Basis of Presentation

6 Months Ended

Jul. 01, 2022

Accounting Policies [Abstract]

Basis of Presentation

BASIS OF PRESENTATION

Following the sale of the Company's Distribution business in 2019, the Company operated as one segment. In the fourth quarter of 2021, our Chief Operating Decision Maker ("CODM") established a new structure for the Company to better align the Company's businesses to support capital allocation plans, portfolio management and growth. This new structure resulted in the introduction of three reportable segments: Engineered Products, Precision Products and Structures. See Note 5, Revenue and Segment Information, for 2022 financial results by segment and a recast of financial results by segment for the three-month and six-month fiscal periods ended July 2, 2021.

During the second quarter of 2022, the Company entered into an asset purchase agreement to sell certain assets and liabilities of its Mexico operations in the Structures segment. As a result of the agreement, the assets and liabilities of the Mexico operations to be sold were reclassified to assets and liabilities held for sale, respectively, as of July 1, 2022 on the Company's Condensed Consolidated Balance Sheet as the criteria set forth in Accounting Standards Codification 205-20, Presentation of Financial Statements - Discontinued Operations ("ASC 205-20") for held for sale were met. See Note 3, Disposals, to the Condensed Consolidated Financial Statements for further information. This transaction closed on July 29, 2022.

In the opinion of management, the condensed consolidated financial information reflects all adjustments necessary for a fair statement of the Company's financial position, results of operations and cash flows for the interim periods presented, but do not include all disclosures required by accounting principles generally accepted in the United States of America ("GAAP"). All such adjustments are of a normal recurring nature, unless otherwise disclosed in this report. Certain amounts in prior year financial statements and notes thereto have been reclassified to conform to current year presentation. The statements should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.

The Company has a calendar year-end; however, its first three fiscal quarters follow a 13-week convention, with each quarter ending on a Friday. The second quarters for 2022 and 2021 ended on July 1, 2022, and July 2, 2021, respectively.