XML 32 R23.htm IDEA: XBRL DOCUMENT
v3.24.1.u1

Discontinued Operations (Tables) | 3 Months Ended
--- | ---
Mar. 31, 2024
Discontinued Operations and Disposal Groups [Abstract] |
Summary of Details of Earnings (Loss), Asset and Liabilities, Significant Non-Cash Operating Activities and Capital Expenditures from Discontinued Operations | Details of earnings (loss) from discontinued operations included in our condensed consolidated statement of operations are as follows (in thousands):
|  | For the Three Months Ended March 31, |
|  | 2024 |  |  | 2023 |
Net Sales |  |  |  |  |  |
Third party, net |  | $ | 93,824 |  |  | $ | 104,918 |
Related party, net |  |  | — |  |  |  | 103 |
Total Net Sales |  |  | 93,824 |  |  |  | 105,021 |
Cost of products sold, excluding intangible asset amortization |  |  | (28,441 | ) |  |  | (27,842 | )
Related party cost of products sold, excluding intangible asset amortization |  |  | — |  |  |  | (97 | )
Intangible asset amortization |  |  | — |  |  |  | (13,715 | )
Research and development |  |  | (6,654 | ) |  |  | (8,168 | )
Selling, general and administrative |  |  | (54,121 | ) |  |  | (60,995 | )
Restructuring and other cost reduction initiatives |  |  | (1,851 | ) |  |  | (3,802 | )
Acquisition, integration, divestiture and related |  |  | (6,373 | ) |  |  | (341 | )
Other expense, net |  |  | (344 | ) |  |  | (876 | )
Interest expense, net (1) |  |  | (5,294 | ) |  |  | (3,891 | )
Loss from discontinued operations before income taxes |  |  | (9,254 | ) |  |  | (14,706 | )
Adjustment of spine disposal group to fair value (2) |  |  | 11,143 |  |  |  | — |
Benefit for income taxes from discontinued operations |  |  | 1,833 |  |  |  | 1,107 |
Earnings (loss) from discontinued operations, net of tax |  | $ | 3,722 |  |  | $ | (13,599 | )
(1) A portion of the interest on our Term Loan (as defined and described in Note 8) has been allocated to discontinued operations consistent with the amount of proceeds used to repay a portion of the amounts outstanding under our Term Loan in accordance with our Credit Agreement (as defined and described in Note 8). (2) We performed an impairment analysis of the spine segment in December 2023 on a held-for-sale basis. The fair value of consideration to be received upon closure of the transaction was less than the carrying value of the spine segment's net assets resulting in a write-down of $289.5 million. We updated our analysis as of March 31, 2024, which resulted in a reduction of the December 2023 write-down of $11.1 million. Details of assets and liabilities of discontinued operations are as follows (in thousands):
|  | As of |
|  | March 31, 2024 |  |  | December 31, 2023 |
Cash and cash equivalents |  | $ | 25,056 |  |  | $ | 16,257 |
Accounts receivable, less allowance for credit losses |  |  | 84,622 |  |  |  | 83,871 |
Inventories |  |  | 125,115 |  |  |  | 130,430 |
Prepaid expenses and other current assets |  |  | 13,522 |  |  |  | 12,215 |
Total Current Assets of Discontinued Operations |  |  | 248,315 |  |  |  | 242,773 |
Property, plant and equipment, net |  |  | 63,488 |  |  |  | 62,692 |
Intangible assets, net |  |  | 468,008 |  |  |  | 477,110 |
Other assets |  |  | 14,311 |  |  |  | 14,743 |
Total Noncurrent Assets of Discontinued Operations |  |  | 545,807 |  |  |  | 554,545 |
Accounts payable |  | $ | 22,547 |  |  | $ | 24,186 |
Income taxes payable |  |  | 512 |  |  |  | 410 |
Other current liabilities |  |  | 45,820 |  |  |  | 51,262 |
Total Current Liabilities of Discontinued Operations |  |  | 68,879 |  |  |  | 75,858 |
Deferred income taxes |  |  | 83,712 |  |  |  | 86,037 |
Lease liability |  |  | 7,102 |  |  |  | 8,032 |
Other long-term liabilities |  |  | 1,460 |  |  |  | 972 |
Total Noncurrent Liabilities of Discontinued Operations |  | $ | 92,274 |  |  | $ | 95,041 |
Adjustment of spine disposal group to fair value (1) |  |  | (278,313 | ) |  |  | (289,456 | )
(1) This adjustment is reflected in Noncurrent assets of discontinued operations in the condensed consolidated balance sheets. Cash flows attributable to our discontinued operations are included on our condensed consolidated statements of cash flows. Significant non-cash operating and investing activities attributable to discontinued operations consisted of the following (in thousands):
|  | For the Three Months Ended March 31, |
|  | 2024 |  |  | 2023 |
Depreciation and amortization |  | $ | — |  |  | $ | 24,003 |
Share-based compensation |  |  | 712 |  |  |  | 617 |
Adjustment of spine disposal group to fair value |  |  | 11,143 |  |  |  | — |
Additions to instruments |  |  | 1,316 |  |  |  | 1,951 |
Additions to other property, plant & equipment |  |  | 88 |  |  |  | 795 |

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

X
- Definition Tabular disclosure of information related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section 50 -Paragraph 3 -SubTopic 10 -Topic 360 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482099/360-10-50-3 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 45 -Paragraph 11 -Publisher FASB -URI https://asc.fasb.org//1943274/2147483475/205-20-45-11 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 3A -Publisher FASB -URI https://asc.fasb.org//1943274/2147483499/205-20-50-3A Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 4A -Publisher FASB -URI https://asc.fasb.org//1943274/2147483499/205-20-50-4A Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 4B -Publisher FASB -URI https://asc.fasb.org//1943274/2147483499/205-20-50-4B Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 5A -Publisher FASB -URI https://asc.fasb.org//1943274/2147483499/205-20-50-5A Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 5B -Publisher FASB -URI https://asc.fasb.org//1943274/2147483499/205-20-50-5B Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 5C -Publisher FASB -URI https://asc.fasb.org//1943274/2147483499/205-20-50-5C Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 5D -Publisher FASB -URI https://asc.fasb.org//1943274/2147483499/205-20-50-5D Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 7 -Publisher FASB -URI https://asc.fasb.org//1943274/2147483499/205-20-50-7 Reference 11: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 360 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 3A -Publisher FASB -URI https://asc.fasb.org//1943274/2147482099/360-10-50-3A Reference 12: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section 50 -Paragraph 1 -SubTopic 20 -Topic 205 -Publisher FASB -URI https://asc.fasb.org//1943274/2147483499/205-20-50-1 Reference 13: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -Section 50 -Paragraph 3 -Publisher FASB -URI https://asc.fasb.org//1943274/2147483499/205-20-50-3 + Details
Name: | us-gaap_ScheduleOfDisposalGroupsIncludingDiscontinuedOperationsIncomeStatementBalanceSheetAndAdditionalDisclosuresTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration