Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2021 | Oct. 28, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2021 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | SUP | |
Entity Registrant Name | SUPERIOR INDUSTRIES INTERNATIONAL, INC. | |
Entity Central Index Key | 0000095552 | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 26,163,077 | |
Smaller Reporting Company | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity File Number | 1-6615 | |
Entity Tax Identification Number | 95-2594729 | |
Entity Address, Address Line One | 26600 Telegraph Road | |
Entity Address, Address Line Two | Suite 400 | |
Entity Address, City or Town | Southfield | |
Entity Address, State or Province | MI | |
Entity Address, Postal Zip Code | 48033 | |
City Area Code | 248 | |
Local Phone Number | 352-7300 | |
Entity Interactive Data Current | Yes | |
Title of 12(b) Security | Common Stock, $0.01 par value | |
Security Exchange Name | NYSE | |
Entity Incorporation, State or Country Code | DE | |
Document Quarterly Report | true | |
Document Transition Report | false |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Income Statement [Abstract] | ||||
NET SALES | $ 310,780 | $ 317,103 | $ 1,016,440 | $ 763,050 |
Cost of sales | 292,637 | 285,135 | 922,637 | 730,762 |
GROSS PROFIT | 18,143 | 31,968 | 93,803 | 32,288 |
Selling, general and administrative expenses | 10,769 | 12,730 | 45,190 | 36,541 |
Impairment of goodwill and indefinite-lived intangibles | 193,641 | |||
INCOME (LOSS) FROM OPERATIONS | 7,374 | 19,238 | 48,613 | (197,894) |
Interest expense, net | (10,619) | (10,414) | (31,378) | (34,448) |
Other expense, net | (2,094) | (1,576) | (6,028) | (923) |
(LOSS) INCOME BEFORE INCOME TAXES | (5,339) | 7,248 | 11,207 | (233,265) |
Income tax (provision) benefit | (1,841) | 3,898 | (3,570) | 11,111 |
NET (LOSS) INCOME | $ (7,180) | $ 11,146 | $ 7,637 | $ (222,154) |
(LOSS) EARNINGS PER SHARE – BASIC | $ (0.61) | $ 0.12 | $ (0.69) | $ (9.66) |
(LOSS) EARNINGS PER SHARE – DILUTED | $ (0.61) | $ 0.12 | $ (0.69) | $ (9.66) |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net (loss) income | $ (7,180) | $ 11,146 | $ 7,637 | $ (222,154) |
Other comprehensive (loss) income, net of tax: | ||||
Foreign currency translation (loss) gain | (9,068) | 16,384 | (16,336) | (9,706) |
Change in unrecognized (losses) gains on derivative instruments: | ||||
Change in fair value of derivatives | (7,735) | 5,818 | 290 | (32,934) |
Tax benefit (provision) | 851 | (1,135) | (189) | 7,618 |
Change in unrecognized (losses) gains on derivative instruments, net of tax | (6,884) | 4,683 | 101 | (25,316) |
Defined benefit pension plan: | ||||
Amortization of actuarial losses on pension obligations | 96 | 72 | 290 | 216 |
Tax provision | (15) | (45) | ||
Pension changes, net of tax | 96 | 57 | 290 | 171 |
Other comprehensive (loss) income, net of tax | (15,856) | 21,124 | (15,945) | (34,851) |
Comprehensive (loss) income | $ (23,036) | $ 32,270 | $ (8,308) | $ (257,005) |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 76,117 | $ 152,423 |
Accounts receivable, net | 94,167 | 48,995 |
Inventories, net | 214,972 | 154,980 |
Income taxes receivable | 4,689 | 4,957 |
Other current assets | 32,520 | 22,301 |
Total current assets | 422,465 | 383,656 |
Property, plant and equipment, net | 501,772 | 522,124 |
Deferred income tax assets, net | 28,020 | 30,860 |
Intangibles, net | 85,177 | 110,796 |
Other non-current assets | 54,834 | 61,889 |
Total assets | 1,092,268 | 1,109,325 |
Current liabilities: | ||
Accounts payable | 162,936 | 151,839 |
Short-term debt | 6,297 | 6,112 |
Accrued expenses | 76,573 | 71,079 |
Income taxes payable | 1,380 | 2,107 |
Total current liabilities | 247,186 | 231,137 |
Long-term debt (less current portion) | 609,445 | 625,492 |
Non-current income tax liabilities | 7,928 | 7,635 |
Deferred income tax liabilities, net | 3,243 | 9,104 |
Other non-current liabilities | 78,257 | 76,426 |
Commitments and contingent liabilities (Note 17) | ||
Mezzanine equity: | ||
Preferred stock, $0.01 par value Authorized - 1,000,000 shares Issued and outstanding - 150,000 shares outstanding at September 30, 2021 and December 31, 2020 | 194,560 | 179,387 |
European non-controlling redeemable equity | 1,552 | 1,666 |
Shareholders’ equity (deficit): | ||
Common stock, $0.01 par value Authorized - 100,000,000 shares Issued and outstanding - 26,107,462 and 25,591,930 shares at September 30, 2021 and December 31, 2020 | 100,618 | 95,247 |
Accumulated other comprehensive loss | (115,391) | (99,446) |
Retained earnings | (35,130) | (17,323) |
Total shareholders’ equity (deficit) | (49,903) | (21,522) |
Total liabilities, mezzanine equity and shareholders’ equity (deficit) | $ 1,092,268 | $ 1,109,325 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2021 | Dec. 31, 2020 |
Statement Of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 150,000 | 150,000 |
Preferred stock, shares outstanding | 150,000 | 150,000 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 26,148,797 | 25,591,930 |
Common stock, shares outstanding | 26,148,797 | 25,591,930 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net income (loss) | $ 7,637 | $ (222,154) |
Adjustments to reconcile net loss to net cash provided by operating activities: | ||
Depreciation and amortization | 75,446 | 73,134 |
Income tax, non-cash changes | (4,198) | (19,389) |
Impairment of goodwill and indefinite-lived intangibles | 193,641 | |
Stock-based compensation | 6,844 | 727 |
Amortization of debt issuance costs | 3,195 | 3,140 |
Other non-cash items | (10,710) | (1,493) |
Accounts receivable | (47,899) | (4,062) |
Inventories | (66,513) | 29,292 |
Other assets and liabilities | 14,538 | 11,520 |
Accounts payable | 7,181 | 27,438 |
Income taxes | (99) | 717 |
NET CASH (USED IN) PROVIDED BY OPERATING ACTIVITIES | (14,578) | 92,511 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Additions to property, plant, and equipment | (47,571) | (33,592) |
Proceeds from sale of fixed assets | 6,589 | 859 |
NET CASH USED IN INVESTING ACTIVITIES | (40,982) | (32,733) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from issuance of long-term debt | 1,658 | 11,690 |
Repayments of debt | (3,569) | (24,851) |
Proceeds from borrowings on revolving credit facility | 313,825 | |
Repayments of borrowings on revolving credit facility | (316,910) | |
Cash dividends paid | (10,140) | (10,161) |
Financing costs paid and other | (4,339) | (4,981) |
Payments related to tax withholdings for stock-based compensation | (1,473) | |
Finance lease payments | (1,012) | (723) |
NET CASH USED IN FINANCING ACTIVITIES | (18,875) | (32,111) |
Effect of exchange rate changes on cash | (1,871) | 5,537 |
Net (decrease) increase in cash and cash equivalents | (76,306) | 33,204 |
Cash and cash equivalents at the beginning of the period | 152,423 | 77,927 |
Cash and cash equivalents at the end of the period | $ 76,117 | $ 111,131 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Shareholders' Equity (Deficit) - USD ($) $ in Thousands | Total | Common Stock | Unrecognized Gains (Losses) on Derivative Instruments | Pension Obligations | Cumulative Translation Adjustment | Retained Earnings |
Beginning of period at Dec. 31, 2019 | $ 251,690 | $ 93,331 | $ 9,951 | $ (5,571) | $ (104,458) | $ 258,437 |
Beginning of the period (in shares) at Dec. 31, 2019 | 25,128,158 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | (222,154) | (222,154) | ||||
Change in unrecognized gains/losses on derivative instruments, net of tax | (25,316) | (25,316) | ||||
Change in defined benefit plans, net of taxes | 171 | 171 | ||||
Net foreign currency translation adjustment | (9,706) | (9,706) | ||||
Common stock issued, net of shares withheld for employee taxes (in shares) | 463,772 | |||||
Stock-based compensation | 727 | $ 727 | ||||
Redeemable preferred 9% dividend and accretion | (23,811) | (23,811) | ||||
European non-controlling redeemable equity dividend | (152) | (152) | ||||
End of period at Sep. 30, 2020 | (28,551) | $ 94,058 | (15,365) | (5,400) | (114,164) | 12,320 |
End of the period (in shares) at Sep. 30, 2020 | 25,591,930 | |||||
Beginning of period at Dec. 31, 2019 | 251,690 | $ 93,331 | 9,951 | (5,571) | (104,458) | 258,437 |
Beginning of the period (in shares) at Dec. 31, 2019 | 25,128,158 | |||||
End of period at Dec. 31, 2020 | $ (21,522) | $ 95,247 | (1,738) | (7,447) | (90,261) | (17,323) |
End of the period (in shares) at Dec. 31, 2020 | 25,591,930 | 25,591,930 | ||||
Beginning of period at Jun. 30, 2020 | $ (53,176) | $ 93,541 | (20,048) | (5,457) | (130,548) | 9,336 |
Beginning of the period (in shares) at Jun. 30, 2020 | 25,591,930 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 11,146 | 11,146 | ||||
Change in unrecognized gains/losses on derivative instruments, net of tax | 4,683 | 4,683 | ||||
Change in defined benefit plans, net of taxes | 57 | 57 | ||||
Net foreign currency translation adjustment | 16,384 | 16,384 | ||||
Stock-based compensation | 517 | $ 517 | ||||
Redeemable preferred 9% dividend and accretion | (8,056) | (8,056) | ||||
European non-controlling redeemable equity dividend | (106) | (106) | ||||
End of period at Sep. 30, 2020 | (28,551) | $ 94,058 | (15,365) | (5,400) | (114,164) | 12,320 |
End of the period (in shares) at Sep. 30, 2020 | 25,591,930 | |||||
Beginning of period at Dec. 31, 2020 | $ (21,522) | $ 95,247 | (1,738) | (7,447) | (90,261) | (17,323) |
Beginning of the period (in shares) at Dec. 31, 2020 | 25,591,930 | 25,591,930 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | $ 7,637 | 7,637 | ||||
Change in unrecognized gains/losses on derivative instruments, net of tax | 101 | 101 | ||||
Change in defined benefit plans, net of taxes | 290 | 290 | ||||
Net foreign currency translation adjustment | (16,336) | (16,336) | ||||
Common stock issued, net of shares withheld for employee taxes (in shares) | 556,867 | |||||
Stock-based compensation | 5,371 | $ 5,371 | ||||
Redeemable preferred 9% dividend and accretion | (25,310) | (25,310) | ||||
European non-controlling redeemable equity dividend | (134) | (134) | ||||
End of period at Sep. 30, 2021 | $ (49,903) | $ 100,618 | (1,637) | (7,157) | (106,597) | (35,130) |
End of the period (in shares) at Sep. 30, 2021 | 26,148,797 | 26,148,797 | ||||
Beginning of period at Jun. 30, 2021 | $ (20,555) | $ 98,236 | 5,247 | (7,253) | (97,529) | (19,256) |
Beginning of the period (in shares) at Jun. 30, 2021 | 26,107,462 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | (7,180) | (7,180) | ||||
Change in unrecognized gains/losses on derivative instruments, net of tax | (6,884) | (6,884) | ||||
Change in defined benefit plans, net of taxes | 96 | 96 | ||||
Net foreign currency translation adjustment | (9,068) | (9,068) | ||||
Common stock issued, net of shares withheld for employee taxes (in shares) | 41,335 | |||||
Stock-based compensation | 2,382 | $ 2,382 | ||||
Redeemable preferred 9% dividend and accretion | (8,598) | (8,598) | ||||
European non-controlling redeemable equity dividend | (96) | (96) | ||||
End of period at Sep. 30, 2021 | $ (49,903) | $ 100,618 | $ (1,637) | $ (7,157) | $ (106,597) | $ (35,130) |
End of the period (in shares) at Sep. 30, 2021 | 26,148,797 | 26,148,797 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Shareholders' Equity (Deficit) (Parenthetical) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Statement Of Stockholders Equity [Abstract] | ||||
Preferred stock, dividend rate, percentage | 9.00% | 9.00% | 9.00% | 9.00% |
Nature of Operations and Presen
Nature of Operations and Presentation of Condensed Consolidated Financial Statements | 9 Months Ended |
Sep. 30, 2021 | |
Accounting Policies [Abstract] | |
Nature of Operations and Presentation of Condensed Consolidated Financial Statements | NOTE 1 – NATURE OF OPERATIONS AND PRESENTATION OF CONDENSED CONSOLIDATED FINANCIAL STATEMENTS Nature of Operations Superior Industries International, Inc.’s (referred herein as the “Company,” “Superior,” or “we” and “our”) principal business is the design and manufacture of aluminum wheels for sale to original equipment manufacturers (“OEMs”) in North America and Europe and to the aftermarket in Europe. We employ approximately 8,000 full-time employees, operating in eight manufacturing facilities in North America and Europe. We are one of the largest aluminum wheel suppliers to global OEMs and we believe we are the #1 European aluminum wheel aftermarket manufacturer and supplier. Our OEM aluminum wheels accounted for approximately 92 percent of our sales in the first nine months of 2021 and are primarily sold for factory installation on vehicle models manufactured by BMW (including Mini), Daimler AG Company (Mercedes-Benz, AMG, Smart), Ford, GM, Honda, Jaguar-Land Rover, Lucid Motors, Mazda, Nissan, PSA, Renault, Stellantis, Subaru, Suzuki, Toyota, VW Group (Volkswagen, Audi, SEAT, Skoda, Porsche, Bentley) and Volvo. We also sell aluminum wheels to the European aftermarket under the brands ATS, RIAL, ALUTEC and ANZIO. North America and Europe represent the principal markets for our products, but we have a diversified global customer base consisting of North American, European and Asian OEMs. We have determined that our North American and European operations should be treated as separate reportable segments as further described in Note 5, “Business Segments.” Presentation of Condensed Consolidated Financial Statements The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with U.S. Generally Accepted Accounting Principles (“GAAP”) pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial information. Accordingly, they do not include all the information and notes required by U.S. GAAP for complete financial statements. These unaudited condensed consolidated financial statements, in our opinion, include all adjustments, of a normal and recurring nature, which are necessary for fair presentation of (i) the condensed consolidated statements of income (loss) for the three and nine-month periods ended September 30, 2021 and September 30, 2020, (ii) the condensed consolidated statements of comprehensive income (loss) for the three and nine-month periods ended September 30, 2021 and September 30, 2020, (iii) the condensed consolidated balance sheets at September 30, 2021 and December 31, 2020, (iv) the condensed consolidated statements of cash flows for the nine-month periods ended September 30, 2021 and September 30, 2020, and (v) the condensed consolidated statements of shareholders’ equity (deficit) for the three and nine-month periods ended September 30, 2021 and September 30, 2020. This Quarterly Report on Form 10-Q should be read in conjunction with our consolidated financial statements and notes thereto filed with the SEC in our 2020 Annual Report on Form 10-K. Interim financial reporting standards require us to make estimates that are based on assumptions regarding the outcome of future events and circumstances not known at that time. Inevitably, some assumptions will not materialize, unanticipated events or circumstances may occur which vary from those estimates and such variations may significantly affect our future results. Additionally, interim results may not be indicative of our results for future interim periods or our annual results. Reclassifications Certain prior year amounts have been reclassified to conform with the current year presentation. Cash Paid for Interest and Taxes and Non-Cash Investing Activities Cash paid for interest was $23.5 million and $27.1 million for the nine months ended September 30, 2021 and September 30, 2020, respectively. Net cash paid for income taxes was $8.3 million and $7.6 million for the nine months ended September 30, 2021 and September 30, 2020, respectively. As of September 30, 2021 and September 30, 2020, $10.8 million and $0.2 million, respectively, of equipment had been purchased but not yet paid and was included in accounts payable in our condensed consolidated balance sheets. Accounting Standards Issued but Not Yet Adopted Accounting Standards Update (ASU) 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” In June 2016, the Financial Accounting Standards Board issued ASU 2016-13, "Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments", which requires entities to use a new impairment model based on c urrent e xpected c redit l osses ( “ CECL ” ) rather than incurred losses. Under CECL, estimated credit losses would incorporate relevant information about past events, current conditions and reasonable and supportable forecasts and any expected credit losses would be recognized at the time of sale. T he Company is not required to adopt the standard until January 1, 2023 . We are evaluating the impact this standard will have on our financial statement s and disclosures. |
Revenue
Revenue | 9 Months Ended |
Sep. 30, 2021 | |
Revenue From Contract With Customer [Abstract] | |
Revenue | NOTE 2 – REVENUE The Company disaggregates revenue from contracts with customers into our reportable segments, North America and Europe. Revenues by segment for the three and nine-month periods ended September 30, 2021 and September 30, 2020, respectively, are summarized in Note 5, “Business Segments.” The opening and closing balances of the Company’s customer receivables and current and long-term contract liabilities balances are as follows: (Dollars in thousands) September 30, 2021 December 31, 2020 Change Customer receivables $ 82,717 $ 40,785 $ 41,932 Contract liabilities—current 7,193 8,249 (1,056 ) Contract liabilities—noncurrent 11,026 13,106 (2,080 ) |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | NOTE 3 – FAIR VALUE MEASUREMENTS The Company applies fair value accounting for all financial assets and liabilities and non-financial assets and liabilities that are recognized or disclosed at fair value in the financial statements on a recurring basis, while other assets and liabilities are measured at fair value on a nonrecurring basis, such as an asset impairment. Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement: Level 1 - Quoted prices in active markets for identical assets or liabilities. Level 2 - Observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 - Inputs that are generally unobservable and typically reflect management’s estimate of assumptions that market participants would use in pricing the asset or liability. The carrying amounts for cash and cash equivalents, accounts receivable, accounts payable and accrued expenses approximate their fair values due to the short period of time until maturity. Derivative Financial Instruments Our derivatives are over-the-counter customized derivative transactions and are not exchange traded. We estimate the fair value of these instruments using industry-standard valuation models such as discounted cash flow. These models project future cash flows and discount the future amounts to a present value using market-based expectations for interest rates, foreign exchange rates, commodity prices and the contractual terms of the derivative instruments. The discount rate used is the relevant interbank deposit rate (e.g., LIBOR) plus an adjustment for non-performance risk. The following tables categorize items measured at fair value as of September 30, 2021 and December 31, 2020: Fair Value Measurement at Reporting Date Using September 30, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (Dollars in thousands) Assets Derivative contracts $ 13,884 $ — $ 13,884 $ — Total $ 13,884 $ — $ 13,884 $ — Liabilities . Derivative contracts $ 17,213 $ — $ 17,213 $ — Total $ 17,213 $ — $ 17,213 $ — Fair Value Measurement at Reporting Date Using December 31, 2020 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (Dollars in thousands) Assets Derivative contracts $ 10,218 $ — $ 10,218 $ — Total $ 10,218 $ — $ 10,218 $ — Liabilities Derivative contracts $ 15,259 $ — $ 15,259 $ — Total $ 15,259 $ — $ 15,259 $ — Debt Instruments The carrying values of the Company’s debt instruments vary from their fair values. The fair values were determined by reference to transacted prices and quotes for these instruments (Level 2). The estimated fair value, as well as the carrying value, of the Company’s debt instruments are shown below: September 30, 2021 December 31, 2020 (Dollars in thousands) Estimated aggregate fair value $ 624,713 $ 624,207 Aggregate carrying value (1) 624,223 643,184 (1) |
Derivative Financial Instrument
Derivative Financial Instruments | 9 Months Ended |
Sep. 30, 2021 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | NOTE 4 - DERIVATIVE FINANCIAL INSTRUMENTS We use derivatives to partially offset our exposure to foreign currency, interest rate, aluminum and other commodity price risks. We may enter into forward contracts, option contracts, swaps, collars or other derivative instruments to offset some of the risk on expected future cash flows and on certain existing assets and liabilities. However, we may choose not to hedge certain exposures for a variety of reasons including, but not limited to, accounting considerations and the prohibitive economic cost of hedging particular exposures. There can be no assurance the hedges will offset the full financial impact resulting from movements in foreign currency exchange rates, interest rates, and aluminum or other commodity prices. To help mitigate gross margin fluctuations due to changes in foreign currency exchange rates, certain of our subsidiaries, whose functional currency is the U.S. dollar or the Euro, hedge a portion of their forecasted foreign currency costs denominated in the Mexican Peso and Polish Zloty, respectively. We may hedge portions of our forecasted foreign currency exposure up to 48 months. We record all derivatives in the condensed consolidated balance sheets at fair value. Our accounting treatment for these instruments is based on the hedge designation. Gains or losses on derivatives that are designated as hedging instruments are recorded in accumulated other comprehensive income (loss) (“AOCI”) until the hedged item is recognized in earnings, at which point accumulated gains or losses will be recognized in earnings and classified with the underlying hedged transaction. Derivatives that are not designated as hedging instruments are adjusted to fair value through earnings in the financial statement line item to which the derivative relates. The Company has derivatives that are designated as hedging instruments, as well as derivatives that do not qualify for designation as hedging instruments. The following tables display the fair value of derivatives by balance sheet line item at September 30, 2021 and December 31, 2020: September 30, 2021 Other Current Assets Other Non-current Assets Accrued Liabilities Other Non-current Liabilities (Dollars in thousands) Foreign exchange forward contracts designated as hedging instruments $ 2,145 $ 3,027 $ 2,391 $ 8,448 Foreign exchange forward contracts not designated as hedging instruments 524 — 739 — Aluminum forward contracts designated as hedging instruments 3,620 — — — Natural gas forward contracts designated as hedging instruments 3,590 978 6 42 Interest rate swap contracts designated as hedging instruments — — 4,781 806 Total derivative financial instruments $ 9,879 $ 4,005 $ 7,917 $ 9,296 December 31, 2020 Other Current Assets Other Non-current Assets Accrued Liabilities Other Non-current Liabilities (Dollars in thousands) Foreign exchange forward contracts designated as hedging instruments $ 1,218 $ 6,531 $ 3,435 $ 2,645 Foreign exchange forward contracts not designated as hedging instruments 1,167 — 122 — Aluminum forward contracts designated as hedging instruments 262 — — — Natural gas forward contracts designated as hedging instruments 816 224 22 70 Interest rate swap contracts designated as hedging instruments — — 4,771 4,194 Total derivative financial instruments $ 3,463 $ 6,755 $ 8,350 $ 6,909 The following table summarizes the notional amount and estimated fair value of our derivative financial instruments: September 30, 2021 December 31, 2020 Notional U.S. Dollar Amount Fair Value Notional U.S. Dollar Amount Fair Value (Dollars in thousands) Foreign exchange forward contracts designated as hedging instruments $ 487,425 $ (5,667 ) $ 421,253 $ 1,669 Foreign exchange forward contracts not designated as hedging instruments 25,668 (215 ) 71,217 1,045 Aluminum forward contracts designated as hedging instruments 19,257 3,620 4,068 262 Natural gas forward contracts designated as hedging instruments 8,094 4,520 5,523 948 Interest rate swap contracts designated as hedging instruments 200,000 (5,587 ) 200,000 (8,965 ) Total derivative financial instruments $ 740,444 $ (3,329 ) $ 702,061 $ (5,041 ) Notional amounts are presented on a net basis. The notional amounts of the derivative financial instruments do not represent amounts exchanged by the parties and, therefore, are not a direct measure of our exposure to the financial risks. The amounts exchanged are calculated by reference to the notional amounts and by other terms of the derivatives, such as interest rates, foreign currency exchange rates or commodity prices. The following tables summarize the gain or loss recognized in AOCI, the amounts reclassified from AOCI into earnings and the amounts recognized directly into earnings for the three and nine months ended September 30, 2021 and 2020: Three Months Ended September 30, 2021 Amount of Gain or (Loss) Recognized in AOCI on Derivatives Amount of Pre-tax Gain or (Loss) Reclassified from AOCI into Income Amount of Pre-tax Gain or (Loss) Recognized in Income on Derivatives (Dollars in thousands) Derivative Contracts $ (6,884 ) $ 1,731 $ (219 ) Total $ (6,884 ) $ 1,731 $ (219 ) Nine Months Ended September 30, 2021 Amount of Gain or (Loss) Recognized in AOCI on Derivatives Amount of Pre-tax Gain or (Loss) Reclassified from AOCI into Income Amount of Pre-tax Gain or (Loss) Recognized in Income on Derivatives (Dollars in thousands) Derivative Contracts $ 101 $ 2,050 $ (1,485 ) Total $ 101 $ 2,050 $ (1,485 ) Three Months Ended September 30, 2020 Amount of Gain or (Loss) Recognized in AOCI on Derivatives Amount of Pre-tax Gain or (Loss) Reclassified from AOCI into Income Amount of Pre-tax Gain or (Loss) Recognized in Income on Derivatives (Dollars in thousands) Derivative Contracts $ 4,683 $ (2,261 ) $ 3,458 Total $ 4,683 $ (2,261 ) $ 3,458 Nine Months Ended September 30, 2020 Amount of Gain or (Loss) Recognized in AOCI on Derivatives Amount of Pre-tax Gain or (Loss) Reclassified from AOCI into Income Amount of Pre-tax Gain or (Loss) Recognized in Income on Derivatives (Dollars in thousands) Derivative Contracts $ (25,316 ) $ (7,355 ) $ (289 ) Total $ (25,316 ) $ (7,355 ) $ (289 ) |
Business Segments
Business Segments | 9 Months Ended |
Sep. 30, 2021 | |
Segment Reporting [Abstract] | |
Business Segments | NOTE 5 - BUSINESS SEGMENTS The North American and European businesses represent separate operating segments in view of significantly different markets, customers and products in each of these regions. Within each of these regions, markets, customers, products and production processes are similar. Moreover, our business within each region generally leverages common systems, processes and infrastructure. Accordingly, North America and Europe comprise the Company’s reportable segments. (Dollars in thousands) Net Sales Income (loss) from Operations Three Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 North America $ 180,496 $ 166,662 $ 12,581 $ 16,113 Europe 130,284 150,441 (5,207 ) 3,125 $ 310,780 $ 317,103 $ 7,374 $ 19,238 (Dollars in thousands) Depreciation and Amortization Capital Expenditures Three Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 North America $ 8,732 $ 8,742 $ 10,223 $ 6,673 Europe 15,744 16,076 16,797 4,158 $ 24,476 $ 24,818 $ 27,020 $ 10,831 (Dollars in thousands) Net Sales Income (loss) from Operations Nine Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 North America $ 549,457 $ 381,129 $ 37,964 $ 2,430 Europe 466,983 381,921 10,649 (200,324 ) $ 1,016,440 $ 763,050 $ 48,613 $ (197,894 ) (Dollars in thousands) Depreciation and Amortization Capital Expenditures Nine Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 North America $ 27,453 $ 25,967 $ 18,330 $ 19,109 Europe 47,993 47,167 29,241 14,483 $ 75,446 $ 73,134 $ 47,571 $ 33,592 (Dollars in thousands) Property, Plant and Equipment, net Intangible Assets September 30, 2021 December 31, 2020 September 30, 2021 December 31, 2020 North America $ 211,253 $ 220,145 $ — $ — Europe 290,519 301,979 85,177 110,796 $ 501,772 $ 522,124 $ 85,177 $ 110,796 (Dollars in thousands) Total Assets September 30, 2021 December 31, 2020 North America $ 477,922 $ 479,873 Europe 614,346 629,452 $ 1,092,268 $ 1,109,325 Geographic information Net sales and long-lived assets by location are as follows: (Dollars in thousands) Three Months Ended Nine Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 Net sales: U.S. $ 2,832 $ 5,094 $ 5,651 $ 24,890 Mexico 177,664 161,568 543,806 356,239 Germany 43,084 58,413 166,483 142,177 Poland 87,200 92,028 300,500 239,744 Consolidated net sales $ 310,780 $ 317,103 $ 1,016,440 $ 763,050 (Dollars in thousands) Property, Plant and Equipment, net September 30, 2021 December 31, 2020 U.S. $ 2,291 $ 7,324 Mexico 208,962 212,821 Germany 85,019 82,162 Poland 205,500 219,817 Property, plant and equipment, net $ 501,772 $ 522,124 |
Inventories
Inventories | 9 Months Ended |
Sep. 30, 2021 | |
Inventory Disclosure [Abstract] | |
Inventories | NOTE 6 - INVENTORIES September 30, 2021 December 31, 2020 (Dollars in thousands) Raw materials $ 48,344 $ 46,712 Work in process 73,425 45,394 Finished goods 93,203 62,874 Inventories, net $ 214,972 $ 154,980 Service wheel and supplies inventory included in other non-current assets in the condensed consolidated balance sheets totaled $10.5 million and $12.1 million at September 30, 2021 and December 31, 2020, respectively. |
Property, Plant and Equipment
Property, Plant and Equipment | 9 Months Ended |
Sep. 30, 2021 | |
Property Plant And Equipment [Abstract] | |
Property, Plant and Equipment | NOTE 7 - PROPERTY, PLANT AND EQUIPMENT September 30, 2021 December 31, 2020 (Dollars in thousands) Land and buildings $ 129,221 $ 149,295 Machinery and equipment 861,218 899,764 Leasehold improvements and others 12,421 14,912 Construction in progress 59,275 46,718 1,062,135 1,110,689 Accumulated depreciation (560,363 ) (588,565 ) Property, plant and equipment, net $ 501,772 $ 522,124 Depreciation expense for the three and nine months ended September 30, 2021 was $18.0 million and $55.5 million, respectively. Depreciation expense for the three and nine months ended September 30, 2020 was $18.3 million and $54.4 million, respectively. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 9 Months Ended |
Sep. 30, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | NOTE 8 – GOODWILL AND OTHER INTANGIBLE ASSETS At March 31, 2020, the impact of COVID-19 and uncertainty with respect to the economic effects of the pandemic had introduced significant volatility in the financial markets and was having a widespread adverse effect on the automotive industry. In response to the COVID-19 pandemic, our key customers temporarily closed nearly all their production facilities in Europe and North America (our primary markets) during the quarter ended March 31, 2020. As a result, we concluded that an interim test of our goodwill was required as of March 31, 2020. More specifically, the Company concluded that the following events and circumstances, in the aggregate, indicated that it was more likely than not that the carrying value of our European reporting unit exceeded its fair value: (1) our European reporting unit’s carrying value was effectively set to fair value at December 31, 2019, due to the $102.2 million impairment charges to goodwill and indefinite-lived intangibles, (2) lower forecasted 2020 industry production volumes for Western and Central Europe, including those for our primary European customers, due to OEM shutdowns to mitigate COVID-19 spread and subsequent reduced production levels over the remainder of the year, as compared to our prior production forecasts (including estimates used in our 2019 assessment) and (3) the volatility in financial markets that had both increased European interest rates due to rising credit spreads and risk premiums and lowered median European automotive market multiples. Based on the results of our quantitative analysis, we recognized a non-cash goodwill impairment charge equal to the remaining goodwill balance of $182.6 million since the carrying value exceeded the fair value of the European reporting unit by more than the amount of the goodwill balance at March 31, 2020. we recognized a non-cash impairment charge of $11.0 million related to our aftermarket trade name indefinite-lived intangible asset which was primarily attributable to a further decline in forecasted aftermarket revenues and a decline in associated profitability. Total impairment charges of $193.6 million were recognized as a separate charge at March 31, 2020 and included in income (loss) from operations. We utilized both an income and a market approach, weighted 75 percent and 25 percent respectively, to determine the fair value of the European reporting unit as part of our goodwill impairment assessment. The income approach is based on projected debt-free cash flow, which is discounted to the present value using discount factors that consider the timing and risk of cash flows. The discount rate used is the weighted average of an estimated cost of equity and of debt (“weighted average cost of capital”). The weighted average cost of capital is adjusted as necessary to reflect risk associated with the business of the European reporting unit. Financial projections are based on estimated production volumes, product prices and expenses, including raw material cost, wages, energy and other expenses. Other significant assumptions include terminal value cash flow and growth rates, future capital expenditures and changes in future working capital requirements. The market approach is based on the observed ratios of enterprise value to earnings before interest, taxes, depreciation and amortization (EBITDA) of comparable, publicly traded companies. The market approach fair value is determined by multiplying historical and anticipated financial metrics of the European reporting unit by the EBITDA pricing multiples derived from comparable, publicly traded companies. At March 31, 2020, we determined that the carrying value of the European reporting unit exceeded its fair value by an amount greater than the remaining goodwill balance. The decline in fair value was primarily due to significantly lower market multiples and increased discount rates, as well as further declines in forecasted industry production volumes in Western and Central Europe as a result of the COVID-19 pandemic and consequent economic instability. Forecasted revenues, EBITDA and cash flow for the European reporting unit also declined as compared to the prior year long-range plan due to lower forecasted industry production volumes which adversely impacted fair value under both the income and market approaches. Significant assumptions used under the income approach included a weighted average cost of capital (WACC) of 12.0 percent and a long-term growth rate of 1.5 percent, as compared to 10.0 percent and 2.0 percent, respectively, used in the 2019 assessment. In determining the WACC, management considered the level of risk inherent in the cash flow projections and current market conditions, including the significant increase in credit spreads and systemic market and Company specific risk premiums. The decline in the fair value under the market approach is attributable to the decline in the average EBITDA market multiple (4.9X EBITDA in 2020, 5.7X EBITDA in 2019) and lower forecasted EBITDA, as compared to the 2019 assessment performing Following is a summary of the Company’s finite-lived and indefinite-lived intangible assets and goodwill as of September 30, 2021 and December 31, 2020. As of September 30, 2021 Gross Carrying Amount Accumulated Impairment Accumulated Amortization Currency Translation Net Carrying Amount Remaining Weighted Average Amortization Period (Dollars in thousands) Brand name $ 9,000 $ — $ (8,047 ) $ 284 $ 1,237 1-2 Technology 15,000 — (13,412 ) 474 2,062 2 Customer relationships 167,000 — (90,417 ) 5,295 81,878 2-7 Total finite 191,000 — (111,876 ) 6,053 85,177 Trade names 14,000 (13,772 ) — (228 ) — Indefinite Total intangibles $ 205,000 $ (13,772 ) $ (111,876 ) $ 5,825 $ 85,177 As of December 31, 2020 Gross Carrying Amount Accumulated Impairment Accumulated Amortization Currency Translation Net Carrying Amount Remaining Weighted Average Amortization Period (Dollars in thousands) Brand name $ 9,000 $ — $ (6,615 ) $ 399 $ 2,784 2-3 Technology 15,000 — (11,024 ) 666 4,642 1-3 Customer relationships 167,000 — (74,322 ) 10,692 103,370 3-8 Total finite 191,000 — (91,961 ) 11,757 110,796 Trade names 14,000 (13,772 ) — (228 ) — Indefinite Total intangibles $ 205,000 $ (13,772 ) $ (91,961 ) $ 11,529 $ 110,796 Year Ended December 31, 2020 Beginning Balance Ending Balance Gross Accumulated Impairment Net Balance Impairment Currency Translation Gross Accumulated Impairment Net Balance (Dollars in thousands) Goodwill $ 284,337 $ (99,505 ) $ 184,832 $ (182,602 ) $ (2,230 ) $ 282,107 $ (282,107 ) $ — Amortization expense for these intangible assets was $6.5 million for the three months ended September 30, 2021 and 2020, respectively. Amortization expense for the nine months ended September 30, 2021 and 2020 was $19.9 million and $18.8 million, respectively. The anticipated annual amortization expense for these intangible assets is $25.8 million for 2021, $22.9 million for 2022, $20.9 million for 2023 and 2024, and $10.3 million for 2025. |
Debt
Debt | 9 Months Ended |
Sep. 30, 2021 | |
Debt Disclosure [Abstract] | |
Debt | NOTE 9 – DEBT A summary of long-term debt and the related weighted average interest rates is shown below: September 30, 2021 (Dollars in Thousands) Debt Instrument Total Debt Debt Issuance Costs (1) Total Debt, Net Weighted Average Interest Rate Term Loan Facility $ 349,200 $ (4,794 ) $ 344,406 4.1 % 6.00% Senior Notes 251,735 (3,687 ) 248,048 6.0 % European CapEx Loans 20,348 — 20,348 2.3 % Finance Leases 2,940 — 2,940 2.8 % $ 624,223 $ (8,481 ) 615,742 Less: Current portion (6,297 ) Long-term debt $ 609,445 December 31, 2020 (Dollars in Thousands) Debt Instrument Total Debt Debt Issuance Costs (1) Total Debt, Net Weighted Average Interest Rate Term Loan Facility $ 349,200 $ (7,155 ) $ 342,045 4.1 % 6.00% Senior Notes 266,928 (4,425 ) 262,503 6.0 % European CapEx Loans 23,668 — 23,668 2.3 % Finance Leases 3,388 — 3,388 3.0 % $ 643,184 $ (11,580 ) 631,604 Less: Current portion (6,112 ) Long-term debt $ 625,492 (1) Unamortized portion Senior Notes On June 15, 2017, the Company issued €250.0 million aggregate principal amount of 6.00 percent Senior Notes (“Notes”) due June 15, 2025. Interest on the Notes is payable semiannually, on June 15 and December 15. The Company may redeem the Notes, in whole or in part, on or after June 15, 2021 at a redemption price of 101.5 percent and on or after June 15, 2022 at a redemption price of 100 percent, in each case plus any accrued and unpaid interest as of the applicable redemption date. If we experience a change of control or sell certain assets, the Company may be required to offer to purchase the Notes from the holders. The Notes are senior unsecured obligations ranking equally in right of payment with all of its existing and future senior indebtedness and senior in right of payment to any subordinated indebtedness. The Notes are effectively subordinated in right of payment to the existing and future secured indebtedness of the Company, including the Senior Secured Credit Facilities (as defined below), to the extent of the assets securing such indebtedness. Guarantee The Notes are unconditionally guaranteed by all material wholly-owned direct and indirect domestic restricted subsidiaries of the Company (the “Subsidiary Guarantors”), with customary exceptions including, among other things, where providing such guarantees is not permitted by law, regulation or contract, or would result in adverse tax consequences. Covenants Subject to certain exceptions, the indenture governing the Notes contains restrictive covenants that, among other things, limit the ability of the Company and the Subsidiary Guarantors to: (i) incur additional indebtedness or issue certain preferred stock; (ii) pay dividends on, or make distributions in respect of, their capital stock; (iii) make certain investments or other restricted payments; (iv) sell certain assets or issue capital stock of restricted subsidiaries; (v) create liens; (vi) merge, consolidate, transfer or dispose of substantially all of their assets; and (vii) engage in certain transactions with affiliates. These covenants are subject to several important limitations and exceptions that are described in the indenture. The indenture provides for customary events of default that include, among other things (subject in certain cases to customary grace and cure periods): (i) nonpayment of principal, premium, if any, and interest, when due; (ii) failure for 60 days to comply with any obligations, covenants or agreements in the indenture after receipt of written notice from the Bank of New York Mellon, London Branch (“the Trustee”) or holders of at least 30 percent in principal amount of the then outstanding Notes of such failure (other than defaults referred to in the foregoing clause (i)); (iii) default under any mortgage, indenture or instrument for money borrowed by the Company or certain of its subsidiaries, (iv) a failure to pay certain judgments; and (iv) certain events of bankruptcy and insolvency. If an event of default occurs and is continuing, the Trustee or holders of at least 30 percent in principal amount of the then outstanding Notes may declare the principal, premium, if any, and accrued and unpaid interest on all the Notes to be due and payable. These events of default are subject to several important qualifications, limitations and exceptions that are described in the indenture. As of September 30, 2021, the Company was in compliance with all covenants under the indenture governing the Notes. Senior Secured Credit Facilities On March 22, 2017, the Company entered into a senior secured credit agreement (“Credit Agreement”) with certain banks and other lenders. The Credit Agreement consisted of a $400.0 million senior secured term loan facility (“Term Loan Facility”), which matures on May 23, 2024, and a $160.0 million revolving credit facility originally maturing on May 23, 2022 (the “Revolving Credit Facility”), together with the Term Loan Facility, the USD Senior Secured Credit Facilities (“USD SSCF”). On May 3, 2021, the Company extended the term of the Revolving Credit Facility under its USD SSCF and reduced the commitment under the facility from $160.0 million to $132.5 million, with $25.0 million of the commitment maturing May 23, 2022 and the remaining $107.5 million maturing October 31, 2023. The extension Borrowings under the Term Loan Facility will bear interest at a rate equal to, at the Company’s option, either (a) LIBOR for the relevant interest period, adjusted for statutory requirements, subject to a floor of 0.00 percent per annum, plus an applicable rate of 4.00 percent or (b) a base rate, subject to a floor of 2.00 percent per annum, equal to the highest of (1) the rate of interest in effect as publicly announced by the administrative agent as its prime rate, (2) the federal funds rate plus 0.50 percent and (3) LIBOR for an interest period of one month plus 1.00 percent, in each case, plus an applicable rate of 3.00 Borrowings under the Revolving Credit Facility bear interest at a rate equal to, at the Company’s option, either (a) LIBOR for the relevant interest period, with a floor of 0.00 percent per annum, plus the applicable rate or (b) a base rate, with a floor of 0.00 percent, equal to the highest of (1) the rate of interest in effect as publicly announced by the administrative agent as its prime rate, (2) the federal funds effective rate plus 0.50 percent and (3) LIBOR for an interest period of one month plus 1.00 percent, in each case, plus the applicable rate. The applicable rates for borrowings under the Revolving Credit Facility are based upon the First Lien Net Leverage Ratio effective for the preceding quarter, with LIBOR applicable rates ranging between 3.50 percent and 3.00 percent, currently 3.00 percent, and base rate applicable rates ranging between 2.50 percent and 2.00 percent, currently 2.00 percent. Commitment fees for the unused commitment under the Revolving Credit Facility are also based upon the First Lien Net Leverage Ratio, effective for the preceding quarter, and range between 0.50 percent and 0.25 percent for the commitment maturing May 23, 2022, currently 0.25 percent, and between 0.625 percent and 0.375 percent for the remaining commitment maturing October 31, 2023, currently 0.375 percent. Commitment fees are included in interest expense. As of September 30, 2021, the Company had repaid $50.8 million under the Term Loan Facility resulting in a balance of $349.2 million. In addition, the Company had no borrowings outstanding under the Revolving Credit Facility, outstanding letters of credit of $4.8 million and available unused commitments under this facility of $127.7 million as of September 30, 2021. Guarantees and Collateral Security Our obligations under the Credit Agreement are unconditionally guaranteed by the Subsidiary Guarantors, with customary exceptions including, among other things, where providing such guarantees is not permitted by law, regulation or contract or would result in adverse tax consequences. The guarantees of such obligations, will be secured, subject to permitted liens and other exceptions, by substantially all of our assets and the Subsidiary Guarantors’ assets, including but not limited to: (i) a perfected pledge of all of the capital stock issued by each of the Subsidiary Guarantors (subject to certain exceptions) and up to 65 percent of the capital stock issued by each direct wholly-owned foreign restricted subsidiary of the Company (subject to certain exceptions) and (ii) perfected security interests in and mortgages on substantially all tangible and intangible personal property and material fee-owned real property of the Company and the Subsidiary Guarantors (subject to certain exceptions and exclusions). Covenants The Credit Agreement contains a number of restrictive covenants that, among other things, restrict, subject to certain exceptions, our ability to incur additional indebtedness and guarantee indebtedness, create or incur liens, engage in mergers or consolidations, sell, transfer or otherwise dispose of assets, make investments, acquisitions, loans or advances, pay dividends, distributions or other restricted payments, or repurchase our capital stock. The Credit Agreement also restricts our ability to prepay, redeem, or repurchase any subordinated indebtedness, enter into agreements which limit our ability to incur liens on our assets or that restrict the ability of restricted subsidiaries to pay dividends or make other restricted payments to us, and enter into certain transactions with our affiliates. Solely with respect to the Revolving Credit Facility, the Credit Agreement also requires a Total Net Leverage Ratio (calculated as defined in the Credit Agreement) of not more than 4.5 to 1.0 as of each fiscal quarter-end. In addition, the Credit Agreement contains customary default provisions, representations and warranties and other covenants. The Credit Agreement also contains a provision permitting the Lenders to accelerate the repayment of all loans outstanding under the USD SSCF during an event of default. As of September 30, 2021, the Company was in compliance with all covenants under the Credit Agreement. European Debt In connection with the acquisition of UNIWHEELS AG, the Company assumed $70.7 million of outstanding debt. At September 30, 2021, $7.7 million of the assumed debt remained outstanding. This debt matures March 31, 2024 and is collateralized by financed equipment, guaranteed by Superior and bears interest at 2.2 percent. Covenants under the loan agreement include a default provision for non-payment, as well as a material adverse change default provision pursuant to which the lender could accelerate the loan maturity. As of September 30, 2021, the Company was in compliance with all covenants under the loan agreement. During the second quarter of 2021, the Company amended its European Revolving Credit Facility (“EUR SSCF”), extending the term to May 22, 2023 and increasing the applicable margin and commitment fees, while maintaining the €60.0 million commitment. All other terms of the EUR SSCF remained unchanged. At September 30, 2021, the Company had no borrowings outstanding, outstanding letters of credit of $0.5 million (€0.4million) and available unused commitments under this facility of $69.1 million (€59.6 million). The EUR SSCF bears interest at Euribor (with a floor of 0.00 percent) plus a margin (ranging from 2.05 percent to 3.50 percent based on the net debt leverage ratio of Superior Industries Europe AG and its wholly owned subsidiaries, collectively “Superior Europe AG”), currently 2.05 percent. The annual commitment fee for unused commitments (ranging from 0.625 percent to 1.225 percent based on the net debt leverage ratio of Superior Europe AG) is currently 0.625 percent per annum. In addition, a management fee is assessed equal to 0.07 percent of borrowings outstanding at each month end. The commitment fee is included in interest expense. Superior Europe AG has pledged substantially all of its assets, including land and buildings, receivables, inventory, and other moveable assets (other than collateral associated with equipment loans) as collateral under the EUR SSCF. The EUR SSCF is subject to a number of restrictive covenants that, among other things, restrict, subject to certain exceptions, the ability of Superior Europe AG to incur additional indebtedness and guarantee indebtedness, create or incur liens, engage in mergers or consolidations, sell, transfer or otherwise dispose of assets, make investments, acquisitions, loans or advances, pay dividends or distributions, or repurchase our capital stock, prepay, redeem, or repurchase any subordinated indebtedness, and enter into agreements which limit our ability to incur liens on our assets. In addition, the EUR SSCF includes an annual pay down provision requiring outstanding balances to be repaid but not reborrowed for a period of three business days and a material adverse change default provision pursuant to which the lender could accelerate the loan maturity. At September 30, 2021, Superior Europe AG was in compliance with all covenants under the EUR SSCF. The balance of certain post-acquisition equipment loans was $12.6 million as of September 30, 2021. The loans bear interest at 2.3 percent, mature September 30, 2027 and require quarterly principal and interest payments. The loans are secured with liens on the financed equipment and are subject to covenants that, among other things, include a material adverse change default provision pursuant to which the lender could accelerate the loan maturity, as well as a provision that The Company drew down €10.6 million on these equipment loans in the first quarter of 2020 and drew the remaining € 1.4 million in the first quarter of 2021. June of 2021 Debt maturities as of September 30, 2021, which are due in the next five years and thereafter, are as follows: (Dollars in thousands) Debt Maturities Amount Three remaining months of 2021 $ 1,634 2022 6,286 2023 5,893 2024 352,345 2025 254,016 Thereafter 4,049 Total debt liabilities $ 624,223 |
Redeemable Preferred Stock
Redeemable Preferred Stock | 9 Months Ended |
Sep. 30, 2021 | |
Text Block [Abstract] | |
Redeemable Preferred Stock | NOTE 10 - REDEEMABLE PREFERRED STOCK During 2017, we issued 150,000 shares of Series A (140,202 shares) and Series B (9,798 shares) Perpetual Convertible Preferred Stock, par value $0.01 per share for $150.0 million. On August 30, 2017, the Series B shares were converted into Series A redeemable preferred stock, the “redeemable preferred stock,” after approval by our shareholders. The redeemable preferred stock has an initial stated value of $1,000 per share, par value of $0.01 per share and liquidation preference over common stock. The redeemable preferred stock is convertible into shares of our common stock equal to the number of shares determined by dividing the sum of the stated value and any accrued and unpaid dividends by the conversion price of $28.162. The redeemable preferred stock accrues dividends at a rate of percent per annum, payable at our election either in-kind or in cash and is also entitled to participate in dividends on common stock in an amount equal to that which would have been due had the shares been converted into common stock. We may mandate conversion of the redeemable preferred stock if the price of the common stock exceeds $84.49. The holder may redeem the shares upon the occurrence of any of the following events (referred to as a “redemption event”): a change in control, recapitalization, merger, sale of substantially all of the Company’s assets, liquidation or delisting of the Company’s common stock. In addition, the holder has the right, at its option, to unconditionally redeem the shares at any time after September 14, 2025. We may, at our option, redeem in whole at any time all of the shares of redeemable preferred stock outstanding. At redemption by either party, the redemption value will be the greater of two Since the redeemable preferred stock may be redeemed at the option of the holder, but is not mandatorily redeemable, the redeemable preferred stock has been classified as mezzanine equity and initially recognized at fair value of $150.0 million (the proceeds on the date of issuance) less issuance costs of $3.7 million and $10.9 million assigned to the embedded derivative liability at date of issuance, resulting in an initial value of $135.5 million. The difference between the redemption value of the redeemable preferred stock and the carrying value (the “premium”) is being accreted over the period from the date of issuance through September 14, 2025 using the effective interest method. The accretion is treated as a deemed dividend, recorded as a charge to retained earnings and deducted in computing earnings per share (analogous to the treatment for stated and participating dividends paid on the redeemable preferred stock). The cumulative premium accretion as of September 30, 2021 and December 31, 2020 was $59.1 million and $43.9 million, respectively, resulting in adjusted redeemable preferred stock balances of $194.6 million and $179.4 million, respectively. |
European Non-Controlling Redeem
European Non-Controlling Redeemable Equity | 9 Months Ended |
Sep. 30, 2021 | |
Noncontrolling Interest [Abstract] | |
European Non-Controlling Redeemable Equity | NOTE 11 – EUROPEAN NON-CONTROLLING REDEEMABLE EQUITY On May 30, 2017, the Company acquired 92.3 percent of the outstanding shares of UNIWHEELS AG. Subsequently, the Company commenced a delisting and associated tender offer for the remaining shares. On January 17, 2018, the Company entered into a Domination and Profit and Loss Transfer agreement (“DPLTA”) retroactively effective as of January 1, 2018 pursuant to which we offered to purchase the remaining outstanding shares at €62.18. This price may be subject to change based on appraisal proceedings initiated by the minority shareholders which have not yet been concluded. The Company must also pay an annual dividend of €3.23 as long as the DPLTA is in effect. For any shares tendered prior to the annual dividend payment, we must pay interest at a statutory rate, currently 4.12 percent, in place of the dividend. As a result of purchases pursuant to the tender offer and the DPLTA, the Company has increased its ownership to 99.9 percent as of September 30, 2021. The following table summarizes the European non-controlling redeemable equity activity through the period ended September 30, 2021: (Dollars in thousands) Balance at December 31, 2019 $ 6,525 Dividends accrued 205 Dividends paid (46 ) Translation adjustment 2 Purchase of shares (5,020 ) Balance at December 31, 2020 1,666 Dividends accrued 134 Dividends paid (3 ) Translation adjustment (156 ) Purchase of shares (89 ) Balance at September 30, 2021 $ 1,552 |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | NOTE 12 – EARNINGS PER SHARE Basic earnings per share is computed by dividing net income (loss), after deducting preferred dividends and accretion and European non-controlling redeemable equity dividends, by the weighted average number of common shares outstanding. For purposes of calculating diluted earnings per share, the weighted average shares outstanding includes the dilutive effect of outstanding stock options and time and performance based restricted stock units under the treasury stock method. The redeemable preferred shares discussed in Note 10, “Redeemable Preferred Stock” have not been included in the diluted earnings per share because the inclusion of such shares on an as converted basis would be anti-dilutive for the three and nine months ended September 30, 2021 and 2020. Three Months Ended Nine Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 (Dollars in thousands, except per share amounts) Basic Earnings Per Share: Net (loss) income $ (7,180 ) $ 11,146 $ 7,637 $ (222,154 ) Less: Redeemable preferred stock dividends and accretion (8,598 ) (8,056 ) (25,310 ) (23,811 ) Less: European non-controlling redeemable equity dividend (96 ) (106 ) (134 ) (152 ) Basic numerator $ (15,874 ) $ 2,984 $ (17,807 ) $ (246,117 ) Basic (loss) earnings per share $ (0.61 ) $ 0.12 $ (0.69 ) $ (9.66 ) Weighted average shares outstanding – Basic 26,129 25,592 25,938 25,466 Diluted Earnings Per Share: Net (loss) income $ (7,180 ) $ 11,146 $ 7,637 $ (222,154 ) Less: Redeemable preferred stock dividends and accretion (8,598 ) (8,056 ) (25,310 ) (23,811 ) Less: European non-controlling redeemable equity dividend (96 ) (106 ) (134 ) (152 ) Diluted numerator $ (15,874 ) $ 2,984 $ (17,807 ) $ (246,117 ) Diluted (loss) earnings per share $ (0.61 ) $ 0.12 $ (0.69 ) $ (9.66 ) Weighted average shares outstanding – Basic 26,129 25,592 25,938 25,466 Dilutive effect of common share equivalents — 118 — — Weighted average shares outstanding – Diluted 26,129 25,710 25,938 25,466 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 13 - INCOME TAXES The estimated annual effective tax rate is forecasted quarterly using actual historical information and forward-looking estimates and applied to year-to-date ordinary income. The tax effects of unusual or infrequently occurring items, including changes in judgment about valuation allowances, settlements with taxing authorities and effects of changes in tax laws or rates, are reported in the interim period in which they occur. The income tax provision for the three and nine months ended September 30, 2021 was $1.8 million and $3.6 million, respectively, on pre-tax loss of $5.3 million and pre-tax earnings of $11.2 million, resulting in effective income tax rates of (34.5) percent and 31.9 percent, respectively. The effective income tax rate for the three months ended September 30, 2021 differs from the statutory rate primarily due to U.S. valuation allowances and the mix of earnings among tax jurisdictions. The effective income tax rate for the nine months ended September 30, 2021 differs from the statutory rate primarily due to U.S. valuation allowances and the mix of earnings among tax jurisdictions, partially offset by a favorable adjustment to a tax credit and the reversal of an uncertain tax position. The income tax benefit for the three and nine months ended September 30, 2020 was $3.9 million and $11.1 million, respectively, on pre-tax earnings of $7.2 million and pre-tax loss of $233.3 million, respectively, resulting in effective income tax rates of (53.8) percent and 4.8 percent, respectively. The effective income tax rate for the three months ended September 30, 2020 differed from the statutory rate primarily due to the mix of earnings among tax jurisdictions, and recognition of a valuation allowance on non-deductible interest. The effective income tax rate for the nine months ended September 30, 2020 differed from the statutory rate primarily due to the impairment of goodwill for which there is no corresponding tax benefit, the mix of earnings among tax jurisdictions, and recognition of a valuation allowance on non-deductible interest. |
Leases
Leases | 9 Months Ended |
Sep. 30, 2021 | |
Leases [Abstract] | |
Leases | NOTE 14 - LEASES The Company determines whether an arrangement is or contains a lease at the inception of the arrangement. Operating leases are included in other non-current assets, accrued expenses and other non-current liabilities in our condensed consolidated balance sheets. Finance leases are included in property, plant and equipment, net, short-term debt and long-term debt (less current portion) in our condensed consolidated balance sheets. Right-of-use (“ROU”) assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Finance and operating lease ROU assets and liabilities are recognized at the commencement date based on the present value of the lease payments over the lease term. Since we generally do not have access to the interest rate implicit in the lease, the Company uses our incremental borrowing rate (for fully collateralized debt) at the inception of the lease in determining the present value of the lease payments. The implicit rate is, however, used where readily available. Lease expense under operating leases is recognized on a straight-line basis over the term of the lease. Certain of our leases contain both lease and non-lease components, which are accounted for separately. The Company has operating and finance leases for office facilities, a data center and certain equipment. The remaining terms of our leases range from over one year to eight years. Certain leases include options to extend the lease term for up to ten years, as well as options to terminate which have been excluded from the term of the lease since exercise of these options is not reasonably certain. Lease expense and cash flow for the three and nine months ended September 30, 2021 and 2020 and operating and finance lease assets and liabilities, average lease term and average discount rate as of September 30, 2021 and December 31, 2020 are as follows: Three Months Ended Nine Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 (Dollars in thousands) Lease Expense Finance lease expense: Amortization of right-of-use assets $ 335 $ 615 $ 1,006 $ 906 Interest on lease liabilities 20 43 65 63 Operating lease expense 727 1,699 2,375 2,534 Total lease expense $ 1,082 $ 2,357 $ 3,446 $ 3,503 Cash Flow Components Cash paid for amounts included in the measurement of lease liabilities Operating cash outflows from finance leases $ 20 $ 43 $ 65 $ 63 Operating cash outflows from operating leases 884 1,818 2,687 2,692 Financing cash outflows from finance leases 367 467 1,012 723 Right-of-use assets obtained in exchange for finance lease liabilities, net of terminations and disposals 50 180 885 252 Right-of-use assets obtained in exchange for operating lease liabilities, net of terminations and disposals 76 422 284 637 September 30, 2021 December 31, 2020 (Dollars in thousands, except lease term and discount rate) Balance Sheet Information Operating leases: Other non-current assets $ 11,442 $ 13,598 Accrued liabilities $ (2,473 ) $ (2,868 ) Other non-current liabilities (9,509 ) (11,513 ) Total operating lease liabilities $ (11,982 ) $ (14,381 ) Finance leases: Property, plant and equipment gross $ 6,937 $ 5,735 Accumulated depreciation (4,325 ) (3,319 ) Property, plant and equipment, net $ 2,612 $ 2,416 Current portion of long-term debt $ (1,075 ) $ (1,113 ) Long-term debt (less current portion) (1,865 ) (2,275 ) Total finance lease liabilities $ (2,940 ) $ (3,388 ) Lease Term and Discount Rates Weighted-average remaining lease term - finance leases (years) 3.5 3.9 Weighted-average remaining lease term - operating leases (years) 5.2 6.1 Weighted-average discount rate - finance leases 2.8 % 3.0 % Weighted-average discount rate - operating leases 3.6 % 3.8 % Summarized future minimum payments under our leases as of September 30, 2021 are as follows: Amount (Dollars in thousands) Lease Maturities Finance Leases Operating Leases Three remaining months of 2021 $ 329 $ 774 2022 1,064 2,793 2023 671 2,446 2024 243 2,198 2025 152 2,128 Thereafter 619 2,772 Total 3,078 13,111 Less: Imputed interest (138 ) (1,129 ) Total lease liabilities, net of interest $ 2,940 $ 11,982 |
Retirement Plans
Retirement Plans | 9 Months Ended |
Sep. 30, 2021 | |
Compensation And Retirement Disclosure [Abstract] | |
Retirement Plans | NOTE 15 – RETIREMENT PLANS We have an unfunded salary continuation plan covering certain directors, officers and other key members of management. Subject to certain vesting requirements, the plan provides for a benefit based on final average compensation, which becomes payable on the employee’s death or upon attaining age 65, if retired. The plan was closed to new participants effective February 3, 2011. For the nine months ended September 30, 2021, payments to retirees or their beneficiaries totaled $1.1 million. We presently anticipate benefit payments in 2021 to total $1.4 million. The following table summarizes the components of net periodic pension cost for the three and nine months ended September 30, 2021 and 2020. Three Months Ended Nine Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 (Dollars in thousands) Interest cost $ 206 $ 251 $ 618 $ 753 Net amortization 96 72 290 216 Net periodic pension cost $ 302 $ 323 $ 908 $ 969 |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | NOTE 16 - STOCK-BASED COMPENSATION Equity Incentive Plan Our 2018 Equity Incentive Plan (the “Plan”) was approved by stockholders in May 2018, authorizing us to issue up to 4.35 million shares of common stock, along with non-qualified stock options, stock appreciation rights, restricted stock and performance units to our officers, key employees, non-employee directors and consultants. In May 2021, the stockholders approved an amendment to the Plan that, among other things, increased the authorized shares by 2 million. At September 30, 2021, there were 1.3 million shares available for future grants under this Plan. It is our policy to issue shares from authorized but not issued shares upon the exercise of stock options. Under the terms of the Plan, each year eligible participants are granted time value restricted stock units (“RSUs”), vesting ratably over a three-year three-year Restricted stock unit, restricted performance stock unit and option activity for the nine months ended September 30, 2021 is summarized in the following table: Equity Incentive Awards Restricted Stock Units Weighted Average Grant Date Fair Value Performance Shares Weighted Average Grant Date Fair Value Options Weighted Average Exercise Price Balance at December 31, 2020 1,213,667 $ 3.59 2,176,290 $ 4.88 24,000 $ 20.39 Granted 411,291 5.94 653,438 8.41 — — Settled (606,004 ) 3.30 (193,778 ) 5.45 — — Forfeited or expired (32,525 ) 8.13 (151,369 ) 12.61 (15,000 ) 22.57 Balance at September 30, 2021 986,429 $ 4.60 2,484,581 $ 6.67 9,000 $ 16.76 Awards estimated to vest in the future 945,154 $ 4.65 2,080,561 $ 6.82 9,000 $ 16.76 Stock-based compensation expense for the three months ended September 30, 2021 and 2020 was $2.5 million and $0.5 million, respectively. Stock-based compensation for the nine months ended September 30, 2021 and 2020 was $6.8 million and $1.2 million, respectively. The higher expense for the three and nine months ended September 30, 2021 was primarily attributable to the modification of the 2019 and 2020 PSU awards, substituting budgeted amounts for actual performance for the second quarter of 2020 (one of twelve quarters in the respective performance periods), to offset the impact of COVID-19. This increased stock-based compensation for the three and nine months ended September 30, 2021 by $1.2 million and $3.5 million, respectively. In addition, 2020 stock-based compensation was lower due to the first quarter 2020 reversal of $1.2 million of previously accrued expense as a result of lower expected performance achievement, in light of the global pandemic. Unrecognized stock-based compensation expense related to non-vested awards of $12.3 million is expected to be recognized over a weighted average period of approximately 1.7 years as of September 30, 2021. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2021 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 17 – COMMITMENTS AND CONTINGENCIES Purchase Commitments When market conditions warrant, we may enter into purchase commitments to secure the supply of certain commodities used in the manufacture of our products, such as aluminum, natural gas and other raw materials. Prices under our aluminum contracts are based on a market index, the London Mercantile Exchange, and regional premiums for processing, transportation and alloy components which are adjusted quarterly for purchases in the ensuing quarter. Certain of our purchase agreements include volume commitments; however, any excess commitments are generally negotiated with suppliers and those which have occurred in the past have been carried over to future periods. Contingencies We are party to various legal and environmental proceedings incidental to our business. Certain claims, suits and complaints arising in the ordinary course of business have been filed or are pending against us. Based on facts now known, we believe all such matters are adequately provided for, covered by insurance, are without merit and/or involve such amounts that would not materially adversely affect our consolidated results of operations, cash flows or financial position. Casualty Loss On July 12, 2021, the city of Werdohl, Germany, and surrounding area experienced torrential rains which resulted in extensive flooding. The flooding caused damage to our Werdohl manufacturing facility and production was temporarily halted on July 14, 2021. On July 16, 2021, operations at the facility resumed with the exception of the paint line and certain machining operations. The Company recognized an estimated casualty loss of $5.9 million related to the write-off of certain machinery and equipment, building renovation and repairs, equipment repairs and clean up expenses during the third quarter of 2021. In the third quarter of 2021, the Company received a $1.0 million advance from its insurers and accrued an estimated insurance recovery receivable of $3.4 million, subject to final settlement by the insurers, resulting in a net casualty loss of $1.5 million which was included in other expense, net in our condensed consolidated statements of income (loss). There was only nominal disruption to our ability to fulfill orders and deliver product to our customers due to the expeditious resumption of operations at the facility. |
Receivables Factoring
Receivables Factoring | 9 Months Ended |
Sep. 30, 2021 | |
Receivables [Abstract] | |
Receivables Factoring | NOTE 18 – RECEIVABLES FACTORING The Company sells certain customer trade receivables on a non-recourse basis under factoring arrangements with designated financial institutions. These transactions are accounted for as sales and cash proceeds are included in cash provided by operating activities. Factoring arrangements incorporate customary representations and warranties, including representations as to validity of amounts due, completeness of performance obligations and absence of commercial disputes. During the three months ended September 30, 2021 and 2020, the Company sold trade receivables totaling $174.4 million and $169.8 million, respectively, and incurred factoring fees of $0.5 million and $0.4 million, respectively. During the nine months ended September 30, 2021 and 2020, the Company sold trade receivables totaling $558.4 million and $307.4 million, respectively, and incurred factoring fees of $1.5 million and $0.8 million, respectively. As of September 30, 2021 and December 31, 2020, receivables of $95.1 million and $96.6 million, respectively, had been factored and had not yet been paid by customers to the respective financial institutions. The collective limit under our factoring arrangements as of September 30, 2021 was $127.4 million. The collective limit under our factoring arrangements as of December 31, 2020 was $132.0 million. Our factoring limit will be reduced by $11.6 million ( € |
Restructuring
Restructuring | 9 Months Ended |
Sep. 30, 2021 | |
Restructuring And Related Activities [Abstract] | |
Restructuring | NOTE 19 – RESTRUCTURING During the quarter ended June 30, 2020, the Company decided to discontinue the manufacture and sale of high performance aftermarket wheels for the automotive racing market segment. The Company incurred a total non-cash charge of $3.4 million, including $2.8 million recorded in cost of sales, comprised of $1.3 million relating to write-downs of certain after-market inventory to salvage value, $1.0 million of employee severance costs and $0.5 million in contract terminations and other costs, as well as a $0.6 million non-cash charge recorded in selling, general and administrative expense related to non-production employee severance costs. In addition, during the six-month period ended December 31, 2020, we recognized an additional $0.7 million of severance costs, including charges to costs of sales of $0.4 million and selling, general and administrative expense of $0.3 million. As of September 30, 2021, the restructuring severance benefits have been paid. During the third quarter of 2019, the Company initiated a plan to significantly reduce production and manufacturing operations at its Fayetteville, Arkansas location. As a result, the Company recognized a non-cash charge of $13.0 million in cost of sales, principally comprised of accelerated depreciation for excess equipment and the write-down of certain supplies inventory to net salvage value. In addition, relocation costs for redeployment of machinery and equipment of $1.8 million were recognized in the fourth quarter of 2019. During 2020, we recognized additional charges to cost of sales of $3.3 million, principally related to relocation costs for redeployment of machinery and equipment. During the three and nine months ended September 30, 2021, we recognized additional relocation costs in cost of sales for redeployment of machinery and equipment of $0.5 million and $1.8 million, respectively. As of September 30, 2021, $0.2 million of the restructuring severance accrual remains. On July 15, 2021, the Company consummated the sale of the Fayetteville facility for a net sale price of $7.1 million, resulting in a gain of $4.4 million which has been credited against selling, general and administrative expenses. During the three and nine months ended September 30, 2021, the Company also incurred costs relating to environmental remediation and repairs required under the sale agreement of $0.1 million and $1.5 |
Nature of Operations and Pres_2
Nature of Operations and Presentation of Condensed Consolidated Financial Statements (Policies) | 9 Months Ended |
Sep. 30, 2021 | |
Accounting Policies [Abstract] | |
Nature of Operations | Nature of Operations Superior Industries International, Inc.’s (referred herein as the “Company,” “Superior,” or “we” and “our”) principal business is the design and manufacture of aluminum wheels for sale to original equipment manufacturers (“OEMs”) in North America and Europe and to the aftermarket in Europe. We employ approximately 8,000 full-time employees, operating in eight manufacturing facilities in North America and Europe. We are one of the largest aluminum wheel suppliers to global OEMs and we believe we are the #1 European aluminum wheel aftermarket manufacturer and supplier. Our OEM aluminum wheels accounted for approximately 92 percent of our sales in the first nine months of 2021 and are primarily sold for factory installation on vehicle models manufactured by BMW (including Mini), Daimler AG Company (Mercedes-Benz, AMG, Smart), Ford, GM, Honda, Jaguar-Land Rover, Lucid Motors, Mazda, Nissan, PSA, Renault, Stellantis, Subaru, Suzuki, Toyota, VW Group (Volkswagen, Audi, SEAT, Skoda, Porsche, Bentley) and Volvo. We also sell aluminum wheels to the European aftermarket under the brands ATS, RIAL, ALUTEC and ANZIO. North America and Europe represent the principal markets for our products, but we have a diversified global customer base consisting of North American, European and Asian OEMs. We have determined that our North American and European operations should be treated as separate reportable segments as further described in Note 5, “Business Segments.” |
Presentation of Condensed Consolidated Financial Statements | Presentation of Condensed Consolidated Financial Statements The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with U.S. Generally Accepted Accounting Principles (“GAAP”) pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial information. Accordingly, they do not include all the information and notes required by U.S. GAAP for complete financial statements. These unaudited condensed consolidated financial statements, in our opinion, include all adjustments, of a normal and recurring nature, which are necessary for fair presentation of (i) the condensed consolidated statements of income (loss) for the three and nine-month periods ended September 30, 2021 and September 30, 2020, (ii) the condensed consolidated statements of comprehensive income (loss) for the three and nine-month periods ended September 30, 2021 and September 30, 2020, (iii) the condensed consolidated balance sheets at September 30, 2021 and December 31, 2020, (iv) the condensed consolidated statements of cash flows for the nine-month periods ended September 30, 2021 and September 30, 2020, and (v) the condensed consolidated statements of shareholders’ equity (deficit) for the three and nine-month periods ended September 30, 2021 and September 30, 2020. This Quarterly Report on Form 10-Q should be read in conjunction with our consolidated financial statements and notes thereto filed with the SEC in our 2020 Annual Report on Form 10-K. Interim financial reporting standards require us to make estimates that are based on assumptions regarding the outcome of future events and circumstances not known at that time. Inevitably, some assumptions will not materialize, unanticipated events or circumstances may occur which vary from those estimates and such variations may significantly affect our future results. Additionally, interim results may not be indicative of our results for future interim periods or our annual results. |
Reclassifications | Reclassifications Certain prior year amounts have been reclassified to conform with the current year presentation. |
Cash Paid for Interest and Taxes and Non-Cash Investing Activities | Cash Paid for Interest and Taxes and Non-Cash Investing Activities Cash paid for interest was $23.5 million and $27.1 million for the nine months ended September 30, 2021 and September 30, 2020, respectively. Net cash paid for income taxes was $8.3 million and $7.6 million for the nine months ended September 30, 2021 and September 30, 2020, respectively. As of September 30, 2021 and September 30, 2020, $10.8 million and $0.2 million, respectively, of equipment had been purchased but not yet paid and was included in accounts payable in our condensed consolidated balance sheets. |
Accounting Standards Issued but Not Yet Adopted | Accounting Standards Issued but Not Yet Adopted Accounting Standards Update (ASU) 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” In June 2016, the Financial Accounting Standards Board issued ASU 2016-13, "Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments", which requires entities to use a new impairment model based on c urrent e xpected c redit l osses ( “ CECL ” ) rather than incurred losses. Under CECL, estimated credit losses would incorporate relevant information about past events, current conditions and reasonable and supportable forecasts and any expected credit losses would be recognized at the time of sale. T he Company is not required to adopt the standard until January 1, 2023 . We are evaluating the impact this standard will have on our financial statement s and disclosures. |
Fair Value Measurements | The Company applies fair value accounting for all financial assets and liabilities and non-financial assets and liabilities that are recognized or disclosed at fair value in the financial statements on a recurring basis, while other assets and liabilities are measured at fair value on a nonrecurring basis, such as an asset impairment. Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement: Level 1 - Quoted prices in active markets for identical assets or liabilities. Level 2 - Observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 - Inputs that are generally unobservable and typically reflect management’s estimate of assumptions that market participants would use in pricing the asset or liability. The carrying amounts for cash and cash equivalents, accounts receivable, accounts payable and accrued expenses approximate their fair values due to the short period of time until maturity. |
Derivatives, Methods of Accounting, Hedging Derivatives | We use derivatives to partially offset our exposure to foreign currency, interest rate, aluminum and other commodity price risks. We may enter into forward contracts, option contracts, swaps, collars or other derivative instruments to offset some of the risk on expected future cash flows and on certain existing assets and liabilities. However, we may choose not to hedge certain exposures for a variety of reasons including, but not limited to, accounting considerations and the prohibitive economic cost of hedging particular exposures. There can be no assurance the hedges will offset the full financial impact resulting from movements in foreign currency exchange rates, interest rates, and aluminum or other commodity prices. To help mitigate gross margin fluctuations due to changes in foreign currency exchange rates, certain of our subsidiaries, whose functional currency is the U.S. dollar or the Euro, hedge a portion of their forecasted foreign currency costs denominated in the Mexican Peso and Polish Zloty, respectively. We may hedge portions of our forecasted foreign currency exposure up to 48 months. We record all derivatives in the condensed consolidated balance sheets at fair value. Our accounting treatment for these instruments is based on the hedge designation. Gains or losses on derivatives that are designated as hedging instruments are recorded in accumulated other comprehensive income (loss) (“AOCI”) until the hedged item is recognized in earnings, at which point accumulated gains or losses will be recognized in earnings and classified with the underlying hedged transaction. Derivatives that are not designated as hedging instruments are adjusted to fair value through earnings in the financial statement line item to which the derivative relates. The Company has derivatives that are designated as hedging instruments, as well as derivatives that do not qualify for designation as hedging instruments. |
Derivatives, Methods of Accounting, Derivatives Not Designated or Qualifying as Hedges | Derivatives that are not designated as hedging instruments are adjusted to fair value through earnings in the financial statement line item to which the derivative relates. |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Revenue From Contract With Customer [Abstract] | |
Summary of Opening and Closing Balances of Company's Customer Receivables and Current and Long-term Contract Liabilities | The opening and closing balances of the Company’s customer receivables and current and long-term contract liabilities balances are as follows: (Dollars in thousands) September 30, 2021 December 31, 2020 Change Customer receivables $ 82,717 $ 40,785 $ 41,932 Contract liabilities—current 7,193 8,249 (1,056 ) Contract liabilities—noncurrent 11,026 13,106 (2,080 ) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Summary of Items Measured at Fair Value | The following tables categorize items measured at fair value as of September 30, 2021 and December 31, 2020: Fair Value Measurement at Reporting Date Using September 30, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (Dollars in thousands) Assets Derivative contracts $ 13,884 $ — $ 13,884 $ — Total $ 13,884 $ — $ 13,884 $ — Liabilities . Derivative contracts $ 17,213 $ — $ 17,213 $ — Total $ 17,213 $ — $ 17,213 $ — Fair Value Measurement at Reporting Date Using December 31, 2020 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (Dollars in thousands) Assets Derivative contracts $ 10,218 $ — $ 10,218 $ — Total $ 10,218 $ — $ 10,218 $ — Liabilities Derivative contracts $ 15,259 $ — $ 15,259 $ — Total $ 15,259 $ — $ 15,259 $ — |
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments | The estimated fair value, as well as the carrying value, of the Company’s debt instruments are shown below: September 30, 2021 December 31, 2020 (Dollars in thousands) Estimated aggregate fair value $ 624,713 $ 624,207 Aggregate carrying value (1) 624,223 643,184 (1) |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Summary of Fair Value of Derivatives by Balance Sheet Line Item | The following tables display the fair value of derivatives by balance sheet line item at September 30, 2021 and December 31, 2020: September 30, 2021 Other Current Assets Other Non-current Assets Accrued Liabilities Other Non-current Liabilities (Dollars in thousands) Foreign exchange forward contracts designated as hedging instruments $ 2,145 $ 3,027 $ 2,391 $ 8,448 Foreign exchange forward contracts not designated as hedging instruments 524 — 739 — Aluminum forward contracts designated as hedging instruments 3,620 — — — Natural gas forward contracts designated as hedging instruments 3,590 978 6 42 Interest rate swap contracts designated as hedging instruments — — 4,781 806 Total derivative financial instruments $ 9,879 $ 4,005 $ 7,917 $ 9,296 December 31, 2020 Other Current Assets Other Non-current Assets Accrued Liabilities Other Non-current Liabilities (Dollars in thousands) Foreign exchange forward contracts designated as hedging instruments $ 1,218 $ 6,531 $ 3,435 $ 2,645 Foreign exchange forward contracts not designated as hedging instruments 1,167 — 122 — Aluminum forward contracts designated as hedging instruments 262 — — — Natural gas forward contracts designated as hedging instruments 816 224 22 70 Interest rate swap contracts designated as hedging instruments — — 4,771 4,194 Total derivative financial instruments $ 3,463 $ 6,755 $ 8,350 $ 6,909 |
Summary of Notional Amount and Estimated Fair Value of Derivative Financial Instruments | The following table summarizes the notional amount and estimated fair value of our derivative financial instruments: September 30, 2021 December 31, 2020 Notional U.S. Dollar Amount Fair Value Notional U.S. Dollar Amount Fair Value (Dollars in thousands) Foreign exchange forward contracts designated as hedging instruments $ 487,425 $ (5,667 ) $ 421,253 $ 1,669 Foreign exchange forward contracts not designated as hedging instruments 25,668 (215 ) 71,217 1,045 Aluminum forward contracts designated as hedging instruments 19,257 3,620 4,068 262 Natural gas forward contracts designated as hedging instruments 8,094 4,520 5,523 948 Interest rate swap contracts designated as hedging instruments 200,000 (5,587 ) 200,000 (8,965 ) Total derivative financial instruments $ 740,444 $ (3,329 ) $ 702,061 $ (5,041 ) |
Summary of Gain or Loss Recognized in AOCI | The following tables summarize the gain or loss recognized in AOCI, the amounts reclassified from AOCI into earnings and the amounts recognized directly into earnings for the three and nine months ended September 30, 2021 and 2020: Three Months Ended September 30, 2021 Amount of Gain or (Loss) Recognized in AOCI on Derivatives Amount of Pre-tax Gain or (Loss) Reclassified from AOCI into Income Amount of Pre-tax Gain or (Loss) Recognized in Income on Derivatives (Dollars in thousands) Derivative Contracts $ (6,884 ) $ 1,731 $ (219 ) Total $ (6,884 ) $ 1,731 $ (219 ) Nine Months Ended September 30, 2021 Amount of Gain or (Loss) Recognized in AOCI on Derivatives Amount of Pre-tax Gain or (Loss) Reclassified from AOCI into Income Amount of Pre-tax Gain or (Loss) Recognized in Income on Derivatives (Dollars in thousands) Derivative Contracts $ 101 $ 2,050 $ (1,485 ) Total $ 101 $ 2,050 $ (1,485 ) Three Months Ended September 30, 2020 Amount of Gain or (Loss) Recognized in AOCI on Derivatives Amount of Pre-tax Gain or (Loss) Reclassified from AOCI into Income Amount of Pre-tax Gain or (Loss) Recognized in Income on Derivatives (Dollars in thousands) Derivative Contracts $ 4,683 $ (2,261 ) $ 3,458 Total $ 4,683 $ (2,261 ) $ 3,458 Nine Months Ended September 30, 2020 Amount of Gain or (Loss) Recognized in AOCI on Derivatives Amount of Pre-tax Gain or (Loss) Reclassified from AOCI into Income Amount of Pre-tax Gain or (Loss) Recognized in Income on Derivatives (Dollars in thousands) Derivative Contracts $ (25,316 ) $ (7,355 ) $ (289 ) Total $ (25,316 ) $ (7,355 ) $ (289 ) |
Business Segments (Tables)
Business Segments (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Segment Reporting [Abstract] | |
Summary of Net Sales and Results of Operations and Total Assets by Reportable Segment | (Dollars in thousands) Net Sales Income (loss) from Operations Three Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 North America $ 180,496 $ 166,662 $ 12,581 $ 16,113 Europe 130,284 150,441 (5,207 ) 3,125 $ 310,780 $ 317,103 $ 7,374 $ 19,238 (Dollars in thousands) Depreciation and Amortization Capital Expenditures Three Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 North America $ 8,732 $ 8,742 $ 10,223 $ 6,673 Europe 15,744 16,076 16,797 4,158 $ 24,476 $ 24,818 $ 27,020 $ 10,831 (Dollars in thousands) Net Sales Income (loss) from Operations Nine Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 North America $ 549,457 $ 381,129 $ 37,964 $ 2,430 Europe 466,983 381,921 10,649 (200,324 ) $ 1,016,440 $ 763,050 $ 48,613 $ (197,894 ) (Dollars in thousands) Depreciation and Amortization Capital Expenditures Nine Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 North America $ 27,453 $ 25,967 $ 18,330 $ 19,109 Europe 47,993 47,167 29,241 14,483 $ 75,446 $ 73,134 $ 47,571 $ 33,592 (Dollars in thousands) Property, Plant and Equipment, net Intangible Assets September 30, 2021 December 31, 2020 September 30, 2021 December 31, 2020 North America $ 211,253 $ 220,145 $ — $ — Europe 290,519 301,979 85,177 110,796 $ 501,772 $ 522,124 $ 85,177 $ 110,796 (Dollars in thousands) Total Assets September 30, 2021 December 31, 2020 North America $ 477,922 $ 479,873 Europe 614,346 629,452 $ 1,092,268 $ 1,109,325 Net sales and long-lived assets by location are as follows: (Dollars in thousands) Three Months Ended Nine Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 Net sales: U.S. $ 2,832 $ 5,094 $ 5,651 $ 24,890 Mexico 177,664 161,568 543,806 356,239 Germany 43,084 58,413 166,483 142,177 Poland 87,200 92,028 300,500 239,744 Consolidated net sales $ 310,780 $ 317,103 $ 1,016,440 $ 763,050 (Dollars in thousands) Property, Plant and Equipment, net September 30, 2021 December 31, 2020 U.S. $ 2,291 $ 7,324 Mexico 208,962 212,821 Germany 85,019 82,162 Poland 205,500 219,817 Property, plant and equipment, net $ 501,772 $ 522,124 |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Inventory Disclosure [Abstract] | |
Summary of Inventories | September 30, 2021 December 31, 2020 (Dollars in thousands) Raw materials $ 48,344 $ 46,712 Work in process 73,425 45,394 Finished goods 93,203 62,874 Inventories, net $ 214,972 $ 154,980 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Property Plant And Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | September 30, 2021 December 31, 2020 (Dollars in thousands) Land and buildings $ 129,221 $ 149,295 Machinery and equipment 861,218 899,764 Leasehold improvements and others 12,421 14,912 Construction in progress 59,275 46,718 1,062,135 1,110,689 Accumulated depreciation (560,363 ) (588,565 ) Property, plant and equipment, net $ 501,772 $ 522,124 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Summary of Finite-Lived and Indefinite-Lived Intangible Assets | Following is a summary of the Company’s finite-lived and indefinite-lived intangible assets and goodwill as of September 30, 2021 and December 31, 2020. As of September 30, 2021 Gross Carrying Amount Accumulated Impairment Accumulated Amortization Currency Translation Net Carrying Amount Remaining Weighted Average Amortization Period (Dollars in thousands) Brand name $ 9,000 $ — $ (8,047 ) $ 284 $ 1,237 1-2 Technology 15,000 — (13,412 ) 474 2,062 2 Customer relationships 167,000 — (90,417 ) 5,295 81,878 2-7 Total finite 191,000 — (111,876 ) 6,053 85,177 Trade names 14,000 (13,772 ) — (228 ) — Indefinite Total intangibles $ 205,000 $ (13,772 ) $ (111,876 ) $ 5,825 $ 85,177 As of December 31, 2020 Gross Carrying Amount Accumulated Impairment Accumulated Amortization Currency Translation Net Carrying Amount Remaining Weighted Average Amortization Period (Dollars in thousands) Brand name $ 9,000 $ — $ (6,615 ) $ 399 $ 2,784 2-3 Technology 15,000 — (11,024 ) 666 4,642 1-3 Customer relationships 167,000 — (74,322 ) 10,692 103,370 3-8 Total finite 191,000 — (91,961 ) 11,757 110,796 Trade names 14,000 (13,772 ) — (228 ) — Indefinite Total intangibles $ 205,000 $ (13,772 ) $ (91,961 ) $ 11,529 $ 110,796 Year Ended December 31, 2020 Beginning Balance Ending Balance Gross Accumulated Impairment Net Balance Impairment Currency Translation Gross Accumulated Impairment Net Balance (Dollars in thousands) Goodwill $ 284,337 $ (99,505 ) $ 184,832 $ (182,602 ) $ (2,230 ) $ 282,107 $ (282,107 ) $ — |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Debt Disclosure [Abstract] | |
Summary of Long-Term Debt and Related Weighted Average Interest Rates | A summary of long-term debt and the related weighted average interest rates is shown below: September 30, 2021 (Dollars in Thousands) Debt Instrument Total Debt Debt Issuance Costs (1) Total Debt, Net Weighted Average Interest Rate Term Loan Facility $ 349,200 $ (4,794 ) $ 344,406 4.1 % 6.00% Senior Notes 251,735 (3,687 ) 248,048 6.0 % European CapEx Loans 20,348 — 20,348 2.3 % Finance Leases 2,940 — 2,940 2.8 % $ 624,223 $ (8,481 ) 615,742 Less: Current portion (6,297 ) Long-term debt $ 609,445 December 31, 2020 (Dollars in Thousands) Debt Instrument Total Debt Debt Issuance Costs (1) Total Debt, Net Weighted Average Interest Rate Term Loan Facility $ 349,200 $ (7,155 ) $ 342,045 4.1 % 6.00% Senior Notes 266,928 (4,425 ) 262,503 6.0 % European CapEx Loans 23,668 — 23,668 2.3 % Finance Leases 3,388 — 3,388 3.0 % $ 643,184 $ (11,580 ) 631,604 Less: Current portion (6,112 ) Long-term debt $ 625,492 (1) Unamortized portion |
Schedule of Debt Maturities | Debt maturities as of September 30, 2021, which are due in the next five years and thereafter, are as follows: (Dollars in thousands) Debt Maturities Amount Three remaining months of 2021 $ 1,634 2022 6,286 2023 5,893 2024 352,345 2025 254,016 Thereafter 4,049 Total debt liabilities $ 624,223 |
European Non-Controlling Rede_2
European Non-Controlling Redeemable Equity (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Noncontrolling Interest [Abstract] | |
Summary of Redeemable Noncontrolling Interests | The following table summarizes the European non-controlling redeemable equity activity through the period ended September 30, 2021 (Dollars in thousands) Balance at December 31, 2019 $ 6,525 Dividends accrued 205 Dividends paid (46 ) Translation adjustment 2 Purchase of shares (5,020 ) Balance at December 31, 2020 1,666 Dividends accrued 134 Dividends paid (3 ) Translation adjustment (156 ) Purchase of shares (89 ) Balance at September 30, 2021 $ 1,552 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | Three Months Ended Nine Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 (Dollars in thousands, except per share amounts) Basic Earnings Per Share: Net (loss) income $ (7,180 ) $ 11,146 $ 7,637 $ (222,154 ) Less: Redeemable preferred stock dividends and accretion (8,598 ) (8,056 ) (25,310 ) (23,811 ) Less: European non-controlling redeemable equity dividend (96 ) (106 ) (134 ) (152 ) Basic numerator $ (15,874 ) $ 2,984 $ (17,807 ) $ (246,117 ) Basic (loss) earnings per share $ (0.61 ) $ 0.12 $ (0.69 ) $ (9.66 ) Weighted average shares outstanding – Basic 26,129 25,592 25,938 25,466 Diluted Earnings Per Share: Net (loss) income $ (7,180 ) $ 11,146 $ 7,637 $ (222,154 ) Less: Redeemable preferred stock dividends and accretion (8,598 ) (8,056 ) (25,310 ) (23,811 ) Less: European non-controlling redeemable equity dividend (96 ) (106 ) (134 ) (152 ) Diluted numerator $ (15,874 ) $ 2,984 $ (17,807 ) $ (246,117 ) Diluted (loss) earnings per share $ (0.61 ) $ 0.12 $ (0.69 ) $ (9.66 ) Weighted average shares outstanding – Basic 26,129 25,592 25,938 25,466 Dilutive effect of common share equivalents — 118 — — Weighted average shares outstanding – Diluted 26,129 25,710 25,938 25,466 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Leases [Abstract] | |
Schedule of Lease Expense, Cash Flow, Operating and Finance Lease Assets and Liabilities, Average Lease Term and Average Discount Rate | Lease expense and cash flow for the three and nine months ended September 30, 2021 and 2020 and operating and finance lease assets and liabilities, average lease term and average discount rate as of September 30, 2021 and December 31, 2020 are as follows: Three Months Ended Nine Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 (Dollars in thousands) Lease Expense Finance lease expense: Amortization of right-of-use assets $ 335 $ 615 $ 1,006 $ 906 Interest on lease liabilities 20 43 65 63 Operating lease expense 727 1,699 2,375 2,534 Total lease expense $ 1,082 $ 2,357 $ 3,446 $ 3,503 Cash Flow Components Cash paid for amounts included in the measurement of lease liabilities Operating cash outflows from finance leases $ 20 $ 43 $ 65 $ 63 Operating cash outflows from operating leases 884 1,818 2,687 2,692 Financing cash outflows from finance leases 367 467 1,012 723 Right-of-use assets obtained in exchange for finance lease liabilities, net of terminations and disposals 50 180 885 252 Right-of-use assets obtained in exchange for operating lease liabilities, net of terminations and disposals 76 422 284 637 September 30, 2021 December 31, 2020 (Dollars in thousands, except lease term and discount rate) Balance Sheet Information Operating leases: Other non-current assets $ 11,442 $ 13,598 Accrued liabilities $ (2,473 ) $ (2,868 ) Other non-current liabilities (9,509 ) (11,513 ) Total operating lease liabilities $ (11,982 ) $ (14,381 ) Finance leases: Property, plant and equipment gross $ 6,937 $ 5,735 Accumulated depreciation (4,325 ) (3,319 ) Property, plant and equipment, net $ 2,612 $ 2,416 Current portion of long-term debt $ (1,075 ) $ (1,113 ) Long-term debt (less current portion) (1,865 ) (2,275 ) Total finance lease liabilities $ (2,940 ) $ (3,388 ) Lease Term and Discount Rates Weighted-average remaining lease term - finance leases (years) 3.5 3.9 Weighted-average remaining lease term - operating leases (years) 5.2 6.1 Weighted-average discount rate - finance leases 2.8 % 3.0 % Weighted-average discount rate - operating leases 3.6 % 3.8 % |
Schedule of Future Minimum Rental Payments Under Finance and Operating Leases | Summarized future minimum payments under our leases as of September 30, 2021 are as follows: Amount (Dollars in thousands) Lease Maturities Finance Leases Operating Leases Three remaining months of 2021 $ 329 $ 774 2022 1,064 2,793 2023 671 2,446 2024 243 2,198 2025 152 2,128 Thereafter 619 2,772 Total 3,078 13,111 Less: Imputed interest (138 ) (1,129 ) Total lease liabilities, net of interest $ 2,940 $ 11,982 |
Retirement Plans (Tables)
Retirement Plans (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Compensation And Retirement Disclosure [Abstract] | |
Summary of Components of Net Periodic Pension Cost | The following table summarizes the components of net periodic pension cost for the three and nine months ended September 30, 2021 and 2020. Three Months Ended Nine Months Ended September 30, 2021 September 30, 2020 September 30, 2021 September 30, 2020 (Dollars in thousands) Interest cost $ 206 $ 251 $ 618 $ 753 Net amortization 96 72 290 216 Net periodic pension cost $ 302 $ 323 $ 908 $ 969 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Restricted Stock Unit, Restricted Performance Stock Unit and Option Activity | Restricted stock unit, restricted performance stock unit and option activity for the nine months ended September 30, 2021 is summarized in the following table: Equity Incentive Awards Restricted Stock Units Weighted Average Grant Date Fair Value Performance Shares Weighted Average Grant Date Fair Value Options Weighted Average Exercise Price Balance at December 31, 2020 1,213,667 $ 3.59 2,176,290 $ 4.88 24,000 $ 20.39 Granted 411,291 5.94 653,438 8.41 — — Settled (606,004 ) 3.30 (193,778 ) 5.45 — — Forfeited or expired (32,525 ) 8.13 (151,369 ) 12.61 (15,000 ) 22.57 Balance at September 30, 2021 986,429 $ 4.60 2,484,581 $ 6.67 9,000 $ 16.76 Awards estimated to vest in the future 945,154 $ 4.65 2,080,561 $ 6.82 9,000 $ 16.76 |
Nature of Operations and Pres_3
Nature of Operations and Presentation of Condensed Consolidated Financial Statements - Additional Information (Detail) $ in Millions | 9 Months Ended | |
Sep. 30, 2021USD ($)EmployeeManufacturingFacility | Sep. 30, 2020USD ($) | |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||
Number of employees | Employee | 8,000 | |
Number of manufacturing facilities | ManufacturingFacility | 8 | |
Cash paid for interest | $ 23.5 | $ 27.1 |
Net cash income taxes paid | 8.3 | 7.6 |
Noncash or part noncash acquisition, fixed assets acquired | $ 10.8 | $ 0.2 |
Sales [Member] | Customer Concentration Risk [Member] | Original Equipment Manufacturers (OEMs) [Member] | ||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||
Concentration risk, percentage | 92.00% |
Revenue - Summary of Opening an
Revenue - Summary of Opening and Closing Balances of Company's Customer Receivables and Current and Long-term Contract Liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Customer receivables | $ 82,717 | $ 40,785 |
Contract liabilities—current | 7,193 | 8,249 |
Contract liabilities—noncurrent | 11,026 | $ 13,106 |
Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Customer receivables | 41,932 | |
Contract liabilities—current | (1,056) | |
Contract liabilities—noncurrent | $ (2,080) |
Fair Value Measurements - Recur
Fair Value Measurements - Recurring (Detail) - Recurring [Member] - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Assets | ||
Derivative contracts | $ 13,884 | $ 10,218 |
Total | 13,884 | 10,218 |
Liabilities | ||
Derivative contracts | 17,213 | 15,259 |
Total | 17,213 | 15,259 |
Level 2 [Member] | ||
Assets | ||
Derivative contracts | 13,884 | 10,218 |
Total | 13,884 | 10,218 |
Liabilities | ||
Derivative contracts | 17,213 | 15,259 |
Total | $ 17,213 | $ 15,259 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Carrying Values and Estimated Fair Values of Debt Instruments (Detail) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Derivative Instrument Detail [Abstract] | ||
Estimated aggregate fair value | $ 624,713 | $ 624,207 |
Aggregate carrying value | $ 624,223 | $ 643,184 |
Derivative Financial Instrume_3
Derivative Financial Instruments - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2021 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative instruments objectives | We use derivatives to partially offset our exposure to foreign currency, interest rate, aluminum and other commodity price risks. We may enter into forward contracts, option contracts, swaps, collars or other derivative instruments to offset some of the risk on expected future cash flows and on certain existing assets and liabilities. |
Maximum length of time, foreign currency cash flow hedge | 48 months |
Derivative Financial Instrume_4
Derivative Financial Instruments - Summary of Fair Value of Derivatives by Balance Sheet Line Item (Detail) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | $ 9,879 | $ 3,463 |
Other Non-current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 4,005 | 6,755 |
Accrued Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 7,917 | 8,350 |
Other Non-current Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 9,296 | 6,909 |
Designated as Hedging Instrument [Member] | Natural Gas [Member] | Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 3,590 | 816 |
Designated as Hedging Instrument [Member] | Natural Gas [Member] | Other Non-current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 978 | 224 |
Designated as Hedging Instrument [Member] | Natural Gas [Member] | Accrued Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 6 | 22 |
Designated as Hedging Instrument [Member] | Natural Gas [Member] | Other Non-current Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 42 | 70 |
Foreign Exchange Forward Contracts [Member] | Designated as Hedging Instrument [Member] | Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 2,145 | 1,218 |
Foreign Exchange Forward Contracts [Member] | Designated as Hedging Instrument [Member] | Other Non-current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 3,027 | 6,531 |
Foreign Exchange Forward Contracts [Member] | Designated as Hedging Instrument [Member] | Accrued Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 2,391 | 3,435 |
Foreign Exchange Forward Contracts [Member] | Designated as Hedging Instrument [Member] | Other Non-current Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 8,448 | 2,645 |
Foreign Exchange Forward Contracts [Member] | Not Designated as Hedging Instrument [Member] | Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 524 | 1,167 |
Foreign Exchange Forward Contracts [Member] | Not Designated as Hedging Instrument [Member] | Accrued Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 739 | 122 |
Aluminum Forward Contracts [Member] | Designated as Hedging Instrument [Member] | Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative assets | 3,620 | 262 |
Interest Rate Swap Contracts Designated as Hedges [Member] | Designated as Hedging Instrument [Member] | Accrued Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | 4,781 | 4,771 |
Interest Rate Swap Contracts Designated as Hedges [Member] | Designated as Hedging Instrument [Member] | Other Non-current Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liabilities | $ 806 | $ 4,194 |
Derivative Financial Instrume_5
Derivative Financial Instruments - Summary of Notional Amount and Estimated Fair Value of Derivative Financial Instruments (Detail) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Notional Amount | $ 740,444 | $ 702,061 |
Derivative, Fair Value, Net | (3,329) | (5,041) |
Designated as Hedging Instrument [Member] | Natural Gas [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Notional Amount | 8,094 | 5,523 |
Derivative, Fair Value, Net | 4,520 | 948 |
Designated as Hedging Instrument [Member] | Foreign Exchange Forward Contracts Designated as Hedging Instruments [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Notional Amount | 487,425 | 421,253 |
Derivative, Fair Value, Net | (5,667) | 1,669 |
Designated as Hedging Instrument [Member] | Aluminum Forward Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Notional Amount | 19,257 | 4,068 |
Derivative, Fair Value, Net | 3,620 | 262 |
Designated as Hedging Instrument [Member] | Interest Rate Swap Contracts Designated as Hedges [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Notional Amount | 200,000 | 200,000 |
Derivative, Fair Value, Net | (5,587) | (8,965) |
Not Designated as Hedging Instrument [Member] | Foreign Exchange Forward Contracts Designated as Hedging Instruments [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Notional Amount | 25,668 | 71,217 |
Derivative, Fair Value, Net | $ (215) | $ 1,045 |
Derivative Financial Instrume_6
Derivative Financial Instruments - Summary of Gain or Loss Recognized in AOCI (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Derivatives, Fair Value [Line Items] | ||||
Amount of Gain or (Loss) Recognized in AOCI on Derivatives | $ (6,884) | $ 4,683 | $ 101 | $ (25,316) |
Amount of Pre-tax Gain or (Loss) Reclassified from AOCI into Income | 1,731 | (2,261) | 2,050 | (7,355) |
Amount of Pre-tax Gain or (Loss) Recognized in Income on Derivatives | (219) | 3,458 | (1,485) | (289) |
Derivative [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Amount of Gain or (Loss) Recognized in AOCI on Derivatives | (6,884) | 4,683 | 101 | (25,316) |
Amount of Pre-tax Gain or (Loss) Reclassified from AOCI into Income | 1,731 | (2,261) | 2,050 | (7,355) |
Amount of Pre-tax Gain or (Loss) Recognized in Income on Derivatives | $ (219) | $ 3,458 | $ (1,485) | $ (289) |
Business Segments - Summary of
Business Segments - Summary of Net Sales and Results of Operations and Total Assets by Reportable Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Net Sales | $ 310,780 | $ 317,103 | $ 1,016,440 | $ 763,050 | |
Income (loss) from Operations | 7,374 | 19,238 | 48,613 | (197,894) | |
Depreciation and Amortization | 24,476 | 24,818 | 75,446 | 73,134 | |
Capital Expenditures | 27,020 | 10,831 | 47,571 | 33,592 | |
Property, Plant and Equipment, net | 501,772 | 501,772 | $ 522,124 | ||
Intangible Assets | 85,177 | 85,177 | 110,796 | ||
Total assets | 1,092,268 | 1,092,268 | 1,109,325 | ||
North America [Member] | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Net Sales | 180,496 | 166,662 | 549,457 | 381,129 | |
Income (loss) from Operations | 12,581 | 16,113 | 37,964 | 2,430 | |
Depreciation and Amortization | 8,732 | 8,742 | 27,453 | 25,967 | |
Capital Expenditures | 10,223 | 6,673 | 18,330 | 19,109 | |
Property, Plant and Equipment, net | 211,253 | 211,253 | 220,145 | ||
Total assets | 477,922 | 477,922 | 479,873 | ||
Europe [Member] | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Net Sales | 130,284 | 150,441 | 466,983 | 381,921 | |
Income (loss) from Operations | (5,207) | 3,125 | 10,649 | (200,324) | |
Depreciation and Amortization | 15,744 | 16,076 | 47,993 | 47,167 | |
Capital Expenditures | 16,797 | $ 4,158 | 29,241 | $ 14,483 | |
Property, Plant and Equipment, net | 290,519 | 290,519 | 301,979 | ||
Intangible Assets | 85,177 | 85,177 | 110,796 | ||
Total assets | $ 614,346 | $ 614,346 | $ 629,452 |
Business Segments - Net Sales a
Business Segments - Net Sales and Long-Lived Assets by Location (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Net Sales | $ 310,780 | $ 317,103 | $ 1,016,440 | $ 763,050 | |
Property, Plant and Equipment, net | 501,772 | 501,772 | $ 522,124 | ||
U.S. [Member] | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Net Sales | 2,832 | 5,094 | 5,651 | 24,890 | |
Property, Plant and Equipment, net | 2,291 | 2,291 | 7,324 | ||
Mexico [Member] | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Net Sales | 177,664 | 161,568 | 543,806 | 356,239 | |
Property, Plant and Equipment, net | 208,962 | 208,962 | 212,821 | ||
Germany [Member] | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Net Sales | 43,084 | 58,413 | 166,483 | 142,177 | |
Property, Plant and Equipment, net | 85,019 | 85,019 | 82,162 | ||
Poland [Member] | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Net Sales | 87,200 | $ 92,028 | 300,500 | $ 239,744 | |
Property, Plant and Equipment, net | $ 205,500 | $ 205,500 | $ 219,817 |
Inventories - Summary of Invent
Inventories - Summary of Inventories (Detail) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 48,344 | $ 46,712 |
Work in process | 73,425 | 45,394 |
Finished goods | 93,203 | 62,874 |
Inventories, net | $ 214,972 | $ 154,980 |
Inventories - Additional Inform
Inventories - Additional Information (Detail) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Inventory Disclosure [Abstract] | ||
Inventory, non-current | $ 10.5 | $ 12.1 |
Property, Plant and Equipment -
Property, Plant and Equipment - Schedule of Property, Plant and Equipment (Detail) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 1,062,135 | $ 1,110,689 |
Accumulated depreciation | (560,363) | (588,565) |
Property, plant and equipment, net | 501,772 | 522,124 |
Land and Buildings [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 129,221 | 149,295 |
Production Machinery and Technical Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 861,218 | 899,764 |
Leasehold Improvements and Other [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 12,421 | 14,912 |
Construction in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 59,275 | $ 46,718 |
Property, Plant and Equipment_2
Property, Plant and Equipment - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Property Plant And Equipment [Abstract] | ||||
Depreciation expense | $ 18 | $ 18.3 | $ 55.5 | $ 54.4 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2021 | Sep. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | |
Finite-Lived Intangible Assets [Line Items] | |||||||
Non-cash impairment charge recognized | $ 13,772 | $ 13,772 | |||||
Impairment charges | $ 193,600 | $ 102,200 | |||||
Weighted income approach to determine the fair value of the company's reporting units | 75.00% | 75.00% | |||||
Weighted market approach to determine the fair value of the company's reporting units | 25.00% | 25.00% | |||||
Amortization of intangible assets | $ 6,500 | $ 6,500 | $ 19,900 | $ 18,800 | |||
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |||||||
2021 | 25,800 | 25,800 | |||||
2022 | 22,900 | 22,900 | |||||
2023 | 20,900 | 20,900 | |||||
2024 | 20,900 | 20,900 | |||||
2025 | $ 10,300 | $ 10,300 | |||||
Market Approach Valuation Technique [Member] | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Fair value measurements valuation process multiple used | 4.9X EBITDA | 5.7X EBITDA | |||||
Measurement Input, Discount Rate [Member] | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Discount rate | 12.00% | 10.00% | |||||
Measurement Input, Long-term Revenue Growth Rate [Member] | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Long-term growth rate | 1.50% | 2.00% | |||||
Trade Names [Member] | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Non-cash impairment charge recognized | $ 11,000 | ||||||
European Operations [Member] | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Amount of fair value in excess of carrying value | $ 182,600 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets - Summary of Finite-Lived and Indefinite-Lived Intangible Assets (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2021 | Dec. 31, 2020 | |
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived Intangible Assets, Gross Carrying Amount | $ 191,000 | $ 191,000 |
Accumulated Amortization | (111,876) | (91,961) |
Finite-lived Intangible Assets, Currency Translation | 6,053 | 11,757 |
Finite lived Intangible Assets, Net | 85,177 | 110,796 |
Indefinite lived Intangible Assets, Gross Carrying Amount | 14,000 | 14,000 |
Indefinite lived Intangible Assets, Gross Carrying Amount, Accumulated Impairment | (13,772) | (13,772) |
Indefinite lived Intangible Assets, Currency Translation | (228) | (228) |
Gross Carrying Amount | 205,000 | 205,000 |
Accumulated Impairment | (13,772) | (13,772) |
Currency Translation | 5,825 | 11,529 |
Intangibles, net | 85,177 | 110,796 |
Goodwill Gross, Beginning Balance | 282,107 | 284,337 |
Goodwill Accumulated Impairment, Beginning Balance | (282,107) | (99,505) |
Goodwill Net Balance,Beginning Balance | 184,832 | |
Goodwill, Impairment | (182,602) | |
Goodwill, Currency Translation | (2,230) | |
Goodwill Gross, Ending Balance | 282,107 | |
Goodwill Accumulated Impairment, Ending Balance | (282,107) | |
Brand Name [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived Intangible Assets, Gross Carrying Amount | 9,000 | 9,000 |
Accumulated Amortization | (8,047) | (6,615) |
Finite-lived Intangible Assets, Currency Translation | 284 | 399 |
Finite lived Intangible Assets, Net | $ 1,237 | $ 2,784 |
Brand Name [Member] | Minimum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Remaining Weighted Average Amortization Period | 1 year | 2 years |
Brand Name [Member] | Maximum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Remaining Weighted Average Amortization Period | 2 years | 3 years |
Technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived Intangible Assets, Gross Carrying Amount | $ 15,000 | $ 15,000 |
Accumulated Amortization | (13,412) | (11,024) |
Finite-lived Intangible Assets, Currency Translation | 474 | 666 |
Finite lived Intangible Assets, Net | $ 2,062 | $ 4,642 |
Remaining Weighted Average Amortization Period | 2 years | |
Technology [Member] | Minimum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Remaining Weighted Average Amortization Period | 1 year | |
Technology [Member] | Maximum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Remaining Weighted Average Amortization Period | 3 years | |
Customer Relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived Intangible Assets, Gross Carrying Amount | $ 167,000 | $ 167,000 |
Accumulated Amortization | (90,417) | (74,322) |
Finite-lived Intangible Assets, Currency Translation | 5,295 | 10,692 |
Finite lived Intangible Assets, Net | $ 81,878 | $ 103,370 |
Customer Relationships [Member] | Minimum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Remaining Weighted Average Amortization Period | 2 years | 3 years |
Customer Relationships [Member] | Maximum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Remaining Weighted Average Amortization Period | 7 years | 8 years |
Debt - Summary of Long-Term Deb
Debt - Summary of Long-Term Debt and Related Weighted Average Interest Rates (Detail) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||
Total Debt | $ 624,223 | $ 643,184 |
Debt Issuance Costs | (8,481) | (11,580) |
Total Debt, Net | 615,742 | 631,604 |
Less: Current portion | (6,297) | (6,112) |
Long-term debt | 609,445 | 625,492 |
Term Loan Facility [Member] | ||
Debt Instrument [Line Items] | ||
Total Debt | 349,200 | 349,200 |
Debt Issuance Costs | (4,794) | (7,155) |
Total Debt, Net | $ 344,406 | $ 342,045 |
Weighted Average Interest Rate | 4.10% | 4.10% |
Senior Notes [Member] | 6.00% Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Total Debt | $ 251,735 | $ 266,928 |
Debt Issuance Costs | (3,687) | (4,425) |
Total Debt, Net | $ 248,048 | $ 262,503 |
Weighted Average Interest Rate | 6.00% | 6.00% |
European CapEx Loans [Member] | ||
Debt Instrument [Line Items] | ||
Total Debt | $ 20,348 | $ 23,668 |
Total Debt, Net | $ 20,348 | $ 23,668 |
Weighted Average Interest Rate | 2.30% | 2.30% |
Finance Leases [Member] | ||
Debt Instrument [Line Items] | ||
Total Debt | $ 2,940 | $ 3,388 |
Total Debt, Net | $ 2,940 | $ 3,388 |
Weighted Average Interest Rate | 2.80% | 3.00% |
Debt - Summary of Long-Term D_2
Debt - Summary of Long-Term Debt and Related Weighted Average Interest Rates (Parenthetical) (Detail) | Sep. 30, 2021 | Dec. 31, 2020 |
6.00% Senior Notes [Member] | Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate stated, percentage | 6.00% | 6.00% |
Debt - Additional Information (
Debt - Additional Information (Detail) | May 03, 2021USD ($) | May 02, 2021USD ($) | Jun. 15, 2017EUR (€) | Mar. 22, 2017USD ($) | Jun. 30, 2021USD ($) | Jun. 30, 2021EUR (€) | Sep. 30, 2021USD ($) | Jun. 30, 2021 | Mar. 31, 2021EUR (€) | Mar. 31, 2020EUR (€) | Sep. 30, 2021USD ($) | Sep. 30, 2021EUR (€) | Dec. 31, 2020USD ($) | Jan. 31, 2020EUR (€) | May 30, 2017USD ($) |
Debt Instrument [Line Items] | |||||||||||||||
Debt default, maximum period of failure to comply with obligations, covenants or agreements | 60 days | ||||||||||||||
Debt default, holder percent to declare all notes due, minimum | 30.00% | 30.00% | 30.00% | ||||||||||||
Term loan facility balance | $ 624,223,000 | $ 624,223,000 | $ 643,184,000 | ||||||||||||
Long-term debt | $ 615,742,000 | $ 615,742,000 | $ 631,604,000 | ||||||||||||
Long-term debt, term | 5 years | 5 years | 5 years | ||||||||||||
Commitments Maturing October 31, 2023 [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Annual commitment fee | 0.375% | ||||||||||||||
European Operations [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Long-term debt | $ 7,700,000 | $ 7,700,000 | $ 70,700,000 | ||||||||||||
Minimum [Member] | Commitments Maturing October 31, 2023 [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Annual commitment fee | 0.375% | ||||||||||||||
Maximum [Member] | Commitments Maturing October 31, 2023 [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Annual commitment fee | 0.625% | ||||||||||||||
Senior Notes, 6.00%, due 2025 [Member] | Senior Notes [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt Instrument, Face Amount | € | € 250,000,000 | ||||||||||||||
Debt instrument, interest rate stated, percentage | 6.00% | ||||||||||||||
Senior Secured Term Loan Facility [Member] | Senior Notes [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Amount of term loan facility | $ 400,000,000 | ||||||||||||||
Line of credit facility maturity date | May 23, 2024 | ||||||||||||||
Repayments under term loan facility | $ 50,800,000 | ||||||||||||||
Term loan facility balance | 349,200,000 | 349,200,000 | |||||||||||||
Amount outstanding | $ 4,800,000 | $ 4,800,000 | |||||||||||||
Senior Secured Term Loan Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | Senior Notes [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 0.00% | ||||||||||||||
Senior Secured Term Loan Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | Senior Notes [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 4.00% | ||||||||||||||
Senior Secured Term Loan Facility [Member] | Base Rate [Member] | Senior Notes [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 2.00% | ||||||||||||||
Senior Secured Term Loan Facility [Member] | Federal Funds Effective Swap Rate [Member] | Senior Notes [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 0.50% | ||||||||||||||
Senior Secured Term Loan Facility [Member] | One Month London Interbank Offered Rate (LIBOR) [Member] | Senior Notes [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 1.00% | ||||||||||||||
Senior Secured Term Loan Facility [Member] | One Month LIBOR Plus Margin [Member] | Senior Notes [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 3.00% | ||||||||||||||
Equipment Loan [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, interest rate stated, percentage | 2.30% | 2.30% | 2.30% | ||||||||||||
Long-term debt | $ 12,600,000 | $ 12,600,000 | |||||||||||||
Drew down on loans | € | € 1,400,000 | € 10,600,000 | |||||||||||||
Debt Instrument Redemption Period One [Member] | Senior Notes, 6.00%, due 2025 [Member] | Senior Notes [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Redemption percentage | 101.50% | ||||||||||||||
Debt Instrument Redemption Period Two [Member] | Senior Notes, 6.00%, due 2025 [Member] | Senior Notes [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Redemption percentage | 100.00% | ||||||||||||||
Revolving Credit Facility [Member] | Commitment Maturing May 23, 2022 [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Commitment fees percentage | 0.25% | ||||||||||||||
Revolving Credit Facility [Member] | Minimum [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Net leverage ratio | 1.00% | ||||||||||||||
Revolving Credit Facility [Member] | Minimum [Member] | Commitment Maturing May 23, 2022 [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Commitment fees percentage | 0.25% | ||||||||||||||
Revolving Credit Facility [Member] | Maximum [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Net leverage ratio | 4.50% | ||||||||||||||
Revolving Credit Facility [Member] | Maximum [Member] | Commitment Maturing May 23, 2022 [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Commitment fees percentage | 0.50% | ||||||||||||||
Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 3.00% | ||||||||||||||
Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 3.50% | ||||||||||||||
Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 3.00% | ||||||||||||||
Revolving Credit Facility [Member] | Base Rate [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 2.00% | ||||||||||||||
Revolving Credit Facility [Member] | Base Rate [Member] | Minimum [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 2.50% | ||||||||||||||
Revolving Credit Facility [Member] | Base Rate [Member] | Maximum [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 2.00% | ||||||||||||||
Revolving Credit Facility [Member] | Senior Secured Term Loan Facility [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Amount of term loan facility | $ 160,000,000 | ||||||||||||||
Line of credit facility maturity date | May 23, 2022 | ||||||||||||||
Line of credit facility, commitment amount | $ 132,500,000 | $ 160,000,000 | |||||||||||||
Outstanding borrowings | 0 | $ 0 | |||||||||||||
Revolving Credit Facility [Member] | Senior Secured Term Loan Facility [Member] | Commitment Maturing May 23, 2022 [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Line of credit facility, commitment amount | 25,000,000 | ||||||||||||||
Revolving Credit Facility [Member] | Senior Secured Term Loan Facility [Member] | Commitments Maturing October 31, 2023 [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Line of credit facility, commitment amount | $ 107,500,000 | ||||||||||||||
Revolving Credit Facility [Member] | Senior Secured Term Loan Facility [Member] | Senior Notes [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Amount of availability | $ 127,700,000 | $ 127,700,000 | |||||||||||||
Term Loan Facility [Member] | Senior Secured Term Loan Facility [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Percentage of capital stock issued | 65.00% | 65.00% | 65.00% | ||||||||||||
Equipment Loan [Member] | European Operations [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, interest rate stated, percentage | 2.20% | 2.20% | 2.20% | ||||||||||||
Debt instrument, maturity date | Mar. 31, 2024 | ||||||||||||||
European Revolving Credit Facility [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Annual commitment fee | 0.625% | ||||||||||||||
Outstanding borrowings | $ 0 | $ 0 | |||||||||||||
Amount outstanding | 500,000 | 500,000 | € 400,000 | ||||||||||||
Amount of availability | $ 69,100,000 | $ 69,100,000 | € 59,600,000 | ||||||||||||
Debt instrument, maturity date | May 22, 2023 | ||||||||||||||
Percentage of management fee | 0.07% | ||||||||||||||
European Revolving Credit Facility [Member] | Minimum [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Annual commitment fee | 0.625% | ||||||||||||||
European Revolving Credit Facility [Member] | Maximum [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Annual commitment fee | 1.225% | ||||||||||||||
Current borrowing capacity under line of credit | € | € 60,000,000 | ||||||||||||||
European Revolving Credit Facility [Member] | Euribor [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 2.05% | ||||||||||||||
European Revolving Credit Facility [Member] | Euribor [Member] | Minimum [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 2.05% | ||||||||||||||
European Revolving Credit Facility [Member] | Euribor [Member] | Maximum [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, basis spread on variable rate | 3.50% | ||||||||||||||
European Revolving Credit Facility [Member] | Equipment Loan [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, maturity date | Sep. 30, 2027 | ||||||||||||||
Quarterly payment | $ 500,000 | € 400,000 | |||||||||||||
Quarterly payment, start date | Jun. 30, 2021 |
Debt - Schedule of Debt Maturit
Debt - Schedule of Debt Maturities (Detail) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Maturities Of Long Term Debt [Abstract] | ||
Three remaining months of 2021 | $ 1,634 | |
2022 | 6,286 | |
2023 | 5,893 | |
2024 | 352,345 | |
2025 | 254,016 | |
Thereafter | 4,049 | |
Total debt liabilities | $ 624,223 | $ 643,184 |
Redeemable Preferred Stock - Ad
Redeemable Preferred Stock - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | Aug. 30, 2017 | Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2017 |
Temporary Equity [Line Items] | |||||||
Temporary equity, stock issued during period, shares, new issues | 150,000 | 150,000 | 150,000 | 150,000 | |||
Proceeds from issuance of redeemable preferred shares | $ 150,000 | ||||||
Temporary equity, par value | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | |||
Preferred stock, dividend rate, percentage | 9.00% | 9.00% | 9.00% | 9.00% | |||
Preferred stock redemption date | Sep. 14, 2025 | ||||||
Issuance costs | $ 3,700 | ||||||
Proceeds from issuance of redeemable preferred shares, net of issuance costs | 135,500 | ||||||
Embedded derivative liability | $ 10,900 | ||||||
Cumulative premium accretion | $ 59,100 | $ 43,900 | |||||
Redeemable preferred stock | $ 194,560 | 194,560 | $ 179,387 | ||||
Convertible Preferred Stock Redemption Period Two [Member] | |||||||
Temporary Equity [Line Items] | |||||||
Convertible preferred stock, redemption value | $ 300,000 | $ 300,000 | |||||
Convertible preferred stock, redemption value percent of stated value | 200.00% | 200.00% | |||||
Convertible preferred stock, face value | $ 150,000 | $ 150,000 | |||||
Common stock, shares issued upon conversion of preferred stock | 5,300,000 | 5,300,000 | |||||
Series A Redeemable Preferred Stock [Member] | |||||||
Temporary Equity [Line Items] | |||||||
Temporary equity, stock issued during period, shares, new issues | 140,202 | ||||||
Temporary equity, par value | $ 0.01 | ||||||
Temporary equity, liquidation preference per share | 1,000 | ||||||
Temporary equity, conversion price | $ 28.162 | ||||||
Preferred stock, dividend rate, percentage | 9.00% | ||||||
Convertible preferred stock, threshold stock price trigger | $ 84.49 | ||||||
Series B Redeemable Preferred Stock [Member] | |||||||
Temporary Equity [Line Items] | |||||||
Temporary equity, stock issued during period, shares, new issues | 9,798 |
European Non-Controlling Rede_3
European Non-Controlling Redeemable Equity - Additional Information (Detail) - € / shares | 9 Months Ended | |
Sep. 30, 2021 | May 30, 2017 | |
UNIWHEELS AG [Member] | ||
Redeemable Noncontrolling Interest [Line Items] | ||
Percentage of voting interest acquired | 99.90% | 92.30% |
Domination and Profit Loss Transfer Agreement [Member] | ||
Redeemable Noncontrolling Interest [Line Items] | ||
Share price per share | € 62.18 | |
Guaranteed annual dividend for each share that is not tendered | € 3.23 | |
Guaranteed annual statutory rate for each share that is tendered | 4.12% |
European Non-Controlling Rede_4
European Non-Controlling Redeemable Equity - Summary of Redeemable Noncontrolling Interests (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Redeemable Noncontrolling Interest [Line Items] | |||||
Dividends accrued | $ 96 | $ 106 | $ 134 | $ 152 | |
Redeemable Noncontrolling Interest [Member] | |||||
Redeemable Noncontrolling Interest [Line Items] | |||||
Beginning balance | 1,666 | $ 6,525 | $ 6,525 | ||
Dividends accrued | 134 | 205 | |||
Dividends paid | (3) | (46) | |||
Translation adjustment | (156) | 2 | |||
Purchase of shares | (89) | (5,020) | |||
Ending Balance | $ 1,552 | $ 1,552 | $ 1,666 |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Earnings Per share, Basic and Diluted (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Basic Earnings Per Share: | ||||
Net (loss) income | $ (7,180) | $ 11,146 | $ 7,637 | $ (222,154) |
Less: Redeemable preferred stock dividends and accretion | (8,598) | (8,056) | (25,310) | (23,811) |
Less: European non-controlling redeemable equity dividend | (96) | (106) | (134) | (152) |
Basic numerator | $ (15,874) | $ 2,984 | $ (17,807) | $ (246,117) |
Basic (loss) earnings per share | $ (0.61) | $ 0.12 | $ (0.69) | $ (9.66) |
Weighted average shares outstanding – Basic | 26,129 | 25,592 | 25,938 | 25,466 |
Diluted Earnings Per Share: | ||||
Net (loss) income | $ (7,180) | $ 11,146 | $ 7,637 | $ (222,154) |
Less: Redeemable preferred stock dividends and accretion | (8,598) | (8,056) | (25,310) | (23,811) |
Less: European non-controlling redeemable equity dividend | (96) | (106) | (134) | (152) |
Diluted numerator | $ (15,874) | $ 2,984 | $ (17,807) | $ (246,117) |
Diluted (loss) earnings per share | $ (0.61) | $ 0.12 | $ (0.69) | $ (9.66) |
Weighted average shares outstanding – Basic | 26,129 | 25,592 | 25,938 | 25,466 |
Dilutive effect of common share equivalents | 118 | |||
Weighted average shares outstanding – Diluted | 26,129 | 25,710 | 25,938 | 25,466 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | ||||
Income tax provision (benefit) | $ 1,841 | $ (3,898) | $ 3,570 | $ (11,111) |
Pre-tax income (losses) | $ (5,300) | $ 7,200 | $ 11,200 | $ (233,300) |
Effective income tax rates | (34.50%) | (53.80%) | 31.90% | 4.80% |
Leases - Additional Information
Leases - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2021 | |
Operating Leased Assets [Line Items] | |
Lessee, operating lease, option to extend | Certain leases include options to extend the lease term for up to ten years |
Minimum [Member] | |
Operating Leased Assets [Line Items] | |
Lessee, operating lease, term of contract | 1 year |
Maximum [Member] | |
Operating Leased Assets [Line Items] | |
Lessee, operating lease, term of contract | 8 years |
Leases - Schedule of Lease Expe
Leases - Schedule of Lease Expense, Cash Flow, Operating and Finance Lease Assets and Liabilities, Average Lease Term and Average Discount Rate (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Finance lease expense: | |||||
Amortization of right-of-use assets | $ 335 | $ 615 | $ 1,006 | $ 906 | |
Interest on lease liabilities | 20 | 43 | 65 | 63 | |
Operating lease expense | 727 | 1,699 | 2,375 | 2,534 | |
Total lease expense | 1,082 | 2,357 | 3,446 | 3,503 | |
Cash paid for amounts included in the measurement of lease liabilities | |||||
Operating cash outflows from finance leases | 20 | 43 | 65 | 63 | |
Operating cash outflows from operating leases | 884 | 1,818 | 2,687 | 2,692 | |
Financing cash outflows from finance leases | 367 | 467 | 1,012 | 723 | |
Right-of-use assets obtained in exchange for finance lease liabilities, net of terminations and disposals | 50 | 180 | 885 | 252 | |
Right-of-use assets obtained in exchange for operating lease liabilities, net of terminations and disposals | 76 | $ 422 | 284 | $ 637 | |
Operating leases: | |||||
Other non-current assets | 11,442 | 11,442 | $ 13,598 | ||
Accrued liabilities | $ (2,473) | $ (2,473) | $ (2,868) | ||
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent | us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent | us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent | ||
Other non-current liabilities | $ (9,509) | $ (9,509) | $ (11,513) | ||
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Other non-current liabilities | Other non-current liabilities | Other non-current liabilities | ||
Total operating lease liabilities | $ (11,982) | $ (11,982) | $ (14,381) | ||
Operating Lease, Liability, Statement of Financial Position [Extensible Enumeration] | us-gaap:AccountsPayableAndAccruedLiabilitiesCurrentAndNoncurrent | us-gaap:AccountsPayableAndAccruedLiabilitiesCurrentAndNoncurrent | us-gaap:AccountsPayableAndAccruedLiabilitiesCurrentAndNoncurrent | ||
Property, plant and equipment gross | $ 6,937 | $ 6,937 | $ 5,735 | ||
Accumulated depreciation | (4,325) | (4,325) | (3,319) | ||
Property, plant and equipment, net | 2,612 | 2,612 | 2,416 | ||
Current portion of long-term debt | (1,075) | (1,075) | (1,113) | ||
Long-term debt (less current portion) | (1,865) | (1,865) | (2,275) | ||
Total finance lease liabilities | $ (2,940) | $ (2,940) | $ (3,388) | ||
Weighted-average remaining lease term - finance leases (years) | 3 years 6 months | 3 years 6 months | 3 years 10 months 24 days | ||
Weighted-average remaining lease term - operating leases (years) | 5 years 2 months 12 days | 5 years 2 months 12 days | 6 years 1 month 6 days | ||
Weighted-average discount rate - finance leases | 2.80% | 2.80% | 3.00% | ||
Weighted-average discount rate - operating leases | 3.60% | 3.60% | 3.80% |
Leases - Schedule of Future Min
Leases - Schedule of Future Minimum Rental Payments For Finance and Operating Leases (Detail) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
Finance Leases, Three remaining months of 2021 | $ 329 | |
Finance Leases, 2022 | 1,064 | |
Finance Leases, 2023 | 671 | |
Finance Leases, 2024 | 243 | |
Finance Leases, 2025 | 152 | |
Finance Leases, Thereafter | 619 | |
Finance Leases, Total | 3,078 | |
Finance Leases, Less: Imputed interest | (138) | |
Finance Leases, Total lease liabilities, net of interest | 2,940 | $ 3,388 |
Operating Leases, Three remaining months of 2021 | 774 | |
Operating Leases, 2022 | 2,793 | |
Operating Leases, 2023 | 2,446 | |
Operating Leases, 2024 | 2,198 | |
Operating Leases, 2025 | 2,128 | |
Operating Leases, Thereafter | 2,772 | |
Operating Leases, Total | 13,111 | |
Operating Leases, Less: Imputed interest | (1,129) | |
Operating Leases, Total lease liabilities, net of interest | $ 11,982 | $ 14,381 |
Retirement Plans - Additional I
Retirement Plans - Additional Information (Detail) $ in Millions | 9 Months Ended |
Sep. 30, 2021USD ($)Age | |
Compensation And Retirement Disclosure [Abstract] | |
Age for benefits | Age | 65 |
Payments to retirees | $ 1.1 |
Anticipated benefit payments | $ 1.4 |
Retirement Plans - Schedule of
Retirement Plans - Schedule of Net Benefit Costs (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Compensation And Retirement Disclosure [Abstract] | ||||
Interest cost | $ 206 | $ 251 | $ 618 | $ 753 |
Net amortization | 96 | 72 | 290 | 216 |
Net periodic pension cost | $ 302 | $ 323 | $ 908 | $ 969 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Authorizes issuance of common stock | 4,350,000 | 4,350,000 | |||
Number of shares available for grant | 1,300,000 | 1,300,000 | |||
Number of authorized shares increased under the Plan | 2,000,000 | ||||
Stock-based compensation expense | $ 2.5 | $ 0.5 | $ 6.8 | $ 1.2 | |
Stock-based compensation increased | 1.2 | 3.5 | |||
Accrued expense reversed | $ 1.2 | ||||
Amount of unrecognized stock-based compensation expense | $ 12.3 | $ 12.3 | |||
Weighted average period for recognition | 1 year 8 months 12 days | ||||
Restricted Stock Units [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting period | 3 years | ||||
Performance Shares Unit [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting period | 3 years |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Restricted Stock Unit, Restricted Performance Stock Unit and Option Activity (Detail) | 9 Months Ended |
Sep. 30, 2021$ / sharesshares | |
Number of Options Outstanding | |
Number of Options Outstanding, Beginning balance (in shares) | shares | 24,000 |
Forfeited or expired (in shares) | shares | (15,000) |
Number of Options Outstanding, Ending balance (in shares) | shares | 9,000 |
Awards estimated to vest in the future, Outstanding (in shares) | shares | 9,000 |
Weighted Average Exercise Price | |
Weighted Average Exercise Price, Beginning balance (in dollars per share) | $ / shares | $ 20.39 |
Forfeited or expired (in dollars per share) | $ / shares | 22.57 |
Weighted Average Exercise Price, Ending balance (in dollars per share) | $ / shares | 16.76 |
Awards estimated to vest in the future (in dollar per share) | $ / shares | $ 16.76 |
Restricted Stock Units [Member] | |
Number of Awards | |
Number of Awards, Beginning balance (in shares) | shares | 1,213,667 |
Granted (in shares) | shares | 411,291 |
Settled (in shares) | shares | (606,004) |
Forfeited or expired (in shares) | shares | (32,525) |
Number of Awards, Ending balance (in shares) | shares | 986,429 |
Awards estimated to vest in the future, Outstanding (in shares) | shares | 945,154 |
Weighted Average Grant Date Fair Value | |
Weighted Average Grant Date Fair Value, Beginning balance (in dollars per share) | $ / shares | $ 3.59 |
Granted (in dollars per share) | $ / shares | 5.94 |
Settled (in dollars per share) | $ / shares | 3.30 |
Forfeited or expired (in dollars per share) | $ / shares | 8.13 |
Weighted Average Grant Date Fair Value, Ending balance (in dollars per share) | $ / shares | 4.60 |
Awards estimated to vest in the future (in dollar per share) | $ / shares | $ 4.65 |
Performance Shares Unit [Member] | |
Number of Awards | |
Number of Awards, Beginning balance (in shares) | shares | 2,176,290 |
Granted (in shares) | shares | 653,438 |
Settled (in shares) | shares | (193,778) |
Forfeited or expired (in shares) | shares | (151,369) |
Number of Awards, Ending balance (in shares) | shares | 2,484,581 |
Awards estimated to vest in the future, Outstanding (in shares) | shares | 2,080,561 |
Weighted Average Grant Date Fair Value | |
Weighted Average Grant Date Fair Value, Beginning balance (in dollars per share) | $ / shares | $ 4.88 |
Granted (in dollars per share) | $ / shares | 8.41 |
Settled (in dollars per share) | $ / shares | 5.45 |
Forfeited or expired (in dollars per share) | $ / shares | 12.61 |
Weighted Average Grant Date Fair Value, Ending balance (in dollars per share) | $ / shares | 6.67 |
Awards estimated to vest in the future (in dollar per share) | $ / shares | $ 6.82 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - Loss from Catastrophes [Member] $ in Millions | 3 Months Ended |
Sep. 30, 2021USD ($) | |
Loss Contingencies [Line Items] | |
Casualty loss | $ 5.9 |
Insurance proceeds received on casualty loss | 1 |
Insurance recovery on casualty loss | 3.4 |
Other Expense, Net [Member] | |
Loss Contingencies [Line Items] | |
Net casualty loss | $ (1.5) |
Receivables Factoring - Additio
Receivables Factoring - Additional Information (Detail) € in Millions | Nov. 30, 2021USD ($) | Nov. 30, 2021EUR (€) | Sep. 30, 2021USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2021USD ($) | Sep. 30, 2020USD ($) | Dec. 31, 2020USD ($) |
Accounts Receivable [Line Items] | |||||||
Trade receivables | $ 174,400,000 | $ 169,800,000 | $ 558,400,000 | $ 307,400,000 | |||
Factoring fees | 500,000 | $ 400,000 | 1,500,000 | $ 800,000 | |||
Collective limit under factoring arrangements | 127,400,000 | 127,400,000 | $ 132,000,000 | ||||
Factored receivables yet not collected | $ 95,100,000 | $ 95,100,000 | $ 96,600,000 | ||||
Subsequent Event [Member] | |||||||
Accounts Receivable [Line Items] | |||||||
Reduction in factory limit | $ 11,600,000 | € 10 |
Restructuring - Additional Info
Restructuring - Additional Information (Detail) - USD ($) $ in Thousands | Jul. 15, 2021 | Sep. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 |
Restructuring Cost And Reserve [Line Items] | |||||||||
Proceeds from sale of fixed assets | $ 6,589 | $ 859 | |||||||
Cost of Sales [Member] | |||||||||
Restructuring Cost And Reserve [Line Items] | |||||||||
Restructuring charge, employee severance | $ 400 | ||||||||
Selling, General and Administrative Expense [Member] | |||||||||
Restructuring Cost And Reserve [Line Items] | |||||||||
Restructuring charge, employee severance | 300 | ||||||||
Automotive Racing Market Segment [Member] | |||||||||
Restructuring Cost And Reserve [Line Items] | |||||||||
Non-cash restructuring charge | $ 3,400 | ||||||||
Restructuring charge, write-down of after-market inventory to salvage value | 1,300 | ||||||||
Restructuring charge, employee severance | 1,000 | $ 700 | |||||||
Restructuring charges, contract terminations costs | 500 | ||||||||
Automotive Racing Market Segment [Member] | Cost of Sales [Member] | |||||||||
Restructuring Cost And Reserve [Line Items] | |||||||||
Non-cash restructuring charge | 2,800 | ||||||||
Automotive Racing Market Segment [Member] | Selling, General and Administrative Expense [Member] | |||||||||
Restructuring Cost And Reserve [Line Items] | |||||||||
Restructuring charge, employee severance | $ 600 | ||||||||
Fayetteville, Arkansas Manufacturing Facility [Member] | |||||||||
Restructuring Cost And Reserve [Line Items] | |||||||||
Relocation costs | $ 500 | $ 1,800 | 1,800 | ||||||
Additional charges to cost of sales | $ 3,300 | ||||||||
Restructuring severance accrual | 200 | 200 | |||||||
Proceeds from sale of fixed assets | $ 7,100 | ||||||||
Charges incurred on environmental remediation | $ 100 | $ 1,500 | |||||||
Fayetteville, Arkansas Manufacturing Facility [Member] | Cost of Sales [Member] | |||||||||
Restructuring Cost And Reserve [Line Items] | |||||||||
Non-cash restructuring charge | $ 13,000 | ||||||||
Fayetteville, Arkansas Manufacturing Facility [Member] | Selling, General and Administrative Expense [Member] | |||||||||
Restructuring Cost And Reserve [Line Items] | |||||||||
Gain on sale of facility | $ 4,400 |