INTEGER HOLDINGS CORP, 10-K filed on 2/18/2021
Annual Report
v3.20.4
Cover - USD ($)
$ in Billions
 12 Months Ended
Dec. 31, 2020
Feb. 12, 2021
Jul. 02, 2020
Cover [Abstract]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Dec. 31, 2020    
Current Fiscal Year End Date --12-31    
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, Par Value $0.001 Per Share    
Trading Symbol ITGR    
Security Exchange Name NYSE    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
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    
ICFR Auditor Attestation Flag true    
Entity Shell Company false    
Entity Public Float     $ 2.3
Entity Common Stock, Shares Outstanding (in shares)   32,957,035  
Documents Incorporated by Reference
Portions of the following document are specifically incorporated by reference into the indicated parts of this report:
 
DocumentPart
Proxy Statement for the 2021 Annual Meeting of Stockholders
Part III, Item 10
“Directors, Executive Officers and Corporate Governance”
Part III, Item 11
“Executive Compensation”
Part III, Item 12
“Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters”
Part III, Item 13
“Certain Relationships and Related Transactions, and Director Independence”
Part III, Item 14
“Principal Accounting Fees and Services”
    
Entity Central Index Key 0001114483    
Amendment Flag false    
Document Fiscal Year Focus 2020    
Document Fiscal Period Focus FY    
v3.20.4
Consolidated Balance Sheets - USD ($)
$ in Thousands
Dec. 31, 2020
Dec. 31, 2019
Current assets:    
Cash and cash equivalents $ 49,206 $ 13,535
Accounts receivable, net of provision for credit losses of $0.2 million and allowance for doubtful accounts of $2.4 million, respectively 156,207 191,985
Inventories 149,323 167,256
Refundable income taxes 2,087 0
Contract assets 40,218 24,767
Prepaid expenses and other current assets 15,896 17,852
Total current assets 412,937 415,395
Property, plant and equipment, net 253,964 246,185
Goodwill 859,442 839,617
Other intangible assets, net 757,224 775,784
Deferred income taxes 4,398 4,438
Operating lease assets 45,153 42,379
Other assets 38,739 29,295
Total assets 2,371,857 2,353,093
Current liabilities:    
Current portion of long-term debt 37,500 37,500
Accounts payable 51,570 64,975
Income taxes payable 1,847 3,023
Operating lease liabilities 8,431 7,507
Accrued expenses and other current liabilities 56,843 66,073
Total current liabilities 156,191 179,078
Long-term debt 693,758 777,272
Deferred income taxes 182,304 187,978
Operating lease liabilities 37,861 37,114
Other long-term liabilities 30,688 19,163
Total liabilities 1,100,802 1,200,605
Commitments and contingencies (Note 13)
Stockholders’ equity:    
Preferred stock, $0.001 par value, authorized 100,000,000 shares; no shares issued or outstanding 0 0
Common stock, $0.001 par value; 100,000,000 shares authorized; 32,908,178 and 32,847,017 shares issued, respectively; 32,908,178 and 32,700,471 shares outstanding, respectively 33 33
Additional paid-in capital 700,814 701,018
Treasury stock, at cost, no shares as of December 31, 2020 and 146,546 shares as of December 31, 2019 0 (8,809)
Retained earnings 517,516 440,258
Accumulated other comprehensive income 52,692 19,988
Total stockholders’ equity 1,271,055 1,152,488
Total liabilities and stockholders’ equity $ 2,371,857 $ 2,353,093
v3.20.4
Consolidated Balance Sheets (Parenthetical) - USD ($)
$ in Millions
Dec. 31, 2020
Dec. 31, 2019
Current assets:    
Allowance for doubtful accounts $ 0.2 $ 2.4
Stockholders’ equity:    
Preferred stock, par value (in dollars per share) $ 0.001 $ 0.001
Preferred stock, shares authorized (in shares) 100,000,000 100,000,000
Preferred stock, shares issued (in shares) 0 0
Preferred stock, shares outstanding (in shares) 0 0
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) 32,908,178 32,847,017
Common stock, shares outstanding (in shares) 32,908,178 32,700,471
Treasury stock (in shares) 0 146,546
v3.20.4
Consolidated Statements of Operations - USD ($)
shares in Thousands, $ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Income Statement [Abstract]      
Sales $ 1,073,442 $ 1,258,094 $ 1,215,012
Cost of sales 787,735 903,084 852,347
Gross profit 285,707 355,010 362,665
Operating expenses:      
Selling, general and administrative 109,006 138,695 142,441
Research, development and engineering 48,468 46,529 48,604
Other operating expenses 7,621 12,151 16,065
Total operating expenses 165,095 197,375 207,110
Operating income 120,612 157,635 155,555
Interest expense 38,220 52,545 99,310
(Gain) loss on equity investments, net (5,337) 475 (5,623)
Other (income) loss, net 1,522 (578) 752
Income from continuing operations before taxes 86,207 105,193 61,116
Provision for income taxes 8,949 13,975 14,083
Income from continuing operations 77,258 91,218 47,033
Discontinued operations:      
Income from discontinued operations before taxes 0 5,296 188,313
Provision for income taxes 0 178 67,382
Income from discontinued operations 0 5,118 120,931
Net income $ 77,258 $ 96,336 $ 167,964
Basic earnings per share:      
Income from continuing operations (in dollars per share) $ 2.35 $ 2.80 $ 1.46
Income (loss) from discontinued operations (in dollars per share) 0 0.16 3.76
Basic earnings per share (in dollars per share) 2.35 2.95 5.23
Diluted earnings per share:      
Income from continuing operations (in dollars per share) 2.33 2.76 1.44
Income (loss) from discontinued operations (in dollars per share) 0 0.15 3.71
Diluted earnings per share (in dollars per share) $ 2.33 $ 2.92 $ 5.15
Weighted average shares outstanding:      
Basic (in shares) 32,845 32,627 32,136
Diluted (in shares) 33,113 33,037 32,596
v3.20.4
Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Statement of Comprehensive Income [Abstract]      
Net income $ 77,258 $ 96,336 $ 167,964
Other comprehensive income (loss):      
Foreign currency translation gain (loss)   (7,900) (19,925)
Net change in cash flow hedges, net of tax (2,052) (4,580) 16
Defined benefit plan liability adjustment, net of tax (151) (536) 302
Other comprehensive income (loss), net 32,704 (13,016) (19,607)
Comprehensive income $ 109,962 $ 83,320 $ 148,357
v3.20.4
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Cash flows from operating activities:      
Net income $ 77,258 $ 96,336 $ 167,964
Adjustments to reconcile net income to net cash provided by operating activities:      
Depreciation and amortization 79,324 77,895 88,988
Debt related charges included in interest expense 4,774 7,772 49,110
Stock-based compensation 9,163 9,294 10,470
Non-cash charges related to customer bankruptcy 554 21,695 0
Non-cash lease expense 7,810 7,443 0
Non-cash (gain) loss on equity investments (5,337) 475 (5,623)
Contingent consideration fair value adjustment (2,000) 0 0
Other non-cash (gains) losses 600 (162) 148
Deferred income taxes (6,966) (10,285) 61,126
Gain on sale of discontinued operations 0 (4,974) (194,965)
Changes in operating assets and liabilities, net of acquisitions:      
Accounts receivable 38,153 (6,976) 9,289
Inventories 18,441 3,724 (16,094)
Prepaid expenses and other assets (864) (6,293) 8,527
Contract assets (15,451) (24,767) 0
Accounts payable (9,055) 1,887 (94)
Accrued expenses and other liabilities (10,721) (2,744) (11,756)
Income taxes (4,342) (4,962) 209
Net cash provided by operating activities 181,341 165,358 167,299
Cash flows from investing activities:      
Acquisition of property, plant and equipment (46,832) (48,198) (44,908)
Purchase of intangible asset (4,607) 0 0
Proceeds from sale of property, plant and equipment 82 28 1,379
Purchase of equity investments 0 (417) (1,230)
Proceeds from sale of discontinued operations 0 4,734 581,429
Acquisitions, net (5,219) (15,009) 0
Net cash (used in) provided by investing activities (56,576) (58,862) 536,670
Cash flows from financing activities:      
Principal payments of long-term debt (87,500) (111,500) (631,469)
Proceeds from senior secured revolving line of credit 185,000 34,000 5,000
Payments of senior secured revolving line of credit (185,000) (39,000) (74,000)
Proceeds from the exercise of stock options 3,263 3,242 12,409
Payment of debt issuance costs (515) (1,385) (31,991)
Tax withholdings related to net share settlements of restricted stock awards (3,820) (3,283) (5,029)
Principal payments on finance leases (6) 0 0
Net cash used in financing activities (88,578) (117,926) (725,080)
Effect of foreign currency exchange rates on cash and cash equivalents (516) (604) 2,584
Net increase (decrease) in cash and cash equivalents 35,671 (12,034) (18,527)
Cash and cash equivalents, beginning of year 13,535 25,569 44,096
Cash and cash equivalents, end of year $ 49,206 $ 13,535 $ 25,569
v3.20.4
Consolidated Statement of Stockholders' Equity - USD ($)
$ in Thousands
Total
Common stock and additional paid-in capital
Treasury stock
Retained earnings
Retained earnings
Cumulative Effect, Period of Adoption, Adjustment
Accumulated other comprehensive income
Accumulated other comprehensive income
Cumulative Effect, Period of Adoption, Adjustment
Total stockholders’ equity, beginning balance at Dec. 29, 2017 $ 893,381 $ 669,788 $ (4,654) $ 176,068   $ 52,179  
Increase (Decrease) in Stockholders' Equity [Roll Forward]              
Accounting Standards Update [Extensible List] us-gaap:AccountingStandardsUpdate201602Member            
Stock awards exercised or vested   10,858          
Stock-based compensation   10,470          
Treasury shares purchased     (5,025)        
Treasury shares reissued     1,554        
Reclassification of certain tax effects related to the adoption of ASU 2018-02       466     $ (466)
Net income $ 167,964     167,964      
Other comprehensive income (loss) (19,607)         (19,607)  
Reclassified to earnings due to divestiture, net           898  
Total stockholders’ equity, ending balance at Dec. 28, 2018 1,060,493 691,116 (8,125) 344,498   33,004  
Increase (Decrease) in Stockholders' Equity [Roll Forward]              
Stock awards exercised or vested   641          
Stock-based compensation   9,294          
Treasury shares purchased     (2,961)        
Treasury shares reissued     2,277        
Net income 96,336     96,336      
Other comprehensive income (loss) (13,016)         (13,016)  
Reclassified to earnings due to divestiture, net           0  
Total stockholders’ equity, ending balance at Dec. 31, 2019 1,152,488 701,051 (8,809) 440,258 $ (576) 19,988  
Increase (Decrease) in Stockholders' Equity [Roll Forward]              
Stock awards exercised or vested   (9,367)          
Stock-based compensation   9,163          
Treasury shares purchased     0        
Treasury shares reissued     8,809        
Net income 77,258     77,258      
Other comprehensive income (loss) 32,704         32,704  
Reclassified to earnings due to divestiture, net           0  
Total stockholders’ equity, ending balance at Dec. 31, 2020 $ 1,271,055 $ 700,847 $ 0 $ 517,516   $ 52,692  
v3.20.4
Summary of Significant Accounting Policies
 12 Months Ended
Dec. 31, 2020
Accounting Policies [Abstract]  
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
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, orthopedics, vascular, advanced surgical and portable medical markets. The Company provides innovative, high-quality medical technologies that enhance the lives of patients worldwide. In addition to medical technologies, the Company develops batteries for high-end niche applications in the energy, military, and environmental markets. The Company’s customers include large multi-national original equipment manufacturers (“OEMs”) and their affiliated subsidiaries.
On May 3, 2018, the Company entered into a definitive agreement to sell the Advanced Surgical and Orthopedic product lines (the “AS&O Product Line”) within its Medical segment to Viant (formerly MedPlast, LLC), and on July 2, 2018 completed the sale.  Refer to Note 2 “Business Acquisitions, Divestiture and Discontinued Operations” for further details of these transactions.
Basis of Presentation and Principles of Consolidation
The consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) and include the accounts of Integer Holdings Corporation and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation.
The results of operations of the AS&O Product Line are reported as discontinued operations in the Consolidated Statements of Operations for all periods presented. The Consolidated Statements of Cash Flows includes cash flows related to the discontinued operations due to Integer’s (parent) centralized treasury and cash management processes, and, accordingly, cash flow amounts for discontinued operations are disclosed in Note 2 “Business Acquisitions, Divestiture and Discontinued Operations.” All results and information in the consolidated financial statements are presented as continuing operations and exclude the AS&O Product Line unless otherwise noted specifically as discontinued operations.
The Company organizes its business into two reportable segments: (1) Medical and (2) Non-Medical. The discontinued operations of the AS&O Product Line were reported in the Medical segment. Refer to Note 18 “Segment and Geographic Information,” for additional information on the Company’s reportable segments.
Fiscal Year
Effective at the end of the 2019 fiscal year, the Company changed its fiscal year end from a 52/53-week year ending on the Friday nearest December 31 to a calendar year ending on December 31.
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 and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of sales and expenses during the reporting periods. Actual results could differ materially from those estimates.
Risks and Uncertainties
Beginning in early March 2020, the global spread of the novel coronavirus (“COVID-19”) 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. 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.
Cash and Cash Equivalents
Cash and cash equivalents consist of cash and highly liquid, short-term investments with maturities at the time of purchase of three months or less.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Concentration of Credit Risk
Financial instruments that potentially subject the Company to concentration of credit risk consist principally of accounts receivable. A significant portion of the Company’s sales and accounts receivable are to three customers, all in the medical device industry, and, as such, the Company is directly affected by the condition of those customers and that industry. However, the credit risk associated with trade receivables is partially mitigated due to the stability of those customers. The Company performs on-going credit evaluations of its customers. Note 19 “Revenue from Contracts with Customers” contains information on sales and accounts receivable for these customers. The Company maintains cash deposits with major banks, which from time to time may exceed insured limits. The Company performs on-going credit evaluations of its banks.
Trade Accounts Receivable and Provision for Current Expected Credit Losses
The Company provides credit, in the normal course of business, to its customers in the form of trade receivables. Credit is extended based on evaluation of a customer’s financial condition and collateral is not required. The Company maintains a provision for those customer receivables that it does not expect to collect. In accordance with Accounting Standards Codification (“ASC”) Topic 326, the Company accrues its estimated losses from uncollectable accounts receivable to the provision based upon recent historical experience, the length of time the receivable has been outstanding, other specific information as it becomes available, and reasonable and supportable forecasts not already reflected in the historical loss information. Provisions for current expected credit losses are charged to current operating expenses. Actual losses are charged against the provision when incurred. In 2020 the Company wrote-off $2.3 million of outstanding receivables that were previously reserved for as of December 31, 2019, in connection with a customer bankruptcy in the fourth quarter of 2019.
Supplier Financing Arrangements
The Company utilizes 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 year ended December 31, 2020, the Company sold and de-recognized accounts receivable and collected cash of $73.3 million. The costs associated with the supplier financing arrangements were not material for the year ended December 31, 2020. The Company did not utilize supplier financing arrangements prior to 2020.
Inventories
Inventories are stated at the lower of cost, determined using the first-in first-out method, or net realizable value. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. Write-downs for excess, obsolete or expired inventory are based primarily on how long the inventory has been held, historical sales volume, and estimates of forecasted net sales of that product. A significant change in the timing or level of demand for products may result in recording additional write-downs for excess, obsolete or expired inventory in the future. Note 4 “Inventories” contains additional information on the Company’s inventory. In connection with a customer bankruptcy in the fourth quarter of 2019, the Company wrote-down inventory by $19.0 million.
Leases
The Company determines if an arrangement is, or contains, a lease at inception and classifies it at as finance or operating.  The Company primarily leases certain office and manufacturing facilities under operating leases, with additional operating leases for machinery, office equipment and vehicles. The Company leases certain computer hardware under finance leases. Finance lease assets and corresponding liabilities are included in Other assets and Other long-term liabilities, respectively, on the Consolidated Balance Sheets. Finance leases are not material to the Consolidated Financial Statements as of December 31, 2020. The Company had no finance leases as of December 31, 2019.
Lease right-of-use (“ROU”) assets and corresponding liabilities are recognized based on the present value of the lease payments over the lease term at commencement date. When discount rates implicit in leases cannot be readily determined, the Company uses its incremental borrowing rate based on information available at commencement date in determining the present value of future payments.  The incremental borrowing rate is determined based on the Company’s recent debt issuances, the Company’s specific credit rating, lease term and the currency in which lease payments are made.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise such option. Lease expense is recognized on a straight-line basis over the lease term. The Company elected to combine lease and non-lease components for all asset classes. For certain leases where rent escalates based upon a change in a financial index, such as the Consumer Price Index, the difference between the rate at lease inception and the subsequent fluctuations in that rate are included in variable lease costs.  Additionally, because the Company has elected to not separate lease and non-lease components, variable costs also include payments to the landlord for common area maintenance, real estate taxes, insurance and other operating expenses.  In addition, the Company does not apply the recognition requirements to leases with lease terms of 12 months or less. Note 14 “Leases” contains additional information on the Company’s leases.
Property, Plant and Equipment (“PP&E”)
PP&E is carried at cost less accumulated depreciation. Depreciation is computed by the straight-line method over the estimated useful lives of the assets, as follows: buildings and building improvements 12-30 years; machinery and equipment 3-10 years; office equipment 3-10 years; and leasehold improvements over the remaining lives of the improvements or the lease term, whichever is shorter. The costs of repairs and maintenance are expensed as incurred; renewals and betterments are capitalized. Upon retirement or sale of an asset, its cost and related accumulated depreciation or amortization is removed from the accounts and any gain or loss is recorded in operating income or expense. The Company also reviews its PP&E for impairment when impairment indicators exist. When impairment indicators exist, the Company determines if the carrying value of its fixed assets exceeds the related undiscounted future cash flows. In cases where the carrying value of the Company's long-lived assets or asset groups (excluding goodwill and indefinite-lived intangible assets) exceeds the related undiscounted cash flows, the carrying value is written down to fair value. Fair value is generally determined using a discounted cash flow analysis. Note 5 “Property, Plant and Equipment, Net” contains additional information on the Company’s PP&E.
Fair Value Measurements
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e. the “exit price”) in an orderly transaction between market participants at the measurement date. ASC 820, Fair Value Measurements, establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Company’s assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The hierarchy is broken down into three levels based on the reliability of inputs as follows:
Level 1 – Valuation is based on quoted prices in active markets for identical assets or liabilities that the Company has the ability to access. Level 1 valuations do not entail a significant degree of judgment.
Level 2 – Valuation is determined from quoted prices for similar assets or liabilities in active markets, quoted prices for identical instruments in markets that are not active or by model-based techniques in which all significant inputs are observable in the market.
Level 3 – Valuation is based on unobservable inputs that are significant to the overall fair value measurement. The degree of judgment in determining fair value is greatest for Level 3 valuations.
Fair value is a market-based measure considered from the perspective of a market participant rather than an entity-specific measure. Therefore, even when market assumptions are not readily available, assumptions are required to reflect those that market participants would use in pricing the asset or liability at the measurement date. Note 17 “Financial Instruments and Fair Value Measurements” contains additional information on assets and liabilities recorded at fair value in the consolidated financial statements.
Acquisitions
Results of operations of acquired companies are included in the Company’s results of operations as of the respective acquisition dates. The purchase price of each acquisition is allocated to the net assets acquired based on estimates of their fair values at the date of the acquisition. Any purchase price in excess of these net assets is recorded as goodwill.
All direct acquisition-related costs are expensed as incurred and are recognized as a component of Other operating expenses. The allocation of purchase price in certain cases may be subject to revision based on the final determination of fair values during the measurement period, which may be up to one year from the acquisition date.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Contingent Consideration
In circumstances where an acquisition involves a contingent consideration arrangement, the Company recognizes a liability equal to the fair value of the contingent payments it expects to make as of the acquisition date. Increases or decreases in the fair value of the contingent consideration liability can result from changes in discount periods and rates, as well as changes in the timing, amount of, or the likelihood of achieving the applicable performance target. Increases in projected revenues, estimated cash flows and probabilities of payment may result in significantly higher fair value measurements; decreases in these items may have the opposite effect. Increases in the discount rates in periods prior to payment may result in significantly lower fair value measurements and decreases in the discount rates may have the opposite effect.
The contingent consideration fair value measurement is based on significant inputs not observable in the market and therefore constitute Level 3 inputs within the fair value hierarchy. The Company determines the initial fair value of contingent consideration liabilities using a Monte Carlo (“Monte Carlo”) valuation model, which involves a simulation of future revenues during the earn out-period using management’s best estimates, or a probability-weighted discounted cash flow analysis.
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 current portion of contingent consideration liabilities is included in Accrued expenses and other current liabilities and the non-current portion is included in Other long-term liabilities on the Consolidated Balance Sheets. Adjustments to the fair value of contingent consideration liabilities are included in Other operating expenses in the Consolidated Statements of Operations, and operating activities in the Consolidated Statements of Cash Flows. Note 17 “Financial Instruments and Fair Value Measurements” contains additional information on contingent consideration recorded at fair value in the consolidated financial statements.
Discontinued Operations
In determining whether a group of assets which has been disposed of (or is to be disposed of) should be presented as a discontinued operation, the Company analyzes whether the group of assets being disposed of represented a component of the entity; that is, whether it had historic operations and cash flows that were clearly distinguished (both operationally and for financial reporting purposes). In addition, the Company considers whether the disposal represents a strategic shift that has or will have a major effect on the Company’s operations and financial results.
The assets and liabilities of a discontinued operation held for sale, other than goodwill, are measured at the lower of carrying amount or fair value less cost to sell. When a portion of a goodwill reporting unit that constitutes a business is to be disposed of, the goodwill associated with that business is included in the carrying amount of the business based on the relative fair values of the business to be disposed of and the portion of the reporting unit that will be retained.  The Company allocates interest to discontinued operations if the interest is directly attributable to the discontinued operations or is interest on debt that is required to be repaid as a result of the disposal transaction.
Goodwill
Goodwill represents the excess of cost over the fair value of identifiable net assets of a business acquired and is assigned to one or more reporting units. The Company’s reporting units are the same as its reportable segments, Medical and Non-Medical. The Company tests each reporting unit’s goodwill for impairment at least annually as of the last day of the fiscal year and between annual tests if an event occurs or circumstances change that would more-likely-than-not reduce the fair value of a reporting unit below its carrying amount. In conducting its goodwill test, the Company either performs a qualitative assessment or a quantitative assessment. A qualitative assessment requires that the Company consider events or circumstances including, but not limited to, macro-economic conditions, market and industry conditions, cost factors, competitive environment, changes in strategy, changes in customers, changes in the Company’s stock price, results of the last impairment test, and the operational stability and the overall financial performance of the reporting units. If, after assessing the totality of events or circumstances, the Company determines that it is more likely than not that the fair values of its reporting units are greater than the carrying amounts, then the quantitative goodwill impairment test is not performed. The Company may elect to bypass the qualitative analysis and perform a quantitative analysis.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
If the qualitative assessment indicates that the quantitative analysis should be performed or if management elects to bypass a qualitative analysis to perform a quantitative analysis, the Company then evaluates goodwill for impairment by comparing the fair value of each of its reporting units to its carrying value, including the associated goodwill. To determine the fair values, the Company uses a weighted combination of the market approach based on comparable publicly traded companies and the income approach based on estimated discounted future cash flows. The cash flow assumptions consider historical and forecasted revenue, operating costs and other relevant factors.
Throughout 2020, the Company evaluated the effects of the COVID-19 pandemic and its negative impact on the global economy on each of the Company’s reporting units and indefinite-lived intangible assets. Further, the collapse in the demand for oil caused by this unprecedented global health and economic crisis, coupled with oil oversupply, adversely impacted the demand for products in the Company’s Non-Medical reportable segment. In the first quarter of 2020, a trigger event was identified and accordingly the Company performed a quantitative analysis to test goodwill for impairment as of April 3, 2020. The fair value of the Non-Medical reporting unit exceeded its carrying amount as of April 3, 2020. No further impairment indicators have been identified since the first quarter of 2020 through December 31, 2020.
The Company completed its annual goodwill impairment test as of December 31, 2020 and determined, after performing a qualitative review of its Medical reporting unit, that it is more likely than not that the fair value of the Medical reporting unit exceeds its carrying amount. Accordingly, there was no indication of impairment and the quantitative goodwill impairment test was not performed for the Medical reporting unit. The Company bypassed the qualitative analysis for its Non-Medical reporting unit and performed a quantitative analysis. The fair value of the Non-Medical reporting unit exceeded its carrying amount as of December 31, 2020.
Other Intangible Assets
Other intangible assets consist of purchased technology and patents, customer lists and trademarks. Definite-lived intangible assets are amortized on an accelerated or straight-line basis, which approximates the projected cash flows used to determine the fair value of those definite-lived intangible assets at the time of acquisition, as follows: purchased technology and patents 5-15 years; customer lists 7-20 years and other intangible assets 1-10 years. Certain trademark assets are considered indefinite-lived intangible assets and are not amortized. The Company expenses the costs incurred to renew or extend the term of intangible assets.
The Company reviews its definite-lived intangible assets for impairment when impairment indicators exist. When impairment indicators exist, the Company determines if the carrying value of its definite-lived intangible assets or asset groups exceeds the related undiscounted future cash flows. In cases where the carrying value exceeds the undiscounted future cash flows, the carrying value is written down to fair value. Fair value is generally determined using a discounted cash flow analysis.
The Company assesses its indefinite-lived intangible assets for impairment periodically to determine if any adverse conditions exist that would indicate impairment or when impairment indicators exist. The Company assesses its indefinite-lived intangible assets for impairment at least annually by comparing the fair value of the indefinite-lived intangible asset to its carrying value. The fair value is determined using the relief from royalty method.
Refer to Note 6 “Goodwill and Other Intangible Assets, Net” for further details of the Company’s goodwill and other intangible assets.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Equity Investments
The Company holds long-term, strategic investments in companies to promote business and strategic objectives. These investments are included in Other assets on the Consolidated Balance Sheets. Equity investments are measured and recorded as follows:
•Non-marketable equity securities are equity securities without readily determinable fair value that are measured and recorded at fair value with changes in fair value recognized within net income. The Company 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 method investments are equity securities in investees the Company does not control but over which it has the ability to exercise influence. Equity method investments are measured at cost minus impairment, if any, plus or minus our share of equity method investee income or loss.
Realized and unrealized gains and losses resulting from changes in fair value or the sale of these equity investments are recorded through (Gain) Loss on Equity Investments, Net. The carrying value of the Company’s non-marketable equity securities is adjusted for qualifying observable price changes resulting from the issuance of similar or identical securities by the same issuer. Determining whether an observed transaction is similar to a security within the Company’s portfolio requires judgment based on the rights and preferences of the securities. Recording upward and downward adjustments to the carrying value of the Company’s equity securities as a result of observable price changes requires quantitative assessments of the fair value of these securities using various valuation methodologies and involves the use of estimates.
Non-marketable equity securities and equity method investments (collectively referred to as non-marketable equity investments) are also subject to periodic impairment reviews. The Company’s quarterly impairment analysis considers both qualitative and quantitative factors that may have a significant impact on the investee’s fair value. Qualitative factors considered include the investee’s financial condition and business outlook, market for technology, operational and financing cash flow activities, technology and regulatory approval progress, and other relevant events and factors affecting the investee. When indicators of impairment exist, quantitative assessments of the fair value of the Company’s non-marketable equity investments are prepared.
To determine the fair value of these investments, the Company uses all pertinent financial information available related to the investees, including financial statements, market participant valuations from recent and proposed equity offerings, and other third-party data. Non-marketable equity securities are tested for impairment using a qualitative model similar to the model used for goodwill and long-lived assets. Upon determining that an impairment may exist, the security’s fair value is calculated and compared to its carrying value and an impairment is recognized immediately if the carrying value exceeds the fair value. Equity method investments are subject to periodic impairment reviews using the other-than-temporary impairment model, which considers the severity and duration of a decline in fair value below cost and the Company’s ability and intent to hold the investment for a sufficient period of time to allow for recovery.
The Company has determined that its investments are not considered variable interest entities. The Company’s exposure related to these entities is limited to its recorded investment. These investments are in start-up research and development companies whose fair value is highly subjective in nature and subject to future fluctuations, which could be significant. Refer to Note 17 “Financial Instruments and Fair Value Measurements” for additional information on the Company’s equity investments.
Debt Issuance Costs and Discounts
Debt issuance costs and discounts associated with the issuance of debt by the Company are deferred and amortized over the lives of the related debt. Debt issuance costs incurred in connection with the Company’s issuance of its revolving credit facility are classified within Other assets and amortized to Interest expense on a straight-line basis over the contractual term of the revolving credit facility. Debt issuance costs and discounts related to the Company’s term-debt are recorded as a reduction of the carrying value of the related debt and are amortized to Interest expense using the effective interest method over the period from the date of issuance to the put option date (if applicable) or the maturity date, whichever is earlier. The amortization of debt issuance costs and discounts are included in Debt related charges included in interest expense in the Consolidated Statements of Cash Flows. Upon prepayment of the related debt, the Company accelerates the recognition of a proportionate amount of the costs as refinancing or extinguishment of debt. Note 8 “Debt” contains additional information on the Company’s debt issuance costs and discounts.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Income Taxes
The consolidated financial statements of the Company have been prepared using the asset and liability approach to account for income taxes, which requires the recognition of deferred income taxes for the expected future tax consequences of net operating losses, credits, and temporary differences between the financial statement carrying amounts and the tax bases of assets and liabilities. A valuation allowance is provided on deferred tax assets if it is determined, within each taxing jurisdiction, that it is more likely than not that the asset will not be realized.
The Company accounts for uncertain tax positions using a more likely than not recognition threshold. The evaluation of uncertain tax positions is based on factors including, but not limited to, changes in tax law, the measurement of tax positions taken or expected to be taken in tax returns, the effective settlement of matters subject to audit, new audit activity and changes in facts or circumstances related to a tax position. These tax positions are evaluated on a quarterly basis. The Company recognizes interest expense related to uncertain tax positions as Provision for income taxes. Penalties, if incurred, are recognized as a component of Selling, general and administrative (“SG&A”) expenses.
The Company and its subsidiaries file a consolidated U.S. federal income tax return. State tax returns are filed on a combined or separate basis depending on the applicable laws in the jurisdictions where the tax returns are filed. The Company also files foreign tax returns on a separate company basis in the countries in which it operates.
Derivative Financial Instruments
The Company recognizes all derivative financial instruments in its consolidated financial statements at fair value. Changes in the fair value of derivative instruments are recorded in earnings unless hedge accounting criteria are met. Under master agreements with the respective counterparties to our derivative contracts, subject to applicable requirements, we have the right of set-off and are allowed to net settle transactions of the same type with a single net amount payable by one party to the other. The Company designated its interest rate swaps and foreign currency forward contracts as cash flow hedges (refer to Note 17 “Financial Instruments and Fair Value Measurements”). Gains and losses on cash flow hedges are recorded in Accumulated Other Comprehensive Income in the Consolidated Balance Sheets until the underlying transaction is recorded in earnings. When the hedged item is realized, gains or losses are reclassified from Accumulated Other Comprehensive Income to the Consolidated Statement of Operations on the same line item as the underlying transaction. In the event the forecasted transactions do not occur, or it becomes probable that they will not occur, the Company reclassifies any gain or loss on the related cash flow hedge to earnings in the respective period. Cash flows related to these derivative financial instruments are included in cash flows from operating activities. The resulting cash flow from the termination of interest rate swap agreements is reported in cash flows from operations in the Consolidated Statements of Cash Flows.
Revenue Recognition
The majority of the Company’s revenues consist of sales of various medical devices and products to large, multinational OEMs and their affiliated subsidiaries. The Company considers the customer’s purchase order, which in some cases is governed by a long-term agreement, and the Company’s corresponding sales order acknowledgment as the contract with the customer. Consideration payable to customers is included in the transaction price. In accordance with ASC 340-40-25-4, the Company expenses incremental costs of obtaining a contract when incurred because the amortization period is less than one year.
The Company evaluates revenue recognition in contracts with customers as performance obligations are satisfied and the customer obtains control of the products. Control is defined as the ability to direct the use of and obtain substantially all of the remaining benefits of the products. The customer obtains control of the products when title and risk of ownership transfers to them, which is primarily based upon shipping terms. Most of the Company’s revenues are recognized at the point in time when the products are shipped to customers. When contracts with customers for products, which do not have an alternative use to the Company, contain provisions that provide the Company with an enforceable right to payment for performance completed to date for costs incurred plus a reasonable profit throughout the duration of the contract, revenue is recognized over time as control is transferred to the customer. In contracts with customers where revenue is recognized over time, the Company uses an input measure to determine progress towards completion and total estimated costs at completion. Under this method, sales and gross profit are recognized as work is performed generally based on actual costs incurred. Revenue is recognized net of sales tax, value-added taxes and other taxes.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Performance Obligations
The Company considers each shipment of an individual product included on a purchase order to be a separate performance obligation, as each shipment is separately identifiable and the customer can benefit from each individual product separately from the other products included on the purchase order. Accordingly, a contract can have one or more performance obligations to manufacture products. Standard payment terms range from 30 to 90 days and can include a discount for early payment.
The Company does not offer its customers a right of return. Rather, the Company warrants that each unit received by the customer will meet the agreed upon technical and quality specifications and requirements. Only when the delivered units do not meet these requirements can the customer return the non-compliant units as a corrective action under the warranty. The remedy offered to the customer is repair of the returned units or replacement if repair is not viable. Accordingly, the Company records a warranty reserve and any warranty activities are not considered to be a separate performance obligation.
Contract Balances
The timing of revenue recognition, billings and cash collections results in billed accounts receivable and less frequently, unearned revenue. Accounts receivable are recorded when the right to consideration becomes unconditional. Unearned revenue is recorded when customers pay or are billed in advance of the Company’s satisfaction of performance obligations. Contract liabilities are classified as Accrued expenses and other current liabilities on the Consolidated Balance Sheets. For contracts with customers where revenue is recognized over time, the Company records a contract asset for unbilled revenue associated with non-cancellable customer orders, which is recorded within Contract assets on the Consolidated Balance Sheets.
Transaction Price
Generally, the transaction price of the Company’s contracts consists of a unit price for each individual product included in the contract, which can be fixed or variable based on the number of units ordered. In some instances, the transaction price also includes a rebate for meeting certain volume-based targets over a specified period of time. The transaction price of a contract is determined based on the unit price and the number of units ordered, reduced by the rebate expected to be earned on those units. Rebates are estimated based on the expected achievement of the volume-based target using the most likely amount method and updated quarterly. Any adjustments to these estimates are recognized under the cumulative catch-up method, such that impact of the adjustment is recognized in the period in which it is identified. When contracts with customers include consideration payable at the beginning of the contract, the transaction price is reduced at the later of when the Company recognizes revenue for the transfer of the related goods to the customer or when the Company pays or promises to pay the consideration. Volume discounts and rebates and other pricing reductions earned by customers are offset against their receivable balances.
The transaction price is allocated to each performance obligation on a relative standalone selling price basis. As the majority of products sold to customers are manufactured to meet the specific requirements and technical specifications of that customer, the products are considered unique to that customer and the unit price stated in the contract is considered the standalone selling price.
The Company does not disclose the aggregate amount of the transaction price allocated to unsatisfied performance obligations and an expectation of when those amounts are expected to be recognized as revenue because the majority of contracts have an original expected duration of one year or less.
Contract Modifications
Contract modifications, which can include a change in scope, price, or both, most often occur related to contracts that are governed by a long-term arrangement. Contract modifications typically relate to the same products already governed by the long-term arrangement, and therefore, are accounted for as part of the existing contract. If a contract modification is for additional products, it is accounted for as a separate contract.
Environmental Costs
Environmental expenditures that relate to an existing condition caused by past operations and that do not provide future benefits are expensed as incurred. Liabilities are recorded when environmental assessments are made, the requirement for remedial efforts is probable and the amount of the liability can be reasonably estimated. Liabilities are recorded generally no later than the completion of feasibility studies. The Company has a process in place to monitor, identify, and assess how the current activities for known exposures are progressing against the recorded liabilities. The process is also designed to identify other potential remediation sites that are not presently known.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Restructuring Expenses
The Company continually evaluates alternatives to align its resources with the changing needs of its customers and markets, and to lower operating costs. This includes realignment of existing manufacturing capacity, facility closures, process optimization, or similar actions, either in the normal course of business or pursuant to significant restructuring programs. These actions may result in voluntary or involuntary employee termination benefits. Voluntary termination benefits are accrued when an employee accepts the related offer. Involuntary termination benefits are accrued upon the commitment to a termination plan and the benefit arrangement is communicated to affected employees, or when liabilities are determined to be probable and estimable, depending on the existence of a substantive plan for severance or termination. All other exit costs are expensed as incurred. Refer to Note 11 “Other Operating Expenses” for additional information.
Product Warranties
The Company allows customers to return defective or damaged products for credit, replacement, or repair. The Company warrants that its products will meet customer specifications and will be free from defects in materials and workmanship. The Company accrues its estimated exposure to warranty claims, through Cost of Sales, based upon experience and other specific information as it becomes available. The product warranty liability is classified as Accrued expenses and other current liabilities on the Consolidated Balance Sheets. Adjustments to pre-existing estimated exposure for warranties are made as changes to the obligations become reasonably estimable. Note 13 “Commitments and Contingencies” contains additional information on the Company’s product warranties.
Research, Development and Engineering (“RD&E”)
RD&E costs are expensed as incurred. The primary costs are salary and benefits for personnel, material costs used in development projects and subcontracting costs.
Stock-Based Compensation
The Company recognizes stock-based compensation expense for its compensation plans. These plans include stock options, restricted stock awards (“RSAs”), restricted stock units (“RSUs”) and performance-based restricted stock units (“PRSUs”). For the Company’s PRSUs, in addition to service conditions, the ultimate number of shares to be earned depends on the achievement of targets based on market conditions, such as total shareholder return, or performance conditions based on the Company’s operating results. The Company records forfeitures of equity awards in the period in which they occur.
The fair value of the stock-based compensation is determined at the grant date. The Company uses the Black-Scholes standard option pricing model (“Black-Scholes model”) to determine the fair value of stock options. The fair value of each RSU and RSA is determined based on the Company’s closing stock price on the date of grant. The fair value of each PRSU is determined based on either the Company’s closing stock price on the date of grant or through a Monte Carlo valuation model for those awards that include a market-based condition. In addition to the closing stock price on the date of grant, the determination of the fair value of awards using both the Black-Scholes and Monte Carlo valuation models is affected by other assumptions, including the following:
Expected Term - The Company analyzes historical employee exercise and termination data to estimate the expected term assumption for stock options. For market-based awards, the term is commensurate with the performance period remaining as of the grant date.
Risk-free Interest Rate - A risk-free rate is based on the U.S. Treasury rates in effect on the grant date for a maturity equal to or approximating the expected term of the award.
Expected Volatility - For stock options, expected volatility is calculated using historical volatility based on the daily closing prices of the Company’s common stock over a period equal to the expected term. For market-based awards, a combination of historical and implied volatility for the Company and members of its peer group are used in developing the expected volatility assumption.
Dividend Yield - The dividend yield assumption is based on the Company’s expected annual dividend yield on the grant date.
The Company recognizes compensation expense over the required service or vesting period based on the fair value of the award on the date of grant. Certain executive stock-based awards contain market, performance and service conditions. Compensation expense for awards with market conditions is recognized over the service period and is not reversed if the market condition is not met. Compensation expense for awards with performance conditions is reassessed each reporting period and recognized based upon the probability that the performance targets will be achieved.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
All stock option awards granted under the Company’s compensation plans have an exercise price equal to the closing stock price on the date of grant, a ten-year contractual life and generally, vest annually over a three-year vesting term. RSUs typically vest in equal annual installments over a three or four year period. RSUs issued to members of the Company’s Board of Directors as a portion of their annual retainer vest quarterly over a one-year vesting term. Earned PRSUs typically vest two or three years from the date of grant.
The Company records deferred tax assets for awards that result in deductions on the Company’s income tax returns, based on the amount of stock-based compensation expense recognized and the statutory tax rate in the jurisdiction in which it will receive a deduction. Differences between the deferred tax assets recognized for financial reporting purposes and the actual tax deduction reported on the income tax return are recorded as a component of Provision for income taxes in the Consolidated Statements of Operations. Note 10 “Stock-Based Compensation” contains additional information on the Company’s stock-based compensation.
Defined Benefit Plans
The Company recognizes in its balance sheet as an asset or liability the overfunded or underfunded status of its defined benefit plans provided to its employees located in Mexico and Switzerland. This asset or liability is measured as the difference between the fair value of plan assets, if any, and the benefit obligation of those plans. For these plans, the benefit obligation is the projected benefit obligation, which is calculated based on actuarial computations of current and future benefits for employees. Actuarial gains or losses and prior service costs or credits that arise during the period, but are not included as components of net periodic benefit expense, are recognized as a component of Accumulated other comprehensive income (“AOCI”) on the Consolidated Balance Sheets. The Company records the service cost component of net benefit costs in Cost of sales and SG&A expenses. The interest cost component of net benefit costs is recorded in Interest expense and the remaining components of net benefit costs, amortization of net losses and expected return on plan assets, are recorded in Other (income) loss, net.
Foreign Currency Translation and Remeasurement
The Company translates all assets and liabilities of its foreign subsidiaries, where the U.S. dollar is not the functional currency, at the period-end exchange rate and translates income and expenses at the average exchange rates in effect during the period. The net effect of this translation is recorded in the consolidated financial statements as a component of AOCI. Translation adjustments are not adjusted for income taxes as they relate to permanent investments in the Company’s foreign subsidiaries.
The Company has foreign operations in Ireland, Israel, Malaysia, Mexico, Switzerland, and Uruguay, which expose the Company to foreign currency exchange rate fluctuations due to transactions denominated in Euros, Israeli shekels, Malaysian ringgits, Mexican pesos, Swiss francs, and Uruguayan pesos. To the extent that monetary assets and liabilities, including short-term and long-term intercompany loans, are recorded in a currency other than the functional currency of the subsidiary, these amounts are remeasured each period at the period-end exchange rate, with the resulting gain or loss being recorded in Other (income) loss, net in the Consolidated Statements of Operations. Net foreign currency transaction losses included in Other (income) loss, net amounted to $1.6 million, $0.1 million and $1.6 million for 2020, 2019 and 2018, respectively, and primarily related to the fluctuation of the U.S. dollar relative to the Euro and the remeasurement of intercompany loans.
Earnings Per Share (“EPS”)
Basic EPS is calculated by dividing Net Income by the weighted average number of shares outstanding during the period. Diluted EPS is calculated by adjusting the weighted average number of shares outstanding for potential common shares if dilutive to the EPS calculation. Note 15 “Earnings Per Share” contains additional information on the computation of the Company’s EPS.
Comprehensive Income
The Company’s comprehensive income as reported in the Consolidated Statements of Comprehensive Income includes net income, foreign currency translation adjustments, the net change in cash flow hedges, net of tax, and defined benefit plan liability adjustments, net of tax. The Consolidated Statements of Comprehensive Income and Note 16 “Stockholders’ Equity” contain additional information on the computation of the Company’s comprehensive income.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Recent Accounting Pronouncements
In the normal course of business, management evaluates all new Accounting Standards Updates (“ASU”) and other accounting pronouncements issued by the Financial Accounting Standards Board (“FASB”), Securities and Exchange Commission (“SEC”), or other authoritative accounting bodies to determine the potential impact they may have on the Company’s Consolidated Financial Statements. Except as noted below, management does not expect any of the recently issued accounting pronouncements, which have not already been adopted, to have a material impact on the Company’s Consolidated Financial Statements.
Accounting Guidance Adopted in Fiscal Year 2020
Adoption of ASC 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 Consolidated Financial Statements.
Accounting Guidance Adopted in Fiscal Year 2019
Adoption of ASC Topic 842
The Company adopted ASC 842, Leases, effective December 29, 2018, the first day of the Company’s 2019 fiscal year. ASC 842 requires the recognition of lease assets and lease liabilities by lessees for those leases classified as operating leases under previous guidance. The Company elected to transition to ASC 842 using the option to not restate comparative periods and apply the standard as of the date of initial application. In addition, certain practical expedients were elected which permit the Company to not reassess whether existing contracts are or contain leases, to not reassess the lease classification of any existing leases, and to not reassess initial direct costs for any existing leases. The Company also elected the practical expedient to not separate lease and non-lease components for all classes of underlying assets and the practical expedient related to land easements, allowing the Company to carry-forward its accounting treatment for land easements on existing agreements. The Company did not elect the practical expedient pertaining to the use of hindsight. The Company also made an accounting policy election to keep leases with an initial term of 12 months or less and no purchase option the Company is reasonably certain to exercise off the balance sheet for all classes of underlying assets.
As a result of the adoption of ASC 842, the Company recognized operating lease right-of-use assets of $40.9 million and operating lease liabilities of $43.4 million on December 29, 2018. The difference between the lease assets and lease liabilities primarily represents the existing prepaid rent assets, deferred rent liabilities, and tenant improvement allowances, along with a cumulative-effect adjustment to beginning retained earnings. The adoption of ASC 842 did not have a material impact on the Company’s Consolidated Statement of Operations and Consolidated Statement of Cash Flows for the periods presented.
Refer to Note 14 “Leases” for additional information on the Company’s leases.
Accounting Guidance Not Yet Elected or Adopted
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 elective for all entities through December 31, 2022. ASU 2020-04 has not yet affected the Company’s Condensed Consolidated Financial Statements.
v3.20.4
Business Acquisition, Divesture And Discontinued Operations
 12 Months Ended
Dec. 31, 2020
Discontinued Operations and Disposal Groups [Abstract]  
BUSINESS ACQUISITION, DIVESTITURE AND DISCONTINUED OPERATIONS ACQUISITIONS, DIVESTITURE AND DISCONTINUED OPERATIONS
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 final 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. Based on the final purchase price allocation, 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 $10.4 million of goodwill reflects a $0.1 million decrease resulting from the working capital adjustment. The technology intangible asset is being amortized over a useful life of 8 years.
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 17 “Financial Instruments and Fair Value Measurements” for additional information related to the fair value measurement of the contingent consideration.
For segment reporting purposes, the results of operations and assets from the InoMec and USB acquisitions have been included in the Company’s Medical segment since the respective acquisition dates. For the year ended December 31, 2020, sales related to InoMec and USB were $3.4 million and $4.5 million, respectively. For the year ended December 31, 2019, sales related to USB were $0.8 million. Earnings related to the operations consisting of the assets and liabilities acquired from InoMec and USB for the years ended December 31, 2020 and December 31, 2019 were not material.
During the years ended December 31, 2020 and December 31, 2019, direct costs of these acquisitions of $0.9 million and $0.4 million, respectively, were expensed as incurred and included in Other Operating Expenses in the 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.
(2.)    BUSINESS ACQUISITIONS, DIVESTITURE AND DISCONTINUED OPERATIONS (Continued)
Discontinued Operations and Divestiture of AS&O Product Line
On July 2, 2018, the Company completed the sale of its AS&O Product Line to Viant, collecting net cash proceeds of approximately $581 million. In connection with the sale, the parties executed a transition services agreement whereby the Company agreed to 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 completed during 2019. The Company recognized $2.9 million of income under the transition services agreement for the performance of services during 2019, of which $0.1 million is recorded as a reduction of Cost of Sales and $2.8 million is recorded as a reduction of SG&A expenses in the Consolidated Statement of Operations for the year ended December 31, 2019. The Company recognized $3.6 million of income under the transition services agreement for the performance of services during 2018, of which $0.2 million is recorded as a reduction of Cost of Sales and $3.4 million is recorded as a reduction of SG&A expenses for the year ended December 28, 2018. In addition, the parties executed long-term supply agreements under which the Company and Viant have agreed to supply the other with certain products at prices specified in the agreements for a term of three years.
In connection with the closing of the transaction but prior to a net working capital adjustment, the Company recognized a pre-tax gain on sale of discontinued operations of $195.0 million during the year ended December 28, 2018. During 2019, the Company received, and recognized as gain on sale from discontinued operations, $4.8 million due to the final net working capital adjustment agreed to with Viant.
There were no amounts from discontinued operations for fiscal years 2020. Income from discontinued operations for fiscal years 2019 and 2018 were as follows (in thousands):
20192018
Sales$— $178,020 
Cost of sales— 148,357 
Gross profit— 29,663 
SG&A expenses— 8,905 
Research, development and engineering costs— 2,352 
Other operating expenses— 1,805 
Interest expense— 22,833 
Gain on sale of discontinued operations(4,974)(194,965)
Other (income) loss, net(322)420 
Income from discontinued operations before taxes5,296 188,313 
Provision for income taxes178 67,382 
Income from discontinued operations$5,118 $120,931 
Interest expense included in discontinued operations reflects an estimate of interest expense related to the debt that was required to be repaid with the proceeds from the sale of the AS&O Product Line.
There were no amounts from discontinued operations for fiscal years 2020. Cash flow information from discontinued operations for fiscal years 2019 and 2018 was as follows (in thousands):
20192018
Cash used in operating activities$(78)$(12,498)
Cash provided by investing activities4,734 577,833 
Depreciation and amortization— $7,450 
Capital expenditures— 3,610 
v3.20.4
Supplemental Cash Flow Information
 12 Months Ended
Dec. 31, 2020
Supplemental Cash Flow Elements [Abstract]  
SUPPLEMENTAL CASH FLOW INFORMATION SUPPLEMENTAL CASH FLOW INFORMATION
The following represents supplemental cash flow information for fiscal years 2020, 2019 and 2018 (in thousands):
 202020192018
Non-cash investing and financing activities:
Property, plant and equipment purchases included in accounts payable$3,597 $8,646 $2,303 
Cash paid during the year for:
Interest33,933 44,784 79,661 
Income taxes18,477 30,034 23,155 
v3.20.4
Inventories
 12 Months Ended
Dec. 31, 2020
Inventory Disclosure [Abstract]  
INVENTORIES INVENTORIES
Inventories comprise the following (in thousands):
December 31,
2020		December 31,
2019
Raw materials$72,477 $79,742 
Work-in-process58,806 60,042 
Finished goods18,040 27,472 
Total$149,323 $167,256 
v3.20.4
Property, Plant and Equipment, Net
 12 Months Ended
Dec. 31, 2020
Property, Plant and Equipment [Abstract]  
PROPERTY, PLANT AND EQUIPMENT, NET PROPERTY, PLANT AND EQUIPMENT, NET
PP&E comprises the following (in thousands):
December 31, 2020December 31,
2019
Manufacturing machinery and equipment$320,807 $285,793 
Buildings and building improvements102,037 96,539 
Information technology hardware and software69,969 64,328 
Leasehold improvements77,382 69,012 
Furniture and fixtures16,250 15,517 
Land and land improvements11,598 11,541 
Construction work in process26,389 37,470 
Other1,238 1,181 
625,670 581,381 
Accumulated depreciation(371,706)(335,196)
Total$253,964 $246,185 
Depreciation expense for PP&E was as follows for fiscal years 2020, 2019 and 2018 (in thousands):
202020192018
Depreciation expense$38,193 $37,819 $40,078 
v3.20.4
Goodwill and Other Intangible Assets, Net
 12 Months Ended
Dec. 31, 2020
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND OTHER INTANGIBLE ASSETS, NET GOODWILL AND OTHER INTANGIBLE ASSETS, NET
Goodwill
The change in the carrying amount of goodwill by reportable segment during fiscal years 2020 and 2019 was as follows (in thousands):
MedicalNon-MedicalTotal
December 28, 2018$815,338 $17,000 $832,338 
Acquisition (Note 2)10,527 — 10,527 
Foreign currency translation(3,248)— (3,248)
December 31, 2019822,617 17,000 839,617 
Acquisition (Note 2)4,800 — 4,800 
Acquisition-related adjustments (Note 2)(85)— (85)
Foreign currency translation15,110 — 15,110 
December 31, 2020$842,442 $17,000 $859,442 
As of December 31, 2020, no accumulated impairment loss has been recognized for the goodwill allocated to the Company’s Medical or Non-Medical segments.
Intangible Assets
Intangible assets comprise the following (in thousands):
Gross
Carrying
Amount		Accumulated
Amortization		Net
Carrying
Amount
December 31, 2020
Definite-lived:
Purchased technology and patents$257,453 $(152,798)$104,655 
Customer lists723,791 (161,856)561,935 
Other4,142 (3,796)346 
Total amortizing intangible assets$985,386 $(318,450)$666,936 
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 amortizing intangible assets$958,619 $(273,123)$685,496 
Indefinite-lived:
Trademarks and tradenames$90,288 
See Note 2 “Business Acquisitions, Divestiture and Discontinued Operations” for additional details regarding intangible assets acquired from business acquisitions during 2020 and 2019. Included in the Company’s indefinite-lived intangible assets is the Lake Region Medical tradename with a carrying value of $70.0 million.
When acquiring certain assets, the Company assesses whether the acquired assets are a result of a business combination or a purchase of an asset. During 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 purchased the technology for $4.5 million, which includes $1.0 million of contingent consideration paid during 2020 upon completion of certain milestones, and 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.
(6.)     GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Continued)
Aggregate intangible asset amortization expense comprises the following for fiscal years 2020, 2019 and 2018 (in thousands):
202020192018
Cost of Sales$12,860 $13,111 $14,134 
SG&A28,271 26,965 26,658 
RD&E— — 154 
Other Operating Expenses (“OOE”)— — 514 
Total intangible asset amortization expense$41,131 $40,076 $41,460 
Estimated future intangible asset amortization expense based upon the carrying value as of December 31, 2020 is as follows (in thousands):
20212022202320242025After 2025
Amortization Expense$41,684 $40,607 $39,177 $38,213 $36,888 $470,367 
v3.20.4
Accrued Expenses and Other Current Liabilities
 12 Months Ended
Dec. 31, 2020
Accounts Payable and Accrued Liabilities [Abstract]  
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES
Accrued expenses and other current liabilities comprise the following (in thousands):
December 31, 2020December 31,
2019
Salaries and benefits$24,512 $20,997 
Profit sharing and bonuses19,204 26,060 
Contract liabilities2,498 1,975 
Accrued interest1,644 1,885 
Product warranties163 1,933 
Other8,822 13,223 
Total$56,843 $66,073 
v3.20.4
Debt
 12 Months Ended
Dec. 31, 2020
Debt Disclosure [Abstract]  
DEBT DEBT
Long-term debt comprises the following (in thousands):
 December 31, 2020December 31,
2019
Senior secured term loan A $229,687 $267,188 
Senior secured term loan B 508,286 558,286 
Unamortized discount on term loan B and debt issuance costs(6,715)(10,702)
Total debt731,258 814,772 
Current portion of long-term debt(37,500)(37,500)
Total long-term debt$693,758 $777,272 
Senior Secured Credit Facilities
The Company has senior secured credit facilities (the “Senior Secured Credit Facilities”) 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.
(8.)     DEBT (Continued)
On July 13, 2020, the Company amended the Senior Secured Credit Facilities (the “Amendment”) to increase the total net leverage ratio. In connection with the Amendment, the Company paid consenting lenders advanced amendment fees totaling $0.4 million. 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. The advanced amendment fees and deferred amendment fees, which were not material for the year ended December 31, 2020, are debt issuance costs which will be deferred and amortized over the remaining life of the related debt.
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 December 31, 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 London Interbank Offered Rate (“LIBOR”) plus the applicable margin, which will range between 1.50% and 3.00%, based on the Company’s Total Net Leverage Ratio.
As of December 31, 2020, the Company had no outstanding borrowings on the Revolving Credit Facility and an available borrowing capacity of $193.2 million after giving effect to $6.8 million of outstanding standby letters of credit.
Subject to certain conditions, commitments under the Revolving Credit Facility may be increased through an incremental revolving facility so long as, on a pro forma basis (as defined in the Amendment), the Company’s first lien net leverage ratio does not exceed 4.25:1.00.
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 December 31, 2020, the interest rates on the TLA Facility and TLB Facility were 2.40% and 3.50%, respectively.
Subject to certain conditions, one or more incremental term loan facilities may be added to the Term Loan Facilities so long as, on a pro forma basis (as defined in the Amendment), the Company’s first lien net leverage ratio does not exceed 4.25:1.00.
Covenants
The Revolving Credit Facility and the TLA Facility contain covenants requiring (A) a maximum total net leverage ratio of 4.75 to 1.00, subject to a step down to 4.50 to 1.00 for the third fiscal quarter of 2021, and reverting to and remaining at 4.00 to 1.00 beginning with the fourth quarter of 2021 through maturity, 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 to 1.00. Additionally, the net leverage ratio can be increased by 0.50 for up to four consecutive quarters commencing in any fiscal quarter in which the Company consummates an eligible adjustment acquisition (as defined in the Amendment) with a $40 million or greater purchase price. As of December 31, 2020, the Company was in compliance with these financial covenants. The TLB Facility does not contain any financial maintenance covenants.
The Senior Secured Credit Facilities also contain negative covenants that restrict the Company’s ability to (i) incur additional indebtedness; (ii) create certain liens; (iii) consolidate or merge; (iv) sell assets, including capital stock of the Company’s subsidiaries; (v) engage in transactions with the Company’s affiliates; (vi) create restrictions on the payment of dividends or other amounts from the Company’s restricted subsidiaries; (vii) pay dividends on capital stock or redeem, repurchase or retire capital stock; (viii) pay, prepay, repurchase or retire certain subordinated indebtedness; (ix) make investments, loans, advances and acquisitions; (x) make certain amendments or modifications to the organizational documents of the Company or its subsidiaries or the documentation governing other senior indebtedness of the Company; and (xi) change the Company’s type of business. These negative covenants are subject to a number of limitations and exceptions that are described in the Senior Secured Credit Facilities agreement. As of December 31, 2020, the Company was in compliance with all negative covenants under the Senior Secured Credit Facilities.
(8.)     DEBT (Continued)
The Senior Secured Credit Facilities provide for customary events of default. Upon the occurrence and during the continuance of an event of default, the outstanding advances and all other obligations under the Senior Secured Credit Facilities become immediately due and payable.
9.125% Senior Notes due 2023
On October 27, 2015, the Company completed a private offering of $360 million aggregate principal amount of 9.125% senior notes due on November 1, 2023 (the “Senior Notes”). On July 10, 2018, the Company completed the redemption in full of the Senior Notes at a redemption price of 100% of the principal amount of the Senior Notes plus the applicable “make-whole” premium of $31.3 million and accrued and unpaid interest through the redemption date. The “make-whole” premium is included in Interest Expense in the accompanying Consolidated Statements of Operations for the year ended December 28, 2018. Upon completion of the redemption of the Senior Notes, the indenture governing the Senior Notes was satisfied and discharged.
As of December 31, 2020, the weighted average interest rate on all outstanding borrowings is 3.16%.
Contractual maturities of the Company’s debt facilities for the next five years and thereafter as of December 31, 2020 are as follows (in thousands):
20212022
Future minimum principal payments$37,500 $700,473 
Debt Issuance Costs and Discounts
The Company incurred debt issuance costs in conjunction with the issuance of the Senior Secured Credit Facilities. The change in deferred debt issuance costs related to the Company’s Revolving Credit Facility is as follows (in thousands):
December 28, 2018$1,817 
Financing costs incurred302 
Write-off of debt issuance costs(1)
(150)
Amortization during the period(939)
December 31, 20191,030 
Financing costs incurred289 
Amortization during the period(428)
December 31, 2020$891 
The change in unamortized discount and debt issuance costs related to the Term Loan Facilities is as follows (in thousands):
Debt Issuance CostsUnamortized Discount on TLB FacilityTotal
December 28, 2018$12,713 $3,753 $16,466 
Financing costs incurred919 — 919 
Write-off of debt issuance costs and unamortized discount(1)
(1,913)(482)(2,395)
Amortization during the period(3,440)(848)(4,288)
December 31, 20198,279 2,423 10,702 
Financing costs incurred359 — 359 
Write-off of debt issuance costs and unamortized discount(1)
(400)(150)(550)
Amortization during the period(2,980)(816)(3,796)
December 31, 2020$5,258 $1,457 $6,715 
__________
(1)The Company recognized losses from extinguishment of debt in connection with prepaying portions of its TLB Facility and amending the Senior Secured Credit Facilities during 2020 and 2019. The losses from extinguishment of debt are included in Interest Expense in the accompanying Consolidated Statements of Operations.
v3.20.4
Benefit Plans
 12 Months Ended
Dec. 31, 2020
Retirement Benefits [Abstract]  
BENEFIT PLANS BENEFIT PLANS
Savings Plan
The Company sponsors a defined contribution 401(k) plan (the “Plan”) for its U.S. based employees. The Plan provides for the deferral of employee compensation under Internal Revenue Code §401(k) and a Company match. The Company matches $0.50 per dollar of each participant’s deferral made to the Plan up to 6% of their compensation, subject to Internal Revenue Service guidelines. The Company temporarily suspended the Company match beginning in August 2020 through the end of 2020 as part of its cost reduction actions to reduce discretionary spending in response to the effect of the COVID-19 pandemic on its operations.
Contributions from employees, as well as those matched by the Company, vest immediately. Net costs related to defined contribution plans were $5.0 million in 2020, $7.2 million in 2019 and $6.8 million in 2018.
Defined Benefit Plans
The Company is required to provide its employees located in Switzerland and Mexico certain statutorily mandated defined benefits. Under these plans, benefits accrue to employees based upon years of service, position, age and compensation. The defined benefit pension plan provided to the Company’s employees located in Switzerland is a funded contributory plan, while the plans that provide benefits to the Company’s employees located in Mexico are unfunded and noncontributory. The assets of the Switzerland plan are held at an AA- rated insurance carrier who bears the pension risk and longevity risk, and will be used to cover the pension liability for the remaining retirees of the Swiss plan, as well as the remaining employees at that location. The liability and corresponding expense related to these benefit plans is based on actuarial computations of current and future benefits for employees.
The aggregated projected benefit obligation for these plans was $3.7 million and $3.0 million as of December 31, 2020 and December 31, 2019, respectively. Net periodic pension cost for fiscal years 2020, 2019 and 2018 was $0.4 million, $0.3 million and $0.3 million, respectively. Over the next ten years, we expect gross benefit payments to be $0.8 million in total for the years 2021 through 2025, and $1.4 million in total for the years 2026 through 2030.
v3.20.4
Stock-Based Compensation
 12 Months Ended
Dec. 31, 2020
Share-based Payment Arrangement [Abstract]  
STOCK-BASED COMPENSATION STOCK-BASED COMPENSATION
Stock-based Compensation Plans
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, RSAs, RSUs, stock appreciation rights and stock bonuses to employees, non-employee directors, consultants, and service providers.
The 2011 Stock Incentive Plan (the “2011 Plan”), as amended, authorizes the issuance of up to 1,350,000 shares of equity incentive awards and the 2016 Stock Incentive Plan (the “2016 Plan”) authorizes the issuance of up to 1,450,000 shares of equity incentive awards. Awards remain outstanding under the 2005 Stock Incentive Plan and the 2009 Stock Incentive Plan, as amended, but the plans have been frozen to any new award issuances. As of December 31, 2020, there were 482,014 and 1,883 shares available for future grants under the 2016 Plan and 2011 Plan, respectively.
The Company recognized a net tax benefit from the exercise of stock options and vesting of RSAs and RSUs of $1.5 million, $2.8 million and $3.8 million for 2020, 2019 and 2018, respectively. These amounts are recorded as a component of Provision for Income Taxes.
(10.)     STOCK-BASED COMPENSATION (Continued)
Stock-based Compensation Expense
The components and classification of stock-based compensation expense for fiscal years 2020, 2019 and 2018 were as follows (in thousands):
202020192018
Stock options$43 $410 $873 
RSAs and RSUs9,120 8,884 9,183 
Discontinued operations— — 414 
Total stock-based compensation expense$9,163 $9,294 $10,470 
Cost of sales$1,658 $1,011 $849 
SG&A6,942 7,827 9,090 
RD&E563 269 112 
OOE— 187 5 
Discontinued operations— — 414 
Total stock-based compensation expense$9,163 $9,294 $10,470 
Stock Options
There were no stock options granted in fiscal year 2020 or 2019. The following table includes the weighted average grant date fair value of stock options granted to employees during fiscal years 2018 and the related weighted average assumptions used in the Black-Scholes model:
2018
Weighted average fair value of options granted$14.89 
Assumptions:
Expected term (in years)4.0
Risk-free interest rate2.21 %
Expected volatility39 %
Expected dividend yield0 %
The following table summarizes stock option activity during the fiscal year ended December 31, 2020:
Number of
Stock
Options		Weighted
Average
Exercise
Price		Weighted
Average
Remaining
Contractual
Term
(in years)		Aggregate
Intrinsic
Value
(in millions)
Outstanding at December 31, 2019384,013 $34.96 
Exercised(102,140)31.95 
Outstanding at December 31, 2020281,873 $36.05 4.7$12.7 
Vested and expected to vest at December 31, 2020281,873 $36.05 4.7$12.7 
Exercisable at December 31, 2020279,323 $35.97 4.7$12.6 
Intrinsic value is calculated for in-the-money options (exercise price less than market price) as the difference between the market price of the Company’s common shares as of December 31, 2020 ($81.19) and the weighted average exercise price of the underlying stock options, multiplied by the number of options outstanding and/or exercisable. Shares are distributed from the Company’s authorized but unissued reserve and if available, treasury stock, upon the exercise of stock options.
(10.)     STOCK-BASED COMPENSATION (Continued)
The following table provides certain information relating to the exercise of stock options during fiscal years 2020, 2019 and 2018 (in thousands):
202020192018
Intrinsic value$4,773 $7,998 $17,722 
Cash received3,263 3,242 12,409 
Restricted Stock Units
The following table summarizes time-vested RSU activity during the fiscal year ended December 31, 2020:
Time-Vested
Activity		Weighted
Average Grant Date
Fair Value
Nonvested at December 31, 2019205,223 $64.75 
Granted143,122 83.94 
Vested(125,501)67.74 
Forfeited(14,921)75.51 
Nonvested at December 31, 2020207,923 $75.38 
As of December 31, 2020, there was $10.8 million of total unrecognized compensation cost related to time-based RSAs and RSUs, which is expected to be recognized over a weighted-average period of approximately 1.8 years. The fair value of RSA and RSU shares vested in 2020, 2019 and 2018 was $9.9 million, $2.4 million and $9.7 million, respectively. The weighted average grant date fair value of RSAs and RSUs granted during fiscal years 2020, 2019 and 2018 was $83.94, $82.31 and $52.14, respectively.
The following table summarizes PRSU activity during the fiscal year ended December 31, 2020:
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 December 31, 2020219,391 $72.33 
For the Company’s PRSUs, in addition to service conditions, the ultimate number of shares 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 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.
At December 31, 2020, there was $4.9 million of total unrecognized compensation cost related to unvested PRSUs, which is expected to be recognized over a weighted-average period of approximately 1.7 years. The fair value of PRSU shares vested in 2020, 2019 and 2018 was $2.9 million, $6.7 million and $9.1 million, respectively. The weighted average grant date fair value of PRSUs granted during fiscal years 2020, 2019 and 2018 was $95.06, $101.17 and $45.37, respectively.
(10.)     STOCK-BASED COMPENSATION (Continued)
The grant-date fair value of the market-based portion of the PRSUs granted during fiscal year 2020, 2019 and 2018 was determined using the Monte Carlo valuation model 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:
 202020192018
Weighted average fair value$107.27 $117.03 $37.46 
Risk-free interest rate1.29 %2.46 %2.28 %
Expected volatility30 %40 %40 %
Expected life (in years)2.92.82.9
Expected dividend yield— %— %— %
v3.20.4
Other Operating Expenses
 12 Months Ended
Dec. 31, 2020
Other Income and Expenses [Abstract]  
OTHER OPERATING EXPENSES OTHER OPERATING EXPENSES
The Company continuously evaluates the business and identifies opportunities to realign its resources to better serve its customers and markets, improve operational efficiency and capabilities, and lower its operating costs. To realize the benefits associated with these opportunities, the Company undertakes restructuring-type activities to transform its business. In addition, from time to time, the Company incurs cost associated with acquiring and integrating businesses and certain other general expenses, including asset impairments. The Company classifies costs associated with these items as OOE.
The following tables summarize OOE by program in each of the preceding three years (in thousands):
202020192018
Operational excellence initiatives$2,791 $— $— 
Strategic reorganization and alignment686 5,812 10,624 
Manufacturing alignment to support growth241 2,145 3,089 
Consolidation and optimization initiatives— — 844 
Acquisition and integration costs (adjustments)(776)377 — 
Other general expenses4,679 3,817 1,508 
Total other operating expenses$7,621 $12,151 $16,065 
Operational excellence initiatives
2020 Initiatives
The Company’s 2020 initiatives mainly consist of costs associated with executing on its sales force, manufacturing, business process and performance excellence operational strategic 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. Costs related to the Company’s 2020 initiatives are primarily recorded within the Medical segment and mainly include termination benefits. As of December 31, 2020, total restructuring and related charges incurred since inception was $2.8 million. These actions were substantially complete at the end of 2020.
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 to enhance the profitability of its portfolio of products. These initiatives primarily included aligning resources with the Company’s strategic direction, improving profitability to invest in accelerated growth and the expansion of a facility. Costs related to these initiatives were primarily recorded within the Medical segment and mainly included termination benefits and fees for professional services. As of December 31, 2020, total restructuring and related charges incurred since inception, including amounts reported in discontinued operations, was $23.0 million. These actions were completed during 2020.
(11.)     OTHER OPERATING EXPENSES (Continued)
Manufacturing alignment to support growth
In 2017, the Company commenced several initiatives designed to reduce costs, increase manufacturing capacity to accommodate growth and improve operating efficiencies.  The plan involved the relocation of certain manufacturing operations and expansion of certain of the Company’s facilities. Costs related to the Company’s manufacturing alignment to support growth initiative were primarily recorded within the Medical segment. As of December 31, 2020, total restructuring and related charges incurred for this initiative since inception was $5.8 million. These actions were completed during 2020.
Consolidation and optimization initiatives
Costs related to the Company’s consolidation and optimization initiatives were primarily recorded within the Medical segment. The Company does not expect to incur any material additional costs associated with these activities.
The following table summarizes the change in accrued liabilities, presented within Accrued expenses and other current liabilities on the Consolidated Balance Sheets, related to the initiatives described above (in thousands):
Operational excellence initiatives
Strategic reorganization and alignment
Manufacturing alignment to support growth
Total
December 31, 2019$— $1,985 $— $1,985 
Charges incurred, net of reversals2,791 686 241 3,718 
Cash payments(2,500)(2,671)(241)(5,412)
December 31, 2020$291 $— $— $291 
Acquisition and integration costs
During 2020, acquisition and integration costs included $1.2 million of expenses primarily related to the acquisition of certain assets and liabilities of InoMec, and a $2.0 million adjustment to reduce the fair value of acquisition-related contingent consideration liability associated with the Company’s acquisition of USB. During 2019, acquisition and integration costs primarily related to direct acquisition costs incurred in connection with the acquisition of USB. Acquisition and integration costs primarily consist of professional fees and other costs. See Note 17 “Financial Instruments and Fair Value Measurements” for additional information related to the fair value measurement of the contingent consideration.
Other general expenses
During 2020, 2019 and 2018, the Company recorded expenses related to other initiatives not described above, which relate primarily to actions taken to align labor with reduced 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 efficiencies. The 2020 and 2019 amounts primarily include severance, information technology systems conversion expenses, expenses incurred in connection with a customer filing Chapter 11 bankruptcy, and expenses related to the restructuring of certain legal entities of the Company.
v3.20.4
Income Taxes
 12 Months Ended
Dec. 31, 2020
Income Tax Disclosure [Abstract]  
INCOME TAXES INCOME TAXES
Income from continuing operations before taxes for fiscal years 2020, 2019 and 2018 consisted of the following (in thousands):
202020192018
U.S.$35,337 $40,203 $(4,273)
International50,870 64,990 65,389 
Total income from continuing operations before taxes$86,207 $105,193 $61,116 
The provision for income taxes from continuing operations for fiscal years 2020, 2019 and 2018 comprises the following (in thousands):
202020192018
Current:
Federal$7,784 $14,090 $80 
State1,233 87 166 
International6,898 10,083 9,490 
15,915 24,260 9,736 
Deferred:
Federal(4,648)(8,813)6,610 
State(1,245)332 103 
International(1,073)(1,804)(2,366)
(6,966)(10,285)4,347 
Total provision for income taxes$8,949 $13,975 $14,083 
The provision for income taxes from continuing operations differs from the U.S. statutory rate for fiscal years 2020, 2019 and 2018 due to the following:
202020192018
Statutory rate$18,103 21.0 %$22,091 21.0 %$12,834 21.0 %
Federal tax credits (including R&D)(7,009)(8.1)(4,797)(4.6)(1,700)(2.8)
Foreign rate differential(5,333)(6.2)(5,479)(5.2)(6,040)(9.9)
Stock-based compensation(1,459)(1.7)(2,422)(2.3)(2,821)(4.6)
Uncertain tax positions1,208 1.4 (920)(0.9)147 0.2 
State taxes, net of federal benefit553 0.6 1,106 1.1 975 1.6 
U.S. tax on foreign earnings, net of §250 deduction3,216 3.7 5,201 4.9 10,473 17.1 
Valuation allowance(345)(0.4)(1,606)(1.5)(567)(0.9)
Other15 0.1 801 0.8 782 1.3 
Effective tax rate$8,949 10.4 %$13,975 13.3 %$14,083 23.0 %
The difference between the Company’s effective tax rate and the U.S. federal statutory income tax rate in the current year is primarily attributable to the availability of Foreign Tax Credits, R&D Credits, the impact of the Company’s earnings realized in foreign jurisdictions with statutory rates that are different than the U.S. federal statutory rate, and the provision for Global Intangible Low Taxed income (“GILTI”), net of the statutory deduction of 50% of the GILTI inclusion and the Foreign Derived Intangible Income (“FDII”) deduction (collectively “Section 250 deduction”). In 2018, the Section 250 deduction associated with GILTI and FDII, were subject to limitations based on U.S. taxable income. The Company’s foreign earnings are primarily derived from Switzerland, Mexico, Uruguay, and Ireland. The Company currently has a tax holiday in Malaysia through April 2023 provided certain conditions continue to be met.
(12.)     INCOME TAXES (Continued)
Difference Attributable to Foreign Investment: Certain foreign subsidiary earnings are subject to U.S. taxation under the Tax Cuts and Jobs Act of 2017 (the “Tax Reform Act”) . The Company intends to permanently reinvest substantially all of our foreign subsidiary earnings, as well as our capital in our foreign subsidiaries, with the exception of planned distributions made out of current year earnings and profits (“E&P”) and E&P previously taxed as of and for the year ended December 29, 2017, including E&P subject to the toll charge under the Tax Reform Act. The Company accrues for withholding taxes on distributions in the year associated with earnings that are intended to be distributed.
The net deferred tax liability consists of the following (in thousands):
December 31,
2020		December 31,
2019
Tax credit carryforwards$13,449 $14,921 
Inventories14,099 11,333 
Net operating loss carryforwards10,436 8,254 
Operating lease liabilities11,969 5,544 
Stock-based compensation3,276 4,844 
Accrued expenses8,058 4,625 
Gross deferred tax assets61,287 49,521 
Less valuation allowance(20,739)(22,229)
Net deferred tax assets40,548 27,292 
Property, plant and equipment(5,824)(6,017)
Intangible assets(197,048)(192,091)
Operating lease assets(11,290)(5,161)
Other(4,292)(7,563)
Gross deferred tax liabilities(218,454)(210,832)
Net deferred tax liability$(177,906)$(183,540)
Presented as follows:
Noncurrent deferred tax asset$4,398 $4,438 
Noncurrent deferred tax liability(182,304)(187,978)
Net deferred tax liability$(177,906)$(183,540)
As of December 31, 2020, the Company has the following carryforwards available:
JurisdictionTax
Attribute		Amount
(in millions)		Begin to Expire
U.S. State
Net operating losses(1)
$126.7 2021
International
Net operating losses(1)
6.9 2022
U.S. FederalForeign tax credits7.9 2021
U.S. Federal and StateR&D tax credits1.8 2021
U.S. StateState tax credits5.7 2021
__________
(1)     Net operating losses (“NOLs”) are presented as pre-tax amounts.
(12.)     INCOME TAXES (Continued)
In assessing the realizability of deferred tax assets, management considers, within each taxing jurisdiction, whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment. Based on the consideration of the weight of both positive and negative evidence, management has determined it is more likely than not that a portion of the deferred tax assets as of December 31, 2020 and December 31, 2019 related to certain foreign tax credits, state investment tax credits, and foreign and state net operating losses will not be realized.
The Company files annual income tax returns in the U.S., various state and local jurisdictions, and in various foreign jurisdictions. A number of years may elapse before an uncertain tax position, for which the Company has unrecognized tax benefits, is examined and finally settled. While it is often difficult to predict the final outcome or the timing of resolution of any particular uncertain tax position, the Company believes that its unrecognized tax benefits reflect the most probable outcome. The Company adjusts these unrecognized tax benefits, as well as the related interest, in light of changing facts and circumstances. The resolution of an uncertain tax position, if recognized, would be recorded as an adjustment to the provision for income taxes and the effective tax rate in the period of resolution.
Below is a summary of changes to the unrecognized tax benefit for fiscal years 2020, 2019 and 2018 (in thousands):
20202019
2018(1)
Balance, beginning of year$4,446 $5,369 $12,088 
Additions based upon tax positions related to the current year300 300 300 
Additions (reductions) related to prior period tax returns738 (1,223)(75)
Reductions relating to settlements with tax authorities— — (98)
Reductions relating to divestiture— — (6,846)
Balance, end of year$5,484 $4,446 $5,369 
__________
(1)The amounts for 2018 reflect discontinued operations through the date of divestiture of the AS&O Product Line, which is reflected in the table as a reduction relating to divestiture.
The tax years that remain open and subject to tax audits vary depending on the tax jurisdiction. The Internal Revenue Service (“IRS”) is currently examining the U.S. subsidiaries of the Company for the taxable years 2017 - 2018 and the 2019 taxable year remains subject to examination by the IRS. The U.S. subsidiaries of the former Lake Region Medical, acquired by the Company in 2015, are still subject to U.S. federal, state, and local examinations for the taxable years 2006 to 2014.
It is reasonably possible that a reduction of approximately $3.4 million of the balance of unrecognized tax benefits may occur within the next twelve months as a result of the lapse of the statute of limitations and/or audit settlements. As of December 31, 2020, approximately $5.5 million of unrecognized tax benefits would favorably impact the effective tax rate (net of federal impact on state issues), if recognized.
The Company recognizes interest related to unrecognized tax benefits as a component of Provision for Income Taxes on the Consolidated Statements of Operations. During 2020, 2019 and 2018, the recorded amounts for interest and penalties, respectively, were not significant.
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, the Company is deferring payment of the employer portion of Social Security taxes through the end of 2020. As of December 31, 2020, the Company had deferred a total of $9.7 million of payroll taxes during 2020, to be paid equally in the fourth quarters of 2021 and 2022. The deferred payroll taxes are included within Accrued expenses and other current liabilities and Other long-term liabilities on the Consolidated Balance Sheets.
v3.20.4
Commitments And Contingencies
 12 Months Ended
Dec. 31, 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 17 “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 will not become material in the future.
The Company records a contingent gain for litigation when all of the following conditions have been met: (a) the amount to be paid to the Company is known, (b) there is no potential for appeal or reversal, and (c) collectability is reasonably assured.
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 and an appeal, the United States Court of Appeals for the Federal Circuit affirmed, in all respects, a judgment in favor of the Company. The Company received the payment of $28.9 million in October 2020, and after recognizing certain related expenses, recognized a net gain of $28.2 million.
Selling, general and administrative expenses
The net gain on patent litigation of $28.2 million is recorded in Selling, general and administrative expenses in the Company’s Consolidated Statements of Operations for the year ended December 31, 2020.
Environmental Matters
The Company acquired Lake Region Medical Holdings, Inc. (“LRM”) in 2015. At the direction of the New Jersey Department of Environmental Protection (“NJDEP”), LRM has been performing, and has agreed to fund approximately $0.3 million for, environmental investigations of a manufacturing facility LRM owned in South Plainfield, New Jersey from 1971 to 2004, and where it conducted operations from 1971 to 2007. NJDEP required LRM to perform and fund these environmental investigations due to concerns that prior investigations by LRM at the property were inadequate and because NJDEP concluded that the property was a source of local ground water contamination during LRM’s operations, including the Franklin Street Regional Groundwater Contamination Area, which has been designated as an immediate environmental concern by NJDEP. LRM disagrees with NJDEP’s conclusions but is cooperating with NJDEP and agreed to fund the environmental investigation currently being undertaken by NJDEP’s contractor at an anticipated cost of approximately $0.3 million. These environmental investigations may conclude that remediation of the property by LRM, and the reimbursement of costs and damages, including natural resource damages, associated with the groundwater immediate environmental concern, are necessary. Further, the current owner of the property claims to have been financially impacted by LRM’s inadequate environmental investigations. While the Company does not expect this environmental matter will have a material effect on its consolidated results of operations, financial position or cash flows, there can be no assurance that this environmental matter will not become material in the future. As of December 31, 2020, there was $0.3 million recorded in Accrued expenses and other current liabilities in the Consolidated Balance Sheets in connection with this environmental matter.
License Agreements
The Company is a party to various license agreements for technology that is utilized in certain of its products. The most significant of these agreements are the licenses for basic technology used in the production of wet tantalum capacitors, filtered feedthroughs and MRI compatible lead systems. Expenses related to license agreements were $1.2 million, $1.4 million, and $1.6 million, for 2020, 2019 and 2018, respectively, and are primarily included in Cost of Sales.
(13.)     COMMITMENTS AND CONTINGENCIES (Continued)
Product Warranties
The Company generally warrants that its products will meet customer specifications and will be free from defects in materials and workmanship. The change in product warranty liability for fiscal years 2020 and 2019 comprises the following (in thousands):
20202019
Beginning balance$1,933 $2,600 
Additions to warranty reserve, net of reversals(156)2,605 
Adjustments to pre-existing warranties (119)(1,039)
Warranty claims settled(1,495)(2,233)
Ending balance$163 $1,933 
Self-Insurance Liabilities
As of December 31, 2020, and at various times in the past, the Company self-funded certain of its workers’ compensation and employee medical and dental expenses. The Company has established reserves to cover these self-insured liabilities and also maintains stop-loss insurance to limit its exposures under these programs. Claims reserves represent accruals for the estimated uninsured portion of reported claims, including adverse development of reported claims, as well as estimates of incurred but not reported claims. Claims incurred but not reported are estimated based on the Company’s historical experience, which is continually monitored, and accruals are adjusted when warranted by changes in facts and circumstances. The Company’s actual experience may be different than its estimates, sometimes significantly. Changes in assumptions, as well as changes in actual experience could cause these estimates to change. Insurance and claims expense will vary from period to period based on the severity and frequency of claims incurred in a given period.  The Company’s self-insurance reserves totaled $5.4 million and $4.5 million as of December 31, 2020 and December 31, 2019, respectively. These accruals are recorded in Accrued expenses and other current liabilities and Other long-term liabilities on the Consolidated Balance Sheets.
v3.20.4
Leases
 12 Months Ended
Dec. 31, 2020
Leases [Abstract]  
Leases LEASES
The Company primarily leases certain office and manufacturing facilities under operating leases, with additional operating leases for machinery, office equipment and vehicles.
The components and classification of lease cost are as follows (in thousands):
December 31,
2020		December 31,
2019
Operating lease cost$10,425 $9,870 
Short-term lease cost (leases with initial term of 12 months or less)86 57 
Variable lease cost2,615 2,419 
Sublease income(1,495)(1,894)
Total lease cost$11,631 $10,452 
Cost of sales$9,141 $8,772 
SG&A1,803 1,107 
RD&E687 556 
OOE— 17 
Total lease cost$11,631 $10,452 
The Company’s sublease income is derived primarily from certain real estate leases to several non-affiliated tenants under operating sublease arrangements. Operating lease expense for fiscal year 2018, under ASC 840, the predecessor to ASC 842, was $10.8 million.
(14.)     LEASES (Continued)
At December 31, 2020, the maturities of operating lease liabilities were as follows (in thousands):
202110,627 
20228,584 
20237,781 
20247,312 
20255,667 
Thereafter15,811 
Total lease payments55,782 
Less imputed interest(9,490)
Total$46,292 
As of December 31, 2020, the Company did not have any leases that have not yet commenced.
The following table presents the weighted average remaining lease term and discount rate.
December 31,
2020		December 31,
2019
Weighted-average remaining lease term of operating leases (in years)7.07.4
Weighted-average discount rate of operating leases5.3 %5.5 %

Supplemental cash flow information related to leases for fiscal years 2020 and 2019 is as follows (in thousands):
20202019
Cash paid for amounts included in the measurement of operating lease liabilities$10,385 $10,235 
ROU assets obtained in exchange for new operating lease liabilities9,059 8,778 
During the fiscal year ended December 31, 2020, the Company extended the lease terms for five of its manufacturing facilities. As a result of these lease modifications, the Company re-measured the lease liability and adjusted the ROU asset on the modification dates.
v3.20.4
Earnings Per Share
 12 Months Ended
Dec. 31, 2020
Earnings Per Share [Abstract]  
EARNINGS PER SHARE EARNINGS PER SHARE
The following table sets forth a reconciliation of the information used in computing basic and diluted EPS for fiscal years 2020, 2019 and 2018 (in thousands, except per share amounts):
202020192018
Numerator for basic and diluted EPS:
Income from continuing operations$77,258 $91,218 $47,033 
Income from discontinued operations— 5,118 120,931 
Net income$77,258 $96,336 $167,964 
Denominator for basic EPS:
Weighted average shares outstanding32,845 32,627 32,136 
Effect of dilutive securities:
Stock options, restricted stock and restricted stock units268 410 460 
Denominator for diluted EPS33,113 33,037 32,596 
Basic earnings per share:
Income from continuing operations$2.35 $2.80 $1.46 
Income from discontinued operations— 0.16 3.76 
Basic earnings per share2.35 2.95 5.23 
Diluted earnings per share:
Income from continuing operations$2.33 $2.76 $1.44 
Income from discontinued operations— 0.15 3.71 
Diluted earnings per share2.33 2.92 5.15 
The diluted weighted average share calculations do not include the following securities for fiscal years 2020, 2019 and 2018, which are not dilutive to the EPS calculations or the performance criteria have not been met (in thousands):
202020192018
Time-vested stock options, restricted stock and restricted stock units98 30 237 
Performance-vested restricted stock units89 47 144 
v3.20.4
Stockholders' Equity
 12 Months Ended
Dec. 31, 2020
Equity [Abstract]  
STOCKHOLDERS' EQUITY STOCKHOLDERS’ EQUITY
Common Stock
The following table sets forth the changes in the number of shares of common stock for fiscal years 2020 and 2019:
IssuedTreasury StockOutstanding
Shares outstanding at December 28, 201832,624,494 (151,327)32,473,167 
Stock options exercised116,904 21,866 138,770 
RSAs forfeitures and vesting of RSUs105,619 (17,085)88,534 
Shares outstanding at December 31, 201932,847,017 (146,546)32,700,471 
Stock options exercised27,544 74,596 102,140 
Vesting of RSUs, net of shares withheld to cover taxes33,617 71,950 105,567 
Shares outstanding at December 31, 202032,908,178 — 32,908,178 
Accumulated Other Comprehensive Income
Accumulated other comprehensive income comprises the following (in thousands): 
Defined
Benefit
Plan
Liability		Cash
Flow
Hedges		Foreign
Currency
Translation
Adjustment		Total
Pre-Tax
Amount		TaxNet-of-Tax
Amount
December 28, 2018$(295)$3,439 $30,539 $33,683 $(679)$33,004 
Unrealized loss on cash flow hedges— (4,028)— (4,028)846 (3,182)
Realized gain on foreign currency hedges— (148)— (148)31 (117)
Realized gain on interest rate swap hedges— (1,621)— (1,621)340 (1,281)
Net defined benefit plan adjustments(617)— — (617)81 (536)
Foreign currency translation loss— — (7,900)(7,900)— (7,900)
December 31, 2019$(912)$(2,358)$22,639 $19,369 $619 $19,988 
Unrealized loss on cash flow hedges— (6,683)— (6,683)1,404 (5,279)
Realized loss on foreign currency hedges— 638 — 638 (134)504 
Realized loss on interest rate swap hedges— 3,447 — 3,447 (724)2,723 
Net defined benefit plan adjustments(183)— — (183)32 (151)
Foreign currency translation gain— — 34,907 34,907 — 34,907 
December 31, 2020$(1,095)$(4,956)$57,546 $51,495 $1,197 $52,692 
v3.20.4
Financial Instruments and Fair Value Measurements
 12 Months Ended
Dec. 31, 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)
December 31, 2020
Assets: Foreign currency contracts$2,070 $— $2,070 $— 
Liabilities: Interest rate swap7,026 — 7,026 — 
Liabilities: Contingent consideration3,900 — — 3,900 
December 31, 2019
Assets: Foreign currency contracts$710 $— $710 $— 
Liabilities: Interest rate swaps3,068 — 3,068 — 
Liabilities: Contingent consideration4,200 — — 4,200 
Interest Rate Swaps
The Company periodically enters into interest rate swap agreements 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.
The Company receives fair value estimates from the swap agreement counterparties. The fair value of the Company’s swap agreements are determined through the use of a cash flow model that utilizes observable market data inputs. These observable market data inputs include LIBOR, swap rates, and credit spread curves. The Company’s interest rate swap agreements are categorized in Level 2 of the fair value hierarchy. The estimated fair value of the swap agreements represents the amount the Company would receive (pay) to terminate the contracts.
Information regarding the Company’s outstanding interest rate swap designated as a cash flow hedge as of December 31, 2020 is as follows (dollars in thousands):
Notional AmountStart DateEnd
Date		Pay Fixed RateReceive Current Floating RateFair ValueBalance Sheet Location
$200,000 Jun 2020Jun 20232.1785 %0.1480 %$(7,026)Other long-term liabilities
(17.)     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 
(1)
(2,809)Other long-term liabilities
__________
(1) The interest rate swap was not in 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.
The Company receives fair value estimates from the foreign currency contract counterparties. The fair value of foreign currency contracts are determined through the use of cash flow models that utilize observable market data inputs to estimate fair value. These observable market data inputs include foreign exchange rate and credit spread curves. The Company’s foreign currency contracts are categorized in Level 2 of the fair value hierarchy. The fair value of the Company’s foreign currency contracts will be realized as Sales or Cost of Sales as the inventory, which the contracts are hedging, is sold.
Information regarding outstanding foreign currency forward contracts designated as cash flow hedges as of December 31, 2020 is as follows (dollars in thousands):
Notional AmountStart
Date		End
Date		$/Foreign CurrencyFair ValueBalance Sheet Location
$16,132 Nov 2020Sep 20211.1949Euro$399 Prepaid expenses and other current assets
10,224 Jan 2021Sep 20210.0454MXN Peso922 Prepaid expenses and other current assets
2,656 Jan 2021Mar 20210.0443MXN Peso341 Prepaid expenses and other current assets
7,269 Apr 2021Dec 20210.0485MXN Peso77 Prepaid expenses and other current assets
3,252 Jan 2021Aug 20210.0232UYU Peso165 Prepaid expenses and other current assets
3,966 Jan 2021Nov 20210.0227UYU Peso166 Prepaid expenses and other current assets
Information regarding outstanding foreign currency forward 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 20200.0490Peso$710 Prepaid expenses and other current assets
(17.)     FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS (Continued)
Derivative Instruments with Hedge Accounting Designation
The following table presents the impact of cash flow hedge derivative instruments on other comprehensive income (“OCI”), AOCI and the Company’s Consolidated Statement of Operations for fiscal years 2020, 2019 and 2018 (in thousands):
Gain (Loss) Recognized in OCIGain (Loss) Reclassified from AOCI
Derivative202020192018Location in Statement of Operations 202020192018
Interest rate swaps$(7,405)$(5,618)$1,589 Interest expense$(3,447)$1,621 $1,697 
Foreign exchange contracts1,017 (1,044)(1,193)Sales618 (1,334)(758)
Foreign exchange contracts(355)2,634 1,508 Cost of sales(1,177)1,482 944 
Foreign exchange contracts60 — — Operating expenses(79)— — 
The Company expects to reclassify net losses totaling $1.3 million related to its cash flow hedges from AOCI into earnings during the next twelve months.
Contingent Consideration
The following table presents the changes in the estimated fair values of the Company’s liabilities for contingent consideration measured using significant unobservable inputs (Level 3) for fiscal years 2020 and 2019 (in thousands):
December 28, 2018$— 
Amount recorded for current year acquisitions
4,200 
December 31, 20194,200 
Amount recorded for current year acquisitions
2,700 
Fair value measurement adjustment(2,000)
Payments
(1,000)
December 31, 2020$3,900 
The acquisition-related contingent consideration represents the estimated fair value of the Company’s obligations, under the asset purchase agreements, to make additional payments if certain revenue goals are met. The Company estimated the original fair value of the contingent consideration liabilities for the InoMec and USB acquisitions using a Monte Carlo valuation model to forecast the value of the potential future payment. For the February 19, 2020 InoMec acquisition, the Company estimated the original fair value of the contingent consideration to be $1.7 million. For the October 7, 2019 USB acquisition, the Company estimated the original fair value of the contingent consideration to be $4.2 million. See Note 2 “Business Acquisitions, Divestiture and Discontinued Operations” for additional information about these acquisitions.
As of December 31, 2020, the current portion of contingent consideration liabilities is $1.7 million and included in Accrued expenses and other current liabilities, and the non-current portion is $2.2 million and included in Other long-term liabilities on the Consolidated Balance Sheets. All contingent consideration liabilities were non-current and included in Other long-term liabilities as of December 31, 2019.
The following table provides quantitative information associated with the fair value measurement of the Company’s liabilities for contingent consideration:
December 31, 2020
Contingency TypeMaximum Payout (undiscounted)Fair ValueValuation TechniqueUnobservable InputsWeighted Average or Range
Revenue-based payments$9,000 $3,900 Monte CarloRevenue volatility35.0 %
Discount rate4.0 %
Projected year(s) of payment2021-2024
(17.)     FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS (Continued)
December 31, 2019
Contingency TypeMaximum Payout (undiscounted)Fair ValueValuation TechniqueUnobservable InputsWeighted Average or Range
Revenue-based payments$5,500 $4,200 Monte CarloRevenue volatility25.0 %
Discount rate4.9 %
Projected year(s) of payment2021-2024
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, which was paid during 2020 upon achievement of the applicable milestones.
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, contract assets, accounts payable and accrued expenses approximate fair value due to 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
Equity investments comprise the following (in thousands):
December 31,
2020		December 31,
2019
Equity method investment$21,470 $16,167 
Non-marketable equity securities5,723 6,092 
Total equity investments
$27,193 $22,259 
The components of (Gain) Loss on Equity Investments, Net for each period were as follows (in thousands):
202020192018
Equity method investment income$(5,706)$(1,100)$(5,623)
Impairment charges369 1,575 — 
Total (gain) loss on equity investments, net
$(5,337)$475 $(5,623)
During 2020 and 2019, the Company determined that certain non-marketable equity securities were impaired. In 2020, a new equity financing by one of the Company’s non-marketable equity securities indicated a new value for the investment. During the fourth quarter of 2020, the Company recorded an impairment charge of $0.4 million to reduce the carrying value of this non-marketable equity security to its estimated fair value of $2.2 million. The fair value of this investment was derived from observable price changes of similar securities of the investee. In 2019, the Company determined the fair value for one of its non-marketable equity securities to be zero based upon available market information. This assessment was based on qualitative indications of impairment. Factors that significantly influenced the determination of the impairment loss included the equity security’s investee’s financial condition, priority claims to the equity security, distributions rights and preferences, and status of the regulatory approval required to bring its product to market.
The Company’s equity method investment is in a Chinese venture capital fund focused on investing in life sciences companies. As of December 31, 2020, the Company owned 6.5% of this fund.
Pension Plan Assets
The fair value of the Company’s pension plan assets are determined based upon quoted market prices in inactive markets or valuation models with observable market data inputs to estimate fair value. These observable market data inputs include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, benchmark securities, bids, offers and reference data. The Company’s pension plan assets are categorized in Level 2 of the fair value hierarchy.
v3.20.4
Segment and Geographic Information
 12 Months Ended
Dec. 31, 2020
Segment Reporting [Abstract]  
SEGMENT AND GEOGRAPHIC INFORMATION SEGMENT AND GEOGRAPHIC 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.
The Company defines segment income from operations as sales less cost of sales including amortization and expenses attributable to segment-specific selling, general, administrative, research, development, engineering and other operating activities. The remaining unallocated operating and other expenses are primarily administrative corporate headquarter expenses and capital costs that are not allocated to reportable segments. Transactions between the two segments are not significant.
The following table presents sales by product line for fiscal years 2020, 2019 and 2018 (in thousands).
202020192018
Segment sales by product line:
Medical
Cardio & Vascular $569,948 $610,056 $585,464 
Cardiac & Neuromodulation346,242 457,194 443,347 
Advanced Surgical, Orthopedics & Portable Medical121,788 132,429 133,225 
Total Medical1,037,978 1,199,679 1,162,036 
Non-Medical35,464 58,415 52,976 
Total sales$1,073,442 $1,258,094 $1,215,012 
Geographic Area Information
The following table presents sales by significant country for fiscal years 2020, 2019 and 2018. In these tables, sales are allocated based on where the products are shipped (in thousands).
202020192018
Sales by geographic area:
United States$596,804 $698,474 $687,259 
Non-Domestic locations:
Puerto Rico96,048 154,644 146,500 
Costa Rica58,853 63,634 62,044 
Rest of world321,737 341,342 319,209 
Total sales$1,073,442 $1,258,094 $1,215,012 
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 for fiscal years 2020 and 2019.
20202019
CustomerMedicalNon-MedicalMedicalNon-Medical
Customer A19%*22%*
Customer B17%*18%*
Customer C15%*12%*
Customer D*22%*22%
Customer E*10%**
All other customers49%68%48%78%
__________
* Less than 10% of segment’s total revenues for the period.
(18.)     SEGMENT AND GEOGRAPHIC INFORMATION (Continued)
The following table presents revenues by significant ship to location, which is defined as any country where 10% or more of a segment’s total revenues are shipped for fiscal years 2020 and 2019.
20202019
Ship to LocationMedicalNon-MedicalMedicalNon-Medical
United States55%60%55%58%
Puerto Rico**13%*
Canada***13%
Rest of world45%40%32%29%
__________
* Less than 10% of segment’s total revenues for the period.
The following table presents income from continuing operations for the Company’s reportable segments for fiscal years 2020, 2019 and 2018 (in thousands).
202020192018
Segment income from continuing operations:
Medical$169,396 $223,873 $224,893 
Non-Medical4,848 16,289 14,697 
Total segment income from continuing operations174,244 240,162 239,590 
Unallocated operating expenses(53,632)(82,527)(84,035)
Operating income120,612 157,635 155,555 
Unallocated expenses, net(34,405)(52,442)(94,439)
Income from continuing operations before taxes$86,207 $105,193 $61,116 
The following table presents depreciation and amortization expense for the Company’s reportable segments for fiscal years 2020, 2019 and 2018 (in thousands).
 202020192018
Segment depreciation and amortization:
Medical$72,338 $68,867 $71,922 
Non-Medical996 1,039 1,364 
Total depreciation and amortization included in segment
   income from continuing operations
73,334 69,906 73,286 
Unallocated depreciation and amortization5,990 7,989 8,252 
Total depreciation and amortization$79,324 $77,895 $81,538 
The following table presents total assets for the Company’s reportable segments as of December 31, 2020 and December 31, 2019 (in thousands).
December 31,
2020		December 31,
2019
Identifiable assets:
Medical$2,212,489 $2,233,534 
Non-Medical 52,682 51,031 
Total reportable segments2,265,171 2,284,565 
Unallocated assets106,686 68,528 
Total assets$2,371,857 $2,353,093 
(18.)     SEGMENT AND GEOGRAPHIC INFORMATION (Continued)
The following table presents capital expenditures for the Company’s reportable segments for fiscal years 2020, 2019 and 2018 (in thousands).
 202020192018
Expenditures for tangible long-lived assets:
Medical$42,435 $44,026 $34,615 
Non-Medical1,038 397 573 
Total reportable segments43,473 44,423 35,188 
Unallocated long-lived tangible assets3,359 3,775 6,110 
Total expenditures$46,832 $48,198 $41,298 
The following table presents PP&E by geographic area as of December 31, 2020 and December 31, 2019. In these tables, PP&E is aggregated based on the physical location of the tangible long-lived assets (in thousands).
December 31,
2020		December 31,
2019
Long-lived tangible assets by geographic area:
United States$170,871 $163,350 
Mexico32,723 36,238 
Ireland38,526 33,126 
Rest of world11,844 13,471 
Total$253,964 $246,185 
v3.20.4
Revenue From Contracts With Customers
 12 Months Ended
Dec. 31, 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 18, “Segment and Geographic Information.”
A significant portion of the Company’s sales for fiscal years 2020, 2019 and 2018 and accounts receivable at December 31, 2020 and December 31, 2019 were to three customers as follows:
 SalesAccounts Receivable
202020192018December 31,
2020		December 31,
2019
Customer A18%21%21%15%13%
Customer B16%17%19%19%19%
Customer C14%12%12%13%20%
48%50%52%47%52%
Revenue recognized from products and services transferred to customers over time during fiscal years 2020 and 2019 represented 29% and 12%, respectively, of total revenue. The Company did not have any significant revenue related to contracts recognized over time for fiscal year 2018. Substantially all of the revenue recognized from products and services transferred to customers over time during fiscal years 2020 and 2019 was within the Medical segment.
(19.)     REVENUE FROM CONTRACTS WITH CUSTOMERS (Continued)
Contract Balances
The opening and closing balances of the Company’s contract assets and contract liabilities are as follows (in thousands):
December 31,
2020		December 31,
2019
Contract assets$40,218 $24,767 
Contract liabilities2,498 1,975 
Contract assets at December 31, 2020, increased $15.5 million from December 31, 2019, due to a new contract with an existing customer where control is transferred over time. During the fiscal year ended December 31, 2020, the Company recognized $1.3 million of revenue that was included in the contract liability balance as of December 31, 2019. During the fiscal year ended December 31, 2019, the Company recognized $1.4 million of revenue that was included in the contract liability balance as of December 28, 2018.
v3.20.4
Quarterly Sales and Earnings Data - Unaudited
 12 Months Ended
Dec. 31, 2020
Quarterly Financial Information Disclosure [Abstract]  
QUARTERLY SALES AND EARNINGS DATA - UNAUDITED QUARTERLY SALES AND EARNINGS DATA—UNAUDITED
The Company’s first three fiscal quarters in each fiscal year end on the Friday nearest March 31, June 30 and September 30, respectively. The Company’s fourth fiscal quarter ends on December 31.
(in thousands, except per share data)Fourth QuarterThird QuarterSecond QuarterFirst Quarter
Fiscal Year 2020
Sales$268,959 
(1)
$235,942 
(1)
$240,115 
(1)
$328,426 
Gross profit73,209 57,933 57,863 96,702 
Income from continuing operations15,427 30,342 
(2)
389 31,100 
EPS—basic0.47 0.92 
(2)
0.01 0.95 
EPS—diluted0.47 0.92 
(2)
0.01 0.94 
Fiscal Year 2019
Sales$325,637 $303,587 $314,194 $314,676 
Gross profit76,030 
(3)
93,386 96,984 88,610 
Income from continuing operations11,044 
(3)
30,586 28,222 21,366 
EPS—basic0.34 0.94 0.87 0.66 
EPS—diluted0.33 0.92 0.85 0.65 
__________
(1)Primarily beginning in the second quarter of 2020, sales were were negatively impacted by the COVID-19 pandemic and a severe decline in the energy market.
(2)The third quarter of 2020 includes a pre-tax net gain of $28.2 million, resulting in an after-tax impact of $0.67 per basic and diluted share from a patent litigation judgment affirmed by the United States Court of Appeals in the Company’s favor. See Note 13 “Commitments and Contingencies” for additional information.
(3)In the fourth quarter of 2019, the Company recorded pre-tax charges and other expenses of $24 million related to the bankruptcy filing of a customer. These charges were included in cost of sales ($21 million) and operating expenses ($3 million).
v3.20.4
Schedule II - Valuation and Qualifying Accounts
 12 Months Ended
Dec. 31, 2020
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract]  
Schedule II - Valuation and Qualifying Accounts
Schedule II—Valuation and Qualifying Accounts
 Col. C—Additions    
Column A
Description		Col. B Balance at Beginning
of Period		Charged to Costs &
Expenses		Charged to Other Accounts- Describe Col. D Deductions
- Describe		 Col. E Balance at End of
Period
December 31, 2020
Provision for credit losses
$2,443 $28 
(1)
$— $(2,316)
(4)
$155 
Valuation allowance for deferred tax assets$22,229 $(275)
(2)
$— $(1,215)
(2)(4)(5)
$20,739 
December 31, 2019
Allowance for doubtful accounts$592 $1,884 
(1)
$2 
(3)
$(35)
(4)
$2,443 
Valuation allowance for deferred tax assets$34,339 $736 
(2)
$— $(12,846)
(2)(4)(5)
$22,229 
December 28, 2018
Allowance for doubtful accounts$536 $169 
(1)
$(2)
(3)
$(111)
(4)
$592 
Valuation allowance for deferred tax assets$36,480 $— $(170)
(3)
$(1,971)
(2)(4)(5)
$34,339 
(1)Valuation allowance recorded in the provision for credit losses (allowance for doubtful accounts in years prior to 2020). The 2019 amount includes a $2.3 million reserve recorded in connection with a customer bankruptcy, net of adjustments to the Company’s general and specific reserves.
(2)Valuation allowance recorded in the provision for income taxes for certain net operating losses and tax credits. The 2020 and 2019 deductions include releases of the allowance for net operating losses utilized during that year and the expiration of certain net operating losses, foreign and state tax credits. The decrease in 2018 includes the impact of the divestiture of the AS&O Product Line.
(3)Includes foreign currency translation effect.
(4)Accounts written off and reductions to allowances existing at the beginning of the year. The 2020 amount includes $2.3 million of accounts receivable recorded during 2019 in connection with a customer bankruptcy.
(5)Includes return to provision adjustments for prior years.
v3.20.4
Summary of Significant Accounting Policies (Policies)
 12 Months Ended
Dec. 31, 2020
Accounting Policies [Abstract]  
Basis of Presentation and Principles of Consolidation
Basis of Presentation and Principles of Consolidation
The consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”) and include the accounts of Integer Holdings Corporation and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation.
The results of operations of the AS&O Product Line are reported as discontinued operations in the Consolidated Statements of Operations for all periods presented. The Consolidated Statements of Cash Flows includes cash flows related to the discontinued operations due to Integer’s (parent) centralized treasury and cash management processes, and, accordingly, cash flow amounts for discontinued operations are disclosed in Note 2 “Business Acquisitions, Divestiture and Discontinued Operations.” All results and information in the consolidated financial statements are presented as continuing operations and exclude the AS&O Product Line unless otherwise noted specifically as discontinued operations.
The Company organizes its business into two reportable segments: (1) Medical and (2) Non-Medical. The discontinued operations of the AS&O Product Line were reported in the Medical segment. Refer to Note 18 “Segment and Geographic Information,” for additional information on the Company’s reportable segments.
Fiscal Year
Fiscal Year
Effective at the end of the 2019 fiscal year, the Company changed its fiscal year end from a 52/53-week year ending on the Friday nearest December 31 to a calendar year ending on December 31.
Use of Estimates
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 and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of sales and expenses during the reporting periods. Actual results could differ materially from those estimates.
Cash and Cash Equivalents Cash and Cash EquivalentsCash and cash equivalents consist of cash and highly liquid, short-term investments with maturities at the time of purchase of three months or less.
Concentration of Credit Risk
Concentration of Credit Risk
Financial instruments that potentially subject the Company to concentration of credit risk consist principally of accounts receivable. A significant portion of the Company’s sales and accounts receivable are to three customers, all in the medical device industry, and, as such, the Company is directly affected by the condition of those customers and that industry. However, the credit risk associated with trade receivables is partially mitigated due to the stability of those customers. The Company performs on-going credit evaluations of its customers. Note 19 “Revenue from Contracts with Customers” contains information on sales and accounts receivable for these customers. The Company maintains cash deposits with major banks, which from time to time may exceed insured limits. The Company performs on-going credit evaluations of its banks.
Trade Accounts Receivable and Allowance for Doubtful Accounts Trade Accounts Receivable and Provision for Current Expected Credit LossesThe Company provides credit, in the normal course of business, to its customers in the form of trade receivables. Credit is extended based on evaluation of a customer’s financial condition and collateral is not required. The Company maintains a provision for those customer receivables that it does not expect to collect. In accordance with Accounting Standards Codification (“ASC”) Topic 326, the Company accrues its estimated losses from uncollectable accounts receivable to the provision based upon recent historical experience, the length of time the receivable has been outstanding, other specific information as it becomes available, and reasonable and supportable forecasts not already reflected in the historical loss information. Provisions for current expected credit losses are charged to current operating expenses. Actual losses are charged against the provision when incurred.
Supplier Financing Arrangements Supplier Financing ArrangementsThe Company utilizes 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.
Inventories InventoriesInventories are stated at the lower of cost, determined using the first-in first-out method, or net realizable value. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. Write-downs for excess, obsolete or expired inventory are based primarily on how long the inventory has been held, historical sales volume, and estimates of forecasted net sales of that product. A significant change in the timing or level of demand for products may result in recording additional write-downs for excess, obsolete or expired inventory in the future. Note 4 “Inventories” contains additional information on the Company’s inventory.
Leases
Leases
The Company determines if an arrangement is, or contains, a lease at inception and classifies it at as finance or operating.  The Company primarily leases certain office and manufacturing facilities under operating leases, with additional operating leases for machinery, office equipment and vehicles. The Company leases certain computer hardware under finance leases. Finance lease assets and corresponding liabilities are included in Other assets and Other long-term liabilities, respectively, on the Consolidated Balance Sheets. Finance leases are not material to the Consolidated Financial Statements as of December 31, 2020. The Company had no finance leases as of December 31, 2019.
Lease right-of-use (“ROU”) assets and corresponding liabilities are recognized based on the present value of the lease payments over the lease term at commencement date. When discount rates implicit in leases cannot be readily determined, the Company uses its incremental borrowing rate based on information available at commencement date in determining the present value of future payments.  The incremental borrowing rate is determined based on the Company’s recent debt issuances, the Company’s specific credit rating, lease term and the currency in which lease payments are made.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise such option. Lease expense is recognized on a straight-line basis over the lease term. The Company elected to combine lease and non-lease components for all asset classes. For certain leases where rent escalates based upon a change in a financial index, such as the Consumer Price Index, the difference between the rate at lease inception and the subsequent fluctuations in that rate are included in variable lease costs.  Additionally, because the Company has elected to not separate lease and non-lease components, variable costs also include payments to the landlord for common area maintenance, real estate taxes, insurance and other operating expenses.  In addition, the Company does not apply the recognition requirements to leases with lease terms of 12 months or less. Note 14 “Leases” contains additional information on the Company’s leases.
Property, Plant and Equipment
Property, Plant and Equipment (“PP&E”)
PP&E is carried at cost less accumulated depreciation. Depreciation is computed by the straight-line method over the estimated useful lives of the assets, as follows: buildings and building improvements 12-30 years; machinery and equipment 3-10 years; office equipment 3-10 years; and leasehold improvements over the remaining lives of the improvements or the lease term, whichever is shorter. The costs of repairs and maintenance are expensed as incurred; renewals and betterments are capitalized. Upon retirement or sale of an asset, its cost and related accumulated depreciation or amortization is removed from the accounts and any gain or loss is recorded in operating income or expense. The Company also reviews its PP&E for impairment when impairment indicators exist. When impairment indicators exist, the Company determines if the carrying value of its fixed assets exceeds the related undiscounted future cash flows. In cases where the carrying value of the Company's long-lived assets or asset groups (excluding goodwill and indefinite-lived intangible assets) exceeds the related undiscounted cash flows, the carrying value is written down to fair value. Fair value is generally determined using a discounted cash flow analysis. Note 5 “Property, Plant and Equipment, Net” contains additional information on the Company’s PP&E.
Fair Value Measurements
Fair Value Measurements
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e. the “exit price”) in an orderly transaction between market participants at the measurement date. ASC 820, Fair Value Measurements, establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Company’s assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The hierarchy is broken down into three levels based on the reliability of inputs as follows:
Level 1 – Valuation is based on quoted prices in active markets for identical assets or liabilities that the Company has the ability to access. Level 1 valuations do not entail a significant degree of judgment.
Level 2 – Valuation is determined from quoted prices for similar assets or liabilities in active markets, quoted prices for identical instruments in markets that are not active or by model-based techniques in which all significant inputs are observable in the market.
Level 3 – Valuation is based on unobservable inputs that are significant to the overall fair value measurement. The degree of judgment in determining fair value is greatest for Level 3 valuations.
Fair value is a market-based measure considered from the perspective of a market participant rather than an entity-specific measure. Therefore, even when market assumptions are not readily available, assumptions are required to reflect those that market participants would use in pricing the asset or liability at the measurement date. Note 17 “Financial Instruments and Fair Value Measurements” contains additional information on assets and liabilities recorded at fair value in the consolidated financial statements.
Acquisitions and Contingent Consideration
Acquisitions
Results of operations of acquired companies are included in the Company’s results of operations as of the respective acquisition dates. The purchase price of each acquisition is allocated to the net assets acquired based on estimates of their fair values at the date of the acquisition. Any purchase price in excess of these net assets is recorded as goodwill.
All direct acquisition-related costs are expensed as incurred and are recognized as a component of Other operating expenses. The allocation of purchase price in certain cases may be subject to revision based on the final determination of fair values during the measurement period, which may be up to one year from the acquisition date.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Contingent Consideration
In circumstances where an acquisition involves a contingent consideration arrangement, the Company recognizes a liability equal to the fair value of the contingent payments it expects to make as of the acquisition date. Increases or decreases in the fair value of the contingent consideration liability can result from changes in discount periods and rates, as well as changes in the timing, amount of, or the likelihood of achieving the applicable performance target. Increases in projected revenues, estimated cash flows and probabilities of payment may result in significantly higher fair value measurements; decreases in these items may have the opposite effect. Increases in the discount rates in periods prior to payment may result in significantly lower fair value measurements and decreases in the discount rates may have the opposite effect.
The contingent consideration fair value measurement is based on significant inputs not observable in the market and therefore constitute Level 3 inputs within the fair value hierarchy. The Company determines the initial fair value of contingent consideration liabilities using a Monte Carlo (“Monte Carlo”) valuation model, which involves a simulation of future revenues during the earn out-period using management’s best estimates, or a probability-weighted discounted cash flow analysis.
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 current portion of contingent consideration liabilities is included in Accrued expenses and other current liabilities and the non-current portion is included in Other long-term liabilities on the Consolidated Balance Sheets. Adjustments to the fair value of contingent consideration liabilities are included in Other operating expenses in the Consolidated Statements of Operations, and operating activities in the Consolidated Statements of Cash Flows. Note 17 “Financial Instruments and Fair Value Measurements” contains additional information on contingent consideration recorded at fair value in the consolidated financial statements.
Discontinued Operations
Discontinued Operations
In determining whether a group of assets which has been disposed of (or is to be disposed of) should be presented as a discontinued operation, the Company analyzes whether the group of assets being disposed of represented a component of the entity; that is, whether it had historic operations and cash flows that were clearly distinguished (both operationally and for financial reporting purposes). In addition, the Company considers whether the disposal represents a strategic shift that has or will have a major effect on the Company’s operations and financial results.
The assets and liabilities of a discontinued operation held for sale, other than goodwill, are measured at the lower of carrying amount or fair value less cost to sell. When a portion of a goodwill reporting unit that constitutes a business is to be disposed of, the goodwill associated with that business is included in the carrying amount of the business based on the relative fair values of the business to be disposed of and the portion of the reporting unit that will be retained.  The Company allocates interest to discontinued operations if the interest is directly attributable to the discontinued operations or is interest on debt that is required to be repaid as a result of the disposal transaction.
Goodwill
Goodwill
Goodwill represents the excess of cost over the fair value of identifiable net assets of a business acquired and is assigned to one or more reporting units. The Company’s reporting units are the same as its reportable segments, Medical and Non-Medical. The Company tests each reporting unit’s goodwill for impairment at least annually as of the last day of the fiscal year and between annual tests if an event occurs or circumstances change that would more-likely-than-not reduce the fair value of a reporting unit below its carrying amount. In conducting its goodwill test, the Company either performs a qualitative assessment or a quantitative assessment. A qualitative assessment requires that the Company consider events or circumstances including, but not limited to, macro-economic conditions, market and industry conditions, cost factors, competitive environment, changes in strategy, changes in customers, changes in the Company’s stock price, results of the last impairment test, and the operational stability and the overall financial performance of the reporting units. If, after assessing the totality of events or circumstances, the Company determines that it is more likely than not that the fair values of its reporting units are greater than the carrying amounts, then the quantitative goodwill impairment test is not performed. The Company may elect to bypass the qualitative analysis and perform a quantitative analysis.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
If the qualitative assessment indicates that the quantitative analysis should be performed or if management elects to bypass a qualitative analysis to perform a quantitative analysis, the Company then evaluates goodwill for impairment by comparing the fair value of each of its reporting units to its carrying value, including the associated goodwill. To determine the fair values, the Company uses a weighted combination of the market approach based on comparable publicly traded companies and the income approach based on estimated discounted future cash flows. The cash flow assumptions consider historical and forecasted revenue, operating costs and other relevant factors.
Throughout 2020, the Company evaluated the effects of the COVID-19 pandemic and its negative impact on the global economy on each of the Company’s reporting units and indefinite-lived intangible assets. Further, the collapse in the demand for oil caused by this unprecedented global health and economic crisis, coupled with oil oversupply, adversely impacted the demand for products in the Company’s Non-Medical reportable segment. In the first quarter of 2020, a trigger event was identified and accordingly the Company performed a quantitative analysis to test goodwill for impairment as of April 3, 2020. The fair value of the Non-Medical reporting unit exceeded its carrying amount as of April 3, 2020. No further impairment indicators have been identified since the first quarter of 2020 through December 31, 2020.
The Company completed its annual goodwill impairment test as of December 31, 2020 and determined, after performing a qualitative review of its Medical reporting unit, that it is more likely than not that the fair value of the Medical reporting unit exceeds its carrying amount. Accordingly, there was no indication of impairment and the quantitative goodwill impairment test was not performed for the Medical reporting unit. The Company bypassed the qualitative analysis for its Non-Medical reporting unit and performed a quantitative analysis. The fair value of the Non-Medical reporting unit exceeded its carrying amount as of December 31, 2020.
Other Intangible Assets
Other Intangible Assets
Other intangible assets consist of purchased technology and patents, customer lists and trademarks. Definite-lived intangible assets are amortized on an accelerated or straight-line basis, which approximates the projected cash flows used to determine the fair value of those definite-lived intangible assets at the time of acquisition, as follows: purchased technology and patents 5-15 years; customer lists 7-20 years and other intangible assets 1-10 years. Certain trademark assets are considered indefinite-lived intangible assets and are not amortized. The Company expenses the costs incurred to renew or extend the term of intangible assets.
The Company reviews its definite-lived intangible assets for impairment when impairment indicators exist. When impairment indicators exist, the Company determines if the carrying value of its definite-lived intangible assets or asset groups exceeds the related undiscounted future cash flows. In cases where the carrying value exceeds the undiscounted future cash flows, the carrying value is written down to fair value. Fair value is generally determined using a discounted cash flow analysis.
The Company assesses its indefinite-lived intangible assets for impairment periodically to determine if any adverse conditions exist that would indicate impairment or when impairment indicators exist. The Company assesses its indefinite-lived intangible assets for impairment at least annually by comparing the fair value of the indefinite-lived intangible asset to its carrying value. The fair value is determined using the relief from royalty method.
Refer to Note 6 “Goodwill and Other Intangible Assets, Net” for further details of the Company’s goodwill and other intangible assets.
Equity Investments
Equity Investments
The Company holds long-term, strategic investments in companies to promote business and strategic objectives. These investments are included in Other assets on the Consolidated Balance Sheets. Equity investments are measured and recorded as follows:
•Non-marketable equity securities are equity securities without readily determinable fair value that are measured and recorded at fair value with changes in fair value recognized within net income. The Company 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 method investments are equity securities in investees the Company does not control but over which it has the ability to exercise influence. Equity method investments are measured at cost minus impairment, if any, plus or minus our share of equity method investee income or loss.
Realized and unrealized gains and losses resulting from changes in fair value or the sale of these equity investments are recorded through (Gain) Loss on Equity Investments, Net. The carrying value of the Company’s non-marketable equity securities is adjusted for qualifying observable price changes resulting from the issuance of similar or identical securities by the same issuer. Determining whether an observed transaction is similar to a security within the Company’s portfolio requires judgment based on the rights and preferences of the securities. Recording upward and downward adjustments to the carrying value of the Company’s equity securities as a result of observable price changes requires quantitative assessments of the fair value of these securities using various valuation methodologies and involves the use of estimates.
Non-marketable equity securities and equity method investments (collectively referred to as non-marketable equity investments) are also subject to periodic impairment reviews. The Company’s quarterly impairment analysis considers both qualitative and quantitative factors that may have a significant impact on the investee’s fair value. Qualitative factors considered include the investee’s financial condition and business outlook, market for technology, operational and financing cash flow activities, technology and regulatory approval progress, and other relevant events and factors affecting the investee. When indicators of impairment exist, quantitative assessments of the fair value of the Company’s non-marketable equity investments are prepared.
To determine the fair value of these investments, the Company uses all pertinent financial information available related to the investees, including financial statements, market participant valuations from recent and proposed equity offerings, and other third-party data. Non-marketable equity securities are tested for impairment using a qualitative model similar to the model used for goodwill and long-lived assets. Upon determining that an impairment may exist, the security’s fair value is calculated and compared to its carrying value and an impairment is recognized immediately if the carrying value exceeds the fair value. Equity method investments are subject to periodic impairment reviews using the other-than-temporary impairment model, which considers the severity and duration of a decline in fair value below cost and the Company’s ability and intent to hold the investment for a sufficient period of time to allow for recovery.
The Company has determined that its investments are not considered variable interest entities. The Company’s exposure related to these entities is limited to its recorded investment. These investments are in start-up research and development companies whose fair value is highly subjective in nature and subject to future fluctuations, which could be significant. Refer to Note 17 “Financial Instruments and Fair Value Measurements” for additional information on the Company’s equity investments.
Debt Issuance Costs and Discounts
Debt Issuance Costs and Discounts
Debt issuance costs and discounts associated with the issuance of debt by the Company are deferred and amortized over the lives of the related debt. Debt issuance costs incurred in connection with the Company’s issuance of its revolving credit facility are classified within Other assets and amortized to Interest expense on a straight-line basis over the contractual term of the revolving credit facility. Debt issuance costs and discounts related to the Company’s term-debt are recorded as a reduction of the carrying value of the related debt and are amortized to Interest expense using the effective interest method over the period from the date of issuance to the put option date (if applicable) or the maturity date, whichever is earlier. The amortization of debt issuance costs and discounts are included in Debt related charges included in interest expense in the Consolidated Statements of Cash Flows. Upon prepayment of the related debt, the Company accelerates the recognition of a proportionate amount of the costs as refinancing or extinguishment of debt. Note 8 “Debt” contains additional information on the Company’s debt issuance costs and discounts.
Income Taxes
Income Taxes
The consolidated financial statements of the Company have been prepared using the asset and liability approach to account for income taxes, which requires the recognition of deferred income taxes for the expected future tax consequences of net operating losses, credits, and temporary differences between the financial statement carrying amounts and the tax bases of assets and liabilities. A valuation allowance is provided on deferred tax assets if it is determined, within each taxing jurisdiction, that it is more likely than not that the asset will not be realized.
The Company accounts for uncertain tax positions using a more likely than not recognition threshold. The evaluation of uncertain tax positions is based on factors including, but not limited to, changes in tax law, the measurement of tax positions taken or expected to be taken in tax returns, the effective settlement of matters subject to audit, new audit activity and changes in facts or circumstances related to a tax position. These tax positions are evaluated on a quarterly basis. The Company recognizes interest expense related to uncertain tax positions as Provision for income taxes. Penalties, if incurred, are recognized as a component of Selling, general and administrative (“SG&A”) expenses.
The Company and its subsidiaries file a consolidated U.S. federal income tax return. State tax returns are filed on a combined or separate basis depending on the applicable laws in the jurisdictions where the tax returns are filed. The Company also files foreign tax returns on a separate company basis in the countries in which it operates.
Derivative Financial Instruments
Derivative Financial Instruments
The Company recognizes all derivative financial instruments in its consolidated financial statements at fair value. Changes in the fair value of derivative instruments are recorded in earnings unless hedge accounting criteria are met. Under master agreements with the respective counterparties to our derivative contracts, subject to applicable requirements, we have the right of set-off and are allowed to net settle transactions of the same type with a single net amount payable by one party to the other. The Company designated its interest rate swaps and foreign currency forward contracts as cash flow hedges (refer to Note 17 “Financial Instruments and Fair Value Measurements”). Gains and losses on cash flow hedges are recorded in Accumulated Other Comprehensive Income in the Consolidated Balance Sheets until the underlying transaction is recorded in earnings. When the hedged item is realized, gains or losses are reclassified from Accumulated Other Comprehensive Income to the Consolidated Statement of Operations on the same line item as the underlying transaction. In the event the forecasted transactions do not occur, or it becomes probable that they will not occur, the Company reclassifies any gain or loss on the related cash flow hedge to earnings in the respective period. Cash flows related to these derivative financial instruments are included in cash flows from operating activities. The resulting cash flow from the termination of interest rate swap agreements is reported in cash flows from operations in the Consolidated Statements of Cash Flows.
Revenue Recognition
Revenue Recognition
The majority of the Company’s revenues consist of sales of various medical devices and products to large, multinational OEMs and their affiliated subsidiaries. The Company considers the customer’s purchase order, which in some cases is governed by a long-term agreement, and the Company’s corresponding sales order acknowledgment as the contract with the customer. Consideration payable to customers is included in the transaction price. In accordance with ASC 340-40-25-4, the Company expenses incremental costs of obtaining a contract when incurred because the amortization period is less than one year.
The Company evaluates revenue recognition in contracts with customers as performance obligations are satisfied and the customer obtains control of the products. Control is defined as the ability to direct the use of and obtain substantially all of the remaining benefits of the products. The customer obtains control of the products when title and risk of ownership transfers to them, which is primarily based upon shipping terms. Most of the Company’s revenues are recognized at the point in time when the products are shipped to customers. When contracts with customers for products, which do not have an alternative use to the Company, contain provisions that provide the Company with an enforceable right to payment for performance completed to date for costs incurred plus a reasonable profit throughout the duration of the contract, revenue is recognized over time as control is transferred to the customer. In contracts with customers where revenue is recognized over time, the Company uses an input measure to determine progress towards completion and total estimated costs at completion. Under this method, sales and gross profit are recognized as work is performed generally based on actual costs incurred. Revenue is recognized net of sales tax, value-added taxes and other taxes.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Performance Obligations
The Company considers each shipment of an individual product included on a purchase order to be a separate performance obligation, as each shipment is separately identifiable and the customer can benefit from each individual product separately from the other products included on the purchase order. Accordingly, a contract can have one or more performance obligations to manufacture products. Standard payment terms range from 30 to 90 days and can include a discount for early payment.
The Company does not offer its customers a right of return. Rather, the Company warrants that each unit received by the customer will meet the agreed upon technical and quality specifications and requirements. Only when the delivered units do not meet these requirements can the customer return the non-compliant units as a corrective action under the warranty. The remedy offered to the customer is repair of the returned units or replacement if repair is not viable. Accordingly, the Company records a warranty reserve and any warranty activities are not considered to be a separate performance obligation.
Contract Balances
The timing of revenue recognition, billings and cash collections results in billed accounts receivable and less frequently, unearned revenue. Accounts receivable are recorded when the right to consideration becomes unconditional. Unearned revenue is recorded when customers pay or are billed in advance of the Company’s satisfaction of performance obligations. Contract liabilities are classified as Accrued expenses and other current liabilities on the Consolidated Balance Sheets. For contracts with customers where revenue is recognized over time, the Company records a contract asset for unbilled revenue associated with non-cancellable customer orders, which is recorded within Contract assets on the Consolidated Balance Sheets.
Transaction Price
Generally, the transaction price of the Company’s contracts consists of a unit price for each individual product included in the contract, which can be fixed or variable based on the number of units ordered. In some instances, the transaction price also includes a rebate for meeting certain volume-based targets over a specified period of time. The transaction price of a contract is determined based on the unit price and the number of units ordered, reduced by the rebate expected to be earned on those units. Rebates are estimated based on the expected achievement of the volume-based target using the most likely amount method and updated quarterly. Any adjustments to these estimates are recognized under the cumulative catch-up method, such that impact of the adjustment is recognized in the period in which it is identified. When contracts with customers include consideration payable at the beginning of the contract, the transaction price is reduced at the later of when the Company recognizes revenue for the transfer of the related goods to the customer or when the Company pays or promises to pay the consideration. Volume discounts and rebates and other pricing reductions earned by customers are offset against their receivable balances.
The transaction price is allocated to each performance obligation on a relative standalone selling price basis. As the majority of products sold to customers are manufactured to meet the specific requirements and technical specifications of that customer, the products are considered unique to that customer and the unit price stated in the contract is considered the standalone selling price.
The Company does not disclose the aggregate amount of the transaction price allocated to unsatisfied performance obligations and an expectation of when those amounts are expected to be recognized as revenue because the majority of contracts have an original expected duration of one year or less.
Contract Modifications
Contract modifications, which can include a change in scope, price, or both, most often occur related to contracts that are governed by a long-term arrangement. Contract modifications typically relate to the same products already governed by the long-term arrangement, and therefore, are accounted for as part of the existing contract. If a contract modification is for additional products, it is accounted for as a separate contract.
Environmental Costs
Environmental Costs
Environmental expenditures that relate to an existing condition caused by past operations and that do not provide future benefits are expensed as incurred. Liabilities are recorded when environmental assessments are made, the requirement for remedial efforts is probable and the amount of the liability can be reasonably estimated. Liabilities are recorded generally no later than the completion of feasibility studies. The Company has a process in place to monitor, identify, and assess how the current activities for known exposures are progressing against the recorded liabilities. The process is also designed to identify other potential remediation sites that are not presently known.
Restructuring Expenses
Restructuring Expenses
The Company continually evaluates alternatives to align its resources with the changing needs of its customers and markets, and to lower operating costs. This includes realignment of existing manufacturing capacity, facility closures, process optimization, or similar actions, either in the normal course of business or pursuant to significant restructuring programs. These actions may result in voluntary or involuntary employee termination benefits. Voluntary termination benefits are accrued when an employee accepts the related offer. Involuntary termination benefits are accrued upon the commitment to a termination plan and the benefit arrangement is communicated to affected employees, or when liabilities are determined to be probable and estimable, depending on the existence of a substantive plan for severance or termination. All other exit costs are expensed as incurred. Refer to Note 11 “Other Operating Expenses” for additional information.
Product Warranties
Product Warranties
The Company allows customers to return defective or damaged products for credit, replacement, or repair. The Company warrants that its products will meet customer specifications and will be free from defects in materials and workmanship. The Company accrues its estimated exposure to warranty claims, through Cost of Sales, based upon experience and other specific information as it becomes available. The product warranty liability is classified as Accrued expenses and other current liabilities on the Consolidated Balance Sheets. Adjustments to pre-existing estimated exposure for warranties are made as changes to the obligations become reasonably estimable. Note 13 “Commitments and Contingencies” contains additional information on the Company’s product warranties.
Research, Development and Engineering (RD&E) Research, Development and Engineering (“RD&E”)RD&E costs are expensed as incurred. The primary costs are salary and benefits for personnel, material costs used in development projects and subcontracting costs.
Stock-Based Compensation
Stock-Based Compensation
The Company recognizes stock-based compensation expense for its compensation plans. These plans include stock options, restricted stock awards (“RSAs”), restricted stock units (“RSUs”) and performance-based restricted stock units (“PRSUs”). For the Company’s PRSUs, in addition to service conditions, the ultimate number of shares to be earned depends on the achievement of targets based on market conditions, such as total shareholder return, or performance conditions based on the Company’s operating results. The Company records forfeitures of equity awards in the period in which they occur.
The fair value of the stock-based compensation is determined at the grant date. The Company uses the Black-Scholes standard option pricing model (“Black-Scholes model”) to determine the fair value of stock options. The fair value of each RSU and RSA is determined based on the Company’s closing stock price on the date of grant. The fair value of each PRSU is determined based on either the Company’s closing stock price on the date of grant or through a Monte Carlo valuation model for those awards that include a market-based condition. In addition to the closing stock price on the date of grant, the determination of the fair value of awards using both the Black-Scholes and Monte Carlo valuation models is affected by other assumptions, including the following:
Expected Term - The Company analyzes historical employee exercise and termination data to estimate the expected term assumption for stock options. For market-based awards, the term is commensurate with the performance period remaining as of the grant date.
Risk-free Interest Rate - A risk-free rate is based on the U.S. Treasury rates in effect on the grant date for a maturity equal to or approximating the expected term of the award.
Expected Volatility - For stock options, expected volatility is calculated using historical volatility based on the daily closing prices of the Company’s common stock over a period equal to the expected term. For market-based awards, a combination of historical and implied volatility for the Company and members of its peer group are used in developing the expected volatility assumption.
Dividend Yield - The dividend yield assumption is based on the Company’s expected annual dividend yield on the grant date.
The Company recognizes compensation expense over the required service or vesting period based on the fair value of the award on the date of grant. Certain executive stock-based awards contain market, performance and service conditions. Compensation expense for awards with market conditions is recognized over the service period and is not reversed if the market condition is not met. Compensation expense for awards with performance conditions is reassessed each reporting period and recognized based upon the probability that the performance targets will be achieved.
(1.)     SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
All stock option awards granted under the Company’s compensation plans have an exercise price equal to the closing stock price on the date of grant, a ten-year contractual life and generally, vest annually over a three-year vesting term. RSUs typically vest in equal annual installments over a three or four year period. RSUs issued to members of the Company’s Board of Directors as a portion of their annual retainer vest quarterly over a one-year vesting term. Earned PRSUs typically vest two or three years from the date of grant.
The Company records deferred tax assets for awards that result in deductions on the Company’s income tax returns, based on the amount of stock-based compensation expense recognized and the statutory tax rate in the jurisdiction in which it will receive a deduction. Differences between the deferred tax assets recognized for financial reporting purposes and the actual tax deduction reported on the income tax return are recorded as a component of Provision for income taxes in the Consolidated Statements of Operations. Note 10 “Stock-Based Compensation” contains additional information on the Company’s stock-based compensation.
Defined Benefit Plans
Defined Benefit Plans
The Company recognizes in its balance sheet as an asset or liability the overfunded or underfunded status of its defined benefit plans provided to its employees located in Mexico and Switzerland. This asset or liability is measured as the difference between the fair value of plan assets, if any, and the benefit obligation of those plans. For these plans, the benefit obligation is the projected benefit obligation, which is calculated based on actuarial computations of current and future benefits for employees. Actuarial gains or losses and prior service costs or credits that arise during the period, but are not included as components of net periodic benefit expense, are recognized as a component of Accumulated other comprehensive income (“AOCI”) on the Consolidated Balance Sheets. The Company records the service cost component of net benefit costs in Cost of sales and SG&A expenses. The interest cost component of net benefit costs is recorded in Interest expense and the remaining components of net benefit costs, amortization of net losses and expected return on plan assets, are recorded in Other (income) loss, net.
Foreign Currency Translation and Remeasurement
Foreign Currency Translation and Remeasurement
The Company translates all assets and liabilities of its foreign subsidiaries, where the U.S. dollar is not the functional currency, at the period-end exchange rate and translates income and expenses at the average exchange rates in effect during the period. The net effect of this translation is recorded in the consolidated financial statements as a component of AOCI. Translation adjustments are not adjusted for income taxes as they relate to permanent investments in the Company’s foreign subsidiaries.
The Company has foreign operations in Ireland, Israel, Malaysia, Mexico, Switzerland, and Uruguay, which expose the Company to foreign currency exchange rate fluctuations due to transactions denominated in Euros, Israeli shekels, Malaysian ringgits, Mexican pesos, Swiss francs, and Uruguayan pesos. To the extent that monetary assets and liabilities, including short-term and long-term intercompany loans, are recorded in a currency other than the functional currency of the subsidiary, these amounts are remeasured each period at the period-end exchange rate, with the resulting gain or loss being recorded in Other (income) loss, net in the Consolidated Statements of Operations. Net foreign currency transaction losses included in Other (income) loss, net amounted to $1.6 million, $0.1 million and $1.6 million for 2020, 2019 and 2018, respectively, and primarily related to the fluctuation of the U.S. dollar relative to the Euro and the remeasurement of intercompany loans.
Earnings Per Share (EPS)
Earnings Per Share (“EPS”)
Basic EPS is calculated by dividing Net Income by the weighted average number of shares outstanding during the period. Diluted EPS is calculated by adjusting the weighted average number of shares outstanding for potential common shares if dilutive to the EPS calculation. Note 15 “Earnings Per Share” contains additional information on the computation of the Company’s EPS.
Comprehensive Income
Comprehensive Income
The Company’s comprehensive income as reported in the Consolidated Statements of Comprehensive Income includes net income, foreign currency translation adjustments, the net change in cash flow hedges, net of tax, and defined benefit plan liability adjustments, net of tax. The Consolidated Statements of Comprehensive Income and Note 16 “Stockholders’ Equity” contain additional information on the computation of the Company’s comprehensive income.
Recently Accounting Pronouncements Adopted, Not Yet Elected or Adopted
Recent Accounting Pronouncements
In the normal course of business, management evaluates all new Accounting Standards Updates (“ASU”) and other accounting pronouncements issued by the Financial Accounting Standards Board (“FASB”), Securities and Exchange Commission (“SEC”), or other authoritative accounting bodies to determine the potential impact they may have on the Company’s Consolidated Financial Statements. Except as noted below, management does not expect any of the recently issued accounting pronouncements, which have not already been adopted, to have a material impact on the Company’s Consolidated Financial Statements.
Accounting Guidance Adopted in Fiscal Year 2020
Adoption of ASC 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 Consolidated Financial Statements.
Accounting Guidance Adopted in Fiscal Year 2019
Adoption of ASC Topic 842
The Company adopted ASC 842, Leases, effective December 29, 2018, the first day of the Company’s 2019 fiscal year. ASC 842 requires the recognition of lease assets and lease liabilities by lessees for those leases classified as operating leases under previous guidance. The Company elected to transition to ASC 842 using the option to not restate comparative periods and apply the standard as of the date of initial application. In addition, certain practical expedients were elected which permit the Company to not reassess whether existing contracts are or contain leases, to not reassess the lease classification of any existing leases, and to not reassess initial direct costs for any existing leases. The Company also elected the practical expedient to not separate lease and non-lease components for all classes of underlying assets and the practical expedient related to land easements, allowing the Company to carry-forward its accounting treatment for land easements on existing agreements. The Company did not elect the practical expedient pertaining to the use of hindsight. The Company also made an accounting policy election to keep leases with an initial term of 12 months or less and no purchase option the Company is reasonably certain to exercise off the balance sheet for all classes of underlying assets.
As a result of the adoption of ASC 842, the Company recognized operating lease right-of-use assets of $40.9 million and operating lease liabilities of $43.4 million on December 29, 2018. The difference between the lease assets and lease liabilities primarily represents the existing prepaid rent assets, deferred rent liabilities, and tenant improvement allowances, along with a cumulative-effect adjustment to beginning retained earnings. The adoption of ASC 842 did not have a material impact on the Company’s Consolidated Statement of Operations and Consolidated Statement of Cash Flows for the periods presented.
Refer to Note 14 “Leases” for additional information on the Company’s leases.
Accounting Guidance Not Yet Elected or Adopted
In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848) - Facilitation of the Effects of Reference Rate Reform on Financial Reporting, in response to concerns about structural risks of interbank offered rates (“IBORs”). ASU 2020-04 provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions if certain criteria are met. The ASU applies only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The amendments in ASU 2020-04 are elective for all entities through December 31, 2022. ASU 2020-04 has not yet affected the Company’s Condensed Consolidated Financial Statements.
v3.20.4
Business Acquisition, Divesture And Discontinued Operations (Tables)
 12 Months Ended
Dec. 31, 2020
Discontinued Operations and Disposal Groups [Abstract]  
Summary of Discontinued Operations Income from discontinued operations for fiscal years 2019 and 2018 were as follows (in thousands):
20192018
Sales$— $178,020 
Cost of sales— 148,357 
Gross profit— 29,663 
SG&A expenses— 8,905 
Research, development and engineering costs— 2,352 
Other operating expenses— 1,805 
Interest expense— 22,833 
Gain on sale of discontinued operations(4,974)(194,965)
Other (income) loss, net(322)420 
Income from discontinued operations before taxes5,296 188,313 
Provision for income taxes178 67,382 
Income from discontinued operations$5,118 $120,931 
Interest expense included in discontinued operations reflects an estimate of interest expense related to the debt that was required to be repaid with the proceeds from the sale of the AS&O Product Line.
There were no amounts from discontinued operations for fiscal years 2020. Cash flow information from discontinued operations for fiscal years 2019 and 2018 was as follows (in thousands):
20192018
Cash used in operating activities$(78)$(12,498)
Cash provided by investing activities4,734 577,833 
Depreciation and amortization— $7,450 
Capital expenditures— 3,610 
v3.20.4
Supplemental Cash Flow Information (Tables)
 12 Months Ended
Dec. 31, 2020
Supplemental Cash Flow Elements [Abstract]  
Schedule of Supplemental Cash Flow Information
The following represents supplemental cash flow information for fiscal years 2020, 2019 and 2018 (in thousands):
 202020192018
Non-cash investing and financing activities:
Property, plant and equipment purchases included in accounts payable$3,597 $8,646 $2,303 
Cash paid during the year for:
Interest33,933 44,784 79,661 
Income taxes18,477 30,034 23,155 
v3.20.4
Inventories (Tables)
 12 Months Ended
Dec. 31, 2020
Inventory Disclosure [Abstract]  
Schedule of Inventory, Current
Inventories comprise the following (in thousands):
December 31,
2020		December 31,
2019
Raw materials$72,477 $79,742 
Work-in-process58,806 60,042 
Finished goods18,040 27,472 
Total$149,323 $167,256 
v3.20.4
Property, Plant and Equipment, Net (Tables)
 12 Months Ended
Dec. 31, 2020
Property, Plant and Equipment [Abstract]  
Schedule of Property, Plant and Equipment
PP&E comprises the following (in thousands):
December 31, 2020December 31,
2019
Manufacturing machinery and equipment$320,807 $285,793 
Buildings and building improvements102,037 96,539 
Information technology hardware and software69,969 64,328 
Leasehold improvements77,382 69,012 
Furniture and fixtures16,250 15,517 
Land and land improvements11,598 11,541 
Construction work in process26,389 37,470 
Other1,238 1,181 
625,670 581,381 
Accumulated depreciation(371,706)(335,196)
Total$253,964 $246,185 
Summary of Depreciation Expense
Depreciation expense for PP&E was as follows for fiscal years 2020, 2019 and 2018 (in thousands):
202020192018
Depreciation expense$38,193 $37,819 $40,078 
v3.20.4
Goodwill and Other Intangible Assets, Net (Tables)
 12 Months Ended
Dec. 31, 2020
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill
The change in the carrying amount of goodwill by reportable segment during fiscal years 2020 and 2019 was as follows (in thousands):
MedicalNon-MedicalTotal
December 28, 2018$815,338 $17,000 $832,338 
Acquisition (Note 2)10,527 — 10,527 
Foreign currency translation(3,248)— (3,248)
December 31, 2019822,617 17,000 839,617 
Acquisition (Note 2)4,800 — 4,800 
Acquisition-related adjustments (Note 2)(85)— (85)
Foreign currency translation15,110 — 15,110 
December 31, 2020$842,442 $17,000 $859,442 
Schedule of Finite-Lived Intangible Assets
Intangible assets comprise the following (in thousands):
Gross
Carrying
Amount		Accumulated
Amortization		Net
Carrying
Amount
December 31, 2020
Definite-lived:
Purchased technology and patents$257,453 $(152,798)$104,655 
Customer lists723,791 (161,856)561,935 
Other4,142 (3,796)346 
Total amortizing intangible assets$985,386 $(318,450)$666,936 
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 amortizing intangible assets$958,619 $(273,123)$685,496 
Indefinite-lived:
Trademarks and tradenames$90,288 
Schedule of Indefinite-Lived Intangible Assets
Intangible assets comprise the following (in thousands):
Gross
Carrying
Amount		Accumulated
Amortization		Net
Carrying
Amount
December 31, 2020
Definite-lived:
Purchased technology and patents$257,453 $(152,798)$104,655 
Customer lists723,791 (161,856)561,935 
Other4,142 (3,796)346 
Total amortizing intangible assets$985,386 $(318,450)$666,936 
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 amortizing intangible assets$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 for fiscal years 2020, 2019 and 2018 (in thousands):
202020192018
Cost of Sales$12,860 $13,111 $14,134 
SG&A28,271 26,965 26,658 
RD&E— — 154 
Other Operating Expenses (“OOE”)— — 514 
Total intangible asset amortization expense$41,131 $40,076 $41,460 
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense
Estimated future intangible asset amortization expense based upon the carrying value as of December 31, 2020 is as follows (in thousands):
20212022202320242025After 2025
Amortization Expense$41,684 $40,607 $39,177 $38,213 $36,888 $470,367 
v3.20.4
Accrued Expenses and Other Current Liabilities (Tables)
 12 Months Ended
Dec. 31, 2020
Accounts Payable and Accrued Liabilities [Abstract]  
Schedule of Accrued Liabilities and Other Current Liabilities
Accrued expenses and other current liabilities comprise the following (in thousands):
December 31, 2020December 31,
2019
Salaries and benefits$24,512 $20,997 
Profit sharing and bonuses19,204 26,060 
Contract liabilities2,498 1,975 
Accrued interest1,644 1,885 
Product warranties163 1,933 
Other8,822 13,223 
Total$56,843 $66,073 
v3.20.4
Debt (Tables)
 12 Months Ended
Dec. 31, 2020
Debt Disclosure [Abstract]  
Schedule of Debt
Long-term debt comprises the following (in thousands):
 December 31, 2020December 31,
2019
Senior secured term loan A $229,687 $267,188 
Senior secured term loan B 508,286 558,286 
Unamortized discount on term loan B and debt issuance costs(6,715)(10,702)
Total debt731,258 814,772 
Current portion of long-term debt(37,500)(37,500)
Total long-term debt$693,758 $777,272 
Schedule of Maturities of Long-term Debt
Contractual maturities of the Company’s debt facilities for the next five years and thereafter as of December 31, 2020 are as follows (in thousands):
20212022
Future minimum principal payments$37,500 $700,473 
Schedule of Deferred Financing Costs The change in deferred debt issuance costs related to the Company’s Revolving Credit Facility is as follows (in thousands):
December 28, 2018$1,817 
Financing costs incurred302 
Write-off of debt issuance costs(1)
(150)
Amortization during the period(939)
December 31, 20191,030 
Financing costs incurred289 
Amortization during the period(428)
December 31, 2020$891 
The change in unamortized discount and debt issuance costs related to the Term Loan Facilities is as follows (in thousands):
Debt Issuance CostsUnamortized Discount on TLB FacilityTotal
December 28, 2018$12,713 $3,753 $16,466 
Financing costs incurred919 — 919 
Write-off of debt issuance costs and unamortized discount(1)
(1,913)(482)(2,395)
Amortization during the period(3,440)(848)(4,288)
December 31, 20198,279 2,423 10,702 
Financing costs incurred359 — 359 
Write-off of debt issuance costs and unamortized discount(1)
(400)(150)(550)
Amortization during the period(2,980)(816)(3,796)
December 31, 2020$5,258 $1,457 $6,715 
__________
(1)The Company recognized losses from extinguishment of debt in connection with prepaying portions of its TLB Facility and amending the Senior Secured Credit Facilities during 2020 and 2019. The losses from extinguishment of debt are included in Interest Expense in the accompanying Consolidated Statements of Operations.
v3.20.4
Stock-Based Compensation (Tables)
 12 Months Ended
Dec. 31, 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 for fiscal years 2020, 2019 and 2018 were as follows (in thousands):
202020192018
Stock options$43 $410 $873 
RSAs and RSUs9,120 8,884 9,183 
Discontinued operations— — 414 
Total stock-based compensation expense$9,163 $9,294 $10,470 
Cost of sales$1,658 $1,011 $849 
SG&A6,942 7,827 9,090 
RD&E563 269 112 
OOE— 187 5 
Discontinued operations— — 414 
Total stock-based compensation expense$9,163 $9,294 $10,470 
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions The following table includes the weighted average grant date fair value of stock options granted to employees during fiscal years 2018 and the related weighted average assumptions used in the Black-Scholes model:
2018
Weighted average fair value of options granted$14.89 
Assumptions:
Expected term (in years)4.0
Risk-free interest rate2.21 %
Expected volatility39 %
Expected dividend yield0 %
Schedule of Share-based Compensation, Stock Options, Activity
The following table summarizes stock option activity during the fiscal year ended December 31, 2020:
Number of
Stock
Options		Weighted
Average
Exercise
Price		Weighted
Average
Remaining
Contractual
Term
(in years)		Aggregate
Intrinsic
Value
(in millions)
Outstanding at December 31, 2019384,013 $34.96 
Exercised(102,140)31.95 
Outstanding at December 31, 2020281,873 $36.05 4.7$12.7 
Vested and expected to vest at December 31, 2020281,873 $36.05 4.7$12.7 
Exercisable at December 31, 2020279,323 $35.97 4.7$12.6 
Schedule Of Stock Option Exercise Information
The following table provides certain information relating to the exercise of stock options during fiscal years 2020, 2019 and 2018 (in thousands):
202020192018
Intrinsic value$4,773 $7,998 $17,722 
Cash received3,263 3,242 12,409 
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity
The following table summarizes time-vested RSU activity during the fiscal year ended December 31, 2020:
Time-Vested
Activity		Weighted
Average Grant Date
Fair Value
Nonvested at December 31, 2019205,223 $64.75 
Granted143,122 83.94 
Vested(125,501)67.74 
Forfeited(14,921)75.51 
Nonvested at December 31, 2020207,923 $75.38 
The following table summarizes PRSU activity during the fiscal year ended December 31, 2020:
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 December 31, 2020219,391 $72.33 
Schedule of Share-based Payment Award, Equity Instruments Other Than Options, Valuation Assumptions The weighted average fair value and assumptions used to value the TSR portion of the PRSUs granted are as follows:
 202020192018
Weighted average fair value$107.27 $117.03 $37.46 
Risk-free interest rate1.29 %2.46 %2.28 %
Expected volatility30 %40 %40 %
Expected life (in years)2.92.82.9
Expected dividend yield— %— %— %
v3.20.4
Other Operating Expenses (Tables)
 12 Months Ended
Dec. 31, 2020
Other Income and Expenses [Abstract]  
Schedule of Other Operating Cost and Expense, by Component
The following tables summarize OOE by program in each of the preceding three years (in thousands):
202020192018
Operational excellence initiatives$2,791 $— $— 
Strategic reorganization and alignment686 5,812 10,624 
Manufacturing alignment to support growth241 2,145 3,089 
Consolidation and optimization initiatives— — 844 
Acquisition and integration costs (adjustments)(776)377 — 
Other general expenses4,679 3,817 1,508 
Total other operating expenses$7,621 $12,151 $16,065 
Schedule of Restructuring Reserve by Type of Cost
The following table summarizes the change in accrued liabilities, presented within Accrued expenses and other current liabilities on the Consolidated Balance Sheets, related to the initiatives described above (in thousands):
Operational excellence initiatives
Strategic reorganization and alignment
Manufacturing alignment to support growth
Total
December 31, 2019$— $1,985 $— $1,985 
Charges incurred, net of reversals2,791 686 241 3,718 
Cash payments(2,500)(2,671)(241)(5,412)
December 31, 2020$291 $— $— $291 
v3.20.4
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2020
Income Tax Disclosure [Abstract]  
Schedule of Income before Income Tax, Domestic and Foreign
Income from continuing operations before taxes for fiscal years 2020, 2019 and 2018 consisted of the following (in thousands):
202020192018
U.S.$35,337 $40,203 $(4,273)
International50,870 64,990 65,389 
Total income from continuing operations before taxes$86,207 $105,193 $61,116 
Schedule of Components of Income Tax Expense (Benefit)
The provision for income taxes from continuing operations for fiscal years 2020, 2019 and 2018 comprises the following (in thousands):
202020192018
Current:
Federal$7,784 $14,090 $80 
State1,233 87 166 
International6,898 10,083 9,490 
15,915 24,260 9,736 
Deferred:
Federal(4,648)(8,813)6,610 
State(1,245)332 103 
International(1,073)(1,804)(2,366)
(6,966)(10,285)4,347 
Total provision for income taxes$8,949 $13,975 $14,083 
Schedule of Effective Income Tax Rate Reconciliation
The provision for income taxes from continuing operations differs from the U.S. statutory rate for fiscal years 2020, 2019 and 2018 due to the following:
202020192018
Statutory rate$18,103 21.0 %$22,091 21.0 %$12,834 21.0 %
Federal tax credits (including R&D)(7,009)(8.1)(4,797)(4.6)(1,700)(2.8)
Foreign rate differential(5,333)(6.2)(5,479)(5.2)(6,040)(9.9)
Stock-based compensation(1,459)(1.7)(2,422)(2.3)(2,821)(4.6)
Uncertain tax positions1,208 1.4 (920)(0.9)147 0.2 
State taxes, net of federal benefit553 0.6 1,106 1.1 975 1.6 
U.S. tax on foreign earnings, net of §250 deduction3,216 3.7 5,201 4.9 10,473 17.1 
Valuation allowance(345)(0.4)(1,606)(1.5)(567)(0.9)
Other15 0.1 801 0.8 782 1.3 
Effective tax rate$8,949 10.4 %$13,975 13.3 %$14,083 23.0 %
Schedule of Deferred Tax Assets and Liabilities
The net deferred tax liability consists of the following (in thousands):
December 31,
2020		December 31,
2019
Tax credit carryforwards$13,449 $14,921 
Inventories14,099 11,333 
Net operating loss carryforwards10,436 8,254 
Operating lease liabilities11,969 5,544 
Stock-based compensation3,276 4,844 
Accrued expenses8,058 4,625 
Gross deferred tax assets61,287 49,521 
Less valuation allowance(20,739)(22,229)
Net deferred tax assets40,548 27,292 
Property, plant and equipment(5,824)(6,017)
Intangible assets(197,048)(192,091)
Operating lease assets(11,290)(5,161)
Other(4,292)(7,563)
Gross deferred tax liabilities(218,454)(210,832)
Net deferred tax liability$(177,906)$(183,540)
Presented as follows:
Noncurrent deferred tax asset$4,398 $4,438 
Noncurrent deferred tax liability(182,304)(187,978)
Net deferred tax liability$(177,906)$(183,540)
Summary of Operating Loss and Tax Credit Carryforwards
As of December 31, 2020, the Company has the following carryforwards available:
JurisdictionTax
Attribute		Amount
(in millions)		Begin to Expire
U.S. State
Net operating losses(1)
$126.7 2021
International
Net operating losses(1)
6.9 2022
U.S. FederalForeign tax credits7.9 2021
U.S. Federal and StateR&D tax credits1.8 2021
U.S. StateState tax credits5.7 2021
__________
(1)     Net operating losses (“NOLs”) are presented as pre-tax amounts.
Summary of Income Tax Contingencies
Below is a summary of changes to the unrecognized tax benefit for fiscal years 2020, 2019 and 2018 (in thousands):
20202019
2018(1)
Balance, beginning of year$4,446 $5,369 $12,088 
Additions based upon tax positions related to the current year300 300 300 
Additions (reductions) related to prior period tax returns738 (1,223)(75)
Reductions relating to settlements with tax authorities— — (98)
Reductions relating to divestiture— — (6,846)
Balance, end of year$5,484 $4,446 $5,369 
__________
(1)The amounts for 2018 reflect discontinued operations through the date of divestiture of the AS&O Product Line, which is reflected in the table as a reduction relating to divestiture.
v3.20.4
Commitments and Contingencies (Tables)
 12 Months Ended
Dec. 31, 2020
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Product Warranty Liability The change in product warranty liability for fiscal years 2020 and 2019 comprises the following (in thousands):
20202019
Beginning balance$1,933 $2,600 
Additions to warranty reserve, net of reversals(156)2,605 
Adjustments to pre-existing warranties (119)(1,039)
Warranty claims settled(1,495)(2,233)
Ending balance$163 $1,933 
v3.20.4
Leases (Tables)
 12 Months Ended
Dec. 31, 2020
Leases [Abstract]  
Schedule of Lease Term, Discount Rate, Lease Costs and Supplemental Cash Flow Information
The components and classification of lease cost are as follows (in thousands):
December 31,
2020		December 31,
2019
Operating lease cost$10,425 $9,870 
Short-term lease cost (leases with initial term of 12 months or less)86 57 
Variable lease cost2,615 2,419 
Sublease income(1,495)(1,894)
Total lease cost$11,631 $10,452 
Cost of sales$9,141 $8,772 
SG&A1,803 1,107 
RD&E687 556 
OOE— 17 
Total lease cost$11,631 $10,452 
The following table presents the weighted average remaining lease term and discount rate.
December 31,
2020		December 31,
2019
Weighted-average remaining lease term of operating leases (in years)7.07.4
Weighted-average discount rate of operating leases5.3 %5.5 %

Supplemental cash flow information related to leases for fiscal years 2020 and 2019 is as follows (in thousands):
20202019
Cash paid for amounts included in the measurement of operating lease liabilities$10,385 $10,235 
ROU assets obtained in exchange for new operating lease liabilities9,059 8,778 
Schedule of Operating Lease Liability Maturities (Topic 842)
At December 31, 2020, the maturities of operating lease liabilities were as follows (in thousands):
202110,627 
20228,584 
20237,781 
20247,312 
20255,667 
Thereafter15,811 
Total lease payments55,782 
Less imputed interest(9,490)
Total$46,292 
v3.20.4
Earnings Per Share (Tables)
 12 Months Ended
Dec. 31, 2020
Earnings Per Share [Abstract]  
Schedule of Earnings Per Share, Basic and Diluted
The following table sets forth a reconciliation of the information used in computing basic and diluted EPS for fiscal years 2020, 2019 and 2018 (in thousands, except per share amounts):
202020192018
Numerator for basic and diluted EPS:
Income from continuing operations$77,258 $91,218 $47,033 
Income from discontinued operations— 5,118 120,931 
Net income$77,258 $96,336 $167,964 
Denominator for basic EPS:
Weighted average shares outstanding32,845 32,627 32,136 
Effect of dilutive securities:
Stock options, restricted stock and restricted stock units268 410 460 
Denominator for diluted EPS33,113 33,037 32,596 
Basic earnings per share:
Income from continuing operations$2.35 $2.80 $1.46 
Income from discontinued operations— 0.16 3.76 
Basic earnings per share2.35 2.95 5.23 
Diluted earnings per share:
Income from continuing operations$2.33 $2.76 $1.44 
Income from discontinued operations— 0.15 3.71 
Diluted earnings per share2.33 2.92 5.15 
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share
The diluted weighted average share calculations do not include the following securities for fiscal years 2020, 2019 and 2018, which are not dilutive to the EPS calculations or the performance criteria have not been met (in thousands):
202020192018
Time-vested stock options, restricted stock and restricted stock units98 30 237 
Performance-vested restricted stock units89 47 144 
v3.20.4
Stockholders' Equity (Tables)
 12 Months Ended
Dec. 31, 2020
Equity [Abstract]  
Schedule of Changes in Number of Shares of Common Stock
The following table sets forth the changes in the number of shares of common stock for fiscal years 2020 and 2019:
IssuedTreasury StockOutstanding
Shares outstanding at December 28, 201832,624,494 (151,327)32,473,167 
Stock options exercised116,904 21,866 138,770 
RSAs forfeitures and vesting of RSUs105,619 (17,085)88,534 
Shares outstanding at December 31, 201932,847,017 (146,546)32,700,471 
Stock options exercised27,544 74,596 102,140 
Vesting of RSUs, net of shares withheld to cover taxes33,617 71,950 105,567 
Shares outstanding at December 31, 202032,908,178 — 32,908,178 
Schedule of Accumulated Other Comprehensive Income (Loss)
Accumulated other comprehensive income comprises the following (in thousands): 
Defined
Benefit
Plan
Liability		Cash
Flow
Hedges		Foreign
Currency
Translation
Adjustment		Total
Pre-Tax
Amount		TaxNet-of-Tax
Amount
December 28, 2018$(295)$3,439 $30,539 $33,683 $(679)$33,004 
Unrealized loss on cash flow hedges— (4,028)— (4,028)846 (3,182)
Realized gain on foreign currency hedges— (148)— (148)31 (117)
Realized gain on interest rate swap hedges— (1,621)— (1,621)340 (1,281)
Net defined benefit plan adjustments(617)— — (617)81 (536)
Foreign currency translation loss— — (7,900)(7,900)— (7,900)
December 31, 2019$(912)$(2,358)$22,639 $19,369 $619 $19,988 
Unrealized loss on cash flow hedges— (6,683)— (6,683)1,404 (5,279)
Realized loss on foreign currency hedges— 638 — 638 (134)504 
Realized loss on interest rate swap hedges— 3,447 — 3,447 (724)2,723 
Net defined benefit plan adjustments(183)— — (183)32 (151)
Foreign currency translation gain— — 34,907 34,907 — 34,907 
December 31, 2020$(1,095)$(4,956)$57,546 $51,495 $1,197 $52,692 
v3.20.4
Financial Instruments and Fair Value Measurements (Tables)
 12 Months Ended
Dec. 31, 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)
December 31, 2020
Assets: Foreign currency contracts$2,070 $— $2,070 $— 
Liabilities: Interest rate swap7,026 — 7,026 — 
Liabilities: Contingent consideration3,900 — — 3,900 
December 31, 2019
Assets: Foreign currency contracts$710 $— $710 $— 
Liabilities: Interest rate swaps3,068 — 3,068 — 
Liabilities: Contingent consideration4,200 — — 4,200 
Information regarding the Company’s outstanding interest rate swap designated as a cash flow hedge as of December 31, 2020 is as follows (dollars in thousands):
Notional AmountStart DateEnd
Date		Pay Fixed RateReceive Current Floating RateFair ValueBalance Sheet Location
$200,000 Jun 2020Jun 20232.1785 %0.1480 %$(7,026)Other long-term liabilities
(17.)     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 
(1)
(2,809)Other long-term liabilities
__________
(1) The interest rate swap was not in effect until June 2020.
Information regarding outstanding foreign currency forward contracts designated as cash flow hedges as of December 31, 2020 is as follows (dollars in thousands):
Notional AmountStart
Date		End
Date		$/Foreign CurrencyFair ValueBalance Sheet Location
$16,132 Nov 2020Sep 20211.1949Euro$399 Prepaid expenses and other current assets
10,224 Jan 2021Sep 20210.0454MXN Peso922 Prepaid expenses and other current assets
2,656 Jan 2021Mar 20210.0443MXN Peso341 Prepaid expenses and other current assets
7,269 Apr 2021Dec 20210.0485MXN Peso77 Prepaid expenses and other current assets
3,252 Jan 2021Aug 20210.0232UYU Peso165 Prepaid expenses and other current assets
3,966 Jan 2021Nov 20210.0227UYU Peso166 Prepaid expenses and other current assets
Information regarding outstanding foreign currency forward 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 20200.0490Peso$710 Prepaid expenses and other current assets
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss)
The following table presents the impact of cash flow hedge derivative instruments on other comprehensive income (“OCI”), AOCI and the Company’s Consolidated Statement of Operations for fiscal years 2020, 2019 and 2018 (in thousands):
Gain (Loss) Recognized in OCIGain (Loss) Reclassified from AOCI
Derivative202020192018Location in Statement of Operations 202020192018
Interest rate swaps$(7,405)$(5,618)$1,589 Interest expense$(3,447)$1,621 $1,697 
Foreign exchange contracts1,017 (1,044)(1,193)Sales618 (1,334)(758)
Foreign exchange contracts(355)2,634 1,508 Cost of sales(1,177)1,482 944 
Foreign exchange contracts60 — — Operating expenses(79)— — 
Rollforward of Contingent Consideration
The following table presents the changes in the estimated fair values of the Company’s liabilities for contingent consideration measured using significant unobservable inputs (Level 3) for fiscal years 2020 and 2019 (in thousands):
December 28, 2018$— 
Amount recorded for current year acquisitions
4,200 
December 31, 20194,200 
Amount recorded for current year acquisitions
2,700 
Fair value measurement adjustment(2,000)
Payments
(1,000)
December 31, 2020$3,900 
Schedule of Contingent Consideration Measurement Inputs
The following table provides quantitative information associated with the fair value measurement of the Company’s liabilities for contingent consideration:
December 31, 2020
Contingency TypeMaximum Payout (undiscounted)Fair ValueValuation TechniqueUnobservable InputsWeighted Average or Range
Revenue-based payments$9,000 $3,900 Monte CarloRevenue volatility35.0 %
Discount rate4.0 %
Projected year(s) of payment2021-2024
(17.)     FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS (Continued)
December 31, 2019
Contingency TypeMaximum Payout (undiscounted)Fair ValueValuation TechniqueUnobservable InputsWeighted Average or Range
Revenue-based payments$5,500 $4,200 Monte CarloRevenue volatility25.0 %
Discount rate4.9 %
Projected year(s) of payment2021-2024
Equity Method Investments
Equity investments comprise the following (in thousands):
December 31,
2020		December 31,
2019
Equity method investment$21,470 $16,167 
Non-marketable equity securities5,723 6,092 
Total equity investments
$27,193 $22,259 
The components of (Gain) Loss on Equity Investments, Net for each period were as follows (in thousands):
202020192018
Equity method investment income$(5,706)$(1,100)$(5,623)
Impairment charges369 1,575 — 
Total (gain) loss on equity investments, net
$(5,337)$475 $(5,623)
v3.20.4
Segment and Geographic Information (Tables)
 12 Months Ended
Dec. 31, 2020
Segment Reporting [Abstract]  
Schedule of Segment Sales by Product Line
The following table presents sales by product line for fiscal years 2020, 2019 and 2018 (in thousands).
202020192018
Segment sales by product line:
Medical
Cardio & Vascular $569,948 $610,056 $585,464 
Cardiac & Neuromodulation346,242 457,194 443,347 
Advanced Surgical, Orthopedics & Portable Medical121,788 132,429 133,225 
Total Medical1,037,978 1,199,679 1,162,036 
Non-Medical35,464 58,415 52,976 
Total sales$1,073,442 $1,258,094 $1,215,012 
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 for fiscal years 2020 and 2019.
20202019
CustomerMedicalNon-MedicalMedicalNon-Medical
Customer A19%*22%*
Customer B17%*18%*
Customer C15%*12%*
Customer D*22%*22%
Customer E*10%**
All other customers49%68%48%78%
__________
* Less than 10% of segment’s total revenues for the period.
Schedule of Sales by Geographic Area
The following table presents sales by significant country for fiscal years 2020, 2019 and 2018. In these tables, sales are allocated based on where the products are shipped (in thousands).
202020192018
Sales by geographic area:
United States$596,804 $698,474 $687,259 
Non-Domestic locations:
Puerto Rico96,048 154,644 146,500 
Costa Rica58,853 63,634 62,044 
Rest of world321,737 341,342 319,209 
Total sales$1,073,442 $1,258,094 $1,215,012 
The following table presents revenues by significant ship to location, which is defined as any country where 10% or more of a segment’s total revenues are shipped for fiscal years 2020 and 2019.
20202019
Ship to LocationMedicalNon-MedicalMedicalNon-Medical
United States55%60%55%58%
Puerto Rico**13%*
Canada***13%
Rest of world45%40%32%29%
__________
* Less than 10% of segment’s total revenues for the period.
Schedule of Segment Income (Loss) from Operations
The following table presents income from continuing operations for the Company’s reportable segments for fiscal years 2020, 2019 and 2018 (in thousands).
202020192018
Segment income from continuing operations:
Medical$169,396 $223,873 $224,893 
Non-Medical4,848 16,289 14,697 
Total segment income from continuing operations174,244 240,162 239,590 
Unallocated operating expenses(53,632)(82,527)(84,035)
Operating income120,612 157,635 155,555 
Unallocated expenses, net(34,405)(52,442)(94,439)
Income from continuing operations before taxes$86,207 $105,193 $61,116 
Schedule of Segment Depreciation and Amortization
The following table presents depreciation and amortization expense for the Company’s reportable segments for fiscal years 2020, 2019 and 2018 (in thousands).
 202020192018
Segment depreciation and amortization:
Medical$72,338 $68,867 $71,922 
Non-Medical996 1,039 1,364 
Total depreciation and amortization included in segment
   income from continuing operations
73,334 69,906 73,286 
Unallocated depreciation and amortization5,990 7,989 8,252 
Total depreciation and amortization$79,324 $77,895 $81,538 
Schedule of Long-Lived Tangible Assets and Identifiable Assets by Geographic Area
The following table presents total assets for the Company’s reportable segments as of December 31, 2020 and December 31, 2019 (in thousands).
December 31,
2020		December 31,
2019
Identifiable assets:
Medical$2,212,489 $2,233,534 
Non-Medical 52,682 51,031 
Total reportable segments2,265,171 2,284,565 
Unallocated assets106,686 68,528 
Total assets$2,371,857 $2,353,093 
The following table presents PP&E by geographic area as of December 31, 2020 and December 31, 2019. In these tables, PP&E is aggregated based on the physical location of the tangible long-lived assets (in thousands).
December 31,
2020		December 31,
2019
Long-lived tangible assets by geographic area:
United States$170,871 $163,350 
Mexico32,723 36,238 
Ireland38,526 33,126 
Rest of world11,844 13,471 
Total$253,964 $246,185 
Schedule of Expenditures for Tangible Long-Lived Assets, Excluding Acquisitions
The following table presents capital expenditures for the Company’s reportable segments for fiscal years 2020, 2019 and 2018 (in thousands).
 202020192018
Expenditures for tangible long-lived assets:
Medical$42,435 $44,026 $34,615 
Non-Medical1,038 397 573 
Total reportable segments43,473 44,423 35,188 
Unallocated long-lived tangible assets3,359 3,775 6,110 
Total expenditures$46,832 $48,198 $41,298 
v3.20.4
Revenue From Contracts With Customers (Tables)
 12 Months Ended
Dec. 31, 2020
Revenue from Contract with Customer [Abstract]  
Schedules of Concentration of Risk by Reveune and Accounts Receivable
A significant portion of the Company’s sales for fiscal years 2020, 2019 and 2018 and accounts receivable at December 31, 2020 and December 31, 2019 were to three customers as follows:
 SalesAccounts Receivable
202020192018December 31,
2020		December 31,
2019
Customer A18%21%21%15%13%
Customer B16%17%19%19%19%
Customer C14%12%12%13%20%
48%50%52%47%52%
Schedule of Contract Assets and Contract Liabilities
The opening and closing balances of the Company’s contract assets and contract liabilities are as follows (in thousands):
December 31,
2020		December 31,
2019
Contract assets$40,218 $24,767 
Contract liabilities2,498 1,975 
v3.20.4
Quarterly Sales and Earnings Data - Unaudited (Tables)
 12 Months Ended
Dec. 31, 2020
Quarterly Financial Information Disclosure [Abstract]  
Schedule of Quarterly Financial Information
(in thousands, except per share data)Fourth QuarterThird QuarterSecond QuarterFirst Quarter
Fiscal Year 2020
Sales$268,959 
(1)
$235,942 
(1)
$240,115 
(1)
$328,426 
Gross profit73,209 57,933 57,863 96,702 
Income from continuing operations15,427 30,342 
(2)
389 31,100 
EPS—basic0.47 0.92 
(2)
0.01 0.95 
EPS—diluted0.47 0.92 
(2)
0.01 0.94 
Fiscal Year 2019
Sales$325,637 $303,587 $314,194 $314,676 
Gross profit76,030 
(3)
93,386 96,984 88,610 
Income from continuing operations11,044 
(3)
30,586 28,222 21,366 
EPS—basic0.34 0.94 0.87 0.66 
EPS—diluted0.33 0.92 0.85 0.65 
__________
(1)Primarily beginning in the second quarter of 2020, sales were were negatively impacted by the COVID-19 pandemic and a severe decline in the energy market.
(2)The third quarter of 2020 includes a pre-tax net gain of $28.2 million, resulting in an after-tax impact of $0.67 per basic and diluted share from a patent litigation judgment affirmed by the United States Court of Appeals in the Company’s favor. See Note 13 “Commitments and Contingencies” for additional information.
(3)In the fourth quarter of 2019, the Company recorded pre-tax charges and other expenses of $24 million related to the bankruptcy filing of a customer. These charges were included in cost of sales ($21 million) and operating expenses ($3 million).
v3.20.4
Summary of Significant Accounting Policies (Narrative) (Details)
 3 Months Ended 12 Months Ended
Dec. 31, 2019
USD ($)
Dec. 31, 2020
USD ($)
customer
Segment
Dec. 31, 2019
USD ($)
Dec. 28, 2018
USD ($)
Dec. 29, 2018
USD ($)
Schedule of Assets Useful Life [Line Items]          
Number of reportable segments | Segment   2      
Number of customers | customer   3      
Outstanding receivables previously reserved, written off   $ 2,300,000      
Sale of accounts receivable   73,300,000      
Costs incurred from sale of accounts receivable   0      
Increase in inventory valuation reserves $ 19,000,000.0        
Finance lease liability 0 0 $ 0    
Finance lease right-of-use asset 0 $ 0 0    
Description of payment terms   Standard payment terms range from 30 to 90 days and can include a discount for early payment.      
Net foreign currency transaction losses   $ (1,600,000) (100,000) $ (1,600,000)  
Operating lease assets $ 42,379,000 45,153,000 $ 42,379,000    
Operating lease liability   $ 46,292,000      
ASU 2016-02          
Schedule of Assets Useful Life [Line Items]          
Operating lease assets         $ 40,900,000
Operating lease liability         $ 43,400,000
Stock Options          
Schedule of Assets Useful Life [Line Items]          
Contractual life   10 years      
Award vesting period   3 years      
Restricted Stock And Unit Awards | Director          
Schedule of Assets Useful Life [Line Items]          
Award vesting period   1 year      
Minimum | Restricted Stock And Unit Awards          
Schedule of Assets Useful Life [Line Items]          
Award vesting period   3 years      
Minimum | Performance Based Restricted Stock And Restricted Stock Units          
Schedule of Assets Useful Life [Line Items]          
Award vesting period   2 years      
Minimum | Patents          
Schedule of Assets Useful Life [Line Items]          
Intangible asset, useful life   5 years      
Minimum | Customer lists          
Schedule of Assets Useful Life [Line Items]          
Intangible asset, useful life   7 years      
Minimum | Other          
Schedule of Assets Useful Life [Line Items]          
Intangible asset, useful life   1 year      
Maximum | Restricted Stock And Unit Awards          
Schedule of Assets Useful Life [Line Items]          
Award vesting period   4 years      
Maximum | Performance Based Restricted Stock And Restricted Stock Units          
Schedule of Assets Useful Life [Line Items]          
Award vesting period   3 years      
Maximum | Patents          
Schedule of Assets Useful Life [Line Items]          
Intangible asset, useful life   15 years      
Maximum | Customer lists          
Schedule of Assets Useful Life [Line Items]          
Intangible asset, useful life   20 years      
Maximum | Other          
Schedule of Assets Useful Life [Line Items]          
Intangible asset, useful life   10 years      
Buildings and building improvements | Minimum          
Schedule of Assets Useful Life [Line Items]          
Property, plant and equipment, useful life   12 years      
Buildings and building improvements | Maximum          
Schedule of Assets Useful Life [Line Items]          
Property, plant and equipment, useful life   30 years      
Manufacturing machinery and equipment | Minimum          
Schedule of Assets Useful Life [Line Items]          
Property, plant and equipment, useful life   3 years      
Manufacturing machinery and equipment | Maximum          
Schedule of Assets Useful Life [Line Items]          
Property, plant and equipment, useful life   10 years      
Office Equipment | Minimum          
Schedule of Assets Useful Life [Line Items]          
Property, plant and equipment, useful life   3 years      
Office Equipment | Maximum          
Schedule of Assets Useful Life [Line Items]          
Property, plant and equipment, useful life   10 years      
v3.20.4
Business Acquisition, Divesture And Discontinued Operations (Acquisition of Assets from InoMec Ltd Narrative) (Details) - USD ($)
$ in Thousands
Feb. 19, 2020
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]        
Maximum amount of possible contingent payouts   $ 9,000 $ 5,500  
Goodwill acquired   $ 859,442 $ 839,617 $ 832,338
InoMec Ltd        
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]        
Consideration transferred $ 7,000      
Cash payments to acquire business 5,300      
Contingent consideration 1,700      
Maximum amount of possible contingent payouts $ 3,500      
Contingent consideration earn out period 4 years      
Intangible assets acquired $ 2,000      
Goodwill acquired 4,800      
Property, plant, and equipment acquired 300      
Other non-current assets acquired $ 100      
Weighted average useful life of acquired intangible assets 5 years 10 months 24 days      
v3.20.4
Business Acquisition, Divesture And Discontinued Operations (Acquisition of Assets from US BioDesign LLC Narrative) (Details) - USD ($)
$ in Thousands
 3 Months Ended 12 Months Ended
Feb. 19, 2020
Oct. 07, 2019
Dec. 31, 2020
Oct. 02, 2020
Jul. 03, 2020
Apr. 04, 2020
Dec. 31, 2019
Sep. 27, 2019
Jun. 28, 2019
Mar. 29, 2019
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]                          
Maximum amount of possible contingent payouts     $ 9,000       $ 5,500       $ 9,000 $ 5,500  
Goodwill acquired     859,442       839,617       859,442 839,617 $ 832,338
Acquisition- related adjustments                     (85)    
Sales     $ 268,959 $ 235,942 $ 240,115 $ 328,426 $ 325,637 $ 303,587 $ 314,194 $ 314,676 1,073,442 1,258,094 $ 1,215,012
Acquisition related costs                     900 400  
US BioDesign LLC                          
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]                          
Consideration transferred   $ 19,100                      
Cash payments to acquire business   14,900                      
Favorable working capital adjustment         $ 100                
Fair value of contingent consideration   4,200                      
Maximum amount of possible contingent payouts   5,500                      
Goodwill acquired   10,400                      
Property, plant, and equipment acquired   700                      
Other non-current assets acquired   600                      
Acquisition- related adjustments   100                      
Sales                     4,500    
US BioDesign LLC | Technology                          
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]                          
Acquired finite lived intangible assets   $ 7,400                      
Intangible asset, useful life   8 years                      
InoMec Ltd                          
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]                          
Consideration transferred $ 7,000                        
Cash payments to acquire business 5,300                        
Maximum amount of possible contingent payouts 3,500                        
Goodwill acquired 4,800                        
Property, plant, and equipment acquired 300                        
Other non-current assets acquired $ 100                        
Sales                     3,400    
Acquisition related costs                     $ 1,200    
US BioDesign LLC                          
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]                          
Sales                       $ 800  
v3.20.4
Business Acquisition, Divesture And Discontinued Operations (AS&O Business Narrative) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jul. 02, 2018
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]        
Proceeds from sale of discontinued operations $ 581,000 $ 0 $ 4,734 $ 581,429
Income from transition services     2,900 3,600
Transition services, cost of sales     100 200
Transition services, selling, general and administrative     2,800 3,400
Long term supply agreement, term 3 years      
Pre-tax income from discontinued operations       $ 195,000
Discontinued operation, gain (loss) on disposal of discontinued operation, Net of Tax     $ 4,800  
v3.20.4
Business Acquisition, Divesture And Discontinued Operations (Loss from Discontinued Operations) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]      
Income from discontinued operations before taxes $ 0 $ 5,296 $ 188,313
Provision for income taxes 0 178 67,382
Income from discontinued operations 0 5,118 $ 120,931
AS&O Product Line | Discontinued Operations, Held-for-sale      
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]      
Sales 0 178,020  
Cost of sales 0 148,357  
Gross profit 0 29,663  
SG&A expenses 0 8,905  
Research, development and engineering costs 0 2,352  
Other operating expenses 0 1,805  
Interest expense 0 22,833  
Gain on sale of discontinued operations (4,974) (194,965)  
Other (income) loss, net (322) 420  
Income from discontinued operations before taxes 5,296 188,313  
Provision for income taxes 178 67,382  
Income from discontinued operations $ 5,118 $ 120,931  
v3.20.4
Business Acquisition, Divesture And Discontinued Operations (Cash Flow Information from Discontinued Operations) (Details) - AS&O Product Line - Discontinued Operations, Held-for-sale - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]    
Cash used in operating activities $ (78) $ (12,498)
Cash provided by investing activities 4,734 577,833
Depreciation and amortization 0 7,450
Capital expenditures $ 0 $ 3,610
v3.20.4
Supplemental Cash Flow Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Non-cash investing and financing activities:      
Property, plant and equipment purchases included in accounts payable $ 3,597 $ 8,646 $ 2,303
Cash paid during the year for:      
Interest 33,933 44,784 79,661
Income taxes $ 18,477 $ 30,034 $ 23,155
v3.20.4
Inventories (Details) - USD ($)
$ in Thousands
Dec. 31, 2020
Dec. 31, 2019
Inventory Disclosure [Abstract]    
Raw materials $ 72,477 $ 79,742
Work-in-process 58,806 60,042
Finished goods 18,040 27,472
Inventories $ 149,323 $ 167,256
v3.20.4
Property, Plant and Equipment, Net (Details) - USD ($)
$ in Thousands
Dec. 31, 2020
Dec. 31, 2019
Property, Plant and Equipment [Line Items]    
Property, Plant and Equipment, Gross $ 625,670 $ 581,381
Accumulated depreciation (371,706) (335,196)
Total 253,964 246,185
Manufacturing machinery and equipment    
Property, Plant and Equipment [Line Items]    
Property, Plant and Equipment, Gross 320,807 285,793
Buildings and building improvements    
Property, Plant and Equipment [Line Items]    
Property, Plant and Equipment, Gross 102,037 96,539
Information technology hardware and software    
Property, Plant and Equipment [Line Items]    
Property, Plant and Equipment, Gross 69,969 64,328
Leasehold improvements    
Property, Plant and Equipment [Line Items]    
Property, Plant and Equipment, Gross 77,382 69,012
Furniture and fixtures    
Property, Plant and Equipment [Line Items]    
Property, Plant and Equipment, Gross 16,250 15,517
Land and land improvements    
Property, Plant and Equipment [Line Items]    
Property, Plant and Equipment, Gross 11,598 11,541
Construction work in process    
Property, Plant and Equipment [Line Items]    
Property, Plant and Equipment, Gross 26,389 37,470
Other    
Property, Plant and Equipment [Line Items]    
Property, Plant and Equipment, Gross $ 1,238 $ 1,181
v3.20.4
Property, Plant and Equipment, Net (Depreciation Expense) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Property, Plant and Equipment [Abstract]      
Depreciation $ 38,193 $ 37,819 $ 40,078
v3.20.4
Goodwill and Other Intangible Assets, Nets (Schedule of Goodwill) (Details) - USD ($)
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Goodwill [Roll Forward]    
Beginning balance $ 839,617,000 $ 832,338,000
Acquisitions and related adjustments 4,800,000 10,527,000
Acquisition- related adjustments (85,000)  
Foreign currency translation 15,110,000 (3,248,000)
Ending balance 859,442,000 839,617,000
Medical    
Goodwill [Roll Forward]    
Beginning balance 822,617,000 815,338,000
Acquisitions and related adjustments 4,800,000 10,527,000
Acquisition- related adjustments (85,000)  
Foreign currency translation 15,110,000 (3,248,000)
Ending balance 842,442,000 822,617,000
Accumulated impairment loss 0  
Non-Medical    
Goodwill [Roll Forward]    
Beginning balance 17,000,000 17,000,000
Acquisitions and related adjustments 0 0
Acquisition- related adjustments 0  
Foreign currency translation 0 0
Ending balance 17,000,000 $ 17,000,000
Accumulated impairment loss $ 0  
v3.20.4
Goodwill and Other Intangible Assets, Net (Schedule of Intangible Assets) (Details) - USD ($)
$ in Thousands
Dec. 31, 2020
Dec. 31, 2019
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount $ 985,386 $ 958,619
Accumulated Amortization (318,450) (273,123)
Net Carrying Amount 666,936 685,496
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 257,453 248,264
Accumulated Amortization (152,798) (138,435)
Net Carrying Amount 104,655 109,829
Customer lists    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 723,791 706,852
Accumulated Amortization (161,856) (131,185)
Net Carrying Amount 561,935 575,667
Other    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 4,142 3,503
Accumulated Amortization (3,796) (3,503)
Net Carrying Amount $ 346 $ 0
v3.20.4
Goodwill and Other Intangible Assets, Net (Narrative) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Finite-Lived Intangible Assets [Line Items]      
Payments to acquire intangible asset $ 4,607 $ 0 $ 0
License | Non-Medical | Similar Identifiable Assets Relating To A License To Use Technology      
Finite-Lived Intangible Assets [Line Items]      
Payments to acquire intangible asset 4,500    
Asset acquisition contingent consideration liability paid 1,000    
Asset acquisition transaction costs capitalized 100    
Intangible asset acquired $ 4,600    
Intangible asset, useful life 11 years    
Trademarks and tradenames      
Finite-Lived Intangible Assets [Line Items]      
Indefinite-lived intangible assets (excluding goodwill) $ 90,288 $ 90,288  
Lake Region Medical | Trademarks and tradenames      
Finite-Lived Intangible Assets [Line Items]      
Indefinite-lived intangible assets (excluding goodwill) $ 70,000    
v3.20.4
Goodwill and Other Intangible Assets, Net (Amortization Expense by categories) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Finite-Lived Intangible Assets [Line Items]      
Amortization of Intangible Assets $ 41,131 $ 40,076 $ 41,460
Cost of Sales      
Finite-Lived Intangible Assets [Line Items]      
Amortization of Intangible Assets 12,860 13,111 14,134
SG&A      
Finite-Lived Intangible Assets [Line Items]      
Amortization of Intangible Assets 28,271 26,965 26,658
RD&E      
Finite-Lived Intangible Assets [Line Items]      
Amortization of Intangible Assets 0 0 154
Other Operating Expenses (“OOE”)      
Finite-Lived Intangible Assets [Line Items]      
Amortization of Intangible Assets $ 0 $ 0 $ 514
v3.20.4
Goodwill and Other Intangible Assets, Net (Future Amortization Expense) (Details)
$ in Thousands
Dec. 31, 2020
USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]  
2021 $ 41,684
2022 40,607
2023 39,177
2024 38,213
2025 36,888
After 2025 $ 470,367
v3.20.4
Accrued Expenses and Other Current Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Accounts Payable and Accrued Liabilities [Abstract]      
Salaries and benefits $ 24,512 $ 20,997  
Profit sharing and bonuses 19,204 26,060  
Contract liabilities 2,498 1,975  
Accrued interest 1,644 1,885  
Product warranties 163 1,933 $ 2,600
Other 8,822 13,223  
Total $ 56,843 $ 66,073  
v3.20.4
Debt (Schedule of Long-Term Debt) (Details) - USD ($)
$ in Thousands
Dec. 31, 2020
Dec. 31, 2019
Debt Instrument [Line Items]    
Unamortized discount on term loan B and debt issuance costs $ (6,715) $ (10,702)
Total debt 731,258 814,772
Current portion of long-term debt (37,500) (37,500)
Long-term debt 693,758 777,272
Loans Payable | Secured Debt | Senior secured term loan A    
Debt Instrument [Line Items]    
Long-term debt, gross 229,687 267,188
Loans Payable | Secured Debt | Senior secured term loan B    
Debt Instrument [Line Items]    
Long-term debt, gross $ 508,286 $ 558,286
v3.20.4
Debt (Senior Secured Credit Facilities) (Details) - Secured Debt - USD ($)
Jul. 13, 2020
Oct. 27, 2015
Revolving Credit Facility | New Revolving Credit Facility 2015    
Debt Instrument [Line Items]    
Maximum borrowing capacity   $ 200,000,000
Loans Payable | Senior secured term loan B    
Debt Instrument [Line Items]    
Discount percent   1.00%
Loans Payable | Senior secured term loan A    
Debt Instrument [Line Items]    
Debt amendment fee $ 400,000  
Line of credit facility, unused capacity, commitment fee percentage 0.03125%  
Variable rate basis spread 3.00  
v3.20.4
Debt (Revolving Credit Facility) (Details) - Secured Debt - USD ($)
 12 Months Ended
Oct. 27, 2015
Dec. 31, 2020
Dec. 31, 2019
Senior Secured Credit Facilities | Maximum      
Debt Instrument [Line Items]      
First lien net leverage ratio 4.25    
Swingline Loans | New Revolving Credit Facility 2015      
Debt Instrument [Line Items]      
Maximum borrowing capacity $ 15,000,000    
Standby Letters of Credit | New Revolving Credit Facility 2015      
Debt Instrument [Line Items]      
Maximum borrowing capacity 25,000,000    
Revolving Credit Facility | New Revolving Credit Facility 2015      
Debt Instrument [Line Items]      
Maximum borrowing capacity $ 200,000,000    
Amount outstanding   $ 0  
Remaining borrowing capacity   193,200,000  
Outstanding standby letters of credit   $ 6,800,000  
Revolving Credit Facility | New Revolving Credit Facility 2015 | Minimum      
Debt Instrument [Line Items]      
Unused capacity commitment fee 0.175%    
Revolving Credit Facility | New Revolving Credit Facility 2015 | Maximum      
Debt Instrument [Line Items]      
Unused capacity commitment fee 0.25% 0.25%  
Loans Payable | Maximum      
Debt Instrument [Line Items]      
First lien net leverage ratio 4.25    
Loans Payable | Senior secured term loan A      
Debt Instrument [Line Items]      
Amount outstanding   $ 229,687,000 $ 267,188,000
Loans Payable | Senior secured term loan A | Prime Rate | Minimum      
Debt Instrument [Line Items]      
Spread on variable rate 0.50%    
Loans Payable | Senior secured term loan A | Prime Rate | Maximum      
Debt Instrument [Line Items]      
Spread on variable rate 2.00%    
Loans Payable | Senior secured term loan A | London Interbank Offered Rate (LIBOR) | Minimum      
Debt Instrument [Line Items]      
Spread on variable rate 1.50%    
Loans Payable | Senior secured term loan A | London Interbank Offered Rate (LIBOR) | Maximum      
Debt Instrument [Line Items]      
Spread on variable rate 3.00%    
v3.20.4
Debt (Term Loan Facilities) (Details) - loan_facility
Oct. 27, 2015
Dec. 31, 2020
Debt Instrument [Line Items]    
Weighted average interest rate   3.16%
Secured Debt | Loans Payable    
Debt Instrument [Line Items]    
Number of additional term loan facilities that may be added (one or more) 1  
Secured Debt | Loans Payable | Maximum    
Debt Instrument [Line Items]    
First lien net leverage ratio 4.25  
Secured Debt | Loans Payable | Senior secured term loan B    
Debt Instrument [Line Items]    
Weighted average interest rate   3.50%
Secured Debt | Loans Payable | Senior secured term loan B | Prime Rate    
Debt Instrument [Line Items]    
Spread on variable rate 1.50%  
Secured Debt | Loans Payable | Senior secured term loan B | London Interbank Offered Rate (LIBOR)    
Debt Instrument [Line Items]    
Spread on variable rate 2.50%  
Interest rate floor 1.00%  
Secured Debt | Loans Payable | Senior secured term loan A    
Debt Instrument [Line Items]    
Weighted average interest rate   2.40%
Secured Debt | Loans Payable | Senior secured term loan A | Prime Rate | Maximum    
Debt Instrument [Line Items]    
Spread on variable rate 2.00%  
Secured Debt | Loans Payable | Senior secured term loan A | London Interbank Offered Rate (LIBOR) | Maximum    
Debt Instrument [Line Items]    
Spread on variable rate 3.00%  
v3.20.4
Debt (Covenants) (Details) - Secured Debt
 3 Months Ended 13 Months Ended
Jul. 13, 2020
USD ($)
Oct. 27, 2015
Oct. 01, 2021
Oct. 27, 2022
Revolving Credit Facility | New Revolving Credit Facility 2015        
Debt Instrument [Line Items]        
Maximum leverage ratio   4.75    
Adjusted EBITDA to interest expense ratio   3.00    
Loans Payable | Senior secured term loan A        
Debt Instrument [Line Items]        
Maximum leverage ratio   4.75    
Maximum leverage ratio incremental increase option 0.50      
Adjusted EBITDA to interest expense ratio   3.00    
Eligible adjustment acquisition threshold $ 40,000,000      
Forecast | Loans Payable | Senior secured term loan A        
Debt Instrument [Line Items]        
Maximum leverage ratio incremental increase option     4.50 4.00
v3.20.4
Debt (9.125% Senior Notes due 2023) (Details) - USD ($)
Jul. 10, 2018
Dec. 31, 2020
Oct. 27, 2015
Debt Instrument [Line Items]      
Weighted average interest rate   3.16%  
Senior Notes      
Debt Instrument [Line Items]      
Debt instrument, redemption price, percentage 100.00%    
Payment for make-whole premium upon redemption $ 31,300,000    
Senior Notes | Senior Notes Due November 2023      
Debt Instrument [Line Items]      
Principle amount     $ 360,000,000
Stated interest rate     9.125%
v3.20.4
Debt (Long-term Debt Maturity Schedule) (Details)
$ in Thousands
Dec. 31, 2020
USD ($)
Long-term Debt, Fiscal Year Maturity [Abstract]  
2021 $ 37,500
2022 $ 700,473
v3.20.4
Debt (Deferred Financing Fees) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Deferred Finance Costs [Roll Forward]      
Total, Beginning Balance $ 10,702    
Total, Amortization during the period (4,774) $ (7,772) $ (49,110)
Total, Ending Balance 6,715 10,702  
Revolving Credit Facility      
Deferred Finance Costs [Roll Forward]      
Debt issuance costs, Beginning Balance 1,030 1,817  
Financing costs incurred 289 302  
Write off of debt issuance costs   (150)  
Amortization during the period (428) (939)  
Debt issuance costs, Ending Balance 891 1,030 1,817
Term Loan And Senior Notes      
Deferred Finance Costs [Roll Forward]      
Debt issuance costs, Beginning Balance 8,279 12,713  
Financing costs incurred 359 919  
Write off of debt issuance costs (400) (1,913)  
Amortization during the period (2,980) (3,440)  
Debt issuance costs, Ending Balance 5,258 8,279 12,713
Total, Beginning Balance 10,702 16,466  
Total, Financing costs incurred 359 919  
Total, Write-off during the period (550) (2,395)  
Total, Amortization during the period (3,796) (4,288)  
Total, Ending Balance 6,715 10,702 16,466
Senior secured term loan B      
Deferred Finance Costs [Roll Forward]      
Unamortized discount on TLB Facility, Beginning Balance 2,423 3,753  
Unamortized discount on TLB Facility, Financing costs incurred 0 0  
Unamortized discount on TLB Facility, Write-off during the period (150) (482)  
Unamortized discount on TLB Facility, Amortization during the period (816) (848)  
Unamortized discount on TLB Facility, Ending Balance $ 1,457 $ 2,423 $ 3,753
v3.20.4
Benefit Plans (Savings Plan Narrative) (Details) - USD ($)
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Defined Contribution And Benefit Plan Disclosure [Line Items]      
Net costs recognized $ 5,000,000.0 $ 7,200,000 $ 6,800,000
Maximum      
Defined Contribution And Benefit Plan Disclosure [Line Items]      
Employer matching contribution, per dollar $ 0.50    
Employer matching contribution, percentage of employees' gross pay 6.00%    
v3.20.4
Benefit Plans (Defined Benefit Plans Narrative) (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Retirement Benefits [Abstract]      
Aggregated projected benefit obligation $ 3.7 $ 3.0  
Net periodic pension cost 0.4 $ 0.3 $ 0.3
Expected future benefit payments first five years 0.8    
Expected future benefit payments next five years $ 1.4    
v3.20.4
Stock-Based Compensation (Narratives) (Details) - USD ($)
$ / shares in Units, $ in Millions
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Restricted Stock and Restricted Stock Units      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Compensation expense tax benefit $ 1.5 $ 2.8 $ 3.8
Total unrecognized compensation cost $ 10.8    
Period for recognition 1 year 9 months 18 days    
Fair value of shares vested $ 9.9 $ 2.4 $ 9.7
Granted (in dollars per share) $ 83.94 $ 82.31 $ 52.14
Stock Options      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Grants in period (in shares) 0 0  
Closing stock price (in dollars per share) $ 81.19    
Performance Based Restricted Stock And Restricted Stock Units      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Total unrecognized compensation cost $ 4.9    
Period for recognition 1 year 8 months 12 days    
Fair value of shares vested $ 2.9 $ 6.7 $ 9.1
Granted (in dollars per share) $ 95.06 $ 101.17 $ 45.37
2011 Plan      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of shares authorized (in shares) 1,350,000    
Number of shares available for grant (in shares) 1,883    
2016 Plan      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of shares authorized (in shares) 1,450,000    
Number of shares available for grant (in shares) 482,014    
Maximum | Performance Based Restricted Stock And Restricted Stock Units      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Performance period (in years) 3 years    
v3.20.4
Stock-Based Compensation (Components of Stock-Based Compensation Expense) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]      
Total stock-based compensation expense $ 9,163 $ 9,294 $ 10,470
Cost of Sales      
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]      
Total stock-based compensation expense 1,658 1,011 849
SG&A      
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]      
Total stock-based compensation expense 6,942 7,827 9,090
RD&E      
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]      
Total stock-based compensation expense 563 269 112
OOE      
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]      
Total stock-based compensation expense 0 187 5
Discontinued operations      
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]      
Total stock-based compensation expense 0 0 414
Stock Options      
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]      
Total stock-based compensation expense 43 410 873
Restricted Stock And Unit Awards      
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]      
Total stock-based compensation expense $ 9,120 $ 8,884 $ 9,183
v3.20.4
Stock-Based Compensation (Weighted-Average Fair Value and Assumptions) (Details) - $ / shares
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Stock Options      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Weighted average fair value of options granted   $ 14.89
Expected term (in years)   4 years
Risk-free interest rate   2.21%
Expected volatility   39.00%
Expected dividend yield   0.00%
Performance Based Restricted Stock And Restricted Stock Units      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Weighted average fair value of options granted $ 107.27 $ 117.03 $ 37.46
Expected term (in years) 2 years 10 months 24 days 2 years 9 months 18 days 2 years 10 months 24 days
Risk-free interest rate 1.29% 2.46% 2.28%
Expected volatility 30.00% 40.00% 40.00%
Expected dividend yield 0.00% 0.00% 0.00%
v3.20.4
Stock-Based Compensation (Stock Option Activity) (Details)
$ / shares in Units, $ in Millions
 12 Months Ended
Dec. 31, 2020
USD ($)
$ / shares
shares
Number of Stock Options  
Beginning balance (in shares) | shares 384,013
Exercised (in shares) | shares (102,140)
Ending balance (in shares) | shares 281,873
Vested and expected to vest (in shares) | shares 281,873
Exercisable (in shares) | shares 279,323
Weighted Average Exercise Price  
Beginning balance (in dollars per share) | $ / shares $ 34.96
Exercised (in dollars per share) | $ / shares 31.95
Ending balance (in dollars per share) | $ / shares 36.05
Vested and expected to vest (in dollars per share) | $ / shares 36.05
Exercisable (in dollars per share) | $ / shares $ 35.97
Weighted Average Remaining Contractual Term and Aggregate Intrinsic Value  
Outstanding, weighted average remaining contractual term 4 years 8 months 12 days
Vested and expected to vest, weighted average remaining contractual term 4 years 8 months 12 days
Exercisable, weighted average remaining contractual term 4 years 8 months 12 days
Outstanding, aggregate intrinsic value | $ $ 12.7
Vested and expected to vest, aggregate intrinsic value | $ 12.7
Exercisable, aggregate intrinsic value | $ $ 12.6
v3.20.4
Stock-Based Compensation (Exercise of Stock Option) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Share-based Payment Arrangement [Abstract]      
Intrinsic value $ 4,773 $ 7,998 $ 17,722
Cash received $ 3,263 $ 3,242 $ 12,409
v3.20.4
Stock-Based Compensation (Restricted Stock and Restricted Stock Units) (Details)
 12 Months Ended
Dec. 31, 2020
$ / shares
shares
Restricted Stock And Restricted Stock Units Time Based  
Time-Vested and Performance-Vested Restricted Stock Units and Awards  
Beginning balance (in shares) | shares 205,223
Granted (in shares) | shares 143,122
Vested (in shares) | shares (125,501)
Forfeited (in shares) | shares (14,921)
Ending balance (in shares) | shares 207,923
Weighted Average Grant Date Fair Value  
Beginning balance (in dollars per share) | $ / shares $ 64.75
Granted (in dollars per share) | $ / shares 83.94
Vested (in dollars per share) | $ / shares 67.74
Forfeited (in dollars per share) | $ / shares 75.51
Ending balance (in dollars per share) | $ / shares $ 75.38
Performance Based Restricted Stock And Restricted Stock Units  
Time-Vested and Performance-Vested Restricted Stock Units and Awards  
Beginning balance (in shares) | shares 191,592
Granted (in shares) | shares 67,268
Vested (in shares) | shares (35,363)
Forfeited (in shares) | shares (4,106)
Ending balance (in shares) | shares 219,391
Weighted Average Grant Date Fair Value  
Beginning balance (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
Ending balance (in dollars per share) | $ / shares $ 72.33
v3.20.4
Other Operating Expenses (Schedule of Other Operating Expenses) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Operating Costs and Expenses [Abstract]      
Other Cost and Expense, Operating $ 7,621 $ 12,151 $ 16,065
Operational excellence initiatives      
Operating Costs and Expenses [Abstract]      
Other Cost and Expense, Operating 2,791 0 0
Strategic reorganization and alignment      
Operating Costs and Expenses [Abstract]      
Other Cost and Expense, Operating 686 5,812 10,624
Manufacturing alignment to support growth      
Operating Costs and Expenses [Abstract]      
Other Cost and Expense, Operating 241 2,145 3,089
Consolidation and optimization initiatives      
Operating Costs and Expenses [Abstract]      
Other Cost and Expense, Operating 0 0 844
Acquisition and integration costs (adjustments)      
Operating Costs and Expenses [Abstract]      
Other Cost and Expense, Operating (776) 377 0
Other general expenses      
Operating Costs and Expenses [Abstract]      
Other Cost and Expense, Operating $ 4,679 $ 3,817 $ 1,508
v3.20.4
Other Operating Expenses (Narrative) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Restructuring Cost and Reserve [Line Items]    
Charges incurred, net of reversals $ 3,718  
Acquisition related costs 900 $ 400
InoMec Ltd    
Restructuring Cost and Reserve [Line Items]    
Acquisition related costs 1,200  
US BioDesign LLC    
Restructuring Cost and Reserve [Line Items]    
Fair value reduction adjustment for acquisition-related contingent consideration liability 2,000  
Strategic reorganization and alignment    
Restructuring Cost and Reserve [Line Items]    
Capital investments expended 23,000  
Charges incurred, net of reversals 686  
Manufacturing alignment to support growth    
Restructuring Cost and Reserve [Line Items]    
Capital investments expended 5,800  
Charges incurred, net of reversals 241  
Operational excellence initiatives    
Restructuring Cost and Reserve [Line Items]    
Charges incurred, net of reversals $ 2,791  
v3.20.4
Other Operating Expenses (Changes in Accrued Liabilities) (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
USD ($)
Restructuring Reserve [Roll Forward]  
Restructuring Reserve, Beginning balance $ 1,985
Charges incurred, net of reversals 3,718
Cash payments (5,412)
Restructuring Reserve, Ending balance 291
Operational excellence initiatives  
Restructuring Reserve [Roll Forward]  
Restructuring Reserve, Beginning balance 0
Charges incurred, net of reversals 2,791
Cash payments (2,500)
Restructuring Reserve, Ending balance 291
Strategic reorganization and alignment  
Restructuring Reserve [Roll Forward]  
Restructuring Reserve, Beginning balance 1,985
Charges incurred, net of reversals 686
Cash payments (2,671)
Restructuring Reserve, Ending balance 0
Manufacturing alignment to support growth  
Restructuring Reserve [Roll Forward]  
Restructuring Reserve, Beginning balance 0
Charges incurred, net of reversals 241
Cash payments (241)
Restructuring Reserve, Ending balance $ 0
v3.20.4
Income Taxes (Narrative) (Details)
$ in Millions
Dec. 31, 2020
USD ($)
Income Tax Disclosure [Abstract]  
Reasonably possible reduction within next 12 months $ 3.4
Unrecognized tax benefit 5.5
Deferred payroll taxes $ 9.7
v3.20.4
Income Taxes (Income Before Income Tax Domestic And Foreign) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Income Tax Disclosure [Line Items]      
Income (loss) from continuing operations before income taxes $ 86,207 $ 105,193 $ 61,116
U.S.      
Income Tax Disclosure [Line Items]      
Income (loss) from continuing operations before income taxes 35,337 40,203 (4,273)
International      
Income Tax Disclosure [Line Items]      
Income (loss) from continuing operations before income taxes $ 50,870 $ 64,990 $ 65,389
v3.20.4
Income Taxes (Provision Benefit of Income Taxes) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Current:      
Federal $ 7,784 $ 14,090 $ 80
State 1,233 87 166
International 6,898 10,083 9,490
Total 15,915 24,260 9,736
Deferred:      
Federal (4,648) (8,813) 6,610
State (1,245) 332 103
International (1,073) (1,804) (2,366)
Total (6,966) (10,285) 4,347
Total provision for income taxes $ 8,949 $ 13,975 $ 14,083
v3.20.4
Income Taxes (Effect Tax Rate Reconciliation) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Effective Income Tax Rate Reconciliation, Amount [Abstract]      
Statutory rate $ 18,103 $ 22,091 $ 12,834
Federal tax credits (including R&D) (7,009) (4,797) (1,700)
Foreign rate differential (5,333) (5,479) (6,040)
Stock-based compensation (1,459) (2,422) (2,821)
Uncertain tax positions 1,208 (920) 147
State taxes, net of federal benefit 553 1,106 975
U.S. tax on foreign earnings, net of §250 deduction 3,216 5,201 10,473
Valuation allowance (345) (1,606) (567)
Other 15 801 782
Total provision for income taxes $ 8,949 $ 13,975 $ 14,083
Effective Income Tax Rate Reconciliation, Percent [Abstract]      
Statutory rate 21.00% 21.00% 21.00%
Federal tax credits (including R&D) (8.10%) (4.60%) (2.80%)
Foreign rate differential (6.20%) (5.20%) (9.90%)
Stock-based compensation (1.70%) (2.30%) (4.60%)
Uncertain tax positions 1.40% (0.90%) 0.20%
State taxes, net of federal benefit 0.60% 1.10% 1.60%
U.S. tax on foreign earnings, net of §250 deduction 3.70% 4.90% 17.10%
Valuation allowance (0.40%) (1.50%) (0.90%)
Other 0.10% 0.80% 1.30%
Effective tax rate 10.40% 13.30% 23.00%
v3.20.4
Income Taxes (Deferred Tax Assets and Liabilities) (Details) - USD ($)
$ in Thousands
Dec. 31, 2020
Dec. 31, 2019
Components of Deferred Tax Assets and Liabilities [Abstract]    
Tax credit carryforwards $ 13,449 $ 14,921
Inventories 14,099 11,333
Net operating loss carryforwards 10,436 8,254
Operating lease liabilities 11,969 5,544
Stock-based compensation 3,276 4,844
Accrued expenses 8,058 4,625
Gross deferred tax assets 61,287 49,521
Less valuation allowance (20,739) (22,229)
Net deferred tax assets 40,548 27,292
Property, plant and equipment (5,824) (6,017)
Intangible assets (197,048) (192,091)
Operating lease assets (11,290) (5,161)
Other (4,292) (7,563)
Gross deferred tax liabilities (218,454) (210,832)
Net deferred tax liability (177,906) (183,540)
Noncurrent deferred tax asset 4,398 4,438
Noncurrent deferred tax liability $ 182,304 $ 187,978
v3.20.4
Income Taxes (Income Tax Carry Forward) (Details)
$ in Millions
Dec. 31, 2020
USD ($)
U.S. State  
Operating Loss Carryforwards [Line Items]  
Net operating loss $ 126.7
U.S. State | State tax credits  
Operating Loss Carryforwards [Line Items]  
Tax Credit 5.7
International  
Operating Loss Carryforwards [Line Items]  
Net operating loss 6.9
U.S. Federal | Foreign tax credits  
Operating Loss Carryforwards [Line Items]  
Tax Credit 7.9
U.S. Federal and State | R&D tax credits  
Operating Loss Carryforwards [Line Items]  
Tax Credit $ 1.8
v3.20.4
Income Taxes (Unrecognized Tax Benefits) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]      
Balance, beginning of year $ 4,446 $ 5,369 $ 12,088
Additions based upon tax positions related to the current year 300 300 300
Additions (reductions) related to prior period tax returns 738 (1,223) (75)
Reductions relating to settlements with tax authorities 0 0 (98)
Reductions relating to divestiture 0 0 (6,846)
Balance, end of year $ 5,484 $ 4,446 $ 5,369
v3.20.4
Commitments and Contingencies (Narrative) (Details) - USD ($)
$ in Thousands
 1 Months Ended 3 Months Ended 12 Months Ended
Oct. 31, 2020
Dec. 31, 2020
Oct. 02, 2020
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Gain Contingencies [Line Items]            
Proceeds from legal settlements $ 28,900          
Gain on litigation settlement   $ 28,200 $ 28,200 $ 28,200    
Loss contingency damages sought $ 300          
Accrued environmental loss contingencies, current   300   300    
Expenses related to license agreements       787,735 $ 903,084 $ 852,347
Self insurance reserve   $ 5,400   5,400 4,500  
Royalty            
Gain Contingencies [Line Items]            
Expenses related to license agreements       $ 1,200 $ 1,400 $ 1,600
v3.20.4
Commitments and Contingencies (Change in Product Warranty Liability) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Movement in Standard Product Warranty Accrual [Roll Forward]    
Beginning balance $ 1,933 $ 2,600
Additions to warranty reserve, net of reversals (156) 2,605
Adjustments to pre-existing warranties (119) (1,039)
Warranty claims settled (1,495) (2,233)
Ending balance $ 163 $ 1,933
v3.20.4
Leases (Schedule of Lease Costs) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Lessor, Lease, Description [Line Items]      
Operating lease cost $ 10,425 $ 9,870  
Short-term lease cost (leases with initial term of 12 months or less) 86 57  
Variable lease cost 2,615 2,419  
Sublease income (1,495) (1,894)  
Total lease cost 11,631 10,452  
Operating leases rent expense     $ 10,800
Cost of Sales      
Lessor, Lease, Description [Line Items]      
Total lease cost 9,141 8,772  
SG&A      
Lessor, Lease, Description [Line Items]      
Total lease cost 1,803 1,107  
RD&E      
Lessor, Lease, Description [Line Items]      
Total lease cost 687 556  
OOE      
Lessor, Lease, Description [Line Items]      
Total lease cost $ 0 $ 17  
v3.20.4
Leases (Schedule of Operating Lease Liability Maturities) (Details)
$ in Thousands
Dec. 31, 2020
USD ($)
Leases [Abstract]  
2021 $ 10,627
2022 8,584
2023 7,781
2024 7,312
2025 5,667
Thereafter 15,811
Total lease payments 55,782
Less imputed interest (9,490)
Total $ 46,292
v3.20.4
Leases (Lease Term and Discount Rate) (Details)
Dec. 31, 2020
Dec. 31, 2019
Leases [Abstract]    
Weighted-average remaining lease term of operating leases (in years) 7 years 7 years 4 months 24 days
Weighted-average discount rate of operating leases 5.30% 5.50%
v3.20.4
Leases (Schedule of Operating Lease Supplemental Cash Flow Information) (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
USD ($)
facility
Dec. 31, 2019
USD ($)
Leases [Abstract]    
Cash paid for amounts included in the measurement of operating lease liabilities $ 10,385 $ 10,235
ROU assets obtained in exchange for new operating lease liabilities $ 9,059 $ 8,778
Number of facilities in which lease terms were extended | facility 5  
v3.20.4
Earnings Per Share (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 3 Months Ended 12 Months Ended
Dec. 31, 2020
Oct. 02, 2020
Jul. 03, 2020
Apr. 04, 2020
Dec. 31, 2019
Sep. 27, 2019
Jun. 28, 2019
Mar. 29, 2019
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Numerator:                      
Income from continuing operations                 $ 77,258 $ 91,218 $ 47,033
Income from discontinued operations                 0 5,118 120,931
Net income                 $ 77,258 $ 96,336 $ 167,964
Denominator for basic EPS:                      
Weighted average shares outstanding (in shares)                 32,845 32,627 32,136
Effect of dilutive securities stock options, restricted stock and restricted stock units (in shares)                 268 410 460
Denominator for diluted EPS (in shares)                 33,113 33,037 32,596
Income from continuing operations (in dollars per share)                 $ 2.35 $ 2.80 $ 1.46
Income (loss) from discontinued operations (in dollars per share)                 0 0.16 3.76
Basic earnings per share (in dollars per share) $ 0.47 $ 0.92 $ 0.01 $ 0.95 $ 0.34 $ 0.94 $ 0.87 $ 0.66 2.35 2.95 5.23
Income from continuing operations (in dollars per share)                 2.33 2.76 1.44
Income (loss) from discontinued operations (in dollars per share)                 0 0.15 3.71
Diluted earnings per share (in dollars per share) $ 0.47 $ 0.92 $ 0.01 $ 0.94 $ 0.33 $ 0.92 $ 0.85 $ 0.65 $ 2.33 $ 2.92 $ 5.15
v3.20.4
Earnings Per Share (Antidilutive Securities) (Details) - shares
shares in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Anitdilutive Securities Excluded From Earnings Per Share [Abstract]      
Tine-vested stock options, restricted stock and restricted stock units (in shares) 98 30 237
Performance-vested restricted stock units (in shares) 89 47 144
v3.20.4
Stockholders' Equity (Schedule of Changes in Number of Shares of Common Stock) (Details) - shares
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Class of Stock [Line Items]    
Shares outstanding at beginning of year (in shares) 32,847,017  
Shares outstanding at beginning of year (in shares) 32,700,471 32,473,167
Stock options exercised (in shares) 102,140 138,770
Shares outstanding at end of year (in shares) 32,908,178 32,847,017
Shares outstanding at beginning of year (in shares) 32,908,178 32,700,471
Common Stock    
Class of Stock [Line Items]    
Shares outstanding at beginning of year (in shares) 32,847,017 32,624,494
Stock options exercised (in shares) 27,544 116,904
Shares outstanding at end of year (in shares) 32,908,178 32,847,017
Treasury Stock, Common    
Class of Stock [Line Items]    
Shares outstanding at beginning of year (in shares) (146,546) (151,327)
Stock options exercised (in shares) 74,596 21,866
Shares outstanding at end of year (in shares) 0 (146,546)
Restricted Stock    
Class of Stock [Line Items]    
RSAs issued, net of forfeitures, and vesting of RSUs (in shares) 105,567 88,534
Restricted Stock | Common Stock    
Class of Stock [Line Items]    
RSAs issued, net of forfeitures, and vesting of RSUs (in shares) 33,617 105,619
Restricted Stock | Treasury Stock, Common    
Class of Stock [Line Items]    
RSAs issued, net of forfeitures, and vesting of RSUs (in shares) 71,950 (17,085)
v3.20.4
Stockholders' Equity (Schedule of Accumulated Other Comprehensive Income) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Accumulated Other Comprehensive Income [Roll Forward]    
Total stockholders’ equity, beginning balance $ 1,152,488 $ 1,060,493
Reclassification from AOCI, current period, before tax, attributable to parent (34,907)  
Reclassification from AOCI, current period, tax 0 0
Reclassification from AOCI, current period, net of tax, attributable to parent (34,907) 7,900
Total stockholders’ equity, ending balance 1,271,055 1,152,488
Pension Plan    
Accumulated Other Comprehensive Income [Roll Forward]    
Reclassification from AOCI, current period, tax (32) (81)
Reclassification from AOCI, current period, net of tax, attributable to parent (151) (536)
Foreign Exchange Contract    
Accumulated Other Comprehensive Income [Roll Forward]    
Reclassification from AOCI, current period, tax 134 (31)
Reclassification from AOCI, current period, net of tax, attributable to parent 504 (117)
Interest rate swaps    
Accumulated Other Comprehensive Income [Roll Forward]    
Reclassification from AOCI, current period, tax 724 (340)
Reclassification from AOCI, current period, net of tax, attributable to parent 2,723 (1,281)
Cash Flow Hedging    
Accumulated Other Comprehensive Income [Roll Forward]    
Reclassification from AOCI, current period, tax 1,404 846
Reclassification from AOCI, current period, net of tax, attributable to parent 5,279 3,182
Defined Benefit Plan Liability    
Accumulated Other Comprehensive Income [Roll Forward]    
Total stockholders’ equity, beginning balance (912) (295)
Total stockholders’ equity, ending balance (1,095) (912)
Defined Benefit Plan Liability | Pension Plan    
Accumulated Other Comprehensive Income [Roll Forward]    
Reclassification from AOCI, current period, before tax, attributable to parent (183) (617)
Cash Flow Hedges    
Accumulated Other Comprehensive Income [Roll Forward]    
Total stockholders’ equity, beginning balance (2,358) 3,439
Total stockholders’ equity, ending balance (4,956) (2,358)
Cash Flow Hedges | Foreign Exchange Contract    
Accumulated Other Comprehensive Income [Roll Forward]    
Reclassification from AOCI, current period, before tax, attributable to parent 638 (148)
Cash Flow Hedges | Interest rate swaps    
Accumulated Other Comprehensive Income [Roll Forward]    
Reclassification from AOCI, current period, before tax, attributable to parent 3,447 (1,621)
Cash Flow Hedges | Cash Flow Hedging    
Accumulated Other Comprehensive Income [Roll Forward]    
Reclassification from AOCI, current period, before tax, attributable to parent 6,683 4,028
Foreign Currency Translation Adjustment    
Accumulated Other Comprehensive Income [Roll Forward]    
Total stockholders’ equity, beginning balance 22,639 30,539
Reclassification from AOCI, current period, before tax, attributable to parent   7,900
Total stockholders’ equity, ending balance 57,546 22,639
Total Pre-Tax Amount    
Accumulated Other Comprehensive Income [Roll Forward]    
Total stockholders’ equity, beginning balance 19,369 33,683
Reclassification from AOCI, current period, before tax, attributable to parent (34,907) 7,900
Total stockholders’ equity, ending balance 51,495 19,369
Total Pre-Tax Amount | Pension Plan    
Accumulated Other Comprehensive Income [Roll Forward]    
Reclassification from AOCI, current period, before tax, attributable to parent (183) (617)
Total Pre-Tax Amount | Foreign Exchange Contract    
Accumulated Other Comprehensive Income [Roll Forward]    
Reclassification from AOCI, current period, before tax, attributable to parent 638 (148)
Total Pre-Tax Amount | Interest rate swaps    
Accumulated Other Comprehensive Income [Roll Forward]    
Reclassification from AOCI, current period, before tax, attributable to parent 3,447 (1,621)
Total Pre-Tax Amount | Cash Flow Hedging    
Accumulated Other Comprehensive Income [Roll Forward]    
Reclassification from AOCI, current period, before tax, attributable to parent 6,683 4,028
Tax    
Accumulated Other Comprehensive Income [Roll Forward]    
Total stockholders’ equity, beginning balance 619 (679)
Total stockholders’ equity, ending balance 1,197 619
Net-of-Tax Amount    
Accumulated Other Comprehensive Income [Roll Forward]    
Total stockholders’ equity, beginning balance 19,988 33,004
Total stockholders’ equity, ending balance $ 52,692 $ 19,988
v3.20.4
Financial Instruments and Fair Value Measurements (Assets and Liabilities Recorded at Fair Value on a Recurring Basis) (Details) - Fair Value, Recurring - USD ($)
$ in Thousands
Dec. 31, 2020
Dec. 31, 2019
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Assets: Foreign currency contracts $ 2,070 $ 710
Liabilities: Interest rate swaps 7,026 3,068
Liabilities: Contingent consideration 3,900 4,200
Quoted Prices in Active Markets (Level 1)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Assets: Foreign currency contracts 0 0
Liabilities: Interest rate swaps 0 0
Liabilities: Contingent consideration 0 0
Significant Other Observable Inputs (Level 2)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Assets: Foreign currency contracts 2,070 710
Liabilities: Interest rate swaps 7,026 3,068
Liabilities: Contingent consideration 0 0
Significant Unobservable Inputs (Level 3)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Assets: Foreign currency contracts 0 0
Liabilities: Interest rate swaps 0 0
Liabilities: Contingent consideration $ 3,900 $ 4,200
v3.20.4
Financial Instruments and Fair Value Measurements (Narratives) (Details) - USD ($)
 3 Months Ended 12 Months Ended
Dec. 31, 2020
Dec. 31, 2020
Apr. 04, 2020
Feb. 19, 2020
Dec. 31, 2019
Oct. 07, 2019
Fair Value Measurement Inputs and Valuation Techniques [Line Items]            
Gain (loss) reclassification from accumulated OCI to income, estimated net amount to be transferred   $ 1,300,000        
Contingent consideration liability, current $ 1,700,000 1,700,000        
Contingent consideration liability, noncurrent 2,200,000 2,200,000        
Asset acquisition contingent consideration     $ 1,000,000.0      
Non-marketable securities impairment 400,000          
Non-marketable securities fair value $ 2,200,000 $ 2,200,000     $ 0  
InoMec Ltd            
Fair Value Measurement Inputs and Valuation Techniques [Line Items]            
Contingent consideration       $ 1,700,000    
US BioDesign LLC            
Fair Value Measurement Inputs and Valuation Techniques [Line Items]            
Contingent consideration           $ 4,200,000
Chinese Venture Capital Fund            
Fair Value Measurement Inputs and Valuation Techniques [Line Items]            
Percentage of ownership interest 6.50% 6.50%        
v3.20.4
Financial Instruments and Fair Value Measurements (Schedule of Interest Rate Swaps) (Details) - Designated as Hedging Instrument - USD ($)
$ in Thousands
Dec. 31, 2020
Dec. 31, 2019
Other long-term liabilities    
Derivatives, Fair Value [Line Items]    
Derivative Liability, Notional Amount   $ 200,000
Derivative, Fixed Interest Rate   2.1785%
Derivative Liability, Fair Value, Gross Liability   $ (2,809)
Interest Rate Swap Maturing June 2020 | Accrued expenses and other current liabilities    
Derivatives, Fair Value [Line Items]    
Derivative Liability, Notional Amount   $ 200,000
Derivative, Fixed Interest Rate   1.1325%
Derivative, Variable Interest Rate   1.792%
Derivative Liability, Fair Value, Gross Asset   $ 543
Interest Rate Swap Maturing July 2020 | Accrued expenses and other current liabilities    
Derivatives, Fair Value [Line Items]    
Derivative Liability, Notional Amount   $ 65,000
Derivative, Fixed Interest Rate   1.89%
Derivative, Variable Interest Rate   1.792%
Derivative Liability, Fair Value, Gross Liability   $ (72)
Interest Rate Swap Maturing April 2020 | Accrued expenses and other current liabilities    
Derivatives, Fair Value [Line Items]    
Derivative Liability, Notional Amount   $ 400,000
Derivative, Fixed Interest Rate   2.415%
Derivative, Variable Interest Rate   1.7101%
Derivative Liability, Fair Value, Gross Liability   $ (730)
Interest Rate Swap Maturing June 2023 | Other long-term liabilities    
Derivatives, Fair Value [Line Items]    
Derivative Liability, Notional Amount $ 200,000  
Derivative, Fixed Interest Rate 2.1785%  
Derivative, Variable Interest Rate 0.148%  
Derivative Liability, Fair Value, Gross Liability $ (7,026)  
v3.20.4
Financial Instruments and Fair Value Measurements (Schedule of Foreign Currency Contracts) (Details) - Prepaid expenses and other current assets - Designated as Hedging Instrument
$ in Thousands
Dec. 31, 2020
USD ($)
$ / $
$ / $
$ / €
Dec. 31, 2019
USD ($)
$ / $
Foreign Exchange Contract Maturing September 2021, Contract One    
Derivatives, Fair Value [Line Items]    
Derivative asset, notional amount $ 16,132  
Derivative, Forward Exchange Rate (in dollars per Euro and dollars per Mexican Peso) | $ / € 1.1949  
Derivative asset, fair value, gross asset $ 399  
Foreign Exchange Contract Maturing September 2021, Contract Two    
Derivatives, Fair Value [Line Items]    
Derivative asset, notional amount $ 10,224  
Derivative, Forward Exchange Rate (in dollars per Euro and dollars per Mexican Peso) | $ / $ 0.0454  
Derivative asset, fair value, gross asset $ 922  
Foreign Exchange Contract Maturing March 2021    
Derivatives, Fair Value [Line Items]    
Derivative asset, notional amount $ 2,656  
Derivative, Forward Exchange Rate (in dollars per Euro and dollars per Mexican Peso) | $ / $ 0.0443  
Derivative asset, fair value, gross asset $ 341  
Foreign Exchange Contract Maturing December 2021    
Derivatives, Fair Value [Line Items]    
Derivative asset, notional amount $ 7,269  
Derivative, Forward Exchange Rate (in dollars per Euro and dollars per Mexican Peso) | $ / $ 0.0485  
Derivative asset, fair value, gross asset $ 77  
Foreign Exchange Contract Maturing August 2021    
Derivatives, Fair Value [Line Items]    
Derivative asset, notional amount $ 3,252  
Derivative, Forward Exchange Rate (in dollars per Euro and dollars per Mexican Peso) | $ / $ 0.0232  
Derivative asset, fair value, gross asset $ 165  
Foreign Exchange Contract Maturing November 2021    
Derivatives, Fair Value [Line Items]    
Derivative asset, notional amount $ 3,966  
Derivative, Forward Exchange Rate (in dollars per Euro and dollars per Mexican Peso) | $ / $ 0.0227  
Derivative asset, fair value, gross asset $ 166  
Foreign Exchange Contract Maturing June 2020    
Derivatives, Fair Value [Line Items]    
Derivative asset, notional amount   $ 11,166
Derivative, Forward Exchange Rate (in dollars per Euro and dollars per Mexican Peso) | $ / $   0.0490
Derivative asset, fair value, gross asset   $ 710
v3.20.4
Financial Instruments and Fair Value Measurements (Schedule of Derivative Instruments with Hedge Accounting Designation) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Interest expense      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Gain (Loss) Reclassified from AOCI $ (3,447) $ 1,621 $ 1,697
Interest expense | Interest rate swaps      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Gain (Loss) Recognized in OCI (7,405) (5,618) 1,589
Sales      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Gain (Loss) Reclassified from AOCI 618 (1,334) (758)
Sales | Foreign exchange contracts      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Gain (Loss) Recognized in OCI 1,017 (1,044) (1,193)
Cost of Sales      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Gain (Loss) Reclassified from AOCI (1,177) 1,482 944
Cost of Sales | Foreign exchange contracts      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Gain (Loss) Recognized in OCI (355) 2,634 1,508
Operating expenses      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Gain (Loss) Reclassified from AOCI (79) 0 0
Operating expenses | Foreign exchange contracts      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Gain (Loss) Recognized in OCI $ 60 $ 0 $ 0
v3.20.4
Financial Instruments and Fair Value Measurements (Estimated Fair Values for Contingent Consideration) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Balance at beginning of period $ 4,200 $ 0
Amount recorded for current year acquisitions 2,700 4,200
Fair value measurement adjustment (2,000)  
Payments (1,000)  
Balance at end of period $ 3,900 $ 4,200
v3.20.4
Financial Instruments and Fair Value Measurements (Contingent Consideration Measurement Inputs) (Details)
$ in Thousands
Dec. 31, 2020
USD ($)
Dec. 31, 2019
USD ($)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Maximum amount of possible contingent payouts $ 9,000 $ 5,500
Fair Value, Recurring    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Liabilities: Contingent consideration $ 3,900 $ 4,200
Fair Value, Recurring | Revenue volatility | Weighted Average    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Unobservable Inputs 0.350 0.250
Fair Value, Recurring | Discount rate | Weighted Average    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Unobservable Inputs 0.040 0.049
v3.20.4
Financial Instruments and Fair Value Measurements (Equity Method Investments) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Fair Value Disclosures [Abstract]      
Equity method investment $ 21,470 $ 16,167  
Non-marketable equity securities 5,723 6,092  
Total equity investments 27,193 22,259  
Equity method investment income (5,706) (1,100) $ (5,623)
Impairment charges 369 1,575 0
Total (gain) loss on equity investments, net $ (5,337) $ 475 $ (5,623)
v3.20.4
Segment and Geographic Information (Narrative) (Details)
 12 Months Ended
Dec. 31, 2020
Segment
Segment Reporting [Abstract]  
Number of reportable segments 2
v3.20.4
Segment and Geographic Information (Sales by Product Lines) (Details) - USD ($)
$ in Thousands
 3 Months Ended 12 Months Ended
Dec. 31, 2020
Oct. 02, 2020
Jul. 03, 2020
Apr. 04, 2020
Dec. 31, 2019
Sep. 27, 2019
Jun. 28, 2019
Mar. 29, 2019
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Segment Reporting, Revenue Reconciling Item [Line Items]                      
Sales $ 268,959 $ 235,942 $ 240,115 $ 328,426 $ 325,637 $ 303,587 $ 314,194 $ 314,676 $ 1,073,442 $ 1,258,094 $ 1,215,012
Medical                      
Segment Reporting, Revenue Reconciling Item [Line Items]                      
Sales                 1,037,978 1,199,679 1,162,036
Medical | Cardio & Vascular                      
Segment Reporting, Revenue Reconciling Item [Line Items]                      
Sales                 569,948 610,056 585,464
Medical | Cardiac & Neuromodulation                      
Segment Reporting, Revenue Reconciling Item [Line Items]                      
Sales                 346,242 457,194 443,347
Medical | Advanced Surgical, Orthopedics & Portable Medical                      
Segment Reporting, Revenue Reconciling Item [Line Items]                      
Sales                 121,788 132,429 133,225
Non-Medical                      
Segment Reporting, Revenue Reconciling Item [Line Items]                      
Sales                 $ 35,464 $ 58,415 $ 52,976
v3.20.4
Segment and Geographic Information (Sales by Geographic Information) (Details) - USD ($)
$ in Thousands
 3 Months Ended 12 Months Ended
Dec. 31, 2020
Oct. 02, 2020
Jul. 03, 2020
Apr. 04, 2020
Dec. 31, 2019
Sep. 27, 2019
Jun. 28, 2019
Mar. 29, 2019
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Segment Reporting, Revenue Reconciling Item [Line Items]                      
Total sales $ 268,959 $ 235,942 $ 240,115 $ 328,426 $ 325,637 $ 303,587 $ 314,194 $ 314,676 $ 1,073,442 $ 1,258,094 $ 1,215,012
U.S.                      
Segment Reporting, Revenue Reconciling Item [Line Items]                      
Total sales                 596,804 698,474 687,259
Puerto Rico                      
Segment Reporting, Revenue Reconciling Item [Line Items]                      
Total sales                 96,048 154,644 146,500
Costa Rica                      
Segment Reporting, Revenue Reconciling Item [Line Items]                      
Total sales                 58,853 63,634 62,044
Rest of world                      
Segment Reporting, Revenue Reconciling Item [Line Items]                      
Total sales                 $ 321,737 $ 341,342 $ 319,209
v3.20.4
Segment and Geographic Information (Significant Customers) (Details) - Customer Concentration Risk - Sales
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Revenue, Major Customer [Line Items]      
Concentration risk percentage 48.00% 50.00% 52.00%
Customer A      
Revenue, Major Customer [Line Items]      
Concentration risk percentage 18.00% 21.00% 21.00%
Customer B      
Revenue, Major Customer [Line Items]      
Concentration risk percentage 16.00% 17.00% 19.00%
Customer C      
Revenue, Major Customer [Line Items]      
Concentration risk percentage 14.00% 12.00% 12.00%
Medical | Customer A      
Revenue, Major Customer [Line Items]      
Concentration risk percentage 19.00% 22.00%  
Medical | Customer B      
Revenue, Major Customer [Line Items]      
Concentration risk percentage 17.00% 18.00%  
Medical | Customer C      
Revenue, Major Customer [Line Items]      
Concentration risk percentage 15.00% 12.00%  
Medical | All other customers      
Revenue, Major Customer [Line Items]      
Concentration risk percentage 49.00% 48.00%  
Non-Medical | Customer D      
Revenue, Major Customer [Line Items]      
Concentration risk percentage 22.00% 22.00%  
Non-Medical | Customer E      
Revenue, Major Customer [Line Items]      
Concentration risk percentage 10.00%    
Non-Medical | All other customers      
Revenue, Major Customer [Line Items]      
Concentration risk percentage 68.00% 78.00%  
v3.20.4
Segment and Geographic Information (Schedule of Revenue by Ship To Location) (Details) - Sales - Geographic Concentration Risk
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
U.S. | Medical    
Segment Reporting Information [Line Items]    
Concentration risk percentage 55.00% 55.00%
U.S. | Non-Medical    
Segment Reporting Information [Line Items]    
Concentration risk percentage 60.00% 58.00%
PUERTO RICO | Medical    
Segment Reporting Information [Line Items]    
Concentration risk percentage   13.00%
CANADA | Non-Medical    
Segment Reporting Information [Line Items]    
Concentration risk percentage   13.00%
Rest of world | Medical    
Segment Reporting Information [Line Items]    
Concentration risk percentage 45.00% 32.00%
Rest of world | Non-Medical    
Segment Reporting Information [Line Items]    
Concentration risk percentage 40.00% 29.00%
v3.20.4
Segment and Geographic Information (Reconciliation of Segment Information) (Details 1) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Segment Reporting Information [Line Items]      
Operating income as reported $ 120,612 $ 157,635 $ 155,555
Unallocated other income (expense), net (34,405) (52,442) (94,439)
Income from continuing operations before taxes 86,207 105,193 61,116
Total depreciation and amortization 79,324 77,895 81,538
Total assets 2,371,857 2,353,093  
Expenditures for tangible long-lived assets, excluding acquisitions 46,832 48,198 41,298
Operating Segments      
Segment Reporting Information [Line Items]      
Operating income as reported 174,244 240,162 239,590
Total depreciation and amortization 73,334 69,906 73,286
Total assets 2,265,171 2,284,565  
Expenditures for tangible long-lived assets, excluding acquisitions 43,473 44,423 35,188
Operating Segments | Medical      
Segment Reporting Information [Line Items]      
Operating income as reported 169,396 223,873 224,893
Total depreciation and amortization 72,338 68,867 71,922
Total assets 2,212,489 2,233,534  
Expenditures for tangible long-lived assets, excluding acquisitions 42,435 44,026 34,615
Operating Segments | Non-Medical      
Segment Reporting Information [Line Items]      
Operating income as reported 4,848 16,289 14,697
Total depreciation and amortization 996 1,039 1,364
Total assets 52,682 51,031  
Expenditures for tangible long-lived assets, excluding acquisitions 1,038 397 573
Unallocated Amount to Segment      
Segment Reporting Information [Line Items]      
Operating income as reported (53,632) (82,527) (84,035)
Total depreciation and amortization 5,990 7,989 8,252
Total assets 106,686 68,528  
Expenditures for tangible long-lived assets, excluding acquisitions $ 3,359 $ 3,775 $ 6,110
v3.20.4
Segment and Geographic Information (Long lived Tangible Assets by Region) (Details) - USD ($)
$ in Thousands
Dec. 31, 2020
Dec. 31, 2019
Segment Reporting, Asset Reconciling Item [Line Items]    
Long-lived tangible assets $ 253,964 $ 246,185
U.S.    
Segment Reporting, Asset Reconciling Item [Line Items]    
Long-lived tangible assets 170,871 163,350
Mexico    
Segment Reporting, Asset Reconciling Item [Line Items]    
Long-lived tangible assets 32,723 36,238
Ireland    
Segment Reporting, Asset Reconciling Item [Line Items]    
Long-lived tangible assets 38,526 33,126
Rest of world    
Segment Reporting, Asset Reconciling Item [Line Items]    
Long-lived tangible assets $ 11,844 $ 13,471
v3.20.4
Revenue From Contracts With Customers (Disaggregated Revenue) (Details)
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Disaggregation of Revenue [Line Items]      
Percent of revenue from contract with customer compared to total revenue 29.00% 12.00%  
Sales | Customer Concentration Risk      
Disaggregation of Revenue [Line Items]      
Concentration risk percentage 48.00% 50.00% 52.00%
Sales | Customer Concentration Risk | Customer A      
Disaggregation of Revenue [Line Items]      
Concentration risk percentage 18.00% 21.00% 21.00%
Sales | Customer Concentration Risk | Customer B      
Disaggregation of Revenue [Line Items]      
Concentration risk percentage 16.00% 17.00% 19.00%
Sales | Customer Concentration Risk | Customer C      
Disaggregation of Revenue [Line Items]      
Concentration risk percentage 14.00% 12.00% 12.00%
Accounts Receivable | Customer Concentration Risk      
Disaggregation of Revenue [Line Items]      
Concentration risk percentage 47.00% 52.00%  
Accounts Receivable | Customer Concentration Risk | Customer A      
Disaggregation of Revenue [Line Items]      
Concentration risk percentage 15.00% 13.00%  
Accounts Receivable | Customer Concentration Risk | Customer B      
Disaggregation of Revenue [Line Items]      
Concentration risk percentage 19.00% 19.00%  
Accounts Receivable | Customer Concentration Risk | Customer C      
Disaggregation of Revenue [Line Items]      
Concentration risk percentage 13.00% 20.00%  
v3.20.4
Revenue From Contracts With Customers (Contract Balances) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Revenue from Contract with Customer [Abstract]      
Contract assets $ 40,218 $ 24,767  
Contract liabilities 2,498 1,975  
Increase in contract assets 15,451 24,767 $ 0
Contract with customer, liability, revenue recognized $ 1,300 $ 1,400  
v3.20.4
Quarterly Sales and Earnings Data - Unaudited (Details) - USD ($)
$ / shares in Units, $ in Thousands
 3 Months Ended 12 Months Ended
Dec. 31, 2020
Oct. 02, 2020
Jul. 03, 2020
Apr. 04, 2020
Dec. 31, 2019
Sep. 27, 2019
Jun. 28, 2019
Mar. 29, 2019
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
Effect of Fourth Quarter Events [Line Items]                      
Sales $ 268,959 $ 235,942 $ 240,115 $ 328,426 $ 325,637 $ 303,587 $ 314,194 $ 314,676 $ 1,073,442 $ 1,258,094 $ 1,215,012
Gross Profit 73,209 57,933 57,863 96,702 76,030 93,386 96,984 88,610 285,707 355,010 362,665
Net income $ 15,427 $ 30,342 $ 389 $ 31,100 $ 11,044 $ 30,586 $ 28,222 $ 21,366 $ 77,258 $ 91,218 $ 47,033
Basic (in dollars per share) $ 0.47 $ 0.92 $ 0.01 $ 0.95 $ 0.34 $ 0.94 $ 0.87 $ 0.66 $ 2.35 $ 2.95 $ 5.23
Diluted earnings per share (in dollars per share) $ 0.47 $ 0.92 $ 0.01 $ 0.94 $ 0.33 $ 0.92 $ 0.85 $ 0.65 $ 2.33 $ 2.92 $ 5.15
Gain on litigation settlement $ 28,200 $ 28,200             $ 28,200    
Litigation settlement impact on basic and diluted earnings per share (in dollars per share)   $ 0.67                  
Costs associated with customer filing bankruptcy 24,000                    
Cost of Sales                      
Effect of Fourth Quarter Events [Line Items]                      
Costs associated with customer filing bankruptcy 21,000                    
Operating expenses                      
Effect of Fourth Quarter Events [Line Items]                      
Costs associated with customer filing bankruptcy $ 3,000                    
v3.20.4
Schedule II - Valuation and Qualifying Accounts (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Dec. 28, 2018
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]      
SEC Schedule, 12-09, valuation allowances and reserves, additions, charge to cost and expense, customer bankruptcy   $ 2,300  
Provision for credit losses      
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]      
Balance at Beginning of Period $ 2,443 592 $ 536
Charged to Costs & Expenses 28 1,884 169
Charged to Other Accounts- Describe 0 2 (2)
Deductions (2,316) (35) (111)
Balance at End of Period 155 2,443 592
Valuation allowance for deferred tax assets      
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]      
Balance at Beginning of Period 22,229 34,339 36,480
Charged to Costs & Expenses (275) 736 0
Charged to Other Accounts- Describe 0 0 (170)
Deductions (1,215) (12,846) (1,971)
Balance at End of Period $ 20,739 $ 22,229 $ 34,339
v3.20.4
Label Element Value
Accounting Standards Update [Extensible List] us-gaap_AccountingStandardsUpdateExtensibleList us-gaap:AccountingStandardsUpdate201802Member