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Acquisitions and Divestitures (Tables) | 6 Months Ended
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Jul. 01, 2023
Business Combination and Asset Acquisition [Abstract] |
Schedule of Business Acquisitions by Acquisition, Contingent Consideration | The total preliminary fair market value of consideration is approximately $503.7 million, which is allocated as follows:
| Kimball International Shares |  | HNI Shares Exchanged |  | Fair Value |  |
Cash Consideration: |  |  |  |  |  |  |
Shares of Kimball International stock issued and outstanding as of June 1, 2023 | 36.4 |  |  |  | $ | 327.8 |  |  |
Kimball International equivalent shares | 0.2 |  |  |  | 2.3 |  |  |
Total number of Kimball International shares for cash consideration | 36.6 |  |  |  | 330.0 |  |  |
Consideration for payment to settle Kimball International's outstanding debt |  |  |  |  | 50.2 |  |  |
Share Consideration: |  |  |  |  |  |  |
Shares of Kimball International stock issued and outstanding as of June 1, 2023 | 36.4 |  | 4.7 |  | 120.8 |  |  |
Replacement Share-Based Awards: |  |  |  |  |  |  |
Outstanding awards of Kimball International restricted stock units relating to Kimball International Common Stock as of June 1, 2023 | 0.5 |  | 0.2 |  | 2.6 |  |  |
Total preliminary acquisition date fair value of purchase consideration |  |  |  |  | $ | 503.7 |  |  |
Schedule of Assets and Liabilities Held For Sale in the Condensed Consolidated Balance Sheets | The preliminary purchase price allocation of identifiable tangible and intangible assets and liabilities as of the date of acquisition is as follows:
| Fair Value
Assets |
Cash and cash equivalents | $ | 10.5 |
Short-term investments | 4.2 |
Receivables | 46.1 |
Inventories, net | 52.3 |
Prepaid expenses and other current assets | 13.3 |
Assets held for sale | 17.5 |
Property, plant, and equipment | 218.4 |
Right-of-use operating leases | 16.0 |
Goodwill | 187.3 |
Intangible assets | 88.0 |
Other assets | 12.2 |
Total Assets | $ | 665.9 |
Liabilities |
Accounts payable and accrued expenses | $ | 91.2 |
Current lease obligations - operating | 5.8 |
Liabilities held for sale | 14.4 |
Long-term lease obligations - operating | 16.2 |
Other long-term liabilities | 13.3 |
Deferred income taxes | 21.3 |
Total Liabilities | $ | 162.2 |
Net Assets and Liabilities | $ | 503.7 |
The following table summarizes the acquired identified intangible assets and weighted average useful lives:
Category |  | Weighted-average useful life |  | Fair Value
Software |  | 3 years |  | $ | 13.9 |
Customer lists and other |  | 10 years |  | 40.7 |
Acquired technology |  | 16 years |  | 14.9 |
Trademarks and trade names |  | 16 years |  | 18.5 |
Total intangible assets |  |  |  | $ | 88.0 |
The assets and liabilities of Lamex which were disposed of in conjunction with the sale are as follows:
| As of July 20, 2022
Assets: |
Cash and cash equivalents | $ | 5.5 |
Receivables | 20.1 |
Allowance for doubtful accounts | (0.5) |
Inventories, net | 6.9 |
Prepaid expenses and other current assets | 6.4 |
Buildings | 6.2 |
Machinery and equipment | 25.9 |
Accumulated depreciation | (17.0) |
Right-of-use - Operating Leases | 5.8 |
Goodwill and Other Intangible Assets, net | 10.9 |
Total Assets | $ | 70.4 |
Liabilities: |
Accounts payable and accrued expenses | $ | 36.1 |
Current lease obligations - Operating | 1.7 |
Long-Term Lease Obligations - Operating | 4.9 |
Deferred Income Taxes | 0.1 |
Total Liabilities | $ | 42.7 |
The following table summarizes assets and liabilities held for sale in the workplace furnishings segment in the "Condensed Consolidated Balance Sheets," by major class. In addition to Poppin assets and liabilities, the assets held for sale includes $1.4 million related to the pending sale of one of the Corporation's office buildings in Muscatine, Iowa. The long-lived asset balances are recorded at fair value, based on the expected sales price, less costs to sell.
|  | As of July 1, 2023 |  | As of December 31, 2022
Assets: |  |  |  |
Receivables |  | $ | 1.4 |  |  | $ | — |
Inventories |  | 11.9 |  |  | — |
Prepaid expenses and other current assets |  | 0.7 |  |  | — |
Property, plant & equipment |  | 3.1 |  |  | 1.9 |
Right-of-use operating leases |  | 1.8 |  |  | — |
Total Assets held for sale |  | $ | 18.9 |  |  | $ | 1.9 |
Liabilities: |  |  |  |
Accounts payable and accrued expenses |  | $ | 9.4 |  |  | $ | — |
Lease obligations - operating |  | 5.0 |  |  | — |
Total Liabilities held for sale |  | $ | 14.4 |  |  | $ | — |
Schedule of Business Acquisition, Pro Forma Information | This pro forma information is not necessarily reflective of what the Corporation's results would have been had the acquisition occurred on the date indicated, nor is it indicative of future results.
| Three Months Ended |  | Six Months Ended
| July 1, 2023 |  | July 2, 2022 |  | July 1, 2023 |  | July 2, 2022
Net sales | $ | 666.3 |  |  | $ | 793.3 |  |  | $ | 1,306.6 |  |  | $ | 1,541.7 |
Net income | $ | 11.2 |  |  | $ | 32.2 |  |  | $ | 15.4 |  |  | $ | 22.9 |

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