3 unchanged sentences
Three Months Ended
−Removed: March 30, 2024
−Removed: April 1, 2023
+Added: Six Months Ended
+Added: June 29, 2024
+Added: June 29, 2024
+Added: $ 141,080,976
+Added: $ 140,833,158
Cost of products sold
1 unchanged sentence
( 53,189,948 )
+Added: ( 106,674,324 )
+Added: ( 110,187,615 )
Product development expense
1 unchanged sentence
( 1,431,110 )
+Added: ( 2,661,284 )
+Added: ( 2,832,309 )
Selling and administrative expenses
1 unchanged sentence
( 11,289,037 )
+Added: ( 23,035,906 )
+Added: ( 23,226,674 )
Operating profit
Interest expense
−Removed: Other income (expense)
+Added: ( 1,674,969 )
+Added: ( 1,507,110 )
+Added: Other (expense) income
Income before income taxes
Income tax expense
+Added: ( 1,014,245 )
+Added: ( 1,569,336 )
Earnings per share:
4 unchanged sentences
Three Months Ended
−Removed: March 30, 2024
−Removed: April 1, 2023
+Added: Six Months Ended
+Added: June 29, 2024
+Added: June 29, 2024
Other comprehensive income:
Change in foreign currency translation
−Removed: Change in fair value of foreign currency swap, net of tax cost (benefit) of:
+Added: Change in fair value of foreign currency swap, net of tax benefit of:
+Added: 2024 - $(109,797) and $(17,103) respectively
+Added: Change in fair value of interest rate swap, net of tax benefit of:
+Added: 2023 - $(274,957) and $(362,648) respectively
( 1,172,067 )
1 unchanged sentence
Change in pension and postretirement benefit costs, net of taxes of:
+Added: 2024 - $71,355 and $142,710 respectively;
+Added: 2023 - $74,359 and $148,719 respectively
+Added: Total other comprehensive loss
( 1,350,439 )
( 1,038,873 )
−Removed: Total other comprehensive income
Comprehensive income
2 unchanged sentences
CONDENSED CONSOLIDATED BALANCE SHEETS
−Removed: March 30, 2024
−Removed: December 30, 2023
Current Assets
16 unchanged sentences
Right of Use Assets
+Added: Other Long-Term Assets
Total Other Assets
4 unchanged sentences
CONDENSED CONSOLIDATED BALANCE SHEETS
−Removed: March 30, 2024
−Removed: December 30, 2023
LIABILITIES AND SHAREHOLDERS’ EQUITY
6 unchanged sentences
Current portion of long-term debt
+Added: Other current liabilities
Total Current Liabilities
25 unchanged sentences
( 1,495,677 )
−Removed: Unrealized gain on foreign currency swap, net of tax
+Added: Unrealized loss on foreign currency swap, net of tax
Unrecognized net pension and postretirement benefit costs, net of tax
11 unchanged sentences
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
−Removed: Three Months Ended
−Removed: March 30, 2024
−Removed: April 1, 2023
+Added: Six Months Ended
+Added: June 29, 2024
Operating Activities
5 unchanged sentences
Provision for doubtful accounts
−Removed: Stock compensation expense (benefit)
+Added: Stock compensation expense
Changes in operating assets and liabilities:
1 unchanged sentence
( 5,266,258 )
−Removed: ( 1,585,976 )
Prepaid expenses and other
Accounts payable
−Removed: ( 1,031,704 )
Accrued compensation
+Added: Operating lease liability
( 1,553,455 )
( 4,395,424 )
−Removed: Change in operating lease liability
Other accrued expenses
3 unchanged sentences
Marketable securities
+Added: Business acquisition
Payments received from notes receivable
3 unchanged sentences
( 1,978,784 )
−Removed: Net cash (used in) provided by investing activities
+Added: Net cash used in investing activities
( 3,346,000 )
Financing Activities
−Removed: Payments on short term borrowings (revolver)
+Added: Proceeds from new long-term debt financing
Principal payments on long-term debt
( 1,505,952 )
+Added: ( 69,248,743 )
+Added: Payments on short term borrowings (revolver)
Financing leases, net
1 unchanged sentence
Dividends paid
+Added: ( 1,368,924 )
+Added: ( 1,369,941 )
Net cash used in financing activities
9 unchanged sentences
Lease liability
+Added: ( 5,355,510 )
See accompanying notes
1 unchanged sentence
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)
−Removed: March 30, 2024
+Added: June 29, 2024
Note A – Basis of Presentation
7 unchanged sentences
The Company’s fiscal year is a 52-53-week fiscal year ending on the Saturday nearest to December 31.
−Removed: References to 2023, the 2023 fiscal year or fiscal 2023 mean the 52-week period ended on December 30, 2023, and references to 2024, the 2024 fiscal year or fiscal 2024 mean the 52-week period ending on December 28, 2024.
+Added: References in this Quarterly Report on Form 10-Q for the quarterly period ended June 29, 2024 (this “Form 10-Q”) to 2023, the 2023 fiscal year or fiscal 2023 mean the 52-week period ended on December 30, 2023, and references to 2024, the 2024 fiscal year or fiscal 2024 mean the 52-week period ending on December 28, 2024.
In a 52-week fiscal year, each quarter has 13 weeks.
−Removed: References to the first quarter of 2023, the first fiscal quarter of 2023, the first quarter of fiscal 2023 or the three months ended April 1, 2023, mean the period from January 1, 2023 to April 1, 2023.
−Removed: References to the first quarter of 2024, the first fiscal quarter of 2024, the first fiscal quarter of 2024 or the three months ended March 30, 2024, mean the 13-week period from December 31, 2023 to March 30, 2024.
+Added: References to the second quarter of 2023, the second fiscal quarter of 2023 or the three months ended July 1, 2023, mean the 13-week period from April 2, 2023 to July 1, 2023.
+Added: References to the second quarter of 2024, the second fiscal quarter of 2024 or the three months ended June 29, 2024, mean the 13-week period from March 31, 2023 to June 29, 2024.
+Added: References to the first six months of 2023 or the six months ended July 1, 2023 mean the period from January 1, 2023 to July 1, 2023.
+Added: References to the first six months of 2024 or the six months ended June 29, 2024 mean the period from December 31, 2023 to June 29, 2024.
Certain amounts in the 2023 financial statements have been reclassified to conform with the 2024 presentation with no impact or change to previously reported net income or shareholders’ equity.
2 unchanged sentences
Three Months Ended
−Removed: March 30, 2024
−Removed: April 1, 2023
+Added: Six Months Ended
+Added: June 29, 2024
+Added: June 29, 2024
Weighted average shares outstanding
10 unchanged sentences
Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable.
−Removed: The Company’s financial instruments are primarily investments in marketable securities (Level 1) and pension assets, see Note L, Retirement Benefit Plans .
−Removed: The carrying amounts of other financial instruments (cash and cash equivalents, marketable securities, accounts receivable, accounts payable and debt) as of March 30, 2024 and December 30, 2023, approximate fair value because of their short-term nature and market-based interest rates.
+Added: The Company’s financial instruments are primarily investments in marketable securities (Level 1), designated foreign currency hedge contracts – see Note O, Financial Instruments and Fair Value Measurements , and pension assets, see Note L, Retirement Benefit Plans .
+Added: The carrying amounts of other financial instruments (cash and cash equivalents, marketable securities, accounts receivable, accounts payable and debt) as of June 29, 2024 and December 30, 2023, approximate fair value because of their short-term nature and market-based interest rates.
Note D – Inventories
Inventories consist of the following components:
−Removed: March 30, 2024
−Removed: December 30, 2023
Raw material and component parts
3 unchanged sentences
Note E - Goodwill
−Removed: The aggregate carrying amount of goodwill is approximately $ 70.7 million as of March 30, 2024.
−Removed: No impairment was recognized in the first quarter of 2024.
+Added: The aggregate carrying amount of goodwill is approximately $ 70.7 million as of June 29, 2024.
+Added: No impairment was recognized in the second quarter of 2024.
The Company evaluates its reporting units for impairment annually in December, or more frequently if events or circumstances indicate it is more likely than not that the fair value of a reporting unit is less than its carrying amount.
17 unchanged sentences
All options to extend, when it is reasonably certain the option will be exercised, have been included in the calculation of the ROU asset and lease liability.
−Removed: Currently, the Company has twenty-two operating leases with a lease liability of $ 16.5 million and two finance leases with a lease liability of $ 0.9 million as of March 30, 2024.
+Added: Currently, the Company has nineteen operating leases with a lease liability of $ 15.7 million and two finance leases with a lease liability of $ 0.8 million as of June 29, 2024.
The terms and conditions of the leases are determined by the individual agreements.
2 unchanged sentences
There are no leases that have not yet commenced that could create significant rights and obligations for the Company.
−Removed: The future payments (in millions) due under non-cancelable operating and finance leases as of March 30, 2024 are as follows:
−Removed: 2027 and thereafter
+Added: The future payments (in millions) due under non-cancelable operating and finance leases as of June 29, 2024 are as follows:
Less effects of discounting
Lease liabilities recognized
−Removed: As of March 30, 2024, the weighted average lease term for all operating and finance leases is 7.0 and 5.8 years, respectively.
+Added: As of June 29, 2024, the weighted average lease term for all operating and finance leases is 7 .0 and 5.6 years, respectively.
The weighted average discount rate associated with operating and finance leases was 6.4 % and 6.3 %, respectively.
5 unchanged sentences
Amounts outstanding under the revolving portion of the credit facility are generally due and payable on the expiration date of the Credit Agreement (June 16, 2028).
−Removed: The Company can elect to prepay some or all the outstanding balance from time to time without penalty.
+Added: The Company can elect to prepay some or all of the outstanding balance from time to time without penalty.
A commitment fee is payable on the unused portion of the revolving credit facility based on the Company’s consolidated ratio of net debt to adjusted EBITDA from time to time.
Currently, the commitment fee is 0.30 %.
−Removed: The Company has no borrowings outstanding under the revolving commitment portion of the credit facility as of March 30, 2024.
+Added: The Company has no borrowings outstanding under the revolving commitment portion of the credit facility as of June 29, 2024.
The term loan bears interest at a variable rate based on the Term Secured Overnight Financing Rate (“SOFR”), plus an adjustment of ten basis points, plus an applicable margin of 1.875 % to 2.625 %, depending on the Company’s senior net leverage ratio.
−Removed: Borrowings under the revolving portion bear interest at a variable rate based on, at the Company’s election, a base rate plus an applicable margin of 0.87 5% to 1.62 5% or term SOFR, plus an adjustment of ten basis points, plus an applicable margin of 1.875% to 2.625%, with such margins determined based on the Company’s senior net leverage ratio.
+Added: Borrowings under the revolving portion bear interest at a variable rate based on, at the Company’s election, a base rate plus an applicable margin of 0.875 % to 1.625 % or SOFR, plus an adjustment of ten basis points, plus an applicable margin of 1.875% to 2.625%, with such margins determined based on the Company’s senior net leverage ratio.
The Company’s obligations under the Credit Agreement are secured by a lien on certain of the Company’s and its subsidiaries’ assets pursuant to a Pledge and Security Agreement, dated as of June 16, 2023, with TD Bank N.A., as administrative agent.
1 unchanged sentence
In addition, the Company is required to maintain a fixed charge coverage ratio to be not less than 1.25 to 1.
−Removed: The Company was in compliance with all its covenants under the Credit Agreement on March 30, 2024, and through the date of filing this Form 10-Q.
+Added: The Company was in compliance with all its covenants under the Credit Agreement on June 29, 2024, and through the date of filing this Form 10-Q.
Note H - Stock Options and Awards
5 unchanged sentences
Under the 2020 Plan, non-qualified stock options granted to participants will have exercise prices determined by the Compensation Committee of the Board.
−Removed: The Company did not grant any stock awards during the first three months of fiscal 2024 and fiscal 2023.
−Removed: For the first three months of fiscal years 2024 and 2023, the Company used fair market value to determine the associated expense with stock awards.
+Added: During the first six months of fiscal 2024 and 2023, the Company granted stock awards with respect to 92,016 and 64,500 shares of Company common stock, respectively, that were subject to the meeting of performance measurements or time based.
+Added: For the first six months of fiscal years 2024 and 2023, the Company used fair market value to determine the associated expense with stock awards.
The 2020 Plan also permits the issuance of Stock Appreciation Rights (“SARs”).
The SARs are in the form of an option with a cashless exercise price equal to the difference between the fair value of the Company’s common stock at the date of grant and the fair value as of the exercise date resulting in the issuance of the Company’s common stock.
−Removed: The Company did not issue any SARs during the first three months of fiscal 2024 and 2023.
−Removed: Stock-based compensation expense (income), including forfeitures, in connection with SARs and stock awards previously granted to employees was approximately $ 434,000 and $( 184,000 ) in the first quarter of 2024 and the first quarter of 2023, respectively.
−Removed: As of March 30, 2024, there were 879,924 shares of Company common stock reserved and available for future grant under the 2020 Plan.
+Added: The Company did not issue any SARs during the first six months of fiscal 2024 and 2023.
+Added: Stock-based compensation (income) expense, including forfeitures, in connection with SARs and stock awards previously granted to employees was approximately $( 20,000 ) and $ 21,000 in the second quarter of 2024 and the second quarter of 2023, respectively, and was approximately $ 414,000 and $( 163,000 ) in the first six months of fiscal years 2024 and 2023, respectively.
+Added: As of June 29, 2024, there were 792,819 shares of Company common stock reserved and available for future grant under the 2020 Plan.
The following tables set forth the outstanding SARs for the period specified:
−Removed: Three Months Ended
−Removed: March 30, 2024
+Added: Six Months Ended
+Added: June 29, 2024
December 30, 2023
+Added: Weighted Average
+Added: Exercise Price
+Added: Weighted Average
+Added: Exercise Price
Outstanding at beginning of period
2 unchanged sentences
Range of Exercise Prices
−Removed: Outstanding as
+Added: Outstanding as of June 29, 2024
+Added: Weighted Average Remaining Contractual Life
Weighted Average Exercise Price
+Added: Exercisable as of June 29, 2024
+Added: Weighted Average Remaining Contractual Life
+Added: Weighted Average Exercise Price
The following tables set forth the outstanding stock awards for the period specified:
−Removed: Three Months Ended
+Added: Six Months Ended
+Added: June 29, 2024
+Added: December 30, 2023
Outstanding at beginning of period
Outstanding at end of period
−Removed: As of March 30, 2024, outstanding SARs and stock awards had an intrinsic value of $ 2,245,274 .
+Added: As of June 29, 2024, outstanding SARs and stock awards had an intrinsic value of $ 3,750,304 .
Note I – Share Repurchase Program
−Removed: On August 21, 2023, the Company announced that the Board of Directors of the Company had approved a new share repurchase program authorizing the Company to repurchase up to 200,000 shares of the Company’s common stock through August 20, 2028.
+Added: On August 21, 2023, the Company announced that the Board had approved a new share repurchase program authorizing the Company to repurchase up to 200,000 shares of the Company’s common stock through August 20, 2028.
The Company’s share repurchase program does not obligate it to acquire the Company’s common stock at any specific cost per share.
Under this program, shares may be repurchased in privately negotiated and/or open market transactions, including under plans complying with Rule 10b5-1 under the Securities Exchange Act of 1934, as amended.
−Removed: Below is a summary of the Company’s shares repurchased during the first quarter of 2024 under the new share repurchase program.
−Removed: Balance as of December 30, 2023
−Removed: December 31, 2024 – March 30, 2024
+Added: Below is a summary of the Company’s shares repurchased during the second quarter of 2024 under the share repurchase program.
+Added: Total Number of Shares Purchased
+Added: Average Price Paid Per Share
+Added: Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs
+Added: Maximum Number of Shares that may yet be Purchased Under the Plans
Balance as of March 30, 2024
+Added: March 31, 2024 – June 29, 2024
+Added: Balance as of June 29, 2024
Note J – Revenue Recognition
10 unchanged sentences
The Company files income tax returns in the U.S.
−Removed: federal jurisdiction, and in various states and foreign jurisdictions.
+Added: at the federal and state levels, and in foreign jurisdictions.
With limited exceptions, the Company is no longer subject to U.S.
1 unchanged sentence
income tax examinations by foreign tax authorities for years prior to 2017.
−Removed: The total amount of unrecognized tax benefits could increase or decrease within the next 12 months for several reasons, including the closure of federal, state, and foreign tax years by expiration of the statute of limitations and the recognition and measurement considerations under FASB ASC Topic 740, “Income Taxes.” There have been no significant changes to the value of unrecognized tax benefits during the three months ended March 30, 2024.
+Added: The total amount of unrecognized tax benefits could increase or decrease within the next 12 months for several reasons, including the closure of federal, state, and foreign tax years by expiration of the statute of limitations and the recognition and measurement considerations under FASB ASC Topic 740, “Income Taxes.” There have been no significant changes to the value of unrecognized tax benefits during the six months ended June 29, 2024.
The Company believes that it is reasonably possible that the total amount of unrecognized tax benefits will not increase or decrease significantly over the next twelve months.
5 unchanged sentences
The Company also provides health care and life insurance for retired salaried employees in the United States who meet specific eligibility requirements.
−Removed: Significant disclosures relating to these benefit plans for the first quarter of fiscal years 2024 and 2023 are as follows:
+Added: Significant disclosures relating to these benefit plans for the first three months and first six months 2024 and 2023 are as follows:
Pension Benefits
Three Months Ended
−Removed: March 30, 2024
−Removed: April 1, 2023
+Added: Six Months Ended
+Added: June 29, 2024
+Added: June 29, 2024
Interest cost
2 unchanged sentences
( 1,049,014 )
+Added: ( 2,198,069 )
+Added: ( 2,098,030 )
+Added: Amortization of prior service cost
Amortization of the net loss
−Removed: Net periodic benefit cost
+Added: Net periodic benefit cost (benefit)
Other Postretirement Benefits
Three Months Ended
−Removed: March 30, 2024
−Removed: April 1, 2023
+Added: Six Months Ended
+Added: June 29, 2024
+Added: June 29, 2024
Interest cost
2 unchanged sentences
Amortization of the net loss
−Removed: Net periodic benefit (gain) cost
+Added: Net periodic benefit cost
The Company’s funding policy with respect to its qualified plans is to contribute at least the minimum amount required by applicable laws and regulations.
In fiscal year 2024, the Company expects to make cash contributions to its qualified pension plans of approximately $ 2,100,000 and approximately $ 50,000 into its other postretirement plan.
−Removed: As of March 30, 2024, the Company has contributed $ 450,000 to its pension plans and $ 7,000 to its postretirement plan and expects to make the remaining contributions as required during the remainder of the fiscal year.
+Added: As of June 29, 2024, the Company has contributed $ 979,000 to its pension plans and $ 14,000 to its postretirement plan in fiscal year 2024 and expects to make the remaining contributions as required during the remainder of the fiscal year.
The Company has a contributory savings plan under Section 401(k) of the Internal Revenue Code (the “401(k) Plan”) covering substantially all U.S.
4 unchanged sentences
Three Months Ended
−Removed: March 30, 2024
−Removed: April 1, 2023
+Added: Six Months Ended
+Added: June 29, 2024
+Added: June 29, 2024
Regular matching contribution
2 unchanged sentences
Total contributions for the period
−Removed: The non-discretionary contribution of $ 328,953 made in the three months ended April 1, 2023, was accrued for, and expensed in the prior fiscal year.
+Added: The non-discretionary contribution of $ 328,953 made in the six months ended July 1, 2023, was accrued for, and expensed in the prior fiscal year.
Effective January 1, 2023, the non-discretionary contributions are being contributed on a weekly basis.
Note M - Recent Accounting Pronouncements
−Removed: In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No.
+Added: In November 2023, the FASB issued ASU No.
2023-07, Segment Reporting (Topic 280):
12 unchanged sentences
The Company has established credit limits for customers and monitors their balances to mitigate the risk of loss.
−Removed: As of March 30, 2024, there was one significant concentration of credit risk with a customer, who had receivables representing 12% of our net accounts receivable.
−Removed: One single customer represented 12 % of the Company’s net accounts receivable as of December 30, 2023.
+Added: As of June 29, 2024, there was one significant concentration of credit risk with a customer, who had receivables representing 13 % of our net accounts receivable.
+Added: This same customer represented 12 % of the Company’s net accounts receivable as of December 30, 2023.
The maximum exposure to credit risk is primarily represented by the carrying amount of the Company’s accounts receivable.
1 unchanged sentence
Interest Rate Risk
−Removed: The Company’s exposure to the risk of changes in market interest rates relates primarily to the Company’s debt, which bears interest at variable rates based on term SOFR, plus an adjustment of ten basis points, plus an applicable margin of 1.87 5% to 2.62 5%, depending on the Company’s senior net leverage ratio.
−Removed: Currency Exchange Rate Risk
−Removed: The Company’s currency exposure is concentrated in the Canadian dollar, Mexican peso, New Taiwan dollar, Chinese RMB, and Hong Kong dollar.
−Removed: Because of the Company’s limited exposure to any single foreign market, any exchange gains or losses have not been material and are not expected to be material in the future.
−Removed: As a result, the Company does not attempt to mitigate its foreign currency exposure through the acquisition of any speculative or leveraged financial instruments.
−Removed: Note O – Business Acquisition
+Added: The Company’s exposure to the risk of changes in market interest rates relates primarily to the Company’s debt under the credit agreement, which bears interest at variable rates based on term SOFR, plus an adjustment of ten basis points, plus an applicable margin of 1.875 % to 2.625 %, depending on the Company’s senior net leverage ratio.
+Added: Note O – Financial Instruments and Fair Value Measurements
+Added: The Company incurs certain manufacturing, marketing, and selling costs in international markets in local currency.
+Added: Accordingly, earnings and cash flows are exposed to market risk from changes in foreign currency exchange rates relative to the U.S.
+Added: dollar, the Company’s reporting currency.
+Added: The Company has a program in place that is designed to mitigate the exposure to changes in foreign currency exchange rates.
+Added: The program includes the use of derivative financial instruments to minimize, for a period of time, the impact on its financial results from changes in foreign exchange rates.
+Added: The Company utilizes foreign currency forward contracts to hedge the anticipated cash flows from transactions denominated in foreign currencies, namely Mexican pesos.
+Added: This does not eliminate the impact of the volatility of foreign exchange rates.
+Added: However, because the Company generally enters into forward contracts twelve to eighteen months out, rates are fixed for a twelve-to-eighteen-month period, thereby facilitating financial planning and resource allocation.
+Added: Designated Foreign Currency Hedge Contracts
+Added: All of the Company’s designated foreign currency hedge contracts as of June 29, 2024 were cash flow hedges under ASC 815, “Derivatives and Hedging” (“ASC 815”).
+Added: The Company records the effective portion of any change in the fair value of designated foreign currency hedge contracts in other comprehensive income until the related third-party transaction occurs.
+Added: Once the related third-party transaction occurs, the Company reclassifies the effective portion of any related gain or loss on the designated foreign currency hedge contracts to earnings.
+Added: In the event the hedged forecasted transaction does not occur, or it becomes probable that it will not occur, the Company will reclassify the amount of any gain or loss on the related cash flow hedge to earnings at that time.
+Added: The Company had designated foreign currency hedge contracts outstanding in the contract amount of $ 14.4 million as of June 29, 2024 and $ 0.0 million as of December 30, 2023.
+Added: As of June 29, 2024 a loss of $ 0.1 million, net of tax, will be reclassified to earnings within the next eighteen months.
+Added: All currency cash flow hedges outstanding as of June 29, 2024 mature within eighteen months.
+Added: Fair Value of Derivative Instruments
+Added: The following table presents the effect of the Company’s derivative instruments designated as cash flow hedges under ASC 815 in its unaudited Condensed Consolidated Statements of Operations for the six months ended June 29, 2024:
+Added: Derivative Instruments
+Added: Amount of Loss Recognized in Accumulated Other Comprehensive Income
+Added: Amount of Gain Reclassified from Accumulated Other Comprehensive Income
+Added: into Earnings
+Added: Location in Condensed Consolidated Statement of Operations
+Added: Designated foreign currency hedge contracts, net of tax
+Added: Cost of products sold
+Added: ASC 815 requires all derivative instruments to be recognized at their fair values as either assets or liabilities on the balance sheet.
+Added: The Company determines the fair value of its derivative instruments using the framework prescribed by ASC 820, “Fair Value Measurements and Disclosures”, by considering the estimated amount it would receive or pay to sell or transfer these instruments at the reporting date.
+Added: Generally, the Company uses inputs that include quoted prices for similar assets or liabilities in active markets;
+Added: quoted prices for identical or similar assets or liabilities in markets that are not active;
+Added: other observable inputs for the asset or liability;
+Added: and inputs derived principally from, or corroborated by, observable market data by correlation or other means.
+Added: As of June 29, 2024, the Company has classified its derivative assets and liabilities within Level 2 of the fair value hierarchy prescribed by ASC 815, as discussed below, because these observable inputs are available for substantially the full term of its derivative instruments.
+Added: The following tables present the fair value of the Company’s derivative instruments as they appear in its Condensed Consolidated Balance Sheets as of June 29, 2024 and December 30, 2023:
+Added: Location in Condensed Consolidated Balance Sheets
+Added: As of June 29,
+Added: As of December 30,
+Added: Derivative Assets:
+Added: Designated foreign currency hedge contracts
+Added: Other long-term assets
+Added: Derivative Liabilities:
+Added: Designated foreign currency hedge contracts
+Added: Other current liabilities
+Added: Note P – Business Acquisition
On June 29, 2023, the Company acquired certain assets, including accounts receivable, inventories, furniture, fixtures and equipment, intellectual property rights, and rights existing under all sales and purchase agreements, and assumed certain liabilities of Sureflex, Inc.
3 unchanged sentences
We expect that Sureflex, which manufactures tractor-trailer electrical connection cable assemblies, will enable the Company to manufacture electrical products and become more competitive with respect to cost and quality.
−Removed: The acquisition of Sureflex was accounted for under Business Combinations (ASC Topic 805).
+Added: The acquisition of Sureflex was accounted for under ASC Topic 805, “Business Combinations”.
The acquired business is included in the consolidated operating results of the Company from the effective date of the acquisition.
2 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.