Financial Instruments Measured at Fair Value (Tables)

9 Months Ended

Oct. 01, 2022

Fair Value Disclosures

Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis Table [Text Block]

The following table presents assets measured at fair value on a recurring basis at October 1, 2022:

(thousands)	Balance Sheet Location	Level 1		Level 2		Level 3		Total
Cash equivalents (a)	Cash and cash equivalents	$	12,035	$	—	$	—	$	12,035
Equity investments (b)	Other assets	42,823		—		—		42,823
Interest rate swaps designated as cash flow hedges	Other assets	—		55,011		—		55,011
Foreign exchange contracts designated as net investment hedges	Other assets/ other current assets	—		80,213		—		80,213
		$	54,858	$	135,224	$	—	$	190,082

The following table presents assets measured at fair value on a recurring basis at December 31, 2021:

(thousands)	Balance Sheet Location	Level 1		Level 2		Level 3		Total
Cash equivalents (a)	Cash and cash equivalents/ other assets	$	4,812	$	—	$	—	$	4,812
Equity investments (b)	Other assets	56,985		—		—		56,985
Interest rate swaps designated as cash flow hedges	Other assets	—		21,831		—		21,831
Foreign exchange contracts designated as net investment hedges	Other assets	—		40,612		—		40,612
		$	61,797	$	62,443	$	—	$	124,240

(a)    Cash equivalents include highly liquid investments with an original maturity of less than three months.

(b)    The company has an 8.4% equity ownership interest in Marubun Corporation and a portfolio of mutual funds with quoted market prices. The company recorded an unrealized loss of $2.1 million and $12.4 million for the third quarter and first nine months of 2022, respectively, on equity securities held at the end of the quarter. The company recorded an unrealized gain of $1.8 million and $6.9 million for the third quarter and first nine months of 2021, respectively, on equity securities held at the end of the quarter.

Description of Derivative Hedging Instruments

At October 1, 2022 and December 31, 2021, the company had the following outstanding interest rate swaps designated as cash flow hedges:

Trade Date	Maturity Date	Notional Amount  (thousands)	Weighted-Average Interest Rate	Date Range of Forecasted Transaction
April 2020	December 2024	$300,000	0.97%	Jan 2023 - Dec 2025

Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance [Text Block]

The effects of derivative instruments on the company’s consolidated statements of operations and other comprehensive income are as follows:

	Income Statement Line	Quarter Ended				Nine Months Ended
(thousands)		October 1, 2022		October 2, 2021		October 1, 2022		October 2, 2021
Gain (Loss) Recognized in Income
Foreign exchange contracts, net investment hedge (a)	Interest Expense	$	2,202	$	2,202	$	6,604	$	6,604
Interest rate swaps, cash flow hedge	Interest Expense	(906)		(1,853)		(2,671)		(2,560)
Total		$	1,296	$	349	$	3,933	$	4,044
Gain Recognized in Other Comprehensive Income before reclassifications, net of tax
Foreign exchange contracts, net investment hedge (b)		$	13,016	$	6,988	$	30,031	$	15,861
Interest rate swaps, cash flow hedge		6,616		1,760		25,161		18,225
Total		$	19,632	$	8,748	$	55,192	$	34,086

(a)Represents derivative amounts excluded from the assessment of effectiveness for the net investment hedges reclassified from CTA to “Interest and other financing expenses, net”.

(b)Includes derivative gains (losses) of $(1.0) million and $(3.5) million for the third quarter and first nine months of 2022, respectively, and $0.9 million and $0.2 million for the third quarter and first nine months of 2021, respectively, which were excluded from the assessment of effectiveness for the net investment hedges and recognized in other comprehensive income, net of tax.

Foreign Exchange Contract [Member] | Designated as Hedging Instrument [Member]

Fair Value Disclosures

Description of Derivative Hedging Instruments

At October 1, 2022 and December 31, 2021, the following foreign exchange contracts were designated as net investment hedges:

Maturity Date	Notional Amount  (thousands)
March 2023	EUR	50,000
September 2024	EUR	50,000
April 2025	EUR	100,000
January 2028	EUR	100,000
Total	EUR	300,000