FOREIGN CURRENCY CONTRACT

3 Months Ended

Mar. 30, 2019

Derivative Instruments and Hedging Activities Disclosure [Abstract]

FOREIGN CURRENCY CONTRACT

FOREIGN CURRENCY CONTRACTS

The Company entered into foreign exchange forward contracts during the three months ended March 30, 2019 and December 29, 2018 to limit its foreign currency exposure related to a U.S. dollar denominated loan borrowed by a non-U.S. Euro functional currency entity under the $2.3B Credit Facility. These contracts are not designated as hedging instruments. Any gains or losses on these forward contracts are recognized immediately in Interest expense.

The open contract at December 29, 2018, which had a duration of approximately 3 months, was recorded at fair value in the Company’s accompanying unaudited condensed consolidated balance sheets. The notional amount and fair value of the open contract is summarized as follows:

	Notional Amount		Fair Value			Balance Sheet Location
	(in thousands)
December 29, 2018	$	343,300	$	(1,319	)	Other current liabilities

The Company had no open forward contracts related to a U.S. dollar denominated loan borrowed by a non-U.S. Euro functional currency at March 30, 2019.

The following table summarizes the effect of the foreign exchange forward contract on the Company’s unaudited condensed consolidated statements of income:

	Three Months Ended
	March 30, 2019					March 31, 2018
Location of hedge gain (loss)	Financial statement caption amount			Amount of gain (loss)		Financial statement caption amount			Amount of gain (loss)
	(in thousands)
Interest expense	$	(9,987	)	$	8,917	$	(11,191	)	$	—