Document_and_Entity_Informatio
Document and Entity Information Document | 9 Months Ended | |
Mar. 28, 2015 | Apr. 16, 2015 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | AVNET INC | |
Entity Central Index Key | 8858 | |
Current Fiscal Year End Date | -21 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | 28-Mar-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | FALSE | |
Entity Common Stock, Shares Outstanding | 135,822,544 |
Consolidated_Balance_Sheets_Un
Consolidated Balance Sheets (Unaudited) (USD $) | Mar. 28, 2015 | Jun. 28, 2014 |
In Thousands, unless otherwise specified | ||
Current assets: | ||
Cash and cash equivalents | $803,468 | $928,971 |
Receivables, less allowances of $95,313 and $96,382, respectively | 4,994,751 | 5,220,528 |
Inventories | 2,474,402 | 2,613,363 |
Prepaid and other current assets | 211,336 | 191,337 |
Total current assets | 8,483,957 | 8,954,199 |
Property, plant and equipment, net | 548,433 | 534,999 |
Goodwill | 1,262,533 | 1,348,468 |
Intangible assets, net | 134,837 | 184,308 |
Other assets | 184,745 | 233,543 |
Total assets | 10,614,505 | 11,255,517 |
Current liabilities: | ||
Short-term debt | 350,277 | 865,088 |
Accounts payable | 3,272,030 | 3,402,369 |
Accrued expenses and other | 618,665 | 711,369 |
Total current liabilities | 4,240,972 | 4,978,826 |
Long-term debt | 1,725,238 | 1,213,814 |
Other liabilities | 146,785 | 172,684 |
Total liabilities | 6,112,995 | 6,365,324 |
Commitments and contingencies (Note 6) | ||
Shareholders' equity: | ||
Common stock $1.00 par; authorized 300,000,000 shares; issued 135,843,580 shares and 138,285,825 shares, respectively | 135,844 | 138,286 |
Additional paid-in capital | 1,394,859 | 1,355,663 |
Retained earnings | 3,461,011 | 3,257,407 |
Accumulated other comprehensive (loss) income | -489,688 | 139,512 |
Treasury stock at cost, 33,129 shares and 36,836 shares, respectively | -516 | -675 |
Total shareholders' equity | 4,501,510 | 4,890,193 |
Total liabilities and shareholders' equity | $10,614,505 | $11,255,517 |
Consolidated_Balance_Sheets_Un1
Consolidated Balance Sheets (Unaudited) (Parenthetical) (USD $) | Mar. 28, 2015 | Jun. 28, 2014 |
In Thousands, except Share data, unless otherwise specified | ||
Current assets: | ||
Allowance for doubtful accounts receivable, current (in dollars) | $95,313 | $96,382 |
Stockholders' equity: | ||
Common stock, par value (in dollars per share) | $1 | $1 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares, issued | 135,843,580 | 138,285,825 |
Treasury Stock, shares | 33,129 | 36,836 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Mar. 28, 2015 | Mar. 29, 2014 | Mar. 28, 2015 | Mar. 29, 2014 |
Income Statement [Abstract] | ||||
Sales | $6,736,860 | $6,683,616 | $21,128,326 | $20,450,945 |
Cost of sales | 5,962,506 | 5,878,704 | 18,721,003 | 18,062,230 |
Gross profit | 774,354 | 804,912 | 2,407,323 | 2,388,715 |
Selling, general and administrative expenses | 555,148 | 593,986 | 1,713,056 | 1,736,689 |
Restructuring, integration and other expenses | 15,494 | 26,083 | 47,071 | 66,624 |
Operating income | 203,712 | 184,843 | 647,196 | 585,402 |
Other (expense) income, net | -8,945 | 2,511 | -15,963 | -1,488 |
Interest expense | -23,871 | -25,326 | -71,936 | -80,529 |
Gain on legal settlement (Note 6) | 2,965 | 22,102 | ||
Income before income taxes | 170,896 | 164,993 | 559,297 | 525,487 |
Income tax expense | 49,367 | 51,142 | 146,117 | 166,148 |
Net income | $121,529 | $113,851 | $413,180 | $359,339 |
Earnings per share: | ||||
Basic (in dollars per share) | $0.89 | $0.82 | $3.02 | $2.61 |
Diluted (in dollars per share) | $0.88 | $0.81 | $2.97 | $2.57 |
Shares used to compute earnings per share: | ||||
Basic (in shares) | 136,046 | 138,418 | 136,965 | 137,845 |
Diluted (in shares) | 137,721 | 140,179 | 139,181 | 140,015 |
Cash dividends paid per common share (in dollars per share) | $0.16 | $0.15 | $0.48 | $0.45 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (Loss) (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 28, 2015 | Mar. 29, 2014 | Mar. 28, 2015 | Mar. 29, 2014 |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $121,529 | $113,851 | $413,180 | $359,339 |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent [Abstract] | ||||
Foreign currency translation adjustments and other | -270,518 | 14,069 | -634,554 | 122,066 |
Pension adjustments, net | 1,785 | 1,644 | 5,354 | 4,939 |
Total comprehensive (loss) income | ($147,204) | $129,564 | ($216,020) | $486,344 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (Unaudited) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Mar. 28, 2015 | Mar. 29, 2014 |
Cash flows from operating activities: | ||
Net income | $413,180 | $359,339 |
Non-cash and other reconciling items: | ||
Depreciation | 70,919 | 67,392 |
Amortization | 32,630 | 33,081 |
Deferred income taxes | 29,500 | 20,850 |
Stock-based compensation | 48,890 | 33,896 |
Other, net | 57,766 | 54,824 |
Changes in (net of effects from businesses acquired): | ||
Receivables | -186,037 | -55,853 |
Inventories | -89,994 | -114,258 |
Accounts payable | 118,449 | -148,825 |
Accrued expenses and other, net | -210,751 | -46,541 |
Net cash flows provided by operating activities | 284,552 | 203,905 |
Cash flows from financing activities: | ||
Repayment of notes | -300,000 | |
Borrowings under accounts receivable securitization program, net | 110,000 | 230,000 |
(Repayments) borrowings of bank and other debt, net | -96,372 | 56,658 |
Repurchases of common stock (Note 9) | -147,606 | -1,252 |
Dividends paid on common stock | -65,602 | -62,009 |
Other, net | -13,993 | 10,390 |
Net cash flows used for financing activities | -213,573 | -66,213 |
Cash flows from investing activities: | ||
Purchases of property, plant and equipment | -133,422 | -81,232 |
Acquisitions of businesses, net of cash acquired | -116,882 | |
Other, net | -8,765 | 4,058 |
Net cash flows used for investing activities | -142,187 | -194,056 |
Effect of exchange rate changes on cash and cash equivalents | -54,295 | 7,170 |
Cash and cash equivalents: | ||
- increase (decrease) | -125,503 | -49,194 |
- at beginning of period | 928,971 | 1,009,343 |
- at end of period | $803,468 | $960,149 |
Basis_of_presentation_and_new_
Basis of presentation and new accounting pronouncements | 9 Months Ended |
Mar. 28, 2015 | |
Basis of presentation and new accounting pronouncements | |
Basis of presentation and new accounting pronouncements | 1. Basis of presentation and new accounting pronouncements |
In the opinion of management, the accompanying unaudited interim consolidated financial statements contain all adjustments necessary to present fairly Avnet, Inc.'s and its consolidated subsidiaries' (the “Company” or “Avnet”) financial position, results of operations, comprehensive income and cash flows. All such adjustments are of a normal recurring nature. | |
The preparation of financial statements in accordance with generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements. Actual results may differ from these estimates. | |
Interim results of operations are not necessarily indicative of the results to be expected for the full fiscal year. The information included in this Form 10-Q should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 28, 2014. | |
New accounting pronouncements | |
In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”), to supersede nearly all existing revenue recognition guidance under GAAP. The core principles of ASU 2014-09 are to recognize revenues when promised goods or services are transferred to customers in an amount that reflects the consideration that is expected to be received for those goods or services. Application of the requirements of ASU 2014-09 may require more judgment and estimates within the revenue recognition process compared to existing GAAP. In April 2015, the FASB proposed a one-year delay in the effective date of ASU 2014-09, which, if approved, would make the effective date for the Company the first quarter of fiscal 2019 instead of the current effective date, which is the first quarter of fiscal 2018. The Company may adopt the requirements of ASU 2014-09 using either of two acceptable adoption methods: (i) retrospective adoption to each prior reporting period presented with the option to elect certain practical expedients as defined within ASU 2014-09; or (ii) adoption with the cumulative effect of initially applying ASU 2014-09 recognized at the date of initial application and providing certain additional disclosures as defined within ASU 2014-09. The Company is currently evaluating the potential impact of the future adoption of ASU 2014-09 on its consolidated financial statements, including the method of adoption to be used. | |
During the nine months ended March 28, 2015 there have been no additional new accounting pronouncements that are expected to significantly impact the Company's consolidated financial statements. | |
Acquisitions_and_divestitures
Acquisitions and divestitures | 9 Months Ended | ||||
Mar. 28, 2015 | |||||
Acquisitions and divestitures | |||||
Acquisitions and divestitures | 2. Acquisitions and divestitures | ||||
During fiscal 2014, the Company completed three acquisitions with historical annualized revenue of approximately $492.0 million. Cash paid for acquisitions during the first nine months of fiscal 2014 was $116.9 million, net of cash acquired. The Company has not disclosed the pro-forma impact of the fiscal 2014 acquisitions as such impact was not material to the Company's consolidated financial position or results of operations. | |||||
The aggregate consideration, excluding cash acquired, for the fiscal 2014 acquisitions was $219.7 million, which consisted of the following (in thousands): | |||||
Cash paid | $ | 181,645 | |||
Contingent consideration | 38,081 | ||||
Total consideration | $ | 219,726 | |||
The contingent consideration arrangements stipulate that the Company pay up to a maximum of approximately $50.0 million of additional consideration to the former shareholders of the acquired businesses based upon the achievement of certain future operating results. The Company estimated the fair value of the contingent consideration of $38.1 million using an income approach, which is based on significant inputs, primarily forecasted future operating results of the acquired businesses, not observable in the market and thus represents a Level 3 measurement as defined in ASC 820. The Company adjusts the fair value of contingent consideration through operating expenses if there are changes to the inputs used in the income approach and as a result of the passage of time. | |||||
During fiscal 2014 and the first nine months of fiscal 2015 there were no material measurement period adjustments for the fiscal 2014 acquisitions. The Company recognized restructuring, integration, and other expenses associated with the fiscal 2014 acquisitions, which are described further in Note 13. | |||||
Goodwill_and_intangible_assets
Goodwill and intangible assets | 9 Months Ended | |||||||||||||||||||
Mar. 28, 2015 | ||||||||||||||||||||
Goodwill and intangible assets | ||||||||||||||||||||
Goodwill and intangible assets | 3. Goodwill and intangible assets | |||||||||||||||||||
Goodwill | ||||||||||||||||||||
The following table presents the change in goodwill by reportable segment for the nine months ended March 28, 2015. All of the accumulated impairment was recognized in fiscal 2009. | ||||||||||||||||||||
Electronics | Technology | |||||||||||||||||||
Marketing | Solutions | Total | ||||||||||||||||||
(Thousands) | ||||||||||||||||||||
Gross goodwill | $ | 1,713,567 | $ | 1,014,635 | $ | 2,728,202 | ||||||||||||||
Accumulated impairment | -1,045,110 | -334,624 | -1,379,734 | |||||||||||||||||
Carrying value at June 28, 2014 | 668,457 | 680,011 | 1,348,468 | |||||||||||||||||
Adjustments | 561 | 8 | 569 | |||||||||||||||||
Foreign currency translation | -41,276 | -45,228 | -86,504 | |||||||||||||||||
Carrying value at March 28, 2015 | $ | 627,742 | $ | 634,791 | $ | 1,262,533 | ||||||||||||||
Gross goodwill | $ | 1,672,852 | $ | 969,415 | $ | 2,642,267 | ||||||||||||||
Accumulated impairment | -1,045,110 | -334,624 | -1,379,734 | |||||||||||||||||
Carrying value at March 28, 2015 | $ | 627,742 | $ | 634,791 | $ | 1,262,533 | ||||||||||||||
The goodwill adjustments represent the net measurement period adjustments for acquisitions during the related measurement periods. | ||||||||||||||||||||
Intangible Assets | ||||||||||||||||||||
The following table presents the Company’s acquired intangible assets at March 28, 2015 and June 28, 2014, respectively. These intangible assets have a weighted average remaining useful life of approximately 5 years. | ||||||||||||||||||||
March 28, 2015 | June 28, 2014 | |||||||||||||||||||
Acquired | Accumulated | Net Book | Acquired | Accumulated | Net Book | |||||||||||||||
Amount | Amortization | Value | Amount | Amortization | Value | |||||||||||||||
(Thousands) | ||||||||||||||||||||
Customer related | $ | 291,236 | $ | -172,958 | $ | 118,278 | $ | 319,496 | $ | -155,604 | $ | 163,892 | ||||||||
Trade name | 5,187 | -1,570 | 3,617 | 5,993 | -1,555 | 4,438 | ||||||||||||||
Other | 15,686 | -2,744 | 12,942 | 18,833 | -2,855 | 15,978 | ||||||||||||||
$ | 312,109 | $ | -177,272 | $ | 134,837 | $ | 344,322 | $ | -160,014 | $ | 184,308 | |||||||||
Intangible asset amortization expense was $10.6 million and $12.2 million for the third quarters of fiscal 2015 and 2014, respectively, and $32.6 million and $33.1 million for the first nine months of fiscal 2015 and 2014, respectively. The following table presents the estimated future amortization expense for the remainder of fiscal 2015, the next five fiscal years and thereafter (in thousands): | ||||||||||||||||||||
Fiscal Year | ||||||||||||||||||||
Remainder of fiscal 2015 | $ | 10,841 | ||||||||||||||||||
2016 | 31,373 | |||||||||||||||||||
2017 | 29,587 | |||||||||||||||||||
2018 | 21,165 | |||||||||||||||||||
2019 | 17,688 | |||||||||||||||||||
2020 | 15,461 | |||||||||||||||||||
Thereafter | 8,722 | |||||||||||||||||||
Total | $ | 134,837 | ||||||||||||||||||
Debt
Debt | 9 Months Ended | |||||||||||||
Mar. 28, 2015 | ||||||||||||||
Debt | ||||||||||||||
Debt | 4. Debt | |||||||||||||
Short-term debt consists of the following (in thousands): | ||||||||||||||
March 28, 2015 | June 28, 2014 | March 28, 2015 | June 28, 2014 | |||||||||||
Interest Rate | Carrying Balance | |||||||||||||
Bank credit facilities and other | 5.56 | % | 3.20 | % | $ | 100,277 | $ | 250,088 | ||||||
Accounts receivable securitization program | — | 0.60 | % | — | 615,000 | |||||||||
Notes due September 1, 2015 | 6.00 | % | — | 250,000 | — | |||||||||
Short-term debt | $ | 350,277 | $ | 865,088 | ||||||||||
Bank credit facilities and other consists of various committed and uncommitted lines of credit and other forms of bank debt with financial institutions utilized primarily to support the working capital requirements of foreign operations. | ||||||||||||||
Long-term debt consists of the following (in thousands): | ||||||||||||||
March 28, 2015 | June 28, 2014 | March 28, 2015 | June 28, 2014 | |||||||||||
Interest Rate | Carrying Balance | |||||||||||||
Revolving credit facilities: | ||||||||||||||
Accounts receivable securitization program | 0.58 | % | — | $ | 725,000 | $ | — | |||||||
2014 Credit Facility | 3.55 | % | — | 50,000 | — | |||||||||
2012 Credit Facility | — | 3.55 | % | — | 12,000 | |||||||||
Notes due: | ||||||||||||||
September 1, 2015 | — | 6.00 | % | — | 250,000 | |||||||||
September 15, 2016 | 6.63 | % | 6.63 | % | 300,000 | 300,000 | ||||||||
June 15, 2020 | 5.88 | % | 5.88 | % | 300,000 | 300,000 | ||||||||
1-Dec-22 | 4.88 | % | 4.88 | % | 350,000 | 350,000 | ||||||||
Other long-term debt | 1.42 | % | 1.40 | % | 1,901 | 3,867 | ||||||||
Long-term debt before discount | 1,726,901 | 1,215,867 | ||||||||||||
Discount on Notes | -1,663 | -2,053 | ||||||||||||
Long-term debt | $ | 1,725,238 | $ | 1,213,814 | ||||||||||
In August 2014, the Company amended and extended its accounts receivable securitization program (the “Program”) with a group of financial institutions to allow the Company to transfer, on an ongoing revolving basis, an undivided interest in a designated pool of accounts receivable, to provide security or collateral for borrowings up to a maximum of $900.0 million. The Program does not qualify for off balance sheet sale accounting treatment and, as a result, any borrowings under the Program are recorded as debt on the consolidated balance sheets. Under the Program, the Company legally isolates certain U.S. trade receivables into a wholly-owned and consolidated bankruptcy remote special purpose entity. Such isolated receivables, which are recorded within “Receivables” in the consolidated balance sheets, totaled $1.47 billion and $1.65 billion at March 28, 2015 and June 28, 2014, respectively. The Program contains certain covenants relating to the quality of the receivables sold. The Program also requires the Company to maintain certain minimum interest coverage and leverage ratios, which the Company was in compliance with as of March 28, 2015. The Program has a two-year term that expires in August 2016. As a result of the two-year term, outstanding borrowings under the Program are classified as long-term debt at March 28, 2015. Interest on borrowings is calculated using a base rate or a commercial paper rate plus a spread of 0.38%. The facility fee is 0.38%. | ||||||||||||||
In July 2014, the Company terminated its existing Credit Facility (the “2012 Credit Facility”) and entered into a five-year $1.25 billion senior unsecured revolving credit facility (the “2014 Credit Facility”) with a syndicate of banks, consisting of revolving credit facilities and the issuance of up to $150.0 million of letters of credit, which expires in July 2019. Under the 2014 Credit Facility, the Company may select from various interest rate options, currencies and maturities. The 2014 Credit Facility contains certain covenants including various limitations on debt incurrence, share repurchases, dividends, investments and capital expenditures. The 2014 Credit Facility also includes financial covenants requiring the Company to maintain minimum interest coverage and leverage ratios, which the Company was in compliance with as of March 28, 2015. At March 28, 2015, there were $1.9 million in letters of credit issued under the 2014 Credit Facility. At June 28, 2014, there were $2.0 million in letters of credit issued under the 2012 Credit Facility. | ||||||||||||||
At March 28, 2015, the carrying value and fair value of the Company’s total debt was $2.08 billion and $2.17 billion, respectively. At June 28, 2014, the carrying value and fair value of the Company's total debt was $2.08 billion and $2.19 billion, respectively. Fair value was estimated primarily based upon quoted market prices. | ||||||||||||||
Derivative_financial_instrumen
Derivative financial instruments | 9 Months Ended |
Mar. 28, 2015 | |
Derivative financial instruments | |
Derivative financial instruments | 5. Derivative financial instruments |
Many of the Company’s subsidiaries purchase and sell products in currencies other than their functional currencies. This subjects the Company to the risks associated with fluctuations in foreign currency exchange rates. The Company reduces this risk by utilizing natural hedging (i.e., offsetting receivables and payables) as well as by creating offsetting positions through the use of derivative financial instruments, primarily forward foreign exchange contracts typically with maturities of less than sixty days (“economic hedges”). The Company continues to have exposure to foreign currency risks to the extent they are not hedged. The Company adjusts any economic hedges to fair value through the consolidated statements of operations primarily within “other income (expense), net.” Therefore, the changes in valuation of the underlying items being economically hedged are offset by the changes in fair value of the forward foreign exchange contracts. The fair value of forward foreign exchange contracts, which are based upon Level 2 criteria under the ASC 820 fair value hierarchy, are classified in the captions “other current assets” or “accrued expenses and other,” as applicable, in the accompanying consolidated balance sheets and were not material as of March 28, 2015 and June 28, 2014. The Company did not have material gains or losses related to the forward foreign exchange contracts during the third quarters and first nine months of fiscal 2015 and fiscal 2014. | |
The Company generally does not hedge its investments in its foreign operations. The Company does not enter into derivative financial instruments for trading or speculative purposes and monitors the financial stability and credit standing of its counterparties. | |
Commitments_and_contingencies
Commitments and contingencies | 9 Months Ended |
Mar. 28, 2015 | |
Commitments and contingencies | |
Commitments and contingencies | 6. Commitments and contingencies |
Bell | |
During fiscal 2011, the Company recognized a contingent liability for potential unpaid import duties associated with the acquisition of Bell Microproducts Inc. (“Bell”). Prior to the acquisition of Bell by Avnet, Customs and Border Protection (“CBP”) initiated a review of the importing process at one of Bell’s subsidiaries and identified compliance deficiencies. Subsequent to the acquisition of Bell by Avnet, CBP began a compliance audit. The Company evaluated projected duties, interest and penalties that potentially may be imposed as a result of the audit and recognized a contingent liability of $10.0 million which was recorded to goodwill in fiscal 2011. Depending on the ultimate resolution of the matter with CBP, the Company estimates that the range of the potential exposure associated with the liability may be up to $73.0 million; however, the Company believes the contingent liability recorded is a reasonable estimate of the liability based upon the facts available at this time. | |
LCD Class Action Settlement | |
The Company filed a proof of claim in the settlement of a class action proceeding that sought damages from certain manufacturers of LCD flat panel displays. A settlement was reached in the proceedings and in the first quarter of fiscal 2014 the federal district judge overseeing the proceeding issued an order approving the distribution of settlement funds to the class claimants and the Company received an award payment of $19.1 million. In the third quarter of fiscal 2014, the federal district judge overseeing the proceedings issued an order approving a final distribution of funds and the Company received a final award payment of $3.0 million. The total award of $22.1 million is classified within “gain on legal settlement” in the consolidated statements of operations. | |
Other | |
From time to time, the Company may become a party to, or be otherwise involved in various lawsuits, claims, investigations and other legal proceedings arising in the ordinary course of conducting its business. While litigation is subject to inherent uncertainties, management does not anticipate that any ongoing matters will have a material adverse effect on the Company’s financial condition, liquidity or results of operations. | |
Income_taxes
Income taxes | 9 Months Ended |
Mar. 28, 2015 | |
Income taxes | |
Income taxes | 7. Income taxes |
The Company’s effective tax rate on its income before income taxes was 28.9% in the third quarter of fiscal 2015 as compared with 31.0% in the third quarter of fiscal 2014. During the third quarter of fiscal 2015, the Company's effective tax rate was favorably impacted primarily by the mix of income in lower tax rate jurisdictions partially offset by an increase due to the write-off of a deferred tax asset. During the third quarter of fiscal 2014, the Company's effective tax rate was unfavorably impacted primarily by increases to valuation allowances and reserves. | |
For the first nine months of fiscal 2015 and 2014, the Company's effective tax rate was 26.1% and 31.6%, respectively. The effective tax rate for the first nine months of fiscal 2015 was favorably impacted by the mix of income in lower tax rate jurisdictions and the release of reserves, primarily related to the formal deregistration of a foreign branch and the settlement of an audit in a foreign jurisdiction. The effective tax rate for the first nine months of fiscal 2014 was unfavorably impacted primarily by increases to valuation allowances and reserves. | |
The Company applies the guidance in ASC 740, which requires management to use its judgment for the appropriate weighting of all available evidence when assessing the need for the establishment or the release of valuation allowances. As part of this analysis, the Company examines all available evidence on a jurisdiction by jurisdiction basis and weighs the positive and negative evidence when determining the need for full or partial valuation allowances. The evidence considered for each jurisdiction includes, among other items: (i) the historic levels of income or losses over a range of time periods, which may extend beyond the most recent three fiscal years depending upon the historical volatility of income in an individual jurisdiction; (ii) expectations and risks associated with underlying estimates of future taxable income, including considering the historical trend of down-cycles in the semiconductor and related industries; and (iii) prudent and feasible tax planning strategies. | |
As of the end of fiscal 2014, the Company had a partial valuation allowance against significant net operating loss carry-forward deferred tax assets related to a legal entity in Europe due to, among several other factors, a history of losses in that entity. In recent fiscal years, such entity has been experiencing improved earnings, which required the partial release of the valuation allowance to the extent such entity has projected future taxable income. ASC 740 requires a preponderance of positive evidence in order to reach a conclusion to release all or a portion of a valuation allowance when negative evidence exists. The Company continues to evaluate the need for a valuation allowance against these deferred tax assets and will adjust the valuation allowance as appropriate, which, if reduced, could result in a significant decrease to the effective tax rate in the period of the adjustment. | |
Pension_plan
Pension plan | 9 Months Ended | |||||||||||||
Mar. 28, 2015 | ||||||||||||||
Pension plan | ||||||||||||||
Pension plan | 8. Pension plan | |||||||||||||
The Company has a noncontributory defined benefit pension plan (the “Plan”) for which the components of net periodic pension costs during the third quarters and nine months ended March 28, 2015 and March 29, 2014 were as follows: | ||||||||||||||
Third Quarters Ended | Nine Months Ended | |||||||||||||
March 28, | March 29, | March 28, | March 29, | |||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||
(Thousands) | ||||||||||||||
Service cost | $ | 9,873 | $ | 9,183 | $ | 29,619 | $ | 27,549 | ||||||
Interest cost | 4,449 | 4,289 | 13,347 | 12,867 | ||||||||||
Expected return on plan assets | -9,055 | -7,727 | -27,165 | -23,181 | ||||||||||
Recognized net actuarial loss | 3,251 | 3,171 | 9,753 | 9,513 | ||||||||||
Amortization of prior service credits | -393 | -393 | -1,179 | -1,179 | ||||||||||
Net periodic pension cost | $ | 8,125 | $ | 8,523 | $ | 24,375 | $ | 25,569 | ||||||
The Company made contributions to the Plan of $30.0 million during the first nine months of fiscal 2015. The Company expects to make an additional contribution to the Plan of $10.0 million in the fourth quarter of fiscal 2015. | ||||||||||||||
The Plan meets the definition of a defined benefit plan and as a result, the Company must apply ASC 715 pension accounting to the Plan. The Plan itself, however, is a cash balance plan that is similar in nature to a defined contribution plan in that a participant's benefit is defined in terms of a stated account balance. A cash balance plan provides the Company with the benefit of applying any earnings on the Plan’s investments beyond the fixed return provided to participants, toward the Company’s future cash funding obligations. | ||||||||||||||
Amounts reclassified out of accumulated other comprehensive (loss) income, net of tax, to operating expenses during the first nine months of fiscal 2015 and fiscal 2014 were not material and substantially all related to net periodic pension costs including recognition of actuarial losses and amortization of prior service credits. | ||||||||||||||
Shareholders_Equity
Shareholders' Equity | 9 Months Ended |
Mar. 28, 2015 | |
Shareholders' equity | |
Shareholders' equity | 9. Shareholders' equity |
Share repurchase program | |
In November 2014, the Company’s Board of Directors amended the Company's existing share repurchase program to authorize the repurchase of up to $1.00 billion of common stock in the open market or through privately negotiated transactions. The timing and actual number of shares purchased will depend on a variety of factors such as share price, corporate and regulatory requirements, and prevailing market conditions. During the third quarter of fiscal 2015, the Company repurchased 0.9 million shares under this program at an average market price of $41.97 per share for a total cost of $38.8 million. Since the beginning of the repurchase program through the end of the third quarter of fiscal 2015, the Company has repurchased 21.7 million shares at an aggregate cost of $681.7 million, and $318.3 million remained available for future repurchases under the share repurchase program. | |
Common stock dividend | |
In February 2015, the Company's Board of Directors approved a dividend of $0.16 per common share and dividend payments of $21.7 million were made in March 2015. During the nine months ended March 28, 2015, the Company has paid dividends of $0.48 per common share and $65.6 million in total. | |
Earnings_per_share
Earnings per share | 9 Months Ended | |||||||||||||
Mar. 28, 2015 | ||||||||||||||
Earnings per share | ||||||||||||||
Earnings per share | 10. Earnings per share | |||||||||||||
Third Quarters Ended | Nine Months Ended | |||||||||||||
March 28, | March 29, | March 28, | March 29, | |||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||
(Thousands, except per share data) | ||||||||||||||
Numerator: | ||||||||||||||
Net income | $ | 121,529 | $ | 113,851 | $ | 413,180 | $ | 359,339 | ||||||
Denominator: | ||||||||||||||
Weighted average common shares for basic earnings per share | 136,046 | 138,418 | 136,965 | 137,845 | ||||||||||
Net effect of dilutive stock options, restricted incentive shares and performance shares | 1,675 | 1,761 | 2,216 | 2,170 | ||||||||||
Weighted average common shares for diluted earnings per share | 137,721 | 140,179 | 139,181 | 140,015 | ||||||||||
Basic earnings per share | $ | 0.89 | $ | 0.82 | $ | 3.02 | $ | 2.61 | ||||||
Diluted earnings per share | $ | 0.88 | $ | 0.81 | $ | 2.97 | $ | 2.57 | ||||||
Stock options excluded from earnings per share calculation due to anti-dilutive effect | — | — | — | — | ||||||||||
Additional_cash_flow_informati
Additional cash flow information | 9 Months Ended | |||||||
Mar. 28, 2015 | ||||||||
Additional cash flow information | ||||||||
Additional cash flow information | 11. Additional cash flow information | |||||||
Interest and income taxes paid in the nine months ended March 28, 2015 and March 29, 2014 were as follows: | ||||||||
Nine Months Ended | ||||||||
March 28, | March 29, | |||||||
2015 | 2014 | |||||||
(Thousands) | ||||||||
Interest | $ | 80,478 | $ | 86,844 | ||||
Income taxes | $ | 122,056 | $ | 165,885 | ||||
The Company includes book overdrafts as part of accounts payable on its consolidated balance sheets and reflects changes in such balances as part of cash flows from operating activities in its consolidated statements of cash flows. | ||||||||
During the nine months ended March 29, 2014, the Company had non-cash financing activities of $38.1 million related to contingent consideration in connection with acquisition activity in fiscal 2014. | ||||||||
Segment_information
Segment information | 9 Months Ended | |||||||||||||
Mar. 28, 2015 | ||||||||||||||
Segment information | ||||||||||||||
Segment information | 12. Segment information | |||||||||||||
Electronics Marketing (“EM”) and Technology Solutions (“TS”) are the Company's reportable segments (“operating groups”). EM markets and sells semiconductors and interconnect, passive and electromechanical devices and embedded products to a diverse customer base serving many end-markets. TS focuses on the value-added distribution of enterprise computing servers and systems, software, storage, services and complex solutions from the world’s foremost technology manufacturers. TS also provides the latest hard disk drives, microprocessor, motherboard and DRAM module technologies to manufacturers of general-purpose computers and system builders. | ||||||||||||||
Third Quarters Ended | Nine Months Ended | |||||||||||||
March 28, | March 29, | March 28, | March 29, | |||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||
(Thousands) | ||||||||||||||
Sales: | ||||||||||||||
Electronics Marketing | $ | 4,219,528 | $ | 4,133,004 | $ | 13,028,812 | $ | 12,225,911 | ||||||
Technology Solutions | 2,517,332 | 2,550,612 | 8,099,514 | 8,225,034 | ||||||||||
$ | 6,736,860 | $ | 6,683,616 | $ | 21,128,326 | $ | 20,450,945 | |||||||
Operating income (expense): | ||||||||||||||
Electronics Marketing | $ | 197,287 | $ | 193,437 | $ | 591,447 | $ | 540,905 | ||||||
Technology Solutions | 68,098 | 60,887 | 248,072 | 243,703 | ||||||||||
Corporate | -34,992 | -30,530 | -110,805 | -98,126 | ||||||||||
230,393 | 223,794 | 728,714 | 686,482 | |||||||||||
Restructuring, integration and other expenses (Note 13) | -15,494 | -26,083 | -47,071 | -66,624 | ||||||||||
Amortization of acquired intangible assets and other | -11,187 | -12,868 | -34,447 | -34,456 | ||||||||||
$ | 203,712 | $ | 184,843 | $ | 647,196 | $ | 585,402 | |||||||
Sales, by geographic area: | ||||||||||||||
Americas (1) | $ | 2,677,745 | $ | 2,567,139 | $ | 8,376,754 | $ | 8,119,450 | ||||||
EMEA (2) | 1,969,069 | 2,160,383 | 6,006,500 | 6,105,393 | ||||||||||
Asia/Pacific (3) | 2,090,046 | 1,956,094 | 6,745,072 | 6,226,102 | ||||||||||
$ | 6,736,860 | $ | 6,683,616 | $ | 21,128,326 | $ | 20,450,945 | |||||||
(1)Includes sales from the United States of $2.39 billion and $2.30 billion for the quarters ended March 28, 2015, and March 29, 2014, respectively. Includes sales from the United States of $7.45 billion and $7.20 billion for the first nine months of fiscal 2015 and 2014, respectively. | ||||||||||||||
(2)Includes sales from Germany and the United Kingdom of $688.7 million and $372.3 million, respectively, for the quarter ended March 28, 2015, and $2.22 billion and $1.12 billion, respectively, for the first nine months of fiscal 2015. Includes sales from Germany of $861.4 million for the quarter ended March 29, 2014, and $2.50 billion for the first nine months of fiscal 2014. | ||||||||||||||
(3)Includes sales from China (including Hong Kong) and Taiwan of $667.5 million and $802.2 million, respectively, for the quarter ended March 28, 2015, and $2.13 billion and $2.62 billion, respectively, for the first nine months of fiscal 2015. Includes sales from China (including Hong Kong) and Taiwan of $700.3 million and $605.7 million, respectively, for the quarter ended March 29, 2014, and $2.20 billion and $2.00 billion, respectively, for the first nine months of fiscal 2014. | ||||||||||||||
March 28, | June 28, | |||||||||||||
2015 | 2014 | |||||||||||||
(Thousands) | ||||||||||||||
Assets: | ||||||||||||||
Electronics Marketing | $ | 6,367,106 | $ | 6,840,166 | ||||||||||
Technology Solutions | 3,699,717 | 4,140,230 | ||||||||||||
Corporate | 547,682 | 275,121 | ||||||||||||
$ | 10,614,505 | $ | 11,255,517 | |||||||||||
Property, plant, and equipment, net, by geographic area: | ||||||||||||||
Americas (1) | $ | 340,844 | $ | 306,167 | ||||||||||
EMEA (2) | 179,385 | 199,374 | ||||||||||||
Asia/Pacific | 28,204 | 29,458 | ||||||||||||
$ | 548,433 | $ | 534,999 | |||||||||||
(1)Includes property, plant and equipment, net, of $335.4 million and $298.1 million as of March 28, 2015 and June 28, 2014, respectively, in the United States. | ||||||||||||||
(2)Includes property, plant and equipment, net, of $73.9 million and $73.5 million in Germany and Belgium, respectively, as of March 28, 2015 and $95.5 million and $61.0 million in Germany and Belgium, respectively, as of June 28, 2014. | ||||||||||||||
Restructuring_integration_and_
Restructuring, integration and other expenses | 9 Months Ended | |||||||||||||
Mar. 28, 2015 | ||||||||||||||
Restructuring, integration and other expenses | ||||||||||||||
Restructuring, integration and other expenses | 13. Restructuring, integration and other expenses | |||||||||||||
Fiscal 2015 | ||||||||||||||
During the third quarter and first nine months of fiscal 2015, the Company took certain actions in an effort to reduce future operating expenses. In addition, the Company incurred integration and other costs primarily associated with the integration of acquisitions and certain global and regional businesses. The following table presents the restructuring, integration and other expenses recorded during the third quarter and first nine months of fiscal 2015: | ||||||||||||||
Third Quarter Ended | Nine Months Ended | |||||||||||||
March 28, 2015 | March 28, 2015 | |||||||||||||
(Thousands, except per share data) | ||||||||||||||
Restructuring expenses | $ | 8,095 | $ | 25,447 | ||||||||||
Integration costs | 5,269 | 15,559 | ||||||||||||
Other costs including acquisition costs | 2,443 | 6,156 | ||||||||||||
Changes in estimates for prior year restructuring liabilities | -313 | -91 | ||||||||||||
Restructuring, integration and other expenses before tax | $ | 15,494 | $ | 47,071 | ||||||||||
Restructuring, integration and other expenses after tax | $ | 12,035 | $ | 35,383 | ||||||||||
Restructuring, integration and other expenses per share on a diluted basis | $ | 0.09 | $ | 0.25 | ||||||||||
The activity related to the restructuring liabilities established and other associated expenses incurred during fiscal 2015 is presented in the following table: | ||||||||||||||
Facility | ||||||||||||||
Exit Costs and | ||||||||||||||
Asset | ||||||||||||||
Severance | Impairments | Other | Total | |||||||||||
(Thousands) | ||||||||||||||
Fiscal 2015 restructuring expenses | $ | 9,455 | $ | 10,802 | $ | 5,190 | $ | 25,447 | ||||||
Cash payments | -6,642 | -4,279 | — | -10,921 | ||||||||||
Non-cash amounts | — | -2,395 | -5,190 | -7,585 | ||||||||||
Other, principally foreign currency translation | -201 | -228 | — | -429 | ||||||||||
Balance at March 28, 2015 | $ | 2,612 | $ | 3,900 | $ | — | $ | 6,512 | ||||||
Severance expense recorded in the first nine months of fiscal 2015 related to the reduction of over 200 employees, primarily in operations and business support functions, in connection with cost reduction actions taken at both operating groups. Facility exit costs primarily consist of liabilities for remaining lease obligations and the impairment of long-lived assets for locations and information technology hardware and software the Company has divested or has ceased using. Other restructuring costs related primarily to other miscellaneous restructuring and exit costs including a loss incurred upon the divestiture of a small business in EMEA. Of the $25.4 million in restructuring expenses recorded during the first nine months of fiscal 2015, $11.8 million related to EM, $12.8 million related to TS, and $0.8 million related to corporate business support functions. As of March 28, 2015, the Company expects the majority of the remaining severance and facility exit costs to be paid by the end of fiscal 2015. | ||||||||||||||
Integration costs are primarily related to the integration of acquired businesses, integration of global or regional businesses, integration of information technology systems, and specific and incremental costs incurred as part of the consolidation, relocation and closure of warehouse and office facilities. Integration costs also include consulting costs for information technology system and business operation integration assistance, legal fees, travel, meeting, marketing and communication costs that are incrementally incurred as a result of such integration activities. Also included in integration costs are incremental salary costs specific to integration, consolidation and closure activities. Other costs consist primarily of professional fees incurred for acquisitions, additional costs incurred for businesses divested or exited in current or prior periods, any ongoing facilities operating costs associated with the consolidation, relocation and closure of facilities once such facilities have been vacated or substantially vacated, and other miscellaneous costs that relate to restructuring, integration and other expenses. Integration and other costs in the first nine months of fiscal 2015 were comprised of many different costs, none of which were individually material. | ||||||||||||||
Fiscal 2014 | ||||||||||||||
During fiscal 2014, the Company incurred restructuring expenses related to various restructuring actions intended to achieve planned synergies from acquired businesses and to reduce future operating expenses. The following table presents the activity during the first nine months of fiscal 2015 related to the remaining restructuring liabilities established during fiscal 2014: | ||||||||||||||
Facility | ||||||||||||||
Exit Costs and | ||||||||||||||
Asset | ||||||||||||||
Severance | Impairments | Other | Total | |||||||||||
(Thousands) | ||||||||||||||
Balance at June 28, 2014 | $ | 23,744 | $ | 3,697 | $ | 344 | $ | 27,785 | ||||||
Cash payments | -16,694 | -1,385 | — | -18,079 | ||||||||||
Changes in estimates, net | 308 | 93 | — | 401 | ||||||||||
Non-cash amounts | -92 | -824 | — | -916 | ||||||||||
Other, principally foreign currency translation | -1,742 | -338 | — | -2,080 | ||||||||||
Balance at March 28, 2015 | $ | 5,524 | $ | 1,243 | $ | 344 | $ | 7,111 | ||||||
As of March 28, 2015, the Company expects the majority of the remaining severance, facility exit costs and other liabilities to be paid by the end of fiscal 2015. | ||||||||||||||
Fiscal 2013 and prior | ||||||||||||||
As of June 28, 2014, there were $13.1 million of restructuring liabilities remaining related to restructuring actions taken in fiscal years 2013 and prior, the majority of which relates to facility exit costs. The remaining balance for such historical restructuring actions as of March 28, 2015 was $6.3 million, which is expected to be paid by the end of fiscal 2016. | ||||||||||||||
Basis_of_presentation_and_new_1
Basis of presentation and new accounting pronouncements (Policies) | 9 Months Ended |
Mar. 28, 2015 | |
Basis of presentation and new accounting pronouncements | |
Basis of presentation | In the opinion of management, the accompanying unaudited interim consolidated financial statements contain all adjustments necessary to present fairly Avnet, Inc.'s and its consolidated subsidiaries' (the “Company” or “Avnet”) financial position, results of operations, comprehensive income and cash flows. All such adjustments are of a normal recurring nature. |
The preparation of financial statements in accordance with generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements. Actual results may differ from these estimates. | |
Interim results of operations are not necessarily indicative of the results to be expected for the full fiscal year. The information included in this Form 10-Q should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 28, 2014. | |
New accounting pronouncements | New accounting pronouncements |
In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”), to supersede nearly all existing revenue recognition guidance under GAAP. The core principles of ASU 2014-09 are to recognize revenues when promised goods or services are transferred to customers in an amount that reflects the consideration that is expected to be received for those goods or services. Application of the requirements of ASU 2014-09 may require more judgment and estimates within the revenue recognition process compared to existing GAAP. In April 2015, the FASB proposed a one-year delay in the effective date of ASU 2014-09, which, if approved, would make the effective date for the Company the first quarter of fiscal 2019 instead of the current effective date, which is the first quarter of fiscal 2018. The Company may adopt the requirements of ASU 2014-09 using either of two acceptable adoption methods: (i) retrospective adoption to each prior reporting period presented with the option to elect certain practical expedients as defined within ASU 2014-09; or (ii) adoption with the cumulative effect of initially applying ASU 2014-09 recognized at the date of initial application and providing certain additional disclosures as defined within ASU 2014-09. The Company is currently evaluating the potential impact of the future adoption of ASU 2014-09 on its consolidated financial statements, including the method of adoption to be used. | |
During the nine months ended March 28, 2015 there have been no additional new accounting pronouncements that are expected to significantly impact the Company's consolidated financial statements. | |
Acquisitions_and_divestitures_
Acquisitions and divestitures (Tables) | 9 Months Ended | ||||
Mar. 28, 2015 | |||||
Acquisitions and divestitures | |||||
Schedule of aggregate consideration | The aggregate consideration, excluding cash acquired, for the fiscal 2014 acquisitions was $219.7 million, which consisted of the following (in thousands): | ||||
Cash paid | $ | 181,645 | |||
Contingent consideration | 38,081 | ||||
Total consideration | $ | 219,726 | |||
Goodwill_and_intangible_assets1
Goodwill and intangible assets (Tables) | 9 Months Ended | |||||||||||||||||||
Mar. 28, 2015 | ||||||||||||||||||||
Goodwill and intangible assets | ||||||||||||||||||||
Change in goodwill balances by reportable segment | ||||||||||||||||||||
Electronics | Technology | |||||||||||||||||||
Marketing | Solutions | Total | ||||||||||||||||||
(Thousands) | ||||||||||||||||||||
Gross goodwill | $ | 1,713,567 | $ | 1,014,635 | $ | 2,728,202 | ||||||||||||||
Accumulated impairment | -1,045,110 | -334,624 | -1,379,734 | |||||||||||||||||
Carrying value at June 28, 2014 | 668,457 | 680,011 | 1,348,468 | |||||||||||||||||
Adjustments | 561 | 8 | 569 | |||||||||||||||||
Foreign currency translation | -41,276 | -45,228 | -86,504 | |||||||||||||||||
Carrying value at March 28, 2015 | $ | 627,742 | $ | 634,791 | $ | 1,262,533 | ||||||||||||||
Gross goodwill | $ | 1,672,852 | $ | 969,415 | $ | 2,642,267 | ||||||||||||||
Accumulated impairment | -1,045,110 | -334,624 | -1,379,734 | |||||||||||||||||
Carrying value at March 28, 2015 | $ | 627,742 | $ | 634,791 | $ | 1,262,533 | ||||||||||||||
Company's identifiable acquired intangible assets | ||||||||||||||||||||
March 28, 2015 | June 28, 2014 | |||||||||||||||||||
Acquired | Accumulated | Net Book | Acquired | Accumulated | Net Book | |||||||||||||||
Amount | Amortization | Value | Amount | Amortization | Value | |||||||||||||||
(Thousands) | ||||||||||||||||||||
Customer related | $ | 291,236 | $ | -172,958 | $ | 118,278 | $ | 319,496 | $ | -155,604 | $ | 163,892 | ||||||||
Trade name | 5,187 | -1,570 | 3,617 | 5,993 | -1,555 | 4,438 | ||||||||||||||
Other | 15,686 | -2,744 | 12,942 | 18,833 | -2,855 | 15,978 | ||||||||||||||
$ | 312,109 | $ | -177,272 | $ | 134,837 | $ | 344,322 | $ | -160,014 | $ | 184,308 | |||||||||
Estimated future amortization expense | The following table presents the estimated future amortization expense for the remainder of fiscal 2015, the next five fiscal years and thereafter (in thousands): | |||||||||||||||||||
Fiscal Year | ||||||||||||||||||||
Remainder of fiscal 2015 | $ | 10,841 | ||||||||||||||||||
2016 | 31,373 | |||||||||||||||||||
2017 | 29,587 | |||||||||||||||||||
2018 | 21,165 | |||||||||||||||||||
2019 | 17,688 | |||||||||||||||||||
2020 | 15,461 | |||||||||||||||||||
Thereafter | 8,722 | |||||||||||||||||||
Total | $ | 134,837 | ||||||||||||||||||
Debt_financing_Tables
Debt financing (Tables) | 9 Months Ended | |||||||||||||
Mar. 28, 2015 | ||||||||||||||
Debt | ||||||||||||||
Short-term debt | Short-term debt consists of the following (in thousands): | |||||||||||||
March 28, 2015 | June 28, 2014 | March 28, 2015 | June 28, 2014 | |||||||||||
Interest Rate | Carrying Balance | |||||||||||||
Bank credit facilities and other | 5.56 | % | 3.20 | % | $ | 100,277 | $ | 250,088 | ||||||
Accounts receivable securitization program | — | 0.60 | % | — | 615,000 | |||||||||
Notes due September 1, 2015 | 6.00 | % | — | 250,000 | — | |||||||||
Short-term debt | $ | 350,277 | $ | 865,088 | ||||||||||
Long-term debt | Long-term debt consists of the following (in thousands): | |||||||||||||
March 28, 2015 | June 28, 2014 | March 28, 2015 | June 28, 2014 | |||||||||||
Interest Rate | Carrying Balance | |||||||||||||
Revolving credit facilities: | ||||||||||||||
Accounts receivable securitization program | 0.58 | % | — | $ | 725,000 | $ | — | |||||||
2014 Credit Facility | 3.55 | % | — | 50,000 | — | |||||||||
2012 Credit Facility | — | 3.55 | % | — | 12,000 | |||||||||
Notes due: | ||||||||||||||
September 1, 2015 | — | 6.00 | % | — | 250,000 | |||||||||
September 15, 2016 | 6.63 | % | 6.63 | % | 300,000 | 300,000 | ||||||||
June 15, 2020 | 5.88 | % | 5.88 | % | 300,000 | 300,000 | ||||||||
1-Dec-22 | 4.88 | % | 4.88 | % | 350,000 | 350,000 | ||||||||
Other long-term debt | 1.42 | % | 1.40 | % | 1,901 | 3,867 | ||||||||
Long-term debt before discount | 1,726,901 | 1,215,867 | ||||||||||||
Discount on Notes | -1,663 | -2,053 | ||||||||||||
Long-term debt | $ | 1,725,238 | $ | 1,213,814 | ||||||||||
Pension_and_Retirement_Plans_T
Pension and Retirement Plans (Tables) | 9 Months Ended | |||||||||||||
Mar. 28, 2015 | ||||||||||||||
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ||||||||||||||
Components of net periodic pension costs | ||||||||||||||
Third Quarters Ended | Nine Months Ended | |||||||||||||
March 28, | March 29, | March 28, | March 29, | |||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||
(Thousands) | ||||||||||||||
Service cost | $ | 9,873 | $ | 9,183 | $ | 29,619 | $ | 27,549 | ||||||
Interest cost | 4,449 | 4,289 | 13,347 | 12,867 | ||||||||||
Expected return on plan assets | -9,055 | -7,727 | -27,165 | -23,181 | ||||||||||
Recognized net actuarial loss | 3,251 | 3,171 | 9,753 | 9,513 | ||||||||||
Amortization of prior service credits | -393 | -393 | -1,179 | -1,179 | ||||||||||
Net periodic pension cost | $ | 8,125 | $ | 8,523 | $ | 24,375 | $ | 25,569 | ||||||
Earnings_per_share_Tables
Earnings per share (Tables) | 9 Months Ended | |||||||||||||
Mar. 28, 2015 | ||||||||||||||
Earnings per share | ||||||||||||||
Basic and diluted earnings per share calculation | ||||||||||||||
Third Quarters Ended | Nine Months Ended | |||||||||||||
March 28, | March 29, | March 28, | March 29, | |||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||
(Thousands, except per share data) | ||||||||||||||
Numerator: | ||||||||||||||
Net income | $ | 121,529 | $ | 113,851 | $ | 413,180 | $ | 359,339 | ||||||
Denominator: | ||||||||||||||
Weighted average common shares for basic earnings per share | 136,046 | 138,418 | 136,965 | 137,845 | ||||||||||
Net effect of dilutive stock options, restricted incentive shares and performance shares | 1,675 | 1,761 | 2,216 | 2,170 | ||||||||||
Weighted average common shares for diluted earnings per share | 137,721 | 140,179 | 139,181 | 140,015 | ||||||||||
Basic earnings per share | $ | 0.89 | $ | 0.82 | $ | 3.02 | $ | 2.61 | ||||||
Diluted earnings per share | $ | 0.88 | $ | 0.81 | $ | 2.97 | $ | 2.57 | ||||||
Stock options excluded from earnings per share calculation due to anti-dilutive effect | — | — | — | — | ||||||||||
Recovered_Sheet1
Additional Cash Flow Information (Tables) | 9 Months Ended | |||||||
Mar. 28, 2015 | ||||||||
Additional cash flow information | ||||||||
Interest and income taxes paid | ||||||||
Nine Months Ended | ||||||||
March 28, | March 29, | |||||||
2015 | 2014 | |||||||
(Thousands) | ||||||||
Interest | $ | 80,478 | $ | 86,844 | ||||
Income taxes | $ | 122,056 | $ | 165,885 | ||||
Segment_information_Tables
Segment information (Tables) | 9 Months Ended | |||||||||||||
Mar. 28, 2015 | ||||||||||||||
Segment information | ||||||||||||||
Table of the Company's segments and the related financial information for each | ||||||||||||||
Third Quarters Ended | Nine Months Ended | |||||||||||||
March 28, | March 29, | March 28, | March 29, | |||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||
(Thousands) | ||||||||||||||
Sales: | ||||||||||||||
Electronics Marketing | $ | 4,219,528 | $ | 4,133,004 | $ | 13,028,812 | $ | 12,225,911 | ||||||
Technology Solutions | 2,517,332 | 2,550,612 | 8,099,514 | 8,225,034 | ||||||||||
$ | 6,736,860 | $ | 6,683,616 | $ | 21,128,326 | $ | 20,450,945 | |||||||
Operating income (expense): | ||||||||||||||
Electronics Marketing | $ | 197,287 | $ | 193,437 | $ | 591,447 | $ | 540,905 | ||||||
Technology Solutions | 68,098 | 60,887 | 248,072 | 243,703 | ||||||||||
Corporate | -34,992 | -30,530 | -110,805 | -98,126 | ||||||||||
230,393 | 223,794 | 728,714 | 686,482 | |||||||||||
Restructuring, integration and other expenses (Note 13) | -15,494 | -26,083 | -47,071 | -66,624 | ||||||||||
Amortization of acquired intangible assets and other | -11,187 | -12,868 | -34,447 | -34,456 | ||||||||||
$ | 203,712 | $ | 184,843 | $ | 647,196 | $ | 585,402 | |||||||
Sales, by geographic area: | ||||||||||||||
Americas (1) | $ | 2,677,745 | $ | 2,567,139 | $ | 8,376,754 | $ | 8,119,450 | ||||||
EMEA (2) | 1,969,069 | 2,160,383 | 6,006,500 | 6,105,393 | ||||||||||
Asia/Pacific (3) | 2,090,046 | 1,956,094 | 6,745,072 | 6,226,102 | ||||||||||
$ | 6,736,860 | $ | 6,683,616 | $ | 21,128,326 | $ | 20,450,945 | |||||||
(1)Includes sales from the United States of $2.39 billion and $2.30 billion for the quarters ended March 28, 2015, and March 29, 2014, respectively. Includes sales from the United States of $7.45 billion and $7.20 billion for the first nine months of fiscal 2015 and 2014, respectively. | ||||||||||||||
(2)Includes sales from Germany and the United Kingdom of $688.7 million and $372.3 million, respectively, for the quarter ended March 28, 2015, and $2.22 billion and $1.12 billion, respectively, for the first nine months of fiscal 2015. Includes sales from Germany of $861.4 million for the quarter ended March 29, 2014, and $2.50 billion for the first nine months of fiscal 2014. | ||||||||||||||
(3)Includes sales from China (including Hong Kong) and Taiwan of $667.5 million and $802.2 million, respectively, for the quarter ended March 28, 2015, and $2.13 billion and $2.62 billion, respectively, for the first nine months of fiscal 2015. Includes sales from China (including Hong Kong) and Taiwan of $700.3 million and $605.7 million, respectively, for the quarter ended March 29, 2014, and $2.20 billion and $2.00 billion, respectively, for the first nine months of fiscal 2014. | ||||||||||||||
Table of Assets by reportable segment and long-lived assets by geographic area | ||||||||||||||
March 28, | June 28, | |||||||||||||
2015 | 2014 | |||||||||||||
(Thousands) | ||||||||||||||
Assets: | ||||||||||||||
Electronics Marketing | $ | 6,367,106 | $ | 6,840,166 | ||||||||||
Technology Solutions | 3,699,717 | 4,140,230 | ||||||||||||
Corporate | 547,682 | 275,121 | ||||||||||||
$ | 10,614,505 | $ | 11,255,517 | |||||||||||
Property, plant, and equipment, net, by geographic area: | ||||||||||||||
Americas (1) | $ | 340,844 | $ | 306,167 | ||||||||||
EMEA (2) | 179,385 | 199,374 | ||||||||||||
Asia/Pacific | 28,204 | 29,458 | ||||||||||||
$ | 548,433 | $ | 534,999 | |||||||||||
(1)Includes property, plant and equipment, net, of $335.4 million and $298.1 million as of March 28, 2015 and June 28, 2014, respectively, in the United States. | ||||||||||||||
(2)Includes property, plant and equipment, net, of $73.9 million and $73.5 million in Germany and Belgium, respectively, as of March 28, 2015 and $95.5 million and $61.0 million in Germany and Belgium, respectively, as of June 28, 2014. | ||||||||||||||
Restructuring_integration_and_1
Restructuring, integration and other expenses (Tables) | 9 Months Ended | |||||||||||||
Mar. 28, 2015 | ||||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||||
Table presenting the restructuring, integration and other expenses incurred | ||||||||||||||
Third Quarter Ended | Nine Months Ended | |||||||||||||
March 28, 2015 | March 28, 2015 | |||||||||||||
(Thousands, except per share data) | ||||||||||||||
Restructuring expenses | $ | 8,095 | $ | 25,447 | ||||||||||
Integration costs | 5,269 | 15,559 | ||||||||||||
Other costs including acquisition costs | 2,443 | 6,156 | ||||||||||||
Changes in estimates for prior year restructuring liabilities | -313 | -91 | ||||||||||||
Restructuring, integration and other expenses before tax | $ | 15,494 | $ | 47,071 | ||||||||||
Restructuring, integration and other expenses after tax | $ | 12,035 | $ | 35,383 | ||||||||||
Restructuring, integration and other expenses per share on a diluted basis | $ | 0.09 | $ | 0.25 | ||||||||||
Fiscal Year 2015 [Member] | ||||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||||
Activity related to the restructuring reserves | ||||||||||||||
Facility | ||||||||||||||
Exit Costs and | ||||||||||||||
Asset | ||||||||||||||
Severance | Impairments | Other | Total | |||||||||||
(Thousands) | ||||||||||||||
Fiscal 2015 restructuring expenses | $ | 9,455 | $ | 10,802 | $ | 5,190 | $ | 25,447 | ||||||
Cash payments | -6,642 | -4,279 | — | -10,921 | ||||||||||
Non-cash amounts | — | -2,395 | -5,190 | -7,585 | ||||||||||
Other, principally foreign currency translation | -201 | -228 | — | -429 | ||||||||||
Balance at March 28, 2015 | $ | 2,612 | $ | 3,900 | $ | — | $ | 6,512 | ||||||
Fiscal Year 2014 [Member] | ||||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||||
Activity related to the restructuring reserves | ||||||||||||||
Facility | ||||||||||||||
Exit Costs and | ||||||||||||||
Asset | ||||||||||||||
Severance | Impairments | Other | Total | |||||||||||
(Thousands) | ||||||||||||||
Balance at June 28, 2014 | $ | 23,744 | $ | 3,697 | $ | 344 | $ | 27,785 | ||||||
Cash payments | -16,694 | -1,385 | — | -18,079 | ||||||||||
Changes in estimates, net | 308 | 93 | — | 401 | ||||||||||
Non-cash amounts | -92 | -824 | — | -916 | ||||||||||
Other, principally foreign currency translation | -1,742 | -338 | — | -2,080 | ||||||||||
Balance at March 28, 2015 | $ | 5,524 | $ | 1,243 | $ | 344 | $ | 7,111 | ||||||
Acquisitions_and_divestitures_1
Acquisitions and divestitures (2014 Acquisitions) (Details) (USD $) | 9 Months Ended | 12 Months Ended |
Mar. 29, 2014 | Jun. 28, 2014 | |
item | ||
Business Acquisition [Line Items] | ||
Payments to Acquire Businesses, Net of Cash Acquired | $116,882,000 | |
Contingent consideration | ||
Contingent consideration | 38,100,000 | |
2014 Acquisitions [Member] | ||
Business Acquisition [Line Items] | ||
Number of businesses acquired | 3 | |
Business acquisition, aggregate annualized revenue of acquired businesses | 492,000,000 | |
Payments to Acquire Businesses, Net of Cash Acquired | 116,900,000 | |
Contingent consideration | ||
Payments to Acquire Businesses, Gross | 181,645,000 | |
Contingent consideration | 38,081,000 | |
Total consideration | 219,726,000 | |
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | $50,000,000 |
Goodwill_and_intangible_assets2
Goodwill and intangible assets (Details) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Mar. 28, 2015 | Jun. 28, 2014 |
Carrying amount of goodwill, by reportable segment | ||
Carrying value | $1,348,468 | |
Adjustments | 569 | |
Foreign currency translation | -86,504 | |
Carrying value | 1,262,533 | |
Gross Goodwill | 2,642,267 | 2,728,202 |
Accumulated Impairment | -1,379,734 | -1,379,734 |
Electronics Marketing [Member] | ||
Carrying amount of goodwill, by reportable segment | ||
Carrying value | 668,457 | |
Adjustments | 561 | |
Foreign currency translation | -41,276 | |
Carrying value | 627,742 | |
Gross Goodwill | 1,672,852 | 1,713,567 |
Accumulated Impairment | -1,045,110 | -1,045,110 |
Technology Solutions [Member] | ||
Carrying amount of goodwill, by reportable segment | ||
Carrying value | 680,011 | |
Adjustments | 8 | |
Foreign currency translation | -45,228 | |
Carrying value | 634,791 | |
Gross Goodwill | 969,415 | 1,014,635 |
Accumulated Impairment | ($334,624) | ($334,624) |
Goodwill_and_intangible_assets3
Goodwill and intangible assets Intangible Assets (Details) (USD $) | Mar. 28, 2015 | Jun. 28, 2014 |
In Thousands, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $312,109 | $344,322 |
Accumulated Amortization | -177,272 | -160,014 |
Net Book Value | 134,837 | 184,308 |
Customer Relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 291,236 | 319,496 |
Accumulated Amortization | -172,958 | -155,604 |
Net Book Value | 118,278 | 163,892 |
Trade Names [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 5,187 | 5,993 |
Accumulated Amortization | -1,570 | -1,555 |
Net Book Value | 3,617 | 4,438 |
Other [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 15,686 | 18,833 |
Accumulated Amortization | -2,744 | -2,855 |
Net Book Value | $12,942 | $15,978 |
Goodwill_and_intangible_assets4
Goodwill and intangible assets (Estimated Future Amortization Expense) (Details) (USD $) | Mar. 28, 2015 | Jun. 28, 2014 |
In Thousands, unless otherwise specified | ||
Fiscal Year: | ||
Remainder of fiscal 2015 | $10,841 | |
2016 | 31,373 | |
2017 | 29,587 | |
2018 | 21,165 | |
2019 | 17,688 | |
2020 | 15,461 | |
Thereafter | 8,722 | |
Net Book Value | $134,837 | $184,308 |
Goodwill_and_intangible_assets5
Goodwill and intangible assets Textuals (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 28, 2015 | Mar. 29, 2014 | Mar. 28, 2015 | Mar. 29, 2014 |
Goodwill and intangible assets | ||||
Weighted average life of intangible assets | 5 years | 5 years | ||
Intangible asset amortization expense | $10,600 | $12,200 | $32,630 | $33,081 |
Debt_Details
Debt (Details) (USD $) | Mar. 28, 2015 | Jun. 28, 2014 |
In Thousands, unless otherwise specified | ||
Components of short-term debt | ||
Debt, Current, Total | $350,277 | $865,088 |
Bank credit facilities and other | ||
Components of short-term debt | ||
Short-term Debt, Weighted Average Interest Rate | 5.56% | 3.20% |
Short-term borrowings | 100,277 | 250,088 |
Accounts receivable securitization program | ||
Components of short-term debt | ||
Current portion of long-term debt, stated interest rate | 0.60% | |
Current portion of long-term debt | 615,000 | |
Notes Due September 1, 2015 | ||
Components of short-term debt | ||
Current portion of long-term debt, stated interest rate | 6.00% | |
Current portion of long-term debt | $250,000 |
Debt_Details1
Debt (Details) (USD $) | Mar. 28, 2015 | Jun. 28, 2014 |
In Thousands, unless otherwise specified | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Gross | $1,726,901 | $1,215,867 |
Debt Instrument, Unamortized Discount | -1,663 | -2,053 |
Long-term debt | 1,725,238 | 1,213,814 |
Accounts receivable securitization program | ||
Debt Instrument [Line Items] | ||
Long-term debt, stated interest rate | 0.60% | |
Notes Due September 1, 2015 | ||
Debt Instrument [Line Items] | ||
Long-term debt, stated interest rate | 6.00% | |
Revolving credit facilities | Accounts receivable securitization program | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Weighted Average Interest Rate | 0.58% | |
Long-term Debt, Gross | 725,000 | |
Revolving credit facilities | 2014 Credit Facility | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Weighted Average Interest Rate | 3.55% | |
Long-term Debt, Gross | 50,000 | |
Revolving credit facilities | 2012 Credit Facility | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Weighted Average Interest Rate | 3.55% | |
Long-term Debt, Gross | 12,000 | |
Notes due | Notes Due September 1, 2015 | ||
Debt Instrument [Line Items] | ||
Long-term debt, stated interest rate | 6.00% | |
Long-term Debt, Gross | 250,000 | |
Notes due | Notes due September 15, 2016 | ||
Debt Instrument [Line Items] | ||
Long-term debt, stated interest rate | 6.63% | 6.63% |
Long-term Debt, Gross | 300,000 | 300,000 |
Notes due | Notes due June 15, 2020 | ||
Debt Instrument [Line Items] | ||
Long-term debt, stated interest rate | 5.88% | 5.88% |
Long-term Debt, Gross | 300,000 | 300,000 |
Notes due | 4.875% Notes due December 1, 2022 | ||
Debt Instrument [Line Items] | ||
Long-term debt, stated interest rate | 4.88% | 4.88% |
Long-term Debt, Gross | 350,000 | 350,000 |
Other long-term debt | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Weighted Average Interest Rate | 1.42% | 1.40% |
Long-term Debt, Gross | $1,901 | $3,867 |
Debt_Textuals_Details
Debt Textuals (Details) (USD $) | 9 Months Ended | |
Mar. 28, 2015 | Jun. 28, 2014 | |
Company's total debt | ||
Total carrying value | $2,080,000,000 | $2,080,000,000 |
Total fair value | 2,170,000,000 | 2,190,000,000 |
2014 Credit Facility | Revolving credit facilities | ||
Debt Instrument [Line Items] | ||
Maximum borrowing amount | 1,250,000,000 | |
Term | 5 years | |
2014 Credit Facility | Letter of Credit [Member] | ||
Debt Instrument [Line Items] | ||
Maximum borrowing amount | 150,000,000 | |
Letters of credit outstanding, amount | 1,900,000 | |
2012 Credit Facility | Letter of Credit [Member] | ||
Debt Instrument [Line Items] | ||
Letters of credit outstanding, amount | 2,000,000 | |
Accounts receivable securitization program | Revolving credit facilities | ||
Debt Instrument [Line Items] | ||
Maximum borrowing amount | 900,000,000 | |
Receivables Owned by Special Purpose Entity | $1,470,000,000 | $1,650,000,000 |
Term | 2 years | |
Program facility fee | 0.38% | |
Accounts receivable securitization program | Base Rate or Commercial Paper [Member] | Revolving credit facilities | ||
Debt Instrument [Line Items] | ||
Spread over base rate | 0.38% |
Derivative_financial_instrumen1
Derivative financial instruments Textuals (Details) | 9 Months Ended |
Mar. 28, 2015 | |
General Discussion of Derivative Instruments and Hedging Activities [Abstract] | |
Maximum maturity of foreign exchange contracts (less than 60 days) | 60 days |
Commitments_and_contingencies_
Commitments and contingencies Textuals (Details) (Bell Microproducts Inc [Member], USD $) | Mar. 28, 2015 |
In Millions, unless otherwise specified | |
Bell Microproducts Inc [Member] | |
Loss Contingency, Estimate [Abstract] | |
Contingent liability recognized | $10 |
Potential exposure, maximum | $73 |
Commitments_and_contingencies_1
Commitments and contingencies Litigation settlement Textuals 2 (Details) (USD $) | 3 Months Ended | 9 Months Ended | |
In Thousands, unless otherwise specified | Mar. 29, 2014 | Mar. 29, 2014 | Mar. 28, 2015 |
Award payment | |||
Gain on legal settlement | $2,965 | $22,102 | |
LCD Class Action Settlement | |||
Award payment | |||
Gain on legal settlement | $3,000 | $19,100 |
Income_taxes_textuals_Details
Income taxes textuals (Details) | 3 Months Ended | 9 Months Ended | ||
Mar. 28, 2015 | Mar. 29, 2014 | Mar. 28, 2015 | Mar. 29, 2014 | |
Income taxes | ||||
Effective tax rate | 28.90% | 31.00% | 26.10% | 31.60% |
Pension_plan_Details
Pension plan (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 28, 2015 | Mar. 29, 2014 | Mar. 28, 2015 | Mar. 29, 2014 |
Components of net periodic pension costs | ||||
Service cost | $9,873 | $9,183 | $29,619 | $27,549 |
Interest cost | 4,449 | 4,289 | 13,347 | 12,867 |
Expected return on plan assets | -9,055 | -7,727 | -27,165 | -23,181 |
Recognized net actuarial loss | 3,251 | 3,171 | 9,753 | 9,513 |
Amortization of prior service credit | -393 | -393 | -1,179 | -1,179 |
Net periodic pension cost | $8,125 | $8,523 | $24,375 | $25,569 |
Pension_plan_textuals_Details
Pension plan textuals (Details) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Mar. 28, 2015 |
Pension plan | |
Defined benefit plans, estimated future employer contributions each remaining quarter of current fiscal year | $10 |
Current year-to-date contributions | $30 |
Share_repurchase_program_textu
Share repurchase program textuals (Details) (USD $) | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||
Share data in Millions, except Per Share data, unless otherwise specified | Mar. 28, 2015 | Feb. 21, 2015 | Mar. 28, 2015 | Mar. 29, 2014 | Mar. 28, 2015 | Mar. 29, 2014 | Nov. 30, 2014 |
Shareholders' equity | |||||||
Authorized repurchase of common stock under Share Repurchase Program | $1,000,000,000 | ||||||
Stock Repurchased and Retired During Period, Shares | 0.9 | ||||||
Average market price per shares repurchased during period (in dollars per share) | $41.97 | ||||||
Stock Repurchased and Retired During Period, Value | 38,800,000 | ||||||
Aggregate number of shares repurchased since inception (in shares) | 21.7 | 21.7 | 21.7 | ||||
Aggregate cost of shares repurchased since inception | 681,700,000 | 681,700,000 | 681,700,000 | ||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | 318,300,000 | 318,300,000 | 318,300,000 | ||||
Cash dividends paid per common share (in dollars per share) | $0.16 | $0.16 | $0.15 | $0.48 | $0.45 | ||
Dividends paid on common stock | $21,700,000 | $65,602,000 | $62,009,000 |
Earnings_per_share_Details
Earnings per share (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Mar. 28, 2015 | Mar. 29, 2014 | Mar. 28, 2015 | Mar. 29, 2014 |
Numerator: | ||||
Net income | $121,529 | $113,851 | $413,180 | $359,339 |
Denominator: | ||||
Weighted average common shares for basic earnings per share | 136,046 | 138,418 | 136,965 | 137,845 |
Net effect of dilutive stock option, restricted stock and performance share awards | 1,675 | 1,761 | 2,216 | 2,170 |
Weighted average common shares for diluted earnings per share | 137,721 | 140,179 | 139,181 | 140,015 |
Basic earnings per share | $0.89 | $0.82 | $3.02 | $2.61 |
Diluted earnings per share | $0.88 | $0.81 | $2.97 | $2.57 |
Additional_cash_flow_informati1
Additional cash flow information (Details) (USD $) | 9 Months Ended | |
Mar. 28, 2015 | Mar. 29, 2014 | |
Additional cash flow information | ||
Non-cash financing activities, contingent | $38,100,000 | |
Interest and income taxes paid | ||
Interest paid | 80,478,000 | 86,844,000 |
Income taxes paid | $122,056,000 | $165,885,000 |
Segment_information_Details
Segment information (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 28, 2015 | Mar. 29, 2014 | Mar. 28, 2015 | Mar. 29, 2014 | Jun. 28, 2014 |
Sales, by segment | |||||
Sales | $6,736,860 | $6,683,616 | $21,128,326 | $20,450,945 | |
Operating income (expense): | |||||
Operating income (expense) before restructuring charges, integration, amortization of acquired intangible assets, and other | 230,393 | 223,794 | 728,714 | 686,482 | |
Restructuring, integration and other expenses (Note 13) | -15,494 | -26,083 | -47,071 | -66,624 | |
Amortization of acquired intangible assets and other | -11,187 | -12,868 | -34,447 | -34,456 | |
Operating income | 203,712 | 184,843 | 647,196 | 585,402 | |
Assets: | |||||
Assets | 10,614,505 | 10,614,505 | 11,255,517 | ||
Property, plant and equipment, net, by geographic area | |||||
Property, plant and equipment, net | 548,433 | 548,433 | 534,999 | ||
Americas | |||||
Sales, by segment | |||||
Sales | 2,677,745 | 2,567,139 | 8,376,754 | 8,119,450 | |
Property, plant and equipment, net, by geographic area | |||||
Property, plant and equipment, net | 340,844 | 340,844 | 306,167 | ||
United States | |||||
Sales, by segment | |||||
Sales | 2,390,000 | 2,300,000 | 7,450,000 | 7,200,000 | |
Property, plant and equipment, net, by geographic area | |||||
Property, plant and equipment, net | 335,400 | 335,400 | 298,100 | ||
EMEA | |||||
Sales, by segment | |||||
Sales | 1,969,069 | 2,160,383 | 6,006,500 | 6,105,393 | |
Property, plant and equipment, net, by geographic area | |||||
Property, plant and equipment, net | 179,385 | 179,385 | 199,374 | ||
Germany | |||||
Sales, by segment | |||||
Sales | 688,700 | 861,400 | 2,220,000 | 2,500,000 | |
Property, plant and equipment, net, by geographic area | |||||
Property, plant and equipment, net | 73,900 | 73,900 | 95,500 | ||
United Kingdom | |||||
Sales, by segment | |||||
Sales | 372,300 | 1,120,000 | |||
Belgium | |||||
Property, plant and equipment, net, by geographic area | |||||
Property, plant and equipment, net | 73,500 | 73,500 | 61,000 | ||
Asia Pacific | |||||
Sales, by segment | |||||
Sales | 2,090,046 | 1,956,094 | 6,745,072 | 6,226,102 | |
Property, plant and equipment, net, by geographic area | |||||
Property, plant and equipment, net | 28,204 | 28,204 | 29,458 | ||
China (including Hong Kong) | |||||
Sales, by segment | |||||
Sales | 667,500 | 700,300 | 2,130,000 | 2,200,000 | |
Taiwan | |||||
Sales, by segment | |||||
Sales | 802,200,000 | 605,700 | 2,620,000 | 2,000,000 | |
Corporate | |||||
Operating income (expense): | |||||
Operating income (expense) before restructuring charges, integration, amortization of acquired intangible assets, and other | -34,992 | -30,530 | -110,805 | -98,126 | |
Assets: | |||||
Assets | 547,682 | 547,682 | 275,121 | ||
Electronics Marketing [Member] | |||||
Sales, by segment | |||||
Sales | 4,219,528 | 4,133,004 | 13,028,812 | 12,225,911 | |
Electronics Marketing [Member] | Segment | |||||
Operating income (expense): | |||||
Operating income (expense) before restructuring charges, integration, amortization of acquired intangible assets, and other | 197,287 | 193,437 | 591,447 | 540,905 | |
Assets: | |||||
Assets | 6,367,106 | 6,367,106 | 6,840,166 | ||
Technology Solutions [Member] | |||||
Sales, by segment | |||||
Sales | 2,517,332 | 2,550,612 | 8,099,514 | 8,225,034 | |
Technology Solutions [Member] | Segment | |||||
Operating income (expense): | |||||
Operating income (expense) before restructuring charges, integration, amortization of acquired intangible assets, and other | 68,098 | 60,887 | 248,072 | 243,703 | |
Assets: | |||||
Assets | $3,699,717 | $3,699,717 | $4,140,230 |
Restructuring_integration_and_2
Restructuring, integration and other expenses (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Mar. 28, 2015 | Mar. 29, 2014 | Mar. 28, 2015 | Mar. 29, 2014 |
Charges related to the acquisition and integration activities [Abstract] | ||||
Restructuring expenses | $8,095 | $25,447 | ||
Integration costs | 5,269 | 15,559 | ||
Other costs including acquisition costs | 2,443 | 6,156 | ||
Changes in estimates for prior restructuring liabilities | -313 | -91 | ||
Restructuring, integration and other expenses before tax | 15,494 | 26,083 | 47,071 | 66,624 |
Restructuring, integration and other expenses after tax | $12,035 | $35,383 | ||
Restructuring, integration and other expenses per share on a diluted basis (in dollars per share) | $0.09 | $0.25 |
Restructuring_integration_and_3
Restructuring, integration and other expenses (Details) (USD $) | 3 Months Ended | 9 Months Ended | |
In Thousands, unless otherwise specified | Mar. 28, 2015 | Mar. 28, 2015 | Jun. 28, 2014 |
Restructuring Cost and Reserve [Line Items] | |||
Fiscal 2015 restructuring expenses | $8,095 | $25,447 | |
Fiscal Year 2015 restructuring liabilites | |||
Restructuring Cost and Reserve [Line Items] | |||
Fiscal 2015 restructuring expenses | 25,447 | ||
Activity related to the restructuring reserves | |||
Cash payments | -10,921 | ||
Non-cash amounts | -7,585 | ||
Other, principally foreign currency translation | -429 | ||
Balance at December 27, 2014 | 6,512 | 6,512 | |
Fiscal Year 2014 restructuring liabilites | |||
Activity related to the restructuring reserves | |||
Balance at June 28, 2014 | 27,785 | ||
Cash payments | -18,079 | ||
Changes in estimates, net | 401 | ||
Non-cash amounts | -916 | ||
Other, principally foreign currency translation | -2,080 | ||
Balance at December 27, 2014 | 7,111 | 7,111 | |
Employee Severance | Fiscal Year 2015 restructuring liabilites | |||
Restructuring Cost and Reserve [Line Items] | |||
Fiscal 2015 restructuring expenses | 9,455 | ||
Activity related to the restructuring reserves | |||
Cash payments | -6,642 | ||
Other, principally foreign currency translation | -201 | ||
Balance at December 27, 2014 | 2,612 | 2,612 | |
Employee Severance | Fiscal Year 2014 restructuring liabilites | |||
Activity related to the restructuring reserves | |||
Balance at June 28, 2014 | 23,744 | ||
Cash payments | -16,694 | ||
Changes in estimates, net | 308 | ||
Non-cash amounts | -92 | ||
Other, principally foreign currency translation | -1,742 | ||
Balance at December 27, 2014 | 5,524 | 5,524 | |
Facility Closing | Fiscal Year 2015 restructuring liabilites | |||
Restructuring Cost and Reserve [Line Items] | |||
Fiscal 2015 restructuring expenses | 10,802 | ||
Activity related to the restructuring reserves | |||
Cash payments | -4,279 | ||
Non-cash amounts | -2,395 | ||
Other, principally foreign currency translation | -228 | ||
Balance at December 27, 2014 | 3,900 | 3,900 | |
Facility Closing | Fiscal Year 2014 restructuring liabilites | |||
Activity related to the restructuring reserves | |||
Balance at June 28, 2014 | 3,697 | ||
Cash payments | -1,385 | ||
Changes in estimates, net | 93 | ||
Non-cash amounts | -824 | ||
Other, principally foreign currency translation | -338 | ||
Balance at December 27, 2014 | 1,243 | 1,243 | |
Other Restructuring | Fiscal Year 2015 restructuring liabilites | |||
Restructuring Cost and Reserve [Line Items] | |||
Fiscal 2015 restructuring expenses | 5,190 | ||
Activity related to the restructuring reserves | |||
Non-cash amounts | -5,190 | ||
Other Restructuring | Fiscal Year 2014 restructuring liabilites | |||
Activity related to the restructuring reserves | |||
Balance at June 28, 2014 | 344 | ||
Balance at December 27, 2014 | $344 | $344 | $344 |
Restructuring_integration_and_4
Restructuring, integration and other expenses textuals (Details) (USD $) | 3 Months Ended | 9 Months Ended | |
In Thousands, unless otherwise specified | Mar. 28, 2015 | Mar. 28, 2015 | Jun. 28, 2014 |
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expenses | $8,095 | $25,447 | |
Business Support | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expenses | 800 | ||
Fiscal Year 2015 restructuring liabilites | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expenses | 25,447 | ||
Restructuring Reserve | 6,512 | 6,512 | |
Fiscal Year 2015 restructuring liabilites | EM | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expenses | 11,800 | ||
Fiscal Year 2015 restructuring liabilites | TS | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expenses | 12,800 | ||
Fiscal Year 2015 restructuring liabilites | Minimum | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related cost, range of positions eliminated, low end | 200 | ||
Fiscal Year 2014 restructuring liabilites | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 7,111 | 7,111 | 27,785 |
Fiscal Year 2013 and Prior restructuring liabilites | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | $6,300 | $6,300 | $13,100 |