XML 23 R17.htm IDEA: XBRL DOCUMENT
v3.24.3

Derivative Instruments & Hedging Activities | 9 Months Ended
--- | ---
Sep. 28, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
DERIVATIVE INSTRUMENTS & HEDGING ACTIVITIES | 8. DERIVATIVE INSTRUMENTS & HEDGING ACTIVITIES The Company addresses certain financial exposures through a controlled program of risk management that includes the use of derivative financial instruments and hedging activities. The fair value of the Company’s derivative financial instruments included in the Consolidated Balance Sheets is presented as follows:
| Asset Derivatives |  |  | Liability Derivatives |
| Balance Sheet |  | Fair Value (1) |  | Fair Value (1) |  |  | Balance Sheet |  | Fair Value (1) |  | Fair Value (1) |
| Location |  | September 28, 2024 |  | December 30, 2023 |  |  | Location |  | September 28, 2024 |  | December 30, 2023 |
Derivatives designated as hedging instruments: |  |  |  |  |  |  |  |
Interest rate swap contracts | Other assets |  | $ | — |  | $ | 6.7 |  |  | Other non-current liabilities |  | $ | — |  | $ | — |
Derivatives not designated as hedging instruments: |  |  |  |  |  |  |  |
Forward foreign exchange contracts | Other current assets |  |  | — |  |  | — |  |  | Other current liabilities |  |  | — |  |  | — |
Forward foreign exchange contracts | Other assets |  |  | — |  |  | — |  |  | Other non-current liabilities |  |  | — |  |  | — |
Total derivatives |  |  | $ | — |  | $ | 6.7 |  |  |  |  | $ | — |  | $ | — |
(1) See Note 4 for information regarding the inputs used in determining the fair value of derivative assets and liabilities. The amount of gains and losses related to the Company’s derivative financ ial instruments for the nine months ended September 28, 2024 and September 30, 2023, are presented as follows:
|  | Amount of Gain or (Loss) Recognized in Other Comprehensive Income on Derivatives (Effective Portion) |  |  | Location of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income | Amount of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income into Earnings (Effective Portion) |
|  | September 28, 2024 |  | September 30, 2023 |  |  | into Earnings (Effective Portion) |  | September 28, 2024 |  | September 30, 2023 |
Derivatives in cash flow hedging relationships: |  |  |  |  |  |  |  |
Interest rate swap contracts |  | $ | 0.5 |  | $ | 1.4 |  |  | Interest expense, net |  | $ | 3.6 |  | $ | 5.2 |
Interest ex pense presented in the Consolidated Statements of Operations, in which the effects of cash flow hedges are recorded, totaled $25.7 and $22.6 for the nine months ended September 28, 2024 and September 30, 2023, respectively.
|  | Amount of Gain or (Loss) Recognized in Earnings on Derivatives |  |  | Location of Gain or (Loss) Recognized
|  | September 28, 2024 |  | September 30, 2023 |  |  | in Earnings on Derivatives
Derivatives not designated as hedging instruments: |  |  |
Forward foreign exchange contracts |  | $ | — |  | $ | (0.1 | ) |  | Foreign currency transaction gain / loss, net
Interest Rate Swap Contracts Previously, the Company had entered into interest rate swap transactions to hedge the variable interest rate payments on its credit facilities. In connection with these transactions, the Company paid interest based upon a fixed rate as agreed upon with the respective counterparties and received variable rate interest payments. The interest rate swaps were designated as hedging instruments and were accounted for as cash flow h e dges. In June 2024, the Company's interest rate swap agreements were terminated in connection with the debt refinancing activities. Upon termination of these effective interest rate swaps designated as a cash flow hedges, the Company received proceeds of $7.1 which will be amortized from accumulated other comprehensive income into earnings as a reduction of interest expense over the period which the hedged forecasted transaction affects earnings. At September 28, 2024, the Company had no active interest rate swap agreements. Forward Foreign Exchange Contracts The Company had entered into forward contracts to economically hedge translational and transactional exposure associated with various business units whose local currency differs from the Company’s reporting currency. The Company’s forward contracts are not designated as hedging instruments for accounting purposes. At September 28, 2024, the Company had zero forward foreign exchange contracts. Net Investment Hedge The Company utilizes foreign currency denominated debt to hedge currency exposure in foreign operations. The Company has designated €90.0 of borrowings on the revolving credit facility as a net investment hedge of a portion of the Company’s European operations. This remained unchanged as part of the June 2024 debt refinancing. The carrying value of the euro denominated debt totaled $100.5 as of September 28, 2024, and is included in the Revolving lines of credit line item in the Consolidated Balance Sheets. The loss on the net investment hedge recorded in accumulated other comprehensive income as part of the currency translation adjustment was $0.8, net of tax, for the nine months ended September 28, 2024.

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

X
- Definition The entire disclosure for derivative instruments and hedging activities including, but not limited to, risk management strategies, non-hedging derivative instruments, assets, liabilities, revenue and expenses, and methodologies and assumptions used in determining the amounts. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 40 -Name Accounting Standards Codification -Section 50 -Paragraph 5 -Subparagraph (f) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480237/815-40-50-5 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 5C -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-5C Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 815 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/815/tableOfContent + Details
Name: | us-gaap_DerivativeInstrumentsAndHedgingActivitiesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration