Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 28, 2013 | Oct. 31, 2013 | |
Document Information [Line Items] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 28-Sep-13 | ' |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Entity Registrant Name | 'ASTRONICS CORP | ' |
Entity Central Index Key | '0000008063 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 17,544,102 |
Common Stock [Member] | ' | ' |
Document Information [Line Items] | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 12,004,275 |
Class B Common Stock [Member] | ' | ' |
Document Information [Line Items] | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 5,539,827 |
Consolidated_Condensed_Balance
Consolidated Condensed Balance Sheets (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Current Assets: | ' | ' |
Cash and Cash Equivalents | $68,186 | $7,380 |
Accounts Receivable, net of allowance for doubtful accounts | 48,594 | 45,473 |
Inventories | 67,255 | 48,624 |
Other Current Assets | 7,869 | 6,533 |
Total Current Assets | 191,904 | 108,010 |
Property, Plant and Equipment, net of accumulated depreciation | 59,604 | 53,537 |
Deferred Income Taxes | ' | 9,019 |
Other Assets | 5,608 | 2,977 |
Intangible Assets, net of accumulated amortization | 83,094 | 16,523 |
Goodwill | 92,620 | 21,923 |
Total Assets | 432,830 | 211,989 |
Current Liabilities: | ' | ' |
Current Maturities of Long-term Debt | 10,591 | 9,268 |
Accounts Payable | 16,706 | 10,592 |
Accrued Expenses | 16,917 | 15,634 |
Accrued Income Taxes | 1,417 | ' |
Billings in Excess of Recoverable Costs and Accrued Profits on Uncompleted Contracts | ' | 188 |
Customer Advance Payments and Deferred Revenue | 10,832 | 12,286 |
Total Current Liabilities | 56,463 | 47,968 |
Long-term Debt | 188,078 | 20,715 |
Other Liabilities | 18,059 | 18,172 |
Deferred Taxes | 21,993 | ' |
Total Liabilities | 284,593 | 86,855 |
Shareholders' Equity: | ' | ' |
Common Stock | 175 | 174 |
Accumulated Other Comprehensive Loss | -4,662 | -4,783 |
Other Shareholders' Equity | 152,724 | 129,743 |
Total Shareholders' Equity | 148,237 | 125,134 |
Total Liabilities and Shareholders' Equity | $432,830 | $211,989 |
Consolidated_Condensed_Stateme
Consolidated Condensed Statements of Operations (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Income Statement [Abstract] | ' | ' | ' | ' |
Sales | $89,681 | $68,899 | $234,481 | $199,026 |
Cost of Products Sold | 65,896 | 52,182 | 171,796 | 147,135 |
Gross Profit | 23,785 | 16,717 | 62,685 | 51,891 |
Selling, General and Administrative Expenses | 11,433 | 9,062 | 31,291 | 27,195 |
Income from Operations | 12,352 | 7,655 | 31,394 | 24,696 |
Interest Expense, Net of Interest Income | 1,605 | 274 | 2,085 | 803 |
Income Before Income Taxes | 10,747 | 7,381 | 29,309 | 23,893 |
Provision for Income Taxes | 3,592 | 2,451 | 8,432 | 7,674 |
Net Income | $7,155 | $4,930 | $20,877 | $16,219 |
Earnings per share: | ' | ' | ' | ' |
Basic | $0.41 | $0.29 | $1.20 | $0.95 |
Diluted | $0.39 | $0.27 | $1.14 | $0.89 |
Consolidated_Condensed_Stateme1
Consolidated Condensed Statements of Comprehensive Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Statement Of Income And Comprehensive Income [Abstract] | ' | ' | ' | ' |
Net Income | $7,155 | $4,930 | $20,877 | $16,219 |
Other Comprehensive Income: | ' | ' | ' | ' |
Foreign Currency Translation Adjustments | 129 | 258 | -260 | 251 |
Mark to Market Adjustments for Derivatives - Net of Tax | 27 | 26 | 65 | 76 |
Retirement Liability Adjustment - Net of Tax | 105 | 139 | 316 | -3,448 |
Other Comprehensive Income (Loss) | 261 | 423 | 121 | -3,121 |
Comprehensive Income | $7,416 | $5,353 | $20,998 | $13,098 |
Consolidated_Condensed_Stateme2
Consolidated Condensed Statements of Cash Flows (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 |
Cash Flows from Operating Activities: | ' | ' |
Net Income | $20,877 | $16,219 |
Adjustments to Reconcile Net Income to Cash Provided By (Used For) Operating Activities: | ' | ' |
Depreciation and Amortization | 6,547 | 4,955 |
Provisions for Non-Cash Losses on Inventory and Receivables | 381 | 1,057 |
Stock Compensation Expense | 1,048 | 1,078 |
Deferred Tax Expense (Benefit) | 1,109 | -811 |
Other | -863 | 115 |
Cash Flows from Changes in Operating Assets and Liabilities, net of acquisitions: | ' | ' |
Accounts Receivable | 4,804 | -9,836 |
Inventories | -3,668 | -6,835 |
Accounts Payable | 3,790 | 3,072 |
Other Current Assets and Liabilities | -402 | 2,071 |
Billings in Excess of Recoverable Costs and Accrued Profits on Uncompleted Contracts | -188 | -61 |
Customer Advanced Payments and Deferred Revenue | -1,579 | 4,455 |
Income Taxes | 1,454 | 1,014 |
Supplemental Retirement and Other Liabilities | 838 | 642 |
Cash Provided By Operating Activities | 34,148 | 17,135 |
Cash Flows from Investing Activities: | ' | ' |
Acquisition of Business | -135,898 | -10,619 |
Capital Expenditures | -4,833 | -10,570 |
Cash Used For Investing Activities | -140,731 | -21,189 |
Cash Flows from Financing Activities: | ' | ' |
Proceeds from Term Note | 190,000 | 10,000 |
Payments on Note Payable | -7,000 | -1,000 |
Payments for Long-term Debt | -14,294 | -8,898 |
Debt Acquisition Costs | -2,288 | ' |
Acquisition Earnout Payments | -81 | ' |
Proceeds from Exercise of Stock Options | 408 | 205 |
Income Tax Benefit from Exercise of Stock Options | 649 | 391 |
Cash Provided By Financing Activities | 167,394 | 698 |
Effect of Exchange Rates on Cash | -5 | 4 |
Increase (Decrease) in Cash and Cash Equivalents | 60,806 | -3,352 |
Cash and Cash Equivalents at Beginning of Period | 7,380 | 10,919 |
Cash and Cash Equivalents at End of Period | $68,186 | $7,567 |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended |
Sep. 28, 2013 | |
Accounting Policies [Abstract] | ' |
Basis of Presentation | ' |
1) Basis of Presentation | |
The accompanying unaudited statements have been prepared in accordance with U.S. generally accepted accounting principles for interim financial information. Accordingly, they do not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments, consisting of normal recurring accruals, considered necessary for a fair presentation have been included. | |
Operating Results | |
The results of operations for any interim period are not necessarily indicative of results for the full year. Operating results for the three and nine month period ended September 28, 2013 are not necessarily indicative of the results that may be expected for the year ending December 31, 2013. | |
The balance sheet at December 31, 2012 has been derived from the audited financial statements at that date, but does not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. | |
For further information, refer to the financial statements and footnotes thereto included in Astronics Corporation’s 2012 annual report on Form 10-K. | |
Description of the Business | |
Astronics is a leading supplier of advanced, high-performance lighting systems, electrical power generation and distribution systems, avionics databus solutions, enhanced vision systems and aircraft safety systems for the global aerospace industry as well as test, training and simulation systems primarily for the military. We sell our products to airframe manufacturers (OEMs) in the commercial transport, business jet and military markets as well as FAA/Airport, OEM suppliers and aircraft operators around the world. The Company provides its products through its wholly owned subsidiaries Astronics Advanced Electronic Systems Corp. (“AES”), Ballard Technology, Inc. (“Ballard”), DME Corporation (“DME”), Luminescent Systems, Inc. (“LSI”), Luminescent Systems Canada, Inc. (“LSI Canada”), Max-Viz Inc. (“Max-Viz”) and Peco, Inc. (“Peco”). On July 18, 2013, the Company completed the acquisition of Peco a designer and manufacturer of highly engineered commercial aerospace interior components and systems for the aerospace industry, as described further in Note 19. Peco is part of the Company’s Aerospace segment. On July 30, 2012 Astronics acquired by merger, 100% of the stock of Max-Viz, Inc. Max-Viz is a manufacturer of industry-leading enhanced vision systems for defense and commercial aerospace applications for the purpose of improving situational awareness. Max-Viz is part of the Company’s Aerospace segment. | |
The Company has two reportable segments, Aerospace and Test Systems. The Aerospace segment designs and manufactures products for the global aerospace industry. The Test Systems segment designs, manufactures and maintains communications and weapons test systems and training and simulation devices for military applications. | |
Principles of Consolidation | |
The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany transactions and balances have been eliminated. Acquisitions are accounted for under the purchase method and, accordingly, the operating results for the acquired companies are included in the consolidated statements of earnings from the respective dates of acquisition. | |
Revenue and Expense Recognition | |
In the Aerospace segment, revenue is recognized on the accrual basis at the time of shipment of goods and transfer of title. There are no significant contracts allowing for right of return. | |
In the Test Systems segment, revenue of approximately 62% and 32% for the three months ending September 28, 2013 and September 29, 2012, respectively, and approximately 40% and 37% for the nine months ending September 28, 2013 and September 29, 2012 respectively, is recognized from long-term, fixed-price contracts using the percentage-of-completion method of accounting, measured by multiplying the estimated total contract value by the ratio of actual contract costs incurred to date to the estimated total contract costs. Substantially all long-term contracts are with U.S. government agencies and contractors thereto. The Company makes significant estimates involving its usage of percentage-of-completion accounting to recognize contract revenues. The Company periodically reviews contracts in process for estimates-to-completion, and revises estimated gross profit accordingly. While the Company believes its estimated gross profit on contracts in process is reasonable, unforeseen events and changes in circumstances can take place in a subsequent accounting period that may cause the Company to revise its estimated gross profit on one or more of its contracts in process. Accordingly, the ultimate gross profit realized upon completion of such contracts can vary significantly from estimated amounts between accounting periods. Revenue not recognized using the percentage-of-completion method is recognized at the time of shipment of goods and transfer of title. | |
Cost of Products Sold, Engineering and Development and Selling, General and Administrative Expenses | |
Cost of products sold includes the costs to manufacture products such as direct materials and labor and manufacturing overhead as well as all engineering and developmental costs. The Company is engaged in a variety of engineering and design activities as well as basic research and development activities directed to the substantial improvement or new application of the Company’s existing technologies. These costs are expensed when incurred and included in cost of products sold. Research and development, design and related engineering amounted to $12.4 million and $12.8 million for the three months ended September 28, 2013 and September 29, 2012, respectively, and $38.6 million and $33.9 million for the nine months ended September 28, 2013 and September 29, 2012, respectively. Selling, general and administrative expenses include costs primarily related to our sales and marketing departments and administrative departments. Interest expense is shown net of interest income. Interest income was insignificant for each of the three and nine months ended for both September 28, 2013 and September 29, 2012. | |
Financial Instruments | |
The Company’s financial instruments consist primarily of cash and cash equivalents, accounts receivable, accounts payable, notes payable, long-term debt and interest rate swaps. The Company performs periodic credit evaluations of its customers’ financial condition and generally does not require collateral. The Company does not hold or issue financial instruments for trading purposes. Due to their short-term nature, the carrying values of cash and equivalents, accounts receivable, accounts payable, and notes payable, if any, approximate fair value. The carrying value of the Company’s variable rate long-term debt also approximates fair value due to the variable rate feature of these instruments. The Company’s interest rate swaps are recorded at fair value as described under Note 16—Fair Value and Note 17—Derivative Financial Instruments. | |
Derivatives | |
The accounting for changes in the fair value of derivatives depends on the intended use and resulting designation. The Company’s use of derivative instruments is limited to cash flow hedges for interest rate risk associated with long-term debt. Interest rate swaps are used to adjust the proportion of total debt that is subject to variable and fixed interest rates. The interest rate swaps are designated as hedges of the amount of future cash flows related to interest payments on variable-rate debt that, in combination with the interest payments on the debt, convert a portion of the variable-rate debt to fixed-rate debt. The Company records all derivatives on the balance sheet at fair value as described under Note 16—Fair Value and Note 17—Derivative Financial Instruments. The related gains or losses, to the extent the derivatives are effective as a hedge, are deferred in shareholders’ equity as a component of Accumulated Other Comprehensive Income (Loss) (AOCI) and reclassified into earnings at the time interest expense is recognized on the associated long-term debt. Any ineffectiveness is immediately recorded in the statement of operations. | |
Foreign Currency Translation | |
The Company accounts for its foreign currency translation in accordance with Accounting Standards Codification (“ASC”) Topic 830, Foreign Currency Translation. The aggregate transaction gain or loss included in operations was insignificant for the periods ending September 28, 2013 and September 29, 2012. | |
Loss contingencies | |
Loss contingencies may from time to time arise from situations such as claims and other legal actions. Loss contingencies are recorded as liabilities when it is probable that a liability has been incurred and the amount of the loss is reasonably estimable. Disclosure is required when there is a reasonable possibility that the ultimate loss will exceed the recorded provision. Contingent liabilities are often resolved over long time periods. In recording liabilities for probable losses, management is required to make estimates and judgments regarding the amount or range of the probable loss. Management continually assesses the adequacy of estimated loss contingencies and, if necessary, adjusts the amounts recorded as better information becomes known. | |
Accounting Pronouncements Adopted in 2013 | |
On January 1, 2013, the Company adopted the new provisions of Accounting Standards Update (“ASU”) No. 2013-02 Comprehensive Income (Topic 220). The amendments in this ASU require the Company to provide information about the amounts reclassified out of accumulated other comprehensive income, by component. Other than requiring additional disclosures, the adoption of this amendment does not have a material impact on the Company’s financial statements. | |
Inventories
Inventories | 9 Months Ended | ||||||||
Sep. 28, 2013 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Inventories | ' | ||||||||
2) Inventories | |||||||||
Inventories are stated at the lower of cost or market, cost being determined in accordance with the first-in, first-out method. Inventories are as follows: | |||||||||
(In thousands) | September 28, | December 31, | |||||||
2013 | 2012 | ||||||||
Finished Goods | $ | 17,034 | $ | 10,864 | |||||
Work in Progress | 17,971 | 8,960 | |||||||
Raw Material | 32,250 | 28,800 | |||||||
$ | 67,255 | $ | 48,624 | ||||||
The Company records valuation reserves to provide for excess, slow moving or obsolete inventory or to reduce inventory to the lower of cost or market value. In determining the appropriate reserve, the Company considers the age of inventory on hand, the overall inventory levels in relation to forecasted demands as well as reserving for specifically identified inventory that the Company believes is no longer salable. |
Property_Plant_and_Equipment
Property, Plant and Equipment | 9 Months Ended | ||||||||
Sep. 28, 2013 | |||||||||
Property Plant And Equipment [Abstract] | ' | ||||||||
Property, Plant and Equipment | ' | ||||||||
3) Property, Plant and Equipment | |||||||||
The following table summarizes Property, Plant and Equipment as follows: | |||||||||
(In thousands) | September 28, | December 31, | |||||||
2013 | 2012 | ||||||||
Land | $ | 5,424 | $ | 5,424 | |||||
Buildings and Improvements | 37,742 | 37,045 | |||||||
Machinery and Equipment | 50,149 | 43,342 | |||||||
Construction in Progress | 2,380 | 1,456 | |||||||
95,695 | 87,267 | ||||||||
Less Accumulated Depreciation | 36,091 | 33,730 | |||||||
$ | 59,604 | $ | 53,537 | ||||||
Intangible_Assets
Intangible Assets | 9 Months Ended | ||||||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||
Intangible Assets | ' | ||||||||||||||||||||
4) Intangible Assets | |||||||||||||||||||||
The following table summarizes acquired intangible assets as follows: | |||||||||||||||||||||
September 28, 2013 | December 31, 2012 | ||||||||||||||||||||
(In thousands) | Weighted | Gross | Accumulated | Gross | Accumulated | ||||||||||||||||
Average | Carrying | Amortization | Carrying | Amortization | |||||||||||||||||
Life | Amount | Amount | |||||||||||||||||||
Patents | 12 Years | $ | 1,271 | $ | 859 | $ | 1,271 | $ | 784 | ||||||||||||
Trade Names | 10 Years | 6,653 | 375 | 2,453 | 162 | ||||||||||||||||
Completed and Unpatented Technology | 11 Years | 9,677 | 2,233 | 6,377 | 1,749 | ||||||||||||||||
Backlog and Customer Relationships | 14 Years | 74,272 | 5,312 | 13,085 | 3,968 | ||||||||||||||||
Total Intangible Assets | 14 Years | $ | 91,873 | $ | 8,779 | $ | 23,186 | $ | 6,663 | ||||||||||||
All acquired intangible assets other than one trade name with a carrying value of $0.5 million and goodwill are being amortized. Amortization expense for acquired intangibles is summarized as follows: | |||||||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
Amortization Expense | $ | 2,429 | $ | 1,667 | $ | 1,494 | $ | 1,013 | |||||||||||||
Amortization expense for intangible assets expected for 2013 and for each of the next five years is as follows: | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
2013 | $ | 4,476 | |||||||||||||||||||
2014 | 8,107 | ||||||||||||||||||||
2015 | 6,168 | ||||||||||||||||||||
2016 | 5,992 | ||||||||||||||||||||
2017 | 5,983 | ||||||||||||||||||||
2018 | 5,892 |
Goodwill
Goodwill | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||
Goodwill | ' | ||||||||||||||||
5) Goodwill | |||||||||||||||||
The following table summarizes the changes in the carrying amount of goodwill for 2013: | |||||||||||||||||
(In thousands) | December 31, | Acquisitions | Foreign | September 28, | |||||||||||||
2012 | Currency | 2013 | |||||||||||||||
Translation | |||||||||||||||||
Aerospace Segment | $ | 21,923 | $ | 70,793 | $ | (96 | ) | $ | 92,620 | ||||||||
LongTerm_Debt_and_Notes_Payabl
Long-Term Debt and Notes Payable | 9 Months Ended | ||||
Sep. 28, 2013 | |||||
Debt Disclosure [Abstract] | ' | ||||
Long-Term Debt and Notes Payable | ' | ||||
6) Long-term Debt and Notes Payable | |||||
The Company extended and modified its existing credit facility by entering into Amendment No. 1 dated as of March 27, 2013 (the “Amendment”), to the Second Amended and Restated Credit Agreement. The Amendment provides for an increase in the Company’s revolving credit facility from $35 million to $75 million and for an extension of the maturity date of the revolving credit facility to March 27, 2018. | |||||
Interest remained at a rate of LIBOR plus between 1.50% and 2.50% based on the Company’s Leverage Ratio under the Credit Agreement. The credit facility allocates up to $20 million of the $75 million revolving credit line for the issuance of letters of credit, including certain existing letters of credit. The credit facility is secured by substantially all of the Company’s assets. | |||||
On July 18, 2013, in connection with the funding of the Peco Acquisition (See Note 19), the Company amended its existing credit facility by entering into a Third Amended and Restated Credit Agreement ( the “Credit Agreement”). The Credit Agreement continued to provide for a $75 million five-year revolving credit facility and a new $190 million five-year term loan, both expiring on June 30, 2018. The amended facilities carry an interest rate ranging from 225 basis points to 350 basis points above LIBOR, depending on the Company’s leverage ratio as defined in the Credit Agreement. Variable principal payments on the term loan will be quarterly through March 31, 2018 with a balloon payment at maturity and with mandatory prepayments being required in certain circumstances. The credit facility is secured by substantially all of the Company’s assets. In addition, the Company is required to pay a commitment fee of between 0.25% and 0.50% on the unused portion of the total credit commitment for the preceding quarter, based on the Company’s leverage ratio under the Credit Agreement. | |||||
There was nothing outstanding on our revolving credit facility at September 28, 2013 and $ 7.0 million at December 31, 2012 which is reported as long-term. The Company had available on its credit facility $51.5 million at September 28, 2013. At September 28, 2013, outstanding letters of credit totaled $8.8 million. | |||||
Scheduled principal payments on the new $190 million term loan are as follows (in thousands): | |||||
2013 | $ | 4,750 | |||
2014 | 9,500 | ||||
2015 | 11,875 | ||||
2016 | 16,625 | ||||
2017 | 19,000 | ||||
2018 | 128,250 | ||||
Total | $ | 190,000 | |||
The proceeds of the term loan were used to finance the Peco Acquisition, pay off the $7.0 million balance outstanding under the existing term loan, pay off the $7.0 million balance outstanding under the existing revolving credit facility, pay off $0.5 million of other term debt and for general corporate purposes. | |||||
Covenants were modified on March 27, 2013, to eliminate the maximum capital expenditure limit, the cap on permitted acquisitions was increased to $25 million per acquisition and $50 million in the aggregate and the permitted allowance for share repurchases was increased to $20 million. In addition, the maximum permitted Leverage Ratio has been increased to 3.75 to 1 for each fiscal quarter ending on or after March 31, 2013 and to 3.50 to 1 for each fiscal quarter ending after March 31, 2015. The covenant for minimum fixed charge coverage as defined in the Credit Agreement is to be not less than 1.25 to 1 for each fiscal quarter end. There were no changes in these covenants resulting from the new term note. | |||||
In the event of voluntary or involuntary bankruptcy of the Company or any subsidiary, all unpaid principal and other amounts owing under the Credit Agreement automatically become due and payable. Other events of default, such as failure to make payments as they become due and breach of financial and other covenants, give the Agent the option to declare all such amounts immediately due and payable. | |||||
Product_Warranties
Product Warranties | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Guarantees [Abstract] | ' | ||||||||||||||||
Product Warranties | ' | ||||||||||||||||
7) Product Warranties | |||||||||||||||||
In the ordinary course of business, the Company warrants its products against defects in design, materials and workmanship typically over periods ranging from twelve to sixty months. The Company determines warranty reserves needed by product line based on experience and current facts and circumstances. Activity in the warranty accrual is summarized as follows: | |||||||||||||||||
Nine months ended | Three Months Ended | ||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Balance at beginning of period | $ | 2,551 | $ | 1,092 | $ | 2,584 | $ | 1,391 | |||||||||
Warranties issued | 356 | 1,872 | 23 | 1,100 | |||||||||||||
Warranties settled | (618 | ) | (751 | ) | (202 | ) | (278 | ) | |||||||||
Reassessed warranty exposure | (133 | ) | 3 | (249 | ) | 3 | |||||||||||
Balance at end of period | $ | 2,156 | $ | 2,216 | $ | 2,156 | $ | 2,216 | |||||||||
Income_Taxes
Income Taxes | 9 Months Ended |
Sep. 28, 2013 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
8) Income Taxes | |
The Company recognizes deferred tax assets and liabilities for the expected future tax consequences of temporary differences between the financial reporting and tax basis of assets and liabilities. Deferred tax assets are reduced, if deemed necessary, by a valuation allowance for the amount of tax benefits which are not expected to be realized. Investment tax credits are recognized on the flow through method. | |
ASC Topic 740-10 Overall—Uncertainty in Income Taxes (“ASC Topic 740-10”) clarifies the accounting and disclosure for uncertainty in tax positions. ASC Topic 740-10 seeks to reduce the diversity in practice associated with certain aspects of the recognition and measurement related to accounting for income taxes. The Company is subject to the provisions of ASC Topic 740-10 and has analyzed filing positions in all of the federal and state jurisdictions where it is required to file income tax returns, as well as all open tax years in these jurisdictions. Should the Company need to accrue a liability for uncertain tax benefits, any interest associated with that liability will be recorded as interest expense. Penalties, if any, would be recognized as operating expenses. There are no penalties or interest liability accrued as of September 28, 2013 or December 31, 2012, nor are any penalties or interest costs included in expense for the periods ending September 28, 2013 and September 29, 2012. The years under which we conducted our evaluation coincided with the tax years currently still subject to examination by major federal and state tax jurisdictions, those being 2010 through 2012 for federal purposes and 2009 through 2012 for state purposes. | |
The effective tax rate was 28.8% and 32.1% for the nine months and 33.4% and 33.2% for the three months ended September 28, 2013 and September 29, 2012, respectively. The effective tax rate for the nine months of 2013 was impacted primarily by the domestic production activity deduction, the recognition of approximately $1.1 million in domestic 2012 R&D tax credits and $0.6 million in domestic 2013 R&D tax credits. The effective tax rate for the three months ended September 28, 2013 was impacted primarily by the recognition of approximately $0.2 million in domestic 2013 R&D tax credits. |
Shareholders_Equity
Shareholders' Equity | 9 Months Ended | ||||||||||||
Sep. 28, 2013 | |||||||||||||
Equity [Abstract] | ' | ||||||||||||
Shareholders' Equity | ' | ||||||||||||
9) Shareholders’ Equity | |||||||||||||
The changes in shareholders’ equity for the nine months ended September 28, 2013 are summarized as follows as adjusted to reflect the impact of the twenty percent distribution of Class B Stock as discussed in Note 10: | |||||||||||||
Number of Shares | |||||||||||||
(Dollars and Shares in thousands) | Amount | Common | Convertible | ||||||||||
Stock | Class B Stock | ||||||||||||
Shares Authorized | 40,000 | 10,000 | |||||||||||
Share Par Value | $ | 0.01 | $ | 0.01 | |||||||||
COMMON STOCK | |||||||||||||
Beginning of Period | $ | 174 | 10,865 | 6,488 | |||||||||
Conversion of Class B Shares to Common Shares | — | 561 | (561 | ) | |||||||||
Exercise of Stock Options | 1 | 69 | 58 | ||||||||||
End of Period | $ | 175 | 11,495 | 5,985 | |||||||||
ADDITIONAL PAID IN CAPITAL | |||||||||||||
Beginning of Period | $ | 22,854 | |||||||||||
Stock Compensation Expense | 1,048 | ||||||||||||
Exercise of Stock Options | 1,056 | ||||||||||||
End of Period | $ | 24,958 | |||||||||||
ACCUMULATED OTHER COMPREHENSIVE LOSS | |||||||||||||
Beginning of Period | $ | (4,783 | ) | ||||||||||
Foreign Currency Translation Adjustment | (260 | ) | |||||||||||
Mark to Market Adjustment for Derivatives | 65 | ||||||||||||
Retirement Liability Adjustment | 316 | ||||||||||||
End of Period | $ | (4,662 | ) | ||||||||||
RETAINED EARNINGS | |||||||||||||
Beginning of Period | $ | 106,889 | |||||||||||
Net Income | 20,877 | ||||||||||||
End of Period | $ | 127,766 | |||||||||||
TOTAL SHAREHOLDERS’ EQUITY | |||||||||||||
Beginning of Period | $ | 125,134 | |||||||||||
End of Period | $ | 148,237 | |||||||||||
Basic_and_Diluted_WeightedAver
Basic and Diluted Weighted-Average Shares Outstanding | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Basic and Diluted Weighted-Average Shares Outstanding | ' | ||||||||||||||||
10) Basic and Diluted Weighted-average Shares Outstanding | |||||||||||||||||
Basic and diluted weighted-average shares outstanding used to calculate earnings per share are as follows: | |||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Weighted average shares—Basic | 17,421 | 17,095 | 17,457 | 17,134 | |||||||||||||
Net effect of dilutive stock options | 846 | 1,029 | 927 | 974 | |||||||||||||
Weighted average shares—Diluted | 18,267 | 18,124 | 18,384 | 18,108 | |||||||||||||
The above information has been adjusted to reflect the impact of the twenty percent distribution of Class B Stock for shareholders of record on October 10, 2013. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Loss and Other Comprehensive Loss | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Accumulated Other Comprehensive Loss and Other Comprehensive Loss | ' | ||||||||||||||||
11) Accumulated Other Comprehensive Loss and Other Comprehensive Loss | |||||||||||||||||
The components of accumulated other comprehensive loss are as follows: | |||||||||||||||||
(In thousands) | September 28, | December 31, | |||||||||||||||
2013 | 2012 | ||||||||||||||||
Foreign Currency Translation Adjustments | $ | 1,155 | $ | 1,415 | |||||||||||||
Mark to Market Adjustments for Derivatives – Before Tax | (117 | ) | (218 | ) | |||||||||||||
Tax Benefit | 40 | 76 | |||||||||||||||
Mark to Market Adjustments for Derivatives – After Tax | (77 | ) | (142 | ) | |||||||||||||
Retirement Liability Adjustment – Before Tax | (8,834 | ) | (9,316 | ) | |||||||||||||
Tax Benefit | 3,094 | 3,260 | |||||||||||||||
Retirement Liability Adjustment – After Tax | (5,740 | ) | (6,056 | ) | |||||||||||||
Accumulated Other Comprehensive Loss | $ | (4,662 | ) | $ | (4,783 | ) | |||||||||||
The components of other comprehensive income (loss) are as follows: | |||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Foreign Currency Translation Adjustments | $ | (260 | ) | $ | 251 | $ | 129 | $ | 258 | ||||||||
Reclassification to Interest Expense | 90 | 163 | 20 | 50 | |||||||||||||
Mark to Market Adjustments for Derivatives | 11 | (48 | ) | 22 | (10 | ) | |||||||||||
Tax Expense | (36 | ) | (39 | ) | (15 | ) | (14 | ) | |||||||||
Mark to Market Adjustments for Derivatives | 65 | 76 | 27 | 26 | |||||||||||||
Retirement Liability Adjustment | 483 | (5,364 | ) | 159 | 186 | ||||||||||||
Tax (Expense) Benefit | (167 | ) | 1,916 | (54 | ) | (47 | ) | ||||||||||
Retirement Liability Adjustment | 316 | (3,448 | ) | 105 | 139 | ||||||||||||
Other Comprehensive Income (Loss) | $ | 121 | $ | (3,121 | ) | $ | 261 | $ | 423 |
Supplemental_Retirement_Plan_a
Supplemental Retirement Plan and Related Post Retirement Benefits | 9 Months Ended | ||||||||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||||||||
Compensation And Retirement Disclosure [Abstract] | ' | ||||||||||||||||||||||
Supplemental Retirement Plan and Related Post Retirement Benefits | ' | ||||||||||||||||||||||
12) Supplemental Retirement Plan and Related Post Retirement Benefits | |||||||||||||||||||||||
The Company has two non-qualified supplemental retirement defined benefit plans (“SERP” and “SERP II”) for certain executive officers. The following table sets forth information regarding the net periodic pension cost for the plans. | |||||||||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||
Service cost | $ | 222 | $ | 215 | $ | 74 | $ | 88 | |||||||||||||||
Interest cost | 465 | 400 | 155 | 148 | |||||||||||||||||||
Amortization of prior service cost | 370 | 304 | 121 | 122 | |||||||||||||||||||
Amortization of net actuarial losses | 95 | 69 | 32 | 22 | |||||||||||||||||||
Net periodic cost | $ | 1,152 | $ | 988 | $ | 382 | $ | 380 | |||||||||||||||
Participants in the SERP are entitled to paid medical, dental and long-term care insurance benefits upon retirement under the plan. The following table sets forth information regarding the net periodic cost recognized for those benefits: | |||||||||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||
Service cost | $ | 3 | $ | 2 | $ | 1 | $ | 1 | |||||||||||||||
Interest cost | 18 | 18 | 6 | 6 | |||||||||||||||||||
Amortization of prior service cost | 18 | 19 | 6 | 6 | |||||||||||||||||||
Net periodic cost | $ | 39 | $ | 39 | $ | 13 | $ | 13 | |||||||||||||||
As of July 18, 2013 upon completion of the acquisition of Peco, the Company is now a participating employer in a trustee-managed multiemployer defined benefit pension plan for employees who participate in collective bargaining agreements. The plan generally provides retirement benefits to employees based on years of service to the Company. The multiemployer pension plan is managed by a board of trustees. Contributions are based on the hours worked and are expensed on a current basis. | |||||||||||||||||||||||
The risks of participating in a multiemployer defined benefit pension plan is different from a single-employer plan because: (a) assets contributed to the multiemployer plan by one employer may be used to provide benefits to employees of other participating employers, (b) if a participating employer stops contributing to the plan, the unfunded obligations of the plan may be required to be borne by the remaining participating employers, and (c) if the Company chooses to stop participating in a multiemployer plan, it may be required to pay a withdrawal liability to the plan. In connection with ongoing renegotiation of collective bargaining agreements, the Company may discuss and negotiate for the complete or partial withdrawal from its multiemployer pension plan. Depending on the number of employees withdrawn in any future period and the financial condition of the multiemployer plan at the time of withdrawal, the associated withdrawal liabilities could be material to the Company in the period of the withdrawal. The Company has no plans to withdraw from its multiemployer pension plan. | |||||||||||||||||||||||
Western Conference of Teamsters Pension Plan (“WCTPP”) provides fixed retirement payments as a function of the total employer contributions payable for all service after 1986. However in the event WCTPP is underfunded, the monthly benefit amount can be reduced by the trustees of the plan. Plan information for the WCTPP, Employer Identification Number 91-6145047, is not publicly available for 2012. According to the most recently available Form 5500 for the plan year ended December 31, 2011, plan assets are $29.2 billion, the total actuarial present value of accumulated plan benefits is $35.7 billion, and contributions receivable from all employers totaled $101 million. WCTPP is over 90% funded as of the most recent financial statements. | |||||||||||||||||||||||
The collective bargaining agreement of WCTPP requires contributions on the basis of hours worked. The agreement also has a minimum contribution requirement of $2.50 per compensable hour to a maximum of 184 hours per calendar year month and cumulatively to a maximum of 2080 hours per calendar year, for subsequent periods. | |||||||||||||||||||||||
Pension Fund | EIN/Pension | Zone | Rehabilitation | 2012 Peco | Surcharge | Expiration Date of | Plan | ||||||||||||||||
Plan Number | Status | Plan Status | Contributions | Imposed | Collective | Year | |||||||||||||||||
(In | Bargaining | End | |||||||||||||||||||||
thousands) | Agreement | ||||||||||||||||||||||
WCTPP | 91-6145047 | Green | None | $ | 845 | None | 10/31/16 | 31-Dec |
Sales_to_Major_Customers
Sales to Major Customers | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Risks And Uncertainties [Abstract] | ' | ||||||||||||||||
Sales to Major Customers | ' | ||||||||||||||||
13) Sales to Major Customers | |||||||||||||||||
The Company has a significant concentration of business with two major customers, Panasonic Aviation Corporation and the Boeing Company. The following is information relating to the activity with those customers: | |||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||
September 28, | September 29, | September 28, | September 29, | ||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Percent of consolidated revenue | |||||||||||||||||
Panasonic | 30 | % | 38 | % | 28 | % | 40 | % | |||||||||
Boeing | 12 | % | 5 | % | 20 | % | 6 | % | |||||||||
(In thousands) | September 28, | December 31, | |||||||||||||||
2013 | 2012 | ||||||||||||||||
Accounts Receivable | |||||||||||||||||
Panasonic | $ | 12,039 | $ | 17,412 | |||||||||||||
Boeing | $ | 8,566 | $ | 1,939 |
Legal_Proceedings
Legal Proceedings | 9 Months Ended |
Sep. 28, 2013 | |
Commitments And Contingencies Disclosure [Abstract] | ' |
Legal Proceedings | ' |
14) Legal Proceedings | |
The Company is subject to various legal proceedings, claims, and litigation arising in the ordinary course of business. While the outcome of these matters is currently not determinable, we do not expect these matters will have a material adverse effect on our business, financial position, results of operations, or cash flows. However, the results of these matters cannot be predicted with certainty. Should the Company fail to prevail in any legal matter or should several legal matters be resolved against the Company in the same reporting period, then the financial results of that particular reporting period could be materially adversely affected. | |
We are a defendant in an action filed in the Regional State Court of Mannheim, Germany (Lufthansa Technik AG v. Astronics Advanced Electronics Systems Corp.) relating to an allegation of patent infringement. The damages sought include injunctive relief, as well as monetary damages. We dispute the allegation and intend to vigorously defend ourselves in this action. We have filed a nullity action with the Federal Patent Court in Munich Germany, requesting the court to revoke the German part of the European patent that is subject to the claim. In November 2011, the regional state court of Manheim Germany issued an interim decision to the effect that the infringement litigation proceedings be stayed until the Federal Patent Court decides on the concurrent nullity action. At this time we are unable to provide a reasonable estimate of our potential liability or the potential amount of loss related to this action, if any. If the outcome of this litigation is adverse to us, our results and financial condition could be materially affected. | |
During the third quarter of 2013, the Company settled its case with AE Liquidation, Inc. with no significant impact to the results of our operations. |
Segment_Information
Segment Information | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Segment Information | ' | ||||||||||||||||
15) Segment Information | |||||||||||||||||
Below are the sales and operating profit by segment for the three and nine months ended September 28, 2013 and September 29, 2012 and a reconciliation of segment operating profit to earnings before income taxes. Operating profit is the net sales less cost of products sold and other operating expenses excluding interest and corporate expenses. Cost of products sold and other operating expenses are directly identifiable to the respective segment. | |||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||
(Dollars in thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Sales | |||||||||||||||||
Aerospace | $ | 227,870 | $ | 190,212 | $ | 87,525 | $ | 65,788 | |||||||||
Test Systems | 7,207 | 8,814 | 2,660 | 3,111 | |||||||||||||
Less Intersegment Sales | (596 | ) | — | (504 | ) | — | |||||||||||
6,611 | 8,814 | 2,156 | 3,111 | ||||||||||||||
Total Consolidated Sales | $ | 234,481 | $ | 199,026 | $ | 89,681 | $ | 68,899 | |||||||||
Operating Profit (Loss) and Margins | |||||||||||||||||
Aerospace | $ | 41,112 | $ | 33,358 | $ | 15,377 | $ | 10,577 | |||||||||
18 | % | 17.5 | % | 17.6 | % | 16.1 | % | ||||||||||
Test Systems | (2,880 | ) | (3,525 | ) | (745 | ) | (1,132 | ) | |||||||||
(40.0 | )% | (40.0 | )% | (28.0 | )% | (36.4 | )% | ||||||||||
Total Operating Profit | 38,232 | 29,833 | 14,632 | 9,445 | |||||||||||||
16.3 | % | 15 | % | 16.3 | % | 13.7 | % | ||||||||||
Deductions from Operating Profit | |||||||||||||||||
Interest Expense | 2,085 | 803 | 1,605 | 274 | |||||||||||||
Corporate Expenses and Other | 6,838 | 5,137 | 2,280 | 1,790 | |||||||||||||
Income Before Income Taxes | $ | 29,309 | $ | 23,893 | $ | 10,747 | $ | 7,381 | |||||||||
Identifiable Assets | |||||||||||||||||
(In thousands) | September 28, | December 31, | |||||||||||||||
2013 | 2012 | ||||||||||||||||
Aerospace | $ | 349,363 | $ | 177,168 | |||||||||||||
Test Systems | 9,584 | 18,121 | |||||||||||||||
Corporate | 73,883 | 16,700 | |||||||||||||||
Total Assets | $ | 432,830 | $ | 211,989 | |||||||||||||
Fair_Value
Fair Value | 9 Months Ended | ||||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||
Fair Value | ' | ||||||||||||||||||
16) Fair Value | |||||||||||||||||||
ASC Topic 820, Fair value Measurements and Disclosures, (“ASC Topic 820”) defines fair value, establishes a framework for measuring fair value and expands the related disclosure requirements. This statement applies under other accounting pronouncements that require or permit fair value measurements. The statement indicates, among other things, that a fair value measurement assumes that the transaction to sell an asset or transfer a liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. ASC Topic 820 defines fair value based upon an exit price model. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and involves consideration of factors specific to the asset or liability. | |||||||||||||||||||
ASC Topic 820 establishes a valuation hierarchy for disclosure of the inputs to valuation used to measure fair value. This hierarchy prioritizes the inputs into three broad levels as follows: | |||||||||||||||||||
Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. | |||||||||||||||||||
Level 2 inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the financial instrument. | |||||||||||||||||||
Level 3 inputs are unobservable inputs based on our own assumptions used to measure assets and liabilities at fair value. | |||||||||||||||||||
On a Recurring Basis: | |||||||||||||||||||
A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. The following table provides the financial assets and liabilities carried at fair value measured on a recurring basis as of September 28, 2013 and December 31, 2012: | |||||||||||||||||||
(In thousands) | Classification | Total | Level 1 | Level 2 | Level 3 | ||||||||||||||
Interest rate swaps | Other Liabilities | ||||||||||||||||||
September 28, 2013 | $ | (117 | ) | $ | — | $ | (117 | ) | $ | — | |||||||||
December 31, 2012 | (218 | ) | — | (218 | ) | — | |||||||||||||
Acquisition contingent consideration | Other Liabilities | ||||||||||||||||||
September 28, 2013 | $ | (755 | ) | $ | — | $ | — | $ | (755 | ) | |||||||||
December 31, 2012 | (814 | ) | — | — | (814 | ) | |||||||||||||
Interest rate swaps are securities with no quoted readily available Level 1 inputs, and therefore are measured at fair value using inputs that are directly observable in active markets and are classified within Level 2 of the valuation hierarchy, using the income approach (See Note 17). | |||||||||||||||||||
Our Level 3 fair value liabilities represent contingent consideration recorded related to the Ballard acquisition to be paid up to a maximum of $5.5 million if certain revenue growth targets are met over the next four years and the Max-Viz acquisition to be paid up to a maximum of $8.0 million if certain revenue growth targets are met over the next three years. The amounts recorded were calculated using an estimate of the probability of future revenue. The varying contingent payments were then discounted to the present value utilizing a discounted cash flow methodology. The contingent consideration liabilities have no observable Level 1 or Level 2 inputs. There was no significant change in the fair value of the liabilities related to the Ballard and Max-Viz acquisitions from December 31, 2012. | |||||||||||||||||||
On a Non-recurring Basis: | |||||||||||||||||||
In accordance with the provisions of ASC Topic 350 Intangibles – Goodwill and Other the Company estimates the fair value of reporting units, utilizing unobservable Level 3 inputs. Level 3 inputs require significant management judgment due to the absence of quoted market prices or observable inputs for assets of a similar nature. The Company utilizes a discounted cash flow analysis to estimate the fair value of reporting units utilizing unobservable inputs. The fair value measurement of the reporting unit under the step-one and step-two analysis of the quantitative goodwill impairment test are classified as Level 3 inputs. | |||||||||||||||||||
Long-lived assets, including intangible assets that are amortized are evaluated for recoverability whenever adverse effects or changes in circumstances indicate that the carrying value may not be recoverable. The recoverability test consists of comparing the undiscounted projected cash flows with the carrying amount. Should the carrying amount exceed undiscounted projected cash flows, an impairment loss would be recognized to the extent the carrying amount exceeds fair value. For the Company’s indefinite-lived intangible asset, the impairment test consists of comparing the fair value, determined using the relief from royalty method, with its carrying amount. An impairment loss would be recognized for the carrying amount in excess of its fair value. | |||||||||||||||||||
At September 28, 2013, the fair value of goodwill and intangible assets classified using Level 3 inputs are as follows: | |||||||||||||||||||
• | The fair value measurement of total amortized intangible assets in the Test Systems reporting unit is $3.9 million. Inputs used to calculate the fair value were internal forecasts used to estimate undiscounted future cash flows. There was no change in fair value from December 31, 2012. | ||||||||||||||||||
• | The Max-Viz goodwill and intangible assets acquired on July 30, 2012, were valued at fair value using a discounted cash flow methodology and are classified as Level 3 inputs. There was no change in fair value from December 31, 2012. | ||||||||||||||||||
As of September 28, 2013, the Company concluded that no indicators of impairment relating to intangible assets or goodwill existed and an interim test was not performed. |
Derivative_Financial_Instrumen
Derivative Financial Instruments | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ' | ||||||||||||||||
Derivative Financial Instruments | ' | ||||||||||||||||
17) Derivative Financial Instruments | |||||||||||||||||
At September 28, 2013, we had interest rate swaps consisting of the following: | |||||||||||||||||
a) | An interest rate swap with a notional amount of approximately $1.9 million at September 28, 2013, entered into on February 6, 2006, related to the Company’s Series 1999 New York Industrial Revenue Bond which effectively fixes the rate at 3.99% plus a spread based on the Company’s leverage ratio on this obligation through February 1, 2016. | ||||||||||||||||
b) | An interest rate swap entered into on March 19, 2009 related to the Company’s term note issued January 30, 2009, was terminated in the third quarter of 2013 with no significant impact to the results of our operations. | ||||||||||||||||
At both September 28, 2013 and December 31, 2012, the fair value of interest rate swaps was a liability of $0.1 million, which is included in other liabilities (See Note 16). Amounts expected to be reclassified to earnings in the next 12 months is insignificant. | |||||||||||||||||
To the extent the interest rate swaps are not perfectly effective in offsetting the change in the value of the payments being hedged; the ineffective portion of these contracts is recognized in earnings immediately as interest expense. Ineffectiveness, if any, was not significant for the three and nine months ended September 28, 2013 and September 29, 2012. The Company classifies the cash flows from hedging transactions in the same category as the cash flows from the respective hedged items. Amounts from ineffectiveness, if any, to be reclassified during 2013 are not expected to be significant. | |||||||||||||||||
Activity in AOCI related to these derivatives is summarized below: | |||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Derivative balance at the beginning of the period in AOCI | $ | (142 | ) | $ | (256 | ) | $ | (104 | ) | $ | (206 | ) | |||||
Net deferral in AOCI of derivatives: | |||||||||||||||||
Net (increase) decrease in fair value of derivatives | 11 | (48 | ) | 22 | (10 | ) | |||||||||||
Tax effect | (4 | ) | 17 | (8 | ) | 4 | |||||||||||
7 | (31 | ) | 14 | (6 | ) | ||||||||||||
Net reclassification from AOCI into earnings: | |||||||||||||||||
Reclassification from AOCI into earnings – Interest Expense | 90 | 163 | 20 | 50 | |||||||||||||
Tax effect | (32 | ) | (56 | ) | (7 | ) | (18 | ) | |||||||||
58 | 107 | 13 | 32 | ||||||||||||||
Net change in derivatives for the period | 65 | 76 | 27 | 26 | |||||||||||||
Derivative balance at the end of the period in AOCI | $ | (77 | ) | $ | (180 | ) | $ | (77 | ) | $ | (180 | ) |
Recent_Accounting_Pronouncemen
Recent Accounting Pronouncements | 9 Months Ended |
Sep. 28, 2013 | |
Accounting Changes And Error Corrections [Abstract] | ' |
Recent Accounting Pronouncements | ' |
18) Recent Accounting Pronouncements | |
The Company’s management has reviewed recent accounting pronouncements issued through the date of the issuance of financial statements. In management’s opinion, none of these new pronouncements apply or will have a material effect on the Company’s financial statements. |
Acquisitions
Acquisitions | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Business Combinations [Abstract] | ' | ||||||||||||||||
Acquisitions | ' | ||||||||||||||||
19) Acquisitions | |||||||||||||||||
Max-Viz, Inc. | |||||||||||||||||
On July 30, 2012 we completed a business combination within our aerospace segment. We acquired by merger, 100% of the stock of Max-Viz, Inc. (“Max-Viz”), a manufacturer of industry-leading Enhanced Vision Systems for defense and commercial aerospace applications for the purpose of improving situational awareness. The addition of Max-Viz diversifies the products and technologies that the Company offers. We purchased the outstanding stock of Max-Viz for $10.7 million in cash plus contingent purchase consideration up to a maximum of $8.0 million subject to meeting certain revenue growth targets over the next three years. Max-Viz’s unaudited 2012 revenue through the acquisition date was approximately $5.4 million. | |||||||||||||||||
The additional contingent purchase consideration was recorded at its estimated fair value at the date of acquisition based upon the Company’s assessment of the probability of Max-Viz achieving the revenue growth targets. The estimated fair value of this contingent consideration is insignificant. The goodwill recognized is comprised primarily of intangible assets that do not require separate recognition. Substantially all of the goodwill and purchased intangible assets are expected to be deductible for tax purposes over 15 years. The purchase price allocation for this 2012 acquisition is complete. | |||||||||||||||||
Peco, Inc. | |||||||||||||||||
On May 28, 2013, the Company entered into a Stock Purchase Agreement (the “Agreement”) by and among the Company and Peco, Inc., an Oregon corporation, (“Peco”) pursuant to which the Company has agreed to acquire all of the issued and outstanding capital stock of Peco. The business combination was completed July 18, 2013. Peco is a designer and manufacturer of highly engineered commercial aerospace interior components and systems for the aerospace industry. Peco is part of the Company’s Aerospace segment. | |||||||||||||||||
Under the terms of the Agreement, the consideration for the stock of Peco is $136.0 million in cash. The initial accounting for the acquisition of Peco was prepared based upon preliminary estimates. The preparation of certain supplemental pro forma information will be finalized once the accounting for the acquisition is completed. | |||||||||||||||||
The preliminary allocation of the purchase price paid for Peco is based on fair values of the acquired assets and liabilities assumed of Peco as of July 18, 2013. | |||||||||||||||||
The preliminary allocation of the purchase price based on appraised fair values is estimated as follows (in thousands): | |||||||||||||||||
Accounts Receivable | $ | 8,002 | |||||||||||||||
Inventory | 15,473 | ||||||||||||||||
Other Current and Long Term Assets | 1,691 | ||||||||||||||||
Fixed Assets | 5,153 | ||||||||||||||||
Purchased Intangible Assets | 69,000 | ||||||||||||||||
Goodwill | 70,793 | ||||||||||||||||
Deferred Income Taxes | (29,998 | ) | |||||||||||||||
Accounts Payable, Accrued Expenses and Long Term Liabilities | (4,114 | ) | |||||||||||||||
Total Purchase Price | $ | 136,000 | |||||||||||||||
The amounts allocated to the purchased intangible assets consist of the following (in thousands): | |||||||||||||||||
Weighted | Acquisition | ||||||||||||||||
Average Life | Fair Value | ||||||||||||||||
Trade Names | 10 Years | $ | 4,200 | ||||||||||||||
Technology | 10 Years | 3,300 | |||||||||||||||
Customer Relationships/Backlog | 1.5 - 17 Years | 61,500 | |||||||||||||||
$ | 69,000 | ||||||||||||||||
Goodwill and other intangible assets reflected above were determined to meet the criterion for recognition apart from tangible assets acquired and liabilities assumed. The goodwill is primarily attributable to expected synergies and the assembled workforce. Purchased intangible assets and goodwill are not expected to be deductible for tax purposes. | |||||||||||||||||
The following is a summary of the sales and amounts included in income from operations for Peco included in the consolidated financial statements of the Company from the date of acquisition to September 28, 2013 (in thousands): | |||||||||||||||||
Sales | $ | 15,698 | |||||||||||||||
Operating Income | $ | 30 | |||||||||||||||
The following summary, prepared on a pro forma basis, combines the consolidated results of operations of the Company with those of the acquired business as if the acquisition took place on January 1, 2012. The pro forma consolidated results include the impact of certain adjustments, including increased interest expense on acquisition debt, amortization of purchased intangible assets and income taxes. | |||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 Pro | ||||||||||||||
Pro Forma | Pro Forma | Pro Forma | Forma | ||||||||||||||
Sales | $ | 280,714 | $ | 256,571 | $ | 93,517 | $ | 87,689 | |||||||||
Net Income | 23,209 | 17,973 | 7,278 | 5,588 | |||||||||||||
Basic Earnings Per Share | 1.33 | 1.05 | 0.42 | 0.33 | |||||||||||||
Diluted Earnings Per Share | 1.27 | 0.99 | 0.4 | 0.31 | |||||||||||||
The pro forma results are not necessarily indicative of what actually would have occurred if the acquisition had been in effect for the three months and nine months ended September 28, 2013. The pro forma results are not intended to be a projection of future results. | |||||||||||||||||
AeroSat, Inc. | |||||||||||||||||
Subsequent to the end of the third quarter on October 1, 2013, the Company entered into an agreement to acquire certain assets and liabilities of AeroSat, Inc. (“AeroSat”) a New Hampshire corporation and related entities for $12.0 million plus contingent consideration up to a maximum earn out of $53.0 million. An earn out begins to be payable if sales in 2014 exceed $30.0 million and if sales in 2015 exceed $40.0 million (the base sales level). The contingent consideration is based on a formula that is approximately 15% of sales in excess of the base sales level for each year. AeroSat is an equipment manufacturer of WIFI antenna systems for aircraft. AeroSat will be reported in the Company’s Aerospace segment. | |||||||||||||||||
PGA Electronic, SA | |||||||||||||||||
Subsequent to the end of the third quarter on November 4, 2013, the Company entered into an agreement to acquire all of the issued and outstanding capital stock of PGA Electronic, SA, (“PGA”) a French corporation for €21.4 million, (approximately $28.0 million) which will be paid in a combination of approximately 60% cash and 40% in Astronics common stock. PGA is an equipment manufacturer in the field of motion, lighting, in-flight entertainment and communications systems and cabin management systems dedicated to the aircraft cabins. PGA is expected to be part of the Company’s Aerospace segment. | |||||||||||||||||
Basis_of_Presentation_Policies
Basis of Presentation (Policies) | 9 Months Ended |
Sep. 28, 2013 | |
Accounting Policies [Abstract] | ' |
Operating Results | ' |
Operating Results | |
The results of operations for any interim period are not necessarily indicative of results for the full year. Operating results for the three and nine month period ended September 28, 2013 are not necessarily indicative of the results that may be expected for the year ending December 31, 2013. | |
The balance sheet at December 31, 2012 has been derived from the audited financial statements at that date, but does not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. | |
For further information, refer to the financial statements and footnotes thereto included in Astronics Corporation’s 2012 annual report on Form 10-K. | |
Description of the Business | ' |
Description of the Business | |
Astronics is a leading supplier of advanced, high-performance lighting systems, electrical power generation and distribution systems, avionics databus solutions, enhanced vision systems and aircraft safety systems for the global aerospace industry as well as test, training and simulation systems primarily for the military. We sell our products to airframe manufacturers (OEMs) in the commercial transport, business jet and military markets as well as FAA/Airport, OEM suppliers and aircraft operators around the world. The Company provides its products through its wholly owned subsidiaries Astronics Advanced Electronic Systems Corp. (“AES”), Ballard Technology, Inc. (“Ballard”), DME Corporation (“DME”), Luminescent Systems, Inc. (“LSI”), Luminescent Systems Canada, Inc. (“LSI Canada”), Max-Viz Inc. (“Max-Viz”) and Peco, Inc. (“Peco”). On July 18, 2013, the Company completed the acquisition of Peco a designer and manufacturer of highly engineered commercial aerospace interior components and systems for the aerospace industry, as described further in Note 19. Peco is part of the Company’s Aerospace segment. On July 30, 2012 Astronics acquired by merger, 100% of the stock of Max-Viz, Inc. Max-Viz is a manufacturer of industry-leading enhanced vision systems for defense and commercial aerospace applications for the purpose of improving situational awareness. Max-Viz is part of the Company’s Aerospace segment. | |
The Company has two reportable segments, Aerospace and Test Systems. The Aerospace segment designs and manufactures products for the global aerospace industry. The Test Systems segment designs, manufactures and maintains communications and weapons test systems and training and simulation devices for military applications. | |
Principles of Consolidation | ' |
Principles of Consolidation | |
The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany transactions and balances have been eliminated. Acquisitions are accounted for under the purchase method and, accordingly, the operating results for the acquired companies are included in the consolidated statements of earnings from the respective dates of acquisition. | |
Revenue and Expense Recognition | ' |
Revenue and Expense Recognition | |
In the Aerospace segment, revenue is recognized on the accrual basis at the time of shipment of goods and transfer of title. There are no significant contracts allowing for right of return. | |
In the Test Systems segment, revenue of approximately 62% and 32% for the three months ending September 28, 2013 and September 29, 2012, respectively, and approximately 40% and 37% for the nine months ending September 28, 2013 and September 29, 2012 respectively, is recognized from long-term, fixed-price contracts using the percentage-of-completion method of accounting, measured by multiplying the estimated total contract value by the ratio of actual contract costs incurred to date to the estimated total contract costs. Substantially all long-term contracts are with U.S. government agencies and contractors thereto. The Company makes significant estimates involving its usage of percentage-of-completion accounting to recognize contract revenues. The Company periodically reviews contracts in process for estimates-to-completion, and revises estimated gross profit accordingly. While the Company believes its estimated gross profit on contracts in process is reasonable, unforeseen events and changes in circumstances can take place in a subsequent accounting period that may cause the Company to revise its estimated gross profit on one or more of its contracts in process. Accordingly, the ultimate gross profit realized upon completion of such contracts can vary significantly from estimated amounts between accounting periods. Revenue not recognized using the percentage-of-completion method is recognized at the time of shipment of goods and transfer of title. | |
Cost of Products Sold, Engineering and Development and Selling, General and Administrative Expenses | ' |
Cost of Products Sold, Engineering and Development and Selling, General and Administrative Expenses | |
Cost of products sold includes the costs to manufacture products such as direct materials and labor and manufacturing overhead as well as all engineering and developmental costs. The Company is engaged in a variety of engineering and design activities as well as basic research and development activities directed to the substantial improvement or new application of the Company’s existing technologies. These costs are expensed when incurred and included in cost of products sold. Research and development, design and related engineering amounted to $12.4 million and $12.8 million for the three months ended September 28, 2013 and September 29, 2012, respectively, and $38.6 million and $33.9 million for the nine months ended September 28, 2013 and September 29, 2012, respectively. Selling, general and administrative expenses include costs primarily related to our sales and marketing departments and administrative departments. Interest expense is shown net of interest income. Interest income was insignificant for each of the three and nine months ended for both September 28, 2013 and September 29, 2012. | |
Financial Instruments | ' |
Financial Instruments | |
The Company’s financial instruments consist primarily of cash and cash equivalents, accounts receivable, accounts payable, notes payable, long-term debt and interest rate swaps. The Company performs periodic credit evaluations of its customers’ financial condition and generally does not require collateral. The Company does not hold or issue financial instruments for trading purposes. Due to their short-term nature, the carrying values of cash and equivalents, accounts receivable, accounts payable, and notes payable, if any, approximate fair value. The carrying value of the Company’s variable rate long-term debt also approximates fair value due to the variable rate feature of these instruments. The Company’s interest rate swaps are recorded at fair value as described under Note 16—Fair Value and Note 17—Derivative Financial Instruments. | |
Derivatives | ' |
Derivatives | |
The accounting for changes in the fair value of derivatives depends on the intended use and resulting designation. The Company’s use of derivative instruments is limited to cash flow hedges for interest rate risk associated with long-term debt. Interest rate swaps are used to adjust the proportion of total debt that is subject to variable and fixed interest rates. The interest rate swaps are designated as hedges of the amount of future cash flows related to interest payments on variable-rate debt that, in combination with the interest payments on the debt, convert a portion of the variable-rate debt to fixed-rate debt. The Company records all derivatives on the balance sheet at fair value as described under Note 16—Fair Value and Note 17—Derivative Financial Instruments. The related gains or losses, to the extent the derivatives are effective as a hedge, are deferred in shareholders’ equity as a component of Accumulated Other Comprehensive Income (Loss) (AOCI) and reclassified into earnings at the time interest expense is recognized on the associated long-term debt. Any ineffectiveness is immediately recorded in the statement of operations. | |
Foreign Currency Translation | ' |
Foreign Currency Translation | |
The Company accounts for its foreign currency translation in accordance with Accounting Standards Codification (“ASC”) Topic 830, Foreign Currency Translation. The aggregate transaction gain or loss included in operations was insignificant for the periods ending September 28, 2013 and September 29, 2012. | |
Loss Contingencies | ' |
Loss contingencies | |
Loss contingencies may from time to time arise from situations such as claims and other legal actions. Loss contingencies are recorded as liabilities when it is probable that a liability has been incurred and the amount of the loss is reasonably estimable. Disclosure is required when there is a reasonable possibility that the ultimate loss will exceed the recorded provision. Contingent liabilities are often resolved over long time periods. In recording liabilities for probable losses, management is required to make estimates and judgments regarding the amount or range of the probable loss. Management continually assesses the adequacy of estimated loss contingencies and, if necessary, adjusts the amounts recorded as better information becomes known. | |
Accounting Pronouncements Adopted in 2013 | ' |
Accounting Pronouncements Adopted in 2013 | |
On January 1, 2013, the Company adopted the new provisions of Accounting Standards Update (“ASU”) No. 2013-02 Comprehensive Income (Topic 220). The amendments in this ASU require the Company to provide information about the amounts reclassified out of accumulated other comprehensive income, by component. Other than requiring additional disclosures, the adoption of this amendment does not have a material impact on the Company’s financial statements. | |
Income Taxes Policy | ' |
ASC Topic 740-10 Overall—Uncertainty in Income Taxes (“ASC Topic 740-10”) clarifies the accounting and disclosure for uncertainty in tax positions. ASC Topic 740-10 seeks to reduce the diversity in practice associated with certain aspects of the recognition and measurement related to accounting for income taxes. The Company is subject to the provisions of ASC Topic 740-10 and has analyzed filing positions in all of the federal and state jurisdictions where it is required to file income tax returns, as well as all open tax years in these jurisdictions. Should the Company need to accrue a liability for uncertain tax benefits, any interest associated with that liability will be recorded as interest expense. Penalties, if any, would be recognized as operating expenses. There are no penalties or interest liability accrued as of September 28, 2013 or December 31, 2012, nor are any penalties or interest costs included in expense for the periods ending September 28, 2013 and September 29, 2012. The years under which we conducted our evaluation coincided with the tax years currently still subject to examination by major federal and state tax jurisdictions, those being 2010 through 2012 for federal purposes and 2009 through 2012 for state purposes. | |
The effective tax rate was 28.8% and 32.1% for the nine months and 33.4% and 33.2% for the three months ended September 28, 2013 and September 29, 2012, respectively. The effective tax rate for the nine months of 2013 was impacted primarily by the domestic production activity deduction, the recognition of approximately $1.1 million in domestic 2012 R&D tax credits and $0.6 million in domestic 2013 R&D tax credits. The effective tax rate for the three months of 2013 was impacted primarily by the recognition of approximately $0.2 million in domestic 2013 R&D tax credits. | |
Fair Value Measurements and Disclosures | ' |
ASC Topic 820, Fair value Measurements and Disclosures, (“ASC Topic 820”) defines fair value, establishes a framework for measuring fair value and expands the related disclosure requirements. This statement applies under other accounting pronouncements that require or permit fair value measurements. The statement indicates, among other things, that a fair value measurement assumes that the transaction to sell an asset or transfer a liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. ASC Topic 820 defines fair value based upon an exit price model. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and involves consideration of factors specific to the asset or liability. | |
ASC Topic 820 establishes a valuation hierarchy for disclosure of the inputs to valuation used to measure fair value. This hierarchy prioritizes the inputs into three broad levels as follows: | |
Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. | |
Level 2 inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the financial instrument. | |
Level 3 inputs are unobservable inputs based on our own assumptions used to measure assets and liabilities at fair value. | |
Intangibles - Goodwill and Other | ' |
In accordance with the provisions of ASC Topic 350 Intangibles – Goodwill and Other the Company estimates the fair value of reporting units, utilizing unobservable Level 3 inputs. Level 3 inputs require significant management judgment due to the absence of quoted market prices or observable inputs for assets of a similar nature. The Company utilizes a discounted cash flow analysis to estimate the fair value of reporting units utilizing unobservable inputs. The fair value measurement of the reporting unit under the step-one and step-two analysis of the quantitative goodwill impairment test are classified as Level 3 inputs. |
Inventories_Tables
Inventories (Tables) | 9 Months Ended | ||||||||
Sep. 28, 2013 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Summary of Inventories | ' | ||||||||
Inventories are stated at the lower of cost or market, cost being determined in accordance with the first-in, first-out method. Inventories are as follows: | |||||||||
(In thousands) | September 28, | December 31, | |||||||
2013 | 2012 | ||||||||
Finished Goods | $ | 17,034 | $ | 10,864 | |||||
Work in Progress | 17,971 | 8,960 | |||||||
Raw Material | 32,250 | 28,800 | |||||||
$ | 67,255 | $ | 48,624 | ||||||
Property_Plant_and_Equipment_T
Property, Plant and Equipment (Tables) | 9 Months Ended | ||||||||
Sep. 28, 2013 | |||||||||
Property Plant And Equipment [Abstract] | ' | ||||||||
Summary of Property, Plant and Equipment | ' | ||||||||
The following table summarizes Property, Plant and Equipment as follows: | |||||||||
(In thousands) | September 28, | December 31, | |||||||
2013 | 2012 | ||||||||
Land | $ | 5,424 | $ | 5,424 | |||||
Buildings and Improvements | 37,742 | 37,045 | |||||||
Machinery and Equipment | 50,149 | 43,342 | |||||||
Construction in Progress | 2,380 | 1,456 | |||||||
95,695 | 87,267 | ||||||||
Less Accumulated Depreciation | 36,091 | 33,730 | |||||||
$ | 59,604 | $ | 53,537 |
Intangible_Assets_Tables
Intangible Assets (Tables) | 9 Months Ended | ||||||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||||||
Summary of Acquired Intangible Assets | ' | ||||||||||||||||||||
The following table summarizes acquired intangible assets as follows: | |||||||||||||||||||||
September 28, 2013 | December 31, 2012 | ||||||||||||||||||||
(In thousands) | Weighted | Gross | Accumulated | Gross | Accumulated | ||||||||||||||||
Average | Carrying | Amortization | Carrying | Amortization | |||||||||||||||||
Life | Amount | Amount | |||||||||||||||||||
Patents | 12 Years | $ | 1,271 | $ | 859 | $ | 1,271 | $ | 784 | ||||||||||||
Trade Names | 10 Years | 6,653 | 375 | 2,453 | 162 | ||||||||||||||||
Completed and Unpatented Technology | 11 Years | 9,677 | 2,233 | 6,377 | 1,749 | ||||||||||||||||
Backlog and Customer Relationships | 14 Years | 74,272 | 5,312 | 13,085 | 3,968 | ||||||||||||||||
Total Intangible Assets | 14 Years | $ | 91,873 | $ | 8,779 | $ | 23,186 | $ | 6,663 | ||||||||||||
Summary of Amortization Expense for Acquired Intangibles | ' | ||||||||||||||||||||
Amortization expense for acquired intangibles is summarized as follows: | |||||||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
Amortization Expense | $ | 2,429 | $ | 1,667 | $ | 1,494 | $ | 1,013 | |||||||||||||
Summary of Amortization Expense for Intangible Assets for Each of Next Five Years | ' | ||||||||||||||||||||
Amortization expense for intangible assets expected for 2013 and for each of the next five years is as follows: | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
2013 | $ | 4,476 | |||||||||||||||||||
2014 | 8,107 | ||||||||||||||||||||
2015 | 6,168 | ||||||||||||||||||||
2016 | 5,992 | ||||||||||||||||||||
2017 | 5,983 | ||||||||||||||||||||
2018 | 5,892 | ||||||||||||||||||||
Peco, Inc [Member] | ' | ||||||||||||||||||||
Summary of Acquired Intangible Assets | ' | ||||||||||||||||||||
The amounts allocated to the purchased intangible assets consist of the following (in thousands): | |||||||||||||||||||||
Weighted | Acquisition | ||||||||||||||||||||
Average Life | Fair Value | ||||||||||||||||||||
Trade Names | 10 Years | $ | 4,200 | ||||||||||||||||||
Technology | 10 Years | 3,300 | |||||||||||||||||||
Customer Relationships/Backlog | 1.5 - 17 Years | 61,500 | |||||||||||||||||||
$ | 69,000 | ||||||||||||||||||||
Goodwill_Tables
Goodwill (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||
Summary of Changes in Carrying Amount of Goodwill | ' | ||||||||||||||||
The following table summarizes the changes in the carrying amount of goodwill for 2013: | |||||||||||||||||
(In thousands) | December 31, | Acquisitions | Foreign | September 28, | |||||||||||||
2012 | Currency | 2013 | |||||||||||||||
Translation | |||||||||||||||||
Aerospace Segment | $ | 21,923 | $ | 70,793 | $ | (96 | ) | $ | 92,620 | ||||||||
LongTerm_Debt_and_Notes_Payabl1
Long-Term Debt and Notes Payable (Tables) | 9 Months Ended | ||||
Sep. 28, 2013 | |||||
Debt Disclosure [Abstract] | ' | ||||
Principal Maturities of Long-Term Debt | ' | ||||
Scheduled principal payments on the new $190 million term loan are as follows (in thousands): | |||||
2013 | $ | 4,750 | |||
2014 | 9,500 | ||||
2015 | 11,875 | ||||
2016 | 16,625 | ||||
2017 | 19,000 | ||||
2018 | 128,250 | ||||
Total | $ | 190,000 | |||
Product_Warranties_Tables
Product Warranties (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Guarantees [Abstract] | ' | ||||||||||||||||
Summary of Activity in Warranty Accrual | ' | ||||||||||||||||
Activity in the warranty accrual is summarized as follows: | |||||||||||||||||
Nine months ended | Three Months Ended | ||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Balance at beginning of period | $ | 2,551 | $ | 1,092 | $ | 2,584 | $ | 1,391 | |||||||||
Warranties issued | 356 | 1,872 | 23 | 1,100 | |||||||||||||
Warranties settled | (618 | ) | (751 | ) | (202 | ) | (278 | ) | |||||||||
Reassessed warranty exposure | (133 | ) | 3 | (249 | ) | 3 | |||||||||||
Balance at end of period | $ | 2,156 | $ | 2,216 | $ | 2,156 | $ | 2,216 | |||||||||
Shareholders_Equity_Tables
Shareholders' Equity (Tables) | 9 Months Ended | ||||||||||||
Sep. 28, 2013 | |||||||||||||
Equity [Abstract] | ' | ||||||||||||
Summary of Changes in Shareholder's Equity | ' | ||||||||||||
The changes in shareholders’ equity for the nine months ended September 28, 2013 are summarized as follows as adjusted to reflect the impact of the twenty percent distribution of Class B Stock as discussed in Note 10: | |||||||||||||
Number of Shares | |||||||||||||
(Dollars and Shares in thousands) | Amount | Common | Convertible | ||||||||||
Stock | Class B Stock | ||||||||||||
Shares Authorized | 40,000 | 10,000 | |||||||||||
Share Par Value | $ | 0.01 | $ | 0.01 | |||||||||
COMMON STOCK | |||||||||||||
Beginning of Period | $ | 174 | 10,865 | 6,488 | |||||||||
Conversion of Class B Shares to Common Shares | — | 561 | (561 | ) | |||||||||
Exercise of Stock Options | 1 | 69 | 58 | ||||||||||
End of Period | $ | 175 | 11,495 | 5,985 | |||||||||
ADDITIONAL PAID IN CAPITAL | |||||||||||||
Beginning of Period | $ | 22,854 | |||||||||||
Stock Compensation Expense | 1,048 | ||||||||||||
Exercise of Stock Options | 1,056 | ||||||||||||
End of Period | $ | 24,958 | |||||||||||
ACCUMULATED OTHER COMPREHENSIVE LOSS | |||||||||||||
Beginning of Period | $ | (4,783 | ) | ||||||||||
Foreign Currency Translation Adjustment | (260 | ) | |||||||||||
Mark to Market Adjustment for Derivatives | 65 | ||||||||||||
Retirement Liability Adjustment | 316 | ||||||||||||
End of Period | $ | (4,662 | ) | ||||||||||
RETAINED EARNINGS | |||||||||||||
Beginning of Period | $ | 106,889 | |||||||||||
Net Income | 20,877 | ||||||||||||
End of Period | $ | 127,766 | |||||||||||
TOTAL SHAREHOLDERS’ EQUITY | |||||||||||||
Beginning of Period | $ | 125,134 | |||||||||||
End of Period | $ | 148,237 | |||||||||||
Basic_and_Diluted_WeightedAver1
Basic and Diluted Weighted-Average Shares Outstanding (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Summary of Basic and Diluted Weighted-Average Shares Outstanding | ' | ||||||||||||||||
Basic and diluted weighted-average shares outstanding used to calculate earnings per share are as follows: | |||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Weighted average shares—Basic | 17,421 | 17,095 | 17,457 | 17,134 | |||||||||||||
Net effect of dilutive stock options | 846 | 1,029 | 927 | 974 | |||||||||||||
Weighted average shares—Diluted | 18,267 | 18,124 | 18,384 | 18,108 |
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Loss and Other Comprehensive Loss (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Components of Accumulated Other Comprehensive Loss | ' | ||||||||||||||||
The components of accumulated other comprehensive loss are as follows: | |||||||||||||||||
(In thousands) | September 28, | December 31, | |||||||||||||||
2013 | 2012 | ||||||||||||||||
Foreign Currency Translation Adjustments | $ | 1,155 | $ | 1,415 | |||||||||||||
Mark to Market Adjustments for Derivatives – Before Tax | (117 | ) | (218 | ) | |||||||||||||
Tax Benefit | 40 | 76 | |||||||||||||||
Mark to Market Adjustments for Derivatives – After Tax | (77 | ) | (142 | ) | |||||||||||||
Retirement Liability Adjustment – Before Tax | (8,834 | ) | (9,316 | ) | |||||||||||||
Tax Benefit | 3,094 | 3,260 | |||||||||||||||
Retirement Liability Adjustment – After Tax | (5,740 | ) | (6,056 | ) | |||||||||||||
Accumulated Other Comprehensive Loss | $ | (4,662 | ) | $ | (4,783 | ) | |||||||||||
Components of Other Comprehensive Income (Loss) | ' | ||||||||||||||||
The components of other comprehensive income (loss) are as follows: | |||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Foreign Currency Translation Adjustments | $ | (260 | ) | $ | 251 | $ | 129 | $ | 258 | ||||||||
Reclassification to Interest Expense | 90 | 163 | 20 | 50 | |||||||||||||
Mark to Market Adjustments for Derivatives | 11 | (48 | ) | 22 | (10 | ) | |||||||||||
Tax Expense | (36 | ) | (39 | ) | (15 | ) | (14 | ) | |||||||||
Mark to Market Adjustments for Derivatives | 65 | 76 | 27 | 26 | |||||||||||||
Retirement Liability Adjustment | 483 | (5,364 | ) | 159 | 186 | ||||||||||||
Tax (Expense) Benefit | (167 | ) | 1,916 | (54 | ) | (47 | ) | ||||||||||
Retirement Liability Adjustment | 316 | (3,448 | ) | 105 | 139 | ||||||||||||
Other Comprehensive Income (Loss) | $ | 121 | $ | (3,121 | ) | $ | 261 | $ | 423 |
Supplemental_Retirement_Plan_a1
Supplemental Retirement Plan and Related Post Retirement Benefits (Tables) | 9 Months Ended | ||||||||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||||||||
Net Periodic Pension Cost or Net Periodic Cost Recognized for Defined Benefit Plans | ' | ||||||||||||||||||||||
The following table sets forth information regarding the net periodic pension cost for the plans. | |||||||||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||
Service cost | $ | 222 | $ | 215 | $ | 74 | $ | 88 | |||||||||||||||
Interest cost | 465 | 400 | 155 | 148 | |||||||||||||||||||
Amortization of prior service cost | 370 | 304 | 121 | 122 | |||||||||||||||||||
Amortization of net actuarial losses | 95 | 69 | 32 | 22 | |||||||||||||||||||
Net periodic cost | $ | 1,152 | $ | 988 | $ | 382 | $ | 380 | |||||||||||||||
Details of Multi Employer Plans | ' | ||||||||||||||||||||||
Pension Fund | EIN/Pension | Zone | Rehabilitation | 2012 Peco | Surcharge | Expiration Date of | Plan | ||||||||||||||||
Plan Number | Status | Plan Status | Contributions | Imposed | Collective | Year | |||||||||||||||||
(In | Bargaining | End | |||||||||||||||||||||
thousands) | Agreement | ||||||||||||||||||||||
WCTPP | 91-6145047 | Green | None | $ | 845 | None | 10/31/16 | 31-Dec | |||||||||||||||
SERP [Member] | ' | ||||||||||||||||||||||
Net Periodic Pension Cost or Net Periodic Cost Recognized for Defined Benefit Plans | ' | ||||||||||||||||||||||
The following table sets forth information regarding the net periodic cost recognized for those benefits: | |||||||||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||||
Service cost | $ | 3 | $ | 2 | $ | 1 | $ | 1 | |||||||||||||||
Interest cost | 18 | 18 | 6 | 6 | |||||||||||||||||||
Amortization of prior service cost | 18 | 19 | 6 | 6 | |||||||||||||||||||
Net periodic cost | $ | 39 | $ | 39 | $ | 13 | $ | 13 | |||||||||||||||
Sales_to_Major_Customers_Table
Sales to Major Customers (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Risks And Uncertainties [Abstract] | ' | ||||||||||||||||
Information Relating to Activity with Customers | ' | ||||||||||||||||
The following is information relating to the activity with those customers: | |||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||
September 28, | September 29, | September 28, | September 29, | ||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Percent of consolidated revenue | |||||||||||||||||
Panasonic | 30 | % | 38 | % | 28 | % | 40 | % | |||||||||
Boeing | 12 | % | 5 | % | 20 | % | 6 | % | |||||||||
(In thousands) | September 28, | December 31, | |||||||||||||||
2013 | 2012 | ||||||||||||||||
Accounts Receivable | |||||||||||||||||
Panasonic | $ | 12,039 | $ | 17,412 | |||||||||||||
Boeing | $ | 8,566 | $ | 1,939 |
Segment_Information_Tables
Segment Information (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Summary of Segment Reporting Information | ' | ||||||||||||||||
Below are the sales and operating profit by segment for the three and nine months ended September 28, 2013 and September 29, 2012 and a reconciliation of segment operating profit to earnings before income taxes. Operating profit is the net sales less cost of products sold and other operating expenses excluding interest and corporate expenses. Cost of products sold and other operating expenses are directly identifiable to the respective segment. | |||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||
(Dollars in thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Sales | |||||||||||||||||
Aerospace | $ | 227,870 | $ | 190,212 | $ | 87,525 | $ | 65,788 | |||||||||
Test Systems | 7,207 | 8,814 | 2,660 | 3,111 | |||||||||||||
Less Intersegment Sales | (596 | ) | — | (504 | ) | — | |||||||||||
6,611 | 8,814 | 2,156 | 3,111 | ||||||||||||||
Total Consolidated Sales | $ | 234,481 | $ | 199,026 | $ | 89,681 | $ | 68,899 | |||||||||
Operating Profit (Loss) and Margins | |||||||||||||||||
Aerospace | $ | 41,112 | $ | 33,358 | $ | 15,377 | $ | 10,577 | |||||||||
18 | % | 17.5 | % | 17.6 | % | 16.1 | % | ||||||||||
Test Systems | (2,880 | ) | (3,525 | ) | (745 | ) | (1,132 | ) | |||||||||
(40.0 | )% | (40.0 | )% | (28.0 | )% | (36.4 | )% | ||||||||||
Total Operating Profit | 38,232 | 29,833 | 14,632 | 9,445 | |||||||||||||
16.3 | % | 15 | % | 16.3 | % | 13.7 | % | ||||||||||
Deductions from Operating Profit | |||||||||||||||||
Interest Expense | 2,085 | 803 | 1,605 | 274 | |||||||||||||
Corporate Expenses and Other | 6,838 | 5,137 | 2,280 | 1,790 | |||||||||||||
Income Before Income Taxes | $ | 29,309 | $ | 23,893 | $ | 10,747 | $ | 7,381 | |||||||||
Identifiable Assets | |||||||||||||||||
(In thousands) | September 28, | December 31, | |||||||||||||||
2013 | 2012 | ||||||||||||||||
Aerospace | $ | 349,363 | $ | 177,168 | |||||||||||||
Test Systems | 9,584 | 18,121 | |||||||||||||||
Corporate | 73,883 | 16,700 | |||||||||||||||
Total Assets | $ | 432,830 | $ | 211,989 | |||||||||||||
Fair_Value_Tables
Fair Value (Tables) | 9 Months Ended | ||||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||
Financial Assets and Liabilities Carried at Fair Value Measured on Recurring Basis | ' | ||||||||||||||||||
The following table provides the financial assets and liabilities carried at fair value measured on a recurring basis as of September 28, 2013 and December 31, 2012: | |||||||||||||||||||
(In thousands) | Classification | Total | Level 1 | Level 2 | Level 3 | ||||||||||||||
Interest rate swaps | Other Liabilities | ||||||||||||||||||
September 28, 2013 | $ | (117 | ) | $ | — | $ | (117 | ) | $ | — | |||||||||
December 31, 2012 | (218 | ) | — | (218 | ) | — | |||||||||||||
Acquisition contingent consideration | Other Liabilities | ||||||||||||||||||
September 28, 2013 | $ | (755 | ) | $ | — | $ | — | $ | (755 | ) | |||||||||
December 31, 2012 | (814 | ) | — | — | (814 | ) |
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ' | ||||||||||||||||
Summary of Activity in AOCI Related to Derivatives | ' | ||||||||||||||||
Activity in AOCI related to these derivatives is summarized below: | |||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Derivative balance at the beginning of the period in AOCI | $ | (142 | ) | $ | (256 | ) | $ | (104 | ) | $ | (206 | ) | |||||
Net deferral in AOCI of derivatives: | |||||||||||||||||
Net (increase) decrease in fair value of derivatives | 11 | (48 | ) | 22 | (10 | ) | |||||||||||
Tax effect | (4 | ) | 17 | (8 | ) | 4 | |||||||||||
7 | (31 | ) | 14 | (6 | ) | ||||||||||||
Net reclassification from AOCI into earnings: | |||||||||||||||||
Reclassification from AOCI into earnings – Interest Expense | 90 | 163 | 20 | 50 | |||||||||||||
Tax effect | (32 | ) | (56 | ) | (7 | ) | (18 | ) | |||||||||
58 | 107 | 13 | 32 | ||||||||||||||
Net change in derivatives for the period | 65 | 76 | 27 | 26 | |||||||||||||
Derivative balance at the end of the period in AOCI | $ | (77 | ) | $ | (180 | ) | $ | (77 | ) | $ | (180 | ) | |||||
Acquisitions_Tables
Acquisitions (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Business Combinations [Abstract] | ' | ||||||||||||||||
Preliminary Allocation of Purchase Price Based on Appraised Fair Values | ' | ||||||||||||||||
The preliminary allocation of the purchase price based on appraised fair values is estimated as follows (in thousands): | |||||||||||||||||
Accounts Receivable | $ | 8,002 | |||||||||||||||
Inventory | 15,473 | ||||||||||||||||
Other Current and Long Term Assets | 1,691 | ||||||||||||||||
Fixed Assets | 5,153 | ||||||||||||||||
Purchased Intangible Assets | 69,000 | ||||||||||||||||
Goodwill | 70,793 | ||||||||||||||||
Deferred Income Taxes | (29,998 | ) | |||||||||||||||
Accounts Payable, Accrued Expenses and Long Term Liabilities | (4,114 | ) | |||||||||||||||
Total Purchase Price | $ | 136,000 | |||||||||||||||
Summary of Sales and Amounts Included in Income from Operations of Subsidiary in Consolidated Financial Statements of Company | ' | ||||||||||||||||
The following is a summary of the sales and amounts included in income from operations for Peco included in the consolidated financial statements of the Company from the date of acquisition to September 28, 2013 (in thousands): | |||||||||||||||||
Sales | $ | 15,698 | |||||||||||||||
Operating Income | $ | 30 | |||||||||||||||
Consolidated Results of Operation of Company with Acquired Business | ' | ||||||||||||||||
The pro forma consolidated results include the impact of certain adjustments, including increased interest expense on acquisition debt, amortization of purchased intangible assets and income taxes. | |||||||||||||||||
Nine months Ended | Three Months Ended | ||||||||||||||||
(In thousands) | September 28, | September 29, | September 28, | September 29, | |||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Pro Forma | Pro Forma | Pro Forma | Pro Forma | ||||||||||||||
Sales | $ | 280,714 | $ | 256,571 | $ | 93,517 | $ | 87,689 | |||||||||
Net Income | 23,209 | 17,973 | 7,278 | 5,588 | |||||||||||||
Basic Earnings Per Share | 1.33 | 1.05 | 0.42 | 0.33 | |||||||||||||
Diluted Earnings Per Share | 1.27 | 0.99 | 0.4 | 0.31 |
Basis_of_Presentation_Addition
Basis of Presentation - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 | Jul. 30, 2012 |
Contract | |||||
Segment | |||||
Schedule Of Accounting Policies [Line Items] | ' | ' | ' | ' | ' |
Percentage of acquired stock | ' | ' | ' | ' | 100.00% |
Reportable segments | ' | ' | 2 | ' | ' |
Significant contracts | ' | ' | 0 | ' | ' |
Research and development, design and related engineering | $12.40 | $12.80 | $38.60 | $33.90 | ' |
Peco, Inc. [Member] | ' | ' | ' | ' | ' |
Schedule Of Accounting Policies [Line Items] | ' | ' | ' | ' | ' |
Acquisition date | ' | ' | 18-Jul-13 | ' | ' |
Test Systems Segment [Member] | ' | ' | ' | ' | ' |
Schedule Of Accounting Policies [Line Items] | ' | ' | ' | ' | ' |
Percentage of revenue recognized from long term fixed price contracts | 62.00% | 32.00% | 40.00% | 37.00% | ' |
Inventories_Summary_of_Invento
Inventories - Summary of Inventories (Detail) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Finished Goods | $17,034 | $10,864 |
Work in Progress | 17,971 | 8,960 |
Raw Material | 32,250 | 28,800 |
Inventory, Net | $67,255 | $48,624 |
Property_Plant_and_Equipment_S
Property, Plant and Equipment - Summary of Property, Plant and Equipment (Detail) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Depreciation and Amortization Expenses For Property Plant And Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | $95,695 | $87,267 |
Less Accumulated Depreciation | 36,091 | 33,730 |
Property, Plant and Equipment Net | 59,604 | 53,537 |
Land [Member] | ' | ' |
Depreciation and Amortization Expenses For Property Plant And Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | 5,424 | 5,424 |
Buildings and Improvements [Member] | ' | ' |
Depreciation and Amortization Expenses For Property Plant And Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | 37,742 | 37,045 |
Machinery and Equipment [Member] | ' | ' |
Depreciation and Amortization Expenses For Property Plant And Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | 50,149 | 43,342 |
Construction in Progress [Member] | ' | ' |
Depreciation and Amortization Expenses For Property Plant And Equipment [Line Items] | ' | ' |
Property, Plant and Equipment, Gross | $2,380 | $1,456 |
Intangible_Assets_Summary_of_A
Intangible Assets - Summary of Acquired Intangible Assets (Detail) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 28, 2013 | Dec. 31, 2012 |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Weighted Average Life | '14 years | ' |
Gross Carrying Amount | $91,873 | $23,186 |
Accumulated Amortization | 8,779 | 6,663 |
Patents [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Weighted Average Life | '12 years | ' |
Gross Carrying Amount | 1,271 | 1,271 |
Accumulated Amortization | 859 | 784 |
Trade Names [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Weighted Average Life | '10 years | ' |
Gross Carrying Amount | 6,653 | 2,453 |
Accumulated Amortization | 375 | 162 |
Completed and Unpatented Technology [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Weighted Average Life | '11 years | ' |
Gross Carrying Amount | 9,677 | 6,377 |
Accumulated Amortization | 2,233 | 1,749 |
Backlog and Customer Relationships [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Weighted Average Life | '14 years | ' |
Gross Carrying Amount | 74,272 | 13,085 |
Accumulated Amortization | $5,312 | $3,968 |
Intangible_Assets_Additional_I
Intangible Assets - Additional Information (Detail) (USD $) | Sep. 28, 2013 |
In Millions, unless otherwise specified | |
Goodwill And Intangible Assets Disclosure [Abstract] | ' |
Trade name carrying value | $0.50 |
Intangible_Assets_Summary_of_A1
Intangible Assets - Summary of Amortization Expense for Acquired Intangibles (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ' | ' | ' |
Amortization Expense | $1,494 | $1,013 | $2,429 | $1,667 |
Intangible_Assets_Summary_of_A2
Intangible Assets - Summary of Amortization Expense for Intangible Assets for Each of Next Five Years (Detail) (USD $) | Sep. 28, 2013 |
In Thousands, unless otherwise specified | |
Goodwill And Intangible Assets Disclosure [Abstract] | ' |
2013 | $4,476 |
2014 | 8,107 |
2015 | 6,168 |
2016 | 5,992 |
2017 | 5,983 |
2018 | $5,892 |
Goodwill_Summary_of_Changes_in
Goodwill - Summary of Changes in Carrying Amount of Goodwill (Detail) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 | Sep. 28, 2013 |
In Thousands, unless otherwise specified | Aerospace Segment [Member] | ||
Goodwill [Line Items] | ' | ' | ' |
Beginning balance | $92,620 | $21,923 | $21,923 |
Acquisitions | ' | ' | 70,793 |
Foreign Currency Translation | ' | ' | -96 |
Ending balance | $92,620 | $21,923 | $92,620 |
LongTerm_Debt_and_Notes_Payabl2
Long-Term Debt and Notes Payable - Additional Information (Detail) (USD $) | 9 Months Ended | 9 Months Ended | 1 Months Ended | 9 Months Ended | ||||||||
In Millions, unless otherwise specified | Sep. 28, 2013 | Dec. 31, 2012 | Sep. 28, 2013 | Jul. 18, 2013 | Sep. 28, 2013 | Jul. 18, 2013 | Jul. 18, 2013 | Mar. 27, 2013 | Sep. 28, 2013 | Sep. 28, 2013 | Sep. 28, 2013 | Jul. 18, 2013 |
Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Other Term Loan [Member] | Minimum [Member] | Maximum [Member] | Credit Agreement [Member] | Credit Agreement [Member] | Credit Agreement [Member] | Term Loan [Member] | Term Loan [Member] | |||
Revolving Credit Facility [Member] | Minimum [Member] | Maximum [Member] | ||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revolving credit line | $0 | $7 | $75 | ' | ' | ' | ' | $35 | ' | ' | ' | ' |
Line of credit maturity | ' | ' | 27-Mar-18 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate on revolving credit at LIBOR rate | ' | ' | ' | ' | ' | 2.25% | 3.50% | ' | 1.50% | 2.50% | ' | ' |
Credit facility allocated | ' | ' | 20 | 75 | ' | ' | ' | ' | ' | ' | ' | 190 |
Interest rate on revolving credit line and term loan at LIBOR rate | 'LIBOR plus between 1.50% and 2.50% based on the Company's Leverage Ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of commitment fee on unused portion of the total credit commitment | ' | ' | ' | ' | ' | 0.25% | 0.50% | ' | ' | ' | ' | ' |
Variable principal payments on term loan maturity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2018-03 | ' |
Line of credit maturity | ' | ' | '2018-06 | ' | ' | ' | ' | ' | ' | ' | '2018-06 | ' |
Line of credit facility expiration period | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | '5 years | ' |
Revolving credit facility | 51.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding letters of credit | 8.8 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pay off term loan | ' | ' | 7 | ' | ' | ' | ' | ' | ' | ' | 7 | ' |
Pay off term loan | ' | ' | ' | ' | 0.5 | ' | ' | ' | ' | ' | ' | ' |
Cap on permitted acquisition | 25 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cap on permitted acquisition aggregate | 50 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allowance for share repurchase | $20 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum leverage ratio | 3.75 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum leverage ratio | 3.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum fixed charge coverage | 1.25 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Changes in covenants resulting from new term loans | 'No changes in these covenants resulting from the new term note | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
LongTerm_Debt_and_Notes_Payabl3
Long-Term Debt and Notes Payable - Principal Maturities of Long-Term Debt (Detail) (USD $) | Sep. 28, 2013 |
In Thousands, unless otherwise specified | |
Debt Disclosure [Abstract] | ' |
2013 | $4,750 |
2014 | 9,500 |
2015 | 11,875 |
2016 | 16,625 |
2017 | 19,000 |
2018 | 128,250 |
Total | $190,000 |
Product_Warranties_Additional_
Product Warranties - Additional Information (Detail) | 9 Months Ended |
Sep. 28, 2013 | |
Guarantees [Abstract] | ' |
Product warranty period | 'The Company warrants its products against defects in design, materials and workmanship typically over a periods ranging from twelve to sixty months. |
Product_Warranties_Summary_of_
Product Warranties - Summary of Activity in Warranty Accrual (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Guarantees [Abstract] | ' | ' | ' | ' |
Balance at beginning of period | $2,584 | $1,391 | $2,551 | $1,092 |
Warranties issued | 23 | 1,100 | 356 | 1,872 |
Warranties settled | -202 | -278 | -618 | -751 |
Reassessed warranty exposure | -249 | 3 | -133 | 3 |
Balance at end of period | $2,156 | $2,216 | $2,156 | $2,216 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 | Dec. 31, 2012 |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' |
Penalty or interest liability accrued | $0 | ' | $0 | ' | $0 |
Penalty or interest expense | ' | ' | 0 | 0 | ' |
Effective tax rate | 33.40% | 33.20% | 28.80% | 32.10% | ' |
Domestic tax credit related to 2012 | ' | ' | 1.1 | ' | ' |
Domestic tax credit related to 2013 | ' | ' | 0.6 | ' | ' |
Amount recognized in tax credit | $0.20 | ' | ' | ' | ' |
Shareholders_Equity_Additional
Shareholders' Equity - Additional Information (Detail) | Sep. 28, 2013 |
Statement Of Stockholders Equity [Abstract] | ' |
Stock distribution percentage | 20.00% |
Shareholders_Equity_Summary_of
Shareholder's Equity - Summary of Changes in Shareholder's Equity (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Shareholders Equity [Line Items] | ' | ' | ' | ' |
Beginning of Period | ' | ' | $125,134 | ' |
Foreign Currency Translation Adjustment | 129 | 258 | -260 | 251 |
Stock Compensation Expense | ' | ' | 1,048 | 1,078 |
Net Income | 7,155 | 4,930 | 20,877 | 16,219 |
Mark to Market Adjustment for Derivatives | 27 | 26 | 65 | 76 |
End of Period | 148,237 | ' | 148,237 | ' |
Shares Authorized | 40,000 | ' | 40,000 | ' |
Share Par Value | $0.01 | ' | $0.01 | ' |
Class B Common Stock [Member] | ' | ' | ' | ' |
Shareholders Equity [Line Items] | ' | ' | ' | ' |
Shares Authorized | 10,000 | ' | 10,000 | ' |
Share Par Value | $0.01 | ' | $0.01 | ' |
Common Stock [Member] | ' | ' | ' | ' |
Shareholders Equity [Line Items] | ' | ' | ' | ' |
Beginning of Period | ' | ' | 174 | ' |
Exercise of Stock Options | ' | ' | 1 | ' |
End of Period | 175 | ' | 175 | ' |
Beginning of Period, Shares | ' | ' | 10,865 | ' |
Conversion of Class B Shares to Common Shares | ' | ' | 561 | ' |
Exercise of Stock Options, Shares | ' | ' | 69 | ' |
End of Period, Shares | 11,495 | ' | 11,495 | ' |
Common Stock [Member] | Class B Common Stock [Member] | ' | ' | ' | ' |
Shareholders Equity [Line Items] | ' | ' | ' | ' |
Beginning of Period, Shares | ' | ' | 6,488 | ' |
Conversion of Class B Shares to Common Shares | ' | ' | -561 | ' |
Exercise of Stock Options, Shares | ' | ' | 58 | ' |
End of Period, Shares | 5,985 | ' | 5,985 | ' |
Additional Paid in Capital [Member] | ' | ' | ' | ' |
Shareholders Equity [Line Items] | ' | ' | ' | ' |
Beginning of Period | ' | ' | 22,854 | ' |
Stock Compensation Expense | ' | ' | 1,048 | ' |
Exercise of Stock Options | ' | ' | 1,056 | ' |
End of Period | 24,958 | ' | 24,958 | ' |
Accumulated Other Comprehensive Loss [Member] | ' | ' | ' | ' |
Shareholders Equity [Line Items] | ' | ' | ' | ' |
Beginning of Period | ' | ' | -4,783 | ' |
Foreign Currency Translation Adjustment | ' | ' | -260 | ' |
Mark to Market Adjustment for Derivatives | ' | ' | 65 | ' |
Retirement Liability Adjustment | ' | ' | 316 | ' |
End of Period | -4,662 | ' | -4,662 | ' |
Retained Earnings [Member] | ' | ' | ' | ' |
Shareholders Equity [Line Items] | ' | ' | ' | ' |
Beginning of Period | ' | ' | 106,889 | ' |
Net Income | ' | ' | 20,877 | ' |
End of Period | $127,766 | ' | $127,766 | ' |
Basic_and_Diluted_WeightedAver2
Basic and Diluted Weighted-Average Shares Outstanding - Summary of Basic and Diluted Weighted-Average Shares Outstanding (Detail) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Earnings Per Share [Abstract] | ' | ' | ' | ' |
Weighted average shares-Basic | 17,457 | 17,134 | 17,421 | 17,095 |
Net effect of dilutive stock options | 927 | 974 | 846 | 1,029 |
Weighted average shares-Diluted | 18,384 | 18,108 | 18,267 | 18,124 |
Basic_and_Diluted_WeightedAver3
Basic and Diluted Weighted-Average Shares Outstanding - Additional Information (Detail) | 9 Months Ended |
Sep. 28, 2013 | |
Earnings Per Share [Abstract] | ' |
Stock distribution percentage | 20.00% |
Date of payment of dividend to shareholders | 10-Oct-13 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Loss and Other Comprehensive Loss - Components of Accumulated Other Comprehensive Loss (Detail) (USD $) | Sep. 28, 2013 | Jun. 29, 2013 | Dec. 31, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||||
Equity [Abstract] | ' | ' | ' | ' | ' | ' |
Foreign Currency Translation Adjustments | $1,155 | ' | $1,415 | ' | ' | ' |
Mark to Market Adjustments for Derivatives - Before Tax | -117 | ' | -218 | ' | ' | ' |
Tax Benefit | 40 | ' | 76 | ' | ' | ' |
Mark to Market Adjustments for Derivatives - After Tax | -77 | -104 | -142 | -180 | -206 | -256 |
Retirement Liability Adjustment - Before Tax | -8,834 | ' | -9,316 | ' | ' | ' |
Tax Benefit | 3,094 | ' | 3,260 | ' | ' | ' |
Retirement Liability Adjustment - After Tax | -5,740 | ' | -6,056 | ' | ' | ' |
Accumulated Other Comprehensive Loss | ($4,662) | ' | ($4,783) | ' | ' | ' |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Loss and Other Comprehensive Loss - Components of Other Comprehensive Income (Loss) (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Equity [Abstract] | ' | ' | ' | ' |
Foreign Currency Translation Adjustments | $129 | $258 | ($260) | $251 |
Reclassification to Interest Expense | 20 | 50 | 90 | 163 |
Mark to Market Adjustments for Derivatives | 22 | -10 | 11 | -48 |
Tax Expense | -15 | -14 | -36 | -39 |
Mark to Market Adjustments for Derivatives | 27 | 26 | 65 | 76 |
Retirement Liability Adjustment | 159 | 186 | 483 | -5,364 |
Tax (Expense) Benefit | -54 | -47 | -167 | 1,916 |
Retirement Liability Adjustment | 105 | 139 | 316 | -3,448 |
Other Comprehensive Income (Loss) | $261 | $423 | $121 | ($3,121) |
Supplemental_Retirement_Plan_a2
Supplemental Retirement Plan and Related Post Retirement Benefits - Additional Information (Detail) (USD $) | 9 Months Ended | 12 Months Ended |
Sep. 28, 2013 | Dec. 31, 2011 | |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Number of non-qualified supplemental retirement defined benefit plans | 2 | ' |
Minimum contribution per compensable hour | 2.5 | ' |
Compensable hour | '184 hours | ' |
Maximum cumulative number of hours per calendar year | '2080 hours | ' |
WCTPP [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Plan assets | ' | 29,200,000,000 |
Accumulated plan benefits | ' | 35,700,000,000 |
Contributions of employer | ' | $101,000,000 |
Percentage of fund | 90.00% | ' |
Supplemental_Retirement_Plan_a3
Supplemental Retirement Plan and Related Post Retirement Benefits - Net Periodic Pension Cost or Net Periodic Cost Recognized for Defined Benefit Plans (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Service cost | $74 | $88 | $222 | $215 |
Interest cost | 155 | 148 | 465 | 400 |
Amortization of prior service cost | 121 | 122 | 370 | 304 |
Amortization of net actuarial losses | 32 | 22 | 95 | 69 |
Net periodic cost | 382 | 380 | 1,152 | 988 |
SERP [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Service cost | 1 | 1 | 3 | 2 |
Interest cost | 6 | 6 | 18 | 18 |
Amortization of prior service cost | 6 | 6 | 18 | 19 |
Net periodic cost | $13 | $13 | $39 | $39 |
Supplemental_Retirement_Plan_a4
Supplemental Retirement Plan and Related Post Retirement Benefits - Details of Multi Employer Plans (Detail) (WCTPP [Member], USD $) | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 28, 2013 |
WCTPP [Member] | ' |
Multiemployer Plans [Line Items] | ' |
EIN/Pension Plan Number | '916145047 |
Zone Status | 'Green |
Rehabilitation Plan Status | 'No |
2012 Peco Contributions | $845 |
Surcharge Imposed | 'No |
Expiration Date of Collective Bargaining Agreement | 31-Oct-16 |
Plan Year End | '--12-31 |
Sales_to_Major_Customers_Addit
Sales to Major Customers - Additional Information (Detail) | 9 Months Ended |
Sep. 28, 2013 | |
Customer | |
Segment Reporting [Abstract] | ' |
Number of major customers | 2 |
Sales_to_Major_Customers_Infor
Sales to Major Customers - Information Relating to Activity with Customers (Detail) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 | Dec. 31, 2012 |
Panasonic [Member] | ' | ' | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' | ' | ' |
Percent of consolidated revenue | 28.00% | 40.00% | 30.00% | 38.00% | ' |
Accounts Receivable | $12,039 | ' | $12,039 | ' | $17,412 |
Boeing [Member] | ' | ' | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' | ' | ' |
Percent of consolidated revenue | 20.00% | 6.00% | 12.00% | 5.00% | ' |
Accounts Receivable | $8,566 | ' | $8,566 | ' | $1,939 |
Segment_Information_Summary_of
Segment Information - Summary of Segment Reporting Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 | Dec. 31, 2012 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Total Consolidated Sales | $89,681 | $68,899 | $234,481 | $199,026 | ' |
Income from Operations | 12,352 | 7,655 | 31,394 | 24,696 | ' |
Interest Expense, Net of Interest Income | 1,605 | 274 | 2,085 | 803 | ' |
Income Before Income Taxes | 10,747 | 7,381 | 29,309 | 23,893 | ' |
Total Assets | 432,830 | ' | 432,830 | ' | 211,989 |
Aerospace [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Total Assets | 349,363 | ' | 349,363 | ' | 177,168 |
Test Systems [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Total Assets | 9,584 | ' | 9,584 | ' | 18,121 |
Corporate [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Total Assets | 73,883 | ' | 73,883 | ' | 16,700 |
Operating Segments [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Total Consolidated Sales | 89,681 | 68,899 | 234,481 | 199,026 | ' |
Income from Operations | 14,632 | 9,445 | 38,232 | 29,833 | ' |
Percentage of Operating Profit (Loss) and Margins | 16.30% | 13.70% | 16.30% | 15.00% | ' |
Income Before Income Taxes | 10,747 | 7,381 | 29,309 | 23,893 | ' |
Operating Segments [Member] | Aerospace [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Total Consolidated Sales | 87,525 | 65,788 | 227,870 | 190,212 | ' |
Income from Operations | 15,377 | 10,577 | 41,112 | 33,358 | ' |
Percentage of Operating Profit (Loss) and Margins | 17.60% | 16.10% | 18.00% | 17.50% | ' |
Operating Segments [Member] | Test Systems [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Total Consolidated Sales | 2,660 | 3,111 | 7,207 | 8,814 | ' |
Income from Operations | -745 | -1,132 | -2,880 | -3,525 | ' |
Percentage of Operating Profit (Loss) and Margins | -28.00% | -36.40% | -40.00% | -40.00% | ' |
Intersegment Eliminations [Member] | Test Systems [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Total Consolidated Sales | -504 | ' | -596 | ' | ' |
Operating Segments Intersegment Elimination Net [Member] | Test Systems [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Total Consolidated Sales | 2,156 | 3,111 | 6,611 | 8,814 | ' |
Segment Reconciling Items [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Interest Expense, Net of Interest Income | 1,605 | 274 | 2,085 | 803 | ' |
Corporate Expenses and Other | $2,280 | $1,790 | $6,838 | $5,137 | ' |
Fair_Value_Financial_Assets_an
Fair Value - Financial Assets and Liabilities Carried at Fair Value Measured on Recurring Basis (Detail) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Interest rate swaps | ($117) | ($218) |
Acquisition contingent consideration | -755 | -814 |
Level 1 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Interest rate swaps | ' | ' |
Acquisition contingent consideration | ' | ' |
Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Interest rate swaps | -117 | -218 |
Acquisition contingent consideration | ' | ' |
Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Interest rate swaps | ' | ' |
Acquisition contingent consideration | ($755) | ($814) |
Fair_Value_Additional_Informat
Fair Value - Additional Information (Detail) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 | Jul. 30, 2012 | Dec. 31, 2012 | Sep. 28, 2013 | Dec. 31, 2012 | Sep. 28, 2013 | Sep. 28, 2013 | Dec. 31, 2012 | Sep. 28, 2013 | Sep. 28, 2013 | Sep. 28, 2013 |
Max-Viz, Inc. [Member] | Max-Viz, Inc. [Member] | Level 3 [Member] | Level 3 [Member] | Level 3 [Member] | Level 3 [Member] | Test Systems [Member] | Test Systems [Member] | Maximum [Member] | Maximum [Member] | |||
Max-Viz, Inc. [Member] | Ballard [Member] | Level 3 [Member] | Level 3 [Member] | |||||||||
Max-Viz, Inc. [Member] | Ballard [Member] | |||||||||||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue growth target period | ' | ' | '3 years | ' | ' | ' | '3 years | '4 years | ' | ' | ' | ' |
Contingent consideration on fair value liabilities | $755,000 | $814,000 | ' | ' | $755,000 | $814,000 | ' | ' | ' | ' | $8,000,000 | $5,500,000 |
Total amortized intangible assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,900,000 | ' | ' |
Change in fair value of goodwill and intangible assets | ' | ' | ' | $0 | ' | ' | ' | ' | $0 | ' | ' | ' |
Derivative_Financial_Instrumen2
Derivative Financial Instruments - Additional Information (Detail) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Fair value of interest rate derivative liabilities | $117,000 | $218,000 |
Industrial Revenue Bond [Member] | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Notional amount of interest rate swap | 1,900,000 | ' |
Interest of interest rate swap | 3.99% | ' |
Derivative, variable rate basis | '3.99% plus a spread based on the Company's leverage ratio | ' |
Derivative, date inception | 6-Feb-06 | ' |
Derivative, date maturity | 1-Feb-16 | ' |
Term Note [Member] | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Derivative, date inception | 19-Mar-09 | ' |
Fair value of interest rate derivative liabilities | $100,000 | $100,000 |
Derivative_Financial_Instrumen3
Derivative Financial Instruments - Summary of Activity in AOCI Related to Derivatives (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ' | ' | ' | ' |
Derivative balance at the beginning of the period in AOCI | ($104) | ($206) | ($142) | ($256) |
Net (increase) decrease in fair value of derivatives | 22 | -10 | 11 | -48 |
Tax effect | -8 | 4 | -4 | 17 |
Net deferral in AOCI of derivatives | 14 | -6 | 7 | -31 |
Reclassification from AOCI into earnings - Interest Expense | 20 | 50 | 90 | 163 |
Tax effect | -7 | -18 | -32 | -56 |
Net reclassification from AOCI into earnings | 13 | 32 | 58 | 107 |
Mark to Market Adjustments for Derivatives | 27 | 26 | 65 | 76 |
Derivative balance at the end of the period in AOCI | ($77) | ($180) | ($77) | ($180) |
Acquisitions_Additional_Inform
Acquisitions - Additional Information (Detail) | 9 Months Ended | 1 Months Ended | 1 Months Ended | ||||||||
Sep. 28, 2013 | Sep. 29, 2012 | Dec. 31, 2012 | Jul. 30, 2012 | 28-May-13 | Jul. 30, 2012 | Oct. 01, 2013 | Oct. 01, 2013 | Oct. 01, 2013 | Nov. 04, 2013 | Nov. 04, 2013 | |
USD ($) | USD ($) | USD ($) | Peco, Inc. [Member] | Max-Viz, Inc. [Member] | AeroSat, Inc [Member] | AeroSat, Inc [Member] | AeroSat, Inc [Member] | PGA Electronic, SA [Member] | PGA Electronic, SA [Member] | ||
USD ($) | USD ($) | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | |||||
USD ($) | Maximum [Member] | Minimum [Member] | USD ($) | EUR (€) | |||||||
USD ($) | USD ($) | ||||||||||
Loans At Acquisition Date [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of acquired stock | ' | ' | ' | 100.00% | ' | 100.00% | ' | ' | ' | ' | ' |
Purchase consideration in cash | ' | ' | ' | ' | $136,000,000 | $10,700,000 | ' | ' | ' | ' | ' |
Acquisition contingent consideration | 135,898,000 | 10,619,000 | ' | ' | ' | 8,000,000 | ' | ' | ' | ' | ' |
Target period of growth | ' | ' | ' | ' | ' | '3 years | ' | ' | ' | ' | ' |
Revenue through acquisition | ' | ' | ' | ' | ' | 5,400,000 | ' | ' | ' | ' | ' |
Goodwill and purchased intangible assets deductible for tax purposes period | ' | ' | ' | ' | ' | '15 years | ' | ' | ' | ' | ' |
Outstanding capital stock | ' | ' | ' | ' | ' | ' | 12,000,000 | ' | ' | 28,000,000 | 21,400,000 |
Maximum earn out contingent consideration | 755,000 | ' | 814,000 | ' | ' | ' | ' | 53,000,000 | ' | ' | ' |
Earn out begins to be payable under sales condition one | ' | ' | ' | ' | ' | ' | ' | ' | 30,000,000 | ' | ' |
Earn out begins to be payable under sales condition two | ' | ' | ' | ' | ' | ' | ' | ' | $40,000,000 | ' | ' |
Contingent consideration percentage | ' | ' | ' | ' | ' | ' | 15.00% | ' | ' | ' | ' |
Percentage value of acquisition paid in cash | ' | ' | ' | ' | ' | ' | ' | ' | ' | 60.00% | 60.00% |
Percentage value of acquisition paid in common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | 40.00% | 40.00% |
Acquisitions_Preliminary_Alloc
Acquisitions - Preliminary Allocation of Purchase Price Based on Appraised Fair Values (Detail) (USD $) | Sep. 28, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Business Acquisition Purchase Price Allocation [Line Items] | ' | ' |
Goodwill | $92,620 | $21,923 |
Peco, Inc [Member] | ' | ' |
Business Acquisition Purchase Price Allocation [Line Items] | ' | ' |
Accounts Receivable | 8,002 | ' |
Inventory | 15,473 | ' |
Other Current and Long Term Assets | 1,691 | ' |
Fixed Assets | 5,153 | ' |
Purchased Intangible Assets | 69,000 | ' |
Goodwill | 70,793 | ' |
Deferred Income Taxes | -29,998 | ' |
Accounts Payable, Accrued Expenses and Long Term Liabilities | -4,114 | ' |
Total Purchase Price | $136,000 | ' |
Acquisitions_Amounts_Allocated
Acquisitions - Amounts Allocated to Purchased Intangible Assets (Detail) (Peco, Inc [Member], USD $) | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 28, 2013 |
Acquired Finite-Lived Intangible Assets [Line Items] | ' |
Acquisition Fair Value | $69,000 |
Trade Names [Member] | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' |
Weighted Average Life | '10 years |
Acquisition Fair Value | 4,200 |
Technology [Member] | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' |
Weighted Average Life | '10 years |
Acquisition Fair Value | 3,300 |
Backlog and Customer Relationships [Member] | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' |
Acquisition Fair Value | $61,500 |
Backlog and Customer Relationships [Member] | Minimum [Member] | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' |
Weighted Average Life | '1 year 6 months |
Backlog and Customer Relationships [Member] | Maximum [Member] | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' |
Weighted Average Life | '17 years |
Acquisitions_Summary_of_Sales_
Acquisitions - Summary of Sales and Amounts Included in Income from Operations of Subsidiary in Consolidated Financial Statements of Company (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 |
Peco, Inc [Member] | |||||
Loans At Acquisition Date [Line Items] | ' | ' | ' | ' | ' |
Sales | $89,681 | $68,899 | $234,481 | $199,026 | $15,698 |
Operating Income | $12,352 | $7,655 | $31,394 | $24,696 | $30 |
Acquisitions_Consolidated_Resu
Acquisitions - Consolidated Results of Operation of Company with Acquired Business (Detail) (Peco, Inc [Member], USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Sep. 28, 2013 | Sep. 29, 2012 |
Peco, Inc [Member] | ' | ' | ' | ' |
Loans At Acquisition Date [Line Items] | ' | ' | ' | ' |
Sales | $93,517 | $87,689 | $280,714 | $256,571 |
Net Income | $7,278 | $5,588 | $23,209 | $17,973 |
Basic Earnings Per Share | $0.42 | $0.33 | $1.33 | $1.05 |
Diluted Earnings Per Share | $0.40 | $0.31 | $1.27 | $0.99 |