17)

Quarterly Results of Operations (Unaudited)

The following summarizes the unaudited quarterly results of operations for the years ended December 31, 2016 and 2015.


	Year ended December 31, 2016
	March 31			June 30			Sept. 30		Dec. 31
Net sales	$	212,226		$	214,272		$	204,961	$	202,029
Income from operations	$	11,874		$	16,703		$	18,727	$	12,096
Net income (a)	$	(1,299	)	$	2,031		$	4,147	$	3,063
Comprehensive income (loss)(a)	$	4,418		$	(973	)	$	8,740	$	(10,212	)
Basic net income per share	$	(0.05	)	$	0.08		$	0.15	$	0.11
Diluted net income per share	$	(0.05	)	$	0.07		$	0.15	$	0.11
Weighted average shares outstanding:
Basic number of shares		26,869			27,024			27,159		27,241
Effect of dilutive stock options		—			163			163		180

Diluted number of shares		26,869			27,187			27,322		27,421


	Year ended December 31, 2015
	March 31			June 30		Sept. 30			Dec. 31
Net sales	$	163,746		$	164,856	$	154,824		$	183,854
Income from operations	$	13,934		$	13,589	$	10,122		$	(10,848	)
Net income (a)	$	6,001		$	6,953	$	4,630		$	(25,015	)
Comprehensive income (loss)(a)	$	(11,856	)	$	10,955	$	(2,121	)	$	(28,929	)
Basic net income per share	$	0.32		$	0.36	$	0.17		$	(0.93	)
Diluted net income per share	$	0.31		$	0.36	$	0.17		$	(0.93	)
Weighted average shares outstanding:
Basic number of shares		18,996			19,215		26,839			26,840
Effect of dilutive stock options		384			367		328			—

Diluted number of shares		19,380			19,582		27,167			26,840

(a)

During the fourth quarter ended December 31, 2016, the Company identified certain prior period tax errors. The Company has determined that such errors were not material to the previously issued financial statements and therefore has corrected for such errors as out of period adjustments in 2016, resulting in $998 of tax benefit being recognized in the fourth quarter of 2016 that should have been recognized in the fourth quarter of 2015. During 2016 the Company identified certain prior period comprehensive income errors which primarily related to the accounting for deferred taxes related to unrealized gains (losses) of the fair value of derivatives and the accounting for the foreign currency translation of goodwill (see Note 10). The Company has determined that such errors were not material to the previously issued financial statements and therefore has corrected for such errors as out of period adjustments. The impact of these errors on other comprehensive income resulted in an increase (decrease) to comprehensive income of $582, $(517), $(2,542), $3,104, $91, $166, $345, $(955) for the quarters ended March 31, 2016, June 30, 2016, September 31, 2016, December 31, 2016, March 31, 2015, June 30, 2015, September 30, 2015 and December 31, 2015.

The year ended December 31, 2016 fully reflects the acquisition activity from 2015 and 2014. Line items such as Selling, general and administrative costs, Depreciation and amortization, Restructuring and impairment charges, excluding goodwill impairment, and Interest expense, all increased as a result of increased bases in assets and higher debt and employee levels. There were no acquisitions made during 2016.

The fourth quarter of 2015 was impacted by merger and acquisition related costs of $18.7 million pre-tax, and $11.6 million after-tax primarily related to the PEP Acquisition. Additionally, the fourth quarter was negatively impacted by $18.7 million in pre-tax costs and $12.0 million in after-tax costs incurred related to writing-off debt issuance costs to our former lenders related to the new debt entered into for the PEP Acquisition.