Document_and_Entity_Informatio
Document and Entity Information Document | 9 Months Ended | |
Sep. 29, 2013 | Nov. 01, 2013 | |
Entity [Abstract] | ' | ' |
Entity Registrant Name | 'MASONITE INTERNATIONAL CORPORATION | ' |
Entity Central Index Key | '0000893691 | ' |
Current Fiscal Year End Date | '--12-29 | ' |
Entity Filer Category | 'Non-accelerated Filer | ' |
Document Type | '10-Q | ' |
Document Period End Date | 29-Sep-13 | ' |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Amendment Flag | 'false | ' |
Entity Common Stock, Shares Outstanding | ' | 28,682,929 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' | ' |
Net sales | $433,051 | $424,957 | $1,310,668 | $1,257,846 |
Cost of goods sold | 374,082 | 369,520 | 1,136,629 | 1,094,400 |
Gross profit | 58,969 | 55,437 | 174,039 | 163,446 |
Selling, general and administration expenses | 51,386 | 52,653 | 154,378 | 155,646 |
Restructuring costs | 1,265 | 3,829 | 4,467 | 5,051 |
Operating income (loss) | 6,318 | -1,045 | 15,194 | 2,749 |
Interest expense, net | 8,330 | 7,969 | 24,788 | 23,073 |
Other expense (income), net | -255 | 80 | -776 | 1,197 |
Income (loss) from continuing operations before income tax expense (benefit) | -1,757 | -9,094 | -8,818 | -21,521 |
Income tax expense (benefit) | -6,272 | -141 | -7,716 | -6,338 |
Income (loss) from continuing operations | 4,515 | -8,953 | -1,102 | -15,183 |
Income (loss) from discontinued operations, net of tax | -62 | -50 | -196 | 1,520 |
Net income (loss) | 4,453 | -9,003 | -1,298 | -13,663 |
Less: Net income (loss) attributable to noncontrolling interest | 838 | 913 | 2,123 | 2,131 |
Net income (loss) attributable to Masonite | 3,615 | -9,916 | -3,421 | -15,794 |
Earnings (loss) per common share attributable to Masonite: | ' | ' | ' | ' |
Basic (in dollars per share) | $0.13 | ($0.36) | ($0.12) | ($0.57) |
Diluted (in dollars per share) | $0.12 | ($0.36) | ($0.12) | ($0.57) |
Earnings (loss) per common share from continuing operations attributable to Masonite: | ' | ' | ' | ' |
Basic (in dollars per share) | $0.13 | ($0.36) | ($0.11) | ($0.63) |
Diluted (in dollars per share) | $0.12 | ($0.36) | ($0.11) | ($0.63) |
Other comprehensive income (loss): | ' | ' | ' | ' |
Foreign exchange gain (loss) | 10,284 | 19,571 | -13,577 | 7,932 |
Amortization of actuarial net losses | -349 | -422 | -1,047 | -1,267 |
Income tax benefit (expense) related to other comprehensive income (loss) | -136 | 1,034 | -408 | 294 |
Other comprehensive income (loss), net of tax: | 10,497 | 21,027 | -12,938 | 9,493 |
Comprehensive income (loss) | 14,950 | 12,024 | -14,236 | -4,170 |
Less: comprehensive income (loss) attributable to noncontrolling interest | 962 | 1,543 | 1,737 | 2,604 |
Comprehensive income (loss) attributable to Masonite | $13,988 | $10,481 | ($15,973) | ($6,774) |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (Unaudited) (USD $) | Sep. 29, 2013 | Dec. 30, 2012 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $113,172 | $122,314 |
Restricted cash | 14,138 | 12,769 |
Accounts receivable, net | 270,642 | 256,666 |
Inventories, net | 234,878 | 208,783 |
Prepaid expenses | 21,674 | 19,546 |
Assets held for sale | 3,338 | 7,211 |
Income taxes receivable | 4,900 | 6,502 |
Current deferred income taxes | 16,936 | 18,681 |
Total current assets | 679,678 | 652,472 |
Property, plant and equipment, net | 619,317 | 648,360 |
Investment in equity investees | 8,422 | 7,633 |
Goodwill | 78,450 | 78,122 |
Intangible assets, net | 207,824 | 219,624 |
Long-term deferred income taxes | 11,434 | 14,502 |
Other assets, net | 25,809 | 25,235 |
Total assets | 1,630,934 | 1,645,948 |
Current liabilities: | ' | ' |
Accounts payable | 109,403 | 93,311 |
Accrued expenses | 140,581 | 139,383 |
Income taxes payable | 2,509 | 2,194 |
Total current liabilities | 252,493 | 234,888 |
Long-term debt | 378,040 | 378,848 |
Long-term deferred income taxes | 105,009 | 119,139 |
Other liabilities | 68,123 | 75,258 |
Total liabilities | 803,665 | 808,133 |
Commitments and Contingencies | ' | ' |
Equity: | ' | ' |
Share capital: unlimited shares authorized, 28,438,664 and 27,943,774 shares issued and outstanding as of September 29, 2013, and December 30, 2012, respectively. | 641,311 | 633,910 |
Additional paid-in capital | 238,769 | 240,784 |
Accumulated deficit | -52,588 | -49,167 |
Accumulated other comprehensive income (loss) | -31,536 | -18,984 |
Total equity attributable to Masonite | 795,956 | 806,543 |
Equity attributable to noncontrolling interests | 31,313 | 31,272 |
Total equity | 827,269 | 837,815 |
Total liabilities and equity | $1,630,934 | $1,645,948 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) | Sep. 29, 2013 | Dec. 30, 2012 |
Statement of Financial Position [Abstract] | ' | ' |
Shares issued | 28,438,664 | 27,943,774 |
Shares outstanding | 28,438,664 | 27,943,774 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Changes in Equity (Unaudited) (USD $) | Total | Common Stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive Income (Loss) | Total Equity Attributable to Masonite | Equity Attributable to Noncontrolling Interests |
In Thousands, except Share data, unless otherwise specified | |||||||
Opening Balance, Value at Jan. 02, 2012 | $848,483 | $626,787 | $241,496 | ($25,922) | ($27,728) | $814,633 | $33,850 |
Opening Balance, Shares at Jan. 02, 2012 | ' | 27,531,792 | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' |
Net income (loss) | -20,322 | ' | ' | -23,245 | ' | -23,245 | 2,923 |
Other comprehensive income (loss), net of tax | 8,978 | ' | ' | ' | 8,744 | 8,744 | 234 |
Dividends to noncontrolling interests | -5,735 | ' | ' | ' | ' | ' | -5,735 |
Share based awards | 6,517 | ' | 6,517 | ' | ' | 6,517 | ' |
Common shares issued for delivery of share based awards, Shares | ' | 411,982 | ' | ' | ' | ' | ' |
Common shares issued for delivery of share based awards, Value | ' | 7,123 | -7,123 | ' | ' | ' | ' |
Reduction of return of capital payable due to forfeitures of share based awards | -11 | ' | -11 | ' | ' | -11 | ' |
Common shares withheld to cover income taxes payable due to delivery of share based awards | -95 | ' | -95 | ' | ' | -95 | ' |
Ending Balance, Value at Dec. 30, 2012 | 837,815 | 633,910 | 240,784 | -49,167 | -18,984 | 806,543 | 31,272 |
Ending Balance, Shares at Dec. 30, 2012 | 27,943,774 | 27,943,774 | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' |
Net income (loss) | -1,298 | ' | ' | -3,421 | ' | -3,421 | 2,123 |
Other comprehensive income (loss), net of tax | -12,938 | ' | ' | ' | -12,552 | -12,552 | -386 |
Dividends to noncontrolling interests | -1,696 | ' | ' | ' | ' | ' | -1,696 |
Share based awards | 5,752 | ' | ' | ' | ' | 5,752 | ' |
Common shares issued for delivery of share based awards, Shares | ' | 494,890 | ' | ' | ' | ' | ' |
Common shares issued for delivery of share based awards, Value | ' | 7,401 | -7,401 | ' | ' | ' | ' |
Common shares withheld to cover income taxes payable due to delivery of share based awards | -366 | ' | -366 | ' | ' | -366 | ' |
Ending Balance, Value at Sep. 29, 2013 | $827,269 | $641,311 | $238,769 | ($52,588) | ($31,536) | $795,956 | $31,313 |
Ending Balance, Shares at Sep. 29, 2013 | 28,438,664 | 28,438,664 | ' | ' | ' | ' | ' |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 |
Cash flows from operating activities: | ' | ' |
Net income (loss) | ($1,298) | ($13,663) |
Adjustments to reconcile net income (loss) to net cash flow provided by (used in) operating activities, net of acquisitions: | ' | ' |
Loss (income) from discontinued operations, net of tax | 196 | -1,520 |
Depreciation | 47,682 | 47,486 |
Amortization of intangible assets | 12,883 | 11,070 |
Amortization of debt issue costs | 368 | 446 |
Share based compensation expense | 5,752 | 4,605 |
Deferred income taxes | -8,826 | -8,794 |
Unrealized foreign exchange loss (gain) | -298 | 782 |
Share of loss (income) from equity investees, net of tax | -789 | -479 |
Pension and post-retirement expense (funding), net | -4,608 | -4,248 |
Non-cash accruals and interest | 404 | 611 |
Loss (gain) on sale of property, plant and equipment | -1,810 | 683 |
Impairment of property, plant and equipment | 1,904 | 911 |
Accounts receivable | -18,091 | -15,080 |
Inventories | -24,084 | -14,656 |
Prepaid expenses | -2,577 | -817 |
Accounts payable and accrued expenses | 21,142 | 20,921 |
Other assets and liabilities | 1,897 | 487 |
Net cash flow provided by (used in) operating activities - continuing operations | 29,847 | 28,745 |
Net cash flow provided by (used in) operating activities - discontinued operations | 0 | -315 |
Net cash flow provided by (used in) operating activities | 29,847 | 28,430 |
Cash flows from investing activities: | ' | ' |
Proceeds from sale of property, plant and equipment | 9,288 | 280 |
Additions to property, plant and equipment | -24,850 | -32,873 |
Cash used in acquisitions, net of cash acquired | -15,082 | -87,732 |
Restricted cash | -1,369 | 94 |
Other investing activities | -2,471 | -1,575 |
Net cash flow provided by (used in) investing activities - continuing operations | -34,484 | -121,806 |
Net cash flow provided by (used in) investing activities - discontinued operations | 0 | 1,703 |
Net cash flow provided by (used in) investing activities | -34,484 | -120,103 |
Cash flows from financing activities: | ' | ' |
Proceeds from issuance of long-term debt | 0 | 103,500 |
Payment of financing costs | 0 | -2,035 |
Distributions to non-controlling interests | -1,696 | -3,599 |
Return of capital paid | -1,321 | -1,333 |
Net cash flow provided by (used in) financing activities - continuing operations | -3,017 | 96,533 |
Net cash flow provided by (used in) financing activities - discontinued operations | 0 | 0 |
Net cash flow provided by (used in) financing activities | -3,017 | 96,533 |
Net foreign currency translation adjustment on cash | -1,488 | 982 |
Increase (decrease) in cash and cash equivalents | -9,142 | 5,842 |
Cash and cash equivalents, beginning of period | 122,314 | 109,205 |
Cash and cash equivalents, at end of period | $113,172 | $115,047 |
Business_Overview_and_Signific
Business Overview and Significant Accounting Policies | 9 Months Ended |
Sep. 29, 2013 | |
Accounting Policies [Abstract] | ' |
Business Overview and Significant Accounting Policies | ' |
Business Overview and Significant Accounting Policies | |
Masonite International Corporation (“Masonite” or the “Company”) is one of the largest manufacturers of doors in the world, with significant market share in both interior and exterior door products. Masonite operates 64 manufacturing locations in 11 countries and sells doors to customers in countries throughout the world, including the United States, Canada and France. | |
Basis of Presentation | |
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and applicable rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Accordingly, they do not include all of the information and notes required by GAAP for annual financial statements. In the opinion of management, all adjustments consisting of normal and recurring entries considered necessary for a fair presentation of the results for the interim periods presented have been included. All significant intercompany balances and transactions have been eliminated. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect reported amounts in the financial statements and accompanying notes. These estimates are based on information available as of the date of the unaudited condensed consolidated financial statements; therefore, actual results could differ from those estimates. Interim results are not necessarily indicative of the results for a full year. | |
These unaudited condensed consolidated financial statements should be read in conjunction with the Company’s annual audited consolidated financial statements, including the accompanying notes, which are included in the Form 10 filed with the SEC on August 19, 2013. On September 6, 2013, the Form 10 was declared effective by the SEC, resulting in the Company becoming subject to the reporting requirements of the Securities Exchange Act of 1934, as amended. On September 9, 2013, the common shares of the Company began trading on the New York Stock Exchange under the ticker symbol "DOOR". | |
There have been no changes in the significant accounting policies from those that were disclosed in the 2012 audited consolidated financial statements included in the Form 10. Certain prior year amounts have been reclassified to conform to the current basis of presentation. | |
The Company’s fiscal year is the 52- or 53-week period ending on the Sunday closest to December 31. In a 52-week year, each fiscal quarter consists of 13 weeks. For ease of disclosure, the 39- and 13-week periods are referred to as nine month and three month periods, respectively. | |
Changes in Accounting Standards and Policies | |
Adoption of Recent Accounting Pronouncements | |
In February 2013, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2013-02, “Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income.” This ASU amends Accounting Standards Codification (“ASC”) 220, “Comprehensive Income,” and requires an entity to report the effect of significant reclassifications out of accumulated other comprehensive income on the respective line items of net income if the amount being reclassified is required under GAAP to be reclassified in its entirety to net income in the same reporting period. For other amounts that are not required under GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under U.S. GAAP that provide additional details about those amounts. This ASU is effective prospectively for annual reporting periods beginning after December 15, 2012, and interim periods within those annual periods. The adoption of this standard did not result in a change to the accounting treatment of comprehensive income and did not have a material impact on the presentation of the Company’s financial statements. | |
In July 2012, the FASB issued ASU 2012-02, “Testing Indefinite-Lived Intangible Assets for Impairment.” This ASU addresses annual impairment testing for indefinite-lived intangible assets other than goodwill as contemplated in ASC 350, “Intangibles-Goodwill and other,” and was issued to simplify how an entity tests indefinite-lived intangible assets other than goodwill for impairment by permitting an entity to perform a qualitative assessment to determine whether an indefinite-lived intangible asset other than goodwill is impaired. If the qualitative assessment leads to the determination that it is more likely than not that an indefinite-lived intangible asset other than goodwill is impaired, further impairment testing is necessary using the current two-step quantitative impairment test. This pronouncement is effective for reporting periods beginning after September 15, 2012, and early adoption is permitted. The adoption of this standard did not have a material impact on the Company’s reported results of operations, cash flows or financial position. | |
Other Recent Accounting Pronouncements not yet Adopted | |
In July 2013, the FASB issued ASU 2013-11, “Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists,” which amended ASC 740, “Income Taxes.” This ASU addresses the diversity in practice regarding financial statement presentation of an unrecognized tax benefit when a net operating loss, a similar tax loss or a tax credit carryforward exists. This ASU requires an entity to present an unrecognized tax benefit, or a portion of an unrecognized tax benefit, as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss or a tax credit carryforward, except as follows: to the extent a net operating loss carryforward, a similar tax loss or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. This ASU is effective prospectively for reporting periods beginning after December 15, 2013, and early adoption is permitted. The adoption of this standard is not expected to have an impact on the presentation of the Company’s financial statements. | |
In March 2013, the FASB issued ASU 2013-05, “Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity,” which amended ASC 830, “Foreign Currency Matters.” This ASU updates accounting guidance related to the application of consolidation guidance and foreign currency matters. This ASU resolves the diversity in practice about what guidance applies to the release of the cumulative translation adjustment into net income. This ASU is effective prospectively for annual reporting periods beginning after December 15, 2013, and interim periods within those annual periods. The Company is in the process of evaluating this guidance to determine the magnitude of its impact on the Company’s financial statements. |
Acquisitions
Acquisitions | 9 Months Ended | |||||||||||||||
Sep. 29, 2013 | ||||||||||||||||
Business Combinations [Abstract] | ' | |||||||||||||||
Acquisitions | ' | |||||||||||||||
Acquisitions | ||||||||||||||||
2013 Acquisition | ||||||||||||||||
On July 9, 2013, the Company completed the acquisition of the door manufacturing operations of Masisa S.A. (“Masisa”) for total consideration of $12.2 million. The transaction includes the door component operations in Cabrero, Chile, and a door assembly factory in Chillan, Chile. The operations acquired primarily manufacture high quality stile and rail panel and French wood doors for the North American market. The excess purchase price over the fair value of net tangible and intangible assets acquired of $0.3 million was allocated to goodwill. The goodwill principally represents anticipated synergies to be gained from integration into the Company’s North American wood door business. This goodwill is not deductible for tax purposes and relates to the North America segment. The Masisa acquisition acts as a natural complement to the Company's existing North American interior stile and rail residential wood door operations. | ||||||||||||||||
The aggregate consideration paid for the acquisition during 2013 was as follows: | ||||||||||||||||
(In thousands) | Masisa Acquisition | |||||||||||||||
Inventory | $ | 5,174 | ||||||||||||||
Property, plant and equipment | 6,228 | |||||||||||||||
Goodwill | 316 | |||||||||||||||
Other assets and liabilities, net | 508 | |||||||||||||||
Cash consideration | $ | 12,226 | ||||||||||||||
Amounts of revenue and earnings included in the condensed consolidated statements of comprehensive income (loss) for Masisa were not material for the three and nine months ended September 29, 2013. | ||||||||||||||||
2012 Acquisitions | ||||||||||||||||
On August 1, 2012, the Company completed the acquisition of Portes Lemieux Inc. (“Lemieux”), headquartered in Windsor, Quebec, for total consideration of $22.1 million, net of cash acquired. The Company acquired 100% of the equity interests in Lemieux through the purchase of all of the outstanding shares of common stock at the acquisition date. Lemieux manufactures interior and exterior stile and rail wood doors for residential applications at its two facilities in Windsor, Quebec. The excess purchase price over the fair value of net tangible and intangible assets acquired of $0.4 million was allocated to goodwill. The goodwill principally represents anticipated synergies to be gained from the integration into the Company’s North American wood door business. This goodwill is not deductible for tax purposes and relates to the North America segment. The acquisition of Lemieux complements Masonite’s residential wood door business and provides an additional strategic growth platform for the Company. | ||||||||||||||||
On April 20, 2012, the Company completed the acquisition of Algoma Holding Company (“Algoma”), headquartered in Algoma, Wisconsin, for total consideration of $55.6 million, net of cash acquired. The Company acquired 100% of the equity interests in Algoma through the purchase of all of the outstanding shares of common stock at the acquisition date. Algoma manufactures interior wood doors and components for commercial and architectural applications at its facilities in Algoma, Wisconsin, and Jefferson City, Tennessee. The acquisition of Algoma complements Masonite’s existing Marshfield, Mohawk and Baillargeon branded commercial and architectural interior wood door business and provides strategic growth opportunities for the Company in its Architectural DoorSystems business in North America. The excess purchase price over the fair value of net tangible and intangible assets acquired of $20.0 million was allocated to goodwill. The goodwill principally represents anticipated synergies to be gained from the integration into the Company’s Architectural DoorSystems business. This goodwill is not deductible for tax purposes and relates to the North America segment. | ||||||||||||||||
On March 26, 2012, the Company completed the acquisition of Les Portes Baillargeon, Inc. (“Baillargeon”), headquartered in St. Ephrem, Quebec, for total consideration of $9.9 million. The Company acquired 100% of the equity interests in Baillargeon through the purchase of all of the outstanding shares of common stock at the acquisition date. Baillargeon is a Canadian manufacturer of interior wood doors for commercial and architectural applications. The Baillargeon acquisition strengthens the Company’s Architectural DoorSystems business in North America. The excess purchase price over the fair value of net tangible and intangible assets acquired of $1.1 million was allocated to goodwill. The goodwill principally represents anticipated synergies to be gained from the integration into the Company’s Architectural DoorSystems business. This goodwill is not deductible for tax purposes and relates to the North America segment. | ||||||||||||||||
The aggregate consideration paid for acquisitions during 2012 was as follows: | ||||||||||||||||
(In thousands) | Lemieux Acquisition | Algoma Acquisition | Baillargeon Acquisition | Total 2012 Acquisitions | ||||||||||||
Accounts receivable | $ | 3,547 | $ | 8,874 | $ | 3,105 | $ | 15,526 | ||||||||
Inventory | 6,013 | 6,391 | 1,758 | 14,162 | ||||||||||||
Property, plant and equipment | 15,148 | 9,658 | 7,054 | 31,860 | ||||||||||||
Goodwill | 397 | 20,049 | 1,113 | 21,559 | ||||||||||||
Intangible assets | 3,900 | 28,600 | — | 32,500 | ||||||||||||
Deferred income taxes | (3,023 | ) | (11,866 | ) | (929 | ) | (15,818 | ) | ||||||||
Other assets and liabilities, net | (3,915 | ) | (6,073 | ) | (2,158 | ) | (12,146 | ) | ||||||||
Cash consideration, net of cash acquired | $ | 22,067 | $ | 55,633 | $ | 9,943 | $ | 87,643 | ||||||||
The fair values of intangible assets acquired are based on management’s estimates and assumptions including variations of the income approach, the cost approach and the market approach. Intangible assets acquired from Lemieux and Algoma consist of customer relationships, and will be amortized over the weighted average amortization period of 7.8 years. The intangible assets are not expected to have any residual value. | ||||||||||||||||
The gross contractual value of acquired trade receivables was $5.1 million, $9.0 million and $3.1 million from Lemieux, Algoma and Baillargeon, respectively. | ||||||||||||||||
The following schedule represents the amounts of revenue and earnings which have been included in the condensed consolidated statements of comprehensive income (loss) for the periods indicated subsequent to the respective acquisition dates: | ||||||||||||||||
Three Months Ended September 29, 2013 | ||||||||||||||||
(In thousands) | Lemieux | Algoma | Baillargeon | Total | ||||||||||||
Net sales | $ | 15,188 | $ | 16,405 | $ | 4,862 | $ | 36,455 | ||||||||
Net income (loss) attributable to Masonite | 1,695 | 655 | 374 | 2,724 | ||||||||||||
Three Months Ended September 30, 2012 | ||||||||||||||||
(In thousands) | Lemieux | Algoma | Baillargeon | Total | ||||||||||||
Net sales | $ | 7,072 | $ | 17,005 | $ | 5,355 | $ | 29,432 | ||||||||
Net income (loss) attributable to Masonite | 357 | 1,061 | 330 | 1,748 | ||||||||||||
Nine Months Ended September 29, 2013 | ||||||||||||||||
(In thousands) | Lemieux | Algoma | Baillargeon | Total | ||||||||||||
Net sales | $ | 42,474 | $ | 50,724 | $ | 14,812 | $ | 108,010 | ||||||||
Net income (loss) attributable to Masonite | 4,793 | 1,815 | 687 | 7,295 | ||||||||||||
Nine Months Ended September 30, 2012 | ||||||||||||||||
(In thousands) | Lemieux | Algoma | Baillargeon | Total | ||||||||||||
Net sales | $ | 7,072 | $ | 31,942 | $ | 11,028 | $ | 50,042 | ||||||||
Net income (loss) attributable to Masonite | 357 | 1,471 | 732 | 2,560 | ||||||||||||
Marshfield Business Interruption Insurance Proceeds | ||||||||||||||||
In August 2011, the Company completed the acquisition of Marshfield DoorSystems, Inc. (“Marshfield”), for net consideration of $102.4 million. Prior to acquisition, Marshfield experienced a loss of certain property, plant and equipment, as well as a partial and temporary business interruption, due to an explosion that impacted a portion of its manufacturing facility in Marshfield, Wisconsin. Losses related to the event were recognized by Marshfield prior to the acquisition. Marshfield was insured for these losses, including business interruption, and the Company retained rights to this insurance claim subsequent to acquisition. During the fourth quarter of 2012, the Company recognized $3.3 million as partial settlement for business insurance losses. In the first quarter of 2013, the Company recognized an additional $4.5 million as final settlement of the business interruption insurance claim. These proceeds were recorded as a reduction to selling, general and administration expense in the condensed consolidated statements of comprehensive income (loss). No further business interruption insurance proceeds are expected as a result of this event. | ||||||||||||||||
Pro Forma Information | ||||||||||||||||
The following unaudited pro forma financial information represents the unaudited condensed consolidated financial information as if the Company’s acquisitions had been included in the unaudited condensed consolidated results of the Company beginning on the first day of the fiscal year prior to their respective acquisition dates. The pro forma results have been derived from unaudited 2012 financial results of the acquired entities. The pro forma results have been calculated after adjusting the results of the acquired entities to remove intercompany transactions and transaction costs incurred and to reflect the additional depreciation and amortization that would have been charged assuming the fair value adjustments to inventory, property, plant and equipment and intangible assets had been applied on the first day of the fiscal year prior to acquisition, together with the consequential tax effects. The pro forma results do not reflect any cost savings, operating synergies or revenue enhancements that the combined company may achieve as a result of the acquisitions; the costs to combine the companies’ operations; or the costs necessary to achieve these costs savings, operating synergies and revenue enhancements. The pro forma results do not necessarily reflect the actual results of operations of the combined companies under ownership and operation of the Company. | ||||||||||||||||
Pro forma information relating to the Masisa acquisition is not materially different from amounts reported. | ||||||||||||||||
Three Months Ended September 30, 2012 | ||||||||||||||||
(In thousands, except per share amounts) | Masonite | 2012 Acquisitions | Pro Forma | |||||||||||||
Net sales | $ | 424,957 | $ | 3,501 | $ | 428,458 | ||||||||||
Net income (loss) attributable to Masonite | (9,916 | ) | 383 | (9,533 | ) | |||||||||||
Basic earnings (loss) per common share | $ | (0.36 | ) | $ | (0.34 | ) | ||||||||||
Diluted earnings (loss) per common share | $ | (0.36 | ) | $ | (0.34 | ) | ||||||||||
Nine Months Ended September 30, 2012 | ||||||||||||||||
(In thousands, except per share amounts) | Masonite | 2012 Acquisitions | Pro Forma | |||||||||||||
Net sales | $ | 1,257,846 | $ | 50,267 | $ | 1,308,113 | ||||||||||
Net income (loss) attributable to Masonite | (15,794 | ) | 2,232 | (13,562 | ) | |||||||||||
Basic earnings (loss) per common share | $ | (0.63 | ) | $ | (0.49 | ) | ||||||||||
Diluted earnings (loss) per common share | $ | (0.63 | ) | $ | (0.49 | ) |
Goodwill_and_Intangible_Assets
Goodwill and Intangible Assets | 9 Months Ended | |||||||||||||||
Sep. 29, 2013 | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||
Goodwill and Intangible Assets | ' | |||||||||||||||
Goodwill and Intangible Assets | ||||||||||||||||
Changes in the carrying amount of goodwill for the periods indicated are as follows: | ||||||||||||||||
(In thousands) | North America Segment | |||||||||||||||
January 1, 2012 | $ | 56,563 | ||||||||||||||
Goodwill from 2012 acquisitions | 21,559 | |||||||||||||||
December 30, 2012 | 78,122 | |||||||||||||||
Goodwill from 2013 acquisitions | 316 | |||||||||||||||
Foreign exchange fluctuations | 12 | |||||||||||||||
September 29, 2013 | $ | 78,450 | ||||||||||||||
The cost and accumulated amortized values of the Company’s intangible assets as of September 29, 2013, and December 30, 2012, are presented in the following tables: | ||||||||||||||||
September 29, 2013 | ||||||||||||||||
(In thousands) | Cost | Accumulated Amortization | Translation Adjustment | Net Book Value | ||||||||||||
Definite life intangible assets: | ||||||||||||||||
Customer relationships | $ | 82,333 | $ | (18,794 | ) | $ | (328 | ) | $ | 63,211 | ||||||
Patents | 27,289 | (11,471 | ) | 140 | 15,958 | |||||||||||
Software | 26,901 | (14,843 | ) | 350 | 12,408 | |||||||||||
Other | 11,923 | (5,120 | ) | (1,417 | ) | 5,386 | ||||||||||
148,446 | (50,228 | ) | (1,255 | ) | 96,963 | |||||||||||
Indefinite life intangible assets: | ||||||||||||||||
Trademarks and tradenames | 109,789 | — | 1,072 | 110,861 | ||||||||||||
Total intangible assets | $ | 258,235 | $ | (50,228 | ) | $ | (183 | ) | $ | 207,824 | ||||||
December 30, 2012 | ||||||||||||||||
(In thousands) | Cost | Accumulated Amortization | Translation Adjustment | Net Book Value | ||||||||||||
Definite life intangible assets: | ||||||||||||||||
Customer relationships | $ | 82,333 | $ | (11,373 | ) | $ | (169 | ) | $ | 70,791 | ||||||
Patents | 26,277 | (9,521 | ) | 148 | 16,904 | |||||||||||
Software | 25,806 | (12,491 | ) | 423 | 13,738 | |||||||||||
Other | 11,923 | (3,960 | ) | (950 | ) | 7,013 | ||||||||||
146,339 | (37,345 | ) | (548 | ) | 108,446 | |||||||||||
Indefinite life intangible assets: | ||||||||||||||||
Trademarks and tradenames | 109,789 | — | 1,389 | 111,178 | ||||||||||||
Total intangible assets | $ | 256,128 | $ | (37,345 | ) | $ | 841 | $ | 219,624 | |||||||
Amortization of intangible assets was $4.3 million and $12.9 million for the three and nine months ended September 29, 2013, respectively, and was $4.4 million and $11.1 million for the three and nine months ended September 30, 2012. Amortization expense is classified within selling, general and administration expenses in the condensed consolidated statements of comprehensive income (loss). | ||||||||||||||||
The estimated future amortization of intangible assets with definite lives as of September 29, 2013, is as follows: | ||||||||||||||||
(In thousands) | ||||||||||||||||
Fiscal year: | ||||||||||||||||
2013 (remaining three months) | $ | 4,225 | ||||||||||||||
2014 | 16,976 | |||||||||||||||
2015 | 16,436 | |||||||||||||||
2016 | 15,220 | |||||||||||||||
2017 | 13,108 | |||||||||||||||
Accounts_Receivable
Accounts Receivable | 9 Months Ended |
Sep. 29, 2013 | |
Receivables [Abstract] | ' |
Accounts Receivable | ' |
Accounts Receivable | |
The Company’s customers consist mainly of wholesale distributors, dealers, and retail home centers. The Company’s ten largest customers accounted for 41.5% and 42.5% of total accounts receivable as of September 29, 2013, and December 30, 2012, respectively. The Company’s largest customer, The Home Depot, Inc., accounted for more than 10% of the consolidated gross accounts receivable balance as of September 29, 2013, and December 30, 2012. The Company’s second largest customer, Lowe’s Companies, Inc., accounted for more than 10% of the consolidated gross accounts receivable balance as of December 30, 2012. No other individual customer accounted for greater than 10% of the consolidated gross accounts receivable balance at either September 29, 2013, or December 30, 2012. | |
The allowance for doubtful accounts balance was $3.9 million as of both September 29, 2013, and December 30, 2012. | |
The Company maintains an accounts receivable sales program with a third party (“AR Sales Program”). Under the AR Sales Program, the Company can transfer ownership of eligible trade accounts receivable of a large retail customer. Receivables are sold outright to a third party that assumes the full risk of collection, without recourse to the Company in the event of a loss. Transfers of receivables under this program are accounted for as sales. Proceeds from the transfers reflect the face value of the accounts receivable less a discount. Receivables sold under the AR Sales Program are excluded from trade accounts receivable in the condensed consolidated balance sheets and are reflected as cash provided by operating activities in the condensed consolidated statements of cash flows. The discounts on the sales of trade accounts receivable sold under the AR Sales Program were not material for any of the periods presented and were recorded to selling, general and administration expense within the condensed consolidated statements of comprehensive income (loss). |
Inventories
Inventories | 9 Months Ended | |||||||
Sep. 29, 2013 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
Inventories | ' | |||||||
Inventories | ||||||||
The following sets forth the amounts of inventory on hand as of September 29, 2013, and December 30, 2012: | ||||||||
(In thousands) | 29-Sep-13 | December 30, 2012 | ||||||
Raw materials | $ | 159,993 | $ | 138,997 | ||||
Finished goods | 74,885 | 69,786 | ||||||
Inventories, net | $ | 234,878 | $ | 208,783 | ||||
The Company carried an inventory provision of $7.9 million and $7.6 million as of September 29, 2013, and December 30, 2012, respectively. This provision is the result of obsolete or aged inventory. |
Property_Plant_and_Equipment
Property, Plant and Equipment | 9 Months Ended | |||||||
Sep. 29, 2013 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Property, Plant and Equipment | ' | |||||||
Property, Plant and Equipment | ||||||||
The following sets forth the amounts of property, plant and equipment held by the Company as of September 29, 2013, and December 30, 2012: | ||||||||
(In thousands) | September 29, 2013 | December 30, 2012 | ||||||
Land | $ | 51,134 | $ | 54,888 | ||||
Buildings | 190,490 | 187,967 | ||||||
Machinery and equipment | 571,412 | 550,280 | ||||||
Property, plant and equipment, gross | 813,036 | 793,135 | ||||||
Accumulated depreciation | (193,719 | ) | (144,775 | ) | ||||
Property, plant and equipment, net | $ | 619,317 | $ | 648,360 | ||||
Total depreciation expense was $15.5 million and $47.7 million in the three and nine months ended September 29, 2013, respectively, and was $15.9 million and $47.5 million in the three and nine months ended September 30, 2012, respectively. Depreciation expense is included primarily within cost of goods sold in the condensed consolidated statements of comprehensive income (loss). |
LongTerm_Debt
Long-Term Debt | 9 Months Ended | |||||||
Sep. 29, 2013 | ||||||||
Debt Disclosure [Abstract] | ' | |||||||
Long-Term Debt | ' | |||||||
Long-Term Debt | ||||||||
(In thousands) | September 29, | December 30, | ||||||
2013 | 2012 | |||||||
8.25% Senior Notes due 2021 | $ | 375,000 | $ | 375,000 | ||||
Unamortized premium on Senior Notes | 2,906 | 3,194 | ||||||
Capital lease obligations and other long-term debt | 134 | 654 | ||||||
Total long-term debt | $ | 378,040 | $ | 378,848 | ||||
Senior Notes | ||||||||
In April 2011, the Company issued $275.0 million aggregate principal senior unsecured notes (the “Initial Notes”), and in March 2012, the Company issued an additional $100.0 million aggregate principal senior unsecured notes (the “Add-On Notes”). The Add-On Notes have the same terms, rights and obligations as the Initial Notes, and were issued in the same series as the Initial Notes (collectively, the “Senior Notes”). In total, the Company has issued $375.0 million aggregate principal amount of 8.25% senior unsecured notes due April 15, 2021, in two private placements for resale to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”) and to buyers outside the United States pursuant to Regulation S under the Securities Act. The Senior Notes were issued without registration rights and are not listed on any securities exchange. The Senior Notes bear interest at 8.25% per annum, payable in cash semiannually in arrears on April 15 and October 15 of each year. The Company received net proceeds of $101.5 million in 2012 from the Add-On Notes and $265.5 million in 2011 from the Initial Notes, after deducting $2.0 million and $9.5 million of transaction issuance costs, respectively. The transaction costs were capitalized as deferred financing costs (included in other assets) and are being amortized to interest expense over the term of the Senior Notes using the effective interest method. The Initial Notes were issued at par, while the Add-On Notes were issued at 103.5% of the principal amount. The resulting premium of $3.5 million from the issuance of the Add-On Notes is being amortized to interest expense over the term of the Add-On Notes using the effective interest method. The net proceeds from the Senior Notes were used to fund a $125.0 million return of capital to shareholders during 2011, in the form of cash, in the amount of $4.54 per share; as well as the acquisitions of six companies during the past several years for aggregate consideration of $243.2 million. Interest expense relating to the Senior Notes was $8.0 million and $23.9 million for the three and nine months ended September 29, 2013 and was $7.7 million and $21.9 million for the three and nine months ended September 30, 2012. | ||||||||
The Company may redeem the Senior Notes, in whole or in part, at any time prior to April 15, 2015, at a price equal to 100% of the principal amount plus the applicable premium, plus accrued and unpaid interest, if any, to the date of redemption. The applicable premium means, with respect to a note at any date of redemption, the greater of (i) 1.00% of the then-outstanding principal amount of such note and (ii) the excess of (a) the present value at such date of redemption of (1) the redemption price of such note at April 15, 2015, plus (2) all remaining required interest payments due on such note through such date (excluding accrued but unpaid interest to the date of redemption), computed using a discount rate equal to the Treasury Rate plus 50 basis points, over (b) the principal amount of such note on such redemption date. The Company may also redeem the Senior Notes, in whole or in part, at any time on or after April 15, 2015, at the applicable redemption prices specified under the indenture governing the Senior Notes, plus accrued and unpaid interest, if any, to the date of redemption. In addition, the Company may redeem up to 35% of the Senior Notes before April 15, 2014, with the net cash proceeds from certain equity offerings at a redemption price of 108.25% of the principal amount plus accrued and unpaid interest. If the Company experiences certain changes of control or consummates certain asset sales and does not reinvest the net proceeds, the Company must offer to repurchase all of the Senior Notes at a purchase price of 101.00% of their principal amount, plus accrued and unpaid interest, if any, to the repurchase date. | ||||||||
Obligations under the Senior Notes are fully and unconditionally guaranteed, jointly and severally, on a senior unsecured basis, by certain of the Company’s directly or indirectly wholly-owned subsidiaries. | ||||||||
The indenture governing the Senior Notes contains restrictive covenants that, among other things, limit the ability of the Company and its subsidiaries to: (i) incur additional debt and issue disqualified or preferred stock, (ii) make restricted payments, (iii) sell assets, (iv) create or permit restrictions on the ability of the Company’s restricted subsidiaries to pay dividends or make other distributions to the Company, (v) create or incur certain liens, (vi) enter into sale and leaseback transactions, (vii) merge or consolidate with other entities and (viii) enter into transactions with affiliates. The foregoing limitations are subject to exceptions as set forth in the indenture governing the Senior Notes. In addition, if in the future the Senior Notes have an investment grade rating from at least two nationally recognized statistical rating organizations, certain of these covenants will be replaced with a less restrictive covenant. | ||||||||
The indenture governing the Senior Notes contains customary events of default (subject in certain cases to customary grace and cure periods). As of September 29, 2013, and December 30, 2012, the Company was in compliance with all covenants under the indenture governing the Senior Notes. | ||||||||
ABL Facility | ||||||||
In May 2011, the Company and certain of its subsidiaries, as borrowers, entered into a $125.0 million asset-based revolving credit facility (the “ABL Facility”). The borrowing base is calculated based on a percentage of the value of selected U.S. and Canadian accounts receivable and U.S. and Canadian inventory, less certain ineligible amounts. In conjunction with this ABL Facility, the Company’s $30.0 million Bilateral Loan Facility was terminated during the second quarter of 2011. | ||||||||
Obligations under the ABL Facility are secured by a first priority security interest in substantially all of the current assets of the Company and its subsidiaries. In addition, obligations under the ABL Facility are fully and unconditionally guaranteed, jointly and severally, on a senior unsecured basis, by certain of the Company’s directly or indirectly wholly-owned subsidiaries. | ||||||||
Borrowings under the ABL Facility will bear interest at a variable rate per annum equal to, at the Company’s option, (i) LIBOR, plus a margin ranging from 2.00% to 2.50% per annum, or (ii) the Base Rate (as defined in the ABL Facility agreement), plus a margin ranging from 1.00% to 1.50% per annum. | ||||||||
In addition to paying interest on any outstanding principal under the ABL Facility, the Company is required to pay a commitment fee in respect of unutilized commitments of 0.25% of the aggregate commitments under the ABL Facility if the average utilization is greater than 50% for any applicable period, and 0.375% of the aggregate commitments under the ABL Facility if the average utilization is less than or equal to 50% for any applicable period. The Company must also pay customary letter of credit fees and agency fees. | ||||||||
The ABL Facility contains various customary representations, warranties and covenants by the Company, that, among other things, and subject to certain exceptions, restrict the Company’s ability and the ability of its subsidiaries to: (i) incur additional indebtedness, (ii) pay dividends on the Company’s common stock and make other restricted payments, (iii) make investments and acquisitions, (iv) engage in transactions with the Company’s affiliates, (v) sell assets, (vi) merge and (vii) create liens. As of September 29, 2013, and December 30, 2012, the Company was in compliance with all covenants under the credit agreement governing the ABL Facility and there were no amounts outstanding under the ABL Facility. |
Share_Based_Compensation_Plans
Share Based Compensation Plans | 9 Months Ended | ||||||||||||
Sep. 29, 2013 | |||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||
Share Based Compensation Plans | ' | ||||||||||||
Share Based Compensation Plans | |||||||||||||
Share based compensation expense was $1.8 million and $5.8 million for the three and nine months ended September 29, 2013, respectively, and was $1.8 million and $4.6 million for the three and nine months ended September 30, 2012. As of September 29, 2013, the total remaining unrecognized compensation expense related to share based compensation amounted to $11.1 million, which will be amortized over the weighted average remaining requisite service period of 2.4 years. Share based compensation expense is recognized using a graded-method approach, or to a lesser extent a cliff-vesting approach, depending on the terms of the individual award and is classified within selling, general and administration expenses in the condensed consolidated statements of comprehensive income (loss). All share based awards are settled through issuance of new shares of the Company’s common stock. The share based award agreements contain restrictions on sale or transfer other than in limited circumstances. All other transfers would cause the share based awards to become null and void. | |||||||||||||
Equity Incentive Plan | |||||||||||||
Prior to July 9, 2012, the Company had a management equity incentive plan (the “2009 Plan”). The 2009 Plan required granting by June 9, 2012, equity instruments which upon exercise would result in management (excluding directors) owning 9.55% of the common equity (3,554,811 shares) of the Company on a fully diluted basis, after giving consideration to the potential exercise of warrants and the equity instruments granted to directors. Under the 2009 Plan, the Company was required to issue to directors equity instruments that represented 0.90% (335,004 shares) of the common equity on a fully diluted basis. The requirement for issuance to employees was satisfied in June 2012, and the requirement for issuance to directors was satisfied in July 2009. Aside from shares issuable for outstanding awards, there are no further shares of common stock available for future issuance under the 2009 Plan. | |||||||||||||
On July 12, 2012, the Board of Directors adopted the Masonite International Corporation 2012 Equity Incentive Plan (the “2012 Plan”). The 2012 Plan is effective for 10 years from the date of its adoption. Awards granted under the 2012 Plan are at the discretion of the Compensation Committee of the Board of Directors. The 2012 Plan was adopted because the Board believes awards granted will help to attract, motivate and retain employees and non-employee directors, align employee and stockholder interests and encourage a performance-based culture based on employee stock ownership. Prior to June 21, 2013, the aggregate number of common shares that could be issued with respect to equity awards under the 2012 Plan could not exceed 1,500,000 shares plus the number of shares subject to existing grants under the 2009 Plan that may expire or be forfeited or cancelled. On June 21, 2013, the Board of Directors approved an increase of 500,000 common shares issuable under the 2012 Plan, bringing the total number of shares issuable under the 2012 Plan to 2,000,000 plus the number of shares subject to existing grants under the 2009 plan that may expire or be forfeited or cancelled. As of September 29, 2013, there were 1,503,621 shares of common stock available for future issuance under the 2012 Plan. | |||||||||||||
Deferred Compensation Plan | |||||||||||||
Effective August 13, 2012, the Board of Directors adopted a Deferred Compensation Plan (“DCP”) whereby certain employees and directors in the United States may elect to defer to a later date a portion of their base pay, bonuses, restricted stock awards and director fees. The DCP is an unfunded participant-directed plan where the Company has the option to contribute the deferrals into a rabbi trust where investments could be made. | |||||||||||||
Assets of the rabbi trust, other than Company stock, are recorded at fair value and included in other assets in the condensed consolidated balance sheets. These assets in the rabbi trust are classified as trading securities and changes in their fair values are recorded in other income (loss) in the condensed consolidated statements of comprehensive income (loss). The liability relating to deferred compensation represents the Company’s obligation to distribute funds to the participants in the future and is included in other liabilities in the condensed consolidated balance sheets. Any unfunded gain or loss relating to changes in the fair value of the deferred compensation liability are recognized in selling, general and administration expense in the condensed consolidated statements of comprehensive income (loss). | |||||||||||||
As of September 29, 2013, participation in the deferred compensation plan is limited and no restricted stock awards have been deferred into the deferred compensation plan. | |||||||||||||
Stock Appreciation Rights | |||||||||||||
The Company has granted Stock Appreciation Rights (“SARs”) to certain employees. The compensation expense for the SARs is measured based on the fair value of the SARs at the date of grant and is recognized over the requisite service period. The SARs vest over a maximum of four years, and have a life of ten years. It is assumed that all time-based SARs will vest. | |||||||||||||
The total fair value of SARs vested was $1.4 million and $2.5 million in the three and nine months ended September 29, 2013, respectively, and was $1.6 million and $2.6 million during the three and nine months ended September 30, 2012. | |||||||||||||
Nine Months Ended September 29, 2013 | Stock Appreciation Rights | Aggregate Intrinsic Value (in thousands) | Weighted Average Exercise Price | Average Remaining Contractual Life (Years) | |||||||||
Outstanding, beginning of period | 2,628,448 | $ | 21,005 | $ | 15.76 | 6.9 | |||||||
Granted | 212,550 | 32.68 | |||||||||||
Exercised | (116,135 | ) | 13.67 | ||||||||||
Cancelled | (42,887 | ) | 14.6 | ||||||||||
Outstanding, end of period | 2,681,976 | $ | 41,478 | $ | 17.21 | 5.9 | |||||||
Exercisable, end of period | 2,251,929 | $ | 38,567 | $ | 15.55 | 5.4 | |||||||
During the nine months ended September 29, 2013, the Company granted 212,550 units of SARs to certain employees. | |||||||||||||
The value of the SARs granted in 2013, as determined using the Black-Scholes-Merton valuation model, was $2.7 million and is being recognized over the weighted average requisite service period of 3.0 years. Expected volatility is | |||||||||||||
based on the historical volatility of the Company’s public industry peers’ common shares, amongst other considerations. | |||||||||||||
Following are the weighted average grant date assumptions used for the SARs granted in 2013: | |||||||||||||
Option value (model conclusion) | $ | 12.53 | |||||||||||
Risk-free rate | 1.8 | % | |||||||||||
Expected dividend yield | 0 | % | |||||||||||
Expected volatility | 35.1 | % | |||||||||||
Expected term (in years) | 6.5 | ||||||||||||
Restricted Stock Units | |||||||||||||
The Company has granted Restricted Stock Units (“RSUs”) to directors and certain employees. The RSUs confer the right to receive shares of the Company’s common stock at a specified future date or when certain conditions are met. The compensation expense for the RSUs awarded is based on the fair value of the RSUs at the date of grant and is recognized over the requisite service period. The RSUs vest over a maximum of four years, and call for the underlying shares to be delivered no later than the fourth anniversary of the grant dates. It is assumed that all time-based RSUs will vest. | |||||||||||||
Nine Months Ended September 29, 2013 | Unvested Restricted Stock Units | Vested and Undelivered Restricted Stock Units | Total Restricted Stock Units Outstanding | Weighted Average Grant Date Fair Value | |||||||||
Outstanding, beginning of period | 625,750 | 296,196 | 921,946 | $ | 17.75 | ||||||||
Granted | 324,358 | — | 324,358 | 23.8 | |||||||||
Delivered | — | (460,512 | ) | (460,512 | ) | ||||||||
Withheld to cover (1) | — | (11,968 | ) | (11,968 | ) | ||||||||
Cancelled | (48,119 | ) | — | (48,119 | ) | ||||||||
Vested | (188,049 | ) | 188,049 | — | |||||||||
Outstanding, end of period | 713,940 | 11,765 | 725,705 | $ | 21.19 | ||||||||
(1) A portion of the vested RSUs delivered were net share settled to cover the minimum statutory requirements for income and other employment taxes, at the individual employee’s election. The equivalent cash is then remitted by the Company to the appropriate taxing authorities. These net share settlements had the effect of share repurchases by the Company as they reduced and retired the number of shares that would have otherwise been issued as a result of the vesting. | |||||||||||||
During the nine months ended September 29, 2013, the Company granted 324,358 RSUs to certain employees. Approximately half of the RSUs vest at specified future dates, with only service requirements, while the remaining portion of the RSUs vest based on both performance and service requirements. The value of RSUs granted in 2013 was $7.7 million and is being recognized over the weighted average requisite service period of 2.3 years. | |||||||||||||
Return of Capital | |||||||||||||
On May 17, 2011, (the “Declaration Date”) the Company declared a return of capital to shareholders in the form of cash in the amount of $4.54 per share. In accordance with the RSU agreements, RSUs which were outstanding on the Declaration Date had the right to participate in the return of capital. The accumulated return of capital on RSUs will be paid when the underlying RSUs are delivered. The unpaid portion of the return of capital was $0.2 million and $1.5 million as of September 29, 2013, and December 30, 2012, respectively, which is included in accrued expenses in the condensed consolidated balance sheets. | |||||||||||||
Warrants | |||||||||||||
On June 9, 2009, the Company issued 5,833,335 warrants, representing the right to purchase the Company’s common shares for $55.31 per share, subsequently adjusted to $50.77 per share for the return of capital in 2011. Of these, 3,333,334 expire on June 9, 2014, and 2,500,001 expire on June 9, 2016. The Company has accounted for these warrants as equity instruments. Future exercises and forfeitures will reduce the amount of warrants. Future exercises will increase the amount of common shares outstanding and additional paid-in capital. |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended | |||
Sep. 29, 2013 | ||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||
Commitments and Contingencies | ' | |||
Commitments and Contingencies | ||||
For lease agreements that provide for escalating rent payments or rent-free occupancy periods, the Company recognizes rent expense on a straight line basis over the non-cancelable lease term and any option renewal period where failure to exercise such option would result in an economic penalty in such amount that renewal appears, at the inception of the lease, to be reasonably assured. The lease term commences on the date when all conditions precedent to the Company’s obligation to pay rent are satisfied. The leases contain provisions for renewal ranging from zero to three options of generally five years each. Minimum payments, for the following future periods, under non-cancelable operating leases and service agreements with initial or remaining terms of one year or more consist of the following: | ||||
(In thousands) | ||||
Fiscal year: | ||||
2013 (remaining three months) | $ | 4,941 | ||
2014 | 15,827 | |||
2015 | 14,739 | |||
2016 | 11,523 | |||
2017 | 9,867 | |||
Thereafter | 59,482 | |||
$ | 116,379 | |||
Total rent expense, including non-cancelable operating leases and month-to-month leases, was $6.1 million and $18.9 million for the three and nine months ended September 29, 2013, respectively, and was $6.4 million and $18.7 million for the three and nine months ended September 30, 2012. | ||||
Masonite has provided customary indemnifications to its landlords under certain property lease agreements for claims by third parties in connection with its use of the premises. Masonite has also provided routine indemnifications against adverse effects to changes in tax laws and patent infringements by third parties. The maximum amount of these indemnifications cannot be reasonably estimated due to their nature. In some cases, Masonite has recourse against other parties to mitigate its risk of loss from these indemnifications. Historically, the Company has not made any significant payments relating to such indemnifications. | ||||
From time to time, the Company is involved in various claims and legal actions. In the opinion of management, the ultimate disposition of these matters, individually and in the aggregate, will not have a material effect on the Company’s condensed consolidated financial statements, results of operations or liquidity. |
Restructuring_Costs
Restructuring Costs | 9 Months Ended | |||||||||||||||||||
Sep. 29, 2013 | ||||||||||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||||||||||
Restructuring Costs | ' | |||||||||||||||||||
Restructuring Costs | ||||||||||||||||||||
The following presents changes in the accrual for restructuring and severance by activity: | ||||||||||||||||||||
(In thousands) | December 30, 2012 | Expense | Payments | September 29, 2013 | ||||||||||||||||
Restructuring plans in 2009 and prior | $ | 1,675 | $ | 380 | $ | 962 | $ | 1,093 | ||||||||||||
2012 closures and exit activities | 2,893 | 3,579 | 4,929 | 1,543 | ||||||||||||||||
2013 closures and severance | — | 508 | 412 | 96 | ||||||||||||||||
$ | 4,568 | $ | 4,467 | $ | 6,303 | $ | 2,732 | |||||||||||||
(In thousands) | January 1, 2012 | Expense | Payments | Non-Cash Items | September 30, 2012 | |||||||||||||||
Restructuring plans in 2009 and prior | $ | 3,130 | $ | — | $ | 1,365 | $ | — | $ | 1,765 | ||||||||||
Reduction in staff levels in 2011 and other | 401 | 161 | 562 | — | — | |||||||||||||||
2012 closures and exit activities | — | 4,890 | 1,964 | 911 | 2,015 | |||||||||||||||
$ | 3,531 | $ | 5,051 | $ | 3,891 | $ | 911 | $ | 3,780 | |||||||||||
The following presents changes in the accrual for restructuring and severance by segment: | ||||||||||||||||||||
(In thousands) | December 30, 2012 | Expense | Payments | September 29, 2013 | ||||||||||||||||
North America | $ | 497 | $ | 1,095 | $ | 1,310 | $ | 282 | ||||||||||||
Europe, Asia and Latin America | 4,071 | 3,372 | 4,993 | 2,450 | ||||||||||||||||
$ | 4,568 | $ | 4,467 | $ | 6,303 | $ | 2,732 | |||||||||||||
(In thousands) | January 1, 2012 | Expense | Payments | Non-Cash Items | September 30, 2012 | |||||||||||||||
North America | $ | 858 | $ | 690 | $ | 1,010 | $ | — | $ | 538 | ||||||||||
Europe, Asia and Latin America | 2,673 | 4,361 | 2,881 | 911 | 3,242 | |||||||||||||||
$ | 3,531 | $ | 5,051 | $ | 3,891 | $ | 911 | $ | 3,780 | |||||||||||
Certain information pertaining to total restructuring costs by plan as well as by segment is as follows: | ||||||||||||||||||||
(In thousands) | Nine Months Ended September 29, 2013 | Cumulative Amount Incurred to Date | ||||||||||||||||||
Restructuring plans in 2009 and prior | $ | 380 | $ | 3,390 | ||||||||||||||||
Reduction in staff levels in 2010 | — | 7,383 | ||||||||||||||||||
Reduction in staff levels in 2011 and other | — | 4,574 | ||||||||||||||||||
2012 closures and exit activities | 3,579 | 14,708 | ||||||||||||||||||
2013 closures and severance | 508 | 508 | ||||||||||||||||||
$ | 4,467 | $ | 30,563 | |||||||||||||||||
North America | $ | 1,095 | $ | 11,016 | ||||||||||||||||
Europe, Asia and Latin America | 3,372 | 19,547 | ||||||||||||||||||
$ | 4,467 | $ | 30,563 | |||||||||||||||||
The Company expects to incur approximately $1.1 million of additional restructuring costs related to activities initiated as of September 29, 2013. Although each restructuring action is unique, based upon the nature of the Company’s operations, the Company expects that the allocation of future restructuring costs will be consistent with its historical experience. | ||||||||||||||||||||
During 2013, the Company began implementing plans to rationalize certain international facilities, including related headcount reductions, in order to respond to declines in demand in international markets. Costs associated with these actions include closure and severance charges and are expected to be substantially completed by the end of 2013. | ||||||||||||||||||||
During 2012, the Company began implementing plans to close certain of its U.S. manufacturing facilities due to the start-up of its new highly automated interior door slab assembly plant in Denmark, South Carolina, synergy opportunities related to recent acquisitions in the commercial and architectural interior wood door market and footprint optimization efforts resulting from declines in demand in specific markets. The Company also began implementing plans during 2012 to permanently close its businesses in Hungary and Romania and to cease manufacturing operations in Poland, due to the continued economic downturn and heightened volatility of the Eastern European economies. Costs associated with these closure and exit activities relate to closures of facilities and impairment of certain tangible and intangible assets and are expected to be completed by the end of 2013. | ||||||||||||||||||||
Prior years’ restructuring costs relate to headcount reductions and facility rationalizations as a result of weakened market conditions. In response to the decline in demand, the Company reviewed the required levels of production and reduced the workforce and plant capacity accordingly, resulting in severance charges. These actions were taken in order to rationalize capacity with existing and forecasted market demand conditions. The 2011 restructuring plans were completed during 2012 and the 2009 and prior restructuring plans are substantially completed, although cash payments are expected to continue through 2014, primarily related to lease payments at closed facilities. |
Income_Taxes
Income Taxes | 9 Months Ended | |||||||||||||||
Sep. 29, 2013 | ||||||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||||||
Income Taxes | ' | |||||||||||||||
Income Taxes | ||||||||||||||||
Income tax expense (benefit) for income taxes consists of the following: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
(In thousands) | 29-Sep-13 | 30-Sep-12 | 29-Sep-13 | 30-Sep-12 | ||||||||||||
Current | $ | 308 | $ | 1,093 | $ | 1,110 | $ | 2,456 | ||||||||
Deferred | (6,580 | ) | (1,234 | ) | (8,826 | ) | (8,794 | ) | ||||||||
Income tax expense (benefit) | $ | (6,272 | ) | $ | (141 | ) | $ | (7,716 | ) | $ | (6,338 | ) | ||||
The effective tax rate differs from the Canadian federal statutory rate of 25.9% primarily due to the benefit of earnings in foreign jurisdictions which are subject to lower tax rates, tax exempt income, and $4.4 million of discrete income tax benefits recorded in 2013 resulting primarily from the Company entering into voluntary disclosure agreements which reduced the reserve for unrecognized tax benefits. | ||||||||||||||||
The Company currently has deferred tax assets in certain jurisdictions resulting from net operating losses and other deductible temporary differences, which will reduce taxable income in these jurisdictions in future periods. The Company has determined that a valuation allowance of $24.6 million and $24.3 million was required for its deferred income tax assets as of September 29, 2013, and December 30, 2012, respectively. A valuation allowance has been established on deferred tax assets resulting from net operating loss carry forwards and other carry forward attributes primarily in Canada and the United Kingdom. The Company expects to record valuation allowances on deferred tax assets arising in these jurisdictions until a sustained level of taxable income is reached. | ||||||||||||||||
On June 26, 2013, Canada’s Bill C-48, Technical Tax Amendments Act, 2012, was enacted for U.S. GAAP reporting purposes. As it pertains to the Company, this legislation included new rules associated with upstream loans and indebtedness between a foreign affiliate and its Canadian parent company. As of September 29, 2013, the Company believes the enacted legislation does not materially impact the income tax provision. |
Supplemental_Cash_Flow_Informa
Supplemental Cash Flow Information | 9 Months Ended | |||||||
Sep. 29, 2013 | ||||||||
Supplemental Cash Flow Elements [Abstract] | ' | |||||||
Supplemental Cash Flow Information | ' | |||||||
Supplemental Cash Flow Information | ||||||||
The following presents certain cash and non-cash transactions: | ||||||||
Nine Months Ended | ||||||||
(In thousands) | September 29, 2013 | September 30, 2012 | ||||||
Transactions involving cash: | ||||||||
Interest paid | $ | 15,503 | $ | 15,740 | ||||
Interest received | 388 | 411 | ||||||
Income taxes paid | 5,171 | 5,412 | ||||||
Income tax refunds | 687 | 2,927 | ||||||
Non-cash transactions: | ||||||||
Property, plant and equipment additions in accounts payable | 1,160 | 590 | ||||||
Segment_Information
Segment Information | 9 Months Ended | |||||||||||||||
Sep. 29, 2013 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Segment Information | ' | |||||||||||||||
Segment Information | ||||||||||||||||
The Company’s reportable segments are organized and managed principally by geographic region: North America; Europe, Asia and Latin America; and Africa. The Company’s management reviews net sales and Adjusted EBITDA (as defined below) to evaluate segment performance and allocate resources. Net assets are not allocated to the geographic segments. | ||||||||||||||||
Adjusted EBITDA is a measure used by management to measure operating performance. It is defined as net income (loss) attributable to Masonite adjusted to exclude the following items: | ||||||||||||||||
• | depreciation; | |||||||||||||||
• | amortization of intangible assets; | |||||||||||||||
• | share based compensation expense; | |||||||||||||||
• | loss (gain) on sale of property, plant and equipment; | |||||||||||||||
• | impairment of property, plant and equipment; | |||||||||||||||
• | restructuring costs; | |||||||||||||||
• | interest expense (income), net; | |||||||||||||||
• | other expense (income), net; | |||||||||||||||
• | income tax (benefit) expense, | |||||||||||||||
• | loss (income) from discontinued operations, net of tax; and | |||||||||||||||
• | net income (loss) attributable to non-controlling interest. | |||||||||||||||
This definition of Adjusted EBITDA differs from the definitions of EBITDA contained in the indenture governing the Senior Notes and the credit agreement governing the ABL Facility. Although Adjusted EBITDA is not a measure of financial condition or performance determined in accordance with GAAP, it is used to evaluate and compare the operating performance of the segments and it is one of the primary measures used to determine employee incentive compensation. Intersegment transfers are negotiated on an arm’s length basis, using market prices. | ||||||||||||||||
Certain information with respect to geographic segments is as follows: | ||||||||||||||||
North America | Europe, Asia and Latin America | Africa | Total | |||||||||||||
(In thousands) | Three Months Ended September 29, 2013 | |||||||||||||||
Sales | $ | 333,116 | $ | 85,972 | $ | 18,051 | $ | 437,139 | ||||||||
Intersegment sales | (22 | ) | (4,066 | ) | — | (4,088 | ) | |||||||||
Net sales to external customers | $ | 333,094 | $ | 81,906 | $ | 18,051 | $ | 433,051 | ||||||||
Adjusted EBITDA | $ | 23,117 | $ | 1,484 | $ | 1,833 | $ | 26,434 | ||||||||
Three Months Ended September 30, 2012 | ||||||||||||||||
Sales | $ | 319,307 | $ | 89,822 | $ | 20,048 | $ | 429,177 | ||||||||
Intersegment sales | (275 | ) | (3,906 | ) | (39 | ) | (4,220 | ) | ||||||||
Net sales to external customers | $ | 319,032 | $ | 85,916 | $ | 20,009 | $ | 424,957 | ||||||||
Adjusted EBITDA | $ | 19,825 | $ | 3,725 | $ | 1,435 | $ | 24,985 | ||||||||
Nine Months Ended September 29, 2013 | ||||||||||||||||
Sales | $ | 999,493 | $ | 270,621 | $ | 53,370 | $ | 1,323,484 | ||||||||
Intersegment sales | (380 | ) | (12,396 | ) | (40 | ) | (12,816 | ) | ||||||||
Net sales to external customers | $ | 999,113 | $ | 258,225 | $ | 53,330 | $ | 1,310,668 | ||||||||
Adjusted EBITDA | $ | 71,672 | $ | 10,403 | $ | 3,997 | $ | 86,072 | ||||||||
Nine Months Ended September 30, 2012 | ||||||||||||||||
Sales | $ | 918,712 | $ | 290,334 | $ | 62,040 | $ | 1,271,086 | ||||||||
Intersegment sales | (1,044 | ) | (12,056 | ) | (140 | ) | (13,240 | ) | ||||||||
Net sales to external customers | $ | 917,668 | $ | 278,278 | $ | 61,900 | $ | 1,257,846 | ||||||||
Adjusted EBITDA | $ | 53,522 | $ | 12,971 | $ | 5,151 | $ | 71,644 | ||||||||
The table below provides a reconciliation of the Company’s consolidated Adjusted EBITDA to net income (loss) attributable to Masonite: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
(In thousands) | September 29, 2013 | September 30, 2012 | September 29, 2013 | September 30, 2012 | ||||||||||||
Adjusted EBITDA | $ | 26,434 | $ | 24,985 | $ | 86,072 | $ | 71,644 | ||||||||
Less (plus): | ||||||||||||||||
Depreciation | 15,505 | 15,859 | 47,682 | 47,486 | ||||||||||||
Amortization of intangible assets | 4,277 | 4,356 | 12,883 | 11,070 | ||||||||||||
Share based compensation expense | 1,841 | 1,786 | 5,752 | 4,605 | ||||||||||||
Loss (gain) on disposal of property, plant and equipment | (2,772 | ) | 200 | (1,810 | ) | 683 | ||||||||||
Impairment of property, plant and equipment | — | — | 1,904 | — | ||||||||||||
Restructuring costs | 1,265 | 3,829 | 4,467 | 5,051 | ||||||||||||
Interest expense, net | 8,330 | 7,969 | 24,788 | 23,073 | ||||||||||||
Other expense (income), net | (255 | ) | 80 | (776 | ) | 1,197 | ||||||||||
Income tax expense (benefit) | (6,272 | ) | (141 | ) | (7,716 | ) | (6,338 | ) | ||||||||
Loss (income) from discontinued operations, net of tax | 62 | 50 | 196 | (1,520 | ) | |||||||||||
Net income (loss) attributable to noncontrolling interest | 838 | 913 | 2,123 | 2,131 | ||||||||||||
Net income (loss) attributable to Masonite | $ | 3,615 | $ | (9,916 | ) | $ | (3,421 | ) | $ | (15,794 | ) | |||||
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 9 Months Ended |
Sep. 29, 2013 | |
Fair Value Disclosures [Abstract] | ' |
Fair Value of Financial Instruments | ' |
Fair Value of Financial Instruments | |
The carrying amounts of the Company’s cash and cash equivalents, restricted cash, accounts receivable, income taxes receivable, accounts payable, accrued expenses and income taxes payable approximate fair value because of the short-term maturity of those instruments. The estimated fair value of the Senior Notes as of September 29, 2013, and December 30, 2012, was $409.2 million and $400.3 million, respectively, compared to a carrying value of $377.9 million and $378.2 million, respectively. This estimate is based on market quotes and calculations based on current market rates available to the Company and is categorized as having Level 2 valuation inputs as established by the FASB’s Fair Value Framework. Market quotes used in these calculations are based on bid prices for the Company’s debt instruments and are obtained from and corroborated with multiple independent sources. The market quotes obtained from independent sources are within the range of the Company’s expectations. | |
The Company had assets held for sale of $7.2 million as of December 30, 2012. During the nine months ended September 29, 2013, the Company divested four locations which had a book value of $3.8 million. The sale of these locations resulted in the recognition of a gain of $3.0 million representing the excess of the consideration received over the book value of the divested assets. Foreign exchange fluctuations in the nine months ended September 29, 2013, decreased the value of foreign assets held for sale by $0.1 million, resulting in a balance of assets held for sale as of September 29, 2013, of $3.3 million. Assets held for sale are stated at the lower of carrying amount or fair value less cost to sell and are revalued at each reporting date. This valuation is performed on a recurring basis, and is categorized as having Level 2 valuation inputs as established by the FASB’s Fair Value Framework. The related charges due to revaluation were not material in the three or nine months ended September 29, 2013, or September 30, 2012. |
Earnings_Per_Share
Earnings Per Share | 9 Months Ended | |||||||||||||||
Sep. 29, 2013 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
Earnings Per Share | ' | |||||||||||||||
Earnings Per Share | ||||||||||||||||
Basic earnings per share (“EPS”) is calculated by dividing earnings attributable to Masonite by the weighted-average number of the Company’s common shares outstanding during the period. Diluted EPS is calculated by dividing earnings attributable to Masonite by the weighted-average number of common shares plus the incremental number of shares issuable from non-vested and vested RSUs, SARs and warrants outstanding during the period. | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
(In thousands, except share and per share information) | September 29, 2013 | September 30, 2012 | September 29, 2013 | September 30, 2012 | ||||||||||||
Net income (loss) attributable to Masonite | $ | 3,615 | $ | (9,916 | ) | $ | (3,421 | ) | $ | (15,794 | ) | |||||
Income (loss) from discontinued operations, net of tax | (62 | ) | (50 | ) | (196 | ) | 1,520 | |||||||||
Income (loss) from continuing operations attributable to Masonite | $ | 3,677 | $ | (9,866 | ) | $ | (3,225 | ) | $ | (17,314 | ) | |||||
Shares used in computing basic earnings per share | 28,021,671 | 27,806,339 | 28,081,966 | 27,624,652 | ||||||||||||
Effect of dilutive securities: | ||||||||||||||||
Incremental shares issuable under share compensation plans | 1,873,361 | — | — | — | ||||||||||||
Shares used in computing diluted earnings per share | 29,895,032 | 27,806,339 | 28,081,966 | 27,624,652 | ||||||||||||
Earnings (loss) per common share attributable to Masonite: | ||||||||||||||||
Basic - from continuing operations | $ | 0.13 | $ | (0.36 | ) | $ | (0.11 | ) | $ | (0.63 | ) | |||||
Diluted - from continuing operations | $ | 0.12 | $ | (0.36 | ) | $ | (0.11 | ) | $ | (0.63 | ) | |||||
Basic - from discontinued operations, net of tax | $ | — | — | $ | (0.01 | ) | $ | 0.06 | ||||||||
Diluted - from discontinued operations, net of tax | $ | — | — | $ | (0.01 | ) | $ | 0.06 | ||||||||
Basic | $ | 0.13 | $ | (0.36 | ) | $ | (0.12 | ) | $ | (0.57 | ) | |||||
Diluted | $ | 0.12 | $ | (0.36 | ) | $ | (0.12 | ) | $ | (0.57 | ) | |||||
Incremental shares issuable from anti-dilutive instruments excluded from diluted earnings per common share: | ||||||||||||||||
Warrants | 5,833,335 | 5,833,335 | 5,833,335 | 5,833,335 | ||||||||||||
Stock appreciation rights | — | 956,819 | 1,271,349 | 886,296 | ||||||||||||
Restricted stock units | — | 682,075 | 563,952 | 734,271 | ||||||||||||
The weighted average number of shares outstanding utilized for the diluted EPS calculation contemplates the exercise of all currently outstanding SARs and warrants and the conversion of all RSUs. The dilutive effect of such equity awards is calculated based on the weighted average share price for each fiscal period using the treasury stock method. For the nine months ended September 29, 2013, and the three and nine months ended September 30, 2012, no potential common shares relating to the Company’s equity awards were included in the computation of diluted loss per share, as their effect would have been anti-dilutive given the Company’s net loss position for those periods. |
Other_Comprehensive_Income_and
Other Comprehensive Income and Accumulated Other Comprehensive Income | 9 Months Ended | |||||||||||||||
Sep. 29, 2013 | ||||||||||||||||
Equity [Abstract] | ' | |||||||||||||||
Other Comprehensive Income and Accumulated Other Comprehensive Income | ' | |||||||||||||||
Other Comprehensive Income and Accumulated Other Comprehensive Income | ||||||||||||||||
The following presents a roll forward of the components of accumulated other comprehensive income (loss) for the periods indicated: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
(In thousands) | September 29, 2013 | September 30, 2012 | September 29, 2013 | September 30, 2012 | ||||||||||||
Accumulated foreign exchange gains (losses), beginning of period | $ | (20,813 | ) | $ | (17,385 | ) | $ | 2,538 | $ | (5,489 | ) | |||||
Foreign exchange gain (loss) | 10,284 | 19,571 | (13,577 | ) | 7,932 | |||||||||||
Income tax benefit (expense) on foreign exchange gain (loss) | — | 1,197 | — | 783 | ||||||||||||
Less: foreign exchange gain (loss) attributable to noncontrolling interest | (124 | ) | (630 | ) | 386 | (473 | ) | |||||||||
Accumulated foreign exchange gains (losses), end of period | (10,653 | ) | 2,753 | (10,653 | ) | 2,753 | ||||||||||
Accumulated amortization of actuarial net losses, beginning of period | 1,463 | 519 | 1,037 | — | ||||||||||||
Amortization of actuarial net losses | 349 | 422 | 1,047 | 1,267 | ||||||||||||
Income tax benefit (expense) on amortization of actuarial net losses | (136 | ) | (163 | ) | (408 | ) | (489 | ) | ||||||||
Accumulated amortization of actuarial net losses, end of period | 1,676 | 778 | 1,676 | 778 | ||||||||||||
Accumulated pension and other post-retirement adjustments | (22,559 | ) | (22,239 | ) | (22,559 | ) | (22,239 | ) | ||||||||
Accumulated other comprehensive income (loss) | $ | (31,536 | ) | $ | (18,708 | ) | $ | (31,536 | ) | $ | (18,708 | ) | ||||
Other comprehensive income (loss), net of tax: | $ | 10,497 | $ | 21,027 | $ | (12,938 | ) | $ | 9,493 | |||||||
Less: other comprehensive income (loss) attributable to noncontrolling interest | 124 | 630 | (386 | ) | 473 | |||||||||||
Other comprehensive income (loss) attributable to Masonite | $ | 10,373 | $ | 20,397 | $ | (12,552 | ) | $ | 9,020 | |||||||
Actuarial net losses are reclassified out of accumulated other comprehensive income (loss) into cost of goods sold on the condensed consolidated statements of comprehensive income (loss). |
Variable_Interest_Entity
Variable Interest Entity | 9 Months Ended | |||||||
Sep. 29, 2013 | ||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |||||||
Variable Interest Entity | ' | |||||||
Variable Interest Entity | ||||||||
As of September 29, 2013, and December 30, 2012, the Company held an interest in one variable interest entity (“VIE”), Magna Foremost Sdn Bhd, which is located in Kuala Lumpur, Malaysia. The VIE is integrated into Masonite’s supply chain and manufactures door facings. The Company is the primary beneficiary of the VIE via the terms of the Company’s existing supply agreement with the VIE. As primary beneficiary via the supply agreement, the Company receives a disproportionate amount of earnings on sales to third parties in relation to its voting interest, and as a result, receives a majority of the VIE’s residual returns. Sales to third parties did not have a material impact on the Company’s consolidated financial statements. The Company also has the power to direct activities of the VIE that most significantly impact the entity’s economic performance. As its primary beneficiary, the Company has consolidated the results of the VIE. | ||||||||
(In thousands) | September 29, 2013 | December 30, 2012 | ||||||
Current assets | $ | 12,228 | $ | 11,424 | ||||
Property, plant and equipment, net | 17,541 | 20,446 | ||||||
Long-term deferred income taxes | 16,539 | 17,575 | ||||||
Other assets, net | 2,004 | — | ||||||
Current liabilities | (3,024 | ) | (3,967 | ) | ||||
Other long-term liabilities | (6,161 | ) | (6,497 | ) | ||||
Noncontrolling interest | (8,535 | ) | (13,669 | ) | ||||
Net cumulative investment by the Company | $ | 30,592 | $ | 25,312 | ||||
Current assets include $6.6 million and $4.1 million of cash and cash equivalents as of September 29, 2013, and December 30, 2012, respectively. Assets recognized as a result of consolidating this VIE do not represent additional assets that could be used to satisfy claims against the Company’s general assets. Conversely, liabilities recognized as a result of consolidating these entities do not represent additional claims on the Company’s general assets; rather, they represent claims against the specific assets of the consolidated VIE. |
Business_Overview_and_Signific1
Business Overview and Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 29, 2013 | |
Accounting Policies [Abstract] | ' |
Adoption of Recent Accounting Pronouncements | ' |
Adoption of Recent Accounting Pronouncements | |
In February 2013, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2013-02, “Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income.” This ASU amends Accounting Standards Codification (“ASC”) 220, “Comprehensive Income,” and requires an entity to report the effect of significant reclassifications out of accumulated other comprehensive income on the respective line items of net income if the amount being reclassified is required under GAAP to be reclassified in its entirety to net income in the same reporting period. For other amounts that are not required under GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under U.S. GAAP that provide additional details about those amounts. This ASU is effective prospectively for annual reporting periods beginning after December 15, 2012, and interim periods within those annual periods. The adoption of this standard did not result in a change to the accounting treatment of comprehensive income and did not have a material impact on the presentation of the Company’s financial statements. | |
In July 2012, the FASB issued ASU 2012-02, “Testing Indefinite-Lived Intangible Assets for Impairment.” This ASU addresses annual impairment testing for indefinite-lived intangible assets other than goodwill as contemplated in ASC 350, “Intangibles-Goodwill and other,” and was issued to simplify how an entity tests indefinite-lived intangible assets other than goodwill for impairment by permitting an entity to perform a qualitative assessment to determine whether an indefinite-lived intangible asset other than goodwill is impaired. If the qualitative assessment leads to the determination that it is more likely than not that an indefinite-lived intangible asset other than goodwill is impaired, further impairment testing is necessary using the current two-step quantitative impairment test. This pronouncement is effective for reporting periods beginning after September 15, 2012, and early adoption is permitted. The adoption of this standard did not have a material impact on the Company’s reported results of operations, cash flows or financial position. |
Acquisitions_Tables
Acquisitions (Tables) | 9 Months Ended | |||||||||||||||
Sep. 29, 2013 | ||||||||||||||||
Business Combinations [Abstract] | ' | |||||||||||||||
Aggregate consideration paid for acquisitions | ' | |||||||||||||||
The aggregate consideration paid for acquisitions during 2012 was as follows: | ||||||||||||||||
(In thousands) | Lemieux Acquisition | Algoma Acquisition | Baillargeon Acquisition | Total 2012 Acquisitions | ||||||||||||
Accounts receivable | $ | 3,547 | $ | 8,874 | $ | 3,105 | $ | 15,526 | ||||||||
Inventory | 6,013 | 6,391 | 1,758 | 14,162 | ||||||||||||
Property, plant and equipment | 15,148 | 9,658 | 7,054 | 31,860 | ||||||||||||
Goodwill | 397 | 20,049 | 1,113 | 21,559 | ||||||||||||
Intangible assets | 3,900 | 28,600 | — | 32,500 | ||||||||||||
Deferred income taxes | (3,023 | ) | (11,866 | ) | (929 | ) | (15,818 | ) | ||||||||
Other assets and liabilities, net | (3,915 | ) | (6,073 | ) | (2,158 | ) | (12,146 | ) | ||||||||
Cash consideration, net of cash acquired | $ | 22,067 | $ | 55,633 | $ | 9,943 | $ | 87,643 | ||||||||
The Masisa acquisition acts as a natural complement to the Company's existing North American interior stile and rail residential wood door operations. | ||||||||||||||||
The aggregate consideration paid for the acquisition during 2013 was as follows: | ||||||||||||||||
(In thousands) | Masisa Acquisition | |||||||||||||||
Inventory | $ | 5,174 | ||||||||||||||
Property, plant and equipment | 6,228 | |||||||||||||||
Goodwill | 316 | |||||||||||||||
Other assets and liabilities, net | 508 | |||||||||||||||
Cash consideration | $ | 12,226 | ||||||||||||||
Pro forma information of acquisitions | ' | |||||||||||||||
Pro forma information relating to the Masisa acquisition is not materially different from amounts reported. | ||||||||||||||||
Three Months Ended September 30, 2012 | ||||||||||||||||
(In thousands, except per share amounts) | Masonite | 2012 Acquisitions | Pro Forma | |||||||||||||
Net sales | $ | 424,957 | $ | 3,501 | $ | 428,458 | ||||||||||
Net income (loss) attributable to Masonite | (9,916 | ) | 383 | (9,533 | ) | |||||||||||
Basic earnings (loss) per common share | $ | (0.36 | ) | $ | (0.34 | ) | ||||||||||
Diluted earnings (loss) per common share | $ | (0.36 | ) | $ | (0.34 | ) | ||||||||||
Nine Months Ended September 30, 2012 | ||||||||||||||||
(In thousands, except per share amounts) | Masonite | 2012 Acquisitions | Pro Forma | |||||||||||||
Net sales | $ | 1,257,846 | $ | 50,267 | $ | 1,308,113 | ||||||||||
Net income (loss) attributable to Masonite | (15,794 | ) | 2,232 | (13,562 | ) | |||||||||||
Basic earnings (loss) per common share | $ | (0.63 | ) | $ | (0.49 | ) | ||||||||||
Diluted earnings (loss) per common share | $ | (0.63 | ) | $ | (0.49 | ) | ||||||||||
The following schedule represents the amounts of revenue and earnings which have been included in the condensed consolidated statements of comprehensive income (loss) for the periods indicated subsequent to the respective acquisition dates: | ||||||||||||||||
Three Months Ended September 29, 2013 | ||||||||||||||||
(In thousands) | Lemieux | Algoma | Baillargeon | Total | ||||||||||||
Net sales | $ | 15,188 | $ | 16,405 | $ | 4,862 | $ | 36,455 | ||||||||
Net income (loss) attributable to Masonite | 1,695 | 655 | 374 | 2,724 | ||||||||||||
Three Months Ended September 30, 2012 | ||||||||||||||||
(In thousands) | Lemieux | Algoma | Baillargeon | Total | ||||||||||||
Net sales | $ | 7,072 | $ | 17,005 | $ | 5,355 | $ | 29,432 | ||||||||
Net income (loss) attributable to Masonite | 357 | 1,061 | 330 | 1,748 | ||||||||||||
Nine Months Ended September 29, 2013 | ||||||||||||||||
(In thousands) | Lemieux | Algoma | Baillargeon | Total | ||||||||||||
Net sales | $ | 42,474 | $ | 50,724 | $ | 14,812 | $ | 108,010 | ||||||||
Net income (loss) attributable to Masonite | 4,793 | 1,815 | 687 | 7,295 | ||||||||||||
Nine Months Ended September 30, 2012 | ||||||||||||||||
(In thousands) | Lemieux | Algoma | Baillargeon | Total | ||||||||||||
Net sales | $ | 7,072 | $ | 31,942 | $ | 11,028 | $ | 50,042 | ||||||||
Net income (loss) attributable to Masonite | 357 | 1,471 | 732 | 2,560 | ||||||||||||
Goodwill_and_Intangible_Assets1
Goodwill and Intangible Assets (Tables) | 9 Months Ended | |||||||||||||||
Sep. 29, 2013 | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||
Changes in carrying amount of goodwill | ' | |||||||||||||||
Changes in the carrying amount of goodwill for the periods indicated are as follows: | ||||||||||||||||
(In thousands) | North America Segment | |||||||||||||||
January 1, 2012 | $ | 56,563 | ||||||||||||||
Goodwill from 2012 acquisitions | 21,559 | |||||||||||||||
December 30, 2012 | 78,122 | |||||||||||||||
Goodwill from 2013 acquisitions | 316 | |||||||||||||||
Foreign exchange fluctuations | 12 | |||||||||||||||
September 29, 2013 | $ | 78,450 | ||||||||||||||
Cost and accumulated amortized values of intangible assets | ' | |||||||||||||||
The cost and accumulated amortized values of the Company’s intangible assets as of September 29, 2013, and December 30, 2012, are presented in the following tables: | ||||||||||||||||
September 29, 2013 | ||||||||||||||||
(In thousands) | Cost | Accumulated Amortization | Translation Adjustment | Net Book Value | ||||||||||||
Definite life intangible assets: | ||||||||||||||||
Customer relationships | $ | 82,333 | $ | (18,794 | ) | $ | (328 | ) | $ | 63,211 | ||||||
Patents | 27,289 | (11,471 | ) | 140 | 15,958 | |||||||||||
Software | 26,901 | (14,843 | ) | 350 | 12,408 | |||||||||||
Other | 11,923 | (5,120 | ) | (1,417 | ) | 5,386 | ||||||||||
148,446 | (50,228 | ) | (1,255 | ) | 96,963 | |||||||||||
Indefinite life intangible assets: | ||||||||||||||||
Trademarks and tradenames | 109,789 | — | 1,072 | 110,861 | ||||||||||||
Total intangible assets | $ | 258,235 | $ | (50,228 | ) | $ | (183 | ) | $ | 207,824 | ||||||
December 30, 2012 | ||||||||||||||||
(In thousands) | Cost | Accumulated Amortization | Translation Adjustment | Net Book Value | ||||||||||||
Definite life intangible assets: | ||||||||||||||||
Customer relationships | $ | 82,333 | $ | (11,373 | ) | $ | (169 | ) | $ | 70,791 | ||||||
Patents | 26,277 | (9,521 | ) | 148 | 16,904 | |||||||||||
Software | 25,806 | (12,491 | ) | 423 | 13,738 | |||||||||||
Other | 11,923 | (3,960 | ) | (950 | ) | 7,013 | ||||||||||
146,339 | (37,345 | ) | (548 | ) | 108,446 | |||||||||||
Indefinite life intangible assets: | ||||||||||||||||
Trademarks and tradenames | 109,789 | — | 1,389 | 111,178 | ||||||||||||
Total intangible assets | $ | 256,128 | $ | (37,345 | ) | $ | 841 | $ | 219,624 | |||||||
Estimated future amortization of intangible assets with definite lives | ' | |||||||||||||||
The estimated future amortization of intangible assets with definite lives as of September 29, 2013, is as follows: | ||||||||||||||||
(In thousands) | ||||||||||||||||
Fiscal year: | ||||||||||||||||
2013 (remaining three months) | $ | 4,225 | ||||||||||||||
2014 | 16,976 | |||||||||||||||
2015 | 16,436 | |||||||||||||||
2016 | 15,220 | |||||||||||||||
2017 | 13,108 | |||||||||||||||
Inventories_Tables
Inventories (Tables) | 9 Months Ended | |||||||
Sep. 29, 2013 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
Inventories | ' | |||||||
The following sets forth the amounts of inventory on hand as of September 29, 2013, and December 30, 2012: | ||||||||
(In thousands) | 29-Sep-13 | December 30, 2012 | ||||||
Raw materials | $ | 159,993 | $ | 138,997 | ||||
Finished goods | 74,885 | 69,786 | ||||||
Inventories, net | $ | 234,878 | $ | 208,783 | ||||
Property_Plant_and_Equipment_T
Property, Plant and Equipment (Tables) | 9 Months Ended | |||||||
Sep. 29, 2013 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Amounts of property, plant, and equipment | ' | |||||||
The following sets forth the amounts of property, plant and equipment held by the Company as of September 29, 2013, and December 30, 2012: | ||||||||
(In thousands) | September 29, 2013 | December 30, 2012 | ||||||
Land | $ | 51,134 | $ | 54,888 | ||||
Buildings | 190,490 | 187,967 | ||||||
Machinery and equipment | 571,412 | 550,280 | ||||||
Property, plant and equipment, gross | 813,036 | 793,135 | ||||||
Accumulated depreciation | (193,719 | ) | (144,775 | ) | ||||
Property, plant and equipment, net | $ | 619,317 | $ | 648,360 | ||||
LongTerm_Debt_Tables
Long-Term Debt (Tables) | 9 Months Ended | |||||||
Sep. 29, 2013 | ||||||||
Debt Disclosure [Abstract] | ' | |||||||
Schedule of long-term debt | ' | |||||||
(In thousands) | September 29, | December 30, | ||||||
2013 | 2012 | |||||||
8.25% Senior Notes due 2021 | $ | 375,000 | $ | 375,000 | ||||
Unamortized premium on Senior Notes | 2,906 | 3,194 | ||||||
Capital lease obligations and other long-term debt | 134 | 654 | ||||||
Total long-term debt | $ | 378,040 | $ | 378,848 | ||||
Share_Based_Compensation_Plans1
Share Based Compensation Plans (Tables) | 9 Months Ended | ||||||||||||
Sep. 29, 2013 | |||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||
Stock appreciation rights award activity | ' | ||||||||||||
Nine Months Ended September 29, 2013 | Stock Appreciation Rights | Aggregate Intrinsic Value (in thousands) | Weighted Average Exercise Price | Average Remaining Contractual Life (Years) | |||||||||
Outstanding, beginning of period | 2,628,448 | $ | 21,005 | $ | 15.76 | 6.9 | |||||||
Granted | 212,550 | 32.68 | |||||||||||
Exercised | (116,135 | ) | 13.67 | ||||||||||
Cancelled | (42,887 | ) | 14.6 | ||||||||||
Outstanding, end of period | 2,681,976 | $ | 41,478 | $ | 17.21 | 5.9 | |||||||
Exercisable, end of period | 2,251,929 | $ | 38,567 | $ | 15.55 | 5.4 | |||||||
Weighted average grant date assumptions used | ' | ||||||||||||
Following are the weighted average grant date assumptions used for the SARs granted in 2013: | |||||||||||||
Option value (model conclusion) | $ | 12.53 | |||||||||||
Risk-free rate | 1.8 | % | |||||||||||
Expected dividend yield | 0 | % | |||||||||||
Expected volatility | 35.1 | % | |||||||||||
Expected term (in years) | 6.5 | ||||||||||||
Restricted stock units award activity | ' | ||||||||||||
Nine Months Ended September 29, 2013 | Unvested Restricted Stock Units | Vested and Undelivered Restricted Stock Units | Total Restricted Stock Units Outstanding | Weighted Average Grant Date Fair Value | |||||||||
Outstanding, beginning of period | 625,750 | 296,196 | 921,946 | $ | 17.75 | ||||||||
Granted | 324,358 | — | 324,358 | 23.8 | |||||||||
Delivered | — | (460,512 | ) | (460,512 | ) | ||||||||
Withheld to cover (1) | — | (11,968 | ) | (11,968 | ) | ||||||||
Cancelled | (48,119 | ) | — | (48,119 | ) | ||||||||
Vested | (188,049 | ) | 188,049 | — | |||||||||
Outstanding, end of period | 713,940 | 11,765 | 725,705 | $ | 21.19 | ||||||||
(1) A portion of the vested RSUs delivered were net share settled to cover the minimum statutory requirements for income and other employment taxes, at the individual employee’s election. The equivalent cash is then remitted by the Company to the appropriate taxing authorities. These net share settlements had the effect of share repurchases by the Company as they reduced and retired the number of shares that would have otherwise been issued as a result of the vesting. |
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 9 Months Ended | |||
Sep. 29, 2013 | ||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||
Minimum payments under non-cancelable operating leases and service agreements | ' | |||
Minimum payments, for the following future periods, under non-cancelable operating leases and service agreements with initial or remaining terms of one year or more consist of the following: | ||||
(In thousands) | ||||
Fiscal year: | ||||
2013 (remaining three months) | $ | 4,941 | ||
2014 | 15,827 | |||
2015 | 14,739 | |||
2016 | 11,523 | |||
2017 | 9,867 | |||
Thereafter | 59,482 | |||
$ | 116,379 | |||
Restructuring_Costs_Tables
Restructuring Costs (Tables) | 9 Months Ended | |||||||||||||||||||
Sep. 29, 2013 | ||||||||||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||||||||||
Schedule of restructuring reserve by type of cost | ' | |||||||||||||||||||
The following presents changes in the accrual for restructuring and severance by segment: | ||||||||||||||||||||
(In thousands) | December 30, 2012 | Expense | Payments | September 29, 2013 | ||||||||||||||||
North America | $ | 497 | $ | 1,095 | $ | 1,310 | $ | 282 | ||||||||||||
Europe, Asia and Latin America | 4,071 | 3,372 | 4,993 | 2,450 | ||||||||||||||||
$ | 4,568 | $ | 4,467 | $ | 6,303 | $ | 2,732 | |||||||||||||
(In thousands) | January 1, 2012 | Expense | Payments | Non-Cash Items | September 30, 2012 | |||||||||||||||
North America | $ | 858 | $ | 690 | $ | 1,010 | $ | — | $ | 538 | ||||||||||
Europe, Asia and Latin America | 2,673 | 4,361 | 2,881 | 911 | 3,242 | |||||||||||||||
$ | 3,531 | $ | 5,051 | $ | 3,891 | $ | 911 | $ | 3,780 | |||||||||||
The following presents changes in the accrual for restructuring and severance by activity: | ||||||||||||||||||||
(In thousands) | December 30, 2012 | Expense | Payments | September 29, 2013 | ||||||||||||||||
Restructuring plans in 2009 and prior | $ | 1,675 | $ | 380 | $ | 962 | $ | 1,093 | ||||||||||||
2012 closures and exit activities | 2,893 | 3,579 | 4,929 | 1,543 | ||||||||||||||||
2013 closures and severance | — | 508 | 412 | 96 | ||||||||||||||||
$ | 4,568 | $ | 4,467 | $ | 6,303 | $ | 2,732 | |||||||||||||
(In thousands) | January 1, 2012 | Expense | Payments | Non-Cash Items | September 30, 2012 | |||||||||||||||
Restructuring plans in 2009 and prior | $ | 3,130 | $ | — | $ | 1,365 | $ | — | $ | 1,765 | ||||||||||
Reduction in staff levels in 2011 and other | 401 | 161 | 562 | — | — | |||||||||||||||
2012 closures and exit activities | — | 4,890 | 1,964 | 911 | 2,015 | |||||||||||||||
$ | 3,531 | $ | 5,051 | $ | 3,891 | $ | 911 | $ | 3,780 | |||||||||||
Total restructuring costs by plan | ' | |||||||||||||||||||
Certain information pertaining to total restructuring costs by plan as well as by segment is as follows: | ||||||||||||||||||||
(In thousands) | Nine Months Ended September 29, 2013 | Cumulative Amount Incurred to Date | ||||||||||||||||||
Restructuring plans in 2009 and prior | $ | 380 | $ | 3,390 | ||||||||||||||||
Reduction in staff levels in 2010 | — | 7,383 | ||||||||||||||||||
Reduction in staff levels in 2011 and other | — | 4,574 | ||||||||||||||||||
2012 closures and exit activities | 3,579 | 14,708 | ||||||||||||||||||
2013 closures and severance | 508 | 508 | ||||||||||||||||||
$ | 4,467 | $ | 30,563 | |||||||||||||||||
North America | $ | 1,095 | $ | 11,016 | ||||||||||||||||
Europe, Asia and Latin America | 3,372 | 19,547 | ||||||||||||||||||
$ | 4,467 | $ | 30,563 | |||||||||||||||||
Income_Taxes_Tables
Income Taxes (Tables) | 9 Months Ended | |||||||||||||||
Sep. 29, 2013 | ||||||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||||||
Income tax expense (benefit) for income taxes | ' | |||||||||||||||
Income tax expense (benefit) for income taxes consists of the following: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
(In thousands) | 29-Sep-13 | 30-Sep-12 | 29-Sep-13 | 30-Sep-12 | ||||||||||||
Current | $ | 308 | $ | 1,093 | $ | 1,110 | $ | 2,456 | ||||||||
Deferred | (6,580 | ) | (1,234 | ) | (8,826 | ) | (8,794 | ) | ||||||||
Income tax expense (benefit) | $ | (6,272 | ) | $ | (141 | ) | $ | (7,716 | ) | $ | (6,338 | ) |
Supplemental_Cash_Flow_Informa1
Supplemental Cash Flow Information (Tables) | 9 Months Ended | |||||||
Sep. 29, 2013 | ||||||||
Supplemental Cash Flow Elements [Abstract] | ' | |||||||
Cash and non-cash transactions | ' | |||||||
The following presents certain cash and non-cash transactions: | ||||||||
Nine Months Ended | ||||||||
(In thousands) | September 29, 2013 | September 30, 2012 | ||||||
Transactions involving cash: | ||||||||
Interest paid | $ | 15,503 | $ | 15,740 | ||||
Interest received | 388 | 411 | ||||||
Income taxes paid | 5,171 | 5,412 | ||||||
Income tax refunds | 687 | 2,927 | ||||||
Non-cash transactions: | ||||||||
Property, plant and equipment additions in accounts payable | 1,160 | 590 | ||||||
Segment_Information_Tables
Segment Information (Tables) | 9 Months Ended | |||||||||||||||
Sep. 29, 2013 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Geographic segments information | ' | |||||||||||||||
Certain information with respect to geographic segments is as follows: | ||||||||||||||||
North America | Europe, Asia and Latin America | Africa | Total | |||||||||||||
(In thousands) | Three Months Ended September 29, 2013 | |||||||||||||||
Sales | $ | 333,116 | $ | 85,972 | $ | 18,051 | $ | 437,139 | ||||||||
Intersegment sales | (22 | ) | (4,066 | ) | — | (4,088 | ) | |||||||||
Net sales to external customers | $ | 333,094 | $ | 81,906 | $ | 18,051 | $ | 433,051 | ||||||||
Adjusted EBITDA | $ | 23,117 | $ | 1,484 | $ | 1,833 | $ | 26,434 | ||||||||
Three Months Ended September 30, 2012 | ||||||||||||||||
Sales | $ | 319,307 | $ | 89,822 | $ | 20,048 | $ | 429,177 | ||||||||
Intersegment sales | (275 | ) | (3,906 | ) | (39 | ) | (4,220 | ) | ||||||||
Net sales to external customers | $ | 319,032 | $ | 85,916 | $ | 20,009 | $ | 424,957 | ||||||||
Adjusted EBITDA | $ | 19,825 | $ | 3,725 | $ | 1,435 | $ | 24,985 | ||||||||
Nine Months Ended September 29, 2013 | ||||||||||||||||
Sales | $ | 999,493 | $ | 270,621 | $ | 53,370 | $ | 1,323,484 | ||||||||
Intersegment sales | (380 | ) | (12,396 | ) | (40 | ) | (12,816 | ) | ||||||||
Net sales to external customers | $ | 999,113 | $ | 258,225 | $ | 53,330 | $ | 1,310,668 | ||||||||
Adjusted EBITDA | $ | 71,672 | $ | 10,403 | $ | 3,997 | $ | 86,072 | ||||||||
Nine Months Ended September 30, 2012 | ||||||||||||||||
Sales | $ | 918,712 | $ | 290,334 | $ | 62,040 | $ | 1,271,086 | ||||||||
Intersegment sales | (1,044 | ) | (12,056 | ) | (140 | ) | (13,240 | ) | ||||||||
Net sales to external customers | $ | 917,668 | $ | 278,278 | $ | 61,900 | $ | 1,257,846 | ||||||||
Adjusted EBITDA | $ | 53,522 | $ | 12,971 | $ | 5,151 | $ | 71,644 | ||||||||
Reconciliation of consolidated Adjusted EBITDA to net income (loss) attributable to Masonite | ' | |||||||||||||||
The table below provides a reconciliation of the Company’s consolidated Adjusted EBITDA to net income (loss) attributable to Masonite: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
(In thousands) | September 29, 2013 | September 30, 2012 | September 29, 2013 | September 30, 2012 | ||||||||||||
Adjusted EBITDA | $ | 26,434 | $ | 24,985 | $ | 86,072 | $ | 71,644 | ||||||||
Less (plus): | ||||||||||||||||
Depreciation | 15,505 | 15,859 | 47,682 | 47,486 | ||||||||||||
Amortization of intangible assets | 4,277 | 4,356 | 12,883 | 11,070 | ||||||||||||
Share based compensation expense | 1,841 | 1,786 | 5,752 | 4,605 | ||||||||||||
Loss (gain) on disposal of property, plant and equipment | (2,772 | ) | 200 | (1,810 | ) | 683 | ||||||||||
Impairment of property, plant and equipment | — | — | 1,904 | — | ||||||||||||
Restructuring costs | 1,265 | 3,829 | 4,467 | 5,051 | ||||||||||||
Interest expense, net | 8,330 | 7,969 | 24,788 | 23,073 | ||||||||||||
Other expense (income), net | (255 | ) | 80 | (776 | ) | 1,197 | ||||||||||
Income tax expense (benefit) | (6,272 | ) | (141 | ) | (7,716 | ) | (6,338 | ) | ||||||||
Loss (income) from discontinued operations, net of tax | 62 | 50 | 196 | (1,520 | ) | |||||||||||
Net income (loss) attributable to noncontrolling interest | 838 | 913 | 2,123 | 2,131 | ||||||||||||
Net income (loss) attributable to Masonite | $ | 3,615 | $ | (9,916 | ) | $ | (3,421 | ) | $ | (15,794 | ) | |||||
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 9 Months Ended | |||||||||||||||
Sep. 29, 2013 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
Schedule of Earnings Per Share | ' | |||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
(In thousands, except share and per share information) | September 29, 2013 | September 30, 2012 | September 29, 2013 | September 30, 2012 | ||||||||||||
Net income (loss) attributable to Masonite | $ | 3,615 | $ | (9,916 | ) | $ | (3,421 | ) | $ | (15,794 | ) | |||||
Income (loss) from discontinued operations, net of tax | (62 | ) | (50 | ) | (196 | ) | 1,520 | |||||||||
Income (loss) from continuing operations attributable to Masonite | $ | 3,677 | $ | (9,866 | ) | $ | (3,225 | ) | $ | (17,314 | ) | |||||
Shares used in computing basic earnings per share | 28,021,671 | 27,806,339 | 28,081,966 | 27,624,652 | ||||||||||||
Effect of dilutive securities: | ||||||||||||||||
Incremental shares issuable under share compensation plans | 1,873,361 | — | — | — | ||||||||||||
Shares used in computing diluted earnings per share | 29,895,032 | 27,806,339 | 28,081,966 | 27,624,652 | ||||||||||||
Earnings (loss) per common share attributable to Masonite: | ||||||||||||||||
Basic - from continuing operations | $ | 0.13 | $ | (0.36 | ) | $ | (0.11 | ) | $ | (0.63 | ) | |||||
Diluted - from continuing operations | $ | 0.12 | $ | (0.36 | ) | $ | (0.11 | ) | $ | (0.63 | ) | |||||
Basic - from discontinued operations, net of tax | $ | — | — | $ | (0.01 | ) | $ | 0.06 | ||||||||
Diluted - from discontinued operations, net of tax | $ | — | — | $ | (0.01 | ) | $ | 0.06 | ||||||||
Basic | $ | 0.13 | $ | (0.36 | ) | $ | (0.12 | ) | $ | (0.57 | ) | |||||
Diluted | $ | 0.12 | $ | (0.36 | ) | $ | (0.12 | ) | $ | (0.57 | ) | |||||
Incremental shares issuable from anti-dilutive instruments excluded from diluted earnings per common share: | ||||||||||||||||
Warrants | 5,833,335 | 5,833,335 | 5,833,335 | 5,833,335 | ||||||||||||
Stock appreciation rights | — | 956,819 | 1,271,349 | 886,296 | ||||||||||||
Restricted stock units | — | 682,075 | 563,952 | 734,271 | ||||||||||||
Other_Comprehensive_Income_and1
Other Comprehensive Income and Accumulated Other Comprehensive Income (Tables) | 9 Months Ended | |||||||||||||||
Sep. 29, 2013 | ||||||||||||||||
Equity [Abstract] | ' | |||||||||||||||
Schedule of components of accumulated other comprehensive income (loss) | ' | |||||||||||||||
The following presents a roll forward of the components of accumulated other comprehensive income (loss) for the periods indicated: | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
(In thousands) | September 29, 2013 | September 30, 2012 | September 29, 2013 | September 30, 2012 | ||||||||||||
Accumulated foreign exchange gains (losses), beginning of period | $ | (20,813 | ) | $ | (17,385 | ) | $ | 2,538 | $ | (5,489 | ) | |||||
Foreign exchange gain (loss) | 10,284 | 19,571 | (13,577 | ) | 7,932 | |||||||||||
Income tax benefit (expense) on foreign exchange gain (loss) | — | 1,197 | — | 783 | ||||||||||||
Less: foreign exchange gain (loss) attributable to noncontrolling interest | (124 | ) | (630 | ) | 386 | (473 | ) | |||||||||
Accumulated foreign exchange gains (losses), end of period | (10,653 | ) | 2,753 | (10,653 | ) | 2,753 | ||||||||||
Accumulated amortization of actuarial net losses, beginning of period | 1,463 | 519 | 1,037 | — | ||||||||||||
Amortization of actuarial net losses | 349 | 422 | 1,047 | 1,267 | ||||||||||||
Income tax benefit (expense) on amortization of actuarial net losses | (136 | ) | (163 | ) | (408 | ) | (489 | ) | ||||||||
Accumulated amortization of actuarial net losses, end of period | 1,676 | 778 | 1,676 | 778 | ||||||||||||
Accumulated pension and other post-retirement adjustments | (22,559 | ) | (22,239 | ) | (22,559 | ) | (22,239 | ) | ||||||||
Accumulated other comprehensive income (loss) | $ | (31,536 | ) | $ | (18,708 | ) | $ | (31,536 | ) | $ | (18,708 | ) | ||||
Other comprehensive income (loss), net of tax: | $ | 10,497 | $ | 21,027 | $ | (12,938 | ) | $ | 9,493 | |||||||
Less: other comprehensive income (loss) attributable to noncontrolling interest | 124 | 630 | (386 | ) | 473 | |||||||||||
Other comprehensive income (loss) attributable to Masonite | $ | 10,373 | $ | 20,397 | $ | (12,552 | ) | $ | 9,020 | |||||||
Variable_Interest_Entity_Table
Variable Interest Entity (Tables) | 9 Months Ended | |||||||
Sep. 29, 2013 | ||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |||||||
Consolidated results of the VIE | ' | |||||||
As its primary beneficiary, the Company has consolidated the results of the VIE. | ||||||||
(In thousands) | September 29, 2013 | December 30, 2012 | ||||||
Current assets | $ | 12,228 | $ | 11,424 | ||||
Property, plant and equipment, net | 17,541 | 20,446 | ||||||
Long-term deferred income taxes | 16,539 | 17,575 | ||||||
Other assets, net | 2,004 | — | ||||||
Current liabilities | (3,024 | ) | (3,967 | ) | ||||
Other long-term liabilities | (6,161 | ) | (6,497 | ) | ||||
Noncontrolling interest | (8,535 | ) | (13,669 | ) | ||||
Net cumulative investment by the Company | $ | 30,592 | $ | 25,312 | ||||
Business_Overview_and_Signific2
Business Overview and Significant Accounting Policies (Details) | Sep. 29, 2013 |
Country | |
Accounting Policies [Abstract] | ' |
Manufacturing locations | 64 |
Number of countries | 11 |
Acquisitions_Narrative_Details
Acquisitions (Narrative) (Details) (USD $) | 9 Months Ended | 0 Months Ended | 1 Months Ended | 3 Months Ended | 0 Months Ended | |||||||
Sep. 29, 2013 | Sep. 30, 2012 | Dec. 30, 2012 | Jan. 02, 2012 | Jul. 09, 2013 | Apr. 20, 2012 | Mar. 26, 2012 | Aug. 01, 2012 | Aug. 31, 2011 | Mar. 31, 2013 | Dec. 30, 2012 | Aug. 01, 2012 | |
Masisa | Algoma | Baillargeon | Lemieux | Marshfield | Marshfield | Marshfield | Customer Relationships | |||||
Lemieux | ||||||||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash consideration | ' | ' | ' | ' | $12,226,000 | ' | ' | ' | ' | ' | ' | ' |
Goodwill | 78,450,000 | ' | 78,122,000 | 56,563,000 | 316,000 | 20,049,000 | 1,113,000 | 397,000 | ' | ' | ' | ' |
Cash consideration, net of cash acquired | 15,082,000 | 87,732,000 | ' | ' | ' | 55,633,000 | 9,943,000 | 22,067,000 | 102,400,000 | ' | ' | ' |
Acquired equity interests | ' | ' | ' | ' | ' | 100.00% | 100.00% | 100.00% | ' | ' | ' | ' |
Weighted average amortization period | ' | ' | ' | ' | ' | '7 years 9 months 18 days | ' | ' | ' | ' | ' | '7 years 9 months 22 days |
Acquired trade receivables | ' | ' | ' | ' | ' | 9,000,000 | 3,100,000 | 5,100,000 | ' | ' | ' | ' |
Settlement for business insurance losses | ' | ' | ' | ' | ' | ' | ' | ' | ' | $4,500,000 | $3,300,000 | ' |
Acquisitions_Masisa_Acquisitio
Acquisitions (Masisa Acquisition) (Details) (USD $) | Sep. 29, 2013 | Dec. 30, 2012 | Jan. 02, 2012 | Jul. 09, 2013 |
In Thousands, unless otherwise specified | Masisa | |||
Business Acquisition [Line Items] | ' | ' | ' | ' |
Inventory | ' | ' | ' | $5,174 |
Property, plant and equipment | ' | ' | ' | 6,228 |
Goodwill | 78,450 | 78,122 | 56,563 | 316 |
Other assets and liabilities, net | ' | ' | ' | 508 |
Cash consideration | ' | ' | ' | $12,226 |
Acquisitions_Aggregate_Conside
Acquisitions (Aggregate Consideration) (Details) (USD $) | 9 Months Ended | 0 Months Ended | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 | Dec. 30, 2012 | Jan. 02, 2012 | Aug. 01, 2012 | Apr. 20, 2012 | Mar. 26, 2012 | Dec. 30, 2012 |
Lemieux | Algoma | Baillargeon | Series of Individually Immaterial Business Acquisitions | |||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Accounts receivable | ' | ' | ' | ' | $3,547 | $8,874 | $3,105 | $15,526 |
Inventory | ' | ' | ' | ' | 6,013 | 6,391 | 1,758 | 14,162 |
Property, plant and equipment | ' | ' | ' | ' | 15,148 | 9,658 | 7,054 | 31,860 |
Goodwill | 78,450 | ' | 78,122 | 56,563 | 397 | 20,049 | 1,113 | 21,559 |
Intangible assets | ' | ' | ' | ' | 3,900 | 28,600 | 0 | 32,500 |
Deferred income taxes | ' | ' | ' | ' | -3,023 | -11,866 | -929 | -15,818 |
Other assets and liabilities, net | ' | ' | ' | ' | -3,915 | -6,073 | -2,158 | -12,146 |
Cash consideration, net of cash acquired | $15,082 | $87,732 | ' | ' | $22,067 | $55,633 | $9,943 | $87,643 |
Acquisitions_Revenus_and_Earni
Acquisitions (Revenus and Earnings) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 |
Business Acquisition [Line Items] | ' | ' | ' | ' |
Net Sales | $36,455 | $29,432 | $108,010 | $50,042 |
Net income (loss) attributable to Masonite | 2,724 | 1,748 | 7,295 | 2,560 |
Lemieux | ' | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' | ' |
Net Sales | 15,188 | 7,072 | 42,474 | 7,072 |
Net income (loss) attributable to Masonite | 1,695 | 357 | 4,793 | 357 |
Algoma | ' | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' | ' |
Net Sales | 16,405 | 17,005 | 50,724 | 31,942 |
Net income (loss) attributable to Masonite | 655 | 1,061 | 1,815 | 1,471 |
Baillargeon | ' | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' | ' |
Net Sales | 4,862 | 5,355 | 14,812 | 11,028 |
Net income (loss) attributable to Masonite | $374 | $330 | $687 | $732 |
Acquisitions_Pro_Forma_Informa
Acquisitions (Pro Forma Information) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 |
Business Acquisition, Pro Forma Information [Line Items] | ' | ' | ' | ' |
Net sales | $433,051 | $424,957 | $1,310,668 | $1,257,846 |
Pro forma revenue | ' | 428,458 | ' | 1,308,113 |
Net income (loss) attributable to Masonite | 3,615 | -9,916 | -3,421 | -15,794 |
Pro forma net income (loss) attributable to Masonite | ' | -9,533 | ' | -13,562 |
Basic (in dollars per share) | $0.13 | ($0.36) | ($0.11) | ($0.63) |
Basic (in dollars per share) | $0.13 | ($0.36) | ($0.12) | ($0.57) |
Pro forma earnings per share, basic | ' | ($0.34) | ' | ($0.49) |
Diluted (in dollars per share) | $0.12 | ($0.36) | ($0.11) | ($0.63) |
Diluted (in dollars per share) | $0.12 | ($0.36) | ($0.12) | ($0.57) |
Pro forma earnings per share, diluted | ' | ($0.34) | ' | ($0.49) |
Series of Individually Immaterial Business Acquisitions | ' | ' | ' | ' |
Business Acquisition, Pro Forma Information [Line Items] | ' | ' | ' | ' |
Pro forma revenue | ' | 3,501 | ' | 50,267 |
Pro forma net income (loss) attributable to Masonite | ' | $383 | ' | $2,232 |
Goodwill_and_Intangible_Assets2
Goodwill and Intangible Assets (Details) (USD $) | 9 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 29, 2013 | Dec. 30, 2012 |
Goodwill [Roll Forward] | ' | ' |
Goodwill | $78,122 | $56,563 |
Goodwill acquisitions | 316 | 21,559 |
Foreign exchange fluctuations | 12 | ' |
Goodwill | $78,450 | $78,122 |
Goodwill_and_Intangible_Assets3
Goodwill and Intangible Assets (Cost and Accumulated Amortized Values) (Details) (USD $) | Sep. 29, 2013 | Dec. 30, 2012 |
In Thousands, unless otherwise specified | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' |
Finite-lived intangible assets, gross | $148,446 | $146,339 |
Finite-lived intangible assets, accumulated amortization | -50,228 | -37,345 |
Finite-lived intangible assets, translation adjustment | -1,255 | -548 |
Finite-lived intangible assets, net | 96,963 | 108,446 |
Total intangible assets, gross | 258,235 | 256,128 |
Total intangible assets, translation adjustment | -183 | 841 |
Total Intangible assets, net | 207,824 | 219,624 |
Customer Relationships | ' | ' |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' |
Finite-lived intangible assets, gross | 82,333 | 82,333 |
Finite-lived intangible assets, accumulated amortization | -18,794 | -11,373 |
Finite-lived intangible assets, translation adjustment | -328 | -169 |
Finite-lived intangible assets, net | 63,211 | 70,791 |
Patents | ' | ' |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' |
Finite-lived intangible assets, gross | 27,289 | 26,277 |
Finite-lived intangible assets, accumulated amortization | -11,471 | -9,521 |
Finite-lived intangible assets, translation adjustment | 140 | 148 |
Finite-lived intangible assets, net | 15,958 | 16,904 |
Software | ' | ' |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' |
Finite-lived intangible assets, gross | 26,901 | 25,806 |
Finite-lived intangible assets, accumulated amortization | -14,843 | -12,491 |
Finite-lived intangible assets, translation adjustment | 350 | 423 |
Finite-lived intangible assets, net | 12,408 | 13,738 |
Other | ' | ' |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' |
Finite-lived intangible assets, gross | 11,923 | 11,923 |
Finite-lived intangible assets, accumulated amortization | -5,120 | -3,960 |
Finite-lived intangible assets, translation adjustment | -1,417 | -950 |
Finite-lived intangible assets, net | 5,386 | 7,013 |
Trademarks and Trade Names [Member] | ' | ' |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' |
Indefinite-lived intangible assets, gross | 109,789 | 109,789 |
Indefinite-lived intangible assets, translation adjustment | 1,072 | 1,389 |
Indefinite-lived intangible assets, net | $110,861 | $111,178 |
Goodwill_and_Intangible_Assets4
Goodwill and Intangible Assets (Estimated Future Amortization of Intangible Assets) (Details) (USD $) | Sep. 29, 2013 |
In Thousands, unless otherwise specified | |
Goodwill and Intangible Assets Disclosure [Abstract] | ' |
2013 (remaining three months) | $4,225 |
2014 | 16,976 |
2015 | 16,436 |
2016 | 15,220 |
2017 | $13,108 |
Goodwill_and_Intangible_Assets5
Goodwill and Intangible Assets (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 |
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ' | ' | ' |
Amortization of intangible assets | $4,277 | $4,356 | $12,883 | $11,070 |
Accounts_Receivable_Details
Accounts Receivable (Details) (USD $) | 9 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Sep. 29, 2013 | Dec. 30, 2012 |
Customer | Customer | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Allowance for doubtful accounts | 3.9 | 3.9 |
Accounts Receivable | Customer Concentration Risk | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Concentration risk, customers | 10 | 10 |
Concentration risk, percent | 41.50% | 42.50% |
Inventories_Details
Inventories (Details) (USD $) | Sep. 29, 2013 | Dec. 30, 2012 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Raw materials | $159,993 | $138,997 |
Finished goods | 74,885 | 69,786 |
Inventories, net | $234,878 | $208,783 |
Inventories_Narrative_Details
Inventories (Narrative) (Details) (USD $) | Sep. 29, 2013 | Dec. 30, 2012 |
In Millions, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Inventory provision | ($7.90) | ($7.60) |
Property_Plant_and_Equipment_D
Property, Plant and Equipment (Details) (USD $) | Sep. 29, 2013 | Dec. 30, 2012 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | $813,036 | $793,135 |
Accumulated depreciation | -193,719 | -144,775 |
Property, plant and equipment, net | 619,317 | 648,360 |
Land | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | 51,134 | 54,888 |
Building | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | 190,490 | 187,967 |
Machinery and Equipment | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property, plant and equipment, gross | $571,412 | $550,280 |
Property_Plant_and_Equipment_N
Property, Plant and Equipment (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 |
Property, Plant and Equipment [Abstract] | ' | ' | ' | ' |
Depreciation | $15,505 | $15,859 | $47,682 | $47,486 |
LongTerm_Debt_Details
Long-Term Debt (Details) (USD $) | Sep. 29, 2013 | Dec. 30, 2012 |
In Thousands, unless otherwise specified | ||
Debt Instrument [Line Items] | ' | ' |
Capital lease obligations and other long-term debt | $134 | $654 |
Total long-term debt | 378,040 | 378,848 |
Senior Notes | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Unamortized premium on Senior Notes | 2,906 | 3,194 |
Senior Notes | Senior Notes Due 2021 | ' | ' |
Debt Instrument [Line Items] | ' | ' |
8.25% Senior Notes due 2021 | $375,000 | $375,000 |
LongTerm_Debt_Narrative_Detail
Long-Term Debt (Narrative) (Details) (USD $) | 9 Months Ended | 12 Months Ended | 3 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 3 Months Ended | |||||||||||||||
Sep. 29, 2013 | Sep. 30, 2012 | Jan. 01, 2012 | Jan. 02, 2012 | Sep. 29, 2013 | Mar. 31, 2011 | Sep. 29, 2013 | Dec. 30, 2012 | Apr. 30, 2011 | Jan. 01, 2012 | Mar. 31, 2012 | Dec. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 29, 2013 | Sep. 29, 2013 | Sep. 29, 2013 | 31-May-11 | Sep. 29, 2013 | Sep. 29, 2013 | Sep. 29, 2013 | Sep. 29, 2013 | Sep. 29, 2013 | |
ABL Facility | Bilateral Loan Facility | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Line of Credit | Revolving Credit Facility | Minimum | Minimum | Minimum | Maximum | Maximum | |||||
Senior Unsecured Notes Effective April 2011 | Senior Unsecured Notes Effective April 2011 | Senior Unsecured Notes Effective March 2012 | Senior Unsecured Notes Effective March 2012 | Senior Notes Due 2021 | Senior Notes Due 2021 | Senior Notes Due 2021 | Senior Notes Due 2021 | Senior Notes Due 2021 | Senior Notes Due 2021 | Senior Notes Due 2021 | ABL Facility | ABL Facility | ABL Facility | Line of Credit | Line of Credit | Line of Credit | Revolving Credit Facility | |||||||||
Debt Instrument, Redemption, Period One | Debt Instrument, Redemption, Period Two | Debt Instrument, Redemption, Period Three | Applicable Margin | ABL Facility | ABL Facility | ABL Facility | ABL Facility | |||||||||||||||||||
Applicable Margin | Base Rate | Base Rate | ||||||||||||||||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of principal senior unsecured notes | ' | ' | ' | ' | ' | ' | ' | ' | $275,000,000 | ' | $100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Senior notes issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 375,000,000 | ' | 375,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate stated percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8.25% | ' | 8.25% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from issuance of long-term debt | 0 | 103,500,000 | ' | ' | ' | ' | ' | ' | ' | 265,500,000 | ' | 101,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Transaction issuance cost | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,500,000 | ' | 2,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance price, percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 103.50% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unamortized premium on Senior Notes | ' | ' | ' | ' | ' | ' | 2,906,000 | 3,194,000 | ' | ' | 3,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Return of capital to shareholders | ' | ' | ' | 125,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Dividends, per share, cash paid | ' | ' | $4.54 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of businesses acquired | 6 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate consideration | 243,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,000,000 | 7,700,000 | 23,900,000 | 21,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Redemption portion, percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 35.00% | ' | ' | ' | ' | ' | ' | ' | ' |
Redemption price, premium, percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.00% | 0.50% | ' | ' | ' | ' | ' | ' | ' | ' |
Redemption price, percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | 108.25% | 101.00% | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | $30,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $125,000,000 | ' | ' | ' | ' | ' |
Basis spread on variable rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2.50% | ' | ' | 2.00% | 1.00% | 1.50% | ' |
Unutilized commitment fee percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.25% | ' | ' | ' | 0.38% |
Utilization percentage | ' | ' | ' | ' | 50.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share_Based_Compensation_Plans2
Share Based Compensation Plans (Details) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | 3 Months Ended | 9 Months Ended | 0 Months Ended | |||||||||||||||
Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 | Jan. 01, 2012 | Dec. 30, 2012 | Jan. 02, 2012 | Jun. 09, 2009 | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Jul. 12, 2012 | Jun. 21, 2013 | Sep. 29, 2013 | Jul. 12, 2012 | Jun. 09, 2012 | Jun. 09, 2012 | Sep. 29, 2013 | Sep. 29, 2013 | |
Stock Appreciation Rights (SARs) | Stock Appreciation Rights (SARs) | Stock Appreciation Rights (SARs) | Stock Appreciation Rights (SARs) | Restricted Stock Units (RSUs) | 2012 Plan | 2012 Plan | 2012 Plan | 2012 Plan | Management | Director | Expiration June 2014 | Expiration June 2016 | |||||||||
Common Stock | Common Stock | Common Stock | 2009 Plan | 2009 Plan | |||||||||||||||||
Common Stock | Common Stock | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted, shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 212,550 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted, shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 324,358 | ' | ' | ' | ' | ' | ' | ' | ' |
Granted, fair value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Award vesting period | ' | ' | ' | ' | ' | ' | ' | ' | '4 years 0 months 0 days | ' | ' | ' | '4 years 0 months 0 days | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation | 1,841,000 | 1,786,000 | 5,752,000 | 4,605,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share based compensation unrecognized | 11,100,000 | ' | 11,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average remaining requisite service period | '2 years 4 months 26 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage ownership of common equity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9.55% | 0.90% | ' | ' |
Plan term | ' | ' | ' | ' | ' | ' | ' | ' | '10 years 0 months 0 days | ' | ' | ' | ' | '10 years 0 months 0 days | ' | ' | ' | ' | ' | ' | ' |
Equity awards not to exceed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,000,000 | ' | 1,500,000 | 3,554,811 | 335,004 | ' | ' |
Additional increase to common shares issuable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 500,000 | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,503,621 | ' | ' | ' | ' | ' |
SARs vesting period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years 0 months 0 days | ' | '2 years 3 months 20 days | ' | ' | ' | ' | ' | ' | ' | ' |
Total SARs vested | ' | ' | ' | ' | ' | ' | ' | ' | 1,400,000 | 1,600,000 | 2,500,000 | 2,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted, shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 324,358 | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Fair Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,700,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Dividends, per share, cash paid | ' | ' | ' | ' | $4.54 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capital Distribution Payments, Not yet paid | $200,000 | ' | $200,000 | ' | ' | $1,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Warrants issued | ' | ' | ' | ' | ' | ' | ' | 5,833,335 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,333,334 | 2,500,001 |
Exercise price of warrants | ' | ' | ' | ' | ' | ' | 50.77 | 55.31 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share_Based_Compensation_Plans3
Share Based Compensation Plans (SARs) (Details) (Stock Appreciation Rights (SARs), USD $) | 0 Months Ended | 9 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Sep. 29, 2013 | Dec. 30, 2012 | Sep. 29, 2013 |
Stock Appreciation Rights (SARs) | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ' | ' | ' |
Outstanding, beginning of period, shares | ' | ' | 2,628,448 |
Granted, shares | ' | ' | 212,550 |
Exercised, shares | ' | ' | -116,135 |
Cancelled, shares | ' | ' | -42,887 |
Outstanding, end of period, shares | 2,681,976 | 2,628,448 | 2,681,976 |
Exercisable, shares | 2,251,929 | ' | 2,251,929 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Aggregate Intrinsic Value & Average Remaining Contractual Life [Abstract] | ' | ' | ' |
Outstanding, beginning of period, aggregate intrinsic value | ' | ' | $21,005 |
Outstanding, end period, aggregate intrinsic value | 41,478 | 21,005 | 41,478 |
Exercisable, aggregate intrinsic value | $38,567 | ' | $38,567 |
Outstanding, beginning of period, weighted average remaining contractual term | '5 years 10 months 29 days | '6 years 10 months 29 days | ' |
Outstanding, end of period, weighted average remaining contractual term | '5 years 10 months 29 days | '6 years 10 months 29 days | ' |
Exercisable, weighted average remaining contractual term | '5 years 4 months 26 days | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | ' | ' | ' |
Outstanding, beginning of period, weighted average exercise price | ' | ' | $15.76 |
Granted, weighted average exercise price | ' | ' | $32.68 |
Exercised, weighted average exercise price | ' | ' | $13.67 |
Forfeited, weighted average exercise price | ' | ' | $14.60 |
Outstanding, end of period, weighted average exercise price | $17.21 | $15.76 | $17.21 |
Exercisable, weighted average exercise price | $15.55 | ' | $15.55 |
Share_Based_Compensation_Plans4
Share Based Compensation Plans (Weighted Average Grant Date Assumptions) (Details) (USD $) | 9 Months Ended |
Sep. 29, 2013 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' |
Option value (model conclusion) | $12.53 |
Risk-free rate | 1.80% |
Expected dividend yield | 0.00% |
Expected volatility | 35.10% |
Expected term (in years) | '6 years 6 months 3 days |
Share_Based_Compensation_Plans5
Share Based Compensation Plans (RSUs) (Details) (Restricted Stock Units (RSUs), USD $) | 9 Months Ended | |
Sep. 29, 2013 | ||
Restricted Stock Units (RSUs) | ' | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' | |
Outstanding, beginning of period, shares | 625,750 | |
Granted, shares | 324,358 | |
Options, forfeited in period, shares | -48,119 | |
Vested in period, shares | -188,049 | |
Outstanding, end of period, shares | 713,940 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other Than Options, Vested and Undelivered, Outstanding [Roll Forward] | ' | |
Outstanding, beginning of period, shares | 296,196 | |
Delivered, shares | -460,512 | |
Withheld to cover, shares | -11,968 | [1] |
Cancelled, shares | 0 | |
Vested, shares | 188,049 | |
Outstanding, end of period, shares | 11,765 | |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | ' | |
Outstanding beginning of period, shares | 921,946 | |
Granted, shares | 324,358 | |
Cancelled, shares | -48,119 | |
Outstanding end of period, shares | 725,705 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ' | |
Outstanding, beginning of period, weighted average grant date fair value | $17.75 | |
Granted, weighted average grant date fair value | $23.80 | |
Outstanding, end of period, weighted average grant date fair value | $21.19 | |
[1] | A portion of the vested RSUs delivered were net share settled to cover the minimum statutory requirements for income and other employment taxes, at the individual employeebs election. The equivalent cash is then remitted by the Company to the appropriate taxing authorities. These net share settlements had the effect of share repurchases by the Company as they reduced and retired the number of shares that would have otherwise been issued as a result of the vesting. |
Commitments_and_Contingencies_1
Commitments and Contingencies (Details) (USD $) | Sep. 29, 2013 |
In Thousands, unless otherwise specified | |
Commitments and Contingencies Disclosure [Abstract] | ' |
2013 (remaining three months) | $4,941 |
2014 | 15,827 |
2015 | 14,739 |
2016 | 11,523 |
2017 | 9,867 |
Thereafter | 59,482 |
Total, operating leases, future minimum payments due | $116,379 |
Commitments_and_Contingencies_2
Commitments and Contingencies (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 |
Operating Leased Assets [Line Items] | ' | ' | ' | ' |
Lease renewal term | ' | ' | '5 years 0 months 0 days | ' |
Rent expense | $6.10 | $6.40 | $18.90 | $18.70 |
Minimum | ' | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' | ' |
Lease renewal options | ' | ' | 0 | ' |
Maximum | ' | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' | ' |
Lease renewal options | ' | ' | 3 | ' |
Restructuring_Costs_Details
Restructuring Costs (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 |
Restructuring Reserve [Roll Forward] | ' | ' | ' | ' |
Restructuring reserve | ' | ' | $4,568 | $3,531 |
Restructuring costs | 1,265 | 3,829 | 4,467 | 5,051 |
Payments | ' | ' | 6,303 | 3,891 |
Non-Cash Items | ' | ' | ' | 911 |
Restructuring reserve | 2,732 | 3,780 | 2,732 | 3,780 |
North America Segment | ' | ' | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' | ' | ' |
Restructuring reserve | ' | ' | 497 | 858 |
Restructuring costs | ' | ' | 1,095 | 690 |
Payments | ' | ' | 1,310 | 1,010 |
Non-Cash Items | ' | ' | ' | 0 |
Restructuring reserve | 282 | 538 | 282 | 538 |
Europe, Asia and Latin America Segment | ' | ' | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' | ' | ' |
Restructuring reserve | ' | ' | 4,071 | 2,673 |
Restructuring costs | ' | ' | 3,372 | 4,361 |
Payments | ' | ' | 4,993 | 2,881 |
Non-Cash Items | ' | ' | ' | 911 |
Restructuring reserve | 2,450 | 3,242 | 2,450 | 3,242 |
2009 and Prior Restructuring Plans | ' | ' | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' | ' | ' |
Restructuring reserve | ' | ' | 1,675 | 3,130 |
Restructuring costs | ' | ' | 380 | 0 |
Payments | ' | ' | 962 | 1,365 |
Non-Cash Items | ' | ' | ' | 0 |
Restructuring reserve | 1,093 | 1,765 | 1,093 | 1,765 |
2011 and Other Restructuring Plans | 2011 Restructuring Plans | ' | ' | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' | ' | ' |
Restructuring reserve | ' | ' | ' | 401 |
Restructuring costs | ' | ' | ' | 161 |
Payments | ' | ' | ' | 562 |
Non-Cash Items | ' | ' | ' | 0 |
Restructuring reserve | ' | 0 | ' | 0 |
2012 Restructuring Plans | 2012 Closures and Exit Activities | ' | ' | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' | ' | ' |
Restructuring reserve | ' | ' | 2,893 | 0 |
Restructuring costs | ' | ' | 3,579 | 4,890 |
Payments | ' | ' | 4,929 | 1,964 |
Non-Cash Items | ' | ' | ' | 911 |
Restructuring reserve | 1,543 | 2,015 | 1,543 | 2,015 |
2013 Restructuring Plans | 2013 Closures and Severance | ' | ' | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' | ' | ' |
Restructuring reserve | ' | ' | 0 | ' |
Restructuring costs | ' | ' | 508 | ' |
Payments | ' | ' | 412 | ' |
Restructuring reserve | $96 | ' | $96 | ' |
Restructuring_Costs_Restructur
Restructuring Costs (Restructuring Costs by Plan) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Restructuring costs | $1,265 | $3,829 | $4,467 | $5,051 |
Cumulative amount incurred to date | ' | ' | 30,563 | ' |
North America Segment | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Restructuring costs | ' | ' | 1,095 | 690 |
Cumulative amount incurred to date | ' | ' | 11,016 | ' |
Europe, Asia and Latin America Segment | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Restructuring costs | ' | ' | 3,372 | 4,361 |
Cumulative amount incurred to date | ' | ' | 19,547 | ' |
2009 and Prior Restructuring Plans | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Restructuring costs | ' | ' | 380 | 0 |
Cumulative amount incurred to date | ' | ' | 3,390 | ' |
2010 Restructuring Plans | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Restructuring costs | ' | ' | 0 | ' |
Cumulative amount incurred to date | ' | ' | 7,383 | ' |
2011 Restructuring Plans | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Restructuring costs | ' | ' | 0 | ' |
Cumulative amount incurred to date | ' | ' | 4,574 | ' |
2012 Restructuring Plans | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Cumulative amount incurred to date | ' | ' | 14,708 | ' |
2012 Restructuring Plans | 2012 Closures and Exit Activities | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Restructuring costs | ' | ' | 3,579 | 4,890 |
2013 Restructuring Plans | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Cumulative amount incurred to date | ' | ' | 508 | ' |
2013 Restructuring Plans | 2013 Closures and Severance | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Restructuring costs | ' | ' | $508 | ' |
Restructuring_Costs_Narrative_
Restructuring Costs (Narrative) (Details) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 29, 2013 |
Restructuring and Related Activities [Abstract] | ' |
Additional restructuring cost expected to incur | $1.10 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' |
Current | $308 | $1,093 | $1,110 | $2,456 |
Deferred | -6,580 | -1,234 | -8,826 | -8,794 |
Income tax expense (benefit) | ($6,272) | ($141) | ($7,716) | ($6,338) |
Income_Taxes_Narrative_Details
Income Taxes (Narrative) (Details) (USD $) | 9 Months Ended | 3 Months Ended | |
In Millions, unless otherwise specified | Sep. 29, 2013 | Dec. 30, 2012 | Sep. 29, 2013 |
CANADA | |||
Effective Income Tax Rate Reconciliation [Line Items] | ' | ' | ' |
Canadian federal statutory rate | ' | ' | 25.90% |
Estimate of unrecognized tax benefit reduction | ($4.40) | ' | ' |
Deferred tax asset, valuation allowance | $24.60 | $24.30 | ' |
Supplemental_Cash_Flow_Informa2
Supplemental Cash Flow Information (Details) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 |
Supplemental Cash Flow Elements [Abstract] | ' | ' |
Interest Paid | $15,503 | $15,740 |
Transactions involving cash: | ' | ' |
Interest received | 388 | 411 |
Income taxes paid | 5,171 | 5,412 |
Income tax refunds | 687 | 2,927 |
Non-cash transactions: | ' | ' |
Property, plant and equipment additions in accounts payable | $1,160 | $590 |
Segment_Information_Details
Segment Information (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Sales | $433,051 | $424,957 | $1,310,668 | $1,257,846 |
Adjusted EBITDA | 26,434 | 24,985 | 86,072 | 71,644 |
Operating Segments | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Sales | 437,139 | 429,177 | 1,323,484 | 1,271,086 |
Intersegment Eliminations | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Sales | -4,088 | -4,220 | -12,816 | -13,240 |
North America Segment | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Sales | 333,094 | 319,032 | 999,113 | 917,668 |
Adjusted EBITDA | 23,117 | 19,825 | 71,672 | 53,522 |
North America Segment | Operating Segments | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Sales | 333,116 | 319,307 | 999,493 | 918,712 |
North America Segment | Intersegment Eliminations | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Sales | -22 | -275 | -380 | -1,044 |
Europe, Asia and Latin America Segment | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Sales | 81,906 | 85,916 | 258,225 | 278,278 |
Adjusted EBITDA | 1,484 | 3,725 | 10,403 | 12,971 |
Europe, Asia and Latin America Segment | Operating Segments | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Sales | 85,972 | 89,822 | 270,621 | 290,334 |
Europe, Asia and Latin America Segment | Intersegment Eliminations | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Sales | -4,066 | -3,906 | -12,396 | -12,056 |
Africa Segment | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Sales | 18,051 | 20,009 | 53,330 | 61,900 |
Adjusted EBITDA | 1,833 | 1,435 | 3,997 | 5,151 |
Africa Segment | Operating Segments | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Sales | 18,051 | 20,048 | 53,370 | 62,040 |
Africa Segment | Intersegment Eliminations | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Sales | $0 | ($39) | ($40) | ($140) |
Segment_Information_Reconcilia
Segment Information (Reconciliation of Consolidated Adjusted EBITDA to Net Income (Loss)) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 |
Segment Reporting [Abstract] | ' | ' | ' | ' |
Adjusted EBITDA | $26,434 | $24,985 | $86,072 | $71,644 |
Depreciation | 15,505 | 15,859 | 47,682 | 47,486 |
Amortization of Intangible Assets | 4,277 | 4,356 | 12,883 | 11,070 |
Share based compensation expense | 1,841 | 1,786 | 5,752 | 4,605 |
Loss (gain) on disposal of property, plant and equipment | -2,772 | 200 | -1,810 | 683 |
Impairment of property, plant and equipment | 0 | 0 | 1,904 | 0 |
Restructuring costs | 1,265 | 3,829 | 4,467 | 5,051 |
Interest expense, net | 8,330 | 7,969 | 24,788 | 23,073 |
Other expense (income), net | -255 | 80 | -776 | 1,197 |
Income tax expense (benefit) | -6,272 | -141 | -7,716 | -6,338 |
Loss (income) from discontinued operations, net of tax | 62 | 50 | 196 | -1,520 |
Net income (loss) attributable to noncontrolling interest | 838 | 913 | 2,123 | 2,131 |
Net income (loss) attributable to Masonite | $3,615 | ($9,916) | ($3,421) | ($15,794) |
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Details) (USD $) | 9 Months Ended | |
Sep. 29, 2013 | Dec. 30, 2012 | |
Location | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Assets held for sale, fair value | $3,338,000 | $7,211,000 |
Assets held-for-sale, number of locations divested | 4 | ' |
Assets held for sale, book value | -3,800,000 | ' |
Gain on sale of assets held for sale | 3,000,000 | ' |
Decreased value of foreign assets held for sale | 100,000 | ' |
Estimate of Fair Value Measurement | Senior Notes Due 2021 | Senior Notes | Fair Value, Inputs, Level 2 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Estimated fair value of senior notes | 409,200,000 | 400,300,000 |
Reported Value Measurement | Senior Notes Due 2021 | Senior Notes | Fair Value, Inputs, Level 2 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Estimated fair value of senior notes | $377,900,000 | $378,200,000 |
Earnings_Per_Share_Details
Earnings Per Share (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' | ' |
Net income (loss) attributable to Masonite | $3,615 | ($9,916) | ($3,421) | ($15,794) |
Income (loss) from discontinued operations, net of tax | -62 | -50 | -196 | 1,520 |
Income (loss) from continuing operations attributable to Masonite | $3,677 | ($9,866) | ($3,225) | ($17,314) |
Effect of dilutive securities: | ' | ' | ' | ' |
Shares used in computing basic earnings per share | 28,021,671 | 27,806,339 | 28,081,966 | 27,624,652 |
Incremental shares issuable under share compensation plans | 1,873,361 | 0 | 0 | 0 |
Shares used in computing diluted earnings per share | 29,895,032 | 27,806,339 | 28,081,966 | 27,624,652 |
Earnings (loss) per common share attributable to Masonite: | ' | ' | ' | ' |
Basic - from continuing operations | $0.13 | ($0.36) | ($0.12) | ($0.57) |
Diluted - from continuing operations | $0.12 | ($0.36) | ($0.12) | ($0.57) |
Basic - from discontinued operations, net of tax | $0 | $0 | ($0.01) | $0.06 |
Diluted - from discontinued operations, net of tax | $0 | $0 | ($0.01) | $0.06 |
Basic | $0.13 | ($0.36) | ($0.11) | ($0.63) |
Diluted | $0.12 | ($0.36) | ($0.11) | ($0.63) |
Warrants | ' | ' | ' | ' |
Incremental shares issuable from anti-dilutive instruments excluded from diluted earnings per common share: | ' | ' | ' | ' |
Antidilutive securities excluded from computation of earnings per share, amount | 5,833,335 | 5,833,335 | 5,833,335 | 5,833,335 |
Stock Appreciation Rights (SARs) | ' | ' | ' | ' |
Incremental shares issuable from anti-dilutive instruments excluded from diluted earnings per common share: | ' | ' | ' | ' |
Antidilutive securities excluded from computation of earnings per share, amount | 0 | 956,819 | 1,271,349 | 886,296 |
Restricted Stock Units (RSUs) | ' | ' | ' | ' |
Incremental shares issuable from anti-dilutive instruments excluded from diluted earnings per common share: | ' | ' | ' | ' |
Antidilutive securities excluded from computation of earnings per share, amount | 0 | 682,075 | 563,952 | 734,271 |
Other_Comprehensive_Income_and2
Other Comprehensive Income and Accumulated Other Comprehensive Income (Details) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 29, 2013 | Sep. 30, 2012 | Sep. 29, 2013 | Sep. 30, 2012 | Dec. 30, 2012 | Jun. 30, 2012 |
Equity [Abstract] | ' | ' | ' | ' | ' | ' |
Accumulated foreign exchange gains (losses), beginning of period | ($20,813) | ' | $2,538 | ($5,489) | ($5,489) | ($17,385) |
Foreign exchange gain (loss) | 10,284 | 19,571 | -13,577 | 7,932 | ' | ' |
Income tax benefit (expense) on foreign exchange gain (loss) | 0 | 1,197 | 0 | 783 | ' | ' |
Less: foreign exchange gain (loss) attributable to noncontrolling interest | -124 | -630 | 386 | -473 | ' | ' |
Accumulated foreign exchange gains (losses), end of period | -10,653 | 2,753 | -10,653 | 2,753 | 2,538 | -17,385 |
Accumulated amortization of actuarial net losses, beginning of period | 1,463 | ' | 1,037 | 0 | 0 | 519 |
Amortization of actuarial net losses | -349 | -422 | -1,047 | -1,267 | ' | ' |
Income tax benefit (expense) on amortization of actuarial net losses | -136 | -163 | -408 | -489 | ' | ' |
Accumulated amortization of actuarial net losses, end of period | 1,676 | 778 | 1,676 | 778 | 1,037 | 519 |
Accumulated pension and other post-retirement adjustments | -22,559 | -22,239 | -22,559 | -22,239 | ' | ' |
Accumulated other comprehensive income (loss) | -31,536 | -18,708 | -31,536 | -18,708 | -18,984 | ' |
Other comprehensive income (loss), net of tax: | 10,497 | 21,027 | -12,938 | 9,493 | 8,978 | ' |
Less: other comprehensive income (loss) attributable to noncontrolling interest | 124 | 630 | -386 | 473 | ' | ' |
Other comprehensive income (loss) attributable to Masonite | $10,373 | $20,397 | ($12,552) | $9,020 | ' | ' |
Variable_Interest_Entity_Detai
Variable Interest Entity (Details) (USD $) | Sep. 29, 2013 | Dec. 30, 2012 |
In Thousands, unless otherwise specified | ||
Variable Interest Entity [Line Items] | ' | ' |
Current assets | $679,678 | $652,472 |
Property, plant and equipment, net | 619,317 | 648,360 |
Long-term deferred income taxes | 11,434 | 14,502 |
Other assets, net | 25,809 | 25,235 |
Current liabilities | -252,493 | -234,888 |
Other long-term liabilities | -68,123 | -75,258 |
Net cumulative investment by the Company | 795,956 | 806,543 |
Variable Interest Entity, Primary Beneficiary | ' | ' |
Variable Interest Entity [Line Items] | ' | ' |
Current assets | 12,228 | 11,424 |
Property, plant and equipment, net | 17,541 | 20,446 |
Long-term deferred income taxes | 16,539 | 17,575 |
Other assets, net | 2,004 | 0 |
Current liabilities | -3,024 | -3,967 |
Other long-term liabilities | -6,161 | -6,497 |
Noncontrolling interest | -8,535 | -13,669 |
Net cumulative investment by the Company | $30,592 | $25,312 |
Variable_Interest_Entity_Narra
Variable Interest Entity (Narrative) (Details) (USD $) | Sep. 29, 2013 | Dec. 30, 2012 | Sep. 30, 2012 | Jan. 02, 2012 |
In Thousands, unless otherwise specified | ||||
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | $113,172 | $122,314 | $115,047 | $109,205 |
Variable Interest Entity, Primary Beneficiary | ' | ' | ' | ' |
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Number of variable interest entities | 1 | 1 | ' | ' |
Cash and cash equivalents | $6,600 | $4,100 | ' | ' |