XML 23 R12.htm IDEA: XBRL DOCUMENT
v3.20.2

Equity Earnings of Joint Ventures | 3 Months Ended
--- | ---
Sep. 27, 2020
Equity Method Investments And Joint Ventures [Abstract] |
Equity Earnings of Joint Ventures | Equity Earnings of Joint Ventures As discussed above under Investment in Joint Ventures and Majority Owned Subsidiaries, we hold a one-third interest in a joint venture company, VAST LLC. Our investment in VAST LLC, for which we exercise significant influence but do not control and is not a variable interest entity of STRATTEC, is accounted for using the equity method. The results of the VAST LLC foreign subsidiaries and joint ventures are reported on a one-month lag basis. We assess the impairment of equity investments whenever events or changes in circumstances indicate that a decrease in value of the investment has occurred that is other than temporary. The following are summarized statements of operations for VAST LLC (in thousands):
|  | Three Months Ended |
|  | September 27, 2020 |  |  | September 29, 2019 |
Net Sales |  | $ | 50,411 |  |  | $ | 42,567 |
Cost of Goods Sold |  |  | 40,591 |  |  |  | 34,658 |
Gross Profit |  |  | 9,820 |  |  |  | 7,909 |
Engineering, Selling and Administrative Expenses |  |  | 6,603 |  |  |  | 6,681 |
Income From Operations |  |  | 3,217 |  |  |  | 1,228 |
Other (Expense) Income, net |  |  | (149 | ) |  |  | 860 |
Income before Provision for Income Taxes |  |  | 3,068 |  |  |  | 2,088 |
Provision for Income Taxes |  |  | 592 |  |  |  | 628 |
Net Income |  | $ | 2,476 |  |  | $ | 1,460 |
STRATTEC’s Equity Earnings of VAST LLC |  | $ | 825 |  |  | $ | 487 |
We have sales of component parts to VAST LLC, purchases of component parts from VAST LLC, expenses charged to VAST LLC for engineering and accounting services and expenses charged to us from VAST LLC for general headquarters expenses. The following table summarizes these related party transactions with VAST LLC for the periods indicated below (in thousands):
|  | Three Months Ended |  |
|  | September 27, 2020 |  |  | September 29, 2019 |  |
Sales to VAST LLC |  | $ | 1,216 |  |  | $ | 891 |  |
Purchases from VAST LLC |  | $ | 187 |  |  | $ | 97 |  |
Expenses Charged to VAST LLC |  | $ | 507 |  |  | $ | 831 |  |
Expenses Charged from VAST LLC |  | $ | 292 |  |  | $ | 226 |  |

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

X
- Definition The entire disclosure for equity method investments and joint ventures. Equity method investments are investments that give the investor the ability to exercise significant influence over the operating and financial policies of an investee. Joint ventures are entities owned and operated by a small group of businesses as a separate and specific business or project for the mutual benefit of the members of the group. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 323 -URI http://asc.fasb.org/topic&trid=2196965 + Details
Name: | us-gaap_EquityMethodInvestmentsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration