GUARANTOR UNAUDITED CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Tables)

9 Months Ended

Sep. 29, 2018

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Condensed Consolidating Balance Sheets (unaudited)

As of September 29, 2018

(dollars in thousands)



	Parent		Subsidiary Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—	$	70,518	$	19,755	$	33,625	$	—		$	123,898
Accounts receivable, net	—		235,167		38,986		19,336		—			293,489
Intercompany receivable	—		131,518		123,104		47,869		(302,491		)	—
Finished goods inventories	—		385,969		261,141		78,694		(32,819		)	692,985
Prepaid expenses and other current assets	—		21,690		23,431		11,879		—			57,000
Total current assets	—		844,862		466,417		191,403		(335,310		)	1,167,372
Property, plant, and equipment, net	—		137,709		185,203		37,806		—			360,718
Goodwill	—		136,570		45,368		47,673		—			229,611
Tradenames, net	—		223,117		142,637		—		—			365,754
Customer relationships, net	—		—		42,614		2,911		—			45,525
Other assets	—		25,422		1,690		1,854		—			28,966
Intercompany long-term receivable	—		—		490,514		—		(490,514		)	—
Intercompany long-term note receivable	—		100,000		—		—		(100,000		)	—
Investment in subsidiaries	811,185		1,117,864		283,169		—		(2,212,218		)	—
Total assets	$	811,185	$	2,585,544	$	1,657,612	$	281,647	$	(3,138,042	)	$	2,197,946

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$	—	$	121,721	$	45,351	$	18,213	$	—		$	185,285
Intercompany payables	—		164,290		132,713		5,488		(302,491		)	—
Other current liabilities	—		40,703		75,358		16,960		—			133,021
Total current liabilities	—		326,714		253,422		40,661		(302,491		)	318,306

Long-term debt	—		798,020		—		—		—			798,020
Deferred income taxes	—		45,480		41,820		588		—			87,888
Intercompany long-term liability	—		490,514		—		—		(490,514		)	—
Intercompany long-term note payable	—		—		100,000		—		(100,000		)	—
Other long-term liabilities	—		80,812		88,860		12,875		—			182,547
Stockholders' equity	811,185		844,004		1,173,510		227,523		(2,245,037		)	811,185
Total liabilities and stockholders' equity	$	811,185	$	2,585,544	$	1,657,612	$	281,647	$	(3,138,042	)	$	2,197,946

As of December 30, 2017

(dollars in thousands)



	Parent		Subsidiary Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—	$	129,463	$	10,030	$	39,001	$	—		$	178,494
Accounts receivable, net	—		182,944		40,286		17,331		—			240,561
Intercompany receivable	—		87,702		162,007		58,980		(308,689		)	—
Finished goods inventories	—		296,065		206,556		66,569		(20,468		)	548,722
Prepaid expenses and other current assets	—		17,012		21,354		14,569		—			52,935
Total current assets	—		713,186		440,233		196,450		(329,157		)	1,020,712
Property, plant, and equipment, net	—		147,858		189,511		40,555		—			377,924
Goodwill	—		136,570		45,368		48,486		—			230,424
Tradenames, net	—		223,251		142,300		—		—			365,551
Customer relationships, net	—		—		44,996		3,000		—			47,996
Other assets	—		23,884		2,392		2,159		—			28,435
Intercompany long-term receivable	—		—		441,294		—		(441,294		)	—
Intercompany long-term note receivable	—		100,000		—		—		(100,000		)	—
Investment in subsidiaries	857,416		1,053,224		231,994		—		(2,142,634		)	—
Total assets	$	857,416	$	2,397,973	$	1,538,088	$	290,650	$	(3,013,085	)	$	2,071,042

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$	—	$	115,658	$	49,313	$	17,143	$	—		$	182,114
Intercompany payables	—		215,573		91,697		1,419		(308,689		)	—
Other current liabilities	—		11,805		122,989		14,340		—			149,134
Total current liabilities	—		343,036		263,999		32,902		(308,689		)	331,248

Long-term debt	—		617,306		—		—		—			617,306
Deferred income taxes	—		46,619		37,647		678		—			84,944
Intercompany long-term liability	—		441,294		—		—		(441,294		)	—
Intercompany long-term note payable	—		—		100,000		—		(100,000		)	—
Other long-term liabilities	—		71,834		92,570		15,724		—			180,128
Stockholders' equity	857,416		877,884		1,043,872		241,346		(2,163,102		)	857,416
Total liabilities and stockholders' equity	$	857,416	$	2,397,973	$	1,538,088	$	290,650	$	(3,013,085	)	$	2,071,042

As of September 30, 2017

(dollars in thousands)



	Parent		Subsidiary Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—	$	56,715	$	17,771	$	30,884	$	—		$	105,370
Accounts receivable, net	—		229,425		37,165		19,061		—			285,651
Intercompany receivable	—		113,950		114,420		35,964		(264,334		)	—
Finished goods inventories	—		311,260		245,934		74,631		(21,829		)	609,996
Prepaid expenses and other current assets	—		18,339		22,342		10,275		—			50,956
Total current assets	—		729,689		437,632		170,815		(286,163		)	1,051,973
Property, plant, and equipment, net	—		149,889		192,065		40,060		—			382,014
Goodwill	—		136,570		48,566		49,057		—			234,193
Tradenames, net	—		223,295		142,300		—		—			365,595
Customer relationships, net	—		—		43,246		3,376		—			46,622
Other assets	—		23,274		1,533		1,732		—			26,539
Intercompany long-term receivable	—		—		411,787		—		(411,787		)	—
Intercompany long-term note receivable	—		100,000		—		—		(100,000		)	—
Investment in subsidiaries	771,831		983,575		204,093		—		(1,959,499		)	—
Total assets	$	771,831	$	2,346,292	$	1,481,222	$	265,040	$	(2,757,449	)	$	2,106,936

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$	—	$	120,892	$	54,334	$	18,652	$	—		$	193,878
Intercompany payables	—		148,416		111,972		3,946		(264,334		)	—
Other current liabilities	—		45,656		78,381		13,077		—			137,114
Total current liabilities	—		314,964		244,687		35,675		(264,334		)	330,992

Long-term debt	—		687,074		—		—		—			687,074
Deferred income taxes	—		70,290		66,972		899		—			138,161
Intercompany long-term liability	—		411,787		—		—		(411,787		)	—
Intercompany long-term note payable	—		—		100,000		—		(100,000		)	—
Other long-term liabilities	—		68,517		95,329		15,032		—			178,878
Stockholders' equity	771,831		793,660		974,234		213,434		(1,981,328		)	771,831
Total liabilities and stockholders' equity	$	771,831	$	2,346,292	$	1,481,222	$	265,040	$	(2,757,449	)	$	2,106,936

Condensed Consolidating Statements of Operations

Condensed Consolidating Statements of Operations (unaudited)

For the fiscal quarter ended September 29, 2018

(dollars in thousands)



	Parent			Subsidiary Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
Net sales	$	—		$	570,007		$	506,994		$	119,182		$	(272,276	)	$	923,907
Cost of goods sold	—			424,895			309,123			60,701			(258,262		)	536,457
Gross profit	—			145,112			197,871			58,481			(14,014		)	387,450
Royalty income, net	—			8,515			5,320			—			(3,611		)	10,224
Selling, general, and administrative expenses	—			53,008			214,036			34,888			(7,815		)	294,117
Operating income (loss)	—			100,619			(10,845		)	23,593			(9,810		)	103,557
Interest expense	—			9,866			1,329			—			(1,327		)	9,868
Interest income	—			(1,329		)	(2		)	(80		)	1,327			(84		)
(Income) loss in subsidiaries	(71,770		)	(6,446		)	(21,608		)	—			99,824			—
Other (income) expense, net	—			—			235			(301		)	—			(66		)
Income (loss) before income taxes	71,770			98,528			9,201			23,974			(109,634		)	93,839
Provision for income taxes	—			16,948			2,755			2,366			—			22,069
Net income (loss)	$	71,770		$	81,580		$	6,446		$	21,608		$	(109,634	)	$	71,770

For the fiscal quarter ended September 30, 2017

(dollars in thousands)



	Parent			Subsidiary Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
Net sales	$	—		$	587,022		$	506,272		$	106,105		$	(251,353	)	$	948,046
Cost of goods sold	—			423,433			297,858			59,500			(236,323		)	544,468
Gross profit	—			163,589			208,414			46,605			(15,030		)	403,578
Royalty income, net	—			8,245			5,501			—			(3,396		)	10,350
Selling, general, and administrative expenses	—			49,368			210,175			32,704			(8,767		)	283,480
Operating income	—			122,466			3,740			13,901			(9,659		)	130,448
Interest expense	—			8,013			1,375			—			(1,327		)	8,061
Interest income	—			(1,330		)	—			(38		)	1,327			(41		)
(Income) loss in subsidiaries	(82,316		)	(4,555		)	(11,037		)	—			97,908			—
Other (income) expense, net	—			(120		)	123			(818		)	—			(815		)
Income (loss) before income taxes	82,316			120,458			13,279			14,757			(107,567		)	123,243
Provision for income taxes	—			28,483			8,724			3,720			—			40,927
Net income (loss)	$	82,316		$	91,975		$	4,555		$	11,037		$	(107,567	)	$	82,316

For the three fiscal quarters ended September 29, 2018

(dollars in thousands)



	Parent			Subsidiary Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
Net sales	$	—		$	1,376,806		$	1,379,293		$	298,148		$	(678,357	)	$	2,375,890
Cost of goods sold	—			1,028,751			820,721			147,498			(650,965		)	1,346,005
Gross profit	—			348,055			558,572			150,650			(27,392		)	1,029,885
Royalty income, net	—			24,043			13,739			—			(9,209		)	28,573
Selling, general, and administrative expenses	—			137,246			626,125			98,500			(24,250		)	837,621
Operating income (loss)	—			234,852			(53,814		)	52,150			(12,351		)	220,837
Interest expense	—			25,778			3,983			10			(3,981		)	25,790
Interest income	—			(3,999		)	(2		)	(454		)	3,981			(474		)
(Income) loss in subsidiaries	(151,506		)	14,593			(45,032		)	—			181,945			—
Other expense, net	—			19			360			149			—			528
Income (loss) before income taxes	151,506			198,461			(13,123		)	52,445			(194,296		)	194,993
Provision for income taxes	—			34,604			1,470			7,413			—			43,487
Net income (loss)	$	151,506		$	163,857		$	(14,593	)	$	45,032		$	(194,296	)	$	151,506

For the three fiscal quarters ended September 30, 2017

(dollars in thousands)



	Parent			Subsidiary Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
Net sales	$	—		$	1,393,351		$	1,337,078		$	239,022		$	(596,827	)	$	2,372,624
Cost of goods sold	—			1,014,968			783,973			133,948			(582,782		)	1,350,107
Gross profit	—			378,383			553,105			105,074			(14,045		)	1,022,517
Royalty income, net	—			25,580			14,508			—			(7,970		)	32,118
Selling, general, and administrative expenses	—			128,595			593,544			85,267			(25,986		)	781,420
Operating income (loss)	—			275,368			(25,931		)	19,807			3,971			273,215
Interest expense	—			22,124			4,121			95			(3,981		)	22,359
Interest income	—			(4,169		)	—			(71		)	3,981			(259		)
(Income) loss in subsidiaries	(166,703		)	23,699			(15,395		)	—			158,399			—
Other (income) expense, net	—			(745		)	771			(1,606		)	—			(1,580		)
Income (loss) before income taxes	166,703			234,459			(15,428		)	21,389			(154,428		)	252,695
Provision for income taxes	—			71,727			8,271			5,994			—			85,992
Net income (loss)	$	166,703		$	162,732		$	(23,699	)	$	15,395		$	(154,428	)	$	166,703

Condensed Consolidating Statements of Comprehensive Income

Condensed Consolidating Statements of Comprehensive Income (unaudited)

For the fiscal quarter ended September 29, 2018

(dollars in thousands)



	Parent		Subsidiary Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments			Consolidated
Net income (loss)	$	71,770	$	81,580	$	6,446	$	21,608	$	(109,634	)	$	71,770
Foreign currency translation adjustments	3,213		3,213		3,213		3,213		(9,639		)	3,213
Comprehensive income (loss)	$	74,983	$	84,793	$	9,659	$	24,821	$	(119,273	)	$	74,983

For the fiscal quarter ended September 30, 2017

(dollars in thousands)



	Parent		Subsidiary Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidating Adjustments			Consolidated
Net income (loss)	$	82,316	$	91,975	$	4,555	$	11,037	$	(107,567	)	$	82,316
Foreign currency translation adjustments	4,157		4,157		4,157		4,157		(12,471		)	4,157
Comprehensive income (loss)	$	86,473	$	96,132	$	8,712	$	15,194	$	(120,038	)	$	86,473

For the three fiscal quarters ended September 29, 2018

(dollars in thousands)



	Parent			Subsidiary Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
Net income (loss)	$	151,506		$	163,857		$	(14,593	)	$	45,032		$	(194,296	)	$	151,506
Foreign currency translation adjustments	(3,225		)	(3,225		)	(3,225		)	(3,225		)	9,675			(3,225		)
Comprehensive income (loss)	$	148,281		$	160,632		$	(17,818	)	$	41,807		$	(184,621	)	$	148,281

For the three fiscal quarters ended September 30, 2017

(dollars in thousands)



	Parent		Subsidiary Issuer		Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Consolidating Adjustments			Consolidated
Net income (loss)	$	166,703	$	162,732	$	(23,699	)	$	15,395	$	(154,428	)	$	166,703
Foreign currency translation adjustments	8,244		8,244		8,244			8,244		(24,732		)	8,244
Comprehensive income (loss)	$	174,947	$	170,976	$	(15,455	)	$	23,639	$	(179,160	)	$	174,947

Condensed Consolidating Statements of Cash Flows

Condensed Consolidating Statements of Cash Flows (unaudited)

For the three fiscal quarters ended September 29, 2018

(dollars in thousands)



	Parent			Subsidiary Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
Cash flows (used in) provided by operating activities:	$	—		$	(11,296	)	$	(16,349	)	$	49,003		$	—		$	21,358

Cash flows from investing activities:
Capital expenditures	—			(13,121		)	(30,056		)	(4,667		)	—			(47,844		)
Intercompany investing activity	206,622			(2,116		)	3,024			1,077			(208,607		)	—
Acquisitions of businesses, net of cash acquired	—			—			—			96			—			96
Disposals and recoveries from property, plant, and equipment	—			—			369			7			—			376
Net cash provided by (used in) investing activities	206,622			(15,237		)	(26,663		)	(3,487		)	(208,607		)	(47,372		)

Cash flows from financing activities:
Intercompany financing activity	—			(211,522		)	(12,263		)	15,178			208,607			—
Payment of debt issuance costs	—			(890		)	—			—			—			(890		)
Borrowings under secured revolving credit facility	—			290,000			—			—			—			290,000
Payments on secured revolving credit facility	—			(110,000		)	—			—			—			(110,000		)
Dividends paid	(63,114		)	—			65,000			(65,000		)	—			(63,114		)
Repurchases of common stock	(145,493		)	—			—			—			—			(145,493		)
Withholdings from vestings of restricted stock	(6,747		)	—			—			—			—			(6,747		)
Proceeds from exercises of stock options	8,732			—			—			—			—			8,732
Net cash (used in) provided by financing activities	(206,622		)	(32,412		)	52,737			(49,822		)	208,607			(27,512		)
Effect of exchange rate changes on cash	—			—			—			(1,070		)	—			(1,070		)
Net (decrease) increase in cash and cash equivalents	—			(58,945		)	9,725			(5,376		)	—			(54,596		)
Cash and cash equivalents, beginning of period	—			129,463			10,030			39,001			—			178,494
Cash and cash equivalents, end of period	$	—		$	70,518		$	19,755		$	33,625		$	—		$	123,898

For the three fiscal quarters ended September 30, 2017

(dollars in thousands)



	Parent			Subsidiary Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Consolidating Adjustments			Consolidated
Cash flows provided by operating activities:	$	—		$	53,299		$	54,934		$	9,273		$	—		$	117,506

Cash flows from investing activities:
Capital expenditures	—			(16,678		)	(28,867		)	(6,111		)	—			(51,656		)
Intercompany investing activity	204,931			(510		)	—			—			(204,421		)	—
Acquisition of business, net of cash acquired	—			(144,520		)	746			(15,591		)	—			(159,365		)
Net cash provided by (used in) investing activities	204,931			(161,708		)	(28,121		)	(21,702		)	(204,421		)	(211,021		)

Cash flows from financing activities:
Intercompany financing activity	—			(186,794		)	(20,859		)	3,232			204,421			—
Payment of debt issuance costs	—			(2,138		)	—			—			—			(2,138		)
Borrowings under secured revolving credit facility	—			200,000			—			—			—			200,000
Payments on secured revolving credit facility	—			(75,000		)	—			(18,965		)	—			(93,965		)
Dividends paid	(53,443		)	—			—			—			—			(53,443		)
Repurchases of common stock	(150,974		)	—			—			—			—			(150,974		)
Withholdings from vestings of restricted stock	(5,654		)	—			—			—			—			(5,654		)
Proceeds from exercises of stock options	5,140			—			—			—			—			5,140
Net cash (used in) provided by financing activities	(204,931		)	(63,932		)	(20,859		)	(15,733		)	204,421			(101,034		)
Effect of exchange rate changes on cash	—			—			—			561			—			561
Net (decrease) increase in cash and cash equivalents	—			(172,341		)	5,954			(27,601		)	—			(193,988		)
Cash and cash equivalents, beginning of period	—			229,056			11,817			58,485			—			299,358
Cash and cash equivalents, end of period	$	—		$	56,715		$	17,771		$	30,884		$	—		$	105,370