National Vision (EYE) 10-Q 5 Nov 20 2020 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Sep. 26, 2020	Oct. 30, 2020
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 26, 2020
Document Transition Report	false
Entity File Number	001-38257
Entity Registrant Name	National Vision Holdings, Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	46-4841717
Entity Address, Address Line One	2435 Commerce Ave
Entity Address, Address Line Two	Building 2200
Entity Address, City or Town	Duluth
Entity Address, State or Province	GA
Entity Address, Postal Zip Code	30096
City Area Code	770
Local Phone Number	822‑3600
Title of 12(b) Security	Common stock, par value $0.01 per share
Trading Symbol	EYE
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		81,020,333
Entity Central Index Key	0001710155
Current Fiscal Year End Date	--01-02
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 26, 2020	Dec. 28, 2019
Current assets:
Cash and cash equivalents	$ 377,007	$ 39,342
Accounts receivable, net	49,678	44,475
Inventories	111,700	127,556
Prepaid expenses and other current assets	17,050	23,266
Total current assets	555,435	234,639
Property and equipment, net	330,356	366,767
Other assets:
Goodwill	777,613	777,613
Trademarks and trade names	240,547	240,547
Other intangible assets, net	51,384	56,940
Right of use assets	335,860	348,090
Other assets	16,318	8,129
Total non-current assets	1,752,078	1,798,086
Total assets	2,307,513	2,032,725
Current liabilities:
Accounts payable	68,629	40,782
Other payables and accrued expenses	125,278	82,829
Unearned revenue	44,723	28,002
Deferred revenue	56,846	55,870
Current maturities of long-term debt and finance lease obligations	3,537	13,759
Current operating lease obligations	57,036	51,937
Total current liabilities	356,049	273,179
Long-term debt and finance lease obligations, less current portion and debt discount	648,138	555,933
Non-current operating lease obligations	320,155	331,769
Other non-current liabilities:
Deferred revenue	20,773	21,530
Other liabilities	23,686	13,731
Deferred income taxes, net	73,749	60,146
Total other non-current liabilities	118,208	95,407
Commitments and contingencies
Stockholders’ equity:
Common stock, $0.01 par value; 200,000 shares authorized; 81,917 and 80,603 shares issued as of September 26, 2020 and December 28, 2019, respectively; 80,989 and 79,678 shares outstanding as of September 26, 2020 and December 28, 2019, respectively	818	805
Additional paid-in capital	790,188	700,121
Accumulated other comprehensive loss	(5,944)	(3,814)
Retained earnings	107,801	107,132
Treasury stock, at cost; 928 and 925 shares as of September 26, 2020 and December 28, 2019, respectively	(27,900)	(27,807)
Total stockholders’ equity	864,963	776,437
Total liabilities and stockholders’ equity	$ 2,307,513	$ 2,032,725

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 26, 2020	Dec. 28, 2019
Statement of Financial Position [Abstract]
Common stock, par value (in usd per share)	$ 0.01	$ 0.01
Common stock, authorized (shares)	200,000,000	200,000,000
Common stock, issued (shares)	81,917,000	80,603,000
Common stock, outstanding (shares)	80,989,000	79,678,000
Treasury stock (shares)	928,000	925,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Income - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 26, 2020	Sep. 28, 2019	Sep. 26, 2020	Sep. 28, 2019
Revenue:
Total net revenue	$ 485,353	$ 431,902	$ 1,215,064	$ 1,322,568
Costs applicable to revenue (exclusive of depreciation and amortization):
Total costs applicable to revenue	210,809	204,502	570,143	618,978
Operating expenses:
Selling, general and administrative expenses	190,518	190,290	520,841	566,444
Depreciation and amortization	22,236	22,336	68,970	63,570
Asset impairment	7,150	3,516	20,916	7,387
Litigation settlement	0	0	4,395	0
Other expense (income), net	(154)	146	(312)	975
Total operating expenses	219,750	216,288	614,810	638,376
Income from operations	54,794	11,112	30,111	65,214
Interest expense, net	12,475	7,873	35,432	25,902
Debt issuance costs	0	0	136	0
Loss on extinguishment of debt	0	9,786	0	9,786
Earnings (loss) before income taxes	42,319	(6,547)	(5,457)	29,526
Income tax provision (benefit)	7,030	(7,739)	(6,655)	647
Net income	$ 35,289	$ 1,192	$ 1,198	$ 28,879
Earnings per share:
Basic (in usd per share)	$ 0.44	$ 0.02	$ 0.01	$ 0.37
Diluted (in usd per share)	$ 0.42	$ 0.01	$ 0.01	$ 0.35
Weighted average shares outstanding:
Basic (shares)	80,676	78,474	80,376	78,387
Diluted (shares)	83,795	81,561	82,718	81,510
Comprehensive income:
Net income	$ 35,289	$ 1,192	$ 1,198	$ 28,879
Unrealized gain (loss) on hedge instruments	1,894	681	(2,853)	(2,837)
Tax provision (benefit) of unrealized gain (loss) on hedge instruments	483	175	(723)	(727)
Comprehensive income (loss)	36,700	1,698	(932)	26,769
Products
Revenue:
Total net revenue	403,336	355,789	1,005,884	1,096,482
Costs applicable to revenue (exclusive of depreciation and amortization):
Total costs applicable to revenue	148,274	144,518	402,279	444,177
Services and plans
Revenue:
Total net revenue	82,017	76,113	209,180	226,086
Costs applicable to revenue (exclusive of depreciation and amortization):
Total costs applicable to revenue	$ 62,535	$ 59,984	$ 167,864	$ 174,801

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands	Total	Cumulative effect of change in accounting principle	Balance as adjusted	Common Stock	Common StockBalance as adjusted	Additional Paid-In Capital	Additional Paid-In CapitalBalance as adjusted	Accumulated Other Comprehensive Loss	Accumulated Other Comprehensive LossBalance as adjusted	Retained Earnings	Retained EarningsCumulative effect of change in accounting principle	Retained EarningsBalance as adjusted	Treasury Stock	Treasury StockBalance as adjusted
Beginning balance (shares) at Dec. 29, 2018				78,167	78,167
Balance at beginning of period at Dec. 29, 2018	$ 743,154	$ (506)	$ 742,648	$ 782	$ 782	$ 672,503	$ 672,503	$ (2,810)	$ (2,810)	$ 74,840	$ (506)	$ 74,334	$ (2,161)	$ (2,161)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (shares)				51
Issuance of common stock	513			$ 1		512
Stock based compensation	2,937					2,937
Unrealized gain (loss) on hedge instruments, net of tax	(947)							(947)
Net income (loss)	17,429									17,429
Ending balance (shares) at Mar. 30, 2019				78,218
Balance at end of period at Mar. 30, 2019	762,580			$ 783		675,952		(3,757)		91,763			(2,161)
Beginning balance (shares) at Dec. 29, 2018				78,167	78,167
Balance at beginning of period at Dec. 29, 2018	743,154	(506)	742,648	$ 782	$ 782	672,503	672,503	(2,810)	(2,810)	74,840	(506)	74,334	(2,161)	(2,161)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	28,879
Ending balance (shares) at Sep. 28, 2019				79,022
Balance at end of period at Sep. 28, 2019	765,471			$ 800		693,541		(4,921)		103,212			(27,161)
Beginning balance (shares) at Mar. 30, 2019				78,218
Balance at beginning of period at Mar. 30, 2019	762,580			$ 783		675,952		(3,757)		91,763			(2,161)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (shares)				266
Issuance of common stock	1,553			$ 3		1,550
Stock based compensation	1,714					1,714
Unrealized gain (loss) on hedge instruments, net of tax	(1,670)							(1,670)
Net income (loss)	10,257									10,257
Ending balance (shares) at Jun. 29, 2019				78,484
Balance at end of period at Jun. 29, 2019	774,434			$ 786		679,216		(5,427)		102,020			(2,161)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (shares)				1,357
Issuance of common stock	8,238			$ 14		8,224
Stock based compensation	6,101					6,101
Purchase of treasury stock (shares)				(819)
Purchase of treasury stock	(25,000)												(25,000)
Unrealized gain (loss) on hedge instruments, net of tax	506							506
Net income (loss)	1,192									1,192
Ending balance (shares) at Sep. 28, 2019				79,022
Balance at end of period at Sep. 28, 2019	765,471			$ 800		693,541		(4,921)		103,212			(27,161)
Beginning balance (shares) at Dec. 28, 2019				79,678	79,678
Balance at beginning of period at Dec. 28, 2019	776,437	(529)	775,908	$ 805	$ 805	700,121	700,121	(3,814)	(3,814)	107,132	(529)	106,603	(27,807)	(27,807)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (shares)				602
Issuance of common stock	5,120			$ 6		5,114
Stock based compensation	2,066					2,066
Purchase of treasury stock (shares)				(2)
Purchase of treasury stock	(74)												(74)
Unrealized gain (loss) on hedge instruments, net of tax	(6,602)							(6,602)
Net income (loss)	9,742									9,742
Ending balance (shares) at Mar. 28, 2020				80,278
Balance at end of period at Mar. 28, 2020	786,160			$ 811		707,301		(10,416)		116,345			(27,881)
Beginning balance (shares) at Dec. 28, 2019				79,678	79,678
Balance at beginning of period at Dec. 28, 2019	776,437	$ (529)	$ 775,908	$ 805	$ 805	700,121	$ 700,121	(3,814)	$ (3,814)	107,132	$ (529)	$ 106,603	(27,807)	$ (27,807)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	1,198
Ending balance (shares) at Sep. 26, 2020				80,989
Balance at end of period at Sep. 26, 2020	864,963			$ 818		790,188		(5,944)		107,801			(27,900)
Beginning balance (shares) at Mar. 28, 2020				80,278
Balance at beginning of period at Mar. 28, 2020	786,160			$ 811		707,301		(10,416)		116,345			(27,881)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (shares)				137
Issuance of common stock	878			$ 1		877
Stock based compensation	3,324					3,324
Conversion option related to convertible senior notes, net of allocated costs and tax	71,349					71,349
Unrealized gain (loss) on hedge instruments, net of tax	3,061							3,061
Net income (loss)	(43,833)									(43,833)
Ending balance (shares) at Jun. 27, 2020				80,415
Balance at end of period at Jun. 27, 2020	820,939			$ 812		782,851		(7,355)		72,512			(27,881)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (shares)				575
Issuance of common stock	4,480			$ 6		4,474
Stock based compensation	2,863					2,863
Purchase of treasury stock (shares)				(1)
Purchase of treasury stock	(19)												(19)
Unrealized gain (loss) on hedge instruments, net of tax	1,411							1,411
Net income (loss)	35,289									35,289
Ending balance (shares) at Sep. 26, 2020				80,989
Balance at end of period at Sep. 26, 2020	$ 864,963			$ 818		$ 790,188		$ (5,944)		$ 107,801			$ (27,900)

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 26, 2020	Sep. 28, 2019
Cash flows from operating activities:
Net income	$ 1,198	$ 28,879
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	68,970	63,570
Amortization of debt discount and deferred financing costs	7,248	1,071
Asset impairment	20,916	7,387
Deferred income tax expense (benefit)	(6,735)	651
Stock based compensation expense	8,335	10,840
Losses (gains) on change in fair value of derivatives	4,596	0
Inventory adjustments	3,502	3,065
Credit loss expense	482	6,265
Loss on extinguishment of debt	0	9,786
Other	1,665	1,963
Changes in operating assets and liabilities:
Accounts receivable	(5,685)	(6,023)
Inventories	12,354	1,063
Other assets	2,538	11,373
Accounts payable	27,847	1,694
Deferred revenue	219	7,068
Other liabilities	56,266	22,286
Net cash provided by operating activities	203,716	170,938
Cash flows from investing activities:
Purchase of property and equipment	(40,837)	(76,472)
Other	323	564
Net cash used for investing activities	(40,514)	(75,908)
Cash flows from financing activities:
Borrowings on long-term debt, net of discounts	548,769	566,550
Repayments on long-term debt	(369,269)	(564,300)
Proceeds from exercise of stock options	10,478	9,992
Purchase of treasury stock	(93)	(25,000)
Payments of debt issuance costs	(12,462)	(2,930)
Payments on finance lease obligations	(2,517)	(2,054)
Net cash provided by (used for) financing activities	174,906	(17,742)
Net change in cash, cash equivalents and restricted cash	338,108	77,288
Cash, cash equivalents and restricted cash, beginning of year	40,307	17,998
Cash, cash equivalents and restricted cash, end of period	378,415	95,286
Supplemental cash flow disclosure information:
Cash paid for interest	19,508	25,182
Capital expenditures accrued at the end of the period	13,516	13,808
Right of use assets acquired under finance leases	1,257	9,551
Right of use assets acquired under operating leases	$ 45,154	$ 84,643

Description of Business and Bas

Description of Business and Basis of Presentation	9 Months Ended
	Sep. 26, 2020
Accounting Policies [Abstract]
Description of Business and Basis of Presentation	Nature of Operations National Vision Holdings, Inc. (“NVHI,” the “Company,” “we,” “our,” or “us”) is a holding company whose operating subsidiaries include its indirect wholly owned subsidiary, National Vision, Inc. (“NVI”) and NVI’s direct wholly owned subsidiaries. We are a leading value retailer of eyeglasses and contact lenses in the United States and its territories. We operated 1,201 and 1,151 retail optical locations as of September 26, 2020 and December 28, 2019, respectively, through our five store brands, including America’s Best Contacts and Eyeglasses (“America’s Best”), Eyeglass World, Vista Optical locations on select U.S. Army/Air Force military bases (“Military”) and within select Fred Meyer stores, and our management & services arrangement with Walmart (“Legacy”). Basis of Presentation We prepared the accompanying unaudited interim condensed consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and, therefore, do not include all information and disclosures required by U.S. GAAP for complete consolidated financial statements. The condensed consolidated balance sheet as of December 28, 2019 has been derived from the audited consolidated balance sheet for the fiscal year then ended. These condensed consolidated financial statements reflect all normal and recurring adjustments which are, in the opinion of management, necessary to present fairly the Company’s consolidated financial position as of September 26, 2020, the consolidated results of operations and comprehensive income, the statements of changes in stockholders’ equity for the three and nine months ended September 26, 2020 and September 28, 2019, and its statements of cash flows for the nine months ended September 26, 2020 and September 28, 2019. Certain information and disclosures normally included in our annual consolidated financial statements have been condensed or omitted; however, we believe that the disclosures included herein are sufficient for a fair presentation of the information presented. These condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements and the notes thereto for the fiscal year ended December 28, 2019 included in the 2019 Annual Report on Form 10-K. The Company’s significant accounting policies are set forth in Note 1 within those consolidated financial statements. We use the same accounting policies in preparing interim condensed consolidated financial information and annual consolidated financial statements. There were no changes to our significant accounting policies during the nine months ended September 26, 2020, except for the adoption of Accounting Standards Update (“ASU”) No. 2018-15, Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract and ASU No. 2016-13, Measurement of Credit Losses on Financial Instruments . See “Adoption of New Accounting Pronouncements” below for further discussion. The condensed consolidated financial statements include our accounts and those of our subsidiaries, all of which are wholly-owned. All intercompany balances and transactions have been eliminated in consolidation. Refer to Note 4. “Long-term Debt” for information on convertible debt issued in the second quarter of 2020. Refer to Note 5. “Interest Rate Derivatives” for information on changes in our assessment of hedge effectiveness in fiscal year 2020 and for information on our accounting for hedge ineffectiveness. Fiscal Year Our fiscal year consists of 52 or 53 weeks ending on the Saturday closest to December 31. Fiscal year 2020 contains 53 weeks and will end on January 2, 2021. All three and nine month periods presented herein contain 13 and 39 weeks, respectively. All references to years and quarters relate to fiscal periods rather than calendar periods. Seasonality The consolidated results of operations for the three and nine months ended September 26, 2020 and September 28, 2019, are not necessarily indicative of the results to be expected for the full fiscal year due to seasonality and uncertainty of general economic conditions that may impact our key end markets. Historically, our business has realized a higher portion of net revenue, income from operations, and cash flows from operations in the first half of the year, and a lower portion of net revenue, income from operations, and cash flows from operations in the fourth fiscal quarter. The first half seasonality is attributable primarily to the timing of our customers’ personal income tax refunds and annual health insurance program start/reset periods. Seasonality related to fourth quarter holiday spending by retail customers generally does not impact our business. Our quarterly consolidated results generally may also be affected by the timing of new store openings, store closings, and certain holidays. Due to the temporary closure of our stores for a portion of the first half of 2020, the COVID-19 pandemic has caused changes in fiscal year 2020 seasonality and may cause changes beyond 2020 to the seasonality we have historically experienced. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Asset Impairment We evaluate impairment of long-lived tangible and right of use (“ROU”) store assets at the store level, which is the lowest level at which independent cash flows can be identified, when events or conditions indicate the carrying values of such assets may not be recoverable. In making this evaluation, we may consider multiple factors including financial performance of the stores, regional and local business climates, future plans for the store operations and other qualitative factors. If the store’s projected undiscounted net cash flows expected to be generated by the related assets over the life of the primary asset within the asset group (generally leasehold improvements) are less than the carrying value of the subject assets, we determine an estimate of the fair value of the asset group using an income approach based on discounted cash flows, which require estimates and assumptions related to forecasted store revenue growth rates and store profitability. The cash flows used in estimating fair value were discounted using market rates from 6.3% to 8%. If the fair value of the asset group is less than its carrying value, the loss is allocated to the long-lived assets of the group on a pro rata basis using the relative carrying amounts of those assets, except that the loss allocated to an individual long lived asset of the group shall not reduce the carrying amount of that asset below its fair value. We consider market-based indications of prevailing rental rates for retail space when estimating the fair values of ROU assets. A decrease in the estimated cash flows would lead to a lower fair value measurement, as would an increase in the discount rate. These non-recurring fair value measurements are classified as Level 3 measurements in the fair value hierarchy. We identified indicators of impairment of certain st ores and other assets and recorded $7.2 million and $20.9 million of related asset impairment charges during the three and nine months ended September 26, 2020, respectively, in Corporate/Other segment. These impairment charges were primarily driven by lower t han projected customer sales volume in certain stores; we also considere d the historical performance of the stores before the temporary store closures in response to the COVID-19 pandemic, the effect of store closures and uncertainty in store revenues over the remaining useful life of the asset group as a result of the COVID-19 pandemic. The estimated remaining fair value of the impaired assets was $28.1 million as of September 26, 2020; this value includes fair value estimates related to impairments recorded in the first and second quarters of 2020. Substantially all of the remaining fair value of the impaired store assets in fiscal year 2020 represents the fair value of ROU assets. The asset impairment expense for the nine months ended September 26, 2020 also includes $1.1 million related to a write-off of certain software assets that were deemed to be obsolete due to a decision to cease further development. Income Taxes Our income tax provision for the three months ended September 26, 2020 reflected our statutory federal and state rate of 25.5%, offset by a discrete benefit of $3.0 million associated primarily with stock option exercises. Our income tax benefit for the nine months ended September 26, 2020 reflected our statutory federal and state rate of 25.5%, combined with a discrete benefit of $6.0 million associated primarily with stock option exercises. In comparison, the income tax provision associated with the three and nine months ended September 28, 2019 reflected income tax expense at our statutory federal and state rate of 25.6% and was reduced by discrete benefits resulting from stock option exercises of $6.3 million and a $7.7 million, respectively. CARES Act On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was enacted in response to the COVID-19 pandemic. The CARES Act, among other things, accelerates a company’s ability to recover Alternative Minimum Tax (“AMT”) refundable credits that otherwise could have been claimed in 2020 and 2021, to 2018 and 2019, with an option to elect recovery of the full credit amount for 2018. The Company has elected to apply the AMT refundable credit provision of the CARES Act and has reclassified $1.3 million of AMT credits from Deferred income taxes, net as of December 28, 2019 to Prepaid expenses and other assets as of September 26, 2020. The CARES Act also includes a technical correction wherein qualified improvement property placed in service in 2018 and after is eligible for 100% bonus depreciation. This provision of the CARES Act resulted in an increase in our NOL carry-forwards with an offsetting increase in our gross deferred tax liability relating to property and equipment of approximately $25.0 million as of September 26, 2020. In addition, as a result of the employee retention credits made available under the CARES Act for U.S. employees the Company recognized $0.2 million as a reduction to SG&A during the three months ended September 26, 2020, and recognized $0.4 million as a reduction to costs of products, $6.2 million as a reduction to costs of services and plans, and $4.4 million as a reduction to SG&A during the nine months ended September 26, 2020. The Company recognizes government grants for which there is a reasonable assurance of compliance with grant conditions and receipt of credits. We believe there is a reasonable assurance that the Company will comply with the relevant conditions of the employee retention credit provision of the CARES Act, and that we will receive the credits for which we have applied. We elected to offset credits recognized under the CARES against against payroll taxes that would otherwise be payable. We will continue to assess our treatment of the CARES Act to the extent additional guidance and regulations are issued, the further applicability of the CARES Act to the Company, and the potential impacts on our business. Adoption of New Accounting Pronouncements Cloud Computing. In August 2018, the FASB issued ASU No. 2018-15, Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract. This new guidance aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). This new guidance is effective for fiscal years beginning after December 15, 2019, and for interim periods within those fiscal years and may be adopted on a prospective or retrospective basis. We adopted the accounting standard on a prospective basis in the first quarter of 2020. The adoption of this guidance did not have a material impact on the Company’s financial condition, results of operations or cash flows. Credit Losses . In June 2016, the FASB issued ASU No. 2016-13, Measurement of Credit Losses on Financial Instruments. This new guidance requires an entity to assess impairment of its financial instruments based on its estimate of expected credit losses. Initial adoption of ASU 2016-13 is required to be reported on a modified retrospective basis, with a cumulative-effect adjustment to retained earnings as of the beginning of the year of adoption, except for certain provisions that are required to be applied prospectively. This guidance is effective for fiscal years beginning after December 15, 2019, and for interim reporting periods within those fiscal years. We adopted ASU No. 2016-13 as of December 29, 2019 (the first day of fiscal year 2020), using the modified retrospective approach without adjusting the comparative periods presented. Upon adoption, the Company recorded a $0.7 million increase to the allowance for credit losses as a result of increases in our allowance for credit losses of notes receivable. Refer to Note 7. “Equity in Assets of Non-Consolidated Investee” for more information on our non-consolidated investee’s secured convertible promissory note. After adjusting for deferred taxes, we recorded a $0.5 million decrease in Retained earnings through a cumulative-effect adjustment. Adoption of this new guidance did not have a material impact on the Company’s financial condition, results of operations or cash flows. Future Adoption of Accounting Pronouncements Reference Rate Reform. In March 2020, the FASB issued ASU No. 2020-04, Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU 2020-04”). This guidance provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships, and other transactions that may be affected by the cessation of the London Inter-bank Offered Rate (“LIBOR.”) ASU 2020-04 is effective from March 2020 through December 2022. A substantial portion of our debt is subject to interest payments that are indexed to LIBOR; additionally, we are party to multiple interest rate derivatives based on LIBOR. We are currently evaluating the effect of this guidance. Convertible Instruments and Contracts in an Entity’s Own Equity. In August 2020, the FASB issued ASU No. 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity (“ASU 2020-06”). This new guidance simplifies and adds disclosure requirements for the accounting and measurement of convertible instruments and the settlement assessment for contracts in an entity’s own equity. ASU 2020-06 is effective for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2021, with early adoption possible for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2020. We are currently evaluating the effect of this guidance and are considering early adoption of this guidance in our fiscal year beginning January 3, 2021; ultimate decisions regarding the timing of adoption are subject to further evaluation.

Details of Certain Balance Shee

Details of Certain Balance Sheet Accounts	9 Months Ended
	Sep. 26, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Details of Certain Balance Sheet Accounts	Details of Certain Balance Sheet Accounts In thousands As of As of Accounts receivable, net: Trade receivables $ 25,448 $ 28,635 Credit card receivables 18,470 14,173 Other receivables 6,300 4,707 Allowance for credit losses (540) (3,040) $ 49,678 $ 44,475 In thousands As of As of Inventories: Raw materials and work in process (1) $ 50,394 $ 65,179 Finished goods 61,306 62,377 $ 111,700 $ 127,556 (1) Due to the immaterial amount of estimated work in process and the short lead times for the conversion of raw materials to finished goods, the Company does not separately present raw materials and work in process. In thousands As of As of Property and equipment, net: Land and building $ 3,624 $ 3,632 Equipment 198,601 188,593 Information technology hardware and software 116,232 115,283 Furniture and fixtures 55,068 55,146 Leasehold improvements 215,598 213,124 Construction in progress 21,743 26,517 Right of use assets under finance leases 37,162 36,437 648,028 638,732 Less: Accumulated depreciation 317,672 271,965 $ 330,356 $ 366,767 In thousands As of As of Other payables and accrued expenses: Employee compensation and benefits $ 45,532 $ 28,347 Advertising 2,164 2,919 Self-insurance liabilities 9,378 8,403 Reserves for customer returns and remakes 7,266 7,158 Capital expenditures 13,516 6,782 Legacy management & services agreement 5,030 4,461 Fair value of derivative liabilities 6,109 6,382 Supplies and other store support expenses 3,098 2,926 Litigation settlements 8,302 3,840 Lease concessions 6,319 — Other 18,564 11,611 $ 125,278 $ 82,829 In thousands As of As of Other non-current liabilities: Fair value of derivative liabilities $ 9,324 $ 1,603 Self-insurance liabilities 8,360 7,283 Other (1) 6,002 4,845 $ 23,686 $ 13,731 (1) Includes CARES Act deferred employer payroll taxes in the amount of $3.5 million as of September 26, 2020.

Fair Value Measurements of Fina

Fair Value Measurements of Financial Assets and Liabilities	9 Months Ended
	Sep. 26, 2020
Fair Value Disclosures [Abstract]
Fair Value Measurements of Financial Assets and Liabilities	Fair Value Measurements of Financial Assets and Liabilities The Company uses a fair value hierarchy that is intended to increase consistency and comparability in fair value measurements and related disclosures. The fair value hierarchy is based on inputs to valuation techniques that are used to measure fair value that are either observable or unobservable. Observable inputs reflect assumptions market participants would use in pricing an asset or liability based on market data obtained from independent sources while unobservable inputs reflect pricing based upon a reporting entity’s own market assumptions. The Company is required to measure certain assets and liabilities at fair value or disclose the fair values of certain assets and liabilities recorded at cost. Accounting standards define fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is estimated assuming the transaction occurs in the principal or most advantageous market for the asset or liability and includes consideration of non-performance risk and credit risk of both parties. A three-tier fair value hierarchy prioritizes the inputs used in measuring fair value. These tiers include: • Level 1 - Valuation inputs are based upon unadjusted quoted prices for identical instruments traded in active markets. • Level 2 - Valuation inputs are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in inactive markets, and model-based valuation techniques for which all significant assumptions are observable in the market or can be corroborated by observable market data for substantially the full term of the instruments. • Level 3 - Valuation inputs are unobservable and typically reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. The fair values are determined using model-based techniques that include discounted cash flow models and similar techniques. The fair value estimates of financial instruments are not necessarily indicative of the amounts we might pay or receive in actual market transactions. The use of different market assumptions and/or estimation methodologies may have a material impact on the estimated fair value amounts. Cash Equivalents and Restricted Cash The carrying amount of cash equivalents approximates fair value due to the short-term maturity of the instruments. All cash and cash equivalents are denominated in U.S. currency. Accounts Receivable, Net The carrying amount of accounts receivable approximates fair value due to the short-term nature of those items and the effect of related allowances for credit losses. Accounts Payable and Other Payables and Accrued Expenses The carrying amounts of accounts payable and other payables and accrued expenses approximate fair value due to the short-term nature of those items. Tangible Long-lived and Right of Use (“ROU”) Store Assets The non-recurring fair value measurements associated with these tangible long-lived and ROU store assets are classified as Level 3 measurements in the fair value hierarchy. Refer to Note 1. “Description of Business and Basis of Presentation”. Long-term Debt - Term Loan and Revolving Credit Facility Since the borrowings under our term loan and revolving credit facility utilize variable interest rate setting mechanisms such as LIBOR, the fair values of these borrowings are deemed to approximate the carrying values. We also considered the effect of our own credit risk on the fair values of our term loan and revolving credit facility. Refer to Note 4. “Long-term Debt”. Long-term Debt - 2025 Notes The Company has $402.5 million in aggregate principal amount of 2.50% convertible senior notes due on May 15, 2025 (the “2025 Notes”) issued and outstanding as of September 26, 2020. The estimated fair value of the 2025 Notes was approximately $560.9 million as of September 26, 2020. The estimated fair value of the 2025 Notes is based on the prices the 2025 Notes have traded in the market as of September 26, 2020, as well as overall market conditions on the date of valuation, stated coupon rates, the number of coupon payments each year and the maturity dates, and represents a Level 2 measurement. Refer to Note 4. “Long-term Debt” for more information on the 2025 Notes. Finance Lease Obligations The fair value of finance lease obligations is based on estimated future contractual cash flows discounted at an appropriate market rate of interest (Level 2 inputs). The estimated fair values of our finance leases were $35.6 million and $38.2 million as of September 26, 2020 and December 28, 2019, respectively, compared to carrying values of $31.6 million and $33.3 million, respectively. Interest Rate Derivatives We recognize as assets or liabilities at fair value the estimated amounts we would receive or pay upon a termination of interest rate derivatives prior to their scheduled expiration dates. Fair value is based on information that is model-driven and whose inputs are observable (Level 2 inputs). Refer to Note 5. “Interest Rate Derivatives” for more information.

Long-term Debt

Long-term Debt	9 Months Ended
	Sep. 26, 2020
Debt Disclosure [Abstract]
Long-term Debt	Long-term Debt Long-term debt consists of the following: In thousands As of As of 2025 Notes, due May 15, 2025 $ 402,500 $ — Term loan, due July 18, 2024 317,375 392,375 Revolving credit facility, due July 18, 2024 — 148,000 Long-term debt before debt discount 719,875 540,375 Unamortized discount and issuance costs - 2025 Notes (97,507) — Unamortized discount and issuance costs - term loan (2,303) (3,979) Long-term debt less debt discount 620,065 536,396 Less current maturities — (10,500) Long-term debt - non-current portion 620,065 525,896 Finance lease obligations 31,610 33,296 Less current maturities (3,537) (3,259) Long-term debt and finance lease obligations, less current portion and debt discount $ 648,138 $ 555,933 2025 Notes In May 2020, we completed the issuance of the 2025 Notes, pursuant to an indenture (the “Indenture”), dated as of May 12, 2020, between the Company and U.S. Bank National Association, as trustee (the “Trustee”). The 2025 Notes were sold only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”). The 2025 Notes will pay interest semi-annually in arrears on May 15 and November 15 of each year, commencing on November 15, 2020, at an annual rate of 2.50% and will be convertible into cash, shares of common stock or a combination of cash and shares of common stock, at our election, based on the applicable conversion rate at such time. We received proce eds from the offering of $390.9 million, net of $11.6 million in underwriter fees and other issuance costs. We used $294.3 million of the net proceeds from the offering to repay all outstanding amounts of the revolving credit facility and $75.0 million to partially repay the term loan. We intend to use the remainder of the net proceeds for general corporate purposes. Prior to February 15, 2025, the 2025 Notes will be convertible at the option of the holder only under the following circumstances: (i) during any calendar quarter commencing after the calendar quarter ending on September 30, 2020 (and only during such calendar quarter), if the Last Reported Sale Price (as defined in the Indenture) per share of the Company’s common stock exceeds 130% of the Conversion Price (as defined in the Indenture) for each of at least 20 Trading Days (as defined in the Indenture), whether or not consecutive, during the 30 consecutive Trading Days ending on, and including, the last Trading Day of the immediately preceding calendar quarter; (ii) during the five consecutive business days immediately after any ten consecutive Trading Day period (such ten consecutive trading day period, the “measurement period”) in which the Trading Price (as defined in the Indenture) per $1,000 principal amount of the 2025 Notes for each Trading Day of the measurement period was less than 98% of the product of the Last Reported Sale Price per share of the Company’s common stock on such Trading Day and the conversion rate (as described below) on such Trading Day; (iii) upon the occurrence of certain corporate events or distributions on the Company’s common stock, as described in the Indenture; or (iv) if the Company calls such Notes for redemption. On or after February 15, 2025 until 5:00 p.m., New York City time, on the second Scheduled Trading Day (as defined in the Indenture) immediately before the maturity date, the 2025 Notes will be convertible at the option of the holder at any time. The 2025 Notes will initially be convertible at a conversion rate of 32.0783 shares of common stock per $1,000 principal amount of 2025 Notes, which is equivalent to an initial conversion price of approximately $31.17 per share of common stock. The conversion rate is subject to adjustment upon certain events. The Company can choose to settle upon conversion in cash, shares or a combination. Based on the initial conversion rate, the 2025 Notes are convertible into 12.9 million shares of our common stock and we reserved for the possible issuance of 16.5 million shares, which is the maximum amount that could be issued upon conversion. As of September 26, 2020, the “if-converted value” exceeded the principal amount of the 2025 Notes by $73.3 million. See Note 12. “Earnings Per Share” for the treatment of earnings per share in relation to the 2025 Notes. In accordance with accounting guidanc e on embedded conversion features indexed to and settled in equity, t he Company valued and bifurcated the conversion option associated with the 2025 Notes from the respective host debt instrument, which is referred to as debt discount, and initially recorded the post-tax conversion option of $73.5 million ($95.2 million pre-tax) for the 2025 Notes in stockholders’ equity. The resulting debt discount on the 2025 Notes is amortized to interest expense using the effective interest rate method over the contractual term of the 2025 Notes. The Company allocated post-tax debt issuance costs of $2.2 million ($2.7 million pre-tax) to the equity component and the remaining debt issuance costs of $8.9 million are amortized to interest expense under the effective interest rate method at 9.09% over the contractual term of the 2025 Notes. We recognized $6.8 million and $10.4 million in interest expense for the interest coupon and amortization of debt discount and issuance costs during the three and nine months ended September 26, 2020, respectively. As of September 26, 2020, the remaining period for the unamortized debt discount balance was approximately five years. May 2020 Amendment to Credit Agreement On March 17, 2020, as a precautionary measure to preserve financial flexibility during the COVID-19 pandemic, we borrowed the remaining $146.3 million in available funds under our revolving credit facility. On May 5, 2020, certain of the Company’s subsidiaries entered into an agreement (the “Credit Agreement Amendment”) with the lenders under their existing secured credit facility in order to amend certain provisions of the Amended and Restated Credit Agreement, dated as of July 18, 2019 (as amended by the Credit Agreement Amendment, the “Credit Agreement”), by and among Nautilus Acquisition Holdings, Inc. (“Holdings”), National Vision, Inc. (“NVI”), the other subsidiaries of the Company party thereto, as guarantors, each lender party thereto and Bank of America, N.A., in its capacity as administrative agent and as collateral agent. Capitalized terms used but not defined herein shall have the meanings assigned to such terms in the Credit Agreement and Amendment, as applicable. This Credit Agreement Amendment is intended to prevent the effects of the COVID-19 pandemic, including the temporary closure of our stores, from creating uncertainty relative to our ability to comply with certain financial covenants and allow the Company to focus on prudent management of the business over the quarters ahead. As set forth in greater detail below, the Amendment suspends certain financial maintenance covenants contained in the Credit Agreement until testing at the end of the second fiscal quarter of 2021. Based on our current plans and management operational assumptions, we anticipate we will be in compliance with these amended covenants. Pursuant to the Credit Agreement Amendment, the financial covenants relating to maintenance of a maximum Consolidated Total Debt to Consolidated EBITDA Ratio and a minimum Consolidated Interest Coverage Ratio are suspended until testing at the end of the second fiscal quarter of 2021. From and after such time, such covenants will be reinstated on a modified basis so that, subject to certain exceptions and limitations as described in the Credit Agreement Amendment, (i) with respect to the second and third fiscal quarters of 2021, the Consolidated Total Debt to Consolidated EBITDA Ratio shall not exceed 4.50 to 1.00 and, with respect to the fourth fiscal quarter of fiscal 2021 and thereafter, the Consolidated Total Debt to Consolidated EBITDA Ratio shall not exceed 4.00 to 1.00, in each case with NVI being able to elect to annualize certain quarterly periods so that quarterly performance from fiscal 2020 is excluded and (ii) with respect to the second fiscal quarter of 2021 and thereafter, the Consolidated Interest Coverage Ratio shall not be less than 3.00 to 1.00. In lieu of such financial covenants, pursuant to the Credit Agreement Amendment NVI has agreed during the suspension period, (i) not to have Consolidated EBITDA for any six fiscal quarter period be less than $0, with the second fiscal quarter of 2020 permitted to be excluded in certain circumstances, and (ii) to have a minimum level of liquidity (defined as cash and cash equivalents plus the unused portion of the revolving credit facility) equal to the lesser of (x) $100,000,000 and (y) $40,000,000 plus the amount of any net proceeds from capital markets financings during such period in excess of $75,000,000. In addition, the Credit Agreement was amended pursuant to the Credit Agreement Amendment to, among other things, (i) limit the flexibility of NVI and Holdings with respect to certain transactions during the covenant suspension period, including the ability to declare or pay dividends, incur debt and make investments and dispositions, (ii) require prepayments of the term loans under certain circumstances during the covenant suspension period from the net proceeds from debt or equity capital markets transactions by the Company (with the amount of the term loans to be paid down equal to $75 million from the first $400 million of capital raised and 50% of any proceeds above such amount) and (iii) restrict NVI’s ability to borrow under the revolving credit facility if unrestricted cash and cash equivalents exceeds $50 million (and, in the event of any such excess, to require a mandatory prepayment of such amount). Also pursuant to the Credit Agreement Amendment, the margins upon which interest is calculated for the term loans were amended to a range of 1.75% to 2.75% (for LIBOR Loans) and 0.75% to 1.75% (for ABR Loans), in each case based on NVI’s Consolidated First Lien Secured Debt to Consolidated EBITDA Ratio at such time, with such margins subject to an increase of 50 basis points in the event that either (i) the Company has not raised at least $135 million in additional proceeds from certain capital markets transactions within 30 days of the date of the Credit Agreement Amendment or (ii) Consolidated EBITDA for the most recently ended four quarters is less than $0. On May 12, 2020, we fully repaid the outstanding amount on our revolving credit facility of $294.3 million and partially repaid $75 million on the term loan. As a result of the repayments made in 2020 and the $25.0 million principal prepayment in 2019, the Company has no additional mandatory principal payments on the term loan until maturity on July 18, 2024. As a result of the repayment of the outstanding balance on our revolving credit facility, the Company reclassified a proportionate share of unamortized debt issuance costs to Other assets. We were in compliance with all covenants related to our long-term debt as of September 26, 2020. Scheduled annual maturities of debt are as follows: Fiscal Period In thousands 2020 - remaining fiscal year $ — 2021 — 2022 — 2023 — 2024 317,375 Thereafter 402,500 $ 719,875

Interest Rate Derivatives

Interest Rate Derivatives	9 Months Ended
	Sep. 26, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Interest Rate Derivatives	Interest Rate Derivatives The Company is party to pay-fixed and receive-floating interest rate swap agreements to offset the variability of cash flows in LIBOR-indexed debt interest payments, subject to a 1.0% floor, attributable to changes in the benchmark interest rate from March 13, 2017 to March 13, 2021 related to its credit agreement. During the first quarter of 2020, in accordance with the original agreements with the counterparties, the notional amount of one swap decreased from $105.0 million to $70.0 million. There were no other changes in the terms of the agreements. Also, during the first quarter of 2020, the Company entered into a forward-starting interest rate collar that will hedge variability of cash flows of LIBOR-indexed debt interest payments from March 13, 2021 to July 18, 2024, following the maturity of the interest rate swap agreements, with an aggregate notional amount of $375 million. During the second quarter of 2020, as a result of the partial repayment of the Company’s LIBOR based debt balances, certain forecasted hedged transactions were deemed not probable of occurring. The Company subsequently discontinued hedge accounting on $78.0 million of interest rate swap notional and $58.0 million of interest rate collar notional, reclassifying net unrealized losses of approximately $2.5 million from AOCL to interest expense, net during the nine months ended September 26, 2020. Additionally, due to changes in the interest rates applicable to the Company’s term loan and revolver, the interest rate collar ceased to be a highly effective hedge. Losses on the change in fair value of the interest rate collar of approximately $2.6 million were recorded in interest expense, net during the nine months ended September 26, 2020. Interest expense, net related to derivatives considered to be highly effective hedges for the three and nine months ended September 26, 2020 was $2.0 million and $5.9 million, respectively. Changes in the cash flows of interest rate swap derivatives designated as hedges are expected to be highly effective in offsetting the changes in interest payments on a principal balance equal to the designated derivative’s notional amount, attributable to the hedged risk. Derivatives qualifying as hedges are included in the same section of the Condensed Consolidated Statements of Cash Flows as the underlying assets and liabilities being hedged. Cash flows during the nine months ended September 26, 2020 related to derivatives not qualifying as hedges were included in the operating section of the Condensed Consolidated Statements of Cash Flows and were not material. As of September 26, 2020, the Company expects to reclassify approximately $3.5 million of unrealized losses on derivative instruments, net of tax, from AOCL into earnings in the next 12 months as the derivative instruments mature. See Note 14. “Accumulated Other Comprehensive Loss” for further details. Our positions related to interest rate derivative contracts are as follows: In thousands Balance Sheet Classification As of As of Derivatives designated as hedging instruments under ASC 815 Interest rate swaps Other Payables and Accrued Expenses $ 3,602 $ 6,382 Interest rate swaps Other Liabilities — 1,603 Total derivative liabilities designated as hedging instruments $ 3,602 $ 7,985 Derivatives not designated as hedging instruments under ASC 815 Interest rate swap Other Payables and Accrued Expenses $ 584 $ — Interest rate collar Other Payables and Accrued Expenses 1,923 — Interest rate collar Other Liabilities 9,324 — Total derivative liabilities not designated as hedging instruments $ 11,831 $ —

Stock Incentive Plans

Stock Incentive Plans	9 Months Ended
	Sep. 26, 2020
Share-based Payment Arrangement [Abstract]
Stock Incentive Plans	Stock Incentive Plans During the nine months ended September 26, 2020, the Company granted 158,206 stock options, 124,863 performance-based restricted stock units (“PSUs”) and 157,860 time-based restricted stock units (“RSUs”) to eligible employees under the National Vision Holdings, Inc. 2017 Omnibus Incentive Plan (the “2017 Omnibus Incentive Plan”). The time-based options granted in fiscal 2020 vest in three equal annual installments, with one-third of the total options vesting on each of the first, second, and third anniversaries of the grant date, subject to continued employment through the applicable vesting date. The PSUs granted in fiscal 2020 are settled after the end of the performance period (i.e., cliff vesting), which begins on the first day of our 2020 fiscal year and ends on the last day of our 2022 fiscal year, and are based on the Company’s achievement of certain performance targets. The RSUs granted in fiscal 2020 vest primarily in three equal installments. During the nine months ended September 26, 2020, the Company granted 17,215 restricted stock awards (“RSAs”) to eligible members of the Company’s Board of Directors under the 2017 Omnibus Incentive Plan. The awards vest one year from the grant date.

Equity in Net Assets of Non-Con

Equity in Net Assets of Non-Consolidated Investee	9 Months Ended
	Sep. 26, 2020
Equity Method Investments and Joint Ventures [Abstract]
Equity in Net Assets of Non-Consolidated Investee	Equity in Net Assets of Non-Consolidated Investee The Company has an investment in a private start-up company whose principal business is licensing software to eyeglass retailers. We account for our interest in the investee’s reported net income or loss under the equity method of accounting and present these results in other expense (income), net in the Company’s condensed consolidated statements of operations. After adjusting the carrying value of our interest in the investee’s reported net losses, there is no remaining equity investment balance associated with this investee as of September 26, 2020. On August 29, 2017, the investee issued a secured convertible promissory note to the Company, in the principal amount of $1.5 million, due on August 29, 2020. Upon adoption of ASU No. 2016-13, Measurement of Credit Losses on Financial Instruments in the first quarter of 2020, the Company increased the allowance for credit losses related to the convertible promissory note to $1.5 million. After adjusting for the estimated credit losses, there was no remaining carrying value of the convertible promissory note as of September 26, 2020. Interest income associated with the note was immaterial for the three and nine months ended September 26, 2020 and September 28, 2019. In April 2020, the Company converted the promissory note to an equity investment. The equity investment has a carrying value of zero as of September 26, 2020.

Revenue from Contracts with Cus

Revenue from Contracts with Customers	9 Months Ended
	Sep. 26, 2020
Revenue from Contract with Customer [Abstract]
Revenue from Contracts with Customers	Revenue from Contracts with Customers The Company’s revenues are recognized either at the point of sale or upon delivery and customer acceptance, paid for at the time of sale in cash, credit card, or on account with managed care payors having terms generally between 14 and 120 days, with most paying within 90 days. Our point in time revenues include 1) retail sales of prescription and non-prescription eyewear, contact lenses and related accessories to retail customers (including those covered by managed care), 2) eye exams and 3) wholesale sales of inventory in which our customer is another retail entity. Revenues recognized over time primarily include product protection plans, eye care club memberships and management fees earned from our legacy partner. The following disaggregation of revenues is based on the timing of revenue recognition: Three Months Ended Nine Months Ended In thousands September 26, 2020 September 28, 2019 September 26, 2020 September 28, 2019 Revenues recognized at a point in time $ 447,403 $ 394,709 $ 1,111,118 $ 1,211,942 Revenues recognized over time 37,950 37,193 103,946 110,626 Total net revenue $ 485,353 $ 431,902 $ 1,215,064 $ 1,322,568 Refer to Note 11. “Segment Reporting” for the Company’s disaggregation of net revenue by reportable segment. As the reportable segments are aligned by similar economic factors, trends and customers, the reportable segment disaggregation view best depicts how the nature, amount and uncertainty of revenue and cash flows are affected by economic factors. Contract Assets and Liabilities The Company’s contract assets and contract liabilities primarily result from timing differences between the performance of our obligations and the customer’s payment. Accounts Receivable Accounts receivable associated with revenues consist primarily of trade receivables and credit card receivables. Trade receivables consist primarily of receivables from managed care payors and receivables from major retailers. While we have relationships with almost all vision care insurers in the United States and with all of the major carriers, currently, a relatively small number of payors comprise the majority of our managed care revenues, subjecting us to concentration risk. Accounts receivable are reduced by allowances for credit losses. Estimates of our allowance for credit losses are based on our historical and current operating, billing, and collection trends, as well as current conditions and reasonable and supportable forecasts about the future. Accounts receivable are written off after all collection attempts have been exhausted. Credit loss expense recognized on our receivables, which is presented in SG&A expenses in the Company’s condensed consolidated statements of operations, were approximately $0.1 million for the three months ended September 26, 2020 and $0.5 million for the nine months ended September 26, 2020 as compared to $2.4 million and $6.3 million for the three and nine months ended September 28, 2019, respectively. The following table summarizes the activity of allowance for expected credit losses for the nine months ended September 26, 2020. In thousands Nine Months Ended Beginning balance as of December 28, 2019 $ (3,040) Current-period provision for expected credit losses (482) Write-offs charged against the allowance 775 Other adjustments (1) 2,207 Ending balance as of September 26, 2020 $ (540) (1) As part of our adoption of ASU 2016-13, we adjusted the allowance for certain amounts recognized in prior periods that no longer represented an allowance for credit losses. The adjustment was immaterial to the financial results of current and prior periods. See Note 2. “Details of Certain Balance Sheet Accounts” for further details. Unsatisfied Performance Obligations (Contract Liabilities) Our retail customers generally make payments for prescription eyewear products at the time they place an order. Amounts we collect in advance for undelivered merchandise are reported as unearned revenue in the accompanying condensed consolidated balance sheets. Unearned revenue at the end of a reporting period is estimated based on delivery times throughout the current month which generally range from approximately seven Our contract liabilities also consist of deferred revenue on services and plans obligations, primarily product protection plans and eyecare club memberships. The unamortized portion of amounts we collect in advance for these services and plans is reported as deferred revenue in the accompanying condensed consolidated balance sheets (current and non-current portions). Our deferred revenue balance as of September 26, 2020 was $77.6 million. We expect future revenue recognition of this balance of $20.4 million, $41.6 million, $12.5 million, $3.0 million, and $0.1 million in fiscal years 2020, 2021, 2022, 2023, and 2024, respectively. We recognized $27.9 million and $80.0 million of previously deferred revenues during the three and nine months ended September 26, 2020, respectively, and $27.9 million and $83.2 million during the three and nine months ended September 28, 2019, respectively.

Leases

Leases	9 Months Ended
	Sep. 26, 2020
Leases [Abstract]
Leases	Leases We lease our stores, laboratories, distribution centers, and corporate offices. These leases generally have noncancelable lease terms of between five one Our lease arrangements frequently include Tenant Improvement Allowances (“TIAs”), which are contractual amounts received from a lessor for improvements made to leased properties by the Company. For operating leases, TIAs are treated as a reduction of the lease payments used to measure the ROU assets in the accompanying consolidated balance sheets, and are amortized as a reduction in rental expense over the life of the respective leases. We rent or sublease certain parts of our stores to third parties. Our sublease portfolio consists mainly of operating leases with our ophthalmologists and optometrists within our stores. In response to the COVID-19 pandemic, we began seeking relief from our landlords while our stores were temporarily closed to the public. On April 10, 2020, the Financial Accounting Standards Board staff issued a question-and-answer document providing guidance for lease concessions provided to lessees in response to the effects of COVID-19. Such guidance allows lessees to make an election to account for lease concessions as though the enforceable rights and obligations existed in the original lease. This election is only available when the concessions do not result in a substantial increase in the obligations of the lessee. During the second quarter of 2020, we reached rent concession agreements where certain of these concession arrangements included lease term extensions between three In thousands As of As of Type Classification ASSETS Finance Property and equipment, net (a) $ 25,537 $ 28,128 Operating Right of use assets (b) 335,860 348,090 Total leased assets $ 361,397 $ 376,218 LIABILITIES Current Liabilities: Finance Current maturities of long-term debt and finance lease obligations $ 3,537 $ 3,259 Operating Current operating lease obligations (c) 57,036 51,937 Other non-current liabilities: Finance Long-term debt and finance lease obligations, less current portion and debt discount 28,073 30,037 Operating Non-current operating lease obligations 320,155 331,769 Total lease liabilities $ 408,801 $ 417,002 As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the net present value of minimum lease payments. We used the incremental borrowing rate on December 30, 2018, for operating leases that commenced prior to that date. _________ (a) Finance lease assets are recorded net of accumulated amortization of $11.6 million and $8.3 million as of September 26, 2020 and December 28, 2019, respectively. (b) TIA of $34.9 million and $35.2 million are treated as reductions of lease payments used to measure ROU assets as of September 26, 2020 and December 28, 2019, respectively. Deferred rent of $17.0 million and $15.0 million are treated as reductions of lease payments used to measure ROU assets as of September 26, 2020 and December 28, 2019, respectively. (c) Current operating lease liabilities are measured net of TIA receivables of $3.9 million and $5.9 million as of September 26, 2020 and December 28, 2019, respectively. Three Months Ended Nine Months Ended In thousands September 26, 2020 September 28, 2019 September 26, 2020 September 28, 2019 Operating lease cost Fixed lease cost (a) $ 19,473 $ 18,542 $ 57,885 $ 54,955 Variable lease cost (b) 7,203 6,745 20,369 19,803 Sublease income (c) (896) (965) (1,778) (2,881) Finance lease cost Amortization of finance lease assets 1,143 1,176 3,424 3,231 Interest expense, net: Interest on finance lease liabilities 826 903 2,550 2,689 Net lease cost $ 27,749 $ 26,401 $ 82,450 $ 77,797 (a) Includes short-term leases, which are immaterial. (b) Includes costs for insurance, real estate taxes and common area maintenance expenses, which are variable, as are lease costs above minimum thresholds for Fred Meyer stores and lease costs for Military stores. (c) Income from sub-leasing of stores includes rental income from operating lease properties to ophthalmologists and optometrists who are independent contractors. Lease Term and Discount Rate As of As of Weighted average remaining lease term (months) Operating leases 78 82 Finance leases 83 88 Weighted average discount rate (a) Operating leases 4.7 % 4.6 % Finance leases (b) 12.5 % 13.1 % (a) The discount rate used to determine the lease assets and lease liabilities was derived upon considering (i) incremental borrowing rates on our term loan and revolving credit facility; (ii) fixed rates we pay on our interest rate swaps; (iii) LIBOR margins for issuers of similar credit rating; and (iv) effect of collateralization. As a majority of our leases are five-year and 10-year leases, we determined a lease discount rate for such tenors and determined this discount rate is reasonable for leases that were entered into during the period. (b) The discount rate on finance leases is higher than operating leases because the present value of minimum lease payments was higher than the fair value of leased properties for certain leases entered into prior to adoption of ASC 842. The discount rate differential for those leases is not material to our results of operations. In thousands Nine Months Ended September 26, 2020 Nine Months Ended September 28, 2019 Other Information Cash paid for amounts included in the measurement of lease liabilities Operating cash outflows - operating leases $ 53,816 $ 55,817 The following table summarizes the maturity of our lease liabilities as of September 26, 2020: In thousands Operating Leases (a) Finance Leases (b) Fiscal Year 2020 $ 9,313 $ 1,358 2021 82,019 7,280 2022 74,613 7,215 2023 66,867 6,241 2024 57,690 4,673 Thereafter 151,914 16,459 Total lease liabilities 442,416 43,226 Less: Interest 65,225 11,616 Present value of lease liabilities (c) $ 377,191 $ 31,610 (a) Operating lease payments include $63.0 million related to options to extend lease terms that are reasonably certain of being exercised. (b) Finance lease payments include $1.7 million related to options to extend lease terms that are reasonably certain of being exercised. (c) The present value of lease liabilities excludes $29.2 million of legally binding minimum lease payments for leases signed but not yet commenced.
Leases	Leases We lease our stores, laboratories, distribution centers, and corporate offices. These leases generally have noncancelable lease terms of between five one Our lease arrangements frequently include Tenant Improvement Allowances (“TIAs”), which are contractual amounts received from a lessor for improvements made to leased properties by the Company. For operating leases, TIAs are treated as a reduction of the lease payments used to measure the ROU assets in the accompanying consolidated balance sheets, and are amortized as a reduction in rental expense over the life of the respective leases. We rent or sublease certain parts of our stores to third parties. Our sublease portfolio consists mainly of operating leases with our ophthalmologists and optometrists within our stores. In response to the COVID-19 pandemic, we began seeking relief from our landlords while our stores were temporarily closed to the public. On April 10, 2020, the Financial Accounting Standards Board staff issued a question-and-answer document providing guidance for lease concessions provided to lessees in response to the effects of COVID-19. Such guidance allows lessees to make an election to account for lease concessions as though the enforceable rights and obligations existed in the original lease. This election is only available when the concessions do not result in a substantial increase in the obligations of the lessee. During the second quarter of 2020, we reached rent concession agreements where certain of these concession arrangements included lease term extensions between three In thousands As of As of Type Classification ASSETS Finance Property and equipment, net (a) $ 25,537 $ 28,128 Operating Right of use assets (b) 335,860 348,090 Total leased assets $ 361,397 $ 376,218 LIABILITIES Current Liabilities: Finance Current maturities of long-term debt and finance lease obligations $ 3,537 $ 3,259 Operating Current operating lease obligations (c) 57,036 51,937 Other non-current liabilities: Finance Long-term debt and finance lease obligations, less current portion and debt discount 28,073 30,037 Operating Non-current operating lease obligations 320,155 331,769 Total lease liabilities $ 408,801 $ 417,002 As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the net present value of minimum lease payments. We used the incremental borrowing rate on December 30, 2018, for operating leases that commenced prior to that date. _________ (a) Finance lease assets are recorded net of accumulated amortization of $11.6 million and $8.3 million as of September 26, 2020 and December 28, 2019, respectively. (b) TIA of $34.9 million and $35.2 million are treated as reductions of lease payments used to measure ROU assets as of September 26, 2020 and December 28, 2019, respectively. Deferred rent of $17.0 million and $15.0 million are treated as reductions of lease payments used to measure ROU assets as of September 26, 2020 and December 28, 2019, respectively. (c) Current operating lease liabilities are measured net of TIA receivables of $3.9 million and $5.9 million as of September 26, 2020 and December 28, 2019, respectively. Three Months Ended Nine Months Ended In thousands September 26, 2020 September 28, 2019 September 26, 2020 September 28, 2019 Operating lease cost Fixed lease cost (a) $ 19,473 $ 18,542 $ 57,885 $ 54,955 Variable lease cost (b) 7,203 6,745 20,369 19,803 Sublease income (c) (896) (965) (1,778) (2,881) Finance lease cost Amortization of finance lease assets 1,143 1,176 3,424 3,231 Interest expense, net: Interest on finance lease liabilities 826 903 2,550 2,689 Net lease cost $ 27,749 $ 26,401 $ 82,450 $ 77,797 (a) Includes short-term leases, which are immaterial. (b) Includes costs for insurance, real estate taxes and common area maintenance expenses, which are variable, as are lease costs above minimum thresholds for Fred Meyer stores and lease costs for Military stores. (c) Income from sub-leasing of stores includes rental income from operating lease properties to ophthalmologists and optometrists who are independent contractors. Lease Term and Discount Rate As of As of Weighted average remaining lease term (months) Operating leases 78 82 Finance leases 83 88 Weighted average discount rate (a) Operating leases 4.7 % 4.6 % Finance leases (b) 12.5 % 13.1 % (a) The discount rate used to determine the lease assets and lease liabilities was derived upon considering (i) incremental borrowing rates on our term loan and revolving credit facility; (ii) fixed rates we pay on our interest rate swaps; (iii) LIBOR margins for issuers of similar credit rating; and (iv) effect of collateralization. As a majority of our leases are five-year and 10-year leases, we determined a lease discount rate for such tenors and determined this discount rate is reasonable for leases that were entered into during the period. (b) The discount rate on finance leases is higher than operating leases because the present value of minimum lease payments was higher than the fair value of leased properties for certain leases entered into prior to adoption of ASC 842. The discount rate differential for those leases is not material to our results of operations. In thousands Nine Months Ended September 26, 2020 Nine Months Ended September 28, 2019 Other Information Cash paid for amounts included in the measurement of lease liabilities Operating cash outflows - operating leases $ 53,816 $ 55,817 The following table summarizes the maturity of our lease liabilities as of September 26, 2020: In thousands Operating Leases (a) Finance Leases (b) Fiscal Year 2020 $ 9,313 $ 1,358 2021 82,019 7,280 2022 74,613 7,215 2023 66,867 6,241 2024 57,690 4,673 Thereafter 151,914 16,459 Total lease liabilities 442,416 43,226 Less: Interest 65,225 11,616 Present value of lease liabilities (c) $ 377,191 $ 31,610 (a) Operating lease payments include $63.0 million related to options to extend lease terms that are reasonably certain of being exercised. (b) Finance lease payments include $1.7 million related to options to extend lease terms that are reasonably certain of being exercised. (c) The present value of lease liabilities excludes $29.2 million of legally binding minimum lease payments for leases signed but not yet commenced.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 26, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Legal Proceedings From time to time, the Company is involved in various legal proceedings incidental to its business. Because of the nature and inherent uncertainties of litigation, we cannot predict with certainty the ultimate resolution of these actions and, should the outcome of these actions be unfavorable, the Company’s business, financial position, results of operations or cash flows could be materially and adversely affected. The Company reviews the status of its legal proceedings and records a provision for a liability when it is considered probable that both a liability has been incurred and the amount of the loss can be reasonably estimated. This review is updated periodically as additional information becomes available. If either or both of the criteria are not met, we reassess whether there is at least a reasonable possibility that a loss, or additional losses, may be incurred. If there is a reasonable possibility that a loss may be incurred, we disclose the estimate of the amount of the loss or range of losses, or that an estimate of loss cannot be made. The Company expenses its legal fees as incurred. We are currently and may in the future become subject to various claims and pending or threatened lawsuits in the ordinary course of our business. Our subsidiary, FirstSight Vision Services, Inc. (“FirstSight”), is a defendant in a purported class action in the U.S. District Court for the Southern District of California that alleges that FirstSight participated in arrangements that caused the illegal delivery of eye examinations and that FirstSight thereby violated, among other laws, the corporate practice of optometry and the unfair competition and false advertising laws of California. The lawsuit was filed in 2013 and FirstSight was added as a defendant in 2016. In March 2017, the court granted the motion to dismiss previously filed by FirstSight and dismissed the complaint with prejudice. The plaintiffs filed an appeal with the U.S. Court of Appeals for the Ninth Circuit in April 2017. In July 2018, the U.S. Court of Appeals for the Ninth Circuit vacated in part, and reversed in part, the district court’s dismissal and remanded for further proceedings. In October 2018, the plaintiffs filed a second amended complaint with the district court, and, in November 2018, FirstSight filed a motion to dismiss. On March 23, 2020, the district court granted FirstSight’s motion to dismiss the second amended complaint. On April 24, 2020, the plaintiffs filed a third amended complaint. FirstSight filed a motion to dismiss the third amended complaint on May 8, 2020. We believe that the claims alleged are without merit and intend to continue to defend the litigation vigorously. In May 2017, a complaint was filed against us and other defendants alleging, on behalf of a proposed class of consumers who purchased contact lenses online, that 1-800 Contacts, Inc. entered into a series of agreements with the other defendants, including our wholly-owned subsidiary, Arlington Contact Lens Service, Inc. (“AC Lens”), to suppress certain online advertising and that each defendant thereby engaged in anticompetitive conduct in violation of the Sherman Antitrust Act. We have settled this litigation for $7.0 million, without admitting liability. Accordingly, we recorded a charge for this amount in litigation settlement in the consolidated statement of operations during the second quarter of fiscal year 2017. On November 8, 2017, the court in the 1-800 Contacts matter entered an order preliminarily approving the settlement agreement, subject to a settlement hearing. Pursuant to this order, we deposited 50% of the settlement amount, or $3.5 million, into an escrow account, to be distributed subject to and in accordance the terms of the settlement agreement and any further order of the court. On May 15, 2020, the plaintiffs filed a motion seeking preliminary approval of their settlement with the remaining defendant, 1-800 Contacts, Inc., as well as conditional certification of the class and approval of the plan of distribution of settlement funds. This motion was granted by the court on June 3, 2020. The court held a hearing on plaintiffs’ motion for final approval of class action settlements, approval of the plan of distribution, and final certification of the settlement classes on October 20, 2020. There were no objections and the court entered final judgment and order of dismissal following the hearing. Based on that order, we deposited the final 50% of the settlement amount, $3.5 million, into the designated escrow account to be distributed subject to and in accordance with the settlement agreement. In February 2019, we were served with a lawsuit by a former employee who alleges, on behalf of himself and a proposed class, several violations of California wage and hour laws and seeks unspecified alleged unpaid wages, monetary damages, injunctive relief and attorneys’ fees. On March 21, 2019, we removed the lawsuit from state court to the United States District Court for the Northern District of California. The plaintiff moved to remand the action to state court on April 18, 2019, and the Court denied this motion on July 8, 2019. On July 22, 2019, the plaintiff filed an amended complaint. On July 26, 2019, the parties filed a joint stipulation wherein the Company denied all claims in the amended complaint but joined the plaintiff in seeking a stay of further proceedings in the lawsuit based on the parties’ agreement to attend early mediation in an effort to avoid further costs and expenses of protracted litigation. The parties participated in mediation on February 19, 2020, but a resolution of the matter was not reached at that time. On February 27, 2020, following mediation, the parties agreed to a settlement of all claims alleged by the named claimant on behalf of himself and all putative class members and other aggrieved employees. The Company will pay $3.5 million as the gross settlement fund in connection with this settlement. This settlement was preliminarily approved by the court on April 29, 2020. A final approval hearing was conducted by the court on October 27, 2020. The court approved the settlement according to the terms of the parties’ agreement and final judgment and order of dismissal was then entered. The Company deposited the settlement amount, or $3.5 million, into the designated account pursuant to the terms of the settlement agreement. In November 2019, the Company agreed to enter into a pre-litigation settlement with six former employees who asserted, on behalf of themselves and a proposed class, violations of the Fair Labor Standards Act and of California wage and hour laws. In order to avoid the burden, expense and uncertainty of litigation, and without admitting liability, the Company agreed to a settlement with the named claimants and all participating class members for a maximum settlement amount of $895,000. This settlement is subject to approval by a tribunal following a fairness hearing.

Segment Reporting

Segment Reporting	9 Months Ended
	Sep. 26, 2020
Segment Reporting [Abstract]
Segment Reporting	Segment Reporting The Company provides its principal products and services through two reportable segments: Owned & Host and Legacy. The Corporate/Other category includes the results of operations of our other operating segments, AC Lens and FirstSight, as well as corporate overhead support. The Reconciliations category represents other adjustments to reportable segment results necessary for the presentation of consolidated financial results in accordance with U.S. GAAP. We incurred $4.7 million and $7.8 million of costs in the three and nine months ended September 26, 2020, respectively, primarily for a tangible appreciation bonus paid to our customer-facing doctors and associates, as well as personal protective equipment and other supplies needed to operate our stores safely. Incremental expenses related to the COVID-19 pandemic are not allocated to the reportable segments, but are included in the Corporate/Other category. On July 17, 2020, NVI and Walmart entered into Amendment 4 (“Walmart Amendment”) to the management & services agreement, to extend the current term and economics of the agreement by three years, to February 23, 2024, and provide that the agreement will automatically renew for an additional three The following is a summary of certain financial data for each of our segments. Reportable segment information is presented on the same basis as our condensed consolidated financial statements, except for net revenue and associated costs applicable to revenue, which are presented on a cash basis, including point of sales for managed care payors and excluding the effects of unearned and deferred revenue, consistent with what the chief operating decision maker (“CODM”) regularly reviews. Asset information is not included in the following summary since the CODM does not regularly review such information for the reportable segments. Our reportable segment profit measure is earnings before interest, tax, depreciation and amortization (“EBITDA”), or net revenue, less costs applicable to revenue, less SG&A expenses. Depreciation and amortization, asset impairment, litigation settlement and other corporate costs that are not allocated to the reportable segments, including interest expense are excluded from segment EBITDA. There are no revenue transactions between our reportable segments. We measure assets in our reportable segments on the same basis as consolidated assets. There have been no changes from prior periods in the measurement methods used to determine reportable segment profit or loss, and there have been no asymmetrical allocations to segments. Three Months Ended September 26, 2020 In thousands Owned & Host Legacy Corporate/Other Reconciliations Total Segment product revenues $ 323,159 $ 24,900 $ 57,906 $ (2,629) $ 403,336 Segment services and plans revenues 73,241 15,332 — (6,556) 82,017 Total net revenue 396,400 40,232 57,906 (9,185) 485,353 Cost of products 86,945 11,676 50,154 (501) 148,274 Cost of services and plans 55,680 6,108 747 — 62,535 Total costs applicable to revenue 142,625 17,784 50,901 (501) 210,809 SG&A 128,206 13,068 49,244 — 190,518 Asset impairment — — 7,150 — 7,150 Other expense (income), net — — (154) — (154) EBITDA $ 125,569 $ 9,380 $ (49,235) $ (8,684) Depreciation and amortization 22,236 Interest expense, net 12,475 Income before income taxes $ 42,319 Three Months Ended September 28, 2019 In thousands Owned & Host Legacy Corporate/Other Reconciliations Total Segment product revenues $ 270,171 $ 25,252 $ 63,173 $ (2,807) $ 355,789 Segment services and plans revenues 63,267 14,103 1 (1,258) 76,113 Total net revenue 333,438 39,355 63,174 (4,065) 431,902 Cost of products 77,670 11,681 55,684 (517) 144,518 Cost of services and plans 53,465 6,519 — — 59,984 Total costs applicable to revenue 131,135 18,200 55,684 (517) 204,502 SG&A 128,054 13,920 48,316 — 190,290 Asset impairment — — 3,516 — 3,516 Other expense, net — — 146 — 146 Loss on extinguishment of debt — — 9,786 — 9,786 EBITDA $ 74,249 $ 7,235 $ (54,274) $ (3,548) Depreciation and amortization 22,336 Interest expense, net 7,873 Income (loss) before income taxes $ (6,547) Nine Months Ended September 26, 2020 In thousands Owned & Host Legacy Corporate/Other Reconciliations Total Segment product revenues $ 782,502 $ 65,572 $ 174,950 $ (17,140) $ 1,005,884 Segment services and plans revenues 172,829 36,530 — (179) 209,180 Total net revenue 955,331 102,102 174,950 (17,319) 1,215,064 Costs of products 223,759 32,173 150,198 (3,851) 402,279 Costs of services and plans 149,847 17,270 747 — 167,864 Total costs applicable to revenue 373,606 49,443 150,945 (3,851) 570,143 SG&A 349,624 37,260 133,957 — 520,841 Asset impairment — — 20,916 — 20,916 Litigation settlement — — 4,395 — 4,395 Other expense (income), net — — (312) — (312) Debt issuance costs — — 136 — 136 EBITDA $ 232,101 $ 15,399 $ (135,087) $ (13,468) Depreciation and amortization 68,970 Interest expense, net 35,432 Income (loss) before income taxes $ (5,457) Nine Months Ended September 28, 2019 In thousands Owned & Host Legacy Corporate/Other Reconciliations Total Segment product revenues $ 827,957 $ 81,178 $ 189,389 $ (2,042) $ 1,096,482 Segment services and plans revenues 191,117 42,019 12 (7,062) 226,086 Total net revenue 1,019,074 123,197 189,401 (9,104) 1,322,568 Costs of products 239,975 38,123 166,533 (454) 444,177 Costs of services and plans 155,710 19,090 1 — 174,801 Total costs applicable to revenue 395,685 57,213 166,534 (454) 618,978 SG&A 387,345 42,041 137,058 — 566,444 Asset impairment — — 7,387 — 7,387 Other expense, net — — 975 — 975 Loss on extinguishment of debt — — 9,786 — 9,786 EBITDA $ 236,044 $ 23,943 $ (132,339) $ (8,650) Depreciation and amortization 63,570 Interest expense, net 25,902 Income before income taxes $ 29,526 Revenues associated with managing operations of our legacy partner were $10.1 million and $23.9 million for the three and nine months ended September 26, 2020, respectively, and $9.3 million and $27.5 million for the three and nine months ended September 28, 2019, respectively. During the nine months ended September 26, 2020, sales associated with our Legacy partner arrangement represented 8.4% of consolidated net revenue. During the nine months ended September 26, 2020, sales associated with Walmart and Sam’s Club contact lenses distribution arrangements represented 7.7% of consolidated net revenue. This exposes us to concentration of customer risk.

Earnings Per Share

Earnings Per Share	9 Months Ended
	Sep. 26, 2020
Earnings Per Share [Abstract]
Earnings Per Share	Earnings Per Share Basic earnings per share (“EPS”) is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted EPS is computed by dividing net income by the weighted average common shares outstanding for the period and includes the dilutive impact of potential new common shares issuable upon vesting and exercise of stock options, vesting of restricted stock units, and assumed conversion of $402.5 million of aggregate principal amount of the 2025 Notes. Potential shares of common stock are excluded from the computation of diluted EPS if their effect is anti-dilutive. We have the intent to settle the principal amount of the 2025 Notes in cash upon conversion, and to pay the conversion premium in cash or stock at our option; potentially dilutive common shares related to the 2025 Notes will be determined by applying the treasury stock method. See Note 4. “Long-term Debt” for more information on the 2025 Notes. The shares underlying the conversion option of the 2025 Notes will have an impact on our diluted EPS when net income is reported and when the average market price of our common stock for the period exceeds the conversion price of $31.17 per share. A reconciliation of the numerators and denominators of the basic and diluted EPS calculations is as follows: Three Months Ended Nine Months Ended In thousands, except EPS September 26, 2020 September 28, 2019 September 26, 2020 September 28, 2019 Net income $ 35,289 $ 1,192 $ 1,198 $ 28,879 Weighted average shares outstanding for basic EPS 80,676 78,474 80,376 78,387 Effect of dilutive securities: Stock options 1,694 3,024 1,818 3,074 Restricted stock 195 63 114 49 2025 Notes 1,230 — 410 — Weighted average shares outstanding for diluted EPS 83,795 81,561 82,718 81,510 Basic EPS $ 0.44 $ 0.02 $ 0.01 $ 0.37 Diluted EPS $ 0.42 $ 0.01 $ 0.01 $ 0.35 Anti-dilutive options, RSUs outstanding excluded from EPS 426 315 516 289

Restricted Cash

Restricted Cash	9 Months Ended
	Sep. 26, 2020
Cash and Cash Equivalents [Abstract]
Restricted Cash	Restricted Cash The following table provides a reconciliation of cash and cash equivalents reported within the condensed consolidated balance sheets to the total of cash, cash equivalents and restricted cash shown in the condensed consolidated statement of cash flows: Nine Months Ended In thousands September 26, 2020 September 28, 2019 Cash and cash equivalents $ 377,007 $ 94,086 Restricted cash included in other assets 1,408 1,200 Total cash, cash equivalents and restricted cash $ 378,415 $ 95,286

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	9 Months Ended
	Sep. 26, 2020
Equity [Abstract]
Accumulated Other Comprehensive Loss	Accumulated Other Comprehensive Loss Changes in the fair value of the Company’s cash flow hedge derivative instruments from their inception are recorded in AOCL if the instruments are deemed to be highly effective as cash flow hedges. The following table presents the changes in AOCL during the three and nine months ended September 26, 2020 and September 28, 2019, respectively: Three Months Ended Nine Months Ended In thousands September 26, 2020 September 28, 2019 September 26, 2020 September 28, 2019 Cash flow hedging activity: Balance at beginning of period $ (7,355) $ (5,427) $ (3,814) $ (2,810) Other comprehensive income (loss) before reclassification (47) (439) (11,088) (5,760) Tax effect of other comprehensive income (loss) before reclassification 12 112 2,825 1,476 Amount reclassified from AOCL into interest expense 1,941 1,120 8,235 2,922 Tax effect of amount reclassified from AOCL into interest expense (495) (287) (2,102) (749) Net current period other comprehensive income (loss), net of tax 1,411 506 (2,130) (2,111) Balance at end of period $ (5,944) $ (4,921) $ (5,944) $ (4,921) See Note 5. “Interest Rate Derivatives” for a description of the Company’s use of cash flow hedging derivatives.

Description of Business and B_2

Description of Business and Basis of Presentation (Policies)	9 Months Ended
	Sep. 26, 2020
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation We prepared the accompanying unaudited interim condensed consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and, therefore, do not include all information and disclosures required by U.S. GAAP for complete consolidated financial statements. The condensed consolidated balance sheet as of December 28, 2019 has been derived from the audited consolidated balance sheet for the fiscal year then ended. These condensed consolidated financial statements reflect all normal and recurring adjustments which are, in the opinion of management, necessary to present fairly the Company’s consolidated financial position as of September 26, 2020, the consolidated results of operations and comprehensive income, the statements of changes in stockholders’ equity for the three and nine months ended September 26, 2020 and September 28, 2019, and its statements of cash flows for the nine months ended September 26, 2020 and September 28, 2019. Certain information and disclosures normally included in our annual consolidated financial statements have been condensed or omitted; however, we believe that the disclosures included herein are sufficient for a fair presentation of the information presented. These condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements and the notes thereto for the fiscal year ended December 28, 2019 included in the 2019 Annual Report on Form 10-K. The Company’s significant accounting policies are set forth in Note 1 within those consolidated financial statements. We use the same accounting policies in preparing interim condensed consolidated financial information and annual consolidated financial statements. There were no changes to our significant accounting policies during the nine months ended September 26, 2020, except for the adoption of Accounting Standards Update (“ASU”) No. 2018-15, Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract and ASU No. 2016-13, Measurement of Credit Losses on Financial Instruments . See “Adoption of New Accounting Pronouncements” below for further discussion. The condensed consolidated financial statements include our accounts and those of our subsidiaries, all of which are wholly-owned. All intercompany balances and transactions have been eliminated in consolidation. Refer to Note 4. “Long-term Debt” for information on convertible debt issued in the second quarter of 2020. Refer to Note 5. “Interest Rate Derivatives” for information on changes in our assessment of hedge effectiveness in fiscal year 2020 and for information on our accounting for hedge ineffectiveness.
Fiscal Year	Fiscal Year Our fiscal year consists of 52 or 53 weeks ending on the Saturday closest to December 31. Fiscal year 2020 contains 53 weeks and will end on January 2, 2021. All three and nine month periods presented herein contain 13 and 39 weeks, respectively. All references to years and quarters relate to fiscal periods rather than calendar periods.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Asset Impairment	Asset Impairment We evaluate impairment of long-lived tangible and right of use (“ROU”) store assets at the store level, which is the lowest level at which independent cash flows can be identified, when events or conditions indicate the carrying values of such assets may not be recoverable. In making this evaluation, we may consider multiple factors including financial performance of the stores, regional and local business climates, future plans for the store operations and other qualitative factors. If the store’s projected undiscounted net cash flows expected to be generated by the related assets over the life of the primary asset within the asset group (generally leasehold improvements) are less than the carrying value of the subject assets, we determine an estimate of the fair value of the asset group using an income approach based on discounted cash flows, which require estimates and assumptions related to forecasted store revenue growth rates and store profitability. The cash flows used in estimating fair value were discounted using market rates from 6.3% to 8%. If the fair value of the asset group is less than its carrying value, the loss is allocated to the long-lived assets of the group on a pro rata basis using the relative carrying amounts of those assets, except that the loss allocated to an individual long lived asset of the group shall not reduce the carrying amount of that asset below its fair value. We consider market-based indications of prevailing rental rates for retail space when estimating the fair values of ROU assets. A decrease in the estimated cash flows would lead to a lower fair value measurement, as would an increase in the discount rate. These non-recurring fair value measurements are classified as Level 3 measurements in the fair value hierarchy.
Income Taxes	Income Taxes Our income tax provision for the three months ended September 26, 2020 reflected our statutory federal and state rate of 25.5%, offset by a discrete benefit of $3.0 million associated primarily with stock option exercises. Our income tax benefit for the nine months ended September 26, 2020 reflected our statutory federal and state rate of 25.5%, combined with a discrete benefit of $6.0 million associated primarily with stock option exercises. In comparison, the income tax provision associated with the three and nine months ended September 28, 2019 reflected
Adoption of New Accounting Pronouncements	Adoption of New Accounting Pronouncements Cloud Computing. In August 2018, the FASB issued ASU No. 2018-15, Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract. This new guidance aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). This new guidance is effective for fiscal years beginning after December 15, 2019, and for interim periods within those fiscal years and may be adopted on a prospective or retrospective basis. We adopted the accounting standard on a prospective basis in the first quarter of 2020. The adoption of this guidance did not have a material impact on the Company’s financial condition, results of operations or cash flows. Credit Losses . In June 2016, the FASB issued ASU No. 2016-13, Measurement of Credit Losses on Financial Instruments. This new guidance requires an entity to assess impairment of its financial instruments based on its estimate of expected credit losses. Initial adoption of ASU 2016-13 is required to be reported on a modified retrospective basis, with a cumulative-effect adjustment to retained earnings as of the beginning of the year of adoption, except for certain provisions that are required to be applied prospectively. This guidance is effective for fiscal years beginning after December 15, 2019, and for interim reporting periods within those fiscal years. We adopted ASU No. 2016-13 as of December 29, 2019 (the first day of fiscal year 2020), using the modified retrospective approach without adjusting the comparative periods presented. Upon adoption, the Company recorded a $0.7 million increase to the allowance for credit losses as a result of increases in our allowance for credit losses of notes receivable. Refer to Note 7. “Equity in Assets of Non-Consolidated Investee” for more information on our non-consolidated investee’s secured convertible promissory note. After adjusting for deferred taxes, we recorded a $0.5 million decrease in Retained earnings through a cumulative-effect adjustment. Adoption of this new guidance did not have a material impact on the Company’s financial condition, results of operations or cash flows. Future Adoption of Accounting Pronouncements Reference Rate Reform. In March 2020, the FASB issued ASU No. 2020-04, Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU 2020-04”). This guidance provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships, and other transactions that may be affected by the cessation of the London Inter-bank Offered Rate (“LIBOR.”) ASU 2020-04 is effective from March 2020 through December 2022. A substantial portion of our debt is subject to interest payments that are indexed to LIBOR; additionally, we are party to multiple interest rate derivatives based on LIBOR. We are currently evaluating the effect of this guidance. Convertible Instruments and Contracts in an Entity’s Own Equity. In August 2020, the FASB issued ASU No. 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity (“ASU 2020-06”). This new guidance simplifies and adds disclosure requirements for the accounting and measurement of convertible instruments and the settlement assessment for contracts in an entity’s own equity. ASU 2020-06 is effective for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2021, with early adoption possible for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2020. We are currently evaluating the effect of this guidance and are considering early adoption of this guidance in our fiscal year beginning January 3, 2021; ultimate decisions regarding the timing of adoption are subject to further evaluation.

Details of Certain Balance Sh_2

Details of Certain Balance Sheet Accounts (Tables)	9 Months Ended
	Sep. 26, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of Accounts Receivable, Net	In thousands As of As of Accounts receivable, net: Trade receivables $ 25,448 $ 28,635 Credit card receivables 18,470 14,173 Other receivables 6,300 4,707 Allowance for credit losses (540) (3,040) $ 49,678 $ 44,475
Schedule of Inventories	In thousands As of As of Inventories: Raw materials and work in process (1) $ 50,394 $ 65,179 Finished goods 61,306 62,377 $ 111,700 $ 127,556 (1) Due to the immaterial amount of estimated work in process and the short lead times for the conversion of raw materials to finished goods, the Company does not separately present raw materials and work in process.
Schedule of Property and Equipment, Net	In thousands As of As of Property and equipment, net: Land and building $ 3,624 $ 3,632 Equipment 198,601 188,593 Information technology hardware and software 116,232 115,283 Furniture and fixtures 55,068 55,146 Leasehold improvements 215,598 213,124 Construction in progress 21,743 26,517 Right of use assets under finance leases 37,162 36,437 648,028 638,732 Less: Accumulated depreciation 317,672 271,965 $ 330,356 $ 366,767
Schedule of Other Payables and Accrued Expenses	In thousands As of As of Other payables and accrued expenses: Employee compensation and benefits $ 45,532 $ 28,347 Advertising 2,164 2,919 Self-insurance liabilities 9,378 8,403 Reserves for customer returns and remakes 7,266 7,158 Capital expenditures 13,516 6,782 Legacy management & services agreement 5,030 4,461 Fair value of derivative liabilities 6,109 6,382 Supplies and other store support expenses 3,098 2,926 Litigation settlements 8,302 3,840 Lease concessions 6,319 — Other 18,564 11,611 $ 125,278 $ 82,829
Schedule of Other Non-current Liabilities	In thousands As of As of Other non-current liabilities: Fair value of derivative liabilities $ 9,324 $ 1,603 Self-insurance liabilities 8,360 7,283 Other (1) 6,002 4,845 $ 23,686 $ 13,731 (1) Includes CARES Act deferred employer payroll taxes in the amount of $3.5 million as of September 26, 2020.

Long-term Debt (Tables)

Long-term Debt (Tables)	9 Months Ended
	Sep. 26, 2020
Debt Disclosure [Abstract]
Schedule of Long-term Debt Instruments	Long-term debt consists of the following: In thousands As of As of 2025 Notes, due May 15, 2025 $ 402,500 $ — Term loan, due July 18, 2024 317,375 392,375 Revolving credit facility, due July 18, 2024 — 148,000 Long-term debt before debt discount 719,875 540,375 Unamortized discount and issuance costs - 2025 Notes (97,507) — Unamortized discount and issuance costs - term loan (2,303) (3,979) Long-term debt less debt discount 620,065 536,396 Less current maturities — (10,500) Long-term debt - non-current portion 620,065 525,896 Finance lease obligations 31,610 33,296 Less current maturities (3,537) (3,259) Long-term debt and finance lease obligations, less current portion and debt discount $ 648,138 $ 555,933
Schedule of Maturities of Long-term Debt	Scheduled annual maturities of debt are as follows: Fiscal Period In thousands 2020 - remaining fiscal year $ — 2021 — 2022 — 2023 — 2024 317,375 Thereafter 402,500 $ 719,875

Interest Rate Derivatives (Tabl

Interest Rate Derivatives (Tables)	9 Months Ended
	Sep. 26, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Interest Rate Derivative Contracts	Our positions related to interest rate derivative contracts are as follows: In thousands Balance Sheet Classification As of As of Derivatives designated as hedging instruments under ASC 815 Interest rate swaps Other Payables and Accrued Expenses $ 3,602 $ 6,382 Interest rate swaps Other Liabilities — 1,603 Total derivative liabilities designated as hedging instruments $ 3,602 $ 7,985 Derivatives not designated as hedging instruments under ASC 815 Interest rate swap Other Payables and Accrued Expenses $ 584 $ — Interest rate collar Other Payables and Accrued Expenses 1,923 — Interest rate collar Other Liabilities 9,324 — Total derivative liabilities not designated as hedging instruments $ 11,831 $ —

Revenue from Contracts with C_2

Revenue from Contracts with Customers (Tables)	9 Months Ended
	Sep. 26, 2020
Revenue from Contract with Customer [Abstract]
Schedule of Disaggregation of Revenues	The following disaggregation of revenues is based on the timing of revenue recognition: Three Months Ended Nine Months Ended In thousands September 26, 2020 September 28, 2019 September 26, 2020 September 28, 2019 Revenues recognized at a point in time $ 447,403 $ 394,709 $ 1,111,118 $ 1,211,942 Revenues recognized over time 37,950 37,193 103,946 110,626 Total net revenue $ 485,353 $ 431,902 $ 1,215,064 $ 1,322,568
Schedule of Allowance for Expected Credit Loss	The following table summarizes the activity of allowance for expected credit losses for the nine months ended September 26, 2020. In thousands Nine Months Ended Beginning balance as of December 28, 2019 $ (3,040) Current-period provision for expected credit losses (482) Write-offs charged against the allowance 775 Other adjustments (1) 2,207 Ending balance as of September 26, 2020 $ (540) (1) As part of our adoption of ASU 2016-13, we adjusted the allowance for certain amounts recognized in prior periods that no longer represented an allowance for credit losses. The adjustment was immaterial to the financial results of current and prior periods. See Note 2. “Details of Certain Balance Sheet Accounts” for further details.

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 26, 2020
Leases [Abstract]
Schedule of Lease Type and Classification On Balance Sheet	In thousands As of As of Type Classification ASSETS Finance Property and equipment, net (a) $ 25,537 $ 28,128 Operating Right of use assets (b) 335,860 348,090 Total leased assets $ 361,397 $ 376,218 LIABILITIES Current Liabilities: Finance Current maturities of long-term debt and finance lease obligations $ 3,537 $ 3,259 Operating Current operating lease obligations (c) 57,036 51,937 Other non-current liabilities: Finance Long-term debt and finance lease obligations, less current portion and debt discount 28,073 30,037 Operating Non-current operating lease obligations 320,155 331,769 Total lease liabilities $ 408,801 $ 417,002 As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the net present value of minimum lease payments. We used the incremental borrowing rate on December 30, 2018, for operating leases that commenced prior to that date. _________ (a) Finance lease assets are recorded net of accumulated amortization of $11.6 million and $8.3 million as of September 26, 2020 and December 28, 2019, respectively. (b) TIA of $34.9 million and $35.2 million are treated as reductions of lease payments used to measure ROU assets as of September 26, 2020 and December 28, 2019, respectively. Deferred rent of $17.0 million and $15.0 million are treated as reductions of lease payments used to measure ROU assets as of September 26, 2020 and December 28, 2019, respectively.
Schedule of Lease Cost	Three Months Ended Nine Months Ended In thousands September 26, 2020 September 28, 2019 September 26, 2020 September 28, 2019 Operating lease cost Fixed lease cost (a) $ 19,473 $ 18,542 $ 57,885 $ 54,955 Variable lease cost (b) 7,203 6,745 20,369 19,803 Sublease income (c) (896) (965) (1,778) (2,881) Finance lease cost Amortization of finance lease assets 1,143 1,176 3,424 3,231 Interest expense, net: Interest on finance lease liabilities 826 903 2,550 2,689 Net lease cost $ 27,749 $ 26,401 $ 82,450 $ 77,797 (a) Includes short-term leases, which are immaterial. (b) Includes costs for insurance, real estate taxes and common area maintenance expenses, which are variable, as are lease costs above minimum thresholds for Fred Meyer stores and lease costs for Military stores. (c) Income from sub-leasing of stores includes rental income from operating lease properties to ophthalmologists and optometrists who are independent contractors.
Schedule of Lease Terms and Discount Rate	Lease Term and Discount Rate As of As of Weighted average remaining lease term (months) Operating leases 78 82 Finance leases 83 88 Weighted average discount rate (a) Operating leases 4.7 % 4.6 % Finance leases (b) 12.5 % 13.1 % (a) The discount rate used to determine the lease assets and lease liabilities was derived upon considering (i) incremental borrowing rates on our term loan and revolving credit facility; (ii) fixed rates we pay on our interest rate swaps; (iii) LIBOR margins for issuers of similar credit rating; and (iv) effect of collateralization. As a majority of our leases are five-year and 10-year leases, we determined a lease discount rate for such tenors and determined this discount rate is reasonable for leases that were entered into during the period. (b) The discount rate on finance leases is higher than operating leases because the present value of minimum lease payments was higher than the fair value of leased properties for certain leases entered into prior to adoption of ASC 842. The discount rate differential for those leases is not material to our results of operations.
Schedule of Operating Lease Cash Flows	In thousands Nine Months Ended September 26, 2020 Nine Months Ended September 28, 2019 Other Information Cash paid for amounts included in the measurement of lease liabilities Operating cash outflows - operating leases $ 53,816 $ 55,817
Schedule of Maturity for Operating Lease Liabilities	The following table summarizes the maturity of our lease liabilities as of September 26, 2020: In thousands Operating Leases (a) Finance Leases (b) Fiscal Year 2020 $ 9,313 $ 1,358 2021 82,019 7,280 2022 74,613 7,215 2023 66,867 6,241 2024 57,690 4,673 Thereafter 151,914 16,459 Total lease liabilities 442,416 43,226 Less: Interest 65,225 11,616 Present value of lease liabilities (c) $ 377,191 $ 31,610 (a) Operating lease payments include $63.0 million related to options to extend lease terms that are reasonably certain of being exercised. (b) Finance lease payments include $1.7 million related to options to extend lease terms that are reasonably certain of being exercised. (c) The present value of lease liabilities excludes $29.2 million of legally binding minimum lease payments for leases signed but not yet commenced.
Schedule of Maturity for Finance Lease Liabilities	The following table summarizes the maturity of our lease liabilities as of September 26, 2020: In thousands Operating Leases (a) Finance Leases (b) Fiscal Year 2020 $ 9,313 $ 1,358 2021 82,019 7,280 2022 74,613 7,215 2023 66,867 6,241 2024 57,690 4,673 Thereafter 151,914 16,459 Total lease liabilities 442,416 43,226 Less: Interest 65,225 11,616 Present value of lease liabilities (c) $ 377,191 $ 31,610 (a) Operating lease payments include $63.0 million related to options to extend lease terms that are reasonably certain of being exercised. (b) Finance lease payments include $1.7 million related to options to extend lease terms that are reasonably certain of being exercised. (c) The present value of lease liabilities excludes $29.2 million of legally binding minimum lease payments for leases signed but not yet commenced.

Segment Reporting (Tables)

Segment Reporting (Tables)	9 Months Ended
	Sep. 26, 2020
Segment Reporting [Abstract]
Schedule of Financial Data by Segment	The following is a summary of certain financial data for each of our segments. Reportable segment information is presented on the same basis as our condensed consolidated financial statements, except for net revenue and associated costs applicable to revenue, which are presented on a cash basis, including point of sales for managed care payors and excluding the effects of unearned and deferred revenue, consistent with what the chief operating decision maker (“CODM”) regularly reviews. Asset information is not included in the following summary since the CODM does not regularly review such information for the reportable segments. Our reportable segment profit measure is earnings before interest, tax, depreciation and amortization (“EBITDA”), or net revenue, less costs applicable to revenue, less SG&A expenses. Depreciation and amortization, asset impairment, litigation settlement and other corporate costs that are not allocated to the reportable segments, including interest expense are excluded from segment EBITDA. There are no revenue transactions between our reportable segments. We measure assets in our reportable segments on the same basis as consolidated assets. There have been no changes from prior periods in the measurement methods used to determine reportable segment profit or loss, and there have been no asymmetrical allocations to segments. Three Months Ended September 26, 2020 In thousands Owned & Host Legacy Corporate/Other Reconciliations Total Segment product revenues $ 323,159 $ 24,900 $ 57,906 $ (2,629) $ 403,336 Segment services and plans revenues 73,241 15,332 — (6,556) 82,017 Total net revenue 396,400 40,232 57,906 (9,185) 485,353 Cost of products 86,945 11,676 50,154 (501) 148,274 Cost of services and plans 55,680 6,108 747 — 62,535 Total costs applicable to revenue 142,625 17,784 50,901 (501) 210,809 SG&A 128,206 13,068 49,244 — 190,518 Asset impairment — — 7,150 — 7,150 Other expense (income), net — — (154) — (154) EBITDA $ 125,569 $ 9,380 $ (49,235) $ (8,684) Depreciation and amortization 22,236 Interest expense, net 12,475 Income before income taxes $ 42,319 Three Months Ended September 28, 2019 In thousands Owned & Host Legacy Corporate/Other Reconciliations Total Segment product revenues $ 270,171 $ 25,252 $ 63,173 $ (2,807) $ 355,789 Segment services and plans revenues 63,267 14,103 1 (1,258) 76,113 Total net revenue 333,438 39,355 63,174 (4,065) 431,902 Cost of products 77,670 11,681 55,684 (517) 144,518 Cost of services and plans 53,465 6,519 — — 59,984 Total costs applicable to revenue 131,135 18,200 55,684 (517) 204,502 SG&A 128,054 13,920 48,316 — 190,290 Asset impairment — — 3,516 — 3,516 Other expense, net — — 146 — 146 Loss on extinguishment of debt — — 9,786 — 9,786 EBITDA $ 74,249 $ 7,235 $ (54,274) $ (3,548) Depreciation and amortization 22,336 Interest expense, net 7,873 Income (loss) before income taxes $ (6,547) Nine Months Ended September 26, 2020 In thousands Owned & Host Legacy Corporate/Other Reconciliations Total Segment product revenues $ 782,502 $ 65,572 $ 174,950 $ (17,140) $ 1,005,884 Segment services and plans revenues 172,829 36,530 — (179) 209,180 Total net revenue 955,331 102,102 174,950 (17,319) 1,215,064 Costs of products 223,759 32,173 150,198 (3,851) 402,279 Costs of services and plans 149,847 17,270 747 — 167,864 Total costs applicable to revenue 373,606 49,443 150,945 (3,851) 570,143 SG&A 349,624 37,260 133,957 — 520,841 Asset impairment — — 20,916 — 20,916 Litigation settlement — — 4,395 — 4,395 Other expense (income), net — — (312) — (312) Debt issuance costs — — 136 — 136 EBITDA $ 232,101 $ 15,399 $ (135,087) $ (13,468) Depreciation and amortization 68,970 Interest expense, net 35,432 Income (loss) before income taxes $ (5,457) Nine Months Ended September 28, 2019 In thousands Owned & Host Legacy Corporate/Other Reconciliations Total Segment product revenues $ 827,957 $ 81,178 $ 189,389 $ (2,042) $ 1,096,482 Segment services and plans revenues 191,117 42,019 12 (7,062) 226,086 Total net revenue 1,019,074 123,197 189,401 (9,104) 1,322,568 Costs of products 239,975 38,123 166,533 (454) 444,177 Costs of services and plans 155,710 19,090 1 — 174,801 Total costs applicable to revenue 395,685 57,213 166,534 (454) 618,978 SG&A 387,345 42,041 137,058 — 566,444 Asset impairment — — 7,387 — 7,387 Other expense, net — — 975 — 975 Loss on extinguishment of debt — — 9,786 — 9,786 EBITDA $ 236,044 $ 23,943 $ (132,339) $ (8,650) Depreciation and amortization 63,570 Interest expense, net 25,902 Income before income taxes $ 29,526

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	Sep. 26, 2020
Earnings Per Share [Abstract]
Schedule of Reconciliation of Basic and Diluted EPS Calculations	A reconciliation of the numerators and denominators of the basic and diluted EPS calculations is as follows: Three Months Ended Nine Months Ended In thousands, except EPS September 26, 2020 September 28, 2019 September 26, 2020 September 28, 2019 Net income $ 35,289 $ 1,192 $ 1,198 $ 28,879 Weighted average shares outstanding for basic EPS 80,676 78,474 80,376 78,387 Effect of dilutive securities: Stock options 1,694 3,024 1,818 3,074 Restricted stock 195 63 114 49 2025 Notes 1,230 — 410 — Weighted average shares outstanding for diluted EPS 83,795 81,561 82,718 81,510 Basic EPS $ 0.44 $ 0.02 $ 0.01 $ 0.37 Diluted EPS $ 0.42 $ 0.01 $ 0.01 $ 0.35 Anti-dilutive options, RSUs outstanding excluded from EPS 426 315 516 289

Restricted Cash (Tables)

Restricted Cash (Tables)	9 Months Ended
	Sep. 26, 2020
Cash and Cash Equivalents [Abstract]
Schedule of Cash, Cash Equivalents, and Restricted Cash	The following table provides a reconciliation of cash and cash equivalents reported within the condensed consolidated balance sheets to the total of cash, cash equivalents and restricted cash shown in the condensed consolidated statement of cash flows: Nine Months Ended In thousands September 26, 2020 September 28, 2019 Cash and cash equivalents $ 377,007 $ 94,086 Restricted cash included in other assets 1,408 1,200 Total cash, cash equivalents and restricted cash $ 378,415 $ 95,286

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Loss (Tables)	9 Months Ended
	Sep. 26, 2020
Equity [Abstract]
Schedule of Accumulated Other Comprehensive Loss	The following table presents the changes in AOCL during the three and nine months ended September 26, 2020 and September 28, 2019, respectively: Three Months Ended Nine Months Ended In thousands September 26, 2020 September 28, 2019 September 26, 2020 September 28, 2019 Cash flow hedging activity: Balance at beginning of period $ (7,355) $ (5,427) $ (3,814) $ (2,810) Other comprehensive income (loss) before reclassification (47) (439) (11,088) (5,760) Tax effect of other comprehensive income (loss) before reclassification 12 112 2,825 1,476 Amount reclassified from AOCL into interest expense 1,941 1,120 8,235 2,922 Tax effect of amount reclassified from AOCL into interest expense (495) (287) (2,102) (749) Net current period other comprehensive income (loss), net of tax 1,411 506 (2,130) (2,111) Balance at end of period $ (5,944) $ (4,921) $ (5,944) $ (4,921)

Description of Business and B_3

Description of Business and Basis of Presentation - Nature of Operations (Details)	Sep. 26, 2020storestore_brand	Dec. 28, 2019store
Accounting Policies [Abstract]
Number of retail optical locations | store	1,201	1,151
Number of store brands | store_brand	5

Description of Business and B_4

Description of Business and Basis of Presentation - Asset Impairment (Details) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 26, 2020USD ($)	Sep. 26, 2020USD ($)
Impaired Long-Lived Assets Held and Used [Line Items]
Asset impairment charges for certain stores and other assets	$ 7.2	$ 20.9
Estimated fair value of impaired assets	$ 28.1	28.1
Write-off of certain obsolete software assets		$ 1.1
Maximum
Impaired Long-Lived Assets Held and Used [Line Items]
Discount rate used in impairment analysis (percent)		8.00%
Minimum
Impaired Long-Lived Assets Held and Used [Line Items]
Discount rate used in impairment analysis (percent)		6.30%

Description of Business and B_5

Description of Business and Basis of Presentation - Income Taxes and CARES Act (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 26, 2020	Sep. 28, 2019	Sep. 26, 2020	Sep. 28, 2019
Income Taxes
Effective income tax rate (percent)	25.50%	25.60%	25.50%	25.60%
Tax benefit associated primarily with exercise of stock options	$ 3	$ 6.3	$ 6	$ 7.7
Reclassification of AMT credits from deferred income taxes to prepaid expenses and other assets, CARES Act			1.3
Increase in gross deferred tax liability related to property and equipment, CARES Act			25
Products
Income Taxes
Employee retention credit, CARES Act			(0.4)
Services and plans
Income Taxes
Employee retention credit, CARES Act			(6.2)
SG&A
Income Taxes
Employee retention credit, CARES Act	$ (0.2)		$ (4.4)

Description of Business and B_6

Description of Business and Basis of Presentation - Adoption of New Accounting Pronouncements (Details) - USD ($) $ in Thousands	Sep. 26, 2020	Jun. 27, 2020	Mar. 28, 2020	Dec. 29, 2019	Dec. 28, 2019	Sep. 28, 2019	Jun. 29, 2019	Mar. 30, 2019	Dec. 29, 2018
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Equity	$ (864,963)	$ (820,939)	$ (786,160)		$ (776,437)	$ (765,471)	$ (774,434)	$ (762,580)	$ (743,154)
Retained Earnings
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Equity	$ (107,801)	$ (72,512)	$ (116,345)		(107,132)	$ (103,212)	$ (102,020)	$ (91,763)	(74,840)
Cumulative effect of change in accounting principle
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Equity					529				506
Cumulative effect of change in accounting principle | ASU No. 2016-13
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Allowance for credit losses				$ 700
Cumulative effect of change in accounting principle | Retained Earnings
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Equity					$ 529				$ 506
Cumulative effect of change in accounting principle | Retained Earnings | ASU No. 2016-13
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Equity				$ 500

Details of Certain Balance Sh_3

Details of Certain Balance Sheet Accounts - Accounts Receivable, Net (Details) - USD ($) $ in Thousands	Sep. 26, 2020	Dec. 28, 2019
Accounts receivable, net:
Allowance for credit losses	$ (540)	$ (3,040)
Accounts receivable, net of allowance	49,678	44,475
Trade receivables
Accounts receivable, net:
Accounts receivable, gross	25,448	28,635
Credit card receivables
Accounts receivable, net:
Accounts receivable, gross	18,470	14,173
Other receivables
Accounts receivable, net:
Accounts receivable, gross	$ 6,300	$ 4,707

Details of Certain Balance Sh_4

Details of Certain Balance Sheet Accounts - Inventories (Details) - USD ($) $ in Thousands	Sep. 26, 2020	Dec. 28, 2019
Inventories:
Raw materials and work in process	$ 50,394	$ 65,179
Finished goods	61,306	62,377
Inventories	$ 111,700	$ 127,556

Details of Certain Balance Sh_5

Details of Certain Balance Sheet Accounts - Property and Equipment, Net (Details) - USD ($) $ in Thousands	Sep. 26, 2020	Dec. 28, 2019
Property and equipment, net:
Property and equipment, gross	$ 648,028	$ 638,732
Less: Accumulated depreciation	317,672	271,965
Property and equipment, net	330,356	366,767
Land and building
Property and equipment, net:
Property and equipment, gross	3,624	3,632
Equipment
Property and equipment, net:
Property and equipment, gross	198,601	188,593
Information technology hardware and software
Property and equipment, net:
Property and equipment, gross	116,232	115,283
Furniture and fixtures
Property and equipment, net:
Property and equipment, gross	55,068	55,146
Leasehold improvements
Property and equipment, net:
Property and equipment, gross	215,598	213,124
Construction in progress
Property and equipment, net:
Property and equipment, gross	21,743	26,517
Right of use assets under finance leases
Property and equipment, net:
Right of use assets under finance leases	$ 37,162	$ 36,437

Details of Certain Balance Sh_6

Details of Certain Balance Sheet Accounts - Other Payables and Accrued Expenses (Details) - USD ($) $ in Thousands	Sep. 26, 2020	Dec. 28, 2019
Other payables and accrued expenses:
Employee compensation and benefits	$ 45,532	$ 28,347
Advertising	2,164	2,919
Self-insurance liabilities	9,378	8,403
Reserves for customer returns and remakes	7,266	7,158
Capital expenditures	13,516	6,782
Legacy management & services agreement	5,030	4,461
Fair value of derivative liabilities	6,109	6,382
Supplies and other store support expenses	3,098	2,926
Litigation settlements	8,302	3,840
Lease concessions	6,319	0
Other	18,564	11,611
Total other payables and accrued expenses	$ 125,278	$ 82,829

Details of Certain Balance Sh_7

Details of Certain Balance Sheet Accounts - Other Non-Current Liabilities (Details) - USD ($) $ in Thousands	Sep. 26, 2020	Dec. 28, 2019
Other non-current liabilities:
Fair value of derivative liabilities	$ 9,324	$ 1,603
Self-insurance liabilities	8,360	7,283
Other	6,002	4,845
Total other non-current liabilities	23,686	$ 13,731
Deferred employer payroll taxes in other liabilities, CARES Act	$ 3,500

Fair Value Measurements of Fi_2

Fair Value Measurements of Financial Assets and Liabilities - Narrative (Details) - USD ($)	Sep. 26, 2020	May 31, 2020	Dec. 28, 2019
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Aggregate principal amount	$ 719,875,000		$ 540,375,000
Finance lease obligations	31,610,000		33,296,000
Convertible senior notes | 2025 Notes
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Aggregate principal amount	$ 402,500,000		0
Stated interest rate (percent)	2.50%	2.50%
Estimated fair value | Level 2 | Convertible senior notes | 2025 Notes
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Estimated fair value of convertible notes	$ 560,900,000
Estimated fair value | Level 2 | Finance lease obligations
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Finance lease obligation	$ 35,600,000		$ 38,200,000

Long-term Debt - Summary of Lon

Long-term Debt - Summary of Long-term Debt (Details) - USD ($)	Sep. 26, 2020	Dec. 28, 2019
Debt Instrument [Line Items]
Long-term debt, gross	$ 719,875,000	$ 540,375,000
Long-term debt less debt discount	620,065,000	536,396,000
Less current maturities	0	(10,500,000)
Long-term debt - non-current portion	620,065,000	525,896,000
Finance lease obligations	31,610,000	33,296,000
Less current maturities	(3,537,000)	(3,259,000)
Long-term debt and finance lease obligations, less current portion and debt discount	648,138,000	555,933,000
Revolving credit facility, due July 18, 2024 | Credit facility
Debt Instrument [Line Items]
Long-term debt, gross	0	148,000,000
2025 Notes | Convertible senior notes
Debt Instrument [Line Items]
Long-term debt, gross	402,500,000	0
Unamortized discount	(97,507,000)	0
Term loan, due July 18, 2024 | Term loan
Debt Instrument [Line Items]
Long-term debt, gross	317,375,000	392,375,000
Unamortized discount	$ (2,303,000)	$ (3,979,000)

Long-term Debt - 2025 Notes Nar

Long-term Debt - 2025 Notes Narrative (Details) $ / shares in Units, common_share in Millions	Sep. 26, 2020USD ($)$ / shares	May 12, 2020USD ($)	May 31, 2020USD ($)common_share$ / shares	Sep. 26, 2020USD ($)$ / shares	Sep. 26, 2020USD ($)$ / shares	Sep. 28, 2019USD ($)	Dec. 28, 2019USD ($)	Feb. 14, 2025day	Feb. 14, 2025USD ($)day
Debt Instrument [Line Items]
Amortization of debt discount and deferred financing costs					$ 7,248,000	$ 1,071,000
Convertible senior notes | 2025 Notes
Debt Instrument [Line Items]
Stated interest rate (percent)	2.50%		2.50%	2.50%	2.50%
Proceeds from convertible debt			$ 390,900,000
Debt issuance costs			11,600,000
Principal amount per note			$ 1,000
Conversion ratio			32.0783
Conversion price (in usd per share) | $ / shares	$ 31.17		$ 31.17	$ 31.17	$ 31.17
Number of shares of common stock reserved for conversion of debt | common_share			12.9
If-converted value in excess of principal amount	$ 73,300,000
Post-tax conversion option recorded to equity			$ 73,500,000
Pre-tax conversion option recorded to equity			$ 95,200,000
Effective interest rate (percent)			9.09%
Amortization of debt discount and deferred financing costs				$ 6,800,000	$ 10,400,000
Unamortized debt discount remaining period (in years)	5 years
Convertible senior notes | 2025 Notes | Maximum
Debt Instrument [Line Items]
Number of shares of common stock reserved for conversion of debt | common_share			16.5
Convertible senior notes | 2025 Notes | Equity component
Debt Instrument [Line Items]
Debt issuance costs			$ 2,700,000
Post-tax debt issuance costs			2,200,000
Convertible senior notes | 2025 Notes | Debt component
Debt Instrument [Line Items]
Debt issuance costs			$ 8,900,000
Convertible senior notes | 2025 Notes | Forecast
Debt Instrument [Line Items]
Threshold stock price trigger (percent)								130.00%
Threshold trading days for conversion price metric | day								20
Threshold consecutive trading days for conversion price measurement | day								30
Threshold consecutive business days after measurement period | day									5
Threshold consecutive trading days for measurement period | day									10
Principal amount per note									$ 1,000
Trading price compared to factor of last reported sale price by conversion rate (percent)									98.00%
Credit facility | Revolving credit facility, due July 18, 2024
Debt Instrument [Line Items]
Repayment of revolving credit facility		$ 294,300,000
Term loan | Term loan, due July 18, 2024
Debt Instrument [Line Items]
Repayment of term loan		$ 75,000,000					$ 25,000,000

Long-term Debt - Amendment to C

Long-term Debt - Amendment to Credit Agreement Narrative (Details)	May 12, 2020USD ($)	May 05, 2020USD ($)	Mar. 17, 2020USD ($)	Jan. 01, 2022	Oct. 02, 2021	Dec. 28, 2019USD ($)	Jul. 18, 2024
Amended credit facility
Debt Instrument [Line Items]
Consolidated EBITDA for any six fiscal quarter period		$ 0
Minimum liquidity level per amendment, component one		100,000,000
Minimum liquidity level per amendment, component two base		40,000,000
Minimum liquidity level per amendment, component two variable		75,000,000
Term loan | Term loan, due July 18, 2024
Debt Instrument [Line Items]
Required prepayment based on capital raised		75,000,000
Capital threshold for basis of required prepayment		$ 400,000,000
Required prepayment as percentage of proceeds in excess of capital threshold		50.00%
Basis spread adjustment (percent)		0.50%
Variable rate adjustment factor, minimum threshold for capital market transactions within 30 days of amendment		$ 135,000,000
Variable rate adjustment factor, minimum threshold for EBITDA		$ 0
Repayment of term loan	$ 75,000,000					$ 25,000,000
Term loan | Term loan, due July 18, 2024 | LIBOR | Minimum
Debt Instrument [Line Items]
Basis spread on variable rate (percent)		1.75%
Term loan | Term loan, due July 18, 2024 | LIBOR | Maximum
Debt Instrument [Line Items]
Basis spread on variable rate (percent)		2.75%
Term loan | Term loan, due July 18, 2024 | ABR | Minimum
Debt Instrument [Line Items]
Basis spread on variable rate (percent)		0.75%
Term loan | Term loan, due July 18, 2024 | ABR | Maximum
Debt Instrument [Line Items]
Basis spread on variable rate (percent)		1.75%
Revolving credit facility
Debt Instrument [Line Items]
Restriction on borrowings covenant, maximum unrestricted cash and cash equivalents		$ 50,000,000
Revolving credit facility | Credit facility
Debt Instrument [Line Items]
Proceeds from revolving credit facility			$ 146,300,000
Forecast | Amended credit facility
Debt Instrument [Line Items]
Consolidated Total Debt to Consolidated EBITDA Ratio				4	4.50
Consolidated Interest Coverage Ratio minimum							3

Long-term Debt - Maturities of

Long-term Debt - Maturities of Debt (Details) - USD ($) $ in Thousands	Sep. 26, 2020	Dec. 28, 2019
Schedule of annual maturities of debt:
2020 - remaining fiscal year	$ 0
2021	0
2022	0
2023	0
2024	317,375
Thereafter	402,500
Total	$ 719,875	$ 540,375

Interest Rate Derivatives - Nar

Interest Rate Derivatives - Narrative (Details) - USD ($)	3 Months Ended	9 Months Ended
	Sep. 26, 2020	Sep. 26, 2020	Jun. 27, 2020	Mar. 28, 2020	Dec. 28, 2019
Derivative [Line Items]
Loss on change in fair value		$ 2,600,000
Interest expense on highly effective hedges	$ 2,000,000	5,900,000
Estimated reclassification from AOCL to earnings in next 12 months	$ 3,500,000	3,500,000
Interest rate swap and collar | Interest expense, net
Derivative [Line Items]
Reclassification of net unrealized losses on discontinuance of hedge accounting		$ 2,500,000
Interest rate swap | Cash Flow Hedges
Derivative [Line Items]
Derivative interest rate floor	1.00%	1.00%
Interest rate swap | Not Designated as Hedging Instrument
Derivative [Line Items]
Notional amount	$ 78,000,000	$ 78,000,000
Interest rate swap one | Designated as Hedging Instrument | Cash Flow Hedges
Derivative [Line Items]
Notional amount				$ 70,000,000	$ 105,000,000
Interest rate collar | Designated as Hedging Instrument | Cash Flow Hedges
Derivative [Line Items]
Notional amount			$ 375,000,000
Interest rate collar | Not Designated as Hedging Instrument
Derivative [Line Items]
Notional amount	$ 58,000,000	$ 58,000,000

Interest Rate Derivatives - Pos

Interest Rate Derivatives - Position Related to Derivative Contracts (Details) - USD ($) $ in Thousands	Sep. 26, 2020	Dec. 28, 2019
Designated as Hedging Instrument
Derivatives, Fair Value [Line Items]
Derivative liabilities	$ 3,602	$ 7,985
Not Designated as Hedging Instrument
Derivatives, Fair Value [Line Items]
Derivative liabilities	11,831	0
Interest rate swap | Designated as Hedging Instrument | Accrued Liabilities [Member]
Derivatives, Fair Value [Line Items]
Derivative liabilities	3,602	6,382
Interest rate swap | Designated as Hedging Instrument | Other Noncurrent Liabilities [Member]
Derivatives, Fair Value [Line Items]
Derivative liabilities	0	1,603
Interest rate swap | Not Designated as Hedging Instrument | Accrued Liabilities [Member]
Derivatives, Fair Value [Line Items]
Derivative liabilities	584	0
Interest rate collar | Not Designated as Hedging Instrument | Accrued Liabilities [Member]
Derivatives, Fair Value [Line Items]
Derivative liabilities	1,923	0
Interest rate collar | Not Designated as Hedging Instrument | Other Noncurrent Liabilities [Member]
Derivatives, Fair Value [Line Items]
Derivative liabilities	$ 9,324	$ 0

Stock Incentive Plans (Details)

Stock Incentive Plans (Details) - 2017 Omnibus Incentive Plan	9 Months Ended
	Sep. 26, 2020installmentshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options granted (shares)	158,206
Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of equal vesting installments | installment	3
PSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Awards granted (shares)	124,863
RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Awards granted (shares)	157,860
Number of equal vesting installments | installment	3
RSAs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Awards granted (shares)	17,215
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	1 year

Equity in Net Assets of Non-C_2

Equity in Net Assets of Non-Consolidated Investee (Details) - USD ($)	Sep. 26, 2020	Aug. 29, 2017
Equity Method Investee
Related Party Transaction [Line Items]
Loan receivable		$ 1,500,000
Promissory note | Equity Method Investee
Related Party Transaction [Line Items]
Allowance for credit losses	$ 1,500,000
Nonconsolidated investee
Related Party Transaction [Line Items]
Equity investment	$ 0

Revenue from Contracts with C_3

Revenue from Contracts with Customers - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 26, 2020	Sep. 28, 2019	Sep. 26, 2020	Sep. 28, 2019
Disaggregation of Revenue [Line Items]
Time frame for majority of payments on health care plans and programs accounts (in days)			90 days
Credit loss expense	$ 100	$ 2,400	$ 482	$ 6,265
Deferred revenue	77,600		77,600
Previously deferred revenue recognized	$ 27,900	$ 27,900	$ 80,000	$ 83,200
Minimum
Disaggregation of Revenue [Line Items]
General payment terms for accounts on health care plans and programs (in days)			14 days
Unearned revenue, estimated delivery time for period end calculation (in days)			7 days
Maximum
Disaggregation of Revenue [Line Items]
General payment terms for accounts on health care plans and programs (in days)			120 days
Unearned revenue, estimated delivery time for period end calculation (in days)			10 days

Revenue from Contracts with C_4

Revenue from Contracts with Customers - Disaggregation of Revenues (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 26, 2020	Sep. 28, 2019	Sep. 26, 2020	Sep. 28, 2019
Disaggregation of Revenue [Line Items]
Net revenue	$ 485,353	$ 431,902	$ 1,215,064	$ 1,322,568
Revenues recognized at a point in time
Disaggregation of Revenue [Line Items]
Net revenue	447,403	394,709	1,111,118	1,211,942
Revenues recognized over time
Disaggregation of Revenue [Line Items]
Net revenue	$ 37,950	$ 37,193	$ 103,946	$ 110,626

Revenue from Contracts with C_5

Revenue from Contracts with Customers - Summary of Activity of Allowance for Expected Credit Losses (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 26, 2020	Sep. 28, 2019	Sep. 26, 2020	Sep. 28, 2019
Accounts Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance			$ (3,040)
Current-period provision for expected credit losses	$ (100)	$ (2,400)	(482)	$ (6,265)
Write-offs charged against the allowance			775
Other adjustments			2,207
Ending balance	$ (540)		$ (540)

Revenue from Contracts with C_6

Revenue from Contracts with Customers - Unsatisfied Performance Obligations (Details) $ in Millions	Sep. 26, 2020USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-09-27
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Performance obligations expected to be satisfied	$ 20.4
Performance obligations expected to be satisfied, expected timing	3 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-01-03
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Performance obligations expected to be satisfied	$ 41.6
Performance obligations expected to be satisfied, expected timing	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-01-02
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Performance obligations expected to be satisfied	$ 12.5
Performance obligations expected to be satisfied, expected timing	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Performance obligations expected to be satisfied	$ 3
Performance obligations expected to be satisfied, expected timing	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-12-31
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Performance obligations expected to be satisfied	$ 0.1
Performance obligations expected to be satisfied, expected timing	1 year

Leases - Narrative (Details)

Leases - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Jun. 27, 2020	Sep. 26, 2020	Dec. 28, 2019
Lessee, Lease, Description [Line Items]
Lease concessions		$ 6,319	$ 0
Minimum
Lessee, Lease, Description [Line Items]
Lease extension term, COVID-19 related (in months)	3 months
Maximum
Lessee, Lease, Description [Line Items]
Lease extension term, COVID-19 related (in months)	12 months
Stores, laboratories, distribution centers, offices | Minimum
Lessee, Lease, Description [Line Items]
Lease terms (in years)		5 years
Renewal terms (in years)		1 year
Stores, laboratories, distribution centers, offices | Maximum
Lessee, Lease, Description [Line Items]
Lease terms (in years)		10 years
Renewal terms (in years)		10 years

Leases - Lease Type and Classif

Leases - Lease Type and Classification (Details) - USD ($) $ in Thousands	Sep. 26, 2020	Dec. 28, 2019
ASSETS
Finance lease, right of use assets	$ 25,537	$ 28,128
Operating lease, right of use assets	335,860	348,090
Total leased assets	361,397	376,218
Accumulated amortization	11,600	8,300
TIA treated as reduction of lease payments used to measure operating lease ROU assets	34,900	35,200
TIA treated as reduction of lease payments used to measure ROU assets	(17,000)	(15,000)
TIA receivable netted to operating lease liabilities	$ 3,900	$ 5,900
Finance lease, right of use assets, balance sheet	us-gaap:PropertyPlantAndEquipmentAndFinanceLeaseRightOfUseAssetAfterAccumulatedDepreciationAndAmortization	us-gaap:PropertyPlantAndEquipmentAndFinanceLeaseRightOfUseAssetAfterAccumulatedDepreciationAndAmortization
LIABILITIES
Finance lease liability, current	$ 3,537	$ 3,259
Operating lease liability, current	57,036	51,937
Finance lease liabilities, non-current	28,073	30,037
Operating lease liabilities, non-current	320,155	331,769
Total lease liabilities	$ 408,801	$ 417,002
Finance lease liabilities, current, balance sheet	us-gaap:LongTermDebtAndCapitalLeaseObligationsCurrent	us-gaap:LongTermDebtAndCapitalLeaseObligationsCurrent
Finance lease liabilities, non-current, balance sheet	us-gaap:LongTermDebtAndCapitalLeaseObligations	us-gaap:LongTermDebtAndCapitalLeaseObligations

Leases - Lease Costs (Details)

Leases - Lease Costs (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 26, 2020	Sep. 28, 2019	Sep. 26, 2020	Sep. 28, 2019
Lease Cost
Operating lease cost	$ 19,473	$ 18,542	$ 57,885	$ 54,955
Variable lease cost	7,203	6,745	20,369	19,803
Sublease income	(896)	(965)	(1,778)	(2,881)
Amortization of finance lease assets	1,143	1,176	3,424	3,231
Interest on finance lease liabilities	826	903	2,550	2,689
Net lease cost	$ 27,749	$ 26,401	$ 82,450	$ 77,797

Leases - Lease Term and Discoun

Leases - Lease Term and Discount Rate (Details)	Sep. 26, 2020	Dec. 28, 2019
Leases [Abstract]
Operating leases, weighted average remaining lease term (months)	78 months	82 months
Finance leases, weighted average remaining lease term (months)	83 months	88 months
Operating leases, weighted average discount rate (percent)	4.70%	4.60%
Finance leases, weighted average discount rate (percent)	12.50%	13.10%

Leases - Other Information (Det

Leases - Other Information (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 26, 2020	Sep. 28, 2019
Cash paid for amounts included in the measurement of lease liabilities
Operating cash outflows - operating leases	$ 53,816	$ 55,817

Leases - Maturity of Lease Liab

Leases - Maturity of Lease Liabilities (Details) - USD ($) $ in Thousands	Sep. 26, 2020	Dec. 28, 2019
Operating Leases
2020	$ 9,313
2021	82,019
2022	74,613
2023	66,867
2024	57,690
Thereafter	151,914
Total lease liabilities	442,416
Less: Interest	65,225
Present value of lease liabilities	377,191
Finance Leases
2020	1,358
2021	7,280
2022	7,215
2023	6,241
2024	4,673
Thereafter	16,459
Total lease liabilities	43,226
Less: Interest	11,616
Finance lease obligations	31,610	$ 33,296
Operating lease payments related to reasonably certain option extensions included in total lease payments	63,000
Finance lease payments related to reasonably certain option extensions included in total lease payments	1,700
Minimum lease payments for leases signed but not yet commenced excluded from lease liability	$ 29,200

Commitments and Contingencies (

Commitments and Contingencies (Details) $ in Thousands	Oct. 20, 2020USD ($)	Feb. 27, 2020USD ($)	Nov. 08, 2017USD ($)	Nov. 30, 2019USD ($)plaintiff	May 31, 2017USD ($)	Sep. 26, 2020USD ($)	Sep. 28, 2019USD ($)	Jul. 01, 2017USD ($)	Sep. 26, 2020USD ($)	Sep. 28, 2019USD ($)
Loss Contingencies [Line Items]
Charge for litigation settlement						$ 0	$ 0		$ 4,395	$ 0
1-800 Contacts Matter
Loss Contingencies [Line Items]
Amount of litigation settlement					$ 7,000
Charge for litigation settlement								$ 7,000
Percent of settlement award deposited in escrow account (percent)			50.00%
Amount of settlement deposited in escrow account			$ 3,500
1-800 Contacts Matter | Subsequent Event
Loss Contingencies [Line Items]
Percent of settlement award deposited in escrow account (percent)	50.00%
Amount of settlement deposited in escrow account	$ 3,500
Wage and hours
Loss Contingencies [Line Items]
Gross settlement fund to be paid		$ 3,500
Fair Labor Standards Act
Loss Contingencies [Line Items]
Number of former employees | plaintiff				6
Fair Labor Standards Act | Maximum
Loss Contingencies [Line Items]
Amount of litigation settlement				$ 895

Segment Reporting - Narrative (

Segment Reporting - Narrative (Details) $ in Thousands	Jul. 17, 2020	Sep. 26, 2020USD ($)	Sep. 28, 2019USD ($)	Sep. 26, 2020USD ($)segment	Sep. 28, 2019USD ($)
Segment Reporting Information [Line Items]
Number of reportable segments | segment				2
Corporate level COVID-19 related supplies expense and professional fees		$ 4,700		$ 7,800
Net revenue		485,353	$ 431,902	$ 1,215,064	$ 1,322,568
Walmart
Segment Reporting Information [Line Items]
Management and services agreement, extension (in years)	3 years
Management and services agreement, automatic renewal (in years)	3 years
Period of time prior to end of term for written notice of non-renewal (in months)	7 months
Customer Concentration Risk | Sales revenue | Legacy partner arrangement
Segment Reporting Information [Line Items]
Concentration risk (percent)				8.40%
Customer Concentration Risk | Sales revenue | Walmart and Sam's Club contact lenses distribution arrangements
Segment Reporting Information [Line Items]
Concentration risk (percent)				7.70%
Legacy | Management of operations
Segment Reporting Information [Line Items]
Net revenue		$ 10,100	$ 9,300	$ 23,900	$ 27,500

Segment Reporting - Financial D

Segment Reporting - Financial Data by Segment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 26, 2020	Sep. 28, 2019	Sep. 26, 2020	Sep. 28, 2019
Segment Reporting Information [Line Items]
Total net revenue	$ 485,353	$ 431,902	$ 1,215,064	$ 1,322,568
Total costs applicable to revenue	210,809	204,502	570,143	618,978
SG&A	190,518	190,290	520,841	566,444
Asset impairment	7,150	3,516	20,916	7,387
Litigation settlement	0	0	4,395	0
Other expense (income), net	(154)	146	(312)	975
Debt issuance costs	0	0	136	0
Loss on extinguishment of debt	0	9,786	0	9,786
Depreciation and amortization	22,236	22,336	68,970	63,570
Interest expense, net	12,475	7,873	35,432	25,902
Income (loss) before income taxes	42,319	(6,547)	(5,457)	29,526
Products
Segment Reporting Information [Line Items]
Total net revenue	403,336	355,789	1,005,884	1,096,482
Total costs applicable to revenue	148,274	144,518	402,279	444,177
Services and plans
Segment Reporting Information [Line Items]
Total net revenue	82,017	76,113	209,180	226,086
Total costs applicable to revenue	62,535	59,984	167,864	174,801
Operating Segments | Owned & Host
Segment Reporting Information [Line Items]
Total net revenue	396,400	333,438	955,331	1,019,074
Total costs applicable to revenue	142,625	131,135	373,606	395,685
SG&A	128,206	128,054	349,624	387,345
Asset impairment	0	0	0	0
Litigation settlement			0
Other expense (income), net	0	0	0	0
Debt issuance costs			0
Loss on extinguishment of debt		0		0
EBITDA	125,569	74,249	232,101	236,044
Operating Segments | Owned & Host | Products
Segment Reporting Information [Line Items]
Total net revenue	323,159	270,171	782,502	827,957
Total costs applicable to revenue	86,945	77,670	223,759	239,975
Operating Segments | Owned & Host | Services and plans
Segment Reporting Information [Line Items]
Total net revenue	73,241	63,267	172,829	191,117
Total costs applicable to revenue	55,680	53,465	149,847	155,710
Operating Segments | Legacy
Segment Reporting Information [Line Items]
Total net revenue	40,232	39,355	102,102	123,197
Total costs applicable to revenue	17,784	18,200	49,443	57,213
SG&A	13,068	13,920	37,260	42,041
Asset impairment	0	0	0	0
Litigation settlement			0
Other expense (income), net	0	0	0	0
Debt issuance costs			0
Loss on extinguishment of debt		0		0
EBITDA	9,380	7,235	15,399	23,943
Operating Segments | Legacy | Products
Segment Reporting Information [Line Items]
Total net revenue	24,900	25,252	65,572	81,178
Total costs applicable to revenue	11,676	11,681	32,173	38,123
Operating Segments | Legacy | Services and plans
Segment Reporting Information [Line Items]
Total net revenue	15,332	14,103	36,530	42,019
Total costs applicable to revenue	6,108	6,519	17,270	19,090
Operating Segments | Corporate/Other
Segment Reporting Information [Line Items]
Total net revenue	57,906	63,174	174,950	189,401
Total costs applicable to revenue	50,901	55,684	150,945	166,534
SG&A	49,244	48,316	133,957	137,058
Asset impairment	7,150	3,516	20,916	7,387
Litigation settlement			4,395
Other expense (income), net	(154)	146	(312)	975
Debt issuance costs			136
Loss on extinguishment of debt		9,786		9,786
EBITDA	(49,235)	(54,274)	(135,087)	(132,339)
Operating Segments | Corporate/Other | Products
Segment Reporting Information [Line Items]
Total net revenue	57,906	63,173	174,950	189,389
Total costs applicable to revenue	50,154	55,684	150,198	166,533
Operating Segments | Corporate/Other | Services and plans
Segment Reporting Information [Line Items]
Total net revenue	0	1	0	12
Total costs applicable to revenue	747	0	747	1
Reconciliations
Segment Reporting Information [Line Items]
Total net revenue	(9,185)	(4,065)	(17,319)	(9,104)
Total costs applicable to revenue	(501)	(517)	(3,851)	(454)
SG&A	0	0	0	0
Asset impairment	0	0	0	0
Litigation settlement			0
Other expense (income), net	0	0	0	0
Debt issuance costs			0
Loss on extinguishment of debt		0		0
EBITDA	(8,684)	(3,548)	(13,468)	(8,650)
Reconciliations | Products
Segment Reporting Information [Line Items]
Total net revenue	(2,629)	(2,807)	(17,140)	(2,042)
Total costs applicable to revenue	(501)	(517)	(3,851)	(454)
Reconciliations | Services and plans
Segment Reporting Information [Line Items]
Total net revenue	(6,556)	(1,258)	(179)	(7,062)
Total costs applicable to revenue	$ 0	$ 0	$ 0	$ 0

Earnings Per Share - Narrative

Earnings Per Share - Narrative (Details) - USD ($)	Sep. 26, 2020	May 31, 2020	Dec. 28, 2019
Debt Instrument [Line Items]
Aggregate principal amount	$ 719,875,000		$ 540,375,000
Convertible senior notes | 2025 Notes
Debt Instrument [Line Items]
Aggregate principal amount	$ 402,500,000		$ 0
Conversion price (in usd per share)	$ 31.17	$ 31.17

Earnings Per Share - Reconcilia

Earnings Per Share - Reconciliation of Basic and Diluted EPS Calculations (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 26, 2020	Jun. 27, 2020	Mar. 28, 2020	Sep. 28, 2019	Jun. 29, 2019	Mar. 30, 2019	Sep. 26, 2020	Sep. 28, 2019
Earnings Per Share [Abstract]
Net income	$ 35,289	$ (43,833)	$ 9,742	$ 1,192	$ 10,257	$ 17,429	$ 1,198	$ 28,879
Weighted average shares outstanding for basic EPS (shares)	80,676			78,474			80,376	78,387
Effect of dilutive securities:
Stock options (shares)	1,694			3,024			1,818	3,074
Restricted stock (shares)	195			63			114	49
2025 Notes	1,230			0			410	0
Weighted average shares outstanding for diluted EPS	83,795			81,561			82,718	81,510
Basic EPS (in usd per share)	$ 0.44			$ 0.02			$ 0.01	$ 0.37
Diluted EPS (in usd per share)	$ 0.42			$ 0.01			$ 0.01	$ 0.35
Options and RSUs
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive options, RSUs outstanding excluded from EPS (shares)	426			315			516	289

Restricted Cash (Details)

Restricted Cash (Details) - USD ($) $ in Thousands	Sep. 26, 2020	Dec. 28, 2019	Sep. 28, 2019	Dec. 29, 2018
Reconciliation of cash, cash equivalents, and restricted cash
Cash and cash equivalents	$ 377,007	$ 39,342	$ 94,086
Restricted cash included in other assets	1,408		1,200
Total cash, cash equivalents and restricted cash	$ 378,415	$ 40,307	$ 95,286	$ 17,998

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 26, 2020	Sep. 28, 2019	Sep. 26, 2020	Sep. 28, 2019
Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward]
Balance at beginning of period	$ 820,939	$ 774,434	$ 776,437	$ 743,154
Balance at end of period	864,963	765,471	864,963	765,471
Cash Flow Hedges
Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward]
Balance at beginning of period	(7,355)	(5,427)	(3,814)	(2,810)
Other comprehensive income (loss) before reclassification	(47)	(439)	(11,088)	(5,760)
Tax effect of other comprehensive income (loss) before reclassification	12	112	2,825	1,476
Amount reclassified from AOCL into interest expense	1,941	1,120	8,235	2,922
Tax effect of amount reclassified from AOCL into interest expense	(495)	(287)	(2,102)	(749)
Net current period other comprehensive income (loss), net of tax	1,411	506	(2,130)	(2,111)
Balance at end of period	$ (5,944)	$ (4,921)	$ (5,944)	$ (4,921)