the last reported sale price of our common stock on June 4, 2020. The Warrant Transactions could have a dilutive effect to our stockholders to the extent that the market price per share of our common stock, as measured under the terms of the Warrant Transactions, exceeds the applicable strike price of the warrants. The number of shares underlying the Warrant Transactions is 9.6 million. The number of warrants outstanding as of July 3, 2020, was 9.6 million. We used $11.2 million of the net proceeds from the issuance of the Convertible Notes and $49.8 million from the Warrant Transactions to pay the cost of the Hedge Transactions, which totaled $61.0 million. The Hedge Transactions and the Warrant Transactions are separate transactions, in each case, and are not part of the terms of the Convertible Notes and will not affect any holder’s rights under the Convertible Notes. Holders of the Convertible Notes will not have any rights with respect to the Call Spread Transactions. Accounting Treatment of the Convertible Notes and Related Hedge Transactions and Warrant Transactions As the Call Spread Transactions meet certain accounting criteria, the Call Spread Transactions were classified as equity and are not accounted for as derivatives. The proceeds from the offering of the Convertible Notes were separated into liability and equity components. On the date of issuance, the liability and equity components of the Convertible Notes were calculated to be approximately $152.3 million and $47.7 million, respectively. The initial $152.3 million liability component was determined based on the fair value of similar debt instruments excluding the conversion feature assuming a hypothetical interest rate of 10.45%. The initial $47.7 million equity component represents the difference between the fair value of the initial $152.3 million in debt and the $200.0 million of gross proceeds. The equity component is included in additional paid-in capital in the condensed consolidated balance sheets and will not be subsequently remeasured as long as it continues to meet the conditions for equity classification. The related initial debt discount of $47.7 million is being amortized over the life of the Convertible Notes as non-cash interest expense using the effective interest method at an interest rate of 10.9%. In connection with the above-noted transactions, we incurred approximately $6.9 million of offering-related costs. These offering fees were allocated to the liability and equity components in proportion to the allocation of proceeds and accounted for as debt and equity issuance costs, respectively. We allocated $5.3 million of debt issuance costs to the liability component, which were capitalized as deferred financing costs within long-term debt. These costs are being amortized as interest expense over the term of the debt using the effective interest method. The remaining $1.6 million of transaction costs allocated to the equity component were recorded as a reduction of the equity component.

REDEEMABLE NONCONTROLLING INTER

REDEEMABLE NONCONTROLLING INTERESTS & NONCONTROLLING INTERESTS	9 Months Ended
	Jul. 03, 2020
Noncontrolling Interest [Abstract]
REDEEMABLE NONCONTROLLING INTERESTS & NONCONTROLLING INTERESTS	REDEEMABLE NONCONTROLLING INTERESTS & NONCONTROLLING INTERESTS In April 2019, a subsidiary of Varex completed the acquisition of 98.2% of the outstanding shares of common stock of Direct Conversion. The Company has subsequently acquired additional shares of Direct Conversion such that the Company now owns 98.7% of the outstanding shares of common stock of Direct Conversion. As the Company has majority voting rights it has consolidated Direct Conversion's operations in its consolidated financial statements and recorded the noncontrolling interest. The noncontrolling interest related to Direct Conversion is included in noncontrolling interest in the equity section of the Company's consolidated balance sheet. Earnings representing the noncontrolling interest's portion of Direct Conversion's income from operations is included in the Company's consolidated statements of operations. In September 2018, the Company entered into a partnership in Saudi Arabia. The Company has majority voting rights with an approximate 75% interest. Accordingly, the Company has consolidated the operations of the Saudi Arabia partnership in our consolidated financial statements and recorded the noncontrolling interests. The noncontrolling interest related to the partner’s 25% interest in the joint venture is included in noncontrolling interest in the equity section of the Company’s consolidated balance sheet. Earnings representing the noncontrolling partner's share of income from operations is included in the Company's consolidated statements of operations. In April 2015, the Company completed the acquisition of 73.5% of the then outstanding shares of MeVis, a publicly traded company based in Bremen, Germany that provides image processing software and services for cancer screening. In August 2015, the Company, through one of its German subsidiaries, entered into a Domination and Profit and Loss Transfer Agreement (the “DPLTA”) with MeVis. In October 2015, the DPLTA became effective upon its registration at the local court of Bremen, Germany. Under the DPLTA, MeVis subordinates its management to the Company and undertakes to transfer all its annual profits and losses to the Company. In return, the DPLTA grants the noncontrolling shareholders of MeVis: (1) an annual recurring net compensation of €0.95 per MeVis share starting from January 1, 2015; and (2) a put right for their MeVis shares at €19.77 per MeVis share. Upon effectiveness of the DPLTA, the noncontrolling interests in MeVis became redeemable as a result of the put right and were reclassified to temporary equity. At July 3, 2020, noncontrolling shareholders together held approximately 0.5 million shares of MeVis, representing 26.5% of the outstanding shares. Changes in redeemable noncontrolling interests were as follows: (In millions) Redeemable Noncontrolling Interests Noncontrolling Interest Balance at September 27, 2019 $ 10.5 $ 3.3 Net earnings attributable to noncontrolling interests 0.4 (0.1) Other, including foreign currency remeasurement (0.1) — Balance at July 3, 2020 $ 10.8 $ 3.2

NET (LOSS) EARNINGS PER SHARE

NET (LOSS) EARNINGS PER SHARE	9 Months Ended
NET (LOSS) EARNINGS PER SHARE	Jul. 03, 2020
Earnings Per Share [Abstract]
NET (LOSS) EARNINGS PER SHARE	NET (LOSS) EARNINGS PER SHARE Basic net (loss) earnings per common share is computed by dividing the net (loss) earnings for the period by the weighted average number of shares of common stock outstanding during the reporting period. Diluted net (loss) earnings per common share reflects the effects of potentially dilutive securities, which is computed by dividing net (loss) earnings by the sum of the weighted average number of common shares outstanding and dilutive common shares, which consists of shares underlying stock options, unvested stock awards and purchase rights granted under the employee stock purchase plan. A reconciliation of the numerator and denominator used in the calculation of basic and diluted net (loss) income per common share is as follows: Three Months Ended Nine Months Ended (In millions, except per share amounts) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Net (loss) earnings attributable to Varex $ (28.3) $ (1.4) $ (31.5) $ 7.4 Weighted average shares outstanding - basic 39.0 38.3 38.7 38.2 Dilutive effect of potential common shares — — — 0.2 Weighted average shares outstanding - diluted 39.0 38.3 38.7 38.4 Net (loss) earnings per share attributable to Varex - basic $ (0.73) $ (0.04) $ (0.81) $ 0.19 Net (loss) earnings per share attributable to Varex - diluted $ (0.73) $ (0.04) $ (0.81) $ 0.19 Anti-dilutive shared based awards, excluded 3.2 2.4 3.0 2.0

EMPLOYEE STOCK PLANS

EMPLOYEE STOCK PLANS	9 Months Ended
EMPLOYEE STOCK PLANS	Jul. 03, 2020
Share-based Payment Arrangement [Abstract]
EMPLOYEE STOCK PLANS	EMPLOYEE STOCK PLANS Share-Based Compensation Expense Share-based compensation expense recognized in the condensed consolidated statements of operations is based on awards ultimately expected to vest. Share-based compensation expense includes expenses related to the Company’s direct employees. The table below summarizes the effect of recording the share-based compensation expense (which includes the option component of the employee stock purchase plan shares): Three Months Ended Nine Months Ended (In millions) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Cost of revenues $ 0.4 $ 0.5 $ 1.0 $ 1.2 Research and development 0.7 0.3 1.9 1.7 Selling, general and administrative 2.6 2.3 7.3 5.8 Total share-based compensation expense $ 3.7 $ 3.1 $ 10.2 $ 8.7 Stock Option Activity The following table summarizes the activity for stock options under Varex’s 2020 Omnibus Stock Plan, 2017 Omnibus Stock Plan, and 2017 Employee Stock Purchase Plan for the Company’s employees: Options Outstanding (In thousands, except per share amounts and the remaining term) Options Price Range Weighted Average Exercise Price Weighted Average Remaining Term (in years) Aggregate Intrinsic Value (1) Outstanding at September 27, 2019 2,269 $22.63 - $37.60 $ 30.60 Granted 398 $28.12 - $28.12 28.12 Canceled, expired or forfeited (42) $22.63 - $37.10 29.66 Exercised (64) $22.84 - $23.24 22.93 Outstanding at July 3, 2020 2,561 $25.17 - $37.60 $ 30.42 4.4 $ — Exercisable at July 3, 2020 1,705 $25.17 - $37.60 $ 30.39 3.1 $ — (1) The aggregate intrinsic value represents the total pre-tax intrinsic value, which is computed based on the difference between the exercise price and the closing price of Varex common stock of $14.94 as of July 3, 2020, the last trading date of the Company's third quarter, and which represents the amount that would have been received by the option holders had all option holders exercised their options and sold the shares received upon exercise as of that date. Restricted Stock Units The following table summarizes the activity for restricted stock units under Varex’s 2020 Omnibus Stock Plan and 2017 Omnibus Stock Plan for the Company’s employees: (In thousands, except per share amounts) Number of Shares Weighted Average Grant-Date Fair Value Outstanding at September 27, 2019 678 $ 33.18 Granted 362 25.24 Vested (220) 32.81 Canceled or expired (46) 31.30 Outstanding at July 3, 2020 774 $ 29.96

TAXES ON EARNINGS

TAXES ON EARNINGS	9 Months Ended
TAXES ON EARNINGS	Jul. 03, 2020
Income Tax Disclosure [Abstract]
TAXES ON EARNINGS	TAXES ON EARNINGS For the three months ended July 3, 2020, the Company recognized income tax benefit of $11.6 million on $39.8 million of pre-tax loss primarily due to losses in the United States. For the three months ended June 28, 2019, the Company recognized income tax expense of $0.7 million on $0.6 million of pre-tax loss. For the nine months ended July 3, 2020, the Company recognized income tax benefit of $10.9 million on $42.1 million of pre-tax loss before tax primarily due to losses in the United States. For the nine months ended June 28, 2019, the Company recognized income tax expense of $3.7 million on $11.3 million of pre-tax income. As a result of the changes to the U.S. taxation of foreign earnings included in U.S. Tax Reform, the Company reevaluated its previous indefinite reinvestment assertion with respect to these earnings during fiscal year 2018, which resulted in the Company revoking its assertion for current and future earnings for all countries, while maintaining the assertion that historic earnings are indefinitely reinvested outside the U.S. The Company is maintaining this prior assertion for the quarter ended July 3, 2020. Due to the level of earnings available for repatriation, the treaty benefits applicable to jurisdictions in which those earnings are located, and the now favorable U.S. tax treatment of repatriated foreign earnings, the amount of deferred tax liability recorded related to the potential repatriation is approximately $0.1 million. This estimated liability is for U.S. State income taxes and foreign withholding taxes that would apply if the foreign earnings were repatriated in the form of a dividend.

SEGMENT INFORMATION

SEGMENT INFORMATION	9 Months Ended
SEGMENT INFORMATION	Jul. 03, 2020
Segment Reporting [Abstract]
SEGMENT INFORMATION	SEGMENT INFORMATION The Company has two reportable operating segments Medical and Industrial. The segments align the Company’s products and service offerings with customer use in medical and industrial markets and are consistent with how the Company’s Chief Executive Officer, who is also its CODM, evaluates the business for the allocation of resources. The CODM allocates resources to and evaluates the financial performance of each operating segment primarily based on revenues and gross margin. The operating and reportable segment structure provides alignment between business strategies and operating results. Description of Segments The Medical segment designs, manufactures, sells and services X-ray imaging components for use in a range of applications, including radiographic and fluoroscopic imaging, mammography, computed tomography, radiation therapy and computer-aided detection. The Company provides a broad range of X-ray imaging components for Medical customers including X-ray tubes, digital flat panel detectors, generators, high voltage connectors, image-processing software and workstations, computer-aided diagnostic software, collimators, automatic exposure control devices, generators, ionization chambers and buckys. The Company’s X-ray imaging components are primarily sold to imaging system OEM customers that incorporate them into their medical diagnostic, radiation therapy, dental, veterinary and industrial imaging systems. The Company also sells its X-ray imaging components to independent service companies, distributors and directly to end-users for replacement purposes. The Industrial segment designs, manufactures, sells and services products for use in the security and industrial inspection applications, such as airport security, cargo screening at ports and borders and nondestructive examination in a variety of applications. The products include Linatron X-ray accelerators, X-ray tubes, digital flat panel detectors, high voltage connectors and image processing software that we generally sell to OEM customers that incorporate these products into their inspection systems. Accordingly, the following information is provided for purposes of achieving an understanding of operations, but it may not be indicative of the financial results of the reported segments were they independent organizations. In addition, comparisons of the Company’s operations to similar operations of other companies may not be meaningful. Information related to the Company’s segments is as follows: Three Months Ended Nine Months Ended (In millions) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Revenues Medical $ 137.6 $ 151.6 $ 448.6 $ 444.4 Industrial 33.6 45.1 119.7 133.8 Total revenues $ 171.2 $ 196.7 $ 568.3 $ 578.2 Gross margin Medical $ 18.0 $ 44.2 $ 105.2 $ 135.4 Industrial 8.3 16.5 39.8 49.7 Total gross margin $ 26.3 $ 60.7 $ 145.0 $ 185.1 Total operating expenses 53.1 56.1 165.8 155.6 Interest and other expenses, net (13.0) (5.2) (21.3) (18.2) (Loss) earnings before taxes (39.8) (0.6) (42.1) 11.3 Income taxes (benefit) expense (11.6) 0.7 (10.9) 3.7 Net (loss) earnings (28.2) (1.3) (31.2) 7.6 Less: Net earnings attributable to noncontrolling interests 0.1 0.1 0.3 0.2 Net (loss) earnings attributable to Varex $ (28.3) $ (1.4) $ (31.5) $ 7.4 The following table summarizes the Company’s total assets by its reportable segments: (In millions) July 3, 2020 September 27, 2019 Identifiable assets Medical $ 885.5 $ 794.3 Industrial 236.2 244.6 Total reportable segments $ 1,121.7 $ 1,038.9

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
SUBSEQUENT EVENTS	Jul. 03, 2020
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	SUBSEQUENT EVENTS The Company is not aware of any subsequent events which would require recognition or disclosure in the condensed consolidated financial statements other than those listed below. On July 29, 2020, Varex commenced the implementation of a reduction in workforce to reduce the Company’s operating cost and address the impact of the COVID-19 pandemic. The action is expected to result in the reduction of the Company’s workforce by approximately 94 employees, of which nearly all are located within the United States. This reduction is in addition to the previously disclosed reduction in workforce associated with the closure of the Company’s Santa Clara facility. The Company expects to complete the reduction in workforce by December 31, 2020. The Company estimates that it will incur approximately $2.5 million to $3.5 million of cash expenditures in connection with the reduction in workforce. The Company expects to recognize the majority of the pre-tax restructuring charges by the end of the Company’s fiscal year 2020.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	Jul. 03, 2020
Accounting Policies [Abstract]
Basis of Presentation	The accompanying condensed consolidated financial statements are unaudited. These condensed consolidated financial statements have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) and prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). In the opinion of management, these condensed consolidated financial statements include all adjustments necessary for a fair statement of the results for the interim periods.
Consolidation	These condensed consolidated financial statements and the accompanying notes are unaudited and should be read in conjunction with the consolidated financial statements for the fiscal years ended 2019, 2018 and 2017 included in the Company’s Form 10-K, which was filed with the SEC on December 20, 2019.
Subsequent Events	The Company considers events or transactions that occur after the balance sheet date, but before the financial statements are issued, to provide additional evidence relative to certain estimates or to identify matters that require additional disclosures.
Reclassifications	Certain prior period amounts have been reclassified to conform the prior period presentation to the current year.
Segment Reporting	Segment Reporting The Company has two reportable operating segments, Medical and Industrial, which align with how its Chief Executive Officer, who has been identified as the Company's Chief Operating Decision Maker ("CODM"), views and measures the Company’s business performance. See Note 16, Segment Information, for further information on the Company’s segments.
Fiscal Year	Fiscal Year The fiscal years of the Company as reported are the 52 or 53-week period ending on the Friday nearest September 30. Fiscal year 2020 is the 53-week period ending October 2, 2020. Fiscal year 2019 was the 52-week period that ended on September 27, 2019. The fiscal quarters ended July 3, 2020 and June 28, 2019 were 13-week periods.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Such estimates include the valuation of inventories, goodwill and intangible assets, impairment on investments, and taxes on earnings. Actual results could differ from these estimates. Impact of COVID-19 The coronavirus (“COVID-19”) pandemic and the mitigation efforts by governments to attempt to control its spread created uncertainties and disruptions in the economic and financial markets. The extent to which COVID-19 will continue to impact the Company’s business and financial results will depend on numerous evolving factors including, but not limited to: the magnitude and duration of COVID-19, the extent to which it will impact worldwide macroeconomic conditions including interest rates, employment rates, the speed of the anticipated recovery, and governmental and business reactions to the pandemic. During the quarter ended July 3, 2020, as a result of the economic downturn resulting from COVID-19, the Company experienced reduced demand in the Company’s industrial segment and for certain higher end medical products that negatively impacted revenues and gross margin. The Company assessed certain accounting matters that generally require consideration of forecasted financial information in context with the information reasonably available to the Company and the currently estimated future impacts COVID-19 as of July 3, 2020 and through the date of filing this report. The accounting matters assessed included, but were not limited to, the Company’s carrying value of goodwill, intangibles, long-lived assets, equity method investments, inventory and related reserves, and allowance for doubtful accounts. The Company’s future assessment of the magnitude and duration of COVID-19, as well as other factors, could result in material negative impacts to the Company’s consolidated financial statements in future reporting periods. These future developments are highly uncertain and the outcomes can not be estimated with certainty. Actual results may differ from those estimates, and such differences may be material to the financial statements. The Company’s Credit Agreement, as defined in Note 11, Borrowings, contains financial covenants, including certain leverage ratio covenants. The Company was in compliance with all financial covenants as of July 3, 2020. However, the adverse effects of the COVID-19 pandemic on the Company’s financial condition and results of operations are expected to be more persistent and have been more severe than previously estimated in the prior quarter forecasted financial results. Specifically, in conjunction with analyzing the results for the Company’s third quarter, the Company now believes that reduced demand in the Company’s industrial segment and for certain higher end medical products will continue to negatively impact revenues, gross margin and the other items used to calculate the Company’s financial covenants contained in its Credit Agreement. Based on the Company’s current forecasts, it is probable that the Company will be in violation of certain leverage ratio covenants contained in its Credit Agreement within the twelve-month period following the issuance of these financial statements, including as early as the end of the Company's fiscal year end 2020. Failure to comply with the covenants, if not amended or waived, would result in an event of default under the Credit Agreement and the acceleration of the outstanding balance of the loans thereunder. If an event of default under the Credit Agreement occurs, then pursuant to cross default and/or cross acceleration clauses, substantially all of the Company’s other outstanding debt and derivative contract payables would become due, and all debt and derivative contracts could be terminated, which would have a material adverse impact to the Company’s operations and liquidity as the Company currently does not have the financial resources to satisfy such obligations if they were to become due and payable. These events and conditions raise substantial doubt about the Company’s ability to continue as a going concern within the twelve-month period following the issuance of these financial statements. The Company is actively pursuing various options to prevent an event of default from occurring under the Credit Agreement. The Company is implementing actions to improve its financial results and other items used to calculate the financial covenants, such as accelerating the closure of its Santa Clara facility, the previously announced reduction in force, austerity programs related to outside services, and other appropriate actions. The Company is also taking actions to improve cash flow such as working capital reductions and reduced spending for property, plant and equipment, as well as pursuing potential additional fundraising to modify, supplement, or replace its Credit Agreement. While the Company has and continues to take actions to mitigate the risk of an event of default under the Credit Agreement, there is no assurance that it will be successful in doing so. The Company’s unaudited condensed consolidated financial statements have been prepared on a going concern basis and do not reflect any adjustments that might result if the Company is unable to continue as a going concern.
Restricted Cash	Restricted Cash Restricted cash primarily consists of cash collateral related to certain leases and inventory arrangements. Restricted cash is included in other assets on the condensed consolidated balance sheet.
Concentration of Risk	Concentration of Risk Financial instruments that potentially expose the Company to concentrations of credit risk consist principally of cash, cash equivalents and trade accounts receivable. Cash held with financial institutions may exceed the Federal Deposit Insurance Corporation insurance limits or similar limits in foreign jurisdictions. The Company has not experienced any losses on its deposits of cash and cash equivalents. The Company performs ongoing credit evaluations of its customers and, except for government tenders, group purchases and orders with a letter of credit, its industrial customers often provide a down payment. The Company maintains an allowance for doubtful accounts based on the expected collectability of accounts receivable. The Company obtains some of the components in its products from a limited group of suppliers or from a single-source supplier. The Company has neither experienced nor expects any significant disruptions to its operations due to supplier concentration.
Investments	Investments The Company accounts for its equity investments in privately-held companies under the equity method of accounting if the Company has the ability to exercise significant influence in these investments. Distributions received from an equity method investment are classified using the cumulative earnings approach. Under the cumulative earnings approach, distributions up to the amount of cumulative equity in earnings recognized will be treated as returns on investment as operating cash flows and those in excess of that amount will be treated as returns of investment as investing cash flows. The Company reviews its equity investments in privately-held companies for impairment whenever events or changes in business circumstances are other than temporary and indicate that the carrying amount of the investments may not be fully recoverable. During the three and nine months ended July 3, 2020, the Company wrote off a $2.7 million cost investment in a privately-held company, the related expense is included as part of other expenses, net in the Company's condensed consolidated financial statements.
Loss Contingencies	Loss Contingencies From time to time, the Company is a party to or otherwise involved in legal proceedings, claims and government inspections or investigations, customs and duties audits, other contingency matters, both inside and outside the United States, arising in the ordinary course of its business or otherwise. The Company accrues amounts for probable losses, to the extent they can be reasonably estimated, that it believes are adequate to address any liabilities related to legal proceedings and other loss contingencies that the Company believes will result in a probable loss (including, among other things, probable settlement value). A loss or a range of loss is disclosed when it is reasonably possible that a material loss will be incurred and can be estimated or when it is reasonably possible that the amount of a loss, when material, will exceed the recorded provision.
Product Warranty	Product Warranty The Company warrants most of its products for a specific period of time, usually 12 to 24 months from delivery or acceptance, against material defects. The Company provides for the estimated future costs of warranty obligations in cost of revenues when the related revenues are recognized. The accrued warranty costs represent the best estimate at the time of sale of the total costs that the Company will incur to repair or replace product parts that fail while still under warranty. The amount of the accrued estimated warranty costs obligation for established products is primarily based on historical experience as to product failures adjusted for current information on repair costs. For new products, the Company bases warranty estimates on historical experience for similar products and adds a reasonable allowance for warranty expenses associated with new products. On a quarterly basis, the Company reviews the accrued warranty costs and updates the historical warranty cost trends, if required.
Leases	Leases The Company determines if an arrangement is or contains a lease at the inception of an arrangement. The Company's operating lease right-of-use ("ROU") assets represent the right to use an underlying asset over the lease term and lease liabilities represent its obligation to make lease payments arising from the lease. ROU assets may also include initial direct costs incurred and prepaid lease payments, less lease incentives. Lease liabilities and their corresponding ROU assets are recognized based on the present value of lease payments over the lease term, discounted using the Company's incremental borrowing rate ("IBR"). The Company recognizes operating leases with lease terms of more than twelve months in operating lease assets, current operating lease liabilities, and operating lease liabilities on its condensed consolidated balance sheets. The Company recognizes finance leases with lease terms of more than twelve months in property, plant, and equipment, net, accrued liabilities and other current liabilities, and other long-term liabilities on its condensed consolidated balance sheets. For purposes of calculating lease liabilities and the corresponding ROU assets, the Company's lease term may include options to extend or terminate the lease when it is reasonably certain that it will exercise that option.
Recently Adopted Accounting Pronouncements and Recent Accounting Standards or Updates Not Yet Effective	Recently Adopted Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (the "FASB") issued Accounting Standards Update ("ASU") No. 2016-02 Upon transition, the Company applied the package of practical expedients permitted under ASC 842 transition guidance to its entire lease portfolio at September 28, 2019. As a result, the Company was not required to reassess (i) whether any expired or existing contracts are or contain leases, (ii) the classification of any expired or existing leases, and (iii) initial direct costs for any existing leases. Also, the Company applied the hindsight practical expedient. Furthermore, as a lessee the Company elected to combine lease and non-lease components for the majority of its leases, which means that the Company accounted for each separate lease component and the non-lease components associated with that lease component as a single lease component. The only asset class that did not combine lease and non-lease components were vehicle leases. The most significant impact of the standards for the Company relate to the recognition of the right-of-use assets and lease liabilities for the operating leases in the balance sheet. Upon adoption of the new lease standard, the Company recognized operating lease right-of-use assets and finance lease right-of-use assets of $26.8 million and $0.6 million, respectively, and corresponding operating lease liabilities and finance lease liabilities of $27.5 million and $0.6 million, respectively. This includes the recording of the Company’s existing capital leases as finance leases at transition. The cumulative impact of adoption was a $0.3 million decrease to retained earnings. Refer to Note 3, Leases, for a detailed description of the impact of adopting this standard and its impact on the consolidated financial statements and related disclosures. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income , which provides the option to reclassify certain income tax effects related to the Tax Cuts and Jobs Act passed in December of 2017 between accumulated other comprehensive income and retained earnings and also requires additional disclosures. The amendments in this ASU are effective for all entities for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Effective September 28, 2019, the Company adopted ASU 2018-02 and it did not have a material effect on the Company’s financial statements and related disclosures. In January 2017, the FASB issued ASU 2017-04, Intan gibles - Goodwill and Other, Simplifying the Test for Goodwill Impairment , which simplified the testing required for the impairment of goodwill by removing Step 2 from the goodwill impairment test. Step 2 of the goodwill impairment test measures a goodwill impairment loss by comparing the implied fair value of a reporting units goodwill with the carrying amount of that goodwill. ASU 2017-04 allows an entity to measure the impairment based off Step 1 of the impairment test, which calculates the impairment as the difference between the carrying amount of the reporting unit and its fair value. Adoption of this ASU was required for the Company in the first quarter of fiscal year 2021. The Company elected to early adopt this standard effective April 4, 2020. This adoption was made on a prospective basis, as required by the standard. Recent Accounting Standards or Updates Not Yet Effective In March 2020, the FASB issued ASU 2020-04 to provide optional guidance for a limited period of time to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting. The Company is currently evaluating the impact from the replacement of the London Interbank Offered Rate (LIBOR) and whether the Company will elect the adoption of the optional guidance. In December 2019, the FASB issued ASU 2019-12 which simplifies the accounting for income taxes by removing certain exceptions to the current guidance, and improving the consistent application of and simplification of other areas of the guidance. The standard is effective for the Company beginning in the first quarter of fiscal year 2022. Early adoption is permitted. The Company is evaluating the impact of adopting this guidance to its condensed consolidated financial statements. In June 2016, the FASB issued ASU 2016-13, "Measurement of Credit Losses on Financial Instruments." This ASU replaces the incurred loss impairment methodology with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. In addition, the ASU requires new disclosures. This standard will be effective for the Company's interim and annual periods beginning with the first quarter of fiscal 2021 and must be applied on a modified retrospective basis. The Company is evaluating the potential impact of this standard to its condensed consolidated financial statements.

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	9 Months Ended
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	Jul. 03, 2020
Accounting Policies [Abstract]
Summary of Cash and Cash Equivalents and Restricted Cash	Cash and cash equivalents and restricted cash as reported within the condensed consolidated statements of cash flows consisted of the following: Nine Months Ended July 3, 2020 Nine Months Ended June 28, 2019 Beginning of Period End of Period Beginning of Period End of Period Cash and cash equivalents $ 29.9 $ 87.4 $ 51.9 $ 28.5 Restricted cash 1.4 1.4 1.5 1.5 Cash and cash equivalents and restricted cash as reported per statement of cash flows $ 31.3 $ 88.8 $ 53.4 $ 30.0
Summary of Customers with a Significant Portion of Revenue	During the periods presented, one of the Company's Medical segment customers accounted for a significant portion of revenues, as follows: Three Months Ended Nine Months Ended July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Canon Medical Systems Corporation 23.7 % 17.1 % 21.7% 17.5%
Schedule of Product Warranty Liability	The following table reflects the changes in the Company’s accrued product warranty: Nine Months Ended (In millions) July 3, 2020 June 28, 2019 Accrued product warranty, at beginning of period $ 8.1 $ 7.3 Charged to cost of revenues 9.7 9.8 Product warranty expenditures (9.7) (9.2) Accrued product warranty, at end of period $ 8.1 $ 7.9

REVENUE RECOGNITION (Tables)

REVENUE RECOGNITION (Tables)	9 Months Ended
REVENUE RECOGNITION (Tables)	Jul. 03, 2020
Revenue from Contract with Customer [Abstract]
Disaggregation of Revenue by Geographic Location	The following table disaggregates the Company’s revenue by geographic region: Three Months Ended Nine Months Ended (In millions) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Americas $ 58.7 $ 73.8 $ 191.5 $ 216.4 EMEA 46.8 67.3 176.0 198.0 APAC 65.7 55.6 200.8 163.8 $ 171.2 $ 196.7 $ 568.3 $ 578.2
Summary of Contract Asset and Liabilities	The following table summarizes the changes in the contract assets and refund liabilities for the nine months ended July 3, 2020: (In millions) Contract Assets Balance at September 27, 2019 $ 23.7 Costs recovered from product returns during the period (4.3) Contract asset from shipments of products, subject to return during the period 5.2 Balance at July 3, 2020 $ 24.6 (In millions) Refund Liabilities Balance at September 27, 2019 $ 26.4 Release of refund liability included in beginning of year refund liability (4.8) Additions to refund liabilities 5.7 Balance at July 3, 2020 $ 27.3

LEASES (Tables)

LEASES (Tables)	9 Months Ended
LEASES (Tables)	Jul. 03, 2020
Leases [Abstract]
Schedule of Supplemental Balance Sheet Information, Weighted Average Remaining Lease Terms and Discount Rates	The following table presents supplemental balance sheet information related to the Company's operating and finance leases: July 3, 2020 (In millions) Balance Sheet Location Operating Leases Finance Leases Assets Operating lease right-of-use assets Operating lease assets $ 29.6 $ — Finance lease right-of-use assets Property, plant and equipment, net $ — $ 0.6 Liabilities Operating lease liabilities (current) Current operating lease liabilities $ 5.6 $ — Finance lease liabilities (current) Accrued liabilities and other current liabilities $ — $ 0.2 Operating lease liabilities (non-current) Operating lease liabilities $ 24.1 $ — Finance lease liabilities (non-current) Other long-term liabilities $ — $ 0.4 The following table presents the weighted average remaining lease term and discount rate information related to the Company's operating and finance leases: July 3, 2020 Operating Leases Finance Leases Weighted average remaining lease term (in years) 6.7 3.4 Weighted average discount rate 4.7 % 4.1 %
Schedule of Lease Cost and Supplemental Cash Flow Information	The following table provides information related to the Company’s operating and finance leases: (In millions) Three Months Ended July 3, 2020 Nine Months Ended July 3, 2020 Total operating lease costs (a) $ 2.0 $ 6.0 Total finance lease costs $ 0.1 $ 0.2 Operating cash flows from operating leases $ 1.8 $ 5.9 Financing cash flows from finance leases 0.1 0.1 Total cash paid for amounts included in the measurement of lease liabilities $ 1.9 $ 6.0 Noncash operating right-of-use assets obtained in exchange for new lease liabilities (b) $ 0.3 $ 10.6 Noncash finance right-of-use assets obtained in exchange for new lease liabilities (b) — 0.2 Total right-of-use assets obtained in exchange for new lease liabilities (b) $ 0.3 $ 10.8 (a) Includes variable and short-term lease expense, which were immaterial for the three and nine months ended July 3, 2020. (b) Excludes the impact of adopting the new leases standard in the first quarter of 2020.
Schedule of Finance Lease Liability Maturities	As of July 3, 2020, maturities of operating lease and finance lease liabilities for each of the following five years and a total thereafter were as follows: (In millions) Fiscal years: Operating Leases Finance Leases 2020 remaining $ 1.7 $ 0.1 2021 6.9 0.2 2022 6.5 0.1 2023 4.2 0.1 2024 3.6 0.1 Thereafter 12.4 — Total future lease payments $ 35.3 $ 0.6 Less: imputed interest (5.6) — Present value of lease liabilities $ 29.7 $ 0.6
Schedule of Operating Lease Liability Maturities	As of July 3, 2020, maturities of operating lease and finance lease liabilities for each of the following five years and a total thereafter were as follows: (In millions) Fiscal years: Operating Leases Finance Leases 2020 remaining $ 1.7 $ 0.1 2021 6.9 0.2 2022 6.5 0.1 2023 4.2 0.1 2024 3.6 0.1 Thereafter 12.4 — Total future lease payments $ 35.3 $ 0.6 Less: imputed interest (5.6) — Present value of lease liabilities $ 29.7 $ 0.6

BUSINESS COMBINATION (Tables)

BUSINESS COMBINATION (Tables)	9 Months Ended
BUSINESS COMBINATION (Tables)	Jul. 03, 2020
Business Combinations [Abstract]
Schedule of Purchase Price Allocation	The following table summarizes the purchase price allocation: (In millions) Fair Value Allocation of the purchase consideration: Accounts receivable $ 2.4 Inventories 5.7 Prepaid expenses and other current assets 0.7 Property, plant, and equipment 0.9 Goodwill 47.2 Intangible assets 32.9 Total assets acquired $ 89.8 Accounts payable $ (1.0) Accrued liabilities and other current liabilities (1.5) Current maturities of long-term debt (1.0) Deferred revenues (0.9) Long-term debt (3.5) Other long-term liabilities (1.1) Total liabilities assumed $ (9.0) Noncontrolling interest $ (1.4) Net assets acquired, less noncontrolling interest $ 79.4 Net cash paid $ 69.5 Deferred consideration 9.9 Total consideration $ 79.4
Schedule of Intangible Assets Acquired	The following amounts represent the determination of the fair value and estimated weighted average useful lives of identifiable intangible assets for the Direct Conversion, which are amortized using the straight-line method: (In millions) Fair Value Estimated Weighted Average Backlog $ 0.2 1 Trade names 2.5 5 Developed technology 18.4 10 In-process research and development 2.8 indefinite Customer relationships 9.0 10 Total intangible assets acquired $ 32.9

RESTRUCTURING (Tables)

RESTRUCTURING (Tables)	9 Months Ended
RESTRUCTURING (Tables)	Jul. 03, 2020
Restructuring and Related Activities [Abstract]
Summary of Restructuring Costs Incurred	Below is a detail of restructuring charges incurred during the three and nine months ended July 3, 2020 and June 28, 2019, respectively, which predominantly relate to the Company's Medical segment: Three Months Ended Nine Months Ended (In millions) Location of Restructuring Charges in Consolidated Statements of Operations July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Accelerated depreciation Cost of revenues $ 0.9 $ — $ 2.1 $ 4.2 Severance costs Selling, general and administrative 0.6 — 1.9 1.8 Total restructuring charges $ 1.5 $ 0.0 $ 4.0 $ 6.0

FINANCIAL DERIVATIVES AND HED_2

FINANCIAL DERIVATIVES AND HEDGING ACTIVITIES (Tables)	9 Months Ended
FINANCIAL DERIVATIVES AND HEDGING ACTIVITIES (Tables)	Jul. 03, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Derivative Instruments	As of July 3, 2020, the Company had the following outstanding derivatives designated as hedging instruments: (In millions, except for number of instruments) Number of Instruments Notional Value Interest Rate Swap Contracts 6 $ 241.9 (In millions, except for number of instruments) Number of Instruments Notional Value Cross Currency Swap Contracts 4 $ 77.7 The following table shows the notional amounts of outstanding foreign currency contracts as of July 3, 2020: Notional Value of Derivatives not Designated as Hedging Instruments: (In millions) Buy contracts Sell contract Japanese yen $ 1.5 $ — Swiss franc — (1.0) Chinese renminbi 2.8 — Euro — (6.8) $ 4.3 $ (7.8)
Schedule of Interest Rate Derivatives	The following table summarizes the amount of pre-tax earnings recognized from derivative instruments for the periods indicated and the line items in the accompanying statements of operations where the results are recorded for cash flow hedges: Amount of Gain (Loss) Recognized in OCI on Derivative Location of Gain or (Loss) Reclassified from Accumulated OCI into Income Amount of Gain (Loss) Reclassified from Accumulated OCI into Income (In millions) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Interest Rate Swap Contracts $ (0.3) $ (2.4) Interest expense $ (0.7) $ 0.5 Amount of Gain (Loss) Recognized in OCI on Derivative Location of Gain or (Loss) Reclassified from Accumulated OCI into Income Amount of Gain (Loss) Reclassified from Accumulated OCI into Income (In millions) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Interest Rate Swap Contracts $ (3.3) $ (6.1) Interest expense $ (0.6) $ 1.6 (In millions) Derivative Assets and Liabilities Derivatives designated as cash flow hedges Balance sheet location July 3, 2020 September 27, 2019 Interest rate swap contracts Accrued liabilities and other current liabilities $ (3.2) $ — Interest rate swap contracts Other long-term liabilities — (0.5) $ (3.2) $ (0.5)
Schedule of Net Investment Hedges	The following table summarizes the amount of pre-tax earnings recognized from derivative instruments for the periods indicated and the line items in the accompanying statements of operations where the results are recorded for net investment hedges: Amount of Gain (Loss) Recognized in OCI on Derivative Location of Gain or (Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) Amount of Gain or (Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) (In millions) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Cross Currency Swap Contracts $ (2.2) $ — Interest expense $ 0.4 $ — Amount of Gain (Loss) Recognized in OCI on Derivative Location of Gain or (Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) Amount of Gain or (Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) (In millions) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Cross Currency Swap Contracts $ 2.1 $ — Interest expense $ 1.1 $ — These derivative instruments are subject to master netting agreements giving effect to rights of offset with each counterparty. None of the balances were eligible for netting. The following table summarizes the gross fair values of derivative instruments as of the periods indicated and the line items in the accompanying consolidated balance sheets where the instruments are recorded: (In millions) Derivative Assets and Liabilities Derivatives designated as net investment hedges Balance sheet location July 3, 2020 September 27, 2019 Cross Currency Swap Contracts Other current assets $ 1.5 $ — Cross Currency Swap Contracts Other non-current assets 0.6 — $ 2.1 $ —

FAIR VALUE (Tables)

FAIR VALUE (Tables)	9 Months Ended
FAIR VALUE (Tables)	Jul. 03, 2020
Fair Value Disclosures [Abstract]
Fair Value, Liabilities Measured on Recurring Basis	In the tables below, the Company has segregated all assets and liabilities that are measured at fair value on a recurring basis into the most appropriate level within the fair value hierarchy based on the inputs used to determine the fair value at the measurement date. Fair Value Measurements at July 3, 2020 (In millions) Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets: Cash equivalents - Money market funds $ — $ 10.0 $ — $ 10.0 Derivative assets — 1.9 — 1.9 Total assets measured at fair value $ — $ 11.9 $ — $ 11.9 Liabilities: Derivative liabilities — 3.2 — 3.2 Total liabilities measured at fair value $ — $ 3.2 $ — $ 3.2 Fair Value Measurements at September 27, 2019 (In millions) Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets: Cash equivalents - Money market funds $ — $ 8.8 $ — $ 8.8 Total assets measured at fair value $ — $ 8.8 $ — $ 8.8 Liabilities: Derivative liabilities $ — $ 0.7 $ — $ 0.7 Deferred Consideration 8.9 — — 8.9 Total liabilities measured at fair value $ 8.9 $ 0.7 $ — $ 9.6
Fair Value, Assets Measured on Recurring Basis	In the tables below, the Company has segregated all assets and liabilities that are measured at fair value on a recurring basis into the most appropriate level within the fair value hierarchy based on the inputs used to determine the fair value at the measurement date. Fair Value Measurements at July 3, 2020 (In millions) Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets: Cash equivalents - Money market funds $ — $ 10.0 $ — $ 10.0 Derivative assets — 1.9 — 1.9 Total assets measured at fair value $ — $ 11.9 $ — $ 11.9 Liabilities: Derivative liabilities — 3.2 — 3.2 Total liabilities measured at fair value $ — $ 3.2 $ — $ 3.2 Fair Value Measurements at September 27, 2019 (In millions) Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets: Cash equivalents - Money market funds $ — $ 8.8 $ — $ 8.8 Total assets measured at fair value $ — $ 8.8 $ — $ 8.8 Liabilities: Derivative liabilities $ — $ 0.7 $ — $ 0.7 Deferred Consideration 8.9 — — 8.9 Total liabilities measured at fair value $ 8.9 $ 0.7 $ — $ 9.6

INVENTORIES (Tables)

INVENTORIES (Tables)	9 Months Ended
INVENTORIES (Tables)	Jul. 03, 2020
Inventory Disclosure [Abstract]
Schedule of Inventory, Current	The following table summarizes the Company’s inventories: (In millions) July 3, 2020 September 27, 2019 Raw materials and parts $ 179.9 $ 160.1 Work-in-process 33.1 27.9 Finished goods 70.2 60.2 Total inventories $ 283.2 $ 248.2

GOODWILL AND INTANGIBLE ASSETS

GOODWILL AND INTANGIBLE ASSETS (Tables)	9 Months Ended
GOODWILL AND INTANGIBLE ASSETS (Tables)	Jul. 03, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Goodwill	The following table reflect goodwill by reportable operating segment: (In millions) Medical Industrial Total Balance at September 27, 2019 $ 173.0 $ 117.8 $ 290.8 Balance at July 3, 2020 $ 173.0 $ 117.8 $ 290.8
Schedule of Indefinite-Lived Intangible Assets	The following table reflects the gross carrying amount and accumulated amortization of the Company’s intangible assets included in other assets in the condensed consolidated balance sheets: July 3, 2020 September 27, 2019 (In millions) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Acquired existing technology $ 74.1 $ (35.2) $ 38.9 $ 74.1 $ (28.4) $ 45.7 Patents, licenses and other $ 12.8 $ (9.4) $ 3.4 $ 12.7 $ (8.4) $ 4.3 Customer contracts and supplier relationship $ 50.7 $ (22.4) $ 28.3 $ 50.7 $ (17.2) $ 33.5 Total intangible assets with finite lives $ 137.6 $ (67.0) $ 70.6 $ 137.5 $ (54.0) $ 83.5 In-process R&D with indefinite lives $ — $ — $ — $ 2.8 $ — $ 2.8 Total intangible assets $ 137.6 $ (67.0) $ 70.6 $ 140.3 $ (54.0) $ 86.3
Schedule of Finite-Lived Intangible Assets	The following table reflects the gross carrying amount and accumulated amortization of the Company’s intangible assets included in other assets in the condensed consolidated balance sheets: July 3, 2020 September 27, 2019 (In millions) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Acquired existing technology $ 74.1 $ (35.2) $ 38.9 $ 74.1 $ (28.4) $ 45.7 Patents, licenses and other $ 12.8 $ (9.4) $ 3.4 $ 12.7 $ (8.4) $ 4.3 Customer contracts and supplier relationship $ 50.7 $ (22.4) $ 28.3 $ 50.7 $ (17.2) $ 33.5 Total intangible assets with finite lives $ 137.6 $ (67.0) $ 70.6 $ 137.5 $ (54.0) $ 83.5 In-process R&D with indefinite lives $ — $ — $ — $ 2.8 $ — $ 2.8 Total intangible assets $ 137.6 $ (67.0) $ 70.6 $ 140.3 $ (54.0) $ 86.3

BORROWINGS (Tables)

BORROWINGS (Tables)	9 Months Ended
BORROWINGS (Tables)	Jul. 03, 2020
Debt Disclosure [Abstract]
Schedule of Debt	The following table summarizes the Company's short-term and long-term debt: July 3, 2020 September 27, 2019 $ Change (In millions, except for percentages) Amount Weighted-Average Interest Rate Amount Weighted-Average Interest Rate Current maturities of long-term debt Term facility $ 26.8 5.6 % $ 29.4 5.6 % $ (2.6) Other debt 0.8 1.3 (0.5) Total current maturities of long-term debt $ 27.6 $ 30.7 $ (3.1) Non-current maturities of long-term debt: Revolving credit facility $ — — % $ 59.0 5.6 % $ (59.0) Term facility 238.7 5.6 % 308.6 5.6 % (69.9) Convertible Notes 200.0 — 200.0 Other debt 8.2 2.5 5.7 Debt issuance costs - Credit Agreement (5.0) (5.7) 0.7 Unamortized discount - Convertible Notes (52.4) — (52.4) Non-current maturities of long-term debt 389.5 364.4 25.1 Total long-term debt, net $ 417.1 $ 395.1 $ 22.0

REDEEMABLE NONCONTROLLING INT_2

REDEEMABLE NONCONTROLLING INTERESTS & NONCONTROLLING INTERESTS (Tables)	9 Months Ended
	Jul. 03, 2020
Noncontrolling Interest [Abstract]
Redeemable Noncontrolling Interest	Changes in redeemable noncontrolling interests were as follows: (In millions) Redeemable Noncontrolling Interests Noncontrolling Interest Balance at September 27, 2019 $ 10.5 $ 3.3 Net earnings attributable to noncontrolling interests 0.4 (0.1) Other, including foreign currency remeasurement (0.1) — Balance at July 3, 2020 $ 10.8 $ 3.2

NET (LOSS) EARNINGS PER SHARE (

NET (LOSS) EARNINGS PER SHARE (Tables)	9 Months Ended
NET (LOSS) EARNINGS PER SHARE (Tables)	Jul. 03, 2020
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	A reconciliation of the numerator and denominator used in the calculation of basic and diluted net (loss) income per common share is as follows: Three Months Ended Nine Months Ended (In millions, except per share amounts) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Net (loss) earnings attributable to Varex $ (28.3) $ (1.4) $ (31.5) $ 7.4 Weighted average shares outstanding - basic 39.0 38.3 38.7 38.2 Dilutive effect of potential common shares — — — 0.2 Weighted average shares outstanding - diluted 39.0 38.3 38.7 38.4 Net (loss) earnings per share attributable to Varex - basic $ (0.73) $ (0.04) $ (0.81) $ 0.19 Net (loss) earnings per share attributable to Varex - diluted $ (0.73) $ (0.04) $ (0.81) $ 0.19 Anti-dilutive shared based awards, excluded 3.2 2.4 3.0 2.0

EMPLOYEE STOCK PLANS (Tables)

EMPLOYEE STOCK PLANS (Tables)	9 Months Ended
EMPLOYEE STOCK PLANS (Tables)	Jul. 03, 2020
Share-based Payment Arrangement [Abstract]
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs	The table below summarizes the effect of recording the share-based compensation expense (which includes the option component of the employee stock purchase plan shares): Three Months Ended Nine Months Ended (In millions) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Cost of revenues $ 0.4 $ 0.5 $ 1.0 $ 1.2 Research and development 0.7 0.3 1.9 1.7 Selling, general and administrative 2.6 2.3 7.3 5.8 Total share-based compensation expense $ 3.7 $ 3.1 $ 10.2 $ 8.7
Schedule of Share-based Compensation, Stock Options, Activity	The following table summarizes the activity for stock options under Varex’s 2020 Omnibus Stock Plan, 2017 Omnibus Stock Plan, and 2017 Employee Stock Purchase Plan for the Company’s employees: Options Outstanding (In thousands, except per share amounts and the remaining term) Options Price Range Weighted Average Exercise Price Weighted Average Remaining Term (in years) Aggregate Intrinsic Value (1) Outstanding at September 27, 2019 2,269 $22.63 - $37.60 $ 30.60 Granted 398 $28.12 - $28.12 28.12 Canceled, expired or forfeited (42) $22.63 - $37.10 29.66 Exercised (64) $22.84 - $23.24 22.93 Outstanding at July 3, 2020 2,561 $25.17 - $37.60 $ 30.42 4.4 $ — Exercisable at July 3, 2020 1,705 $25.17 - $37.60 $ 30.39 3.1 $ — (1) The aggregate intrinsic value represents the total pre-tax intrinsic value, which is computed based on the difference between the exercise price and the closing price of Varex common stock of $14.94 as of July 3, 2020, the last trading date of the Company's third quarter, and which represents the amount that would have been received by the option holders had all option holders exercised their options and sold the shares received upon exercise as of that date.
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity	The following table summarizes the activity for restricted stock units under Varex’s 2020 Omnibus Stock Plan and 2017 Omnibus Stock Plan for the Company’s employees: (In thousands, except per share amounts) Number of Shares Weighted Average Grant-Date Fair Value Outstanding at September 27, 2019 678 $ 33.18 Granted 362 25.24 Vested (220) 32.81 Canceled or expired (46) 31.30 Outstanding at July 3, 2020 774 $ 29.96

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	9 Months Ended
SEGMENT INFORMATION (Tables)	Jul. 03, 2020
Segment Reporting [Abstract]
Schedule of Segment Reporting Information, by Segment	Information related to the Company’s segments is as follows: Three Months Ended Nine Months Ended (In millions) July 3, 2020 June 28, 2019 July 3, 2020 June 28, 2019 Revenues Medical $ 137.6 $ 151.6 $ 448.6 $ 444.4 Industrial 33.6 45.1 119.7 133.8 Total revenues $ 171.2 $ 196.7 $ 568.3 $ 578.2 Gross margin Medical $ 18.0 $ 44.2 $ 105.2 $ 135.4 Industrial 8.3 16.5 39.8 49.7 Total gross margin $ 26.3 $ 60.7 $ 145.0 $ 185.1 Total operating expenses 53.1 56.1 165.8 155.6 Interest and other expenses, net (13.0) (5.2) (21.3) (18.2) (Loss) earnings before taxes (39.8) (0.6) (42.1) 11.3 Income taxes (benefit) expense (11.6) 0.7 (10.9) 3.7 Net (loss) earnings (28.2) (1.3) (31.2) 7.6 Less: Net earnings attributable to noncontrolling interests 0.1 0.1 0.3 0.2 Net (loss) earnings attributable to Varex $ (28.3) $ (1.4) $ (31.5) $ 7.4
Reconciliation of Assets from Segment to Consolidated	The following table summarizes the Company’s total assets by its reportable segments: (In millions) July 3, 2020 September 27, 2019 Identifiable assets Medical $ 885.5 $ 794.3 Industrial 236.2 244.6 Total reportable segments $ 1,121.7 $ 1,038.9

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Segment Reporting (Details)	9 Months Ended
	Jul. 03, 2020segment
Accounting Policies [Abstract]
Number of reportable operating segments	2

SUMMARY OF SIGNIFICANT ACCOUN_5

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Cash and Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Millions	Jul. 03, 2020	Sep. 27, 2019	Jun. 28, 2019	Sep. 28, 2018
Accounting Policies [Abstract]
Cash and cash equivalents	$ 87.4	$ 29.9	$ 28.5	$ 51.9
Restricted cash	1.4	1.4	1.5	1.5
Cash and cash equivalents and restricted cash as reported per statement of cash flows	$ 88.8	$ 31.3	$ 30	$ 53.4

SUMMARY OF SIGNIFICANT ACCOUN_6

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Customer Concentration Risk (Details) - Customer Concentration Risk - Canon Medical Systems Corporation	3 Months Ended		9 Months Ended		12 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019	Sep. 27, 2019
Revenue from Contract with Customer
Concentration Risk [Line Items]
Concentration risk, percentage	23.70%	17.10%	21.70%	17.50%
Accounts Receivable
Concentration Risk [Line Items]
Concentration risk, percentage			15.70%		10.10%

SUMMARY OF SIGNIFICANT ACCOUN_7

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Investments (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Jul. 03, 2020	Jul. 03, 2020
Accounting Policies [Abstract]
Equity method investment, amount written off	$ 2.7	$ 2.7

SUMMARY OF SIGNIFICANT ACCOUN_8

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Product Warranty (Details) - USD ($) $ in Millions	9 Months Ended
	Jul. 03, 2020	Jun. 28, 2019
Movement in Standard Product Warranty Accrual [Roll Forward]
Accrued product warranty, at beginning of period	$ 8.1	$ 7.3
Charged to cost of revenues	9.7	9.8
Product warranty expenditures	(9.7)	(9.2)
Accrued product warranty, at end of period	$ 8.1	$ 7.9
Minimum
Product Warranty Liability [Line Items]
Warranty term	12 months
Maximum
Product Warranty Liability [Line Items]
Warranty term	24 months

SUMMARY OF SIGNIFICANT ACCOUN_9

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Recently Adopted Accounting Pronouncements (Details) - USD ($) $ in Millions	12 Months Ended
	Sep. 27, 2019	Jul. 03, 2020	Jan. 03, 2020	Sep. 28, 2019
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Accounting Standards Update [Extensible List]	us-gaap:AccountingStandardsUpdate201602Member
Operating lease right-of-use assets	$ 0	$ 29.6
Finance lease right-of-use assets		0.6
Operating lease liability		29.7
Present value of lease liabilities		0.6
Decrease to retained earnings upon adoption of new accounting guidance	$ (74.4)	$ (42.6)
Accounting Standards Update 2016-02
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Operating lease right-of-use assets				$ 26.8
Finance lease right-of-use assets				0.6
Operating lease liability				27.5
Present value of lease liabilities				0.6
Decrease to retained earnings upon adoption of new accounting guidance			$ (0.3)	$ 0.3

REVENUE RECOGNITION - Disaggreg

REVENUE RECOGNITION - Disaggregation of Revenue (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Disaggregation of Revenue [Line Items]
Revenues, net	$ 171.2	$ 196.7	$ 568.3	$ 578.2
Americas
Disaggregation of Revenue [Line Items]
Revenues, net	58.7	73.8	191.5	216.4
EMEA
Disaggregation of Revenue [Line Items]
Revenues, net	46.8	67.3	176	198
APAC
Disaggregation of Revenue [Line Items]
Revenues, net	65.7	55.6	200.8	163.8
UNITED STATES
Disaggregation of Revenue [Line Items]
Revenues, net	$ 56.9	$ 71.4	$ 185.6	$ 210.8

REVENUE RECOGNITION - Summary o

REVENUE RECOGNITION - Summary of Contract Assets and Liabilities (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Change in Contract with Customer, Asset [Abstract]
Balance at September 27, 2019			$ 23.7
Costs recovered from product returns during the period			(4.3)
Contract asset from shipments of products, subject to return during the period			5.2
Balance at July 3, 2020	$ 24.6		24.6
Change in Contract with Customer, Liability [Abstract]
Balance at September 27, 2019			26.4
Release of refund liability included in beginning of year refund liability			(4.8)
Additions to refund liabilities			5.7
Balance at July 3, 2020	27.3		27.3
Contract with customer, liability, revenue recognized	$ 0.5	$ 0.7	$ 7.8	$ 8.9

REVENUE RECOGNITION - Performan

REVENUE RECOGNITION - Performance Obligation (Details) $ in Millions	Jul. 03, 2020USD ($)
Revenue from Contract with Customer [Abstract]
Remaining performance obligation	$ 235.7
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-07-04
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation, expected timing of satisfaction, period	12 months

LEASES - Narrative (Details)

LEASES - Narrative (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
LEASES - Narrative (Details) - USD ($) $ in Millions	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019	Jan. 03, 2020	Sep. 28, 2019	Sep. 27, 2019
Lessee, Lease, Description [Line Items]
Lease renewal term		6 years
Operating lease, expense	$ 1.2		$ 3.8
Operating lease payments due in 2019, under topic 840						$ 7.5
Operating lease payments due in 2020, under topic 840						5.4
Operating lease payments due in 2021, under topic 840						4.7
Operating lease payments due in 2022, under topic 840						1.8
Operating lease payments due in 2023, under topic 840						0.9
Operating lease payments due thereafter, under topic 840						0.2
Retained earnings		$ 42.6				$ 74.4
Accounting Standards Update 2016-02
Lessee, Lease, Description [Line Items]
Adjustment to lease right-of-use asset balance				$ 0.3
Adjustment to the lease liability balance				0.8
Retained earnings				$ 0.3	$ (0.3)
Minimum
Lessee, Lease, Description [Line Items]
Remaining lease term		1 year
Maximum
Lessee, Lease, Description [Line Items]
Remaining lease term		7 years

LEASES - Schedule of Lease Righ

LEASES - Schedule of Lease Right-of-Use Assets and Liabilities (Details) - USD ($) $ in Millions	Jul. 03, 2020	Sep. 27, 2019
Assets
Operating lease right-of-use assets	$ 29.6	$ 0
Finance lease right-of-use assets	0.6
Liabilities
Operating lease liabilities (current)	5.6	0
Finance lease liabilities (current)	0.2
Operating lease liabilities (non-current)	24.1	$ 0
Finance lease liabilities (non-current)	$ 0.4
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List]	us-gaap:PropertyPlantAndEquipmentAndFinanceLeaseRightOfUseAssetAfterAccumulatedDepreciationAndAmortization
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List]	us-gaap:AccruedLiabilitiesCurrent
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List]	us-gaap:OtherLiabilitiesNoncurrent

LEASES - Schedule of Weighted A

LEASES - Schedule of Weighted Average Remaining Lease Terms and Discount Rates (Details)	Jul. 03, 2020
Operating Leases
Weighted average remaining lease term	6 years 8 months 12 days
Weighted average discount rate	4.70%
Finance Leases
Weighted average remaining lease term	3 years 4 months 24 days
Weighted average discount rate	4.10%

LEASES - Schedule of Operating

LEASES - Schedule of Operating Lease Cost and Supplemental Cash Flow Information (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Jul. 03, 2020	Jul. 03, 2020
Leases [Abstract]
Total operating lease costs	$ 2	$ 6
Total finance lease costs	0.1	0.2
Operating cash flows from operating leases	1.8	5.9
Financing cash flows from finance leases	0.1	0.1
Total cash paid for amounts included in the measurement of lease liabilities	1.9	6
Non-cash operating right-of-use assets obtained in exchange for new lease liabilities	0.3	10.6
Non-cash finance right-of-use assets obtained in exchange for new lease liabilities	0	0.2
Total right-of-use assets obtained in exchange for new lease liabilities	$ 0.3	$ 10.8

LEASES - Schedule of Operatin_2

LEASES - Schedule of Operating and Finance Lease Liability Maturities (Details) $ in Millions	Jul. 03, 2020USD ($)
Lessee, Operating Lease, Liability, Payment, Due [Abstract]
2020 remaining	$ 1.7
2021	6.9
2022	6.5
2023	4.2
2024	3.6
Thereafter	12.4
Total future lease payments	35.3
Less: imputed interest	(5.6)
Present value of lease liabilities	29.7
Finance Lease, Liability, Payment, Due [Abstract]
2020 remaining	0.1
2021	0.2
2022	0.1
2023	0.1
2024	0.1
Thereafter	0
Total future lease payments	0.6
Less: imputed interest	0
Present value of lease liabilities	$ 0.6

BUSINESS COMBINATIONS - Narrati

BUSINESS COMBINATIONS - Narrative (Details) - USD ($) $ in Millions	Apr. 29, 2019	Apr. 30, 2020	Jul. 03, 2020	Apr. 30, 2019
Business Acquisition [Line Items]
Percentage of voting interests acquired			26.50%
Direct Conversion AB
Business Acquisition [Line Items]
Percentage of voting interests acquired	98.20%		98.70%	98.20%
Net cash paid	$ 69.5
Debt assumed in acquisition	4.5
Deferred consideration	$ 9.9
Deferred consideration, value of common stock (in shares)	300,000
Shares issued in business acquisition (in shares)		300,000

BUSINESS COMBINATIONS - Schedul

BUSINESS COMBINATIONS - Schedule of Purchase Price Allocation for Direct Conversion AB Acquisition (Details) - USD ($) $ in Millions	Apr. 29, 2019	Jul. 03, 2020	Sep. 27, 2019
Allocation of the purchase consideration:
Goodwill		$ 290.8	$ 290.8
Direct Conversion AB
Allocation of the purchase consideration:
Accounts receivable	$ 2.4
Inventories	5.7
Prepaid expenses and other current assets	0.7
Property, plant, and equipment	0.9
Goodwill	47.2
Intangible assets	32.9
Total assets acquired	89.8
Accounts payable	(1)
Accrued liabilities and other current liabilities	(1.5)
Current maturities of long-term debt	(1)
Deferred revenues	(0.9)
Long-term debt	(3.5)
Other long-term liabilities	(1.1)
Total liabilities assumed	(9)
Noncontrolling interest	(1.4)
Net assets acquired, less noncontrolling interest	79.4
Net cash paid	69.5
Deferred consideration	9.9
Total consideration	$ 79.4

BUSINESS COMBINATIONS - Intangi

BUSINESS COMBINATIONS - Intangibles Acquired (Details) - Direct Conversion AB $ in Millions	Apr. 29, 2019USD ($)
Business Acquisition [Line Items]
Fair Value	$ 32.9
In-process research and development
Business Acquisition [Line Items]
Fair Value	2.8
Backlog
Business Acquisition [Line Items]
Fair Value	$ 0.2
Estimated Weighted Average Useful Life (In Years)	1 year
Trade names
Business Acquisition [Line Items]
Fair Value	$ 2.5
Estimated Weighted Average Useful Life (In Years)	5 years
Developed technology
Business Acquisition [Line Items]
Fair Value	$ 18.4
Estimated Weighted Average Useful Life (In Years)	10 years
Customer relationships
Business Acquisition [Line Items]
Fair Value	$ 9
Estimated Weighted Average Useful Life (In Years)	10 years

RELATED-PARTY TRANSACTIONS - In

RELATED-PARTY TRANSACTIONS - Investment in Privately-Held Companies Narrative (Details) $ in Millions	1 Months Ended	3 Months Ended		9 Months Ended		12 Months Ended	20 Months Ended
	Oct. 31, 2013	Jul. 03, 2020USD ($)member	Jun. 28, 2019USD ($)	Jul. 03, 2020USD ($)member	Jun. 28, 2019USD ($)	Dec. 31, 2020USD ($)	Jul. 03, 2020USD ($)member	Sep. 27, 2019USD ($)	Nov. 30, 2018
Related Party Transaction [Line Items]
(Loss) income from equity method investments				$ (1.6)	$ (0.7)
Dpi X LLC
Related Party Transaction [Line Items]
Equity method investment, ownership percentage		100.00%		100.00%			100.00%
dpiX Holding \| Varian
Related Party Transaction [Line Items]
Equity method investment, ownership percentage		40.00%		40.00%			40.00%
Number of consortium members \| member		4		4			4
(Loss) income from equity method investments		$ (0.5)	$ 0.4	$ (0.4)	(0.3)
Equity method investments		46.8		46.8			$ 46.8	$ 48.1
Purchases from related party		4.9	$ 5.5	15.8	$ 16.7
Accounts payable, related parties		3.7		3.7			3.7	3.6
Percentage of manufacturing capacity	50.00%
Percentage of fixed costs	50.00%
VEC Imaging GmbH & Co. KG
Related Party Transaction [Line Items]
Equity method investment, ownership percentage									50.00%
Equity method investments		2.6		$ 2.6			2.6	$ 2
Payments to acquire equity method investments		1.1					$ 4
Fixed Cost Commitments \| dpiX Holding \| Varian
Related Party Transaction [Line Items]
Purchases from related party		$ 6.4
Scenario, Forecast \| Fixed Cost Commitments \| dpiX Holding \| Varian
Related Party Transaction [Line Items]
Purchases from related party						$ 12.7

RESTRUCTURING - Narrative (Deta

RESTRUCTURING - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
RESTRUCTURING - Narrative (Details) - USD ($) $ in Millions	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Restructuring Cost and Reserve [Line Items]
Restructuring charges	$ 1.5	$ 0	$ 4	$ 6
Minimum
Restructuring Cost and Reserve [Line Items]
Restructuring and related costs expected remaining	4		4
Maximum
Restructuring Cost and Reserve [Line Items]
Restructuring and related costs expected remaining	$ 8		$ 8

RESTRUCTURING - Summary of Rest

RESTRUCTURING - Summary of Restructuring Cost Incurred (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Restructuring and Related Activities [Abstract]
Accelerated depreciation	$ 0.9	$ 0	$ 2.1	$ 4.2
Severance costs	0.6	0	1.9	1.8
Total restructuring charges	$ 1.5	$ 0	$ 4	$ 6

FINANCIAL DERIVATIVES AND HED_3

FINANCIAL DERIVATIVES AND HEDGING ACTIVITIES - Summary of Derivative Instruments (Details) - Derivatives designated as cash flow hedges - Designated as Hedging Instrument $ in Millions	Jul. 03, 2020USD ($)derivative
Interest Rate Swap Contracts
Derivative [Line Items]
Number of Instruments \| derivative	6
Notional Value \| $	$ 241.9
Cross Currency Swap Contracts
Derivative [Line Items]
Number of Instruments \| derivative	4
Notional Value \| $	$ 77.7

FINANCIAL DERIVATIVES AND HED_4

FINANCIAL DERIVATIVES AND HEDGING ACTIVITIES - Summary of Income Recognized From Derivative Instruments (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Derivative [Line Items]
Amount of gain (loss) recognized in OCI on derivative	$ 0.3	$ (2.3)	$ (2)	$ (6)
Interest Rate Swap Contracts
Derivative [Line Items]
Amount of gain (loss) recognized in OCI on derivative	(0.3)	(2.4)	(3.3)	(6.1)
Cross Currency Swap Contracts
Derivative [Line Items]
Amount of gain (loss) recognized in OCI on derivative	(2.2)	0	2.1	0
Interest expense \| Interest Rate Swap Contracts
Derivative [Line Items]
Amount of gain (loss) reclassified from accumulated OCI into income	(0.7)	0.5	(0.6)	1.6
Interest expense \| Cross Currency Swap Contracts
Derivative [Line Items]
Amount of gain (loss) reclassified from accumulated OCI into income	$ 0.4	$ 0	$ 1.1	$ 0

FINANCIAL DERIVATIVES AND HED_5

FINANCIAL DERIVATIVES AND HEDGING ACTIVITIES - Summary of Derivatives at Fair Value (Details) - Derivatives designated as cash flow hedges - Designated as Hedging Instrument - USD ($) $ in Millions	Jul. 03, 2020	Sep. 27, 2019
Interest Rate Swap Contracts
Derivative [Line Items]
Derivative Liability, Fair Value, Gross Liability	$ (3.2)	$ (0.5)
Cross Currency Swap Contracts
Derivative [Line Items]
Derivative assets fair value, gross	2.1	0
Accrued liabilities and other current liabilities \| Interest Rate Swap Contracts
Derivative [Line Items]
Derivative Liability, Fair Value, Gross Liability	(3.2)	0
Other long-term liabilities \| Interest Rate Swap Contracts
Derivative [Line Items]
Derivative Liability, Fair Value, Gross Liability	0	(0.5)
Other current assets \| Cross Currency Swap Contracts
Derivative [Line Items]
Derivative assets fair value, gross	1.5	0
Other non-current assets \| Cross Currency Swap Contracts
Derivative [Line Items]
Derivative assets fair value, gross	$ 0.6	$ 0

FINANCIAL DERIVATIVES AND HED_6

FINANCIAL DERIVATIVES AND HEDGING ACTIVITIES - Narrative (Details) $ in Millions	9 Months Ended
	Jul. 03, 2020USD ($)
Derivatives designated as cash flow hedges
Derivative [Line Items]
Recorded component of accumulated other comprehensive income (loss) that will be reclassified in the statements of comprehensive earnings over the next 12 months	$ 3.2

FINANCIAL DERIVATIVES AND HED_7

FINANCIAL DERIVATIVES AND HEDGING ACTIVITIES - Summary of Notional Amount and Net Unrealized Gain (Loss) (Details) - Designated as Hedging Instrument - Foreign Exchange Contract $ in Millions	Jul. 03, 2020USD ($)
Buy contracts
Derivative [Line Items]
Notional Value	$ 4.3
Buy contracts \| Japanese yen
Derivative [Line Items]
Notional Value	1.5
Buy contracts \| Swiss franc
Derivative [Line Items]
Notional Value	0
Buy contracts \| Euro
Derivative [Line Items]
Notional Value	0
Buy contracts \| Chinese renminbi
Derivative [Line Items]
Notional Value	2.8
Sell contract
Derivative [Line Items]
Notional Value	7.8
Sell contract \| Japanese yen
Derivative [Line Items]
Notional Value	0
Sell contract \| Swiss franc
Derivative [Line Items]
Notional Value	1
Sell contract \| Euro
Derivative [Line Items]
Notional Value	6.8
Sell contract \| Chinese renminbi
Derivative [Line Items]
Notional Value	$ 0

FAIR VALUE - Schedule of Fair V

FAIR VALUE - Schedule of Fair Value Inputs (Details) - USD ($) $ in Millions	Jul. 03, 2020	Sep. 27, 2019
Assets:
Cash equivalents - Money market funds	$ 10	$ 8.8
Derivative assets	1.9
Total assets measured at fair value	11.9	8.8
Liabilities:
Derivative liabilities	3.2	0.7
Deferred consideration		8.9
Total liabilities measured at fair value	3.2	9.6
Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1)
Assets:
Cash equivalents - Money market funds	0	0
Derivative assets	0
Total assets measured at fair value	0	0
Liabilities:
Derivative liabilities	0	0
Deferred consideration		8.9
Total liabilities measured at fair value	0	8.9
Significant Other Observable Inputs (Level 2)
Assets:
Cash equivalents - Money market funds	10	8.8
Derivative assets	1.9
Total assets measured at fair value	11.9	8.8
Liabilities:
Derivative liabilities	3.2	0.7
Deferred consideration		0
Total liabilities measured at fair value	3.2	0.7
Significant Unobservable Inputs (Level 3)
Assets:
Cash equivalents - Money market funds	0	0
Derivative assets	0
Total assets measured at fair value	0	0
Liabilities:
Derivative liabilities	0	0
Deferred consideration		0
Total liabilities measured at fair value	$ 0	$ 0

FAIR VALUE - Narrative (Details

FAIR VALUE - Narrative (Details) - USD ($) $ in Millions	Jul. 03, 2020	Sep. 27, 2019
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-term debt	$ 417.1	$ 395.1
Line of Credit \| Revolving Credit Facility May 2017 \| Revolving Credit Facility
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-term debt	260.5
Convertible Debt \| Convertible Notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-term debt, fair value	$ 193.3

INVENTORIES (Details)

INVENTORIES (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
INVENTORIES (Details) - USD ($) $ in Millions	Jul. 03, 2020	Jul. 03, 2020	Jun. 28, 2019	Sep. 27, 2019
Inventory Disclosure [Abstract]
Raw materials and parts	$ 179.9	$ 179.9		$ 160.1
Work-in-process	33.1	33.1		27.9
Finished goods	70.2	70.2		60.2
Total inventories	283.2	283.2		$ 248.2
Inventory write-down	$ 15.8	$ 15.8	$ 3.1

GOODWILL AND INTANGIBLE ASSET_2

GOODWILL AND INTANGIBLE ASSETS - Goodwill Rollforward (Details)	3 Months Ended
	Jul. 03, 2020USD ($)
Goodwill [Line Items]
Goodwill impairment loss	$ 0
Goodwill [Roll Forward]
Balance at July 3, 2020	$ 290,800,000
Industrial
Goodwill [Line Items]
Reporting unit percentage of fair value in excess of carrying amount	20.00%
Goodwill [Roll Forward]
Balance at July 3, 2020	$ 117,800,000
Medical
Goodwill [Line Items]
Reporting unit percentage of fair value in excess of carrying amount	30.00%
Goodwill [Roll Forward]
Balance at July 3, 2020	$ 173,000,000

GOODWILL AND INTANGIBLE ASSET_3

GOODWILL AND INTANGIBLE ASSETS - Intangible Assets (Details) - USD ($)	3 Months Ended		9 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019	Sep. 27, 2019
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	$ 137,600,000		$ 137,600,000		$ 137,500,000
Accumulated amortization	(67,000,000)		(67,000,000)		(54,000,000)
Total intangible assets with finite lives, net carrying amount	70,600,000		70,600,000		83,500,000
In-process research and development with indefinite lives	0		0		2,800,000
Total intangible assets	137,600,000		137,600,000		140,300,000
Total intangible assets, net	70,600,000		70,600,000		86,300,000
Amortization of intangible assets	4,200,000	$ 4,100,000	13,100,000	$ 11,400,000
Intangible assets impairment	2,800,000	$ 4,000,000	2,800,000	$ 4,800,000
Indefinite-lived intangible assets (excluding goodwill), fair value disclosure	$ 0		$ 0
Measurement Input, Cost of Capital
Finite-Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets (excluding goodwill), measurement input	25.00%		25.00%
Acquired existing technology
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	$ 74,100,000		$ 74,100,000		74,100,000
Accumulated amortization	(35,200,000)		(35,200,000)		(28,400,000)
Total intangible assets with finite lives, net carrying amount	38,900,000		38,900,000		45,700,000
Patents, licenses and other
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	12,800,000		12,800,000		12,700,000
Accumulated amortization	(9,400,000)		(9,400,000)		(8,400,000)
Total intangible assets with finite lives, net carrying amount	3,400,000		3,400,000		4,300,000
Customer contracts and supplier relationship
Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets, gross	50,700,000		50,700,000		50,700,000
Accumulated amortization	(22,400,000)		(22,400,000)		(17,200,000)
Total intangible assets with finite lives, net carrying amount	$ 28,300,000		$ 28,300,000		$ 33,500,000

BORROWINGS - Schedule of Debt (

BORROWINGS - Schedule of Debt (Details) - USD ($) $ in Millions	6 Months Ended	9 Months Ended
	Mar. 29, 2019	Jul. 03, 2020	Jun. 28, 2019	Sep. 27, 2019
Current maturities of long-term debt
Current maturities of long-term debt		$ 27.6		$ 30.7
Change in current maturities of long-term debt		(3.1)
Non-current maturities of long-term debt:
Debt issuance costs		(5)		(5.7)
Unamortized discount		(52.4)		0
Non-current maturities of long-term debt		389.5		364.4
Proceeds from issuance of convertible debt		200	$ 0
Change in debt issuance costs		0.7
Change in unamortized discount		(52.4)
Change in maturities of long-term debt		25.1
Total debt outstanding, net		417.1		395.1
Change in total debt outstanding, net		22
Convertible Debt
Non-current maturities of long-term debt:
Long-term debt excluding current maturities, gross		200		0
Other Debt
Current maturities of long-term debt
Current maturities of long-term debt		0.8		1.3
Change in current portion of other long-term debt		(0.5)
Non-current maturities of long-term debt:
Long-term debt excluding current maturities, gross		8.2		2.5
Change in long-term portion of other debt		5.7
Secured Debt
Current maturities of long-term debt
Current maturities of long-term debt		$ 26.8		29.4
Weighted-Average Interest Rate	5.60%	5.60%
Change in current portion of Term Facility		$ (2.6)
Non-current maturities of long-term debt:
Long-term debt excluding current maturities, gross		$ 238.7		308.6
Weighted-Average Interest Rate	5.60%	5.60%
Change in revolving credit facility		$ (69.9)
Revolving Credit Facility \| Revolving Credit Facility May 2017
Non-current maturities of long-term debt:
Long-term debt excluding current maturities, gross		$ 0		$ 59
Weighted-Average Interest Rate	5.60%	0.00%
Change in revolving credit facility		$ (59)

BORROWINGS - Existing Credit Ag

BORROWINGS - Existing Credit Agreement Narrative (Details) - Revolving Credit Facility May 2017 - USD ($)	May 01, 2017	Jul. 03, 2020	Jun. 10, 2020
Line of Credit Facility [Line Items]
Maximum borrowing capacity			$ 100,000,000
Revolving Credit Facility
Line of Credit Facility [Line Items]
Maximum borrowing capacity	$ 200,000,000
Debt instrument, term	5 years
Available borrowing capacity		$ 100,000,000
Used capacity, commitment fee percentage	0.125%
Secured Debt
Line of Credit Facility [Line Items]
Maximum borrowing capacity	$ 400,000,000
Debt instrument, term	5 years
London Interbank Offered Rate (LIBOR) \| Revolving Credit Facility
Line of Credit Facility [Line Items]
Basis spread on variable rate	1.00%
Federal Funds Effective Swap Rate \| Revolving Credit Facility
Line of Credit Facility [Line Items]
Basis spread on variable rate	0.50%
Minimum \| Revolving Credit Facility
Line of Credit Facility [Line Items]
Unused capacity, commitment fee percentage	0.25%
Minimum \| London Interbank Offered Rate (LIBOR) \| Revolving Credit Facility
Line of Credit Facility [Line Items]
Basis spread on variable rate, floor	0.75%
Basis spread on variable rate	1.75%
Minimum \| Base Rate \| Revolving Credit Facility
Line of Credit Facility [Line Items]
Basis spread on variable rate	0.75%
Maximum \| Revolving Credit Facility
Line of Credit Facility [Line Items]
Unused capacity, commitment fee percentage	0.40%
Maximum \| London Interbank Offered Rate (LIBOR) \| Revolving Credit Facility
Line of Credit Facility [Line Items]
Basis spread on variable rate	3.50%
Maximum \| Base Rate \| Revolving Credit Facility
Line of Credit Facility [Line Items]
Basis spread on variable rate	2.50%
Debt Instrument, Repayment, Period One \| Secured Debt
Line of Credit Facility [Line Items]
Repayment percentage	5.00%
Debt Instrument, Repayment, Period Two \| Secured Debt
Line of Credit Facility [Line Items]
Repayment percentage	5.00%
Debt Instrument, Repayment, Period Three \| Secured Debt
Line of Credit Facility [Line Items]
Repayment percentage	7.50%
Debt Instrument, Repayment, Period Four \| Secured Debt
Line of Credit Facility [Line Items]
Repayment percentage	7.50%
Debt Instrument, Repayment, Period Five \| Secured Debt
Line of Credit Facility [Line Items]
Repayment percentage	10.00%

BORROWINGS - Convertible Notes

BORROWINGS - Convertible Notes Narrative (Details)	Jun. 09, 2020USD ($)tradingDay$ / sharesRate	Jul. 03, 2020USD ($)	Jul. 03, 2020USD ($)	Jun. 28, 2019USD ($)	Jun. 04, 2020USD ($)$ / shares
Debt Instrument [Line Items]
Proceeds from issuance of convertible debt			$ 200,000,000	$ 0
Convertible Debt \| Convertible Notes
Debt Instrument [Line Items]
Face amount	$ 200,000,000				$ 200,000,000
Interest rate	4.00%
Proceeds from issuance of convertible debt	$ 193,100,000
Conversion ratio \| Rate	4.805%
Conversion price (in dollars per share) \| $ / shares	$ 20.81				$ 20.81
Threshold percentage of stock price trigger	130.00%
Threshold trading days \| tradingDay	20
Threshold consecutive trading days \| tradingDay	30
Consecutive business days	5 days
Consecutive trading day measurement period	5 days
Threshold for measurement period	98.00%
Interest expense		$ 1,000,000
Interest expense, contractual interest coupon		500,000
Amortization of debt discount		$ 500,000

BORROWINGS - Call Spread Narrat

BORROWINGS - Call Spread Narrative (Details) $ / shares in Units, $ in Millions	Jul. 03, 2020equity_instruments	Jun. 05, 2020USD ($)equity_instruments	Jul. 03, 2020USD ($)	Jun. 28, 2019USD ($)	Jun. 09, 2020$ / shares	Jun. 04, 2020$ / shares
Debt Instrument [Line Items]
Warrant exercise price (in dollars per share) \| $ / shares						$ 24.975
Percent increase of strike price over sale price						50.00%
Payment of Hedge Transactions from proceeds of convertible debt		$ 11.2
Payment of Hedge Transactions from proceeds of Warrant Transactions		49.8
Purchases of hedges		$ 61	$ 61	$ 0
Convertible Notes \| Convertible Debt
Debt Instrument [Line Items]
Conversion price (in dollars per share) \| $ / shares					$ 20.81	$ 20.81
Number of equity instruments for convertible debt \| equity_instruments	9,600,000	9,600,000

BORROWINGS - Accounting Treatme

BORROWINGS - Accounting Treatment of the Convertible Notes and Related Hedge Transactions and Warrant Transactions Narrative (Details) - USD ($)	Jun. 05, 2020	Jul. 03, 2020	Jun. 28, 2019	Jun. 09, 2020	Jun. 04, 2020
Debt Instrument [Line Items]
Payment of debt issuance costs		$ 8,500,000	$ 500,000
Convertible Debt \| Convertible Notes
Debt Instrument [Line Items]
Convertible debt					$ 152,300,000
Carrying amount of equity component					$ 47,700,000
Hypothetical interest rate					10.45%
Face amount				$ 200,000,000	$ 200,000,000
Debt instrument, interest rate, effective percentage					10.90%
Payment of financing and equity issuance costs	$ 6,900,000
Payment of debt issuance costs	5,300,000
Payment of equity issuance costs	$ 1,600,000

REDEEMABLE NONCONTROLLING INT_3

REDEEMABLE NONCONTROLLING INTERESTS & NONCONTROLLING INTERESTS - Noncontrolling Interest (Details) shares in Millions, $ in Millions	Oct. 31, 2015€ / shares	Jul. 03, 2020USD ($)shares	Apr. 30, 2019	Apr. 29, 2019	Sep. 28, 2018	Apr. 30, 2015
Noncontrolling Interest [Line Items]
Percentage of voting interests acquired		26.50%
Annual recurring compensation (in euros per share) \| € / shares	€ 0.95
Temporary equity, redemption price per share (in euros per share) \| € / shares	€ 19.77
Temporary equity, shares outstanding (in shares) \| shares		0.5
Noncontrolling Interest
Balance at September 27, 2019		$ 3.3
Net earnings attributable to noncontrolling interests		(0.1)
Other, including foreign currency remeasurement		0
Balance at July 3, 2020		$ 3.2
Direct Conversion AB
Noncontrolling Interest [Line Items]
Percentage of voting interests acquired		98.70%	98.20%	98.20%
MeVis Medical Solutions AG (MeVis)
Noncontrolling Interest [Line Items]
Percentage of voting interests acquired						73.50%
Redeemable Noncontrolling Interests
Balance at September 27, 2019		$ 10.5
Net earnings attributable to noncontrolling interests		0.4
Other, including foreign currency remeasurement		(0.1)
Balance at July 3, 2020		$ 10.8
Joint Venture In Saudi Arabia
Noncontrolling Interest [Line Items]
Majority voting rights, percent					75.00%
Noncontrolling interest, ownership percentage by noncontrolling owners					25.00%

NET (LOSS) EARNINGS PER SHARE -

NET (LOSS) EARNINGS PER SHARE - Reconciliation of Numerator and Denominator for Basic and Diluted Net (Loss) Income Per Common Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Earnings Per Share [Abstract]
Net (loss) earnings attributable to Varex	$ (28.3)	$ (1.4)	$ (31.5)	$ 7.4
Weighted average common shares outstanding - basic (in shares)	39	38.3	38.7	38.2
Dilutive effect of potential common shares (in shares)	0	0	0	0.2
Weighted average common shares outstanding - diluted (in shares)	39	38.3	38.7	38.4
Net (loss) earnings per share attributable to Varex - basic (in USD per share)	$ (0.73)	$ (0.04)	$ (0.81)	$ 0.19
Net (loss) earnings per share attributable to Varex - diluted (in USD per share)	$ (0.73)	$ (0.04)	$ (0.81)	$ 0.19
Anti-dilutive employee shared based awards, excluded (in shares)	3.2	2.4	3	2

EMPLOYEE STOCK PLANS - Share-ba

EMPLOYEE STOCK PLANS - Share-based Compensation Expense (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Allocated share-based compensation expense	$ 3.7	$ 3.1	$ 10.2	$ 8.7
Cost of revenues
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Allocated share-based compensation expense	0.4	0.5	1	1.2
Research and development
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Allocated share-based compensation expense	0.7	0.3	1.9	1.7
Selling, general and administrative
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Allocated share-based compensation expense	$ 2.6	$ 2.3	$ 7.3	$ 5.8

EMPLOYEE STOCK PLANS - Stock Op

EMPLOYEE STOCK PLANS - Stock Option Activity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions	9 Months Ended
	Jul. 03, 2020	Sep. 27, 2019
Options
Options, outstanding, beginning balance (in shares)	2,269
Options, grants in period (in shares)	398
Options, canceled, forfeited and expired in period (in shares)	(42)
Options, exercises in period (in shares)	(64)
Options, outstanding, ending balance (in shares)	2,561
Options, exercisable (in shares)	1,705
Weighted Average Exercise Price
Options, outstanding, weighted average exercise price, beginning (in USD per share)	$ 30.60
Options, grants in period, weighted average exercise price (in USD per share)	28.12
Options, canceled, forfeited and expired in period, weighted average exercise price (in USD per share)	29.66
Options, exercises in period, weighted average exercise price (in USD per share)	22.93
Options, outstanding, weighted average exercise price, ending (in USD per share)	30.42
Options, exercisable, weighted average exercise price (in USD per share)	$ 30.39
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract]
Options, outstanding, weighted average remaining contractual term (in years)	4 years 4 months 24 days
Options, exercisable, weighted average remaining contractual term (in years)	3 years 1 month 6 days
Options, outstanding, intrinsic value	$ 0
Options, exercisable, intrinsic value	$ 0
Share price (in USD per share)	$ 14.94
Minimum
Price Range
Outstanding at period beginning and ending (in USD per share)	25.17	$ 22.63
Granted (in USD per share)	28.12
Canceled, expired or forfeited (in USD per share)	22.63
Exercised (in USD per share)	22.84
Exercisable at January 3, 2020 (in USD per share)	25.17
Maximum
Price Range
Outstanding at period beginning and ending (in USD per share)	37.60	$ 37.60
Granted (in USD per share)	28.12
Canceled, expired or forfeited (in USD per share)	37.10
Exercised (in USD per share)	23.24
Exercisable at January 3, 2020 (in USD per share)	$ 37.60

EMPLOYEE STOCK PLANS - Restrict

EMPLOYEE STOCK PLANS - Restricted Stock and Performance Stock (Details) shares in Thousands	9 Months Ended
	Jul. 03, 2020$ / sharesshares
Number of Shares
Restricted stock units, nonvested, beginning balance, number of shares (in shares) \| shares	678
Restricted stock units, grants in period (in shares) \| shares	362
Restricted stock units, vested in period (in shares) \| shares	(220)
Restricted stock units, canceled or expired in period (in shares) \| shares	(46)
Restricted stock units, nonvested, ending balance, number of shares (in shares) \| shares	774
Weighted Average Grant-Date Fair Value
Restricted stock units, nonvested, beginning of period, weighted average grant date fair value (in USD per share) \| $ / shares	$ 33.18
Restricted stock units, grants in period, weighted average grant date fair value (in USD per share) \| $ / shares	25.24
Restricted stock units, vested in period, weighted average grant date fair value (in USD per share) \| $ / shares	32.81
Restricted stock units, canceled or expired, weighted average grant date fair value (in USD per share) \| $ / shares	31.30
Restricted stock units, nonvested, end of period, weighted average grant date fair value (in USD per share) \| $ / shares	$ 29.96

TAXES ON EARNINGS - Narrative (

TAXES ON EARNINGS - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Jul. 03, 2020	Jun. 28, 2019	Jul. 03, 2020	Jun. 28, 2019
Income Tax Disclosure [Abstract]
Income tax (benefit) expense	$ (11.6)	$ 0.7	$ (10.9)	$ 3.7
(Loss) earnings before taxes	(39.8)	$ (0.6)	(42.1)	$ 11.3
Deferred tax liabilities of undistributed foreign earnings	$ 0.1		$ 0.1

SEGMENT INFORMATION - Income St

SEGMENT INFORMATION - Income Statement Information (Details) $ in Millions	3 Months Ended		9 Months Ended
	Jul. 03, 2020USD ($)	Jun. 28, 2019USD ($)	Jul. 03, 2020USD ($)segment	Jun. 28, 2019USD ($)
Segment Reporting Information [Line Items]
Number of reportable operating segments \| segment			2
Revenues, net	$ 171.2	$ 196.7	$ 568.3	$ 578.2
Gross margin	26.3	60.7	145	185.1
Total operating expenses	53.1	56.1	165.8	155.6
Interest and other expenses, net	(13)	(5.2)	(21.3)	(18.2)
(Loss) earnings before taxes	(39.8)	(0.6)	(42.1)	11.3
Income tax (benefit) expense	(11.6)	0.7	(10.9)	3.7
Net (loss) earnings	(28.2)	(1.3)	(31.2)	7.6
Less: Net earnings attributable to noncontrolling interests	(0.1)	(0.1)	(0.3)	(0.2)
Net (loss) earnings attributable to Varex	(28.3)	(1.4)	(31.5)	7.4
Operating Segments \| Medical
Segment Reporting Information [Line Items]
Revenues, net	137.6	151.6	448.6	444.4
Gross margin	18	44.2	105.2	135.4
Operating Segments \| Industrial
Segment Reporting Information [Line Items]
Revenues, net	33.6	45.1	119.7	133.8
Gross margin	$ 8.3	$ 16.5	$ 39.8	$ 49.7

SEGMENT INFORMATION - Assets (D

SEGMENT INFORMATION - Assets (Details) - USD ($) $ in Millions	Jul. 03, 2020	Sep. 27, 2019
Segment Reporting Information [Line Items]
Identifiable assets	$ 1,121.7	$ 1,038.9
Medical \| Operating Segments
Segment Reporting Information [Line Items]
Identifiable assets	885.5	794.3
Industrial \| Operating Segments
Segment Reporting Information [Line Items]
Identifiable assets	$ 236.2	$ 244.6

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details) - Subsequent Event $ in Millions	Jul. 29, 2020USD ($)employee
Scenario, Forecast
Subsequent Event [Line Items]
Expected reduction of number of employees \| employee	94
Minimum
Subsequent Event [Line Items]
Expected cost	$ 2.5
Maximum
Subsequent Event [Line Items]
Expected cost	$ 3.5

Uncategorized Items - var-20200

Label	Element	Value
Industrial [Member]
Goodwill	us-gaap_Goodwill	$ 117,800,000
Medical [Member]
Goodwill	us-gaap_Goodwill	$ 173,000,000