XML 72 R22.htm IDEA: XBRL DOCUMENT v2.4.0.8
Acquisition
 9 Months Ended
Sep. 30, 2013
Business Combinations [Abstract]  
Acquisitions

Note 15 – Acquisition

On June 3, 2013, the Company acquired all of the outstanding common stock of Suntron Corporation (Suntron), an electronics manufacturing services (EMS) company headquartered in Phoenix, Arizona (the Acquisition) for $19.3 million in cash, subject to a final purchase price adjustment in accordance with the acquisition agreement. The Acquisition added two manufacturing facilities: Tijuana, Mexico and Phoenix, Arizona. The Acquisition strengthened the Company's capabilities and global reach to better serve customers in the aerospace and defense industries.

 

The preliminary allocation of the Acquisition's net purchase price resulted in no goodwill. The final allocation of the purchase price, which the Company expects to complete as soon as practical but no later than one year from the acquisition date, may differ from the amounts included in these financial statements. Management does not expect the adjustments resulting from the purchase price allocation, if any, to have a material effect on the Company's financial position or results of operations.

 

The following is an estimate of the purchase price for Suntron and the preliminary purchase price allocation (in thousands):

Purchase price paid$ 19,332
Cash acquired  (62)
Purchase price, net of cash received$ 19,270
   
Acquisition-related costs (included in restructuring charges and integration   
and acquisition-related costs for the nine months ended September 30, 2013)$ 286
   
Recognized amounts of identifiable assets acquired and liabilities assumed:  
Cash$ 62
Accounts receivable  11,561
Inventories  14,747
Other current assets  1,072
Property, plant and equipment  1,869
Other assets  255
Deferred income taxes  3,832
Current liabilities  (13,785)
Other long-term liabilities  (281)
Total identifiable net assets$ 19,332

Suntron's results of operations were included in the Company's condensed consolidated statement of income beginning on June 3, 2013 which amounted to approximately $27.3 million in revenue for the nine months ended September 30, 2013. Suntron's net income during the nine months ended September 30, 2013 was not significant to the consolidated operating results of the Company. The following summary pro forma condensed consolidated financial information reflects the Acquisition as if it had occurred on January 1, 2012 for purposes of the statements of income. This summary pro forma information is not necessarily representative of what the Company's results of operations would have been had the Acquisition in fact occurred on January 1, 2012 and is not intended to project the Company's results of operations for any future period.

   Nine Months Ended
    September 30,
(in thousands, except per share data) 2013 2012
Net sales$1,783,138$1,904,352
Net income$36,491$27,734