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Equity
6 Months Ended
Jul. 01, 2022
Equity [Abstract]  
Equity
8. Equity

Outstanding shares

As discussed in Note 1, the Company effected a reverse stock split immediately following the Separation on April 4, 2022 and all share and per share figures contained in the accompanying Condensed Consolidated Financial Statements have been retroactively restated as if the reverse stock split occurred at the beginning of the periods presented. As of December 31, 2021, the outstanding shares for the Company after the reverse stock split were 52,083,078.

Share Repurchase Program

In 2018, the Company’s Board of Directors authorized the repurchase of shares of the Company’s Common stock from time-to-time on the open market or in privately negotiated transactions. No repurchases of the Company’s Common stock have been made under this plan since the third quarter of 2018. As of July 1, 2022, the remaining stock repurchase authorization provided by the Board of Directors was $100 million. The timing, amount and method of shares repurchased is determined by management based on its evaluation of market conditions and other factors. There is no term associated with the remaining repurchase authorization.

Accumulated Other Comprehensive Loss

The following tables present the changes in the balances of each component of Accumulated other comprehensive loss including reclassifications out of Accumulated other comprehensive loss for the six months ended July 1, 2022 and July 2, 2021. All amounts are net of tax and noncontrolling interest, if any.

Accumulated Other Comprehensive Loss Components
Net Unrecognized Pension and Other Post-Retirement Benefit CostForeign Currency Translation AdjustmentUnrealized Gain on Hedging ActivitiesTotal
(In thousands)
Balance at January 1, 2022$(85,559)$(475,125)$44,671 $(516,013)
Other comprehensive income (loss) before reclassifications:
Foreign currency translation adjustment470 (61,257)— (60,787)
Loss on long-term intra-entity foreign currency transactions— (21,779)— (21,779)
Gain on net investment hedges— — 9,028 9,028 
Other comprehensive income (loss) before reclassifications470 (83,036)9,028 (73,538)
Amounts reclassified from Accumulated other comprehensive income (loss)629 — — 629 
Net Other comprehensive income (loss) 1,099 (83,036)9,028 (72,909)
Distribution of ESAB Corporation84,460 469,220 (53,699)499,981 
Balance at July 1, 2022$— $(88,941)$— $(88,941)
Accumulated Other Comprehensive Loss Components
Net Unrecognized Pension and Other Post-Retirement Benefit CostForeign Currency Translation AdjustmentUnrealized Gain on Hedging ActivitiesTotal
(In thousands)
Balance at January 1, 2021$(112,783)$(360,977)$21,654 $(452,106)
Other comprehensive income (loss) before reclassifications:
Foreign currency translation adjustment583 (71,276)(2,076)(72,769)
Gain on long-term intra-entity foreign currency transactions— 29,925 — 29,925 
Gain on net investment hedges— — 10,231 10,231 
Other comprehensive income (loss) before reclassifications583 (41,351)8,155 (32,613)
Amounts reclassified from Accumulated other comprehensive loss2,100 — — 2,100 
Net Other comprehensive income (loss) 2,683 (41,351)8,155 (30,513)
Balance at July 2, 2021$(110,100)$(402,328)$29,809 $(482,619)

Tangible equity unit offering

On January 11, 2019, the Company issued 4.6 million in Tangible Equity Units (“TEUs”) at the stated amount of $100 per unit. Net cash of $447.7 million was received upon closing. The gross proceeds and deferred finance costs from the issuance of the TEUs were allocated 84.4% to equity (the “TEU prepaid stock purchase contracts”) and 15.6% to debt (the “TEU amortizing notes”) based on the relative fair value of the respective components of each TEU. See Note 10, “Debt” for additional information on the TEU amortizing notes. The TEU prepaid stock purchase contracts were mandatorily converted into shares of Company common stock on January 15, 2022, unless previously settled at the holder’s option. All the TEU prepaid stock purchase contracts converted at the minimum settlement rate. Approximately 1.3 million and 1.6 million TEU prepaid stock purchase contracts were settled into approximately 1.7 million and 2.2 million shares of Company common stock as adjusted for the reverse split, during the six months ended July 1, 2022 and July 2, 2021, respectively. Since the 4.6 million TEU prepaid stock purchase contracts were mandatorily converted into shares of Company common stock at the minimum settlement rate or greater, 6.1 million shares, as adjusted for the reverse split, are included in basic net income per share calculations for all periods presented. See Note 6, “Net Income Per Share from Continuing Operations” for additional information.