INTEGER HOLDINGS CORP, 10-Q filed on 7/30/2020
Quarterly Report
v3.20.2
Cover - shares
 6 Months Ended
Jul. 03, 2020
Jul. 24, 2020
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Jul. 03, 2020  
Document Transition Report false  
Entity File Number 1-16137  
Entity Registrant Name INTEGER HOLDINGS CORPORATION  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 16-1531026  
Entity Address, Address Line One 5830 Granite Parkway,  
Entity Address, Address Line Two Suite 1150  
Entity Address, City or Town Plano,  
Entity Address, State or Province TX  
Entity Address, Postal Zip Code 75024  
City Area Code 214  
Local Phone Number 618-5243  
Title of 12(b) Security Common Stock, $0.001 par value per share  
Trading Symbol ITGR  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   32,848,950
Entity Central Index Key 0001114483  
Amendment Flag false  
Document Fiscal Year Focus 2020  
Document Fiscal Period Focus Q2  
Current Fiscal Year End Date --12-31  
v3.20.2
Condensed Consolidated Balance Sheets - Unaudited - USD ($)
$ in Thousands
Jul. 03, 2020
Dec. 31, 2019
Current assets:    
Cash and cash equivalents $ 206,244 $ 13,535
Accounts receivable, net of provision for credit losses of $2.2 million and allowance for doubtful accounts of $2.4 million, respectively 147,751 191,985
Inventories 172,458 167,256
Contract assets 37,389 24,767
Prepaid expenses and other current assets 15,660 17,852
Total current assets 579,502 415,395
Property, plant and equipment, net 247,646 246,185
Goodwill 844,972 839,617
Other intangible assets, net 762,434 775,784
Deferred income taxes 5,152 4,438
Operating lease assets 47,327 42,379
Other long-term assets 36,422 29,295
Total assets 2,523,455 2,353,093
Current liabilities:    
Current portion of long-term debt 37,500 37,500
Accounts payable 54,000 64,975
Income taxes payable 4,760 3,023
Operating lease liabilities 8,102 7,507
Accrued expenses and other current liabilities 49,286 66,073
Total current liabilities 153,648 179,078
Long-term debt 930,385 777,272
Deferred income taxes 187,300 187,978
Operating lease liabilities 40,552 37,114
Other long-term liabilities 30,169 19,163
Total liabilities 1,342,054 1,200,605
Commitments and contingencies (Note 10)
Stockholders’ equity:    
Common stock, $0.001 par value; 100,000,000 shares authorized; 32,847,017 shares issued; 32,838,552 and 32,700,471 shares outstanding, respectively 33 33
Additional paid-in capital 695,651 701,018
Treasury stock, at cost, 8,465 and 146,546 shares, respectively (509) (8,809)
Retained earnings 471,747 440,258
Accumulated other comprehensive income 14,479 19,988
Total stockholders’ equity 1,181,401 1,152,488
Total liabilities and stockholders’ equity 2,523,455 2,353,093
Accounts Receivable, Allowance for Credit Loss, Current $ 2,200 $ 2,400
Common Stock, Par or Stated Value Per Share $ 0.001 $ 0.001
Common Stock, Shares Authorized 100,000,000 100,000,000
Common stock, shares issued (in shares) 32,847,017 32,847,017
Common stock, shares outstanding (in shares) 32,838,552 32,700,471
Treasury stock, shares (in shares) 8,465 146,546
v3.20.2
Condensed Consolidated Balance Sheets - Unaudited (Parenthetical) - USD ($)
$ in Millions
Jul. 03, 2020
Dec. 31, 2019
Jun. 28, 2019
Dec. 28, 2018
Current assets:        
Allowance for doubtful accounts $ 2.2 $ 2.4    
Stockholders’ equity:        
Common stock, par value (in dollars per share) $ 0.001 $ 0.001    
Common stock, shares authorized (in shares) 100,000,000 100,000,000    
Common stock, shares issued (in shares) 32,847,017 32,847,017    
Common stock, shares outstanding (in shares) 32,838,552 32,700,471 32,640,614 32,473,167
Treasury stock, shares (in shares) 8,465 146,546    
v3.20.2
Condensed Consolidated Statements of Operations- Unaudited - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Income Statement [Abstract]        
Sales $ 240,115 $ 314,194 $ 568,541 $ 628,870
Cost of sales 182,252 217,210 413,976 443,276
Gross profit 57,863 96,984 154,565 185,594
Operating expenses:        
Selling, general and administrative expenses 33,903 33,143 70,360 68,099
Research, development and engineering costs 12,746 11,396 25,987 22,991
Other operating expenses 2,029 3,108 4,957 5,998
Total operating expenses 48,678 47,647 101,304 97,088
Operating income 9,185 49,337 53,261 88,506
Interest expense, net 9,273 13,612 19,634 27,442
(Gain) loss on equity investments, net 205 1,611 (1,720) 1,652
Other income, net (458) (718) (1,457) (552)
Income from continuing operations before taxes 165 34,832 36,804 59,964
Provision (benefit) for income taxes (224) 6,610 5,315 10,376
Income from continuing operations 389 28,222 31,489 49,588
Discontinued operations:        
Income from discontinued operations before taxes 0 4,930 0 5,316
Provision for income taxes 0 95 0 178
Income from discontinued operations 0 4,835 0 5,138
Net income $ 389 $ 33,057 $ 31,489 $ 54,726
Basic earnings per share:        
Income from continuing operations (in dollars per share) $ 0.01 $ 0.87 $ 0.96 $ 1.52
Income from discontinued operations (in dollars per share) 0 0.15 0 0.16
Basic earnings per share (in dollars per share) 0.01 1.01 0.96 1.68
Diluted earnings per share:        
Income from continuing operations (in dollars per share) 0.01 0.85 0.95 1.50
Income from discontinued operations (in dollars per share) 0 0.15 0 0.16
Diluted earnings per share (in dollars per share) $ 0.01 $ 1.00 $ 0.95 $ 1.66
Weighted average shares outstanding:        
Basic (in shares) 32,834 32,621 32,820 32,579
Diluted (in shares) 33,129 33,009 33,123 32,995
v3.20.2
Condensed Consolidated Statements of Comprehensive Income - Unaudited - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Statement of Comprehensive Income [Abstract]        
Net income $ 389 $ 33,057 $ 31,489 $ 54,726
Other comprehensive income (loss):        
Foreign currency translation gain (loss) 12,948 4,510 916 (2,328)
Change in fair value of cash flow hedges, net of tax 2,204 (4,043) (6,425) (4,745)
Other comprehensive income (loss), net of tax 15,152 467 (5,509) (7,073)
Comprehensive income, net of tax $ 15,541 $ 33,524 $ 25,980 $ 47,653
v3.20.2
Condensed Consolidated Statements of Cash Flows - Unaudited - USD ($)
$ in Thousands
 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Cash flows from operating activities:    
Net income (loss) $ 31,489 $ 54,726
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 39,074 38,535
Debt related charges included in interest expense 2,045 3,676
Stock-based compensation 3,242 5,433
Non-cash charges related to customer bankruptcy 567 0
Non-cash lease expense 3,875 3,750
Non-cash (gain) loss on equity investments (1,720) 1,652
Other non-cash (gains) losses 39 (311)
Deferred income taxes 39 (1,126)
Gain on sale of discontinued operations 0 (4,974)
Changes in operating assets and liabilities, net of acquisition:    
Accounts receivable 44,115 (30,545)
Inventories (5,933) 2,846
Prepaid expenses and other assets (16,564) (16,692)
Accounts payable (5,854) 16,289
Accrued expenses and other liabilities (18,195) (8,593)
Income taxes payable 1,735 2,884
Net cash provided by operating activities 77,954 67,550
Cash flows from investing activities:    
Acquisition of property, plant and equipment (26,680) (15,506)
Purchase of intangible asset (4,107) 0
Proceeds from sale of property, plant and equipment 52 5
Purchase of equity investments 0 (327)
Acquisitions, net (5,219) 0
Proceeds from sale of discontinued operations 0 4,734
Net cash used in investing activities (35,954) (11,094)
Cash flows from financing activities:    
Principal payments of long-term debt (18,750) (70,750)
Proceeds from senior secured revolving line of credit 185,000 15,000
Payments of senior secured revolving line of credit (15,000) (10,000)
Proceeds from the exercise of stock options 2,474 1,600
Tax withholdings related to net share settlements of restricted stock unit awards (2,779) (2,123)
Net cash provided by (used in) financing activities 150,945 (66,273)
Effect of foreign currency exchange rates on cash and cash equivalents (236) 170
Net increase (decrease) in cash and cash equivalents 192,709 (9,647)
Cash and cash equivalents, beginning of period 13,535 25,569
Cash and cash equivalents, end of period $ 206,244 $ 15,922
v3.20.2
Condensed Consolidated Statements of Stockholders' Equity - Unaudited - USD ($)
$ in Thousands
Total
Additional Paid-in Capital
Treasury Stock
Retained Earnings
Retained Earnings
Cumulative Effect, Period of Adoption, Adjustment
Accumulated Other Comprehensive Income (Loss)
Balance at Dec. 28, 2018 $ 1,060,493 $ 691,116 $ (8,125) $ 344,498 $ (576) $ 33,004
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Stock awards exercised or vested   1,132        
Stock-based compensation   5,433        
Treasury shares purchased     (2,905)      
Treasury shares reissued     465      
Net income 54,726     54,726    
Other comprehensive income (loss) (7,073)         (7,073)
Balance at Jun. 28, 2019 1,111,695 697,681 (10,565) 398,648   25,931
Balance at Mar. 29, 2019 1,075,972 694,943 (10,026) 365,591 0 25,464
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Stock awards exercised or vested   18        
Stock-based compensation   2,720        
Treasury shares purchased     (782)      
Treasury shares reissued     243      
Net income 33,057     33,057    
Other comprehensive income (loss) 467         467
Balance at Jun. 28, 2019 1,111,695 697,681 (10,565) 398,648   25,931
Balance at Dec. 31, 2019 1,152,488 701,051 (8,809) 440,258 0 19,988
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Stock awards exercised or vested   (8,609)        
Stock-based compensation   3,242        
Treasury shares purchased     0      
Treasury shares reissued     8,300      
Net income 31,489     31,489    
Other comprehensive income (loss) (5,509)         (5,509)
Balance at Jul. 03, 2020 1,181,401 695,684 (509) 471,747   14,479
Balance at Apr. 04, 2020 1,164,201 694,779 (1,263) 471,358 $ 0 (673)
Increase (Decrease) in Stockholders' Equity [Roll Forward]            
Stock awards exercised or vested   (599)        
Stock-based compensation   1,504        
Treasury shares purchased     0      
Treasury shares reissued     754      
Net income 389     389    
Other comprehensive income (loss) 15,152         15,152
Balance at Jul. 03, 2020 $ 1,181,401 $ 695,684 $ (509) $ 471,747   $ 14,479
v3.20.2
Basis of Presentation
 6 Months Ended
Jul. 03, 2020
Accounting Policies [Abstract]  
BASIS OF PRESENTATION BASIS OF PRESENTATION
Integer Holdings Corporation (together with its consolidated subsidiaries, “Integer” or the “Company”) is a publicly-traded corporation listed on the New York Stock Exchange under the symbol “ITGR.” Integer is one of the largest medical device outsource manufacturers in the world serving the cardiac, neuromodulation, vascular, orthopedics, advanced surgical and portable medical markets. The Company provides innovative, high-quality medical technologies that enhance the lives of patients worldwide. In addition, it develops batteries for high-end niche applications in the energy, military, and environmental markets. The Company’s reportable segments are: (1) Medical and (2) Non-Medical. The Company’s customers include large multi-national original equipment manufacturers (“OEMs”) and their affiliated subsidiaries.
On July 2, 2018, the Company completed the sale of the Advanced Surgical and Orthopedic product lines (the “AS&O Product Line”). The results of operations of the AS&O Product Line are reported as discontinued operations in the Condensed Consolidated Statements of Operations for all periods presented. The cash flows related to discontinued operations have not been segregated, and are included in the Condensed Consolidated Statements of Cash Flows. Unless otherwise noted specifically as discontinued operations, discussion within these notes to the Company’s condensed consolidated financial statements relates to continuing operations. See Note 16 “Discontinued Operations” for additional information related to discontinued operations.
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information (Accounting Standards Codification (“ASC”) 270, Interim Reporting) and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, these financial statements do not include all of the information necessary for a full presentation of financial position, results of operations, and cash flows in conformity with accounting principles generally accepted in the United States of America (“GAAP”). In the opinion of management, the condensed consolidated financial statements reflect all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation of the results of the Company for the periods presented. Intercompany transactions and balances have been fully eliminated in consolidation.
Operating results for interim periods are not necessarily indicative of results that may be expected for the fiscal year as a whole. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, certain components of equity, sales, expenses, and related disclosures at the date of the financial statements and during the reporting period. Actual results could differ materially from these estimates. For further information, refer to the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019.
The second quarter and first six months of 2020 ended on July 3, 2020 and consisted of 91 days and 185 days, respectively. The second quarter and first six months of 2019 ended on June 28, 2019 and consisted of 91 days and 182 days, respectively.
Supplier Financing Arrangements
Beginning in 2020, the Company began utilizing supplier financing arrangements with financial institutions to sell certain accounts receivable on a non-recourse basis. These transactions are treated as a sale of, and are accounted for as a reduction to, accounts receivable. The agreements transfer control and risk related to the receivables to the financial institutions. The Company has no continuing involvement in the transferred receivables subsequent to the sale. During the three and six months ended July 3, 2020, the Company sold and de-recognized accounts receivable and collected cash of $15.4 million and $30.9 million, respectively. The costs associated with the supplier financing arrangements were not material for the three and six months ended July 3, 2020.
Recent Accounting Pronouncements
The Company considers the applicability and impact of all Accounting Standard Updates (“ASU”) issued by the Financial Accounting Standards Board ("FASB"). ASUs not yet adopted that are not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated results of operations, financial position and cash flows. With the exception of the accounting pronouncements adopted as discussed below, there have been no new or material changes to the significant accounting policies discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019, that are of significance, or potential significance, to the Company.
(1.) BASIS OF PRESENTATION (Continued)
Recently Adopted Accounting Guidance
Adoption of Accounting Standards Codification Topic 326
The Company adopted ASC 326, Financial Instruments-Credit Losses, effective January 1, 2020. Under the current expected credit losses (“CECL”) model, the Company immediately recognizes an estimate of credit losses expected to occur over the life of the financial asset at the time the financial asset is originated or acquired.  Estimated credit losses are determined by taking into consideration historical loss conditions, current conditions and reasonable and supportable forecasts.  Changes to the expected lifetime credit losses are recognized each period. The adoption of ASC 326 did not have a material impact to the Company’s Condensed Consolidated Financial Statements.
In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848) - Facilitation of the Effects of Reference Rate Reform on Financial Reporting, in response to concerns about structural risks of interbank offered rates (“IBORs”). ASU 2020-04 provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions if certain criteria are met. The ASU applies only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The amendments in ASU 2020-04 are effective for all entities as of March 12, 2020 through December 31, 2022. ASU 2020-04 has not yet affected the Company’s Condensed Consolidated Financial Statements.
v3.20.2
Business Acquisitions
 6 Months Ended
Jul. 03, 2020
Business Combinations [Abstract]  
BUSINESS ACQUISITIONS BUSINESS ACQUISITIONS
On February 19, 2020, the Company acquired certain assets and liabilities of InoMec Ltd. (“InoMec”), a privately-held company based in Israel that specializes in the research, development and manufacturing of medical devices, including minimally invasive tools, delivery systems, tubing and catheters, surgery tools, drug-device combination, laser combined devices, and tooling and production. The acquisition enables the Company to create a research and development center in Israel, closer to the customer base in the region. The fair value of the consideration transferred was $7.0 million, which included an initial cash payment of $5.3 million and $1.7 million in estimated fair value of contingent consideration.
The contingent consideration represents the estimated fair value of the Company’s obligation, under the asset purchase agreement, to make additional payments of up to $3.5 million over the next four years based on specified conditions being met. Based on the preliminary purchase price allocation, the assets acquired principally comprise $2.0 million of intangible assets, $4.8 million of goodwill, $0.3 million of acquired property, plant and equipment, and a net liability for other working capital items of $0.1 million. Intangible assets included developed technology, customer relationships and non-compete provisions, which are being amortized over a weighted average period of 5.9 years.
On October 7, 2019, the Company acquired certain assets and liabilities of US BioDesign, LLC (“USB”), a privately-held developer and manufacturer of complex braided biomedical structures for disposable and implantable medical devices. The acquisition added a differentiated capability related to the complex development and manufacture of braided and formed biomedical structures to the Company’s broad portfolio. The fair value of the consideration transferred was $19.1 million, which included a cash payment of $14.9 million, which reflects a $0.1 million favorable working capital adjustment finalized in the first quarter of 2020, and $4.2 million in estimated fair value of contingent consideration.
The contingent consideration represents the estimated fair value of the Company’s obligation, under the asset purchase agreement, to make additional payments of up to $5.5 million if certain revenue goals are met through 2023. The assets acquired principally consist of $7.4 million of developed technology, $10.4 million of goodwill, $0.7 million of acquired property, plant and equipment, and $0.6 million of other working capital items. The developed technology intangible asset is being amortized over a useful life of 8 years. The $10.4 million of goodwill reflects a $0.1 million decrease resulting from the working capital adjustment. The company finalized the valuation and completed the purchase price allocation for the USB acquisition during the second quarter of 2020.
The amount allocated to goodwill for these acquisitions is deductible for income tax purposes. The fair value of the contingent consideration was estimated using the Monte Carlo valuation approach. See Note 13 “Financial Instruments and Fair Value Measurements” for additional information related to the fair value measurement of the contingent consideration.
(2.) BUSINESS ACQUISITIONS (Continued)
For segment reporting purposes, the results of operations and assets from these acquisitions have been included in the Company’s Medical segment since the respective acquisition dates. For the three and six months ended July 3, 2020, sales related to InoMec and USB were $1.8 million and $3.2 million, respectively. Earnings related to the operations consisting of the assets and liabilities acquired from InoMec and USB for the three and six months ended July 3, 2020 were not material. During the six months ended July 3, 2020, direct costs of these acquisitions of $0.8 million were expensed as incurred and included in Other Operating Expenses in the Condensed Consolidated Statement of Operations.
Pro forma financial information has not been presented for these acquisitions as the net effects were not significant or material to the Company’s results of operations or financial position.
v3.20.2
Supplemental Cash Flow Information
 6 Months Ended
Jul. 03, 2020
Supplemental Cash Flow Elements [Abstract]  
SUPPLEMENTAL CASH FLOW INFORMATION SUPPLEMENTAL CASH FLOW INFORMATION
The following is supplemental information relating to the Condensed Consolidated Statements of Cash Flows (in thousands):
Six Months Ended
July 3,
2020		June 28,
2019
Noncash investing and financing activities:
Property, plant and equipment purchases included in accounts payable$3,282  $2,297  
Purchase of intangible asset included in accrued expenses at period end500  —  
Supplemental lease disclosures:
Operating lease assets obtained in exchange for new or remeasured operating
lease liabilities		7,556  —  
Refer to Note 16 “Discontinued Operations” for additional supplemental cash flow information pertaining to discontinued operations.
v3.20.2
Inventories
 6 Months Ended
Jul. 03, 2020
Inventory Disclosure [Abstract]  
INVENTORIES INVENTORIES
Inventories comprise the following (in thousands):
July 3,
2020		December 31,
2019
Raw materials$83,666  $79,742  
Work-in-process59,899  60,042  
Finished goods28,893  27,472  
Total$172,458  $167,256  
v3.20.2
Goodwill and Other Intangible Assets, Net
 6 Months Ended
Jul. 03, 2020
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND OTHER INTANGIBLE ASSETS, NET GOODWILL AND OTHER INTANGIBLE ASSETS, NET
Goodwill
The changes in the carrying amount of goodwill by reportable segment for the six months ended July 3, 2020 were as follows (in thousands):
MedicalNon- MedicalTotal
December 31, 2019$822,617  $17,000  $839,617  
Foreign currency translation640  —  640  
Acquisitions and related adjustments (Note 2)4,715  —  4,715  
July 3, 2020$827,972  $17,000  $844,972  
(5.) GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Continued)
Intangible Assets
Intangible assets at July 3, 2020 and December 31, 2019 were as follows (in thousands):
Gross
Carrying
Amount		Accumulated
Amortization		Net
Carrying
Amount
July 3, 2020
Definite-lived:
Purchased technology and patents$253,740  $(144,969) $108,771  
Customer lists708,284  (145,379) 562,905  
Other4,099  (3,629) 470  
Total$966,123  $(293,977) $672,146  
Indefinite-lived:
Trademarks and tradenames$90,288  
December 31, 2019
Definite-lived:
Purchased technology and patents$248,264  $(138,435) $109,829  
Customer lists706,852  (131,185) 575,667  
Other3,503  (3,503) —  
Total$958,619  $(273,123) $685,496  
Indefinite-lived:
Trademarks and tradenames$90,288  
When acquiring certain assets, the Company assesses whether the acquired assets are a result of a business combination or a purchase of an asset. In the first quarter of 2020, the Company acquired a set of similar identifiable intangible assets relating to a license to use technology within its Non-Medical segment. The Company paid $3.5 million upon closing, $0.5 million in the second quarter, and expects to pay $0.5 million in additional consideration subject to the completion of certain milestones. In addition, the Company has capitalized $0.1 million of costs associated with acquiring the license as an intangible asset. The intangible asset of $4.6 million is being amortized over 11 years, the remaining useful life of the patented technology. See Note 13 “Financial Instruments and Fair Value Measurements” for additional information related to the fair value measurement of the contingent consideration.
Aggregate intangible asset amortization expense comprises the following (in thousands):
 Three Months EndedSix Months Ended
 July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Cost of sales$3,172  $3,195  $6,441  $6,457  
Selling, general and administrative expenses6,979  6,636  14,154  13,228  
Total intangible asset amortization expense$10,151  $9,831  $20,595  $19,685  
Estimated future intangible asset amortization expense based on the carrying value as of July 3, 2020 is as follows (in thousands):
Remainder of 2020202120222023 2024After 2024
Amortization Expense$20,289  40,766  39,727  38,320  37,378  495,666  
v3.20.2
Debt
 6 Months Ended
Jul. 03, 2020
Debt Disclosure [Abstract]  
DEBT DEBT
Long-term debt comprises the following (in thousands):
 July 3,
2020		December 31,
2019
Senior secured term loan A$248,437  $267,188  
Senior secured term loan B558,286  558,286  
Revolving line of credit170,000  —  
Unamortized discount on term loan B and debt issuance costs(8,838) (10,702) 
Total debt967,885  814,772  
Current portion of long-term debt(37,500) (37,500) 
Total long-term debt$930,385  $777,272  
The Company has senior secured credit facilities (the “Senior Secured Credit Facilities”) as of July 3, 2020, consisting of (i) a $200 million revolving credit facility (the “Revolving Credit Facility”), (ii) a term loan A facility (the “TLA Facility”), and (iii) a term loan B facility (the “TLB Facility”). The TLA Facility and TLB Facility are collectively referred to as the “Term Loan Facilities.” The TLB Facility was issued at a 1% discount.
Revolving Credit Facility
The Revolving Credit Facility matures on October 27, 2022. The Revolving Credit Facility includes a $15 million sublimit for swingline loans and a $25 million sublimit for standby letters of credit. The Company is required to pay a commitment fee on the unused portion of the Revolving Credit Facility, which will range between 0.175% and 0.25%, depending on the Company’s Total Net Leverage Ratio (as defined in the Senior Secured Credit Facilities agreement). As of July 3, 2020, the commitment fee on the unused portion of the Revolving Credit Facility was 0.25%. Interest rates on the Revolving Credit Facility, as well as the TLA Facility, are at the Company’s option, either at: (i) the prime rate plus the applicable margin, which will range between 0.50% and 2.00%, based on the Company’s Total Net Leverage Ratio, or (ii) the applicable LIBOR rate plus the applicable margin, which will range between 1.50% and 3.00%, based on the Company’s Total Net Leverage Ratio.
As of July 3, 2020, the Company had available borrowing capacity on the Revolving Credit Facility of $23.3 million after giving effect to $170.0 million of outstanding borrowings and $6.7 million of outstanding standby letters of credit. As of July 3, 2020, the weighted average interest rate on outstanding borrowings under the Revolving Credit Facility was 2.18%.
Term Loan Facilities
The TLA Facility and TLB Facility mature on October 27, 2022. Interest rates on the TLB Facility are, at the Company’s option, either at: (i) the prime rate plus 1.50% or (ii) the applicable LIBOR rate plus 2.50%, with LIBOR subject to a 1.00% floor. As of July 3, 2020, the interest rates on the TLA Facility and TLB Facility were 2.19% and 3.50%, respectively.
Covenants
As of July 3, 2020, the Revolving Credit Facility and TLA Facility contain covenants requiring (A) a maximum Total Net Leverage Ratio of 4.00:1.00, and (B) a minimum interest coverage ratio of adjusted EBITDA (as defined in the Senior Secured Credit Facilities) to interest expense of not less than 3.00:1.00. The TLB Facility does not contain any financial maintenance covenants. As of July 3, 2020, the Company was in compliance with these financial covenants.
Contractual maturities under the Senior Secured Credit Facilities for the remainder of 2020 and through maturity, excluding any discounts or premiums, as of July 3, 2020 are as follows (in thousands):
202020212022
Future minimum principal payments$18,750  37,500  920,473  
The Company prepaid portions of its TLB Facility during 2019. The Company recognized losses from extinguishment of debt during the three and six months ended June 28, 2019 of $0.6 million and $1.0 million, respectively. The loss from extinguishment of debt represents the portion of the unamortized discount and debt issuance costs related to the portion of the TLB Facility that was prepaid and is included in Interest Expense in the accompanying Condensed Consolidated Statements of Operations.
(6.)  DEBT (Continued)
Amendment to the Senior Secured Credit Facilities
On July 13, 2020, the Company amended the Senior Secured Credit Facilities (the “Amendment”) to increase the Total Net Leverage Ratio. The Amendment increases the Total Net Leverage Ratio from a ratio of 4.00 to 1.00 to 4.75 to 1.00 for the period beginning with the third fiscal quarter of 2020 through the second fiscal quarter of 2021. The Total Net Leverage Ratio steps down to 4.50 to 1.00 for the third fiscal quarter of 2021, and reverts to and remains at 4.00 to 1.00 beginning with the fourth quarter of 2021 through maturity. Additionally, the Company added a credit facility feature where its Net Leverage Ratio can be increased by 0.50 for up to four consecutive quarters commencing in any fiscal quarter in which it consummates an Eligible Adjustment Acquisition (as defined in the Amendment) with a $40 million or greater purchase price.
In connection with the Amendment, the Company agreed to pay each consenting lender an advanced amendment fee of 0.1% of the unused commitments and the outstanding loans on the Revolving Credit Facility and TLA Facility on the amendment effective date. The Company will also pay the consenting lenders a deferred amendment fee, payable in installments of 0.03125% of the outstanding Revolving Credit Facility and TLA Facility each quarter through maturity when the Company’s Total Net Leverage Ratio equals or exceeds 3.00 to 1.00.
v3.20.2
Stock-Based Compensation
 6 Months Ended
Jul. 03, 2020
Share-based Payment Arrangement [Abstract]  
STOCK-BASED COMPENSATION STOCK-BASED COMPENSATION
The Company maintains certain stock-based compensation plans that were approved by the Company’s stockholders and are administered by the Board of Directors, or the Compensation and Organization Committee of the Board. The stock-based compensation plans provide for the granting of stock options, restricted stock awards, restricted stock units (“RSUs”), stock appreciation rights and stock bonuses to employees, non-employee directors, consultants, and service providers.
The components and classification of stock-based compensation expense were as follows (in thousands):
 Three Months EndedSix Months Ended
 July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Stock options$10  $102  $23  $203  
RSUs1,494  2,618  3,219  5,230  
Total stock-based compensation expense$1,504  $2,720  $3,242  $5,433  
Cost of sales$230  $281  $684  $598  
Selling, general and administrative expenses1,153  2,334  2,289  4,664  
Research, development and engineering costs121  58  269  124  
Other operating expenses—  47  —  47  
Total stock-based compensation expense$1,504  $2,720  $3,242  $5,433  
The following table summarizes the Company’s stock option activity:
Number of
Stock
Options		Weighted
Average
Exercise
Price		Weighted
Average
Remaining
Contractual
Life
(In Years)		Aggregate
Intrinsic
Value
(In Millions)
Outstanding at December 31, 2019384,013  $34.96  
Exercised(66,131) 37.41  
Outstanding at July 3, 2020317,882  $34.45  4.8$12.0  
Exercisable at July 3, 2020315,332  $34.36  4.7$12.0  
(7.)  STOCK-BASED COMPENSATION (Continued)
During the six months ended July 3, 2020, the Company awarded grants to certain members of its Board of Directors, certain members of management, and other employees. The Board of Directors received grants of time-based RSUs that vest in four substantially equal quarterly installments beginning on the three-month anniversary of the grant date. The members of management and other employees received either time-based RSUs or a mix of time-based RSUs and performance-based RSUs (“PRSUs”). The time-based RSUs vest ratably, subject to the recipient’s continuous service to the Company over a period of generally three years from the grant date. For the Company’s PRSUs, in addition to service conditions, the ultimate number of shares to be earned depends on the achievement of financial performance or market-based conditions. The financial performance condition is based on the Company’s sales targets. The market-based conditions are based on the Company’s achievement of a relative total shareholder return (“TSR”) performance requirement, on a percentile basis, compared to a defined group of peer companies over three year performance periods.
The Company uses a Monte Carlo simulation model to determine the grant-date fair value of awards with TSR-based performance conditions. The grant-date fair value of all other RSUs is equal to the closing market price of Integer common stock on the date of grant.
The weighted average fair value and assumptions used to value the TSR portion of the PRSUs granted are as follows:
 Six Months Ended
 July 3,
2020		June 28,
2019
Weighted average fair value$107.27  $117.03  
Risk-free interest rate1.29 %2.46 %
Expected volatility30 %40 %
Expected life (in years)2.92.8
Expected dividend yield— %— %
The valuation of the TSR portion of the PRSUs granted during 2020 also reflects a weighted average illiquidity discount of 8.00%, determined utilizing the Chaffe model valuation technique, and related to the six-month period that recipients are restricted from selling, transferring, pledging or assigning the underlying shares, in the event of vesting.
The following table summarizes time-vested RSU activity:
Time-Vested
Activity		Weighted
Average
Grant Date Fair Value
Nonvested at December 31, 2019205,223  $64.75  
Granted140,121  84.26  
Vested(70,955) 56.60  
Forfeited(11,827) 74.76  
Nonvested at July 3, 2020262,562  $76.91  
The following table summarizes PRSU activity:
Performance-
Vested
Activity		Weighted
Average
Grant Date Fair Value
Nonvested at December 31, 2019191,592  $56.30  
Granted67,268  95.06  
Vested(35,363) 31.17  
Forfeited(4,106) 51.54  
Nonvested at July 3, 2020219,391  $72.33  
v3.20.2
Other Operating Expenses
 6 Months Ended
Jul. 03, 2020
Other Income and Expenses [Abstract]  
OTHER OPERATING EXPENSES OTHER OPERATING EXPENSES
Other Operating Expenses consists of the following (in thousands):
 Three Months EndedSix Months Ended
 July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Strategic reorganization and alignment$138  $1,656  $686  $3,390  
Manufacturing alignment to support growth60  561  188  1,146  
2020 restructuring plan443  —  1,417  —  
Acquisition and integration expenses47  —  403  —  
Other general expenses1,341  891  2,263  1,462  
Total other operating expenses$2,029  $3,108  $4,957  $5,998  
Strategic reorganization and alignment
As a result of the strategic review of its customers, competitors and markets, the Company began taking steps in 2017 to better align its resources in order to enhance the profitability of its portfolio of products. These initiatives include improving its business processes and redirecting investments away from projects where the market does not justify the investment, as well as aligning resources with market conditions and the Company’s future strategic direction. During the six months ended July 3, 2020, the Company incurred charges relating to these initiatives, which primarily included severance recorded within the Medical segment. As of July 3, 2020, total expense incurred for these initiatives since inception, including amounts reported in discontinued operations, was $23.0 million. These actions were completed as of July 3, 2020.
Manufacturing alignment to support growth
In 2017, the Company initiated several initiatives designed to reduce costs, increase manufacturing capacity to accommodate growth and improve operating efficiencies.  The plan involves the relocation of certain manufacturing operations and expansion of certain of the Company’s facilities. The Company estimates that it will incur aggregate pre-tax restructuring related charges in connection with the realignment plan of approximately $6 million, the majority of which are expected to be cash expenditures. Costs related to the Company’s manufacturing alignment to support growth initiative were primarily recorded within the Medical segment. As of July 3, 2020, total expense incurred for this initiative since inception was $5.8 million. These actions were substantially completed at the end of 2019.
2020 restructuring plan
The Company’s 2020 restructuring plan mainly consists of costs associated with executing on its sales force excellence, manufacturing excellence and business process excellence imperatives. These projects focus on changing the Company’s organizational structure to match product line growth strategies and customer needs, transitioning its manufacturing process into a competitive advantage and standardizing and optimizing its business processes. The Company estimates that it will incur aggregate pre-tax restructuring related charges in connection with the 2020 restructuring plan of between approximately $2 million to $3 million, the majority of which are expected to be cash expenditures. Costs related to the Company’s 2020 restructuring plan are expected to be primarily recorded within the Medical segment. As of July 3, 2020, total expense incurred for this initiative since inception was $1.4 million, which was primarily severance. These actions are expected to be substantially complete by the end of 2020.
(8.)  OTHER OPERATING EXPENSES (Continued)
The following table summarizes the change in accrued liabilities, presented within Accrued Expense and Other Current Liabilities on the Condensed Consolidated Balance Sheets, related to the initiatives described above (in thousands):
Severance and RetentionOtherTotal
December 31, 2019$1,389  $596  $1,985  
Restructuring charges1,637  654  2,291  
Cash payments(2,466) (1,248) (3,714) 
July 3, 2020$560  $2  $562  
Acquisition and integration expenses
During the six months ended July 3, 2020, acquisition and integration expenses included $0.9 million of expenses related to the acquisition of certain assets and liabilities of InoMec and USB, and a $0.5 million adjustment to reduce the fair value of acquisition-related contingent consideration liabilities. Acquisition and integration costs primarily include direct acquisition costs incurred which consist of professional fees and other costs.
Other general expenses
During the six months ended July 3, 2020 and June 28, 2019, the Company recorded expenses related to other initiatives not described above, which relate primarily to actions to align labor with customer demand as a result of COVID-19 and the decline of the energy market, integration and operational initiatives to reduce future costs and improve operational efficiencies. The 2020 and 2019 amounts primarily include severance, systems conversion expenses and expenses related to the restructuring of certain legal entities of the Company.
v3.20.2
Income Taxes
 6 Months Ended
Jul. 03, 2020
Income Tax Disclosure [Abstract]  
INCOME TAXES INCOME TAXES
The income tax provision for interim periods is determined using an estimate of the annual effective tax rate, adjusted for discrete items, if any, that are taken into account in the relevant period. Each quarter, the estimate of the annual effective tax rate is updated, and if the estimated effective tax rate changes, a cumulative adjustment is made. There is a potential for volatility of the effective tax rate due to several factors, including discrete items, changes in the mix and amount of pre-tax income and the jurisdictions to which it relates, changes in tax laws and foreign tax holidays, business reorganizations, settlements with taxing authorities and foreign currency fluctuations. In addition, the Company continues to explore tax planning opportunities that may have a material impact on its effective tax rate.
The Company’s effective tax rate for continuing operations for the second quarter of 2020 was (135.8)% on $0.2 million of income from continuing operations before taxes compared to 19.0% on $34.8 million of income from continuing operations before taxes for the same period in 2019. The Company’s effective tax rate for continuing operations for the first six months of 2020 was 14.4% on $36.8 million of income from continuing operations before taxes compared to 17.3% on $60.0 million of income from continuing operations before taxes for the same period in 2019. The difference between the Company’s effective tax rates and the U.S. federal statutory income tax rate of 21% for the second quarter and first six months of 2020 and 2019 is primarily attributable to discrete tax benefits, as well as the estimated net impact of the Company’s earnings outside the U.S., which are generally taxed at rates that differ from the U.S federal rate, the estimated net impact of the Global Intangible Low-Taxed Income (“GILTI”) tax, and the availability of certain tax credits. The Company recorded discrete tax benefits of $0.1 million and $1.0 million, respectively, for the second quarter and first six months of 2020, compared to discrete tax benefits of $0.4 million and $2.1 million, respectively, for the second quarter and first six months of 2019. The discrete tax benefits for all periods are predominately related to excess tax benefits recognized upon vesting of RSUs or exercise of stock options.
As of July 3, 2020 and December 31, 2019, the Company had unrecognized tax benefits from continuing operations of approximately $4.6 million and $4.4 million, respectively. It is reasonably possible that a reduction of up to $0.6 million of the balance of unrecognized tax benefits may occur within the next twelve months as a result of potential audit settlements. As of July 3, 2020 and December 31, 2019, approximately $4.6 million and $4.4 million, respectively, of the unrecognized tax benefits would favorably impact the effective tax rate, net of federal benefit on state issues, if recognized.
(9.) INCOME TAXES (Continued)
In response to the COVID-19 pandemic, many governments have enacted or are contemplating measures to provide aid and economic stimulus. These measures may include deferring the due dates of tax payments or other changes to their income and non-income-based tax laws. The Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), which was enacted on March 27, 2020 in the U.S., includes measures to assist companies, including temporary changes to income and non-income-based tax laws. The CARES Act provides for deferred payment of the employer portion of social security taxes through the end of 2020, with 50% of the deferred amount due December 31, 2021 and the remaining 50% due December 31, 2022. As allowed under the CARES Act, we are deferring payment of the employer portion of Social Security taxes through the end of 2020. For the six months ended July 3, 2020, there were no material income tax impacts to our Condensed Consolidated Financial Statements as it relates to COVID-19 measures. We continue to monitor additional guidance issued by the U.S. Treasury Department, the Internal Revenue Service and others.
v3.20.2
Commitments and Contingencies
 6 Months Ended
Jul. 03, 2020
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS AND CONTINGENCIES COMMITMENTS AND CONTINGENCIES
Contingent Consideration Arrangements
The Company records contingent consideration liabilities related to the earn-out provisions for certain acquisitions. See Note 13 “Financial Instruments and Fair Value Measurements” for additional information.
Litigation
The Company is subject to litigation arising from time to time in the ordinary course of its business. The Company does not expect that the ultimate resolution of any pending legal actions will have a material effect on its consolidated results of operations, financial position, or cash flows. However, litigation is subject to inherent uncertainties. As such, there can be no assurance that any pending legal action, which the Company currently believes to be immaterial, will not become material in the future.
In April 2013, the Company commenced an action against AVX Corporation and AVX Filters Corporation (collectively “AVX”) alleging that AVX had infringed on the Company’s patents by manufacturing and selling filtered feedthrough assemblies used in implantable pacemakers and cardioverter defibrillators that incorporate the Company’s patented technology. Following four trials, the Company was awarded approximately $27 million in damages. In August 2019, AVX filed a notice of appeal with the United States Court of Appeals for the Federal Circuit and the Company subsequently filed a notice of cross-appeal. In July 2020, the United States Court of Appeals for the Federal Circuit affirmed, in all respects, the judgment in favor of the Company. To date, the Company has recorded no gains in connection with this litigation.
Product Warranties
The Company generally warrants that its products will meet customer specifications and will be free from defects in materials and workmanship. The product warranty liability is presented within Accrued Expense and Other Current Liabilities on the Condensed Consolidated Balance Sheets. The change in product warranty liability was comprised of the following (in thousands):
December 31, 2019$1,933  
Additions to warranty reserve, net of reversals(117) 
Adjustments to pre-existing warranties (66) 
Warranty claims settled(997) 
July 3, 2020$753  
v3.20.2
Earnings Per Share (EPS)
 6 Months Ended
Jul. 03, 2020
Earnings Per Share [Abstract]  
EARNINGS PER SHARE (EPS) EARNINGS PER SHARE (“EPS”)
The following table sets forth a reconciliation of the information used in computing basic and diluted EPS (in thousands, except per share amounts):
 Three Months EndedSix Months Ended
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Numerator for basic and diluted EPS:
Income from continuing operations$389  $28,222  $31,489  $49,588  
Income from discontinued operations—  4,835  —  5,138  
Net income$389  $33,057  $31,489  $54,726  
Denominator for basic and diluted EPS:
Weighted average shares outstanding - Basic32,834  32,621  32,820  32,579  
Dilutive effect of share-based awards295  388  303  416  
Weighted average shares outstanding - Diluted33,129  33,009  33,123  32,995  
Basic earnings per share:
Income from continuing operations$0.01  $0.87  $0.96  $1.52  
Income from discontinued operations—  0.15  —  0.16  
Basic earnings per share0.01  1.01  0.96  1.68  
Diluted earnings per share:
Income from continuing operations$0.01  $0.85  $0.95  $1.50  
Income from discontinued operations—  0.15  —  0.16  
Diluted earnings per share0.01  1.00  0.95  1.66  
The diluted weighted average share calculations do not include the following securities, which are not dilutive to the EPS calculations or the performance criteria have not been met (in thousands):
 Three Months EndedSix Months Ended
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Time-vested stock options, RSAs and RSUs146  53  131  56  
Performance-vested restricted stock and PRSUs12  48  16  47  
v3.20.2
Stockholders' Equity
 6 Months Ended
Jul. 03, 2020
Stockholders' Equity Note [Abstract]  
STOCKHOLDERS' EQUITY STOCKHOLDERS’ EQUITY
The following is a summary of the number of shares of common stock issued, treasury stock and common stock outstanding for the six month periods ended July 3, 2020 and June 28, 2019:
Six Months Ended July 3, 2020Six Months Ended June 28, 2019
IssuedTreasury StockOutstandingIssuedTreasury StockOutstanding
Balance, beginning of period32,847,017  (146,546) 32,700,471  32,624,494  (151,327) 32,473,167  
Stock options exercised—  66,131  66,131  93,472  —  93,472  
RSAs issued, net of forfeitures,
and vesting of RSUs		—  71,950  71,950  98,656  (24,681) 73,975  
Balance, end of period32,847,017  (8,465) 32,838,552  32,816,622  (176,008) 32,640,614  

Accumulated Other Comprehensive Income (Loss) (“AOCI”) comprises the following (in thousands):
Defined
Benefit
Plan
Liability		Cash
Flow
Hedges		Foreign
Currency
Translation
Adjustment		Total
Pre-Tax
Amount		TaxNet-of-Tax
Amount
April 3, 2020$(912) $(13,281) $10,607  $(3,586) $2,913  $(673) 
Unrealized gain on cash flow hedges—  1,493  —  1,493  (314) 1,179  
Realized loss on foreign currency hedges—  680  —  680  (142) 538  
Realized loss on interest rate swap hedge—  617  —  617  (130) 487  
Foreign currency translation gain—  —  12,948  12,948  —  12,948  
July 3, 2020$(912) $(10,491) $23,555  $12,152  $2,327  $14,479  
December 31, 2019$(912) $(2,358) $22,639  $19,369  $619  $19,988  
Unrealized loss on cash flow hedges—  (9,981) —  (9,981) 2,096  (7,885) 
Realized loss on foreign currency hedges—  483  —  483  (101) 382  
Realized loss on interest rate swap hedges—  1,365  —  1,365  (287) 1,078  
Foreign currency translation gain—  —  916  916  —  916  
July 3, 2020$(912) $(10,491) $23,555  $12,152  $2,327  $14,479  
March 29, 2019$(295) $2,551  $23,701  $25,957  $(493) $25,464  
Unrealized loss on cash flow hedges—  (4,415) —  (4,415) 927  (3,488) 
Realized loss on foreign currency hedges—  11  —  11  (2) 9  
Realized gain on interest rate swap hedges—  (714) —  (714) 150  (564) 
Foreign currency translation gain—  —  4,510  4,510  —  4,510  
June 28, 2019$(295) $(2,567) $28,211  $25,349  $582  $25,931  
December 28, 2018$(295) $3,439  $30,539  $33,683  $(679) $33,004  
Unrealized loss on cash flow hedges—  (4,569) —  (4,569) 959  (3,610) 
Realized gain on foreign currency hedges—  (34) —  (34) 7  (27) 
Realized gain on interest rate swap hedge—  (1,403) —  (1,403) 295  (1,108) 
Foreign currency translation loss—  —  (2,328) (2,328) —  (2,328) 
June 28, 2019$(295) $(2,567) $28,211  $25,349  $582  $25,931  
v3.20.2
Financial Instruments and Fair Value Measurements
 6 Months Ended
Jul. 03, 2020
Fair Value Disclosures [Abstract]  
FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS
Assets and Liabilities Measured at Fair Value on a Recurring Basis
Fair value measurement standards apply to certain financial assets and liabilities that are measured at fair value on a recurring basis (each reporting period). For the Company, these financial assets and liabilities include its derivative instruments and contingent consideration. The Company does not have any nonfinancial assets or liabilities that are measured at fair value on a recurring basis.
The Company is exposed to global market risks, including the effect of changes in interest rates and foreign currency exchange rates, and uses derivatives to manage these exposures that occur in the normal course of business. The Company does not hold or issue derivatives for trading or speculative purposes. All derivatives are recorded at fair value on the balance sheet.
The following tables provide information regarding assets and liabilities recorded at fair value on a recurring basis (in thousands):
Fair ValueQuoted
Prices in
Active
Markets
(Level 1)		Significant
Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)
July 3, 2020
Liabilities: Foreign currency contracts$1,398  $—  $1,398  $—  
Liabilities: Interest rate swaps9,093  —  9,093  —  
Liabilities: Contingent consideration (Note 2)5,387  —  —  5,387  
Liabilities: Contingent consideration (Note 5)500  —  —  500  
December 31, 2019
Assets: Foreign currency contracts$710  $—  $710  $—  
Liabilities: Interest rate swaps3,068  —  3,068  —  
Liabilities: Contingent consideration (Note 2)4,200  —  —  4,200  
Interest Rate Swaps
The Company periodically enters into interest rate swap agreements in order to reduce the cash flow risk caused by interest rate changes on its outstanding floating rate borrowings. Under these swap agreements, the Company pays a fixed rate of interest and receives a floating rate equal to one-month LIBOR. The variable rate received from the swap agreements and the variable rate paid on the outstanding debt will have the same rate of interest, excluding the credit spread, and will reset and pay interest on the same date. The Company has designated these swap agreements as cash flow hedges based on concluding the hedged forecasted transaction is probable of occurring within the period the cash flow hedge is anticipated to affect earnings.
Information regarding the Company’s outstanding interest rate swaps designated as cash flow hedges as of July 3, 2020 is as follows (dollars in thousands):
Notional AmountStart DateEnd
Date		Pay Fixed RateReceive Current Floating RateFair ValueBalance Sheet Location
$45,000  Jul 2019Jul 20201.8900 %0.1836 %$(51) Accrued expenses and other current liabilities
200,000  Jun 2020Jun 20232.1785  0.1803  (9,042) Other long-term liabilities
(13.)  FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS (Continued)
Information regarding the Company’s outstanding interest rate swaps designated as cash flow hedges as of December 31, 2019 is as follows (dollars in thousands):
Notional AmountStart DateEnd
Date		Pay Fixed RateReceive Current Floating RateFair ValueBalance Sheet Location
$200,000  Jun 2017Jun 20201.1325 %1.7920 %$543  Accrued expenses and other current liabilities
65,000  Jul 2019Jul 20201.8900  1.7920  (72) Accrued expenses and other current liabilities
400,000  Apr 2019Apr 20202.4150  1.7101  (730) Accrued expenses and other current liabilities
200,000  Jun 2020Jun 20232.1785  
(a)
(2,809) Other long-term liabilities
__________
(a) The interest rate swap did not take effect until June 2020.
Foreign Currency Contracts
The Company periodically enters into foreign currency forward contracts to hedge its exposure to foreign currency exchange rate fluctuations in its international operations. The Company has designated these foreign currency forward contracts as cash flow hedges.
Information regarding outstanding foreign currency forward contracts designated as cash flow hedges as of July 3, 2020 is as follows (dollars in thousands):
Notional AmountStart
Date		End
Date		$/Foreign CurrencyFair ValueBalance Sheet Location
$8,756  Apr 2020Sep 20201.0945Euro$250  Prepaid expenses and other current assets
15,332  Jul 2020Dec 20200.0491MXN Peso(1,559) Accrued expenses and other current liabilities
4,285  Mar 2020Dec 20200.0241UYU Peso(89) Accrued expenses and other current liabilities
Information regarding outstanding foreign currency contracts designated as cash flow hedges as of December 31, 2019 is as follows (dollars in thousands):
Notional AmountStart
Date		End
Date		$/Foreign CurrencyFair ValueBalance Sheet Location
$11,166  Jan 2020Jun 20200.0490MXN Peso$710  Prepaid expenses and other current assets
Contingent Consideration
The Company estimated the original fair value of the contingent consideration liabilities for the InoMec and USB acquisitions using a Monte Carlo simulation in order to forecast the value of the potential future payment. In periods subsequent to the initial measurement, contingent consideration liabilities are remeasured to fair value each reporting period until the contingent consideration is settled using various assumptions including estimated revenues (based on internal operational budgets and long-range strategic plans), discount rates, revenue volatility and projected payment dates. The assumptions used in the determination of fair value of contingent consideration liabilities are not observable in the market, thus representing a Level 3 measurement within the fair value hierarchy. The contingent consideration liabilities are included in Accrued expenses and other current liabilities and Other long-term liabilities in the Condensed Consolidated Balance Sheets. Adjustments to the fair value of contingent consideration liabilities are included in Other operating expenses in the Company’s Condensed Consolidated Statements of Operations.
For the February 19, 2020 InoMec acquisition, additional purchase price payments ranging from zero to $3.5 million are contingent upon the achievement of certain revenue targets through February 29, 2024. At the date of acquisition, the Company estimated the original fair value of the contingent consideration to be $1.7 million. At July 3, 2020, the estimated fair value of the contingent consideration associated with the InoMec acquisition was $1.7 million.
(13.)  FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS (Continued)
For the October 7, 2019 USB acquisition, additional purchase price payments ranging from zero to $5.5 million are contingent upon the achievement of certain revenue targets through December 31, 2023. At the date of acquisition, the Company estimated the original fair value of the contingent consideration to be $4.2 million. During the six months ended July 3, 2020, the Company recognized a gain from the fair value adjustment of contingent consideration of $0.5 million. The fair value adjustment for the six months ended July 3, 2020 was due to a change in the timing of the projected future revenues, rise in the estimated revenue volatility, and increase in the discount rate used to calculate the present value of the contingent consideration liability. At July 3, 2020, the estimated fair value of the contingent consideration associated with the USB acquisition was $3.7 million.
During the first quarter of 2020, the Company acquired a set of similar identifiable intangible assets relating to a license to use technology within its Non-Medical segment. At the date of acquisition, the Company estimated the original fair value of the contingent consideration to be $1.0 million. During the second quarter of 2020, the Company paid $0.5 million to settle a portion of this contingent consideration arrangement. At July 3, 2020, the estimated fair value of the contingent consideration associated with the license to use technology was $0.5 million, which represents the estimated fair value of contingent consideration payable upon completion of certain milestones.
The following table presents the changes in the estimated fair values of the Company’s liabilities for contingent consideration measured using significant unobservable inputs (Level 3) for the six months ended July 3, 2020 (in thousands):
December 31, 2019$4,200  
Contingent consideration liabilities recorded for acquisitions
2,700  
Fair value adjustment included in Other operating expenses(500) 
Settlements
(500) 
Foreign currency translation(13) 
July 3, 2020$5,887  

Derivative Instruments with Hedge Accounting Designation
The following table presents the impact of cash flow hedge derivative instruments on other comprehensive income (“OCI”), AOCI and the Company’s Condensed Consolidated Statement of Operations for the three and six months ended July 3, 2020 and June 28, 2019 (in thousands):
Three Months Ended
July 3, 2020June 28, 2019
TotalAmount of Gain (Loss) on Cash Flow Hedge ActivityTotalAmount of Gain (Loss) on Cash Flow Hedge Activity
Sales$240,115  $87  $314,194  $(473) 
Cost of sales182,252  (733) 217,210  462  
Operating expenses48,678  (34) 47,647  —  
Interest expense9,273  (617) 13,612  714  
Six Months Ended
July 3, 2020June 28, 2019
TotalAmount of Loss on Cash Flow Hedge ActivityTotalAmount of Gain (Loss) on Cash Flow Hedge Activity
Sales$568,541  $(41) $628,870  $(794) 
Cost of sales413,976  (408) 443,276  828  
Operating expenses101,304  (34) 97,088  —  
Interest expense19,634  (1,365) 27,442  1,403  
(13.)  FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS (Continued)
The following tables present the amounts affecting the Condensed Consolidated Statements of Operations and Condensed Consolidated Statements of Comprehensive Income for the three and six months ended July 3, 2020 and June 28, 2019 (in thousands):
Unrealized Gain (Loss) Recognized in OCIRealized Gain (Loss) Reclassified from AOCI
Three months ended,Location in Statement of OperationsThree months ended,
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Interest rate swap$(1,003) $(5,151) Interest expense$(617) $714  
Foreign exchange forwards483  1  Sales87  (473) 
Foreign exchange forwards2,085  735  Cost of sales(733) 462  
Foreign exchange forwards(72) —  Operating expenses(34) —  

Unrealized Gain (Loss) Recognized in OCIRealized Gain (Loss) Reclassified from AOCI
Six Months EndedLocation in Statement of OperationsSix Months Ended
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Interest rate swaps$(7,390) $(5,599) Interest expense$(1,365) $1,403  
Foreign exchange contracts209  (699) Sales(41) (794) 
Foreign exchange contracts(2,728) 1,729  Cost of sales(408) 828  
Foreign exchange forwards(72) —  Operating expenses(34) —  
The Company expects to reclassify net losses totaling $5.3 million related to its cash flow hedges from AOCI into earnings during the next twelve months.
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis
Fair value standards also apply to certain assets and liabilities that are measured at fair value on a nonrecurring basis. The carrying amounts of cash, accounts receivable, accounts payable, and accrued expenses approximate fair value because of the short-term nature of these items.
Borrowings under the Company’s Revolving Credit Facility, TLA Facility and TLB Facility accrue interest at a floating rate tied to a standard short-term borrowing index, selected at the Company’s option, plus an applicable margin. The carrying amount of this floating rate debt approximates fair value based upon the respective interest rates adjusting with market rate adjustments.
Equity Investments
The Company holds long-term, strategic investments in companies to promote business and strategic objectives. These investments are included in Other Long-Term Assets on the Condensed Consolidated Balance Sheets. Non-marketable equity securities are equity securities without readily determinable fair value. The Company has elected the practicability exception to use an alternative approach that measures the securities at cost minus impairment, if any, plus or minus changes resulting from qualifying observable price changes. If an impairment is recognized on the Company’s non-marketable equity securities during the period, these assets are classified as Level 3 within the fair value hierarchy based on the nature of the fair value inputs.
Equity investments are comprised of the following (in thousands):
July 3,
2020		December 31,
2019
Equity method investment$17,888  $16,167  
Non-marketable equity securities6,092  6,092  
Total equity investments
$23,980  $22,259  
(13.)  FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS (Continued)
The components of (Gain) Loss on Equity Investments, Net for each period were as follows (in thousands):
Three Months EndedSix Months Ended
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Equity method investment (income) loss$205  $36  $(1,720) $77  
Impairment charges—  1,575  —  1,575  
Total (gain) loss on equity investments, net
$205  $1,611  $(1,720) $1,652  
The Company’s equity method investment is in a Chinese venture capital fund focused on investing in life sciences companies. As of July 3, 2020, the Company owned 6.6% of this fund.
v3.20.2
Segment Information
 6 Months Ended
Jul. 03, 2020
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
The Company organizes its business into two reportable segments: (1) Medical and (2) Non-Medical. This segment structure reflects the financial information and reports used by the Company’s management, specifically its Chief Operating Decision Maker, to make decisions regarding the Company’s business, including resource allocations and performance assessments. This segment structure reflects the Company’s current operating focus in compliance with ASC 280, Segment Reporting. For purposes of segment reporting, intercompany sales between segments are not material.
The following table presents sales from continuing operations by product line (in thousands).
 Three Months EndedSix Months Ended
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Segment sales from continuing operations by product line:
Medical
Cardio & Vascular$129,084  $150,397  $308,289  $302,971  
Cardiac & Neuromodulation71,675  114,488  179,495  231,399  
Advanced Surgical, Orthopedics & Portable Medical30,625  32,646  61,862  64,234  
Total Medical231,384  297,531  549,646  598,604  
Non-Medical8,731  16,663  18,895  30,266  
Total sales from continuing operations$240,115  $314,194  $568,541  $628,870  
The following table presents income from continuing operations for the Company’s reportable segments (in thousands).
 Three Months EndedSix Months Ended
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Segment income from continuing operations:
Medical$26,910  $63,706  $92,126  $120,086  
Non-Medical2,467  5,298  3,680  9,609  
Total segment income29,377  69,004  95,806  129,695  
Unallocated operating expenses(20,192) (19,667) (42,545) (41,189) 
Operating income9,185  49,337  53,261  88,506  
Unallocated expenses, net(9,020) (14,505) (16,457) (28,542) 
Income from continuing operations before taxes$165  $34,832  $36,804  $59,964  
v3.20.2
Revenue From Contracts With Customers
 6 Months Ended
Jul. 03, 2020
Revenue from Contract with Customer [Abstract]  
REVENUE FROM CONTRACTS WITH CUSTOMERS REVENUE FROM CONTRACTS WITH CUSTOMERS
Disaggregated Revenue
In general, the Company’s business segmentation is aligned according to the nature and economic characteristics of its products and customer relationships and provides meaningful disaggregation of each business segment’s results of operations. For a summary by disaggregated product line sales for each segment, refer to Note 14, “Segment Information.”
Revenue recognized from products and services transferred to customers over time for the three and six months ended July 3, 2020 represented 25% and 28%, respectively, of total revenue. Revenue recognized from products and services transferred to customers over time for the three and six months ended June 28, 2019 represented 10% and 12%, respectively, of total revenue, All revenue recognized from products and services transferred to customers over time during the periods presented was within the Medical segment.
The following table presents revenues by significant customers, which are defined as any customer who individually represents 10% or more of a segment’s total revenues.
Three Months Ended
July 3, 2020June 28, 2019
CustomerMedical Non-Medical Medical Non-Medical
Customer A23%*21%*
Customer B16%*18%*
Customer C10%*13%*
Customer D*23%*25%
Customer E*15%**
All other customers51%62%48%75%

Six Months Ended
July 3, 2020June 28, 2019
CustomerMedicalNon-MedicalMedicalNon-Medical
Customer A21%*23%*
Customer B16%*18%*
Customer C14%*12%*
Customer D*21%*25%
Customer E12%**
All other customers49%67%47%75%
__________
* Less than 10% of segment’s total revenues for the period.

The following tables present revenues by significant ship to location, which is defined as any country where 10% or more of a segment’s total revenues are shipped.
Three Months Ended
July 3, 2020June 28, 2019
Ship to LocationMedical Non-Medical Medical Non-Medical
United States55%54%56%56%
Puerto Rico**12%*
Singapore*11%*10%
Canada*14%*14%
All other countries45%21%32%20%
(15.) REVENUE FROM CONTRACTS WITH CUSTOMERS (Continued)

Six Months Ended
July 3, 2020June 28, 2019
Ship to LocationMedicalNon-MedicalMedicalNon-Medical
United States55%49%56%56%
Puerto Rico11%*13%*
United Kingdom*12%**
Singapore*12%**
Canada*13%*14%
All other countries34%14%31%30%
__________
* Less than 10% of segment’s total revenues for the period.
Contract Balances
The opening and closing balances of the Company’s contract assets and contract liabilities are as follows (in thousands):
July 3,
2020		December 31,
2019
Contract assets$37,389  $24,767  
Contract liabilities included in accrued expenses and other current liabilities$2,415  $1,975  
Contract assets at July 3, 2020, increased $12.6 million from December 31, 2019, due to a new contract with a customer where control is transferred over time. During the three and six months ended July 3, 2020, the Company recognized $1.0 million and $1.1 million, respectively, of revenue that was included in the contract liability balance as of December 31, 2019. During the three and six months ended June 28, 2019, the Company recognized $0.1 million and $0.4 million, respectively, of revenue that was included in the contract liability balance as of December 28, 2018.
v3.20.2
Discontinued Operations
 6 Months Ended
Jul. 03, 2020
Discontinued Operations and Disposal Groups [Abstract]  
DISCONTINUED OPERATIONS DISCONTINUED OPERATIONS
On July 2, 2018, the Company completed the sale of its AS&O Product Line to Viant. In connection with the sale, the parties executed a transition services agreement whereby the Company would provide certain corporate services (including accounting, payroll, and information technology services) to Viant for a period of up to one year from the date of the closing to facilitate an orderly transfer of business operations. Viant paid Integer for these services as specified in the transition services agreement, which were complete as of June 28, 2019. For the performance of services during the three and six months ended June 28, 2019, the Company recognized $1.2 million and $2.9 million, respectively, of income under the transition services agreement. For the six months ended June 28, 2019, $0.1 million is within Cost of sales and for the three and six months ended June 28, 2019, $1.2 million and $2.8 million, is within Selling, general and administrative expenses.
During the quarter ended June 28, 2019, the Company received $4.8 million due to a net working capital adjustment agreed to with Viant. This was recognized as gain on sale from discontinued operations during the quarter ended June 28, 2019.
The operating results of the AS&O Product Line have been classified as discontinued operations in the Condensed Consolidated Statements of Operations for all periods presented. The discontinued operations of the AS&O Product Line are reported in the Medical segment. Income from discontinued operations net of taxes, were as follows (in thousands):
 Three Months EndedSix Months Ended
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Gain on sale of discontinued operations$—  $(4,974) $—  $(4,974) 
Other income, net—  44  —  (342) 
Provision for income taxes—  95  —  178  
Income from discontinued operations$—  $4,835  $—  $5,138  
Cash flow information from discontinued operations was as follows (in thousands):
 Six Months Ended
July 3,
2020		June 28,
2019
Cash used in operating activities$—  $(58) 
Cash provided by investing activities—  4,734  
v3.20.2
Recent Developments
 6 Months Ended
Jul. 03, 2020
Subsequent Events [Abstract]  
RECENT DEVELOPMENTS RECENT DEVELOPMENTS
Beginning in early March 2020, the global spread of the novel coronavirus (“COVID-19”), has created significant uncertainty and worldwide economic disruption. Specific impacts to the Company’s business include delayed or reduced customer orders and sales, restrictions on its associates’ ability to travel or work, delays in shipments to and from certain countries, and disruptions in its supply chain. Further, the collapse in the demand for oil caused by this unprecedented global health and economic crisis, coupled with oil oversupply, has adversely impacted the demand for products in the Company’s Non-Medical reportable segment. Considering these events and circumstances, the Company elected to bypass a qualitative analysis of its Non-Medical reporting unit’s goodwill and performed a quantitative analysis as of the first quarter of 2020. The fair value of the Non-Medical reporting unit exceeded its carrying amount as of April 3, 2020.
In response to COVID-19 and the related uncertainty, the Company is taking prudent measures to improve its liquidity and strengthen its financial position. On April 10, 2020, the Company drew a $160 million portion of its Revolving Credit Facility to protect against a prolonged pandemic coupled with financial market illiquidity. Additionally, on July 13, 2020, the Company amended the terms of its senior secured credit facility to increase the total net leverage ratio.
The extent to which COVID-19 impacts the Company’s operations will depend on future developments, which are highly uncertain, including, among others, the duration of the outbreak, new information that may emerge concerning the severity of COVID-19 and the actions, especially those taken by governmental authorities, to contain the pandemic or treat its impact. As pandemic-related events continue to evolve, additional impacts may arise that the Company is not aware of currently. Any prolonged material disruption of the Company’s associates, suppliers, manufacturing, or customers could materially impact its consolidated financial position, results of operations or cash flows.
v3.20.2
Basis of Presentation (Policies)
 6 Months Ended
Jul. 03, 2020
Accounting Policies [Abstract]  
Interim Basis of Accounting The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information (Accounting Standards Codification (“ASC”) 270, Interim Reporting) and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, these financial statements do not include all of the information necessary for a full presentation of financial position, results of operations, and cash flows in conformity with accounting principles generally accepted in the United States of America (“GAAP”). In the opinion of management, the condensed consolidated financial statements reflect all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation of the results of the Company for the periods presented. Intercompany transactions and balances have been fully eliminated in consolidation.Operating results for interim periods are not necessarily indicative of results that may be expected for the fiscal year as a whole. For further information, refer to the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019.
Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, certain components of equity, sales, expenses, and related disclosures at the date of the financial statements and during the reporting period. Actual results could differ materially from these estimates.
Recent Accounting Pronouncements
Recent Accounting Pronouncements
The Company considers the applicability and impact of all Accounting Standard Updates (“ASU”) issued by the Financial Accounting Standards Board ("FASB"). ASUs not yet adopted that are not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated results of operations, financial position and cash flows. With the exception of the accounting pronouncements adopted as discussed below, there have been no new or material changes to the significant accounting policies discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019, that are of significance, or potential significance, to the Company.
(1.) BASIS OF PRESENTATION (Continued)
Recently Adopted Accounting Guidance
Adoption of Accounting Standards Codification Topic 326
The Company adopted ASC 326, Financial Instruments-Credit Losses, effective January 1, 2020. Under the current expected credit losses (“CECL”) model, the Company immediately recognizes an estimate of credit losses expected to occur over the life of the financial asset at the time the financial asset is originated or acquired.  Estimated credit losses are determined by taking into consideration historical loss conditions, current conditions and reasonable and supportable forecasts.  Changes to the expected lifetime credit losses are recognized each period. The adoption of ASC 326 did not have a material impact to the Company’s Condensed Consolidated Financial Statements.
In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848) - Facilitation of the Effects of Reference Rate Reform on Financial Reporting, in response to concerns about structural risks of interbank offered rates (“IBORs”). ASU 2020-04 provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions if certain criteria are met. The ASU applies only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The amendments in ASU 2020-04 are effective for all entities as of March 12, 2020 through December 31, 2022. ASU 2020-04 has not yet affected the Company’s Condensed Consolidated Financial Statements.
Income Taxes The income tax provision for interim periods is determined using an estimate of the annual effective tax rate, adjusted for discrete items, if any, that are taken into account in the relevant period. Each quarter, the estimate of the annual effective tax rate is updated, and if the estimated effective tax rate changes, a cumulative adjustment is made. There is a potential for volatility of the effective tax rate due to several factors, including discrete items, changes in the mix and amount of pre-tax income and the jurisdictions to which it relates, changes in tax laws and foreign tax holidays, business reorganizations, settlements with taxing authorities and foreign currency fluctuations. In addition, the Company continues to explore tax planning opportunities that may have a material impact on its effective tax rate.
Cost And Equity Method Investments The Company holds long-term, strategic investments in companies to promote business and strategic objectives. These investments are included in Other Long-Term Assets on the Condensed Consolidated Balance Sheets. Non-marketable equity securities are equity securities without readily determinable fair value. The Company has elected the practicability exception to use an alternative approach that measures the securities at cost minus impairment, if any, plus or minus changes resulting from qualifying observable price changes.
v3.20.2
Supplemental Cash Flow Information (Tables)
 6 Months Ended
Jul. 03, 2020
Supplemental Cash Flow Elements [Abstract]  
Schedule of Cash Flow, Supplemental Disclosures
The following is supplemental information relating to the Condensed Consolidated Statements of Cash Flows (in thousands):
Six Months Ended
July 3,
2020		June 28,
2019
Noncash investing and financing activities:
Property, plant and equipment purchases included in accounts payable$3,282  $2,297  
Purchase of intangible asset included in accrued expenses at period end500  —  
Supplemental lease disclosures:
Operating lease assets obtained in exchange for new or remeasured operating
lease liabilities		7,556  —  
v3.20.2
Inventories (Tables)
 6 Months Ended
Jul. 03, 2020
Inventory Disclosure [Abstract]  
Schedule of Inventory, Current
Inventories comprise the following (in thousands):
July 3,
2020		December 31,
2019
Raw materials$83,666  $79,742  
Work-in-process59,899  60,042  
Finished goods28,893  27,472  
Total$172,458  $167,256  
v3.20.2
Goodwill and Other Intangible Assets, Net (Tables)
 6 Months Ended
Jul. 03, 2020
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill
The changes in the carrying amount of goodwill by reportable segment for the six months ended July 3, 2020 were as follows (in thousands):
MedicalNon- MedicalTotal
December 31, 2019$822,617  $17,000  $839,617  
Foreign currency translation640  —  640  
Acquisitions and related adjustments (Note 2)4,715  —  4,715  
July 3, 2020$827,972  $17,000  $844,972  
Schedule of Finite-Lived Intangible Assets, Major Class
Intangible assets at July 3, 2020 and December 31, 2019 were as follows (in thousands):
Gross
Carrying
Amount		Accumulated
Amortization		Net
Carrying
Amount
July 3, 2020
Definite-lived:
Purchased technology and patents$253,740  $(144,969) $108,771  
Customer lists708,284  (145,379) 562,905  
Other4,099  (3,629) 470  
Total$966,123  $(293,977) $672,146  
Indefinite-lived:
Trademarks and tradenames$90,288  
December 31, 2019
Definite-lived:
Purchased technology and patents$248,264  $(138,435) $109,829  
Customer lists706,852  (131,185) 575,667  
Other3,503  (3,503) —  
Total$958,619  $(273,123) $685,496  
Indefinite-lived:
Trademarks and tradenames$90,288  
Schedule of Indefinite-Lived Intangible Assets
Intangible assets at July 3, 2020 and December 31, 2019 were as follows (in thousands):
Gross
Carrying
Amount		Accumulated
Amortization		Net
Carrying
Amount
July 3, 2020
Definite-lived:
Purchased technology and patents$253,740  $(144,969) $108,771  
Customer lists708,284  (145,379) 562,905  
Other4,099  (3,629) 470  
Total$966,123  $(293,977) $672,146  
Indefinite-lived:
Trademarks and tradenames$90,288  
December 31, 2019
Definite-lived:
Purchased technology and patents$248,264  $(138,435) $109,829  
Customer lists706,852  (131,185) 575,667  
Other3,503  (3,503) —  
Total$958,619  $(273,123) $685,496  
Indefinite-lived:
Trademarks and tradenames$90,288  
Schedule of Finite-Lived Intangible Assets, Amortization Expense
Aggregate intangible asset amortization expense comprises the following (in thousands):
 Three Months EndedSix Months Ended
 July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Cost of sales$3,172  $3,195  $6,441  $6,457  
Selling, general and administrative expenses6,979  6,636  14,154  13,228  
Total intangible asset amortization expense$10,151  $9,831  $20,595  $19,685  
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense
Estimated future intangible asset amortization expense based on the carrying value as of July 3, 2020 is as follows (in thousands):
Remainder of 2020202120222023 2024After 2024
Amortization Expense$20,289  40,766  39,727  38,320  37,378  495,666  
v3.20.2
Debt (Tables)
 6 Months Ended
Jul. 03, 2020
Debt Disclosure [Abstract]  
Schedule of Long-Term Debt
Long-term debt comprises the following (in thousands):
 July 3,
2020		December 31,
2019
Senior secured term loan A$248,437  $267,188  
Senior secured term loan B558,286  558,286  
Revolving line of credit170,000  —  
Unamortized discount on term loan B and debt issuance costs(8,838) (10,702) 
Total debt967,885  814,772  
Current portion of long-term debt(37,500) (37,500) 
Total long-term debt$930,385  $777,272  
Schedule of Maturities of Long-term Debt
Contractual maturities under the Senior Secured Credit Facilities for the remainder of 2020 and through maturity, excluding any discounts or premiums, as of July 3, 2020 are as follows (in thousands):
202020212022
Future minimum principal payments$18,750  37,500  920,473  
v3.20.2
Stock-Based Compensation (Tables)
 6 Months Ended
Jul. 03, 2020
Share-based Payment Arrangement [Abstract]  
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs
The components and classification of stock-based compensation expense were as follows (in thousands):
 Three Months EndedSix Months Ended
 July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Stock options$10  $102  $23  $203  
RSUs1,494  2,618  3,219  5,230  
Total stock-based compensation expense$1,504  $2,720  $3,242  $5,433  
Cost of sales$230  $281  $684  $598  
Selling, general and administrative expenses1,153  2,334  2,289  4,664  
Research, development and engineering costs121  58  269  124  
Other operating expenses—  47  —  47  
Total stock-based compensation expense$1,504  $2,720  $3,242  $5,433  
Schedule of Share-based Compensation, Stock Options Activity
The following table summarizes the Company’s stock option activity:
Number of
Stock
Options		Weighted
Average
Exercise
Price		Weighted
Average
Remaining
Contractual
Life
(In Years)		Aggregate
Intrinsic
Value
(In Millions)
Outstanding at December 31, 2019384,013  $34.96  
Exercised(66,131) 37.41  
Outstanding at July 3, 2020317,882  $34.45  4.8$12.0  
Exercisable at July 3, 2020315,332  $34.36  4.7$12.0  
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions
The weighted average fair value and assumptions used to value the TSR portion of the PRSUs granted are as follows:
 Six Months Ended
 July 3,
2020		June 28,
2019
Weighted average fair value$107.27  $117.03  
Risk-free interest rate1.29 %2.46 %
Expected volatility30 %40 %
Expected life (in years)2.92.8
Expected dividend yield— %— %
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity
The following table summarizes time-vested RSU activity:
Time-Vested
Activity		Weighted
Average
Grant Date Fair Value
Nonvested at December 31, 2019205,223  $64.75  
Granted140,121  84.26  
Vested(70,955) 56.60  
Forfeited(11,827) 74.76  
Nonvested at July 3, 2020262,562  $76.91  
The following table summarizes PRSU activity:
Performance-
Vested
Activity		Weighted
Average
Grant Date Fair Value
Nonvested at December 31, 2019191,592  $56.30  
Granted67,268  95.06  
Vested(35,363) 31.17  
Forfeited(4,106) 51.54  
Nonvested at July 3, 2020219,391  $72.33  
v3.20.2
Other Operating Expenses (Tables)
 6 Months Ended
Jul. 03, 2020
Other Income and Expenses [Abstract]  
Schedule of Other Operating Cost and Expense By Component
Other Operating Expenses consists of the following (in thousands):
 Three Months EndedSix Months Ended
 July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Strategic reorganization and alignment$138  $1,656  $686  $3,390  
Manufacturing alignment to support growth60  561  188  1,146  
2020 restructuring plan443  —  1,417  —  
Acquisition and integration expenses47  —  403  —  
Other general expenses1,341  891  2,263  1,462  
Total other operating expenses$2,029  $3,108  $4,957  $5,998  
Schedule of Changes in Accrued Liabilities
The following table summarizes the change in accrued liabilities, presented within Accrued Expense and Other Current Liabilities on the Condensed Consolidated Balance Sheets, related to the initiatives described above (in thousands):
Severance and RetentionOtherTotal
December 31, 2019$1,389  $596  $1,985  
Restructuring charges1,637  654  2,291  
Cash payments(2,466) (1,248) (3,714) 
July 3, 2020$560  $2  $562  
v3.20.2
Commitments and Contingencies (Tables)
 6 Months Ended
Jul. 03, 2020
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Product Warranty Liability The change in product warranty liability was comprised of the following (in thousands):
December 31, 2019$1,933  
Additions to warranty reserve, net of reversals(117) 
Adjustments to pre-existing warranties (66) 
Warranty claims settled(997) 
July 3, 2020$753  
v3.20.2
Earnings Per Share (EPS) (Tables)
 6 Months Ended
Jul. 03, 2020
Earnings Per Share [Abstract]  
Schedule of Calculation of Numerator and Denominator in Earnings Per Share
The following table sets forth a reconciliation of the information used in computing basic and diluted EPS (in thousands, except per share amounts):
 Three Months EndedSix Months Ended
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Numerator for basic and diluted EPS:
Income from continuing operations$389  $28,222  $31,489  $49,588  
Income from discontinued operations—  4,835  —  5,138  
Net income$389  $33,057  $31,489  $54,726  
Denominator for basic and diluted EPS:
Weighted average shares outstanding - Basic32,834  32,621  32,820  32,579  
Dilutive effect of share-based awards295  388  303  416  
Weighted average shares outstanding - Diluted33,129  33,009  33,123  32,995  
Basic earnings per share:
Income from continuing operations$0.01  $0.87  $0.96  $1.52  
Income from discontinued operations—  0.15  —  0.16  
Basic earnings per share0.01  1.01  0.96  1.68  
Diluted earnings per share:
Income from continuing operations$0.01  $0.85  $0.95  $1.50  
Income from discontinued operations—  0.15  —  0.16  
Diluted earnings per share0.01  1.00  0.95  1.66  
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share
The diluted weighted average share calculations do not include the following securities, which are not dilutive to the EPS calculations or the performance criteria have not been met (in thousands):
 Three Months EndedSix Months Ended
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Time-vested stock options, RSAs and RSUs146  53  131  56  
Performance-vested restricted stock and PRSUs12  48  16  47  
v3.20.2
Stockholders' Equity (Tables)
 6 Months Ended
Jul. 03, 2020
Stockholders' Equity Note [Abstract]  
Schedule of Common Stock Outstanding Roll Forward
The following is a summary of the number of shares of common stock issued, treasury stock and common stock outstanding for the six month periods ended July 3, 2020 and June 28, 2019:
Six Months Ended July 3, 2020Six Months Ended June 28, 2019
IssuedTreasury StockOutstandingIssuedTreasury StockOutstanding
Balance, beginning of period32,847,017  (146,546) 32,700,471  32,624,494  (151,327) 32,473,167  
Stock options exercised—  66,131  66,131  93,472  —  93,472  
RSAs issued, net of forfeitures,
and vesting of RSUs		—  71,950  71,950  98,656  (24,681) 73,975  
Balance, end of period32,847,017  (8,465) 32,838,552  32,816,622  (176,008) 32,640,614  
Schedule of Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss) (“AOCI”) comprises the following (in thousands):
Defined
Benefit
Plan
Liability		Cash
Flow
Hedges		Foreign
Currency
Translation
Adjustment		Total
Pre-Tax
Amount		TaxNet-of-Tax
Amount
April 3, 2020$(912) $(13,281) $10,607  $(3,586) $2,913  $(673) 
Unrealized gain on cash flow hedges—  1,493  —  1,493  (314) 1,179  
Realized loss on foreign currency hedges—  680  —  680  (142) 538  
Realized loss on interest rate swap hedge—  617  —  617  (130) 487  
Foreign currency translation gain—  —  12,948  12,948  —  12,948  
July 3, 2020$(912) $(10,491) $23,555  $12,152  $2,327  $14,479  
December 31, 2019$(912) $(2,358) $22,639  $19,369  $619  $19,988  
Unrealized loss on cash flow hedges—  (9,981) —  (9,981) 2,096  (7,885) 
Realized loss on foreign currency hedges—  483  —  483  (101) 382  
Realized loss on interest rate swap hedges—  1,365  —  1,365  (287) 1,078  
Foreign currency translation gain—  —  916  916  —  916  
July 3, 2020$(912) $(10,491) $23,555  $12,152  $2,327  $14,479  
March 29, 2019$(295) $2,551  $23,701  $25,957  $(493) $25,464  
Unrealized loss on cash flow hedges—  (4,415) —  (4,415) 927  (3,488) 
Realized loss on foreign currency hedges—  11  —  11  (2) 9  
Realized gain on interest rate swap hedges—  (714) —  (714) 150  (564) 
Foreign currency translation gain—  —  4,510  4,510  —  4,510  
June 28, 2019$(295) $(2,567) $28,211  $25,349  $582  $25,931  
December 28, 2018$(295) $3,439  $30,539  $33,683  $(679) $33,004  
Unrealized loss on cash flow hedges—  (4,569) —  (4,569) 959  (3,610) 
Realized gain on foreign currency hedges—  (34) —  (34) 7  (27) 
Realized gain on interest rate swap hedge—  (1,403) —  (1,403) 295  (1,108) 
Foreign currency translation loss—  —  (2,328) (2,328) —  (2,328) 
June 28, 2019$(295) $(2,567) $28,211  $25,349  $582  $25,931  
v3.20.2
Financial Instruments and Fair Value Measurements (Tables)
 6 Months Ended
Jul. 03, 2020
Fair Value Disclosures [Abstract]  
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis
The following tables provide information regarding assets and liabilities recorded at fair value on a recurring basis (in thousands):
Fair ValueQuoted
Prices in
Active
Markets
(Level 1)		Significant
Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)
July 3, 2020
Liabilities: Foreign currency contracts$1,398  $—  $1,398  $—  
Liabilities: Interest rate swaps9,093  —  9,093  —  
Liabilities: Contingent consideration (Note 2)5,387  —  —  5,387  
Liabilities: Contingent consideration (Note 5)500  —  —  500  
December 31, 2019
Assets: Foreign currency contracts$710  $—  $710  $—  
Liabilities: Interest rate swaps3,068  —  3,068  —  
Liabilities: Contingent consideration (Note 2)4,200  —  —  4,200  
Information regarding the Company’s outstanding interest rate swaps designated as cash flow hedges as of July 3, 2020 is as follows (dollars in thousands):
Notional AmountStart DateEnd
Date		Pay Fixed RateReceive Current Floating RateFair ValueBalance Sheet Location
$45,000  Jul 2019Jul 20201.8900 %0.1836 %$(51) Accrued expenses and other current liabilities
200,000  Jun 2020Jun 20232.1785  0.1803  (9,042) Other long-term liabilities
(13.)  FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS (Continued)
Information regarding the Company’s outstanding interest rate swaps designated as cash flow hedges as of December 31, 2019 is as follows (dollars in thousands):
Notional AmountStart DateEnd
Date		Pay Fixed RateReceive Current Floating RateFair ValueBalance Sheet Location
$200,000  Jun 2017Jun 20201.1325 %1.7920 %$543  Accrued expenses and other current liabilities
65,000  Jul 2019Jul 20201.8900  1.7920  (72) Accrued expenses and other current liabilities
400,000  Apr 2019Apr 20202.4150  1.7101  (730) Accrued expenses and other current liabilities
200,000  Jun 2020Jun 20232.1785  
(a)
(2,809) Other long-term liabilities
__________
(a) The interest rate swap did not take effect until June 2020.
Information regarding outstanding foreign currency forward contracts designated as cash flow hedges as of July 3, 2020 is as follows (dollars in thousands):
Notional AmountStart
Date		End
Date		$/Foreign CurrencyFair ValueBalance Sheet Location
$8,756  Apr 2020Sep 20201.0945Euro$250  Prepaid expenses and other current assets
15,332  Jul 2020Dec 20200.0491MXN Peso(1,559) Accrued expenses and other current liabilities
4,285  Mar 2020Dec 20200.0241UYU Peso(89) Accrued expenses and other current liabilities
Information regarding outstanding foreign currency contracts designated as cash flow hedges as of December 31, 2019 is as follows (dollars in thousands):
Notional AmountStart
Date		End
Date		$/Foreign CurrencyFair ValueBalance Sheet Location
$11,166  Jan 2020Jun 20200.0490MXN Peso$710  Prepaid expenses and other current assets
Schedule of Estimated Fair Values for Contingent Consideration
The following table presents the changes in the estimated fair values of the Company’s liabilities for contingent consideration measured using significant unobservable inputs (Level 3) for the six months ended July 3, 2020 (in thousands):
December 31, 2019$4,200  
Contingent consideration liabilities recorded for acquisitions
2,700  
Fair value adjustment included in Other operating expenses(500) 
Settlements
(500) 
Foreign currency translation(13) 
July 3, 2020$5,887  
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss)
The following table presents the impact of cash flow hedge derivative instruments on other comprehensive income (“OCI”), AOCI and the Company’s Condensed Consolidated Statement of Operations for the three and six months ended July 3, 2020 and June 28, 2019 (in thousands):
Three Months Ended
July 3, 2020June 28, 2019
TotalAmount of Gain (Loss) on Cash Flow Hedge ActivityTotalAmount of Gain (Loss) on Cash Flow Hedge Activity
Sales$240,115  $87  $314,194  $(473) 
Cost of sales182,252  (733) 217,210  462  
Operating expenses48,678  (34) 47,647  —  
Interest expense9,273  (617) 13,612  714  
Six Months Ended
July 3, 2020June 28, 2019
TotalAmount of Loss on Cash Flow Hedge ActivityTotalAmount of Gain (Loss) on Cash Flow Hedge Activity
Sales$568,541  $(41) $628,870  $(794) 
Cost of sales413,976  (408) 443,276  828  
Operating expenses101,304  (34) 97,088  —  
Interest expense19,634  (1,365) 27,442  1,403  
The following tables present the amounts affecting the Condensed Consolidated Statements of Operations and Condensed Consolidated Statements of Comprehensive Income for the three and six months ended July 3, 2020 and June 28, 2019 (in thousands):
Unrealized Gain (Loss) Recognized in OCIRealized Gain (Loss) Reclassified from AOCI
Three months ended,Location in Statement of OperationsThree months ended,
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Interest rate swap$(1,003) $(5,151) Interest expense$(617) $714  
Foreign exchange forwards483  1  Sales87  (473) 
Foreign exchange forwards2,085  735  Cost of sales(733) 462  
Foreign exchange forwards(72) —  Operating expenses(34) —  

Unrealized Gain (Loss) Recognized in OCIRealized Gain (Loss) Reclassified from AOCI
Six Months EndedLocation in Statement of OperationsSix Months Ended
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Interest rate swaps$(7,390) $(5,599) Interest expense$(1,365) $1,403  
Foreign exchange contracts209  (699) Sales(41) (794) 
Foreign exchange contracts(2,728) 1,729  Cost of sales(408) 828  
Foreign exchange forwards(72) —  Operating expenses(34) —  
Schedule of Equity Method Investments
Equity investments are comprised of the following (in thousands):
July 3,
2020		December 31,
2019
Equity method investment$17,888  $16,167  
Non-marketable equity securities6,092  6,092  
Total equity investments
$23,980  $22,259  
(13.)  FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS (Continued)
The components of (Gain) Loss on Equity Investments, Net for each period were as follows (in thousands):
Three Months EndedSix Months Ended
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Equity method investment (income) loss$205  $36  $(1,720) $77  
Impairment charges—  1,575  —  1,575  
Total (gain) loss on equity investments, net
$205  $1,611  $(1,720) $1,652  
v3.20.2
Segment Information (Tables)
 6 Months Ended
Jul. 03, 2020
Segment Reconciliation [Abstract]  
Reconciliation of Revenue from Segments to Consolidated
The following table presents sales from continuing operations by product line (in thousands).
 Three Months EndedSix Months Ended
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Segment sales from continuing operations by product line:
Medical
Cardio & Vascular$129,084  $150,397  $308,289  $302,971  
Cardiac & Neuromodulation71,675  114,488  179,495  231,399  
Advanced Surgical, Orthopedics & Portable Medical30,625  32,646  61,862  64,234  
Total Medical231,384  297,531  549,646  598,604  
Non-Medical8,731  16,663  18,895  30,266  
Total sales from continuing operations$240,115  $314,194  $568,541  $628,870  
Reconciliation of Operating Profit (Loss) from Segments to Consolidated
The following table presents income from continuing operations for the Company’s reportable segments (in thousands).
 Three Months EndedSix Months Ended
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Segment income from continuing operations:
Medical$26,910  $63,706  $92,126  $120,086  
Non-Medical2,467  5,298  3,680  9,609  
Total segment income29,377  69,004  95,806  129,695  
Unallocated operating expenses(20,192) (19,667) (42,545) (41,189) 
Operating income9,185  49,337  53,261  88,506  
Unallocated expenses, net(9,020) (14,505) (16,457) (28,542) 
Income from continuing operations before taxes$165  $34,832  $36,804  $59,964  
v3.20.2
Revenue From Contracts With Customers (Tables)
 6 Months Ended
Jul. 03, 2020
Revenue from Contract with Customer [Abstract]  
Schedule of Revenue by Major Customers by Reporting Segments
The following table presents revenues by significant customers, which are defined as any customer who individually represents 10% or more of a segment’s total revenues.
Three Months Ended
July 3, 2020June 28, 2019
CustomerMedical Non-Medical Medical Non-Medical
Customer A23%*21%*
Customer B16%*18%*
Customer C10%*13%*
Customer D*23%*25%
Customer E*15%**
All other customers51%62%48%75%

Six Months Ended
July 3, 2020June 28, 2019
CustomerMedicalNon-MedicalMedicalNon-Medical
Customer A21%*23%*
Customer B16%*18%*
Customer C14%*12%*
Customer D*21%*25%
Customer E12%**
All other customers49%67%47%75%
__________
* Less than 10% of segment’s total revenues for the period.

The following tables present revenues by significant ship to location, which is defined as any country where 10% or more of a segment’s total revenues are shipped.
Schedule of Revenue by Ship To Location
The following table presents revenues by significant customers, which are defined as any customer who individually represents 10% or more of a segment’s total revenues.
Three Months Ended
July 3, 2020June 28, 2019
CustomerMedical Non-Medical Medical Non-Medical
Customer A23%*21%*
Customer B16%*18%*
Customer C10%*13%*
Customer D*23%*25%
Customer E*15%**
All other customers51%62%48%75%

Six Months Ended
July 3, 2020June 28, 2019
CustomerMedicalNon-MedicalMedicalNon-Medical
Customer A21%*23%*
Customer B16%*18%*
Customer C14%*12%*
Customer D*21%*25%
Customer E12%**
All other customers49%67%47%75%
__________
* Less than 10% of segment’s total revenues for the period.

The following tables present revenues by significant ship to location, which is defined as any country where 10% or more of a segment’s total revenues are shipped.
Three Months Ended
July 3, 2020June 28, 2019
Ship to LocationMedical Non-Medical Medical Non-Medical
United States55%54%56%56%
Puerto Rico**12%*
Singapore*11%*10%
Canada*14%*14%
All other countries45%21%32%20%
(15.) REVENUE FROM CONTRACTS WITH CUSTOMERS (Continued)

Six Months Ended
July 3, 2020June 28, 2019
Ship to LocationMedicalNon-MedicalMedicalNon-Medical
United States55%49%56%56%
Puerto Rico11%*13%*
United Kingdom*12%**
Singapore*12%**
Canada*13%*14%
All other countries34%14%31%30%
__________
* Less than 10% of segment’s total revenues for the period.
Schedule of Contract with Customer, Asset and Liability
July 3,
2020		December 31,
2019
Contract assets$37,389  $24,767  
Contract liabilities included in accrued expenses and other current liabilities$2,415  $1,975  
v3.20.2
Discontinued Operations (Tables)
 6 Months Ended
Jul. 03, 2020
Discontinued Operations and Disposal Groups [Abstract]  
Summary of discontinued operations Income from discontinued operations net of taxes, were as follows (in thousands):
 Three Months EndedSix Months Ended
July 3,
2020		June 28,
2019		July 3,
2020		June 28,
2019
Gain on sale of discontinued operations$—  $(4,974) $—  $(4,974) 
Other income, net—  44  —  (342) 
Provision for income taxes—  95  —  178  
Income from discontinued operations$—  $4,835  $—  $5,138  
Cash flow information from discontinued operations was as follows (in thousands):
 Six Months Ended
July 3,
2020		June 28,
2019
Cash used in operating activities$—  $(58) 
Cash provided by investing activities—  4,734  
v3.20.2
Basis of Presentation (Narrative) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jul. 03, 2020
Accounting Policies [Abstract]    
Accounts receivable sold $ 15.4 $ 30.9
v3.20.2
Business Acquisitions (Acquisition of Assets from InoMec Narrative) (Details) - USD ($)
$ in Thousands
Feb. 19, 2020
Jul. 03, 2020
Dec. 31, 2019
Business Acquisition [Line Items]      
Goodwill   $ 844,972 $ 839,617
InoMec Ltd      
Business Acquisition [Line Items]      
Consideration transferred $ 7,000    
Payments to acquire business 5,300    
Fair value of contingent consideration recognized 1,700    
Contingent consideration, range of outcomes, value, high $ 3,500    
Contingent consideration payment period 4 years    
Intangible assets acquired $ 2,000    
Goodwill 4,800    
Property, plant and equipment acquired 300    
Other working capital items acquired $ 100    
Acquired finite-lived intangible assets, weighted average useful life 5 years 10 months 24 days    
v3.20.2
Business Acquisitions (Acquisition of Assets from US BioDesign Narrative) (Details) - USD ($)
$ in Thousands
 3 Months Ended
Oct. 07, 2019
Apr. 04, 2020
Jul. 03, 2020
Dec. 31, 2019
Business Acquisition [Line Items]        
Goodwill     $ 844,972 $ 839,617
US BioDesign LLC        
Business Acquisition [Line Items]        
Consideration transferred $ 19,100      
Payments to acquire business 14,900      
Consideration transferred working capital adjustment   $ 100    
Liabilities incurred 4,200      
Contingent consideration, range of outcomes, value, high 5,500      
Goodwill 10,400      
Property, plant and equipment acquired 700      
Other working capital items acquired 600      
Goodwill, working capital adjustment 100      
Technology | US BioDesign LLC        
Business Acquisition [Line Items]        
Finite-lived intangibles acquired $ 7,400      
Useful life of acquired intangible asset 8 years      
v3.20.2
Business Acquisitions (Narrative) (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Business Acquisition [Line Items]        
Sales $ 240,115 $ 314,194 $ 568,541 $ 628,870
InoMec Ltd And US BioDesign LLC        
Business Acquisition [Line Items]        
Sales $ 1,800   3,200  
Acquisition related costs     900  
InoMec Ltd And US BioDesign LLC | Other operating expenses        
Business Acquisition [Line Items]        
Acquisition related costs     $ 800  
v3.20.2
Supplemental Cash Flow Information (Details) - USD ($)
$ in Thousands
 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Noncash investing and financing activities:    
Property, plant and equipment purchases included in accounts payable $ 3,282 $ 2,297
Purchase of intangible asset included in accrued expenses at period end 500 0
Supplemental lease disclosures:    
Operating lease assets obtained in exchange for new or remeasured operating lease liabilities $ 7,556 $ 0
v3.20.2
Inventories (Details) - USD ($)
$ in Thousands
Jul. 03, 2020
Dec. 31, 2019
Inventory Disclosure [Abstract]    
Raw materials $ 83,666 $ 79,742
Work-in-process 59,899 60,042
Finished goods 28,893 27,472
Total $ 172,458 $ 167,256
v3.20.2
Goodwill and Other Intangible Assets, Net (Schedule of Goodwill) (Details)
$ in Thousands
 6 Months Ended
Jul. 03, 2020
USD ($)
Goodwill [Roll Forward]  
Opening goodwill $ 839,617
Foreign currency translation 640
Goodwill, acquired during period 4,715
Closing goodwill 844,972
Medical  
Goodwill [Roll Forward]  
Opening goodwill 822,617
Foreign currency translation 640
Goodwill, acquired during period 4,715
Closing goodwill 827,972
Non-Medical  
Goodwill [Roll Forward]  
Opening goodwill 17,000
Foreign currency translation 0
Goodwill, acquired during period 0
Closing goodwill $ 17,000
v3.20.2
Goodwill and Other Intangible Assets, Net (Schedule of Definite-Lived and Indefinite-Lived Intangible Assets, Major Class) (Details) - USD ($)
$ in Thousands
Jul. 03, 2020
Dec. 31, 2019
Finite-Lived Intangible Assets [Line Items]    
Gross carrying amount $ 966,123 $ 958,619
Accumulated amortization (293,977) (273,123)
Total estimated amortization expense 672,146 685,496
Trademarks And Tradenames    
Finite-Lived Intangible Assets [Line Items]    
Indefinite-lived intangible assets (excluding goodwill) 90,288 90,288
Purchased technology and patents    
Finite-Lived Intangible Assets [Line Items]    
Gross carrying amount 253,740 248,264
Accumulated amortization (144,969) (138,435)
Total estimated amortization expense 108,771 109,829
Customer lists    
Finite-Lived Intangible Assets [Line Items]    
Gross carrying amount 708,284 706,852
Accumulated amortization (145,379) (131,185)
Total estimated amortization expense 562,905 575,667
Other    
Finite-Lived Intangible Assets [Line Items]    
Gross carrying amount 4,099 3,503
Accumulated amortization (3,629) (3,503)
Total estimated amortization expense $ 470 $ 0
v3.20.2
Goodwill and Other Intangible Assets, Net (Narrative) (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Feb. 19, 2020
Jul. 03, 2020
Jul. 03, 2020
Jun. 28, 2019
Dec. 31, 2019
Finite-Lived Intangible Assets [Line Items]          
Payments to acquire intangible assets     $ 4,107 $ 0  
Gross carrying amount   $ 966,123 966,123   $ 958,619
Purchased technology and patents          
Finite-Lived Intangible Assets [Line Items]          
Gross carrying amount   253,740 253,740   $ 248,264
Purchased technology and patents | Non-Medical          
Finite-Lived Intangible Assets [Line Items]          
Payments to acquire intangible assets $ 3,500 500      
Asset acquisition contingent consideration   500 500    
Finite-lived intangible asset, acquisition costs capitalized     100    
Gross carrying amount   $ 4,600 $ 4,600    
Intangible asset acquired, remaining amortization period     11 years    
v3.20.2
Goodwill and Other Intangible Assets, Net (Schedule of Finite-Lived Intangible Assets, Amortization Expense) (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Finite-Lived Intangible Assets [Line Items]        
Total intangible asset amortization expense $ 10,151 $ 9,831 $ 20,595 $ 19,685
Cost of sales        
Finite-Lived Intangible Assets [Line Items]        
Total intangible asset amortization expense 3,172 3,195 6,441 6,457
Selling, general and administrative expenses        
Finite-Lived Intangible Assets [Line Items]        
Total intangible asset amortization expense $ 6,979 $ 6,636 $ 14,154 $ 13,228
v3.20.2
Goodwill and Other Intangible Assets, Net (Schedule of Finite-Lived Intangible Assets, Future Amortization Expense) (Details)
$ in Thousands
Jul. 03, 2020
USD ($)
Finite-Lived Intangible Assets, Amortization Expense, Maturity Schedule [Abstract]  
Remainder of 2020 $ 20,289
2021 40,766
2022 39,727
2023 38,320
2024 37,378
After 2024 $ 495,666
v3.20.2
Debt (Schedule of Long-Term Debt) (Details) - USD ($)
$ in Thousands
Jul. 03, 2020
Dec. 31, 2019
Debt Instrument [Line Items]    
Unamortized discount on term loan B and debt issuance costs $ (8,838) $ (10,702)
Total debt 967,885 814,772
Current portion of long-term debt (37,500) (37,500)
Total long-term debt 930,385 777,272
Secured Debt | Loans Payable | Term Loan A (TLA) Facility    
Debt Instrument [Line Items]    
Long-term debt, gross 248,437 267,188
Secured Debt | Loans Payable | Term Loan B (TLB) Facility    
Debt Instrument [Line Items]    
Long-term debt, gross 558,286 558,286
Secured Debt | Revolving Credit Facility | New Revolving Credit Facility 2015    
Debt Instrument [Line Items]    
Long-term debt, gross $ 170,000 $ 0
v3.20.2
Debt (Credit Facility) (Details)
 3 Months Ended 6 Months Ended 12 Months Ended 13 Months Ended
Jul. 13, 2020
USD ($)
Oct. 27, 2015
USD ($)
Oct. 01, 2021
Jun. 28, 2019
USD ($)
Jul. 03, 2020
USD ($)
Jun. 28, 2019
USD ($)
Jul. 02, 2021
Oct. 27, 2022
Debt Instrument [Line Items]                
Loss on extinguishment of debt       $ 600,000   $ 1,000,000.0    
Secured Debt | Revolving Credit Facility | New Revolving Credit Facility 2015                
Debt Instrument [Line Items]                
Credit facility maximum borrowing capacity   $ 200,000,000            
Line of credit facility, remaining borrowing capacity         $ 23,300,000      
Letters of credit outstanding, amount         $ 170,000,000.0      
Interest rate during period         2.18%      
Secured Debt | Loans Payable | Term Loan B (TLB) Facility                
Debt Instrument [Line Items]                
Debt instrument, discount, percentage   1.00%            
Debt weighted average interest rate         3.50%      
Secured Debt | Loans Payable | Term Loan B (TLB) Facility | Prime Rate                
Debt Instrument [Line Items]                
Variable rate basis spread   1.50%            
Secured Debt | Loans Payable | Term Loan B (TLB) Facility | London Interbank Offered Rate (LIBOR)                
Debt Instrument [Line Items]                
Variable rate basis spread   2.50%            
Debt instrument, interest rate, floor   1.00%            
Secured Debt | Loans Payable | Term Loan A (TLA) Facility                
Debt Instrument [Line Items]                
Debt weighted average interest rate         2.19%      
Debt instrument, covenant compliance, adjusted EBITDA to interest expense ratio   3.00            
Net leverage ratio incremental increase option   4.00            
Secured Debt | Loans Payable | Term Loan A (TLA) Facility | Subsequent Event                
Debt Instrument [Line Items]                
Line of credit facility, unused capacity, commitment fee percentage 0.10%              
Debt instrument, covenant compliance, maximum leverage ratio     4.50       4.75 4.00
Net leverage ratio incremental increase option 0.50              
Eligible adjustment acquisition threshold $ 40,000,000              
Deferred amendment fee, quarterly installment rate 0.03125%              
Debt instrument, covenant compliance, maximum leverage ratio threshold for deferred amendment fee 3.00              
Secured Debt | Swingline Loans | New Revolving Credit Facility 2015                
Debt Instrument [Line Items]                
Credit facility maximum borrowing capacity   $ 15,000,000            
Secured Debt | Standby Letters of Credit | New Revolving Credit Facility 2015                
Debt Instrument [Line Items]                
Credit facility maximum borrowing capacity   $ 25,000,000            
Secured Debt | Minimum | Revolving Credit Facility | New Revolving Credit Facility 2015                
Debt Instrument [Line Items]                
Line of credit facility, unused capacity, commitment fee percentage   0.175%            
Secured Debt | Minimum | Loans Payable | Term Loan A (TLA) Facility | Prime Rate                
Debt Instrument [Line Items]                
Variable rate basis spread         0.50%      
Secured Debt | Minimum | Loans Payable | Term Loan A (TLA) Facility | London Interbank Offered Rate (LIBOR)                
Debt Instrument [Line Items]                
Variable rate basis spread         1.50%      
Secured Debt | Maximum | Revolving Credit Facility | New Revolving Credit Facility 2015                
Debt Instrument [Line Items]                
Line of credit facility, unused capacity, commitment fee percentage   0.25%            
Secured Debt | Maximum | Loans Payable | Term Loan A (TLA) Facility | Prime Rate                
Debt Instrument [Line Items]                
Variable rate basis spread         2.00%      
Secured Debt | Maximum | Loans Payable | Term Loan A (TLA) Facility | London Interbank Offered Rate (LIBOR)                
Debt Instrument [Line Items]                
Variable rate basis spread         3.00%      
Standby Letters of Credit | Revolving Credit Facility | New Revolving Credit Facility 2015                
Debt Instrument [Line Items]                
Letters of credit outstanding, amount         $ 6,700,000      
v3.20.2
Debt (Long-term Debt Maturity Schedule) (Details)
$ in Thousands
Jul. 03, 2020
USD ($)
Debt Disclosure [Abstract]  
2020 $ 18,750
2021 37,500
2022 $ 920,473
v3.20.2
Stock-Based Compensation (Allocation of Recognized Period Costs) (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]        
Share-based payment arrangement, expense $ 1,504 $ 2,720 $ 3,242 $ 5,433
Cost of sales        
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]        
Share-based payment arrangement, expense 230 281 684 598
Selling, general and administrative expenses        
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]        
Share-based payment arrangement, expense 1,153 2,334 2,289 4,664
Research, development and engineering costs        
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]        
Share-based payment arrangement, expense 121 58 269 124
Other operating expenses        
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]        
Share-based payment arrangement, expense 0 47 0 47
Stock options        
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]        
Share-based payment arrangement, expense 10 102 23 203
RSUs        
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]        
Share-based payment arrangement, expense $ 1,494 $ 2,618 $ 3,219 $ 5,230
v3.20.2
Stock-Based Compensation (Stock Options Activity) (Details)
$ / shares in Units, $ in Millions
 6 Months Ended
Jul. 03, 2020
USD ($)
$ / shares
shares
Stock Option Activity (in shares)  
Options outstanding, beginning balance (in shares) | shares 384,013
Exercised (in shares) | shares (66,131)
Options outstanding, ending balance (in shares) | shares 317,882
Options exercisable at period end (in shares) | shares 315,332
Weighted Average Exercise Price (in dollars per share)  
Options outstanding, beginning (in dollars per share) | $ / shares $ 34.96
Exercised (in dollars per share) | $ / shares 37.41
Options outstanding, ending (in dollars per share) | $ / shares 34.45
Options exercisable at period end (in dollars per share) | $ / shares $ 34.36
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract]  
Options outstanding, weighted average remaining contractual term 4 years 9 months 18 days
Options exercisable, weighted average remaining contractual term 4 years 8 months 12 days
Options outstanding, intrinsic value | $ $ 12.0
Options exercisable, intrinsic value | $ $ 12.0
v3.20.2
Stock-Based Compensation (Narrative) (Details) - Restricted Stock And Restricted Stock Units Time Based
 6 Months Ended
Jul. 03, 2020
installment
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Number of installments for vesting 4
Requisite service period 3 years
v3.20.2
Stock-Based Compensation (Valuation Assumptions) (Details) - $ / shares
 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Weighted average illiquidity discount 8.00%  
Share-based Payment Arrangement, Option    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Weighted average fair value (in dollars per share) $ 107.27 $ 117.03
Risk-free interest rate 1.29% 2.46%
Expected volatility 30.00% 40.00%
Expected life (in years) 2 years 10 months 24 days 2 years 9 months 18 days
Expected dividend yield 0.00% 0.00%
v3.20.2
Stock-Based Compensation (Restricted Stock and Restricted Stock Units Activity) (Details)
 6 Months Ended
Jul. 03, 2020
$ / shares
shares
Restricted Stock And Restricted Stock Units Time Based  
Restricted Stock and Restricted Stock Unit Activity (in shares)  
Nonvested, beginning (in shares) | shares 205,223
Granted (in shares) | shares 140,121
Vested (in shares) | shares (70,955)
Forfeited (in shares) | shares (11,827)
Nonvested, ending (in shares) | shares 262,562
Restricted Stock and Restricted Stock Unit Weighted Average Fair Value (in dollars per share)  
Nonvested, beginning (in dollars per share) | $ / shares $ 64.75
Granted (in dollars per share) | $ / shares 84.26
Vested (in dollars per share) | $ / shares 56.60
Forfeited (in dollars per share) | $ / shares 74.76
Nonvested, ending (in dollars per share) | $ / shares $ 76.91
Performance-based RSUs (PSUs)  
Restricted Stock and Restricted Stock Unit Activity (in shares)  
Nonvested, beginning (in shares) | shares 191,592
Granted (in shares) | shares 67,268
Vested (in shares) | shares (35,363)
Forfeited (in shares) | shares (4,106)
Nonvested, ending (in shares) | shares 219,391
Restricted Stock and Restricted Stock Unit Weighted Average Fair Value (in dollars per share)  
Nonvested, beginning (in dollars per share) | $ / shares $ 56.30
Granted (in dollars per share) | $ / shares 95.06
Vested (in dollars per share) | $ / shares 31.17
Forfeited (in dollars per share) | $ / shares 51.54
Nonvested, ending (in dollars per share) | $ / shares $ 72.33
v3.20.2
Other Operating Expenses (Schedule of Other Operating Cost and Expense By Component) (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Other Operating Income Expense Detail [Line Items]        
Total other operating expenses $ 2,029 $ 3,108 $ 4,957 $ 5,998
Strategic reorganization and alignment        
Other Operating Income Expense Detail [Line Items]        
Total other operating expenses 138 1,656 686 3,390
Manufacturing alignment to support growth        
Other Operating Income Expense Detail [Line Items]        
Total other operating expenses 60 561 188 1,146
2020 restructuring plan        
Other Operating Income Expense Detail [Line Items]        
Total other operating expenses 443 0 1,417 0
Acquisition and integration expenses        
Other Operating Income Expense Detail [Line Items]        
Total other operating expenses 47 0 403 0
Other general expenses        
Other Operating Income Expense Detail [Line Items]        
Total other operating expenses $ 1,341 $ 891 $ 2,263 $ 1,462
v3.20.2
Other Operating Expenses (Narrative) (Details)
$ in Millions
 6 Months Ended
Jul. 03, 2020
USD ($)
InoMec Ltd And US BioDesign LLC  
Restructuring Cost and Reserve [Line Items]  
Acquisition related costs $ 0.9
US BioDesign LLC  
Restructuring Cost and Reserve [Line Items]  
Contingent consideration liabilities recorded for acquisitions 0.5
2020 Restructuring Plan  
Restructuring Cost and Reserve [Line Items]  
Costs incurred since inception 1.4
2020 Restructuring Plan | Minimum  
Restructuring Cost and Reserve [Line Items]  
Expected costs 2.0
2020 Restructuring Plan | Maximum  
Restructuring Cost and Reserve [Line Items]  
Expected costs 3.0
Strategic Reorganization And Alignment  
Restructuring Cost and Reserve [Line Items]  
Costs incurred since inception 23.0
Manufacturing Alignment To Support Growth  
Restructuring Cost and Reserve [Line Items]  
Costs incurred since inception 5.8
Expected costs $ 6.0
v3.20.2
Other Operating Expenses (Schedule of Restructuring Reserve By Type of Cost) (Details) - Consolidation And Optimization Initiatives
$ in Thousands
 6 Months Ended
Jul. 03, 2020
USD ($)
Restructuring Reserve [Roll Forward]  
Beginning balance $ 1,985
Restructuring charges 2,291
Cash payments (3,714)
Ending balance 562
Severance and Retention  
Restructuring Reserve [Roll Forward]  
Beginning balance 1,389
Restructuring charges 1,637
Cash payments (2,466)
Ending balance 560
Other  
Restructuring Reserve [Roll Forward]  
Beginning balance 596
Restructuring charges 654
Cash payments (1,248)
Ending balance $ 2
v3.20.2
Income Taxes (Narrative) (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Dec. 31, 2019
Income Tax Disclosure [Abstract]          
Effective income tax rate (135.80%) 19.00% 14.40% 17.30%  
Income (loss) before provision for income taxes $ 165 $ 34,832 $ 36,804 $ 59,964  
Discrete tax benefits 100 $ 400 1,000 $ 2,100  
Unrecognized tax benefits 4,600   4,600   $ 4,400
Significant change in unrecognized tax benefits is reasonably possible, amount of unrecorded benefit 600   600    
Unrecognized tax benefits that would impact effective tax rate $ 4,600   $ 4,600   $ 4,400
v3.20.2
Commitments and Contingencies (Narrative) (Details) - USD ($)
 6 Months Ended
Jan. 26, 2016
Jul. 03, 2020
Gain Contingencies [Line Items]    
Gain (loss) related to litigation settlement   $ 0
Product warranty description   The Company generally warrants that its products will meet customer specifications and will be free from defects in materials and workmanship.
Positive Outcome of Litigation    
Gain Contingencies [Line Items]    
Amount awarded from other party $ 27,000,000  
v3.20.2
Commitments and Contingencies (Schedule of Product Warranty Liability) (Details)
$ in Thousands
 6 Months Ended
Jul. 03, 2020
USD ($)
Movement in Standard Product Warranty Accrual [Roll Forward]  
Balance at beginning of period $ 1,933
Additions to warranty reserve, net of reversals (117)
Adjustments to pre-existing warranties (66)
Warranty claims settled (997)
Balance at end of period $ 753
v3.20.2
Earnings Per Share (EPS) (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Earnings Per Share [Abstract]        
Income from continuing operations $ 389 $ 28,222 $ 31,489 $ 49,588
Income from discontinued operations 0 4,835 0 5,138
Net income $ 389 $ 33,057 $ 31,489 $ 54,726
Denominator for basic and diluted EPS:        
Weighted average shares outstanding, basic (in shares) 32,834 32,621 32,820 32,579
Dilutive effect of share-based awards (in shares) 295 388 303 416
Weighted average shares outstanding - Diluted (in shares) 33,129 33,009 33,123 32,995
Basic earnings per share:        
Income from continuing operations (in dollars per share) $ 0.01 $ 0.87 $ 0.96 $ 1.52
Income from discontinued operations (in dollars per share) 0 0.15 0 0.16
Basic earnings per share (in dollars per share) 0.01 1.01 0.96 1.68
Diluted earnings per share:        
Income from continuing operations (in dollars per share) 0.01 0.85 0.95 1.50
Income from discontinued operations (in dollars per share) 0 0.15 0 0.16
Diluted earnings per share (in dollars per share) $ 0.01 $ 1.00 $ 0.95 $ 1.66
Anitdilutive Securities Excluded From Earnings Per Share [Abstract]        
Time-vested stock options, RSAs and RSUs (in shares) 146 53 131 56
Performance-vested restricted stock and PRSUs (in shares) 12 48 16 47
v3.20.2
Stockholders' Equity (Details) - shares
 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Class Of Stock [Roll Forward]    
Balance, beginning of period (in shares) 32,847,017  
Shares outstanding beginning balance (in shares) 32,700,471 32,473,167
Stock options exercised (in shares) 66,131 93,472
Balance, end of period (in shares) 32,847,017  
Shares outstanding ending balance (in shares) 32,838,552 32,640,614
Common Stock    
Class Of Stock [Roll Forward]    
Balance, beginning of period (in shares) 32,847,017 32,624,494
Stock options exercised (in shares) 0 93,472
Balance, end of period (in shares) 32,847,017 32,816,622
Treasury Stock, Common    
Class Of Stock [Roll Forward]    
Balance, beginning of period (in shares) 146,546 151,327
Stock options exercised (in shares) 66,131 0
Balance, end of period (in shares) 8,465 176,008
Restricted Stock    
Class Of Stock [Roll Forward]    
RSAs issued, net of forfeitures, and vesting of RSUs (in shares) 71,950 73,975
Restricted Stock | Common Stock    
Class Of Stock [Roll Forward]    
RSAs issued, net of forfeitures, and vesting of RSUs (in shares) 0 98,656
Restricted Stock | Treasury Stock, Common    
Class Of Stock [Roll Forward]    
RSAs issued, net of forfeitures, and vesting of RSUs (in shares) 71,950 (24,681)
v3.20.2
Stockholders' Equity Accumulated Other Comprehensive Income (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Defined Benefit Plan Liability        
Defined benefit plan liability, beginning $ (912) $ (295) $ (912) $ (295)
Defined benefit plan liability, ending (912) (295) (912) (295)
Cash Flow Hedges        
Cash flow hedges, beginning (13,281) 2,551 (2,358) 3,439
Unrealized loss on cash flow hedges 1,493 (4,415) (9,981) (4,569)
Realized loss on foreign currency hedges 680 11 483 (34)
Realized loss on interest rate swap hedge 617 (714) 1,365 (1,403)
Cash flow hedges, ending (10,491) (2,567) (10,491) (2,567)
Foreign Currency Translation Adjustment        
Foreign currency translation adjustment, beginning 10,607 23,701 22,639 30,539
Foreign currency translation gain (loss) 12,948 4,510 916 (2,328)
Foreign currency translation adjustment,ending 23,555 28,211 23,555 28,211
Total Pre-Tax Amount        
Pre-tax amount, beginning (3,586) 25,957 19,369 33,683
Unrealized loss on cash flow hedges 1,493 (4,415) (9,981) (4,569)
Realized loss on foreign currency hedges 680 11 483 (34)
Realized loss on interest rate swap hedge 617 (714) 1,365 (1,403)
Foreign currency translation gain (loss) 12,948 4,510 916 (2,328)
Pre-tax amount, ending 12,152 25,349 12,152 25,349
Tax        
Tax, beginning 2,913 (493) 619 (679)
Unrealized gain on cash flow hedges (314) 927 2,096 959
Realized loss on foreign currency hedges (142) (2) (101) 7
Realized loss on interest rate swap hedges (130) 150 (287) 295
Foreign currency translation gain (loss) 0 0 0 0
Tax, ending 2,327 582 2,327 582
Net-of-Tax Amount        
Net of tax, beginning (673) 25,464 19,988 33,004
Unrealized loss on cash flow hedges 1,179 (3,488) (7,885) (3,610)
Realized gain on foreign currency hedges 538 9 382 (27)
Realized gain on interest rate swap hedge 487 (564) 1,078 (1,108)
Foreign currency translation gain (loss) 12,948 4,510 916 (2,328)
Net of tax, ending $ 14,479 $ 25,931 $ 14,479 $ 25,931
v3.20.2
Financial Instruments and Fair Value Measurements (Assets and Liabilities Recorded at Fair Value on a Recurring Basis) (Details) - USD ($)
$ in Thousands
Jul. 03, 2020
Dec. 31, 2019
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Liabilities: Contingent consideration (Note 5) $ 500  
Fair Value, Recurring    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Assets: Foreign currency contracts   $ 710
Liabilities: Foreign currency contracts 1,398  
Liabilities: Interest rate swaps 9,093 3,068
Liabilities: Contingent consideration (Note 2) 5,387 4,200
Liabilities: Contingent consideration (Note 5) 500  
Quoted Prices in Active Markets (Level 1) | Fair Value, Recurring    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Assets: Foreign currency contracts   0
Liabilities: Foreign currency contracts 0  
Liabilities: Interest rate swaps 0 0
Liabilities: Contingent consideration (Note 2) 0 0
Liabilities: Contingent consideration (Note 5) 0  
Significant Other Observable Inputs (Level 2) | Fair Value, Recurring    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Assets: Foreign currency contracts   710
Liabilities: Foreign currency contracts 1,398  
Liabilities: Interest rate swaps 9,093 3,068
Liabilities: Contingent consideration (Note 2) 0 0
Liabilities: Contingent consideration (Note 5) 0  
Significant Unobservable Inputs (Level 3) | Fair Value, Recurring    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Assets: Foreign currency contracts   0
Liabilities: Foreign currency contracts 0  
Liabilities: Interest rate swaps 0 0
Liabilities: Contingent consideration (Note 2) 5,387 $ 4,200
Liabilities: Contingent consideration (Note 5) $ 500  
v3.20.2
Financial Instruments and Fair Value Measurements (Schedule of Interest Rate Swaps) (Details) - Designated as Hedging Instrument - USD ($)
$ in Thousands
Jul. 03, 2020
Dec. 31, 2019
Interest Rate Swap Maturing July 2020 | Accrued expenses and other current liabilities    
Derivatives, Fair Value [Line Items]    
Notional Amount $ 45,000 $ 65,000
Pay Fixed Rate 1.89% 1.89%
Receive Current Floating Rate 0.1836% 1.792%
Fair Value $ (51) $ (72)
Interest Rate Swap Maturing April 2020 | Accrued expenses and other current liabilities    
Derivatives, Fair Value [Line Items]    
Notional Amount   $ 400,000
Pay Fixed Rate   2.415%
Receive Current Floating Rate   1.7101%
Fair Value   $ (730)
Interest Rate Swap Maturing June 2023 | Other long-term liabilities    
Derivatives, Fair Value [Line Items]    
Notional Amount $ 200,000 $ 200,000
Pay Fixed Rate 2.1785% 2.1785%
Receive Current Floating Rate 0.1803%  
Fair Value $ (9,042) $ (2,809)
Interest Rate Swap Maturing June 2020 | Accrued expenses and other current liabilities    
Derivatives, Fair Value [Line Items]    
Notional Amount   $ 200,000
Pay Fixed Rate   1.1325%
Receive Current Floating Rate   1.792%
Fair Value   $ 543
v3.20.2
Financial Instruments and Fair Value Measurements (Schedule of Foreign Currency Contracts) (Details) - Designated as Hedging Instrument
$ in Thousands
Jul. 03, 2020
USD ($)
$ / $
$ / $
$ / €
Dec. 31, 2019
USD ($)
$ / $
Foreign Exchange Contract Maturing September 2020 | Accrued expenses and other current liabilities    
Derivatives, Fair Value [Line Items]    
Notional Amount $ 8,756  
$/Foreign currency (in dollars per foreign currency) | $ / € 1.0945  
Foreign Exchange Contract Maturing September 2020 | Prepaid expenses and other current assets    
Derivatives, Fair Value [Line Items]    
Fair Value $ 250  
Foreign Exchange Contract Maturing December 2020, Contract One | Accrued expenses and other current liabilities    
Derivatives, Fair Value [Line Items]    
Notional Amount $ 15,332  
$/Foreign currency (in dollars per foreign currency) | $ / $ 0.0491  
Fair Value $ (1,559)  
Foreign Exchange Contract Maturing December 2020, Contract Two | Accrued expenses and other current liabilities    
Derivatives, Fair Value [Line Items]    
Notional Amount $ 4,285  
$/Foreign currency (in dollars per foreign currency) | $ / $ 0.0241  
Fair Value $ (89)  
Foreign Exchange Contract Maturing June 2020 | Prepaid expenses and other current assets    
Derivatives, Fair Value [Line Items]    
Notional Amount   $ 11,166
$/Foreign currency (in dollars per foreign currency) | $ / $   0.0490
Fair Value   $ 710
v3.20.2
Financial Instruments and Fair Value Measurements (Narrative) (Details) - USD ($)
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jul. 03, 2020
Apr. 04, 2020
Feb. 19, 2020
Oct. 07, 2019
Fair Value Measurement Inputs and Valuation Techniques [Line Items]          
Asset acquisition contingent consideration recognized     $ 1,000,000.0    
Settlements $ 500,000 $ 500,000      
Liabilities: Contingent consideration (Note 5) $ 500,000 500,000      
Derivative instruments net loss to be reclassified to net income during next twelve months   $ 5,300,000      
Chinese Venture Capital Fund          
Fair Value Measurement Inputs and Valuation Techniques [Line Items]          
Equity method investment ownership (percent) 6.60% 6.60%      
InoMec Ltd          
Fair Value Measurement Inputs and Valuation Techniques [Line Items]          
Contingent consideration, range of outcomes, value, low       $ 0  
Contingent consideration, range of outcomes, value, high       3,500,000  
Fair value of contingent consideration recognized       $ 1,700,000  
Business acquisition contingent liability $ 1,700,000 $ 1,700,000      
US BioDesign LLC          
Fair Value Measurement Inputs and Valuation Techniques [Line Items]          
Contingent consideration, range of outcomes, value, low         $ 0
Contingent consideration, range of outcomes, value, high         5,500,000
Fair value of contingent consideration recognized         $ 4,200,000
Contingent consideration liabilities recorded for acquisitions   500,000      
Business acquisition contingent liability $ 3,700,000 $ 3,700,000      
v3.20.2
Financial Instruments and Fair Value Measurements (Estimated Fair Values for Contingent Consideration) (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jul. 03, 2020
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Balance at beginning of period   $ 4,200
Contingent consideration liabilities recorded for acquisitions   2,700
Fair value adjustment included in Other operating expenses   (500)
Settlements $ (500) (500)
Foreign currency translation   (13)
Balance at end of period $ 5,887 $ 5,887
v3.20.2
Financial Instruments and Fair Value Measurements (Impact of Cash Flow Hedges on Other Comprehensive Income, AOCI and the Condensed Consolidated Statements of Operations) (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Derivative Instruments and Hedging Activities Disclosures [Line Items]        
Sales $ 240,115 $ 314,194 $ 568,541 $ 628,870
Cost of sales 182,252 217,210 413,976 443,276
Operating expenses 48,678 47,647 101,304 97,088
Interest expense, net 9,273 13,612 19,634 27,442
Sales        
Derivative Instruments and Hedging Activities Disclosures [Line Items]        
Gain (loss) reclassified from AOCI 87 (473) (41) (794)
Sales | Foreign exchange forwards        
Derivative Instruments and Hedging Activities Disclosures [Line Items]        
Gain (loss) recognized in OCI 483 1 209 (699)
Cost of sales        
Derivative Instruments and Hedging Activities Disclosures [Line Items]        
Gain (loss) reclassified from AOCI (733) 462 (408) 828
Cost of sales | Foreign exchange contracts        
Derivative Instruments and Hedging Activities Disclosures [Line Items]        
Gain (loss) recognized in OCI 2,085 735 (2,728) 1,729
Interest expense        
Derivative Instruments and Hedging Activities Disclosures [Line Items]        
Gain (loss) reclassified from AOCI (617) 714 (1,365) 1,403
Interest expense | Interest rate swap        
Derivative Instruments and Hedging Activities Disclosures [Line Items]        
Gain (loss) recognized in OCI (1,003) (5,151) (7,390) (5,599)
Operating expenses        
Derivative Instruments and Hedging Activities Disclosures [Line Items]        
Gain (loss) reclassified from AOCI (34) 0 (34) 0
Operating expenses | Foreign exchange contracts        
Derivative Instruments and Hedging Activities Disclosures [Line Items]        
Gain (loss) recognized in OCI $ (72) $ 0 $ (72) $ 0
v3.20.2
Financial Instruments and Fair Value Measurements (Equity Method Investments) (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Dec. 31, 2019
Fair Value Disclosures [Abstract]          
Equity method investment $ 17,888   $ 17,888   $ 16,167
Non-marketable equity securities 6,092   6,092   6,092
Total equity investments 23,980   23,980   $ 22,259
Equity method investment (income) loss 205 $ 36 (1,720) $ 77  
Impairment charges 0 1,575 0 1,575  
Total (gain) loss on equity investments, net $ 205 $ 1,611 $ (1,720) $ 1,652  
v3.20.2
Segment Information (Narrative) (Details)
 6 Months Ended
Jul. 03, 2020
Segment
Segment Reporting [Abstract]  
Number of reportable segments 2
v3.20.2
Segment Information (Reconciliation of Revenue from Segments to Consolidated) (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total sales from continuing operations $ 240,115 $ 314,194 $ 568,541 $ 628,870
Operating Segments | Medical        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total sales from continuing operations 231,384 297,531 549,646 598,604
Operating Segments | Medical | Cardio & Vascular        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total sales from continuing operations 129,084 150,397 308,289 302,971
Operating Segments | Medical | Cardiac & Neuromodulation        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total sales from continuing operations 71,675 114,488 179,495 231,399
Operating Segments | Medical | Advanced Surgical, Orthopedics & Portable Medical        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total sales from continuing operations 30,625 32,646 61,862 64,234
Operating Segments | Non-Medical        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total sales from continuing operations $ 8,731 $ 16,663 $ 18,895 $ 30,266
v3.20.2
Segment Information (Reconciliation of Operating Profit (Loss) from Segments to Consolidated) (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Segment Reporting Information [Line Items]        
Operating income $ 9,185 $ 49,337 $ 53,261 $ 88,506
Unallocated expenses, net (9,020) (14,505) (16,457) (28,542)
Income from continuing operations before taxes 165 34,832 36,804 59,964
Operating Segments        
Segment Reporting Information [Line Items]        
Operating income 29,377 69,004 95,806 129,695
Operating Segments | Medical        
Segment Reporting Information [Line Items]        
Operating income 26,910 63,706 92,126 120,086
Operating Segments | Non-Medical        
Segment Reporting Information [Line Items]        
Operating income 2,467 5,298 3,680 9,609
Segment Reconciling Items        
Segment Reporting Information [Line Items]        
Operating income $ (20,192) $ (19,667) $ (42,545) $ (41,189)
v3.20.2
Revenue From Contracts With Customers (Narrative) (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Revenue from Contract with Customer [Abstract]        
Percent of revenue from contract with customer compared to total revenue 25.00% 10.00% 28.00% 12.00%
Contract assets, increase due to new contract     $ 12.6  
Revenue recognized that was included in contract liability balance at beginning of period $ 1.0 $ 0.1 $ 1.1 $ 0.4
v3.20.2
Revenue From Contracts With Customers (Disaggregated Revenue) (Details) - Revenue from contract with customer benchmark - Customer Concentration Risk
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Medical | Customer A        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage 23.00% 21.00% 21.00% 23.00%
Medical | Customer B        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage 16.00% 18.00% 16.00% 18.00%
Medical | Customer C        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage 10.00% 13.00% 14.00% 12.00%
Medical | All other customers        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage 51.00% 48.00% 49.00% 47.00%
Non-Medical | Customer D        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage 23.00% 25.00% 21.00% 25.00%
Non-Medical | Customer E        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage 15.00%   12.00%  
Non-Medical | All other customers        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage 62.00% 75.00% 67.00% 75.00%
v3.20.2
Revenue From Contracts With Customers (Schedule of Revenue by Ship To Location) (Details) - Geographic Concentration Risk - Revenue from contract with customer benchmark
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Medical Segment | United States        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage 55.00% 56.00% 55.00% 56.00%
Medical Segment | Puerto Rico        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage   12.00% 11.00% 13.00%
Medical Segment | All other countries        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage 45.00% 32.00% 34.00% 31.00%
Non-Medical Segment | United States        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage 54.00% 56.00% 49.00% 56.00%
Non-Medical Segment | United Kingdom        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage     12.00%  
Non-Medical Segment | Singapore        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage 11.00% 10.00% 12.00%  
Non-Medical Segment | Canada        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage 14.00% 14.00% 13.00% 14.00%
Non-Medical Segment | All other countries        
Disaggregation of Revenue [Line Items]        
Concentration risk percentage 21.00% 20.00% 14.00% 30.00%
v3.20.2
Revenue From Contracts With Customers Contract with Customer (Assets and Liability) (Details) - USD ($)
$ in Thousands
Jul. 03, 2020
Dec. 31, 2019
Revenue from Contract with Customer [Abstract]    
Contract assets $ 37,389 $ 24,767
Contract liabilities included in accrued expenses and other current liabilities $ 2,415 $ 1,975
v3.20.2
Discontinued Operations (Assets and Liabilities of Viant Business) (Details) - Discontinued Operations, Held-for-sale - AS&O Business - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 28, 2019
Jun. 28, 2019
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]    
Income from transition services $ 1.2 $ 2.9
Transition services, cost of sales   0.1
Transition services, selling, general and administrative 1.2 $ 2.8
Net working capital adjustment $ 4.8  
v3.20.2
Discontinued Operations (Gain from Discontinued Operations) (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jul. 03, 2020
Jun. 28, 2019
Jul. 03, 2020
Jun. 28, 2019
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]        
Provision for income taxes $ 0 $ 95 $ 0 $ 178
Income from discontinued operations 0 4,835 0 5,138
AS&O Business | Discontinued Operations, Held-for-sale        
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]        
Gain on sale of discontinued operations 0 (4,974) 0 (4,974)
Other income, net 0 44 0 (342)
Provision for income taxes 0 95 0 178
Income from discontinued operations $ 0 $ 4,835 0 5,138
Cash used in operating activities     0 (58)
Cash provided by investing activities     $ 0 $ 4,734
v3.20.2
Recent Developments (Narrative) (Details)
$ in Millions
Apr. 10, 2020
USD ($)
New Revolving Credit Facility 2015 | Revolving Credit Facility | Secured Debt  
Subsequent Event [Line Items]  
Proceeds from lines of credit $ 160
v3.20.2
Label Element Value
Accounting Standards Update [Extensible List] us-gaap_AccountingStandardsUpdateExtensibleList us-gaap:AccountingStandardsUpdate201602Member