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Subsequent Events
3 Months Ended
Sep. 28, 2025
Subsequent Events [Abstract]  
Subsequent Events Subsequent Events
Emergence from Bankruptcy
As discussed in Note 1, "Basis of Presentation and New Accounting Standards," the Company emerged from chapter 11 on September 29, 2025, when the conditions to the effectiveness of the Plan were satisfied or waived and the Plan became effective.
In connection with the Company's emergence from bankruptcy and in accordance with ASC 852, the Company expects to qualify for and adopted fresh start accounting on the Effective Date. The Company expects to qualify for fresh start accounting because (i) the holders of Old Common Stock received less than 50% of the New Common Stock, and (ii) the reorganization value of the assets immediately prior to confirmation of the Plan was less than the post-petition liabilities and allowed claims.
In accordance with ASC 852, with the application of fresh start accounting, the Company will allocate the reorganization value to its individual assets and liabilities based on their estimated fair values in conformity with ASC Topic 805, Business Combinations. The reorganization value represents the fair value of the Company's assets after the Effective Date and before considering liabilities. As a result of the application of fresh start accounting and the effects of the implementation of the Plan, the consolidated financial statements after September 29, 2025 will not be comparable with the consolidated financial statements as of or prior to that date.
Delaware Corporation
As discussed in Note 1, "Basis of Presentation and New Accounting Standards," at the Conversion Effective Time, the Company effected a conversion from a North Carolina corporation to a Delaware corporation and, in connection therewith, adopted a new certificate of incorporation, under which the Company is authorized to issue 350,000,000 shares of New Common Stock and 100,000,000 shares of preferred stock, and new bylaws, each of which became effective at the Conversion Effective Time.