Other Comprehensive Income (Loss)

6 Months Ended

Apr. 02, 2016

Other Comprehensive Income (Loss) [Abstract]

Other Comprehensive Income (Loss)

NOTE 11OTHER COMPREHENSIVE INCOME (LOSS)

Other comprehensive income (loss), a component of shareholders’ equity, consists of foreign currency translation adjustments, gains or losses on derivative instruments and defined benefit pension plan adjustments.

Income tax expense or benefit allocated to each component of other comprehensive income (loss)  were as follows:

	Three Months Ended						Six Months Ended
	April 2, 2016
(in thousands)	Pretax		Tax		Net		Pretax		Tax		Net
Foreign currency translation
gain (loss) adjustments	$	3,286	$	-	$	3,286	$	868	$	-	$	868
Derivative instruments
Unrealized net gain (loss)		(1,136)		412		(724)		(925)		336		(589)
Net (gain) loss reclassified to earnings		132		(48)		84		(18)		7		(11)
Defined benefit pension plan
Unrealized net gain (loss)		(350)		105		(245)		(174)		52		(122)
Net (gain) loss reclassified to earnings		145		(44)		101		290		(88)		202
Currency exchange rate gain (loss)		(270)		-		(270)		(120)		-		(120)
Other comprehensive income (loss)	$	1,807	$	425	$	2,232	$	(79)	$	307	$	228

	Three Months Ended						Six Months Ended
	March 28, 2015
(in thousands)	Pretax		Tax		Net		Pretax		Tax		Net
Foreign currency translation
gain (loss) adjustments	$	(6,338)	$	-	$	(6,338)	$	(11,150)	$	-	$	(11,150)
Derivative instruments
Unrealized net gain (loss)		869		(316)		553		3,131		(1,134)		1,997
Net (gain) loss reclassified to earnings		(1,095)		398		(697)		(2,793)		1,014		(1,779)
Defined benefit pension plan
Unrealized net gain (loss)		1,290		(389)		901		1,843		(556)		1,287
Net (gain) loss reclassified to earnings		123		(37)		86		259		(78)		181
Currency exchange rate gain (loss)		640		-		640		958		-		958
Other comprehensive income (loss)	$	(4,511)	$	(344)	$	(4,855)	$	(7,752)	$	(754)	$	(8,506)

The changes in the net-of-tax balances of each component of AOCI were as follows:

	Three Months Ended								Six Months Ended
	April 2, 2016
	Adjustments								Adjustments
	Foreign		Unrealized		Defined				Foreign		Unrealized		Defined
	Currency		Derivative		Benefit				Currency		Derivative		Benefit
(in thousands)	Translation		Instrument		Pension Plan		Total		Translation		Instrument		Pension Plan		Total
Beginning balance	$	(1,413)	$	426	$	(6,594)	$	(7,581)	$	1,005	$	386	$	(6,968)	$	(5,577)
Other comprehensive net
gain (loss) reclassifications		3,286		(724)		(515)		2,047		868		(589)		(242)		37
Net (gain) loss reclassified
to earnings		-		84		101		185		-		(11)		202		191
Other comprehensive
income (loss)		3,286		(640)		(414)		2,232		868		(600)		(40)		228
Ending balance	$	1,873	$	(214)	$	(7,008)	$	(5,349)	$	1,873	$	(214)	$	(7,008)	$	(5,349)

	Three Months Ended								Six Months Ended
	March 28, 2015
	Adjustments								Adjustments
	Foreign		Unrealized		Defined				Foreign		Unrealized		Defined
	Currency		Derivative		Benefit				Currency		Derivative		Benefit
(in thousands)	Translation		Instrument		Pension Plan		Total		Translation		Instrument		Pension Plan		Total
Beginning balance	$	7,408	$	1,260	$	(6,495)	$	2,173	$	12,220	$	898	$	(7,294)	$	5,824
Other comprehensive net
gain (loss) reclassifications		(6,338)		553		1,541		(4,244)		(11,150)		1,997		2,245		(6,908)
Net (gain) loss reclassified
to earnings		-		(697)		86		(611)		-		(1,779)		181		(1,598)
Other comprehensive
income (loss)		(6,338)		(144)		1,627		(4,855)		(11,150)		218		2,426		(8,506)
Ending balance	$	1,070	$	1,116	$	(4,868)	$	(2,682)	$	1,070	$	1,116	$	(4,868)	$	(2,682)

The effect on certain line items in the Consolidated Statements of Income of amounts reclassified out of AOCI  were as follows:

				Three Months Ended								Six Months Ended					Affected Line Item in the
		April 2,				March 28,				April 2,				March 28,			Consolidated Statements
(in thousands)		2016				2015				2016				2015			of Income
Derivative instruments
Currency exchange contracts gain (loss)		$		(132)		$		1,095		$		18		$		2,793	Revenue
Income tax benefit (expense)				48				(398)				(7)				(1,014)	Provision for income taxes
Total net gain (loss) on
derivative instruments				(84)				697				11				1,779	Net income
Defined benefit pension plan
Actuarial gain (loss)				(79)				(67)				(158)				(142)	Cost of sales
Actuarial gain (loss)				(41)				(35)				(82)				(73)	Selling and marketing
Actuarial gain (loss)				(25)				(21)				(50)				(44)	General and administrative
Total actuarial gain (loss)				(145)				(123)				(290)				(259)	Income before income taxes
Income tax benefit (expense)				44				37				88				78	Provision for income taxes
Total net gain (loss) on pension plan				(101)				(86)				(202)				(181)	Net income
Total net-of-tax reclassifications out of
AOCI included in net income	$		(185)		$		611		$		(191)		$		1,598