Key Tronic (KTCC) 10-Q 5 Nov 15 2016 Q1 Quarterly report Financial data

DOCUMENT AND ENTITY INFORMATION

DOCUMENT AND ENTITY INFORMATION - shares	3 Months Ended
	Sep. 26, 2015	Oct. 23, 2015
Document Documentand Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 26, 2015
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1
Trading Symbol	ktcc
Entity Registrant Name	KEY TRONIC CORP
Entity Central Index Key	719,733
Current Fiscal Year End Date	--07-02
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		10,710,606

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 26, 2015	Jun. 27, 2015
ASSETS
Cash and cash equivalents	$ 140	$ 372
Trade receivables, net of allowance for doubtful accounts of $229 and $97	73,761	72,852
Inventories	100,800	91,594
Deferred income tax asset	6,245	6,643
Other	15,515	13,646
Total current assets	196,461	185,107
Property, plant and equipment, net	26,898	26,974
Other assets:
Deferred income tax asset	2,637	80
Goodwill	9,957	9,957
Other intangible assets, net	6,774	7,055
Other	1,573	1,621
Total other assets	20,941	18,713
Total assets	244,300	230,794
LIABILITIES AND SHAREHOLDERS’ EQUITY
Accounts payable	74,957	61,528
Accrued compensation and vacation	7,456	9,467
Current portion of debt	5,000	5,000
Other	13,239	10,794
Total current liabilities	100,652	86,789
Long-term liabilities:
Term loan	25,000	26,250
Revolving loan	12,131	11,631
Deferred income tax liability	0	501
Other long-term obligations	7,401	4,855
Total long-term liabilities	44,532	43,237
Total liabilities	$ 145,184	$ 130,026
Commitments and contingencies (Note 9)
Shareholders’ equity:
Common stock, no par value—shares authorized 25,000; issued and outstanding 10,707 and 10,706 shares, respectively	$ 44,647	$ 44,136
Retained earnings	62,212	61,395
Accumulated other comprehensive loss	(7,743)	(4,763)
Total shareholders’ equity	99,116	100,768
Total liabilities and shareholders’ equity	$ 244,300	$ 230,794

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	Sep. 26, 2015	Jun. 27, 2015
Statement of Financial Position [Abstract]
Trade receivables, allowance for doubtful accounts	$ 229	$ 97
Common stock - par value	$ 0	$ 0
Common stock - shares authorized	25,000	25,000
Common stock - shares issued	10,707	10,706
Common stock - shares outstanding	10,707	10,706

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Sep. 26, 2015	Sep. 27, 2014
Income Statement [Abstract]
Net sales	$ 126,209	$ 86,342
Cost of sales	117,290	82,104
Gross profit	8,919	4,238
Operating expenses
Research, development and engineering expenses	1,556	1,336
Selling, general and administrative expenses	5,583	4,607
Total operating expenses	7,139	5,943
Operating income (loss)	1,780	(1,705)
Interest expense, net	533	189
Income (loss) before income taxes	1,247	(1,894)
Income tax provision (benefit)	430	(371)
Net income (loss)	$ 817	$ (1,523)
Earnings per share:
Net income (loss) per share — Basic	$ 0.08	$ (0.14)
Weighted average shares outstanding — Basic	10,706	10,548
Net income (loss) per share — Diluted	$ 0.07	$ (0.14)
Weighted average shares outstanding — Diluted	11,391	10,548

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME - USD ($) $ in Thousands	3 Months Ended
	Sep. 26, 2015	Sep. 27, 2014
Comprehensive loss:
Net income (loss)	$ 817	$ (1,523)
Other comprehensive loss:
Unrealized loss on hedging instruments, net of tax	(2,980)	(1,736)
Comprehensive loss	$ (2,163)	$ (3,259)

CONSOLIDATED STATEMENTS OF COM6

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Millions	3 Months Ended
	Sep. 26, 2015	Sep. 27, 2014
Statement of Comprehensive Income [Abstract]
Unrealized gain (loss) on foreign exchange contracts, tax	$ (1.5)	$ (1)

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Sep. 26, 2015	Sep. 27, 2014
Operating activities:
Net income (loss)	$ 817	$ (1,523)
Adjustments to reconcile net income (loss) to cash provided by operating activities:
Depreciation and amortization	1,516	1,269
Excess tax benefit from share-based compensation	(325)	0
Provision for obsolete inventory	405	118
(Recovery of) provision for warranty	(22)	14
(Recovery of) provision for doubtful accounts	(4)	74
Gain on disposal of assets	0	(6)
Share-based compensation expense	189	165
Deferred income taxes	(1,127)	1,815
Changes in operating assets and liabilities, net of acquisition:
Trade receivables	(905)	(3,911)
Inventories	(9,611)	2,589
Other assets	(1,904)	(3,303)
Accounts payable	13,429	5,450
Accrued compensation and vacation	(2,011)	(2,052)
Other liabilities	847	(2,837)
Cash provided by (used in) operating activities	1,294	(2,138)
Investing activities:
Payment for acquisition, net of cash acquired	0	(47,763)
Purchase of property and equipment	(3,512)	(2,248)
Proceeds from sale of fixed assets	2,439	2,195
Cash used in investing activities	(1,073)	(47,816)
Financing activities:
Payment of financing costs	(28)	(11)
Proceeds from issuance of long term debt	0	35,000
Repayments of long term debt	(1,250)	0
Borrowings under revolving credit agreement	50,721	39,552
Repayment of revolving credit agreement	(50,221)	(21,618)
Proceeds from accounts receivable purchase agreement	0	1,147
Payments towards accounts receivable purchase agreement	0	(8,969)
Excess tax benefit from share-based compensation	325	0
Proceeds from exercise of stock options	0	17
Cash (used in) provided by financing activities	(453)	45,118
Net decrease in cash and cash equivalents	(232)	(4,836)
Cash and cash equivalents, beginning of period	372	5,803
Cash and cash equivalents, end of period	140	967
Supplemental cash flow information:
Interest payments	491	286
Income tax payments, net of refunds	$ 552	$ 198

CONSOLIDATED STATEMENTS OF SHAR

CONSOLIDATED STATEMENTS OF SHAREHOLDER'S EQUITY - 3 months ended Sep. 26, 2015 - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Retained Earnings	Accumulated Other Comprehensive (Loss) Income
Balances (Shares) at Jun. 27, 2015		10,706
Balances at Jun. 27, 2015	$ 100,768	$ 44,136	$ 61,395	$ (4,763)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	817
Unrealized loss on hedging instruments, net	(2,980)			(2,980)
Exercise of stock options, (Shares)		3
Exercise of stock options	$ 0	$ 0
Shares Paid for Tax Withholding for Share Based Compensation	(2)
Shares withheld for taxes	$ (3)	(3)
Share-based compensation	189	189
Excess tax benefit from share-based compensation	325	$ 325
Balances (Shares) at Sep. 26, 2015		10,707
Balances at Sep. 26, 2015	$ 99,116	$ 44,647	$ 62,212	$ (7,743)

BASIS OF PRESENTATION

BASIS OF PRESENTATION	3 Months Ended
	Sep. 26, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BASIS OF PRESENTATION	Basis of Presentation The consolidated financial statements included herein have been prepared by Key Tronic Corporation and subsidiaries (the Company) pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). Certain information and footnote disclosures normally included in our annual consolidated financial statements have been condensed or omitted. The year-end condensed consolidated balance sheet information was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America. The financial statements reflect all normal and recurring adjustments which, in the opinion of management, are necessary for a fair presentation of the financial position, results of operations and cash flows for the interim periods presented. The preparation of financial statements in accordance with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the reported amounts of revenues and expenses during the reporting period. The results of operations for the periods presented are not necessarily indicative of the results to be expected for the full year. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the financial statements and notes included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 27, 2015 . The Company’s reporting period is a 52/53 week fiscal year ending on the Saturday closest to June 30. The three month periods ended September 26, 2015 and September 27, 2014 were 13 week periods, respectively. Fiscal year 2016 will end on July 2, 2016 which is a 53 week year. Fiscal year 2015 which ended on June 27, 2015 , was a 52 week year.

SIGNIFICANT ACCOUNTING POLICIES

SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Sep. 26, 2015
Accounting Policies [Abstract]
SIGNIFICANT ACCOUNTING POLICIES	Significant Accounting Policies Earnings Per Common Share Basic earnings per common share (EPS) is computed by dividing net income (loss) by the weighted average number of common shares outstanding during the period. Diluted EPS is computed by dividing net income (loss) by the combination of other potentially dilutive weighted average common shares and the weighted average number of common shares outstanding during the period using the treasury stock method. The computation assumes the proceeds from the exercise of equity awards were used to repurchase common shares at the average market price during the period. The computation of diluted EPS does not assume conversion, exercise, or contingent issuance of common stock equivalent shares that would have an anti-dilutive effect on EPS. Derivative Instruments and Hedging Activities The Company has entered into foreign currency forward contracts and an interest rate swap which are accounted for as cash flow hedges in accordance with ASC 815, Derivatives and Hedging . The effective portion of the gain or loss on the derivative is reported as a component of accumulated other comprehensive income (AOCI) and is reclassified into earnings in the same period in which the underlying hedged transaction affects earnings. The derivative’s effectiveness represents the change in fair value of the hedge that offsets the change in fair value of the hedged item. The Company uses derivatives to manage the variability of foreign currency fluctuations of expenses in our Mexico facilities and interest rate risk associated with certain borrowings under the Company’s debt arrangement. The foreign currency forward contracts and interest rate swaps have terms that are matched to the underlying transactions being hedged. As a result, these transactions fully offset the hedged risk and no ineffectiveness has been recorded. The Company’s foreign currency forward contracts and interest rate swaps potentially expose the Company to credit risk to the extent the counterparties may be unable to meet the terms of the agreement. The Company minimizes such risk by seeking high quality counterparties. The Company’s counterparties to the foreign currency forward contracts and interest rate swaps are major banking institutions. These institutions do not require collateral for the contracts, and the Company believes that the risk of the counterparties failing to meet their contractual obligations is remote. The Company does not enter into derivative instruments for trading or speculative purposes. Income Taxes We compute our interim income tax provision through the use of an estimated annual effective tax rate (ETR) applied to year-to-date operating results and specific events that are discretely recognized as they occur. In determining the estimated annual ETR, we analyze various factors, including projections of our annual earnings, taxing jurisdictions in which the earnings will be generated, the impact of state and local income taxes, our ability to use tax credits and net operating loss carryforwards, and available tax planning alternatives. Discrete items, including the effect of changes in tax laws, tax rates, and certain circumstances with respect to valuation allowances or other unusual or non-recurring tax adjustments, are reflected in the period in which they occur as an addition to, or reduction from, the income tax provision, rather than included in the estimated annual ETR. Refer to Note 6 for further discussions. Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the estimated future tax consequences and benefits attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis, as well as operating losses and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which temporary differences and carryforwards are expected to be recovered or settled. The effect on deferred tax assets and liabilities for a change in tax rates is recognized in the period that includes the enactment date. Valuation allowances are established when necessary to reduce deferred tax assets to the amount that is more likely than not to be realized. We utilize a two-step approach to recognizing and measuring uncertain tax positions. The first step is to evaluate the tax position for recognition by determining if the weight of available evidence indicates it is more likely than not that the position will be sustained on audit, including resolution of related appeals or litigation processes, if any. The second step is to measure the tax benefit as the largest amount which is more than 50% likely of being realized upon ultimate settlement. We consider many factors when evaluating and estimating our tax positions and tax benefits, which may require periodic adjustments based on new assessments and changes in estimates and which may not accurately forecast actual outcomes. Our policy is to recognize interest and penalties related to the underpayment of income taxes as a component of income tax expense. To date, we have not incurred charges for interest or penalties in relation to the underpayment of income taxes. The tax years 1998 through the present remain open to examination by the major U.S. taxing jurisdictions to which we are subject. Impairment of Goodwill and Other Intangible Assets The Company records intangible assets that are acquired individually or with a group of other assets in the financial statements at acquisition. In accordance with ASC 350, Goodwill and Other Intangible Assets, goodwill and intangible assets acquired in a business combination and determined to have an indefinite useful life are not amortized but are required to be reviewed for impairment at least annually or when events or circumstances indicate that carrying value may exceed fair value. The Company’s acquired intangible assets are subject to amortization over their estimated useful lives and are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an intangible asset may not be recoverable. Recently Issued Accounting Standards In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update 2014-09 (ASU 2014-09), Revenue from Contracts with Customers . The guidance in this Update affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of nonfinancial assets unless those contracts are within the scope of other standards (for example, insurance contracts or lease contracts). The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In doing so, companies will need to use more judgment and make more estimates than under current guidance. This may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. In August 2015, the FASB issued an amendment to defer the effective date of ASU 2014-09 for all entities by one year. This Update is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. Early adoption is permitted as of annual reporting periods beginning after December 15, 2016. Companies have the option of using either a full or modified retrospective approach in applying this standard. The Company is in the process of assessing the impact of ASU 2014-09 on its consolidated financial statements. In August 2014, the FASB issued Accounting Standards Update 2014-15 (ASU 2014-15), Presentation of Financial Statements - Going Concern . The guidance in this Update applies to all entities. The amendments require management to assess an entity ’ s ability to continue as a going concern by incorporating and expanding upon certain principles that are currently in U.S. auditing standards. Specifically, the amendments (1) provide a definition of the term substantial doubt, (2) require an evaluation every reporting period including interim periods, (3) provide principles for considering the mitigating effect of management ’ s plans, (4) require certain disclosures when substantial doubt is alleviated as a result of consideration of management ’ s plans, (5) require an express statement and other disclosures when substantial doubt is not alleviated, and (6) require an assessment for a period of one year after the date that the financial statements are issued (or available to be issued). The amendments in this Update are effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter. Early application is permitted. The amendments of ASU 2014-15, when adopted, are not expected to have a material impact on the Company’s consolidated financial statements. In April 2015, the FASB issued Accounting Standards Update 2015-03 (ASU 2015-03), Simplifying the Presentation of Debt Issuance Costs . The guidance in this Update changes the presentation of debt issuance costs in financial statements. Under the new guidance, an entity presents such costs in the balance sheet as a direct deduction from the related debt liability rather than as an asset. Amortization of the costs is reported as interest expense. This guidance is effective for the Company beginning in the first quarter of fiscal year 2017 and early adoption is permitted in an interim period with any adjustments reflected as of the beginning of the fiscal year that includes that interim period. The guidance is not expected to have a significant impact to the Company’s consolidated financial statements. In July 2015, the FASB issued final guidance that simplifies the subsequent measurement of inventory for which cost is determined by methods other than last-in first-out (“LIFO”) and the retail inventory method. For inventory within the scope of the new guidance, entities will be required to compare the cost of inventory to only one measure, its net realizable value, and not the three measures required by the existing guidance. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. The new guidance should not change how entities initially measure the cost of inventory. The guidance will be effective for the Company in the fiscal year beginning July 3, 2017. Early adoption is permitted. We have not yet determined the impact this new guidance may have on our financial statements. In September 2015, the FASB issued Accounting Standards Update 2015-16 (ASU 2015-16), Simplifying the Accounting for Measurement-Period Adjustments . T he amendments in this Update require that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. The amendments in this Update require that the acquirer record, in the same period’s financial statements, the effect on earnings of changes in depreciation, amortization, or other income effects, if any, as a result of the change to the provisional amounts, calculated as if the accounting had been completed at the acquisition date. We are currently evaluating the impact of adopting this new guidance on our consolidated financial statements.

INVENTORIES

INVENTORIES	3 Months Ended
	Sep. 26, 2015
Inventory Disclosure [Abstract]
INVENTORIES	Inventories The components of inventories consist of the following (in thousands): September 26, 2015 June 27, 2015 Finished goods $ 10,245 $ 8,019 Work-in-process 17,777 15,220 Raw materials and supplies 72,778 68,355 $ 100,800 $ 91,594

LONG-TERM DEBT

LONG-TERM DEBT	3 Months Ended
	Sep. 26, 2015
Debt Disclosure [Abstract]
LONG-TERM DEBT	Long-Term Debt On September 3, 2014, the Company added a five-year term loan in the amount of $35.0 million used to acquire all of the outstanding shares of CDR Manufacturing, Inc. (dba Ayrshire Electronics). For further information on the acquisition of Ayrshire, see footnote 12 of the “Notes to Consolidated Financial Statements.” On August 6, 2015, the Company entered into a First Amendment to the amended and restated credit agreement extending the limit on our line of credit facility to $45.0 million as evidenced by the Second Replacement Revolving Note. The agreement specifies that the proceeds of the revolving line of credit be used primarily for working capital and general corporate purposes of the Company and its subsidiaries. Borrowings under the revolving line of credit bear interest at either a “Base Rate” or a “Fixed Rate,” as elected by the Company. The base rate is the higher of the Wells Fargo Bank prime rate, daily one month London Interbank Offered Rate (LIBOR) plus 1.5% , or the Federal Funds rate plus 1.5% . The fixed rate is LIBOR plus 1.75% , LIBOR plus 2.00% , or LIBOR plus 2.25% depending on the level of the Company’s trailing four quarters Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA). The revolving line of credit is secured by substantially all of the assets of the Company. As of September 26, 2015 , the Company had an outstanding balance under the credit facility of $12.1 million , $0.4 million in outstanding letters of credit and $32.5 million available for future borrowings. The interest rate on the outstanding line of credit balance was in the range of 2.20% - 3.25% . As of June 27, 2015 , the Company had an outstanding balance under the credit facility of $11.6 million , $0.3 million in outstanding letters of credit and $18.0 million available for future borrowings. The outstanding principal balance of the term loan bears interest at a fixed rate per annum of the daily one month LIBOR plus 1.75% , 2.00% or 2.25% depending on the ratio of the Company’s funded debt to EBITDA, except that the term loan bore interest at LIBOR plus 2.00% from September 3, 2014 through December 14, 2014 regardless of the Company’s cash flow leverage ratio. Principal on the term loan is payable in equal quarterly installments of $1.25 million which commenced on December 15, 2014 and will continue through June 15, 2019, with a final installment of all remaining unpaid principal due on August 31, 2019. The Company had an outstanding balance of $30.0 million under the term loan as of September 26, 2015 . As of June 27, 2015 , the Company had an outstanding balance of $31.3 million under the term loan. The Company must comply with certain financial covenants, including a cash flow leverage ratio, an asset coverage ratio, and a fixed charge coverage ratio. The credit agreement requires the Company to maintain a minimum profit threshold, limits the maximum capital lease expenditures and restricts the Company from declaring or paying dividends in cash or stock without prior bank approval. The Company is in compliance with all financial covenants for all periods presented.

TRADE ACCOUNTS RECEIVABLE PURCH

TRADE ACCOUNTS RECEIVABLE PURCHASE PROGRAMS	3 Months Ended
	Sep. 26, 2015
Receivables [Abstract]
TRADE ACCOUNTS RECEIVABLE PURCHASE PROGRAM	Trade Accounts Receivable Purchase Programs Sale Programs On June 25, 2014, the Company entered into an Account Purchase Agreement with Wells Fargo Bank, N.A. (“WFB”) which provides that the Company may sell and assign to WFB and WFB may purchase from the Company the accounts receivable of certain Company customers in a maximum aggregate amount of $50.0 million . The initial term of the agreement is 36 months with successive 12 month renewal terms. On December 18, 2014, the Company modified the original Account Purchase Agreement with WFB to allow the Company to account for the factored receivables as a true-sale. On July 16, 2015, the Company modified the Account Purchase Agreement with WFB to decrease the maximum aggregate amount of receivables available to factor from $50.0 million to $20.0 million . The decrease in the aggregate amount available was due to a change in customer mix and to reduce fees related to the program. The Company also has an Account Purchase Agreement with Orbian Financial Services ("Orbian") which allows the Company to account for factored receivables as a true-sale. Total accounts receivables sold during the three months ended September 26, 2015 was approximately $13.6 million . This agreement was not in place for the three months ended September 27, 2014 . Accounts receivables sold and not yet collected was $2.1 million and $0.9 million as of September 26, 2015 and June 27, 2015 , respectively. The receivables that were sold were removed from the condensed consolidated balance sheets and the cash received is reflected as cash provided by operating activities in the condensed consolidated statements of cash flows.

INCOME TAXES

INCOME TAXES	3 Months Ended
	Sep. 26, 2015
Income Tax Disclosure [Abstract]
INCOME TAXES	Income Taxes The Company expects to repatriate a portion of its foreign earnings based on increased net sales growth driving additional capital requirements domestically, cash requirements for potential acquisitions and to implement certain tax strategies. The Company currently expects to repatriate approximately $10.5 million of foreign earnings in the future. As such, these earnings would be recognized in the United States, and the Company would be subject to U.S. federal income taxes and potential withholding taxes in foreign jurisdictions. Both the domestic tax and estimated withholding tax of expected repatriation of foreign earnings have been recorded as part of deferred taxes as of September 26, 2015 . All other unremitted foreign earnings are expected to remain permanently reinvested for planned fixed assets purchases and improvements in foreign locations. The Company has available approximately $5.6 million of gross federal research and development tax credits as of September 26, 2015 . ASC 740 requires the Company to recognize in its financial statements uncertainties in tax positions taken that may not be sustained upon examination by the taxing authorities. Accordingly, as of September 26, 2015 , the Company has recorded $3.5 million of unrecognized tax benefits associated with these federal tax credits, resulting in a net deferred tax benefit of approximately $2.1 million .

EARNINGS PER SHARE

EARNINGS PER SHARE	3 Months Ended
	Sep. 26, 2015
Earnings Per Share [Abstract]
EARNINGS PER SHARE	Earnings Per Share The following table presents a reconciliation of the denominator in the basic and diluted EPS calculation and the number of antidilutive common share awards that were not included in the diluted earnings per share calculation. These antidilutive securities occur when equity awards outstanding have an option price greater than the average market price for the period. Three Months Ended (in thousands, except per share information) September 26, 2015 September 27, 2014 Net income (loss) $ 817 $ (1,523 ) Weighted average shares outstanding—basic 10,706 10,548 Effect of dilutive common stock awards 685 — Weighted average shares outstanding—diluted 11,391 10,548 Net income (loss) per share—basic $ 0.08 $ (0.14 ) Net income (loss) per share—diluted $ 0.07 $ (0.14 ) Antidilutive SARs not included in diluted earnings per share 208 793

SHARE-BASED COMPENSATION

SHARE-BASED COMPENSATION	3 Months Ended
	Sep. 26, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
SHARE BASED COMPENSATION	Share-based Compensation The Company’s incentive plan provides for equity and liability awards to employees and non-employee directors in the form of stock options, stock appreciation rights (SARs), restricted stock, restricted stock units, stock awards, stock units, performance shares, performance units, and other stock-based or cash-based awards. Compensation cost is recognized on a straight-line basis over the requisite employee service period, which is generally the vesting period, and is recorded as employee compensation expense in cost of goods sold, research, development and engineering, and selling, general and administrative expenses. Share-based compensation is recognized only for those awards that are expected to vest, with forfeitures estimated at the date of grant based on historical experience and future expectations. In addition to service conditions, these SARs contain a performance condition. The additional performance condition is based upon the achievement of Return on Invested Capital (ROIC) goals relative to a peer group. All awards with performance conditions are measured over the vesting period and are charged to compensation expense over the requisite service period based on the number of shares expected to vest. The SARs cliff vest after a three-year period from date of grant and expire five years from date of grant. The grant date fair value for the awards granted below were estimated using the Black Scholes option valuation method: July 29, 2015 October 31, 2014 SARs Granted 248,166 213,166 Strike Price $ 10.26 $ 8.22 Fair Value $ 3.65 $ 3.04 Total share-based compensation expense recognized during the three months ended September 26, 2015 and September 27, 2014 was approximately $189,000 and $165,000 , respectively. As of September 26, 2015 , total unrecognized compensation expense related to unvested share-based compensation arrangements was approximately $1.2 million . This expense is expected to be recognized over a weighted average period of 2.59 years. During the three months ended September 26, 2015 , 3,333 SARs were exercised, with an immaterial amount of intrinsic value. During the three months ended September 27, 2014 , 4,930 options to purchase shares of common stock were exercised, with an immaterial amount of intrinsic value.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Sep. 26, 2015
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	Commitments and Contingencies Purchase Commitments The Company had no material firm commitments to contractors or suppliers for capital expenditures as of September 26, 2015 . Leases The Company leases certain facilities, equipment, and automobiles under non-cancelable lease agreements. These agreements expire on various dates over the next seven years . Warranties The Company provides warranties on certain product sales. Allowances for estimated warranty costs are recorded during the period of sale. The determination of such allowances requires the Company to make estimates of product return rates and expected costs to repair or to replace the products under warranty. If actual return rates and/or repair and replacement costs differ significantly from management’s estimates, adjustments to recognize additional cost of sales may be required in future periods. The Company’s warranty reserve was approximately $84,000 and $115,000 as of September 26, 2015 and June 27, 2015 , respectively.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	3 Months Ended
	Sep. 26, 2015
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENTS	Fair Value Measurements The Company has adopted ASC 820, Fair Value Measurements , which defines fair value, establishes a framework for assets and liabilities being measured and reported at fair value and expands disclosures about fair value measurements. There are three levels of fair value hierarchy inputs used to value assets and liabilities which include: Level 1 – inputs are quoted market prices for identical assets or liabilities; Level 2 – inputs other than quoted market prices included in Level 1 that are observable for the asset or liability, either directly or indirectly; and Level 3 – inputs are unobservable inputs for the asset or liability. The following table summarizes the fair value of assets/(liabilities) of the Company’s derivatives that are required to be measured on a recurring basis as of September 26, 2015 and June 27, 2015 (in thousands): September 26, 2015 Level 1 Level 2 Level 3 Total Fair Value Financial Liabilities: Interest rate swaps $ — $ (616 ) $ — $ (616 ) Foreign currency forward contracts $ — $ (11,115 ) $ — $ (11,115 ) June 27, 2015 Level 1 Level 2 Level 3 Total Fair Value Financial Assets: Interest rate swaps $ — $ 25 $ — $ 25 Financial Liabilities: Interest rate swaps $ — $ (443 ) $ — $ (443 ) Foreign currency forward contracts $ — $ (6,799 ) $ — $ (6,799 ) The Company currently has forward contracts to hedge known future cash outflows for expenses denominated in the Mexican peso and interest rate swaps to mitigate risk associated with certain borrowings under the Company’s debt arrangement. These contracts are measured on a recurring basis based on the foreign currency spot rates and forward rates quoted by banks or foreign currency dealers. These contracts are marked to market using level 2 input criteria every period with the unrealized gain or loss, net of tax, reported as a component of shareholders’ equity in accumulated other comprehensive loss, as they qualify for hedge accounting. The carrying values of cash and cash equivalents, accounts receivable and current liabilities reflected on the balance sheets at September 26, 2015 and June 27, 2015 , reasonably approximate their fair value. The Company’s long-term debt primarily consists of a revolving line of credit and a term loan. Borrowings under the revolving line of credit bear interest at either a “Base Rate” or a “Fixed Rate,” as elected by the Company. Each of these rates is a variable floating rate dependent upon current market conditions and the Company's current credit risk as discussed in footnote 4. As a result of the determinable market rate for our revolving credit and term loan debt, they are classified within Level 2 of the fair value hierarchy. The discounted cash flow of the revolving line of credit is estimated to be $12.1 million and $11.6 million as of September 26, 2015 and June 27, 2015 , respectively, with a carrying value that reasonably approximates the fair value. The discounted cash flow of the term loan is estimated to be $30.0 million as of September 26, 2015 and $31.3 million as of June 27, 2015 , respectively, with a carrying value that reasonably approximates the fair value.

DERIVATIVE FINANCIAL INSTRUMENT

DERIVATIVE FINANCIAL INSTRUMENTS	3 Months Ended
	Sep. 26, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVE FINANCIAL INSTRUMENTS	Derivative Financial Instruments As of September 26, 2015 , the Company had outstanding foreign currency forward contracts with a total notional amount of $71.7 million . The maturity dates for these contracts extend through December 2018 . For the three months ended September 26, 2015 , the Company entered into foreign currency forward contracts of $12.0 million and settled $5.4 million of such contracts. During the same period of the previous year, the Company entered into $11.6 million of foreign currency forward contracts and settled $5.3 million of such contracts. On October 1, 2014, the Company entered into an interest rate swap contract with an effective date of September 1, 2015 and a termination date of September 3, 2019, with a notional amount of $25.0 million related to the borrowings outstanding under the term loan and line of credit. This interest rate swap pays the Company variable interest at the one month LIBOR rate, and the Company pays the counter party a fixed interest rate. The fixed interest rate for the contract is 1.97% that replaces the one month LIBOR rate component of our contractual interest to be paid to WFB as part of our debt facilities. Based on the terms of the interest rate swap contract and the underlying borrowings outstanding under the term loan, the interest rate contract was determined to be effective, and thus qualifies as a cash flow hedge. The following table summarizes the fair value of derivative instruments in the Consolidated Balance Sheet as of September 26, 2015 and June 27, 2015 (in thousands): September 26, 2015 June 27, 2015 Derivatives Designated as Hedging Instruments Balance Sheet Location Fair Value Fair Value Foreign currency forward contracts Other current liabilities $ (3,962 ) $ (2,517 ) Foreign currency forward contracts Other long-term liabilities $ (7,153 ) $ (4,282 ) Interest rate swaps Other long-term assets $ — $ 25 Interest rate swaps Other current liabilities $ (368 ) $ (271 ) Interest rate swaps Other long-term liabilities $ (248 ) $ (172 ) The following tables summarize the gain (loss) on derivative instruments, net of tax, on the Consolidated Statements of Income for the three months ended September 26, 2015 and September 27, 2014 (in thousands): Derivatives Designated as Hedging Instruments AOCI Balance Effective Portion Recorded In AOCI Effective Portion Reclassified From AOCI Into Cost of Sales AOCI Balance Settled foreign currency forward contracts for the three months ended September 26, 2015 $ (311 ) $ 995 $ (684 ) $ — Unsettled foreign currency forward contracts (4,176 ) (3,160 ) — (7,336 ) Unsettled interest rate swaps (276 ) (131 ) — (407 ) Total $ (4,763 ) $ (2,296 ) $ (684 ) $ (7,743 ) Derivatives Designated as Hedging Instruments AOCI Balance Effective Portion Recorded In AOCI Effective Portion Reclassified From AOCI Into Cost of Sales AOCI Balance Settled foreign currency forward contracts for the three months ended September 27, 2014 $ 386 $ 158 $ (544 ) $ — Unsettled foreign currency forward contracts 2,017 (1,350 ) — 667 Total $ 2,403 $ (1,192 ) $ (544 ) $ 667 The Company does not enter into derivative instruments for trading or speculative purposes. The Company’s counterparties to the foreign currency forward contracts and interest rate swaps are major financial institutions. These institutions do not require collateral for the contracts and the Company believes that the risk of the counterparties failing to meet their contractual obligations is remote. As of September 26, 2015 , the net amount of unrealized loss expected to be reclassified into earnings within the next 12 months is approximately $2.9 million . As of September 26, 2015 , the Company does not have any foreign exchange contracts with credit-risk-related contingent features.

ACQUISITION

ACQUISITION	3 Months Ended
	Sep. 26, 2015
Business Combinations [Abstract]
ACQUISITION	Acquisition On September 3, 2014, the Company acquired all of the outstanding stock of Ayrshire, resulting in Ayrshire becoming a wholly owned subsidiary of the Company. Ayrshire provides printed circuit board assembly and other electronic manufacturing services to a diversified customer base through manufacturing facilities operated by Ayrshire or its subsidiaries in Minnesota, Arkansas, Mississippi, and Kentucky and through a sheltered maquiladora facility in Reynosa, Mexico. The Reynosa, Mexico operations were moved to the Company's existing facility in Juarez, Mexico. This acquisition expands our printed circuit board assembly capacity, total revenue, and adds to and diversifies our customer base with the addition of many new multi-national companies. The total cash payment of approximately $48.0 million was funded through borrowings on our term loan, revolving line of credit, and cash on hand. The Company incurred approximately $775,000 of costs related to due diligence during the three months ended September 27, 2014. The following table summarizes the purchase price paid for Ayrshire and the fair value of the assets acquired and liabilities assumed as of the date of acquisition (in thousands): Estimated Fair Values At September 3, 2014 Purchase price paid $ 48,010 Cash acquired (46 ) Purchase price, net of cash received $ 47,964 Cash $ 46 Accounts Receivable 21,211 Inventories 21,772 Deferred Tax Asset 1,308 Other Current Assets 1,013 Fixed Assets 7,823 Favorable Leases 2,941 Customer Relationships 2,833 Non-Compete Agreements 196 Goodwill 8,217 Other Assets 42 Accounts Payable (11,070 ) Accrued Salaries and Wages (2,188 ) Other Current Liabilities (2,408 ) Deferred Tax Liability (3,726 ) Fair Value of Assets Acquired $ 48,010 The Ayrshire acquisition was accounted for using the acquisition method of accounting whereby the total purchase price is allocated to tangible and intangible assets and liabilities based on their fair values on the date of acquisition. The Company determined the purchase price allocations on the acquisition based on estimates of the fair values of the assets acquired and liabilities assumed. The following summary pro forma condensed consolidated financial information reflects the Ayrshire acquisition as if it had occurred on June 30, 2014 for purposes of the statements of income. This summary pro forma information is not necessarily representative of what the Company’s results of operations would have been had this acquisition in fact occurred on June 30, 2014 and is not intended to project the Company’s results of operations for any future period. Pro forma condensed consolidated financial information for the three months ended September 26, 2015 and September 27, 2014 (in thousands): Three Months Ended (unaudited) September 26, 2015 September 27, 2014 Net sales $ 126,209 $ 109,821 Net income (loss) $ 817 $ (905 )

GOODWILL AND OTHER INTANGIBLE A

GOODWILL AND OTHER INTANGIBLE ASSETS	3 Months Ended
	Sep. 26, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND OTHER INTANGIBLE ASSETS	Goodwill and Other Intangible Assets In accordance with ASC 350 Intangibles – Goodwill and Other Intangibles , goodwill is not amortized, but must be analyzed for impairment at least annually. The Company recorded goodwill in connection with the Ayrshire and Sabre acquisitions resulting primarily from the synergies that resulted from the Company’s acquisitions and the assembled workforce. The goodwill is not amortized for financial accounting purposes. The goodwill from the acquisitions is not deductible for tax purposes. On March 30, 2015, the Company completed its annual impairment test. The Company concluded that it is more likely than not that the fair value of goodwill is greater than the carrying value. Goodwill was recorded at $10.0 million as of September 26, 2015 and June 27, 2015 . The components of acquired intangible assets are as follows (in thousands): September 26, 2015 Amortization Period in Years Gross Carrying Amount Accumulated Amortization Net Carrying Amount Intangible assets: Non-Compete Agreements 3 - 5 $ 568 $ (238 ) $ 330 Customer Relationships 10 4,803 (750 ) 4,053 Favorable Lease Agreements 4 - 7 2,941 (550 ) 2,391 Total $ 8,312 $ (1,538 ) $ 6,774 June 27, 2015 Amortization Period in Years Gross Carrying Amount Accumulated Amortization Net Carrying Amount Intangible assets: Non-Compete Agreements 3 - 5 $ 568 $ (204 ) $ 364 Customer Relationships 10 4,803 (630 ) 4,173 Favorable Lease Agreements 4 - 7 2,941 (423 ) 2,518 Total $ 8,312 $ (1,257 ) $ 7,055 Amortization expense was approximately $281,000 and $139,000 for the three months ended September 26, 2015 and September 27, 2014 , respectively. Aggregate amortization expense relative to existing intangible assets by fiscal year is currently estimated to be as follows (in thousands): Fiscal Years Ending Amount 2016 (1) $ 847 2017 1,128 2018 1,073 2019 818 2020 783 Thereafter 2,125 Total amortization expense $ 6,774 (1) Represents estimated amortization for the remaining nine-month period ending July 2, 2016.

SIGNIFICANT ACCOUNTING POLICI22

SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
	Sep. 26, 2015
Accounting Policies [Abstract]
Earnings Per Common Share	Earnings Per Common Share Basic earnings per common share (EPS) is computed by dividing net income (loss) by the weighted average number of common shares outstanding during the period. Diluted EPS is computed by dividing net income (loss) by the combination of other potentially dilutive weighted average common shares and the weighted average number of common shares outstanding during the period using the treasury stock method. The computation assumes the proceeds from the exercise of equity awards were used to repurchase common shares at the average market price during the period. The computation of diluted EPS does not assume conversion, exercise, or contingent issuance of common stock equivalent shares that would have an anti-dilutive effect on EPS.
Derivative Instruments and Hedging Activities	Derivative Instruments and Hedging Activities The Company has entered into foreign currency forward contracts and an interest rate swap which are accounted for as cash flow hedges in accordance with ASC 815, Derivatives and Hedging . The effective portion of the gain or loss on the derivative is reported as a component of accumulated other comprehensive income (AOCI) and is reclassified into earnings in the same period in which the underlying hedged transaction affects earnings. The derivative’s effectiveness represents the change in fair value of the hedge that offsets the change in fair value of the hedged item. The Company uses derivatives to manage the variability of foreign currency fluctuations of expenses in our Mexico facilities and interest rate risk associated with certain borrowings under the Company’s debt arrangement. The foreign currency forward contracts and interest rate swaps have terms that are matched to the underlying transactions being hedged. As a result, these transactions fully offset the hedged risk and no ineffectiveness has been recorded. The Company’s foreign currency forward contracts and interest rate swaps potentially expose the Company to credit risk to the extent the counterparties may be unable to meet the terms of the agreement. The Company minimizes such risk by seeking high quality counterparties. The Company’s counterparties to the foreign currency forward contracts and interest rate swaps are major banking institutions. These institutions do not require collateral for the contracts, and the Company believes that the risk of the counterparties failing to meet their contractual obligations is remote. The Company does not enter into derivative instruments for trading or speculative purposes.
Income Taxes	Income Taxes We compute our interim income tax provision through the use of an estimated annual effective tax rate (ETR) applied to year-to-date operating results and specific events that are discretely recognized as they occur. In determining the estimated annual ETR, we analyze various factors, including projections of our annual earnings, taxing jurisdictions in which the earnings will be generated, the impact of state and local income taxes, our ability to use tax credits and net operating loss carryforwards, and available tax planning alternatives. Discrete items, including the effect of changes in tax laws, tax rates, and certain circumstances with respect to valuation allowances or other unusual or non-recurring tax adjustments, are reflected in the period in which they occur as an addition to, or reduction from, the income tax provision, rather than included in the estimated annual ETR. Refer to Note 6 for further discussions. Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the estimated future tax consequences and benefits attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis, as well as operating losses and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which temporary differences and carryforwards are expected to be recovered or settled. The effect on deferred tax assets and liabilities for a change in tax rates is recognized in the period that includes the enactment date. Valuation allowances are established when necessary to reduce deferred tax assets to the amount that is more likely than not to be realized. We utilize a two-step approach to recognizing and measuring uncertain tax positions. The first step is to evaluate the tax position for recognition by determining if the weight of available evidence indicates it is more likely than not that the position will be sustained on audit, including resolution of related appeals or litigation processes, if any. The second step is to measure the tax benefit as the largest amount which is more than 50% likely of being realized upon ultimate settlement. We consider many factors when evaluating and estimating our tax positions and tax benefits, which may require periodic adjustments based on new assessments and changes in estimates and which may not accurately forecast actual outcomes. Our policy is to recognize interest and penalties related to the underpayment of income taxes as a component of income tax expense. To date, we have not incurred charges for interest or penalties in relation to the underpayment of income taxes. The tax years 1998 through the present remain open to examination by the major U.S. taxing jurisdictions to which we are subject.
Impairment of Goodwill	Impairment of Goodwill and Other Intangible Assets The Company records intangible assets that are acquired individually or with a group of other assets in the financial statements at acquisition. In accordance with ASC 350, Goodwill and Other Intangible Assets, goodwill and intangible assets acquired in a business combination and determined to have an indefinite useful life are not amortized but are required to be reviewed for impairment at least annually or when events or circumstances indicate that carrying value may exceed fair value. The Company’s acquired intangible assets are subject to amortization over their estimated useful lives and are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an intangible asset may not be recoverable.
Recently Issued Accounting Standards	Recently Issued Accounting Standards In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update 2014-09 (ASU 2014-09), Revenue from Contracts with Customers . The guidance in this Update affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of nonfinancial assets unless those contracts are within the scope of other standards (for example, insurance contracts or lease contracts). The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In doing so, companies will need to use more judgment and make more estimates than under current guidance. This may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. In August 2015, the FASB issued an amendment to defer the effective date of ASU 2014-09 for all entities by one year. This Update is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. Early adoption is permitted as of annual reporting periods beginning after December 15, 2016. Companies have the option of using either a full or modified retrospective approach in applying this standard. The Company is in the process of assessing the impact of ASU 2014-09 on its consolidated financial statements. In August 2014, the FASB issued Accounting Standards Update 2014-15 (ASU 2014-15), Presentation of Financial Statements - Going Concern . The guidance in this Update applies to all entities. The amendments require management to assess an entity ’ s ability to continue as a going concern by incorporating and expanding upon certain principles that are currently in U.S. auditing standards. Specifically, the amendments (1) provide a definition of the term substantial doubt, (2) require an evaluation every reporting period including interim periods, (3) provide principles for considering the mitigating effect of management ’ s plans, (4) require certain disclosures when substantial doubt is alleviated as a result of consideration of management ’ s plans, (5) require an express statement and other disclosures when substantial doubt is not alleviated, and (6) require an assessment for a period of one year after the date that the financial statements are issued (or available to be issued). The amendments in this Update are effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter. Early application is permitted. The amendments of ASU 2014-15, when adopted, are not expected to have a material impact on the Company’s consolidated financial statements. In April 2015, the FASB issued Accounting Standards Update 2015-03 (ASU 2015-03), Simplifying the Presentation of Debt Issuance Costs . The guidance in this Update changes the presentation of debt issuance costs in financial statements. Under the new guidance, an entity presents such costs in the balance sheet as a direct deduction from the related debt liability rather than as an asset. Amortization of the costs is reported as interest expense. This guidance is effective for the Company beginning in the first quarter of fiscal year 2017 and early adoption is permitted in an interim period with any adjustments reflected as of the beginning of the fiscal year that includes that interim period. The guidance is not expected to have a significant impact to the Company’s consolidated financial statements. In July 2015, the FASB issued final guidance that simplifies the subsequent measurement of inventory for which cost is determined by methods other than last-in first-out (“LIFO”) and the retail inventory method. For inventory within the scope of the new guidance, entities will be required to compare the cost of inventory to only one measure, its net realizable value, and not the three measures required by the existing guidance. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. The new guidance should not change how entities initially measure the cost of inventory. The guidance will be effective for the Company in the fiscal year beginning July 3, 2017. Early adoption is permitted. We have not yet determined the impact this new guidance may have on our financial statements. In September 2015, the FASB issued Accounting Standards Update 2015-16 (ASU 2015-16), Simplifying the Accounting for Measurement-Period Adjustments . T he amendments in this Update require that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. The amendments in this Update require that the acquirer record, in the same period’s financial statements, the effect on earnings of changes in depreciation, amortization, or other income effects, if any, as a result of the change to the provisional amounts, calculated as if the accounting had been completed at the acquisition date. We are currently evaluating the impact of adopting this new guidance on our consolidated financial statements.
Maximum Amount Of Income Tax Benefits Percentage Realized Upon Ultimate Settlement	50.00%

INVENTORIES (Tables)

INVENTORIES (Tables)	3 Months Ended
	Sep. 26, 2015
Inventory Disclosure [Abstract]
Components of Inventories	The components of inventories consist of the following (in thousands): September 26, 2015 June 27, 2015 Finished goods $ 10,245 $ 8,019 Work-in-process 17,777 15,220 Raw materials and supplies 72,778 68,355 $ 100,800 $ 91,594

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	3 Months Ended
	Sep. 26, 2015
Earnings Per Share [Abstract]
Reconciliation of Denominator and Number of Antidilutive Common Share Awards not Included in Diluted Earnings Per Share Calculation	The following table presents a reconciliation of the denominator in the basic and diluted EPS calculation and the number of antidilutive common share awards that were not included in the diluted earnings per share calculation. These antidilutive securities occur when equity awards outstanding have an option price greater than the average market price for the period. Three Months Ended (in thousands, except per share information) September 26, 2015 September 27, 2014 Net income (loss) $ 817 $ (1,523 ) Weighted average shares outstanding—basic 10,706 10,548 Effect of dilutive common stock awards 685 — Weighted average shares outstanding—diluted 11,391 10,548 Net income (loss) per share—basic $ 0.08 $ (0.14 ) Net income (loss) per share—diluted $ 0.07 $ (0.14 ) Antidilutive SARs not included in diluted earnings per share 208 793

SHARE-BASED COMPENSATION (Table

SHARE-BASED COMPENSATION (Tables)	3 Months Ended
	Sep. 26, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award	The grant date fair value for the awards granted below were estimated using the Black Scholes option valuation method: July 29, 2015 October 31, 2014 SARs Granted 248,166 213,166 Strike Price $ 10.26 $ 8.22 Fair Value $ 3.65 $ 3.04

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	3 Months Ended
	Sep. 26, 2015
Fair Value Disclosures [Abstract]
Assets and Liabilities Measured at Fair Value on Recurring Basis	The following table summarizes the fair value of assets/(liabilities) of the Company’s derivatives that are required to be measured on a recurring basis as of September 26, 2015 and June 27, 2015 (in thousands): September 26, 2015 Level 1 Level 2 Level 3 Total Fair Value Financial Liabilities: Interest rate swaps $ — $ (616 ) $ — $ (616 ) Foreign currency forward contracts $ — $ (11,115 ) $ — $ (11,115 ) June 27, 2015 Level 1 Level 2 Level 3 Total Fair Value Financial Assets: Interest rate swaps $ — $ 25 $ — $ 25 Financial Liabilities: Interest rate swaps $ — $ (443 ) $ — $ (443 ) Foreign currency forward contracts $ — $ (6,799 ) $ — $ (6,799 )

DERIVATIVE FINANCIAL INSTRUME27

DERIVATIVE FINANCIAL INSTRUMENTS (Tables)	3 Months Ended
	Sep. 26, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Summerized Fair Value of Derivative Instruments in Consolidated Balance Sheets	The following table summarizes the fair value of derivative instruments in the Consolidated Balance Sheet as of September 26, 2015 and June 27, 2015 (in thousands): September 26, 2015 June 27, 2015 Derivatives Designated as Hedging Instruments Balance Sheet Location Fair Value Fair Value Foreign currency forward contracts Other current liabilities $ (3,962 ) $ (2,517 ) Foreign currency forward contracts Other long-term liabilities $ (7,153 ) $ (4,282 ) Interest rate swaps Other long-term assets $ — $ 25 Interest rate swaps Other current liabilities $ (368 ) $ (271 ) Interest rate swaps Other long-term liabilities $ (248 ) $ (172 )
Gain (Loss) of Derivative Instruments in Statement of Operations	The following tables summarize the gain (loss) on derivative instruments, net of tax, on the Consolidated Statements of Income for the three months ended September 26, 2015 and September 27, 2014 (in thousands): Derivatives Designated as Hedging Instruments AOCI Balance Effective Portion Recorded In AOCI Effective Portion Reclassified From AOCI Into Cost of Sales AOCI Balance Settled foreign currency forward contracts for the three months ended September 26, 2015 $ (311 ) $ 995 $ (684 ) $ — Unsettled foreign currency forward contracts (4,176 ) (3,160 ) — (7,336 ) Unsettled interest rate swaps (276 ) (131 ) — (407 ) Total $ (4,763 ) $ (2,296 ) $ (684 ) $ (7,743 ) Derivatives Designated as Hedging Instruments AOCI Balance Effective Portion Recorded In AOCI Effective Portion Reclassified From AOCI Into Cost of Sales AOCI Balance Settled foreign currency forward contracts for the three months ended September 27, 2014 $ 386 $ 158 $ (544 ) $ — Unsettled foreign currency forward contracts 2,017 (1,350 ) — 667 Total $ 2,403 $ (1,192 ) $ (544 ) $ 667

ACQUISITION (Tables)

ACQUISITION (Tables)	3 Months Ended
	Sep. 26, 2015
Business Combinations [Abstract]
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	The following table summarizes the purchase price paid for Ayrshire and the fair value of the assets acquired and liabilities assumed as of the date of acquisition (in thousands): Estimated Fair Values At September 3, 2014 Purchase price paid $ 48,010 Cash acquired (46 ) Purchase price, net of cash received $ 47,964 Cash $ 46 Accounts Receivable 21,211 Inventories 21,772 Deferred Tax Asset 1,308 Other Current Assets 1,013 Fixed Assets 7,823 Favorable Leases 2,941 Customer Relationships 2,833 Non-Compete Agreements 196 Goodwill 8,217 Other Assets 42 Accounts Payable (11,070 ) Accrued Salaries and Wages (2,188 ) Other Current Liabilities (2,408 ) Deferred Tax Liability (3,726 ) Fair Value of Assets Acquired $ 48,010
Business Acquisition, Pro Forma Information	Pro forma condensed consolidated financial information for the three months ended September 26, 2015 and September 27, 2014 (in thousands): Three Months Ended (unaudited) September 26, 2015 September 27, 2014 Net sales $ 126,209 $ 109,821 Net income (loss) $ 817 $ (905 )

GOODWILL AND OTHER INTANGIBLE29

GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)	3 Months Ended
	Sep. 26, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Finite-Lived Intangible Assets	The components of acquired intangible assets are as follows (in thousands): September 26, 2015 Amortization Period in Years Gross Carrying Amount Accumulated Amortization Net Carrying Amount Intangible assets: Non-Compete Agreements 3 - 5 $ 568 $ (238 ) $ 330 Customer Relationships 10 4,803 (750 ) 4,053 Favorable Lease Agreements 4 - 7 2,941 (550 ) 2,391 Total $ 8,312 $ (1,538 ) $ 6,774 June 27, 2015 Amortization Period in Years Gross Carrying Amount Accumulated Amortization Net Carrying Amount Intangible assets: Non-Compete Agreements 3 - 5 $ 568 $ (204 ) $ 364 Customer Relationships 10 4,803 (630 ) 4,173 Favorable Lease Agreements 4 - 7 2,941 (423 ) 2,518 Total $ 8,312 $ (1,257 ) $ 7,055
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense	Aggregate amortization expense relative to existing intangible assets by fiscal year is currently estimated to be as follows (in thousands): Fiscal Years Ending Amount 2016 (1) $ 847 2017 1,128 2018 1,073 2019 818 2020 783 Thereafter 2,125 Total amortization expense $ 6,774 (1) Represents estimated amortization for the remaining nine-month period ending July 2, 2016.

Inventories (Components Of Inve

Inventories (Components Of Inventories) (Detail) - USD ($) $ in Thousands	Sep. 26, 2015	Jun. 27, 2015
Inventory Disclosure [Abstract]
Finished goods	$ 10,245	$ 8,019
Work-in-process	17,777	15,220
Raw materials and supplies	72,778	68,355
Inventories	$ 100,800	$ 91,594

Long-Term Debt (Detail)

Long-Term Debt (Detail) - USD ($)	3 Months Ended
	Sep. 26, 2015	Aug. 06, 2015	Jun. 27, 2015	Sep. 03, 2014
Debt Disclosure [Line Items]
Long-term Debt	$ 30,000,000		$ 31,300,000	$ 35,000,000
Line of Credit Facility, Amount Outstanding	12,100,000		11,600,000
Letters of Credit Outstanding, Amount	400,000		300,000
Additional availability of line of credit	32,500,000		$ 18,000,000
Debt Instrument, Periodic Payment, Principal	$ 1,250,000
Line of Credit | One-Month London Interbank Offered Rate
Debt Disclosure [Line Items]
Variable rate on line of credit facility (percent)	1.50%
Line of Credit | Federal Funds Rate
Debt Disclosure [Line Items]
Variable rate on line of credit facility (percent)	1.50%
Wells Fargo Bank
Debt Disclosure [Line Items]
Increase in revolving line of credit		$ 45,000,000
Debt Instrument, Basis Spread on Variable Rate, 1.75% | Term Loan | Fixed Rate
Debt Disclosure [Line Items]
Variable rate on line of credit facility (percent)	1.75%
Debt Instrument, Basis Spread on Variable Rate, 1.75% | Line of Credit | Fixed Rate
Debt Disclosure [Line Items]
Variable rate on line of credit facility (percent)	1.75%
Debt Instrument, Basis Spread on Variable Rate, 2.00% | Term Loan | Fixed Rate
Debt Disclosure [Line Items]
Variable rate on line of credit facility (percent)	2.00%
Debt Instrument, Basis Spread on Variable Rate, 2.00% | Line of Credit | Fixed Rate
Debt Disclosure [Line Items]
Variable rate on line of credit facility (percent)	2.00%
Debt Instrument, Basis Spread on Variable Rate, 2.25% | Term Loan | Fixed Rate
Debt Disclosure [Line Items]
Variable rate on line of credit facility (percent)	2.25%
Debt Instrument, Basis Spread on Variable Rate, 2.25% | Line of Credit | Fixed Rate
Debt Disclosure [Line Items]
Variable rate on line of credit facility (percent)	2.25%
Minimum
Debt Disclosure [Line Items]
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate	2.20%
Maximum
Debt Disclosure [Line Items]
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate	3.25%

Trade Accounts Receivable Pur32

Trade Accounts Receivable Purchase Programs (Detail) - USD ($) $ in Millions	3 Months Ended
	Sep. 26, 2015	Jul. 16, 2015	Jun. 27, 2015	Jun. 25, 2014
Receivables [Abstract]
Account Purchase Agreement Maximum Aggregate Amount		$ 20		$ 50
Trade Accounts Receivable Sold To Third Party	$ 13.6
Accounts Receivable Factored To Banking Institutions	$ 2.1		$ 0.9

Income Taxes (Detail)

Income Taxes (Detail) $ in Millions	3 Months Ended
	Sep. 26, 2015USD ($)
Income Tax Disclosure [Abstract]
Foreign tax credits related to future repatriations of earnings	$ 10.5
Gross potential research and development (R&D) tax credit	5.6
Unrecognized tax benefits associated with federal tax credits	3.5
Deferred Income Tax Expense (Benefit)	$ 2.1

Earnings Per Share (Reconciliat

Earnings Per Share (Reconciliation Of Denominator And Number Of Antidilutive Common Share Awards Not Included In Diluted Earnings Per Share Calculation) (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Sep. 26, 2015	Sep. 27, 2014
Earnings Per Share [Abstract]
Net income (loss)	$ 817	$ (1,523)
Weighted average shares outstanding - basic	10,706	10,548
Effect of dilutive common stock options (Shares)	685	0
Weighted average shares outstanding - Diluted	11,391	10,548
Net income (loss) per share—diluted	$ 0.08	$ (0.14)
Net income (loss) per share—diluted	$ 0.07	$ (0.14)
Antidilutive options not included in diluted earnings per share (Shares)	208	793

Share-Based Compensation (Detai

Share-Based Compensation (Detail) - USD ($)	Jul. 29, 2015	Oct. 31, 2014	Sep. 26, 2015	Sep. 27, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized Share-based Compensation Expense			$ 1,200,000
Unrecognized Share-based Compensation, Period for Recognition			2 years 7 months 2 days
Stock Appreciation Rights (SARs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
SARs Granted	248,166	213,166
Strike Price	$ 10.26	$ 8.22
Fair Value	$ 3.65	$ 3.04
Share-based Compensation Expense			$ 189,000	$ 165,000
Share-based Compensation Arrangements, Exercises in Period			3,333
Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangements, Exercises in Period				4,930

Commitments And Contingencies (

Commitments And Contingencies (Detail) - USD ($)	3 Months Ended
	Sep. 26, 2015	Jun. 27, 2015
Purchase Commitment, Excluding Long-term Commitment [Line Items]
Warranty reserve	$ 84,000	$ 115,000
Maximum
Purchase Commitment, Excluding Long-term Commitment [Line Items]
Terms of lease agreements	7 years

Fair Value Measurements (Assets

Fair Value Measurements (Assets And Liabilities Measured At Fair Value On Recurring Basis) (Detail) - USD ($) $ in Thousands	Sep. 26, 2015	Jun. 27, 2015	Sep. 03, 2014
Fair Value Disclosures [Line Items]
Line of Credit Facility, Amount Outstanding	$ 12,100	$ 11,600
Long-term Debt	30,000	31,300	$ 35,000
Forward Contracts
Fair Value Disclosures [Line Items]
Foreign currency forward contracts, Financial Liabilities	(11,115)	(6,799)
Interest Rate Swap
Fair Value Disclosures [Line Items]
Foreign currency forward contracts, Financial Assets		25
Foreign currency forward contracts, Financial Liabilities	(616)	(443)
Level 1 | Forward Contracts
Fair Value Disclosures [Line Items]
Foreign currency forward contracts, Financial Liabilities	0	0
Level 1 | Interest Rate Swap
Fair Value Disclosures [Line Items]
Foreign currency forward contracts, Financial Assets		0
Foreign currency forward contracts, Financial Liabilities	0	0
Level 2 | Forward Contracts
Fair Value Disclosures [Line Items]
Foreign currency forward contracts, Financial Liabilities	(11,115)	(6,799)
Level 2 | Interest Rate Swap
Fair Value Disclosures [Line Items]
Foreign currency forward contracts, Financial Assets		25
Foreign currency forward contracts, Financial Liabilities	(616)	(443)
Level 3 | Forward Contracts
Fair Value Disclosures [Line Items]
Foreign currency forward contracts, Financial Liabilities	0	0
Level 3 | Interest Rate Swap
Fair Value Disclosures [Line Items]
Foreign currency forward contracts, Financial Assets		0
Foreign currency forward contracts, Financial Liabilities	$ 0	$ 0

Derivative Financial Instrume38

Derivative Financial Instruments (Detail) - USD ($) $ in Millions	3 Months Ended
	Sep. 26, 2015	Sep. 27, 2014
Derivative [Line Items]
Outstanding foreign currency forward contracts	$ 71.7
Contract maturity date	Dec. 26, 2018
Foreign currency forward contracts entered	$ 12	$ 11.6
Foreign currency forward contracts settled	$ 5.4	$ 5.3
Derivative, Fixed Interest Rate	1.97%
Net amount of existing losses expected to be reclassified into earnings within the next 12 months	$ 2.9
Interest Rate Swap
Derivative [Line Items]
Outstanding foreign currency forward contracts	$ 25

Derivative Financial Instrume39

Derivative Financial Instruments (Summarized Fair Value Of Derivative Instruments In Consolidated Balance Sheets) (Detail) - USD ($) $ in Thousands	Sep. 26, 2015	Jun. 27, 2015	Sep. 03, 2014
Derivative Instruments [Line Items]
Line of Credit Facility, Amount Outstanding	$ 12,100	$ 11,600
Long-term Debt	30,000	31,300	$ 35,000
Outstanding foreign currency forward contracts	71,700
Forward Contracts | Other Current Liabilities
Derivative Instruments [Line Items]
Foreign currency forward contracts, Liability Fair Value	(3,962)	(2,517)
Forward Contracts | Other Long Term Liabilities
Derivative Instruments [Line Items]
Foreign currency forward contracts, Liability Fair Value	(7,153)	(4,282)
Interest Rate Swap
Derivative Instruments [Line Items]
Outstanding foreign currency forward contracts	25,000
Interest Rate Swap | Other Long Term Assets
Derivative Instruments [Line Items]
Foreign currency forward contracts, Asset Fair Value	0	25
Interest Rate Swap | Other Current Liabilities
Derivative Instruments [Line Items]
Foreign currency forward contracts, Liability Fair Value	(368)	(271)
Interest Rate Swap | Other Long Term Liabilities
Derivative Instruments [Line Items]
Foreign currency forward contracts, Liability Fair Value	$ (248)	$ (172)

Derivative Financial Instrume40

Derivative Financial Instruments (Gain (Loss) Of Derivative Instruments In Statement Of Operations) (Detail) - Designated As Hedging Instrument number in Thousands, $ in Thousands	3 Months Ended
	Sep. 26, 2015USD ($)	Sep. 27, 2014USD ($)
Derivatives used in Net Investment Hedge, Net of Tax [Roll Forward]
AOCI Balance	$ (4,763)	$ 2,403
Derivative Instruments Gain Loss Effective Portion Recorded In AOCI	(2,296)	(1,192)
Effective Portion Recorded In AOCI	$ (684)	$ (544)
AOCI Balance	(7,743)	667
Settled Foreign Currency Forward Contracts
Derivatives used in Net Investment Hedge, Net of Tax [Roll Forward]
AOCI Balance	$ (311)	$ 386
Derivative Instruments Gain Loss Effective Portion Recorded In AOCI	995	158
Effective Portion Recorded In AOCI	$ (684)	$ (544)
AOCI Balance	0	0
Unsettled Foreign Currency Forward Contracts
Derivatives used in Net Investment Hedge, Net of Tax [Roll Forward]
AOCI Balance	$ (4,176)	$ 2,017
Change in Unrealized Gain (Loss) on Foreign Currency	(3,160)	(1,350)
Effective Portion Recorded In AOCI	$ 0	$ 0
AOCI Balance	(7,336)	$ 667
Interest Rate Swap
Derivatives used in Net Investment Hedge, Net of Tax [Roll Forward]
AOCI Balance	$ (276)
Change in Unrealized Gain (Loss) on Foreign Currency	(131)
Effective Portion Recorded In AOCI	$ 0
AOCI Balance	$ (407)

Acquisition (Detail)

Acquisition (Detail) - USD ($)	3 Months Ended
	Sep. 26, 2015	Sep. 27, 2014	Jun. 27, 2015	Sep. 03, 2014
Business Acquisition [Line Items]
Payments to Acquire Businesses, Net of Cash Acquired	$ 0	$ 47,763,000
Goodwill	$ 9,957,000		$ 9,957,000
Ayrshire
Business Acquisition [Line Items]
Business Combination, Consideration Transferred		48,000,000
Business Combination, Acquisition Related Costs		775,000
Payments to Acquire Businesses, Gross		48,010,000
Cash Acquired from Acquisition		(46,000)
Payments to Acquire Businesses, Net of Cash Acquired		$ 47,964,000
Cash				$ 46,000
Accounts Receivable				21,211,000
Inventories				21,772,000
Deferred Tax Asset				1,308,000
Other Current Assets				1,013,000
Fixed Assets				7,823,000
Favorable Leases				2,941,000
Customer Relationships				2,833,000
Non-Compete Agreements				196,000
Goodwill				8,217,000
Other Assets				42,000
Accounts Payable				11,070,000
Accrued Salaries and Wages				2,188,000
Other Current Liabilities				2,408,000
Deferred Tax Liability				3,726,000
Fair Value of Assets Acquired				$ 48,010,000

Business Acquisition Pro Forma

Business Acquisition Pro Forma Information (Detail) - USD ($) $ in Thousands	3 Months Ended
	Sep. 26, 2015	Sep. 27, 2014
Business Combinations [Abstract]
Net sales	$ 126,209	$ 109,821
Net income (loss)	$ 817	$ (905)

Goodwill and Other Intangible43

Goodwill and Other Intangible Assets (Detail) - USD ($)	3 Months Ended		12 Months Ended
	Sep. 26, 2015	Sep. 27, 2014	Jun. 27, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	$ 9,957,000		$ 9,957,000
Amortization of Intangible Assets	281,000	$ 139,000
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	8,312,000		8,312,000
Accumulated Amortization	(1,538,000)		(1,257,000)
Net Carrying Amount	6,774,000		7,055,000
Non-Compete Agreements
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	568,000		568,000
Accumulated Amortization	(238,000)		(204,000)
Net Carrying Amount	$ 330,000		$ 364,000
Customer Relationships
Finite-Lived Intangible Assets [Line Items]
Amortization Period in Years	10 years		10 years
Gross Carrying Amount	$ 4,803,000		$ 4,803,000
Accumulated Amortization	(750,000)		(630,000)
Net Carrying Amount	4,053,000		4,173,000
Favorable Lease Agreements
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	2,941,000		2,941,000
Accumulated Amortization	(550,000)		(423,000)
Net Carrying Amount	$ 2,391,000		$ 2,518,000
Minimum | Non-Compete Agreements
Finite-Lived Intangible Assets [Line Items]
Amortization Period in Years	3 years
Minimum | Favorable Lease Agreements
Finite-Lived Intangible Assets [Line Items]
Amortization Period in Years	4 years
Maximum | Non-Compete Agreements
Finite-Lived Intangible Assets [Line Items]
Amortization Period in Years	5 years
Maximum | Favorable Lease Agreements
Finite-Lived Intangible Assets [Line Items]
Amortization Period in Years	7 years

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Aggregate Amortization Expense by Fiscal Year) (Details) - USD ($) $ in Thousands	Sep. 26, 2015	Jun. 27, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
2,015	$ 847
2,016	1,128
2,017	1,073
2,018	818
2,019	783
Thereafter	2,125
Net Carrying Amount	$ 6,774	$ 7,055