Derivative financial instruments (Tables)

3 Months Ended

Apr. 03, 2021

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of fair values of derivative financial instruments

The period end fair values of derivative financial instruments were as follows:

	As of April 3, 2021										As of January 2, 2021
(dollars in millions)	Prepaid expenses and other assets		Other non- current assets		Accrued expenses and other current liabilities		Other non- current liabilities		Net		Prepaid expenses and other assets		Other non- current assets		Accrued expenses and other current liabilities		Other  non- current liabilities		Net
Derivatives designated as hedging instruments:
—Currency swaps	$	—	$	—	$	(30.0)	$	—	$	(30.0)	$	1.1	$	—	$	—	$	(42.6)	$	(41.5)
—Interest rate caps	—		—		(1.3)		(1.6)		(2.9)		—		—		(1.4)		(2.0)		(3.4)
—Interest rate swaps	—		4.2		(13.4)		(34.9)		(44.1)		—		—		(13.4)		(43.6)		(57.0)
Derivatives not designated as hedging instruments:
—Currency forward contracts	1.5		—		(0.6)		—		0.9		0.6		—		(1.9)		—		(1.3)
	$	1.5	$	4.2	$	(45.3)	$	(36.5)	$	(76.1)	$	1.7	$	—	$	(16.7)	$	(88.2)	$	(103.2)

Schedule of derivative effect on OCI

The fair value gains before tax recognized in OCI in relation to the instruments designated as net investment hedging instruments were as follows:

	Three months ended
(dollars in millions)	April 3, 2021		March 28, 2020
Net fair value gains recognized in OCI in relation to:
—Euro-denominated debt	$	6.7	$	1.5
—Designated cross currency swaps	11.5		2.5
Total net fair value gains	$	18.2	$	4.0

The movements before tax recognized in OCI in relation to our cash flow hedges were as follows:

	Three months ended
(dollars in millions)	April 3, 2021		March 28, 2020
Movement recognized in OCI in relation to:
—Fair value gain (loss) on cash flow hedges	$	9.7	$	(15.9)
—Amortization to net income of prior period fair value losses	4.4		—
—Reclassification from OCI to net income	0.9		1.7
Total movement	$	15.0	$	(14.2)

Gain recognized from derivative instruments

The fair value gains recognized in net income in relation to derivative instruments that have not been designated as hedging instruments were as follows:

	Three months ended
(dollars in millions)	April 3, 2021		March 28, 2020
Fair value gains recognized in relation to:
—Currency forward contracts recognized in SG&A	$	1.8	$	0.3
—Currency swaps recognized in other income	—		0.5
Total	$	1.8	$	0.8