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Recently Issued Accounting Pronouncements
 3 Months Ended
Oct. 02, 2021
Accounting Policies [Abstract]  
Recently Issued Accounting Pronouncements
Note 2. Recently Issued Accounting Pronouncements
Recent Accounting Pronouncements Adopted
In August 2018, the FASB issued ASU 2018-14 Defined Benefit Plans (Topic 715-20) - Changes to the Disclosure Requirements for Defined Benefit Plans, to amend the disclosure requirements related to defined benefit pension and other post-retirement plans. The adoption of this guidance did not have an impact on the Company’s Consolidated Financial Statements.
In December 2019, the FASB issued guidance which simplifies the accounting for income taxes, eliminates certain exceptions within ASC 740, Income Taxes, and clarifies certain aspects of the current guidance to promote consistency among reporting entities. The Company adopted this guidance in the first quarter of fiscal 2022. The adoption of this guidance did not have a material impact on the Company’s Consolidated Financial Statements.
In August 2020, the FASB issued ASU 2020-06, Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity, which simplifies the accounting for convertible instruments with characteristics of liability and equity. This new guidance removes separation models for certain convertible debt instruments which will now be accounted for as a single liability measured at amortized cost. In addition, the interest expense recognized for these instruments will typically be closer to the coupon interest rate due to the removal of the separation model’s non-cash discount amortization. ASU 2020-06 is effective for the Company in the first quarter of fiscal 2023, with early adoption permitted for the first quarter of fiscal 2022. Adoption of the new guidance can either be on a modified retrospective or full retrospective method.
The Company adopted ASU 2020-06 effective the first quarter of fiscal 2022, on the full retrospective basis. The elimination of the separation model for the convertible debt instruments reclassified the equity components of the Company’s convertible notes previously in Additional paid-in capital to Long-term debt. Consequently, the temporary equity balance for the Senior Convertible Notes as of July 3, 2021 was eliminated. In addition, interest expense was reduced and net income was increased by $20.3 million and $21.4 million for fiscal years ending June 27, 2020 and July 3, 2021, respectively. The adoption had no impact on total cash provided by (used in) operating, investing or financing activities in the Consolidated Statements of Cash Flows.
The following table presents the impact of the standard adoption to select line items of the Company’s Consolidated Balance Sheet as of June 27, 2020 and July 3, 2021 (in millions):
June 27, 2020
As ReportedAdjustmentAs Adjusted
LIABILITIES AND STOCKHOLDERS’ EQUITY
Long-term debt$600.9 $78.2 $679.1 
Additional paid-in capital70,274.3 (128.2)70,146.1 
Accumulated deficit$(69,397.2)$50.0 $(69,347.2)
July 3, 2021
As ReportedAdjustmentAs Adjusted
LIABILITIES AND STOCKHOLDERS’ EQUITY
Short-term debt$414.2 $42.4 $456.6 
Long-term debt209.8 14.3 224.1 
Mezzanine equity - convertible notes45.8 (45.8)— 
Additional paid-in capital70,265.5 (82.3)70,183.2 
Accumulated deficit$(69,393.7)$71.4 $(69,322.3)
The following table presents the impact of the standard adoption to select line items of the Company’s Consolidated Statement of Operations for the three months ended October 3, 2020 (in millions, except per-share data):
Three Months Ended October 3, 2020
As ReportedAdjustmentAs Adjusted
Interest Expense$(9.0)$5.4 $(3.6)
Net income$14.3 $5.4 $19.7 
Net income per share:
Basic$0.06 $0.03 $0.09 
Diluted$0.06 $0.02 $0.08 
Shares used in per-share calculation:
Basic228.80.00228.8
Diluted231.80.00231.8