Disposition

6 Months Ended

Jul. 01, 2023

Business Combination and Asset Acquisition [Abstract]

Disposition

Disposition

On September 2, 2021, the Company entered into a contribution agreement with a limited liability company in the retail distribution business, pursuant to which the Company exchanged the outstanding common stock of Die-Mold for a 17 percent equity interest in the limited liability company. Die-Mold manufactures PEX and other plumbing-related fittings and plastic injection tooling in Canada and sells these products in Canada and the U.S. and was included in the Piping Systems Segment.

Effective July 3, 2023, the Company transferred 100 percent of the outstanding shares of Heatlink Group, Inc. and Heatlink Group USA, LLC for an additional 11 percent equity interest in the limited liability company. During the third quarter, the Company will measure the gain or loss on the disposition by measuring the fair value of the consideration received (the 11

percent equity interest) against the carrying value of Heatlink Group, in accordance with Accounting Standards Codification 810-10, Consolidation. Any resulting gain or loss is expected to be immaterial to the Company’s Condensed Consolidated Financial Statements.