XML 40 R23.htm IDEA: XBRL DOCUMENT
v3.10.0.1

Victory Motorcycles Wind Down | 12 Months Ended
--- | ---
Dec. 31, 2018
Discontinued Operations and Disposal Groups [Abstract] |
Victory Motorcycles Wind Down | Victory Motorcycles Wind Down In January 2017, the Company’s Board of Directors approved a strategic plan to wind down the Victory Motorcycles brand. The Company began wind down activities during the first quarter of 2017. As a result of the activities, the Company recognized total pretax charges of $5,063,000 and $59,792,000 for the years ended December 31, 2018 and 2017, respectively, that are within the scope of ASC 420, Exit or Disposal Cost Obligations (ASC 420). These totals exclude the positive pretax impact of $2,680,000 and the negative pretax impact of $21,184,000 incurred for other wind-down activities for the years ended December 31, 2018 and 2017, respectively, as well as the pretax impact of a $3,570,000 gain in 2017 resulting from the sale of a cost method investment that was previously impaired. The total impact of wind down activities in 2018 was $2,383,000, inclusive of promotional activity. The total impact of wind down activities in 2017 was $77,406,000, inclusive of promotional activity and a gain resulting from the sale of Brammo. Substantially all costs related to wind-down activities were recognized by the end of 2018. As a result of the wind down activities, the Company has incurred expenses within the scope of ASC 420 consisting of dealer termination, supplier termination, dealer litigation, employee separation, asset impairment charges, including the impairment of a cost method investment, inventory write-down charges and other costs. The wind down expenses have been included as components of cost of sales, selling and administrative expenses, general and administrative expenses or other expense (income), net, in the consolidated statements of income. Charges related to the wind down plan for the years ended December 31, 2018 and 2017 within the scope of ASC 420 were as follows (in thousands):
| For the years ended December 31,
| 2018 |  | 2017
Contract termination charges | $ | 3,433 |  |  | $ | 21,632 |
Asset impairment charges | — |  |  | 18,760 |
Inventory charges | — |  |  | 10,169 |
Other costs | 1,630 |  |  | 9,231 |
Total | $ | 5,063 |  |  | $ | 59,792 |
Total reserves related to the Victory Motorcycles wind down activities were $2,697,000 and $5,645,000 as of December 31, 2018 and 2017, respectively. These reserves are included in other accrued expenses and inventory in the consolidated balance sheets. Changes to the reserves during the years ended December 31, 2018 and 2017 were as follows (in thousands):
| Contract termination charges |  | Inventory charges |  | Other costs |  | Total
Reserves balance as of January 1, 2017 | — |  |  | — |  |  | — |  |  | — |
Expenses | $ | 21,632 |  |  | $ | 10,169 |  |  | $ | 9,231 |  |  | $ | 41,032 |
Cash payments / scrapped inventory | (18,445 | ) |  | (9,392 | ) |  | (7,550 | ) |  | (35,387 | )
Reserves balance as of December 31, 2017 | $ | 3,187 |  |  | $ | 777 |  |  | $ | 1,681 |  |  | $ | 5,645 |
Expenses | 3,433 |  |  | — |  |  | 1,630 |  |  | 5,063 |
Cash payments / scrapped inventory | (5,155 | ) |  | (399 | ) |  | (2,457 | ) |  | (8,011 | )
Reserves balance as of December 31, 2018 | $ | 1,465 |  |  | $ | 378 |  |  | $ | 854 |  |  | $ | 2,697 |

X
- References No definition available. + Details
Name: | us-gaap_DiscontinuedOperationsAndDisposalGroupsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -URI http://asc.fasb.org/topic&trid=2155823 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -URI http://asc.fasb.org/subtopic&trid=2122178 + Details
Name: | us-gaap_DisposalGroupsIncludingDiscontinuedOperationsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration