Interface (TILE) 10-Q9 May 232023 Q1 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Apr. 02, 2023	May 04, 2023
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Apr. 02, 2023
Entity File Number	001-33994
Entity Registrant Name	INTERFACE INC
Entity Incorporation, State or Country Code	GA
Entity Tax Identification Number	58-1451243
Entity Address, Address Line One	1280 West Peachtree Street
Entity Address, City or Town	Atlanta
Entity Address, State or Province	GA
Entity Address, Postal Zip Code	30309
City Area Code	770
Local Phone Number	437-6800
Title of 12(b) Security	Common Stock, $0.10 Par Value Per Share
Trading Symbol	TILE
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		58,013,224
Entity Central Index Key	0000715787
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2023

Consolidated Condensed Balance

Consolidated Condensed Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands	Apr. 02, 2023	Jan. 01, 2023
Current assets
Cash and cash equivalents	$ 101,273	$ 97,564
Accounts receivable, net	147,759	182,807
Inventories, net	312,745	306,327
Assets held for sale	3,433	0
Prepaid expenses and other current assets	46,563	30,339
Total current assets	611,773	617,037
Property, plant and equipment, net	291,838	297,976
Operating lease right-of-use assets	80,226	81,644
Deferred tax asset	17,386	17,767
Goodwill and intangibles, net	162,890	162,195
Other assets	89,092	89,884
Total assets	1,253,205	1,266,503
Current liabilities
Accounts payable	85,640	78,264
Accrued expenses	114,027	120,138
Current portion of operating lease liabilities	11,601	11,857
Current portion of long-term debt	10,216	10,211
Total current liabilities	221,484	220,470
Long-term debt	490,901	510,003
Operating lease liabilities	71,325	72,305
Deferred income taxes	39,213	38,662
Other long-term liabilities	63,253	63,526
Total liabilities	886,176	904,966
Commitments and contingencies
Shareholders’ equity
Preferred stock, par value $1.00 per share; 5,000 shares authorized; none issued or outstanding at April 2, 2023 and January 1, 2023	0	0
Common stock, par value $0.10 per share; 120,000 shares authorized; 58,053 and 58,106 shares issued and outstanding at April 2, 2023 and January 1, 2023, respectively	5,805	5,811
Additional paid-in capital	246,001	244,159
Retained earnings	277,345	278,639
Accumulated other comprehensive loss – foreign currency translation	(133,845)	(138,775)
Accumulated other comprehensive loss – cash flow hedge	(450)	(749)
Accumulated other comprehensive loss – pension liability	(27,827)	(27,548)
Total shareholders’ equity	367,029	361,537
Total liabilities and shareholders’ equity	$ 1,253,205	$ 1,266,503

Consolidated Condensed Statemen

Consolidated Condensed Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Apr. 02, 2023	Apr. 03, 2022
Income Statement [Abstract]
Net sales	$ 295,792	$ 288,002
Cost of sales	199,919	181,203
Gross profit	95,873	106,799
Selling, general and administrative expenses	86,254	78,492
Restructuring, asset impairment and other charges	142	887
Operating income	9,477	27,420
Interest expense	8,505	6,850
Other expense, net	1,500	170
Income (loss) before income tax expense	(528)	20,400
Income tax expense	186	7,107
Net income (loss)	$ (714)	$ 13,293
Earnings (loss) per share - basic (in dollars per share)	$ (0.01)	$ 0.22
Earnings (loss) per share - diluted (in dollars per share)	$ (0.01)	$ 0.22
Common shares outstanding – basic (in shares)	58,079	59,248
Common shares outstanding – diluted (in shares)	58,079	59,248

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Apr. 02, 2023	Apr. 03, 2022
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ (714)	$ 13,293
Other comprehensive income (loss), after tax:
Foreign currency translation adjustment	4,930	(13,184)
Reclassification from accumulated other comprehensive loss – discontinued cash flow hedge	299	641
Pension liability adjustment	(279)	1,539
Other comprehensive income (loss)	4,950	(11,004)
Comprehensive income	$ 4,236	$ 2,289

Consolidated Condensed Statem_2

Consolidated Condensed Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Apr. 02, 2023	Apr. 03, 2022
OPERATING ACTIVITIES:
Net income (loss)	$ (714)	$ 13,293
Adjustments to reconcile net income (loss) to cash provided by (used in) operating activities:
Depreciation and amortization	9,991	10,670
Stock compensation amortization expense	3,004	2,182
Deferred income taxes and other	599	4,196
Amortization of acquired intangible assets	1,283	1,342
Working capital changes:
Accounts receivable	35,791	26,135
Inventories	(5,306)	(56,464)
Prepaid expenses and other current assets	(16,148)	(5,252)
Accounts payable and accrued expenses	1,084	(13,798)
Cash provided by (used in) operating activities	29,584	(17,696)
INVESTING ACTIVITIES:
Capital expenditures	(5,712)	(4,781)
Cash used in investing activities	(5,712)	(4,781)
FINANCING ACTIVITIES:
Repayments of long-term debt	(53,225)	(44,729)
Borrowing of long-term debt	34,000	48,500
Tax withholding payments for share-based compensation	(1,167)	(398)
Finance lease payments	(643)	(479)
Cash (used in) provided by financing activities	(21,035)	2,894
Net cash provided by (used in) operating, investing and financing activities	2,837	(19,583)
Effect of exchange rate changes on cash	872	(1,581)
CASH AND CASH EQUIVALENTS:
Net increase (decrease)	3,709	(21,164)
Balance, beginning of period	97,564	97,252
Balance, end of period	$ 101,273	$ 76,088

Consolidated Condensed Balanc_2

Consolidated Condensed Balance Sheets (Parenthetical) - $ / shares	Apr. 02, 2023	Jan. 01, 2023
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 1	$ 1
Preferred stock, shares authorized (in shares)	5,000,000	5,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.10	$ 0.10
Common stock, shares authorized (in shares)	120,000,000	120,000,000
Common stock, shares issued (in shares)	58,053,000	58,106,000
Common stock, shares outstanding (in shares)	58,053,000	58,106,000

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
Summary of Significant Accounting Policies	Apr. 02, 2023
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation References in this Quarterly Report on Form 10-Q to “Interface,” “the Company,” “we,” “our,” “ours” and “us” refer to Interface, Inc. and its subsidiaries or any of them, unless the context requires otherwise. As contemplated by the Securities and Exchange Commission (the “Commission”) instructions to Form 10-Q, the following footnotes have been condensed and, therefore, do not contain all disclosures required in connection with annual financial statements. Reference should be made to the Company’s year-end financial statements and notes thereto contained in its Annual Report on Form 10-K for the fiscal year ended January 1, 2023, as filed with the Commission. The financial information included in this report has been prepared by the Company, without audit. In the opinion of management, the financial information included in this report contains all adjustments necessary for a fair presentation of the results for the interim periods. All such adjustments are of a normal recurring nature unless otherwise disclosed. Nevertheless, the results shown for interim periods are not necessarily indicative of results to be expected for the full year. The January 1, 2023, consolidated condensed balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States (“GAAP”). The three-month periods ended April 2, 2023 and April 3, 2022 both include 13 weeks. Risks and Uncertainties Global economic challenges, including the impact of the COVID-19 pandemic, the war in Ukraine, inflation and supply chain disruptions could cause economic uncertainty and volatility. The Company considered these impacts and subsequent general uncertainties and volatility in the global economy on the assumptions and estimates used herein. In connection with the Cyber Event discussed below, security breaches may expose us to fines and other liabilities to the extent sensitive data stored in our IT systems, including data related to customers, suppliers or employees, are misappropriated. These uncertainties could result in a future material adverse effect to the amounts reported within the Company’s consolidated condensed financial statements if actual results differ from these estimates. Cybersecurity Event On November 20, 2022, we discovered a cybersecurity attack, perpetrated by unauthorized third parties, affecting our IT systems. Promptly, out of an abundance of caution, we shut down certain systems including shipping, inventory management and production systems and engaged forensic experts to evaluate the extent of the Cyber Event and its impact to our operations. We took steps to supplement existing security monitoring, including scanning and protective measures, and notified law enforcement. Recently Adopted Accounting Pronouncements In June 2022, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) 2022-03, “ Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions .” This ASU clarifies that a contractual restriction on the sale of an equity security is not considered in measuring fair value. The ASU also requires certain disclosures for equity securities subject to contractual sale restrictions. The new guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2023. Early adoption is permitted. The Company adopted this standard on April 2, 2023. The adoption of this standard did not have a material impact on the Company’s consolidated financial statements.
Risks and Uncertainties	Risks and UncertaintiesGlobal economic challenges, including the impact of the COVID-19 pandemic, the war in Ukraine, inflation and supply chain disruptions could cause economic uncertainty and volatility. The Company considered these impacts and subsequent general uncertainties and volatility in the global economy on the assumptions and estimates used herein. In connection with the Cyber Event discussed below, security breaches may expose us to fines and other liabilities to the extent sensitive data stored in our IT systems, including data related to customers, suppliers or employees, are misappropriated. These uncertainties could result in a future material adverse effect to the amounts reported within the Company’s consolidated condensed financial statements if actual results differ from these estimates.

Revenue Recognition

Revenue Recognition	3 Months Ended
Revenue Recognition	Apr. 02, 2023
Revenues [Abstract]
Revenue Recognition	REVENUE RECOGNITION Revenue from sales of modular carpet, resilient flooring, rubber flooring, and other flooring-related material was approximately 98% and 99% of total revenue for the three-month periods ended April 2, 2023 and April 3, 2022, respectively. The remaining 2% and 1% of revenue was generated from the installation of carpet and other flooring-related material for the 2023 and 2022 three-month periods, respectively. Disaggregation of Revenue For the three months ended April 2, 2023 and April 3, 2022, revenue from the Company’s customers is broken down by geography as follows: Three Months Ended Geography April 2, 2023 April 3, 2022 Americas 57.2 % 54.4 % Europe 32.0 % 32.6 % Asia-Pacific 10.8 % 13.0 % Revenue from the Company’s customers in the Americas corresponds to the AMS reportable segment, and the EAAA reportable segment includes revenue from the Europe and Asia-Pacific geographies. See Note 11 entitled “Segment Information” for additional information.

Inventories

Inventories	3 Months Ended
Inventories	Apr. 02, 2023
Inventory Disclosure [Abstract]
Inventories	INVENTORIES Inventories are summarized as follows: April 2, 2023 January 1, 2023 (in thousands) Finished goods $ 224,665 $ 209,478 Work-in-process 19,236 15,463 Raw materials 68,844 81,386 Inventories, net $ 312,745 $ 306,327

Earnings Per Share

Earnings Per Share	3 Months Ended
Earnings Per Share	Apr. 02, 2023
Earnings Per Share [Abstract]
Earnings Per Share	EARNINGS PER SHARE The Company computes basic earnings (loss) per share (“EPS”) by dividing net income (loss) by the weighted average common shares outstanding, including participating securities outstanding, during the period as discussed below. Diluted EPS reflects the potential dilution beyond shares for basic EPS that could occur if securities or other contracts to issue common stock were exercised, converted into common stock or resulted in the issuance of common stock that would have shared in the Company’s earnings (loss). The Company includes all unvested stock awards that contain non-forfeitable rights to dividends or dividend equivalents, whether paid or unpaid, in the number of shares outstanding for basic EPS as these awards are considered participating securities. Any unvested stock awards considered non-participating securities are included in diluted EPS calculations when the inclusion of these shares would be dilutive. Unvested share-based awards of restricted stock are paid dividends equally with all other shares of common stock. As a result, the Company includes all outstanding restricted stock awards in the calculation of basic and diluted EPS. Distributed earnings include common stock dividends and dividends earned on unvested share-based payment awards. Undistributed earnings represent earnings that were available for distribution but were not distributed. The following table shows the computation of basic and diluted EPS: Three Months Ended April 2, 2023 April 3, 2022 (in thousands, except per share data) Numerator: Net income (loss) $ (714) $ 13,293 Less: distributed and undistributed earnings available to participating securities (9) (190) Distributed and undistributed earnings (loss) available to common shareholders $ (723) $ 13,103 Denominator: Weighted average shares outstanding 57,177 58,403 Participating securities 902 845 Shares for basic EPS 58,079 59,248 Shares for diluted EPS 58,079 59,248 Basic EPS $ (0.01) $ 0.22 Diluted EPS $ (0.01) $ 0.22 For the three months ended April 2, 2023, 1,728,579 non-participating securities that could potentially dilute basic EPS in the future, consisting of restricted share units and performance shares, were excluded from the computation of diluted EPS as these securities would have been antidilutive for the period.

Long-Term Debt

Long-Term Debt	3 Months Ended
Long-Term Debt	Apr. 02, 2023
Debt Disclosure [Abstract]
Long-Term Debt	LONG-TERM DEBT Long-term debt consisted of the following: April 2, 2023 January 1, 2023 Outstanding Principal Interest Rate (1) Outstanding Principal Interest Rate (1) (in thousands) (in thousands) Syndicated Credit Facility: Revolving loan borrowings $ 9,360 5.18 % $ 24,250 5.29 % Term loan borrowings 197,597 6.14 % 202,082 5.84 % Total borrowings under Syndicated Credit Facility 206,957 6.10 % 226,332 5.78 % 5.50% Senior Notes due 2028 300,000 5.50 % 300,000 5.50 % Total debt 506,957 526,332 Less: Unamortized debt issuance costs (5,840) (6,118) Total debt, net 501,117 520,214 Less: Current portion of long-term debt (10,216) (10,211) Total long-term debt, net $ 490,901 $ 510,003 (1) Represents the stated rate of interest, without the effect of debt issuance costs. Syndicated Credit Facility The Company’s Syndicated Credit Facility (the “Facility”) provides to the Company U.S. denominated and multicurrency term loans and provides to the Company and certain of its subsidiaries a multicurrency revolving credit facility. Interest on base rate loans is charged at varying rates computed by applying a margin depending on the Company’s consolidated net leverage ratio as of the most recently completed fiscal quarter. Interest on SOFR-based and alternative currency loans and fees for letters of credit are charged at varying rates computed by applying a margin over the applicable SOFR rate or alternative currency rate, depending on the Company’s consolidated net leverage ratio as of the most recently completed fiscal quarter. In addition, the Company pays a commitment fee per annum (depending on the Company’s consolidated net leverage ratio as of the most recently completed fiscal quarter) on the unused portion of the Facility. As of both April 2, 2023 and January 1, 2023, the Company had $1.6 million in letters of credit outstanding under the Facility. As of both April 2, 2023 and January 1, 2023, the carrying value of the Company’s borrowings under the Facility approximated its fair value as the Facility bears interest rates that are similar to existing market rates. Under the Facility, the Company is required to make quarterly amortization payments of the term loan borrowings, which are due on the last day of the calendar quarter. The Company is in compliance with all covenants under the Facility and anticipates that it will remain in compliance with the covenants for the foreseeable future. 5.50% Senior Notes due 2028 The 5.50% Senior Notes due 2028 (the “Senior Notes”) bear an interest rate at 5.50% per annum and mature on December 1, 2028. Interest is paid semi-annually on June 1 and December 1 of each year. The Senior Notes are unsecured and are guaranteed, jointly and severally, by each of the Company’s material domestic subsidiaries, all of which also guarantee the obligations of the Company under its Facility. As of April 2, 2023, the estimated fair value of the Senior Notes was $244.1 million, compared with a carrying value recorded in the Company’s consolidated condensed balance sheet of $300.0 million, excluding unamortized debt issuance costs. The fair value of the Senior Notes is derived using quoted prices for similar instruments and is considered Level 2 within the fair value hierarchy. The Company is in compliance with all covenants under the indenture governing the Senior Notes and anticipates that it will remain in compliance with the covenants for the foreseeable future. Debt Issuance Costs Debt issuance costs associated with the Company’s Senior Notes and term loans under the Facility are reflected as a reduction of long-term debt in accordance with applicable accounting standards. As these fees are expensed over the life of the outstanding borrowing, the debt balance will increase by the same amount as the fees that are expensed. As of April 2, 2023 and January 1, 2023, the unamortized debt issuance costs recorded as a reduction of long-term debt were $5.8 million and $6.1 million, respectively. Debt issuance costs related to the issuance of revolving debt, which include underwriting, legal and other direct costs, net of accumulated amortization, were $1.7 million and $1.8 million as of April 2, 2023 and January 1, 2023, respectively. These amounts are included in other assets in the Company’s consolidated condensed balance sheets. The Company amortizes these costs over the life of the related debt.

Derivative Instruments

Derivative Instruments	3 Months Ended
Derivative Instruments	Apr. 02, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Instruments	DERIVATIVE INSTRUMENTS Interest Rate Risk Management From time to time, the Company enters into interest rate swap transactions to fix the variable interest rate on a portion of its term loan borrowing in order to manage a portion of its exposure to interest rate fluctuations. The Company’s objective and strategy with respect to these interest rate swaps is to protect the Company against adverse fluctuations in interest rates by reducing its exposure to variability to cash flows relating to interest payments on a portion of its outstanding debt. Cash Flow Interest Rate Swaps In the fourth quarter of 2020, the Company terminated its designated interest rate swap transactions with a total notional value of $250 million. Hedge accounting was also discontinued at that time. Losses recorded in accumulated other comprehensive loss for these terminated interest rate swaps are reclassified and recorded in the consolidated condensed statements of operations to the extent it is probable that a portion of the original forecasted transactions related to the portion of the hedged debt repaid will not occur by the end of the originally specified time period. See Note 14 entitled “Items Reclassified From Accumulated Other Comprehensive Loss” for additional information.

Shareholders' Equity

Shareholders' Equity	3 Months Ended
Shareholders' Equity	Apr. 02, 2023
Stockholders' Equity Note [Abstract]
Shareholders' Equity	SHAREHOLDERS’ EQUITY The following tables depict the activity in the accounts which make up shareholders’ equity for the three months ended April 2, 2023 and April 3, 2022: SHARES COMMON STOCK ADDITIONAL PAID-IN CAPITAL RETAINED PENSION LIABILITY FOREIGN CURRENCY TRANSLATION ADJUSTMENT CASH FLOW (in thousands) Balance, at January 1, 2023 58,106 $ 5,811 $ 244,159 $ 278,639 $ (27,548) $ (138,775) $ (749) Net loss — — — (714) — — — Issuances of stock related to performance shares 79 8 (8) — — — — Cash dividends declared, $0.01 per common share — — — (580) — — — Compensation expense related to stock awards, net of forfeitures and shares received for tax withholdings (132) (14) 1,850 — — — — Pension liability adjustment — — — — (279) — — Foreign currency translation adjustment — — — — — 4,930 — Reclassification out of accumulated other comprehensive loss – discontinued cash flow hedge — — — — — — 299 Balance, at April 2, 2023 58,053 $ 5,805 $ 246,001 $ 277,345 $ (27,827) $ (133,845) $ (450) SHARES COMMON STOCK ADDITIONAL PAID-IN CAPITAL RETAINED PENSION LIABILITY FOREIGN CURRENCY TRANSLATION ADJUSTMENT CASH FLOW (in thousands) Balance, at January 2, 2022 59,055 $ 5,905 $ 253,110 $ 261,434 $ (53,888) $ (100,441) $ (2,722) Net income — — — 13,293 — — — Restricted stock issuances 303 30 3,966 — — — — Unamortized compensation expense related to restricted stock awards — — (3,996) — — — — Cash dividends declared, $0.01 per common share — — — (592) — — — Compensation expense related to stock awards, net of shares received for tax withholdings (30) (2) 1,787 — — — — Pension liability adjustment — — — — 1,539 — — Foreign currency translation adjustment — — — — — (13,184) — Reclassification out of accumulated other comprehensive loss – discontinued cash flow hedge — — — — — — 641 Balance, at April 3, 2022 59,328 $ 5,933 $ 254,867 $ 274,135 $ (52,349) $ (113,625) $ (2,081) Restricted Stock Awards During the three months ended April 2, 2023, no restricted stock awards were granted. Awards of restricted stock (or a portion thereof) vest with respect to each recipient over a one Compensation expense related to restricted stock grants was $1.4 million and $1.2 million for the three months ended April 2, 2023 and April 3, 2022, respectively. The Company has reduced its expense for any restricted stock forfeited during the period. The following table summarizes restricted stock outstanding as of April 2, 2023, as well as activity during the three months then ended: Restricted Shares Weighted Average Outstanding at January 1, 2023 1,006,400 $ 13.91 Granted — — Vested (270,000) 15.15 Forfeited or canceled (6,800) 13.54 Outstanding at April 2, 2023 729,600 $ 13.45 As of April 2, 2023, the unrecognized total compensation cost related to unvested restricted stock was $4.2 million. That cost is expected to be recognized by the first quarter of 2025. Restricted Share Unit Awards During the three months ended April 2, 2023, the Company granted awards for 586,500 restricted share units to certain employees pursuant to the Company’s 2020 Omnibus Stock Incentive Plan. Each restricted share unit represents one share of the Company’s common stock to be issued to the award recipient once the vesting criteria have been satisfied. Awards of restricted share units have a graded vesting schedule over a three-year period from the date of grant, with one-third of the restricted share units vesting on each of the first, second and third anniversaries of the date of grant, provided the individual remains in the employment or service of the Company until such anniversaries. Additionally, certain awards (or a portion thereof) could vest earlier in the event of a change in control of the Company, upon involuntary termination without cause, or upon retirement provided certain eligibility criteria are met. The Company recognizes expense related to restricted share unit grants based on the grant date fair value of the units awarded, as determined by the market price of the Company’s common stock at date of grant. The expense is captured in selling, general and administrative expenses in the consolidated condensed statements of operations, and the Company has elected to recognize compensation expense on a straight-line basis over the requisite service period for the entire award for awards with a graded vesting schedule. Compensation expense related to the restricted share units was $0.5 million for the three months ended April 2, 2023. The Company reduces its expense for any restricted share units forfeited during the period. Grants of restricted share units are made primarily to executive-level personnel at the Company and, as a result, no compensation costs have been capitalized. The following table summarizes restricted share units outstanding as of April 2, 2023, as well as activity during the three months then ended: Restricted Share Units Weighted Average Outstanding at January 1, 2023 — $ — Granted 586,500 10.39 Vested — — Forfeited or canceled — — Outstanding at April 2, 2023 586,500 $ 10.39 As of April 2, 2023, the unrecognized total compensation cost related to unvested restricted share units was $5.6 million. That cost is expected to be recognized by the end of 2026. Performance Share Awards During the three months ended April 2, 2023 and April 3, 2022, the Company issued awards of performance shares to certain employees. These awards vest based on the achievement of certain performance-based goals over a performance period of one The following table summarizes the performance shares outstanding as of April 2, 2023, as well as the activity during the three months then ended: Performance Shares Weighted Average Outstanding at January 1, 2023 923,600 $ 13.91 Granted 467,500 10.79 Vested (79,400) 15.16 Forfeited or canceled (169,700) 15.13 Outstanding at April 2, 2023 1,142,000 $ 12.36 Compensation expense related to the performance shares was $1.1 million and $1.0 million for the three months ended April 2, 2023 and April 3, 2022, respectively. The Company has reduced its expense for any performance shares forfeited during the period. Unrecognized compensation expense related to these performance shares was approximately $9.0 million as of April 2, 2023. Depending on the performance of the Company, any compensation expense related to these outstanding performance shares will be recognized by the end of 2026. The tax benefit recognized with respect to restricted stock, restricted share units and performance shares was approximately $0.3 million for the three months ended April 2, 2023.

Leases

Leases	3 Months Ended
Leases	Apr. 02, 2023
Leases [Abstract]
Leases	LEASES General The Company has operating and finance leases for manufacturing equipment, corporate offices, showrooms, distribution facilities, design centers, as well as computer and office equipment. The Company’s leases have terms ranging from 1 to 20 years, some of which may include options to extend the lease term for up to 5 years, and certain leases may include an option to terminate the lease. Our lease accounting may include these options to extend or terminate a lease when it is reasonably certain that we will exercise that option. The Company records a right-of-use asset and lease liability for leases extending beyond one year for operating and finance leases once a contract that contains a lease is executed and we have the right to control the use of the leased asset. The right-of-use asset is measured as the present value of the lease obligation. The discount rate used to calculate the present value of the lease liability was the Company’s incremental borrowing rate for the applicable geographical region. As of April 2, 2023, there were no significant leases that had not commenced. The table below represents a summary of the balances recorded in the consolidated condensed balance sheets related to the Company’s leases as of April 2, 2023 and January 1, 2023: April 2, 2023 January 1, 2023 Balance Sheet Location Operating Leases Finance Leases Operating Leases Finance Leases (in thousands) Operating lease right-of-use assets $ 80,226 $ 81,644 Current portion of operating lease liabilities $ 11,601 $ 11,857 Operating lease liabilities 71,325 72,305 Total operating lease liabilities $ 82,926 $ 84,162 Property, plant and equipment, net $ 5,838 $ 5,845 Accrued expenses $ 2,173 $ 2,101 Other long-term liabilities 4,050 4,138 Total finance lease liabilities $ 6,223 $ 6,239 Lease Costs Three Months Ended April 2, 2023 April 3, 2022 (in thousands) Finance lease cost: Amortization of right-of-use assets $ 655 $ 517 Interest on lease liabilities 60 29 Operating lease cost 4,703 4,918 Short-term lease cost 356 227 Variable lease cost 733 616 Total lease cost $ 6,507 $ 6,307 Other Supplemental Information Three Months Ended April 2, 2023 April 3, 2022 (in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from finance leases $ 52 $ 21 Operating cash flows from operating leases 4,201 4,635 Financing cash flows from finance leases 643 479 Right-of-use assets obtained in exchange for new finance lease liabilities 557 382 Right-of-use assets obtained in exchange for new operating lease liabilities 1,121 20 Lease Term and Discount Rate The table below presents the weighted average remaining lease terms and discount rates for finance and operating leases as of April 2, 2023 and January 1, 2023: April 2, 2023 January 1, 2023 Weighted-average remaining lease term – finance leases (in years) 3.73 3.82 Weighted-average remaining lease term – operating leases (in years) 9.16 9.29 Weighted-average discount rate – finance leases 4.16 % 3.79 % Weighted-average discount rate – operating leases 5.91 % 5.89 % Maturity Analysis A maturity analysis of lease payments under non-cancellable leases is presented as follows: Fiscal Year Operating Leases Finance Leases (in thousands) 2023 (excluding the three months ended April 2, 2023) $ 10,792 $ 1,761 2024 14,237 2,069 2025 12,463 1,260 2026 12,407 711 2027 10,015 495 Thereafter 49,813 496 Total future minimum lease payments (undiscounted) 109,727 6,792 Less: Present value discount (26,801) (569) Total lease liability $ 82,926 $ 6,223
Leases	LEASES General The Company has operating and finance leases for manufacturing equipment, corporate offices, showrooms, distribution facilities, design centers, as well as computer and office equipment. The Company’s leases have terms ranging from 1 to 20 years, some of which may include options to extend the lease term for up to 5 years, and certain leases may include an option to terminate the lease. Our lease accounting may include these options to extend or terminate a lease when it is reasonably certain that we will exercise that option. The Company records a right-of-use asset and lease liability for leases extending beyond one year for operating and finance leases once a contract that contains a lease is executed and we have the right to control the use of the leased asset. The right-of-use asset is measured as the present value of the lease obligation. The discount rate used to calculate the present value of the lease liability was the Company’s incremental borrowing rate for the applicable geographical region. As of April 2, 2023, there were no significant leases that had not commenced. The table below represents a summary of the balances recorded in the consolidated condensed balance sheets related to the Company’s leases as of April 2, 2023 and January 1, 2023: April 2, 2023 January 1, 2023 Balance Sheet Location Operating Leases Finance Leases Operating Leases Finance Leases (in thousands) Operating lease right-of-use assets $ 80,226 $ 81,644 Current portion of operating lease liabilities $ 11,601 $ 11,857 Operating lease liabilities 71,325 72,305 Total operating lease liabilities $ 82,926 $ 84,162 Property, plant and equipment, net $ 5,838 $ 5,845 Accrued expenses $ 2,173 $ 2,101 Other long-term liabilities 4,050 4,138 Total finance lease liabilities $ 6,223 $ 6,239 Lease Costs Three Months Ended April 2, 2023 April 3, 2022 (in thousands) Finance lease cost: Amortization of right-of-use assets $ 655 $ 517 Interest on lease liabilities 60 29 Operating lease cost 4,703 4,918 Short-term lease cost 356 227 Variable lease cost 733 616 Total lease cost $ 6,507 $ 6,307 Other Supplemental Information Three Months Ended April 2, 2023 April 3, 2022 (in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from finance leases $ 52 $ 21 Operating cash flows from operating leases 4,201 4,635 Financing cash flows from finance leases 643 479 Right-of-use assets obtained in exchange for new finance lease liabilities 557 382 Right-of-use assets obtained in exchange for new operating lease liabilities 1,121 20 Lease Term and Discount Rate The table below presents the weighted average remaining lease terms and discount rates for finance and operating leases as of April 2, 2023 and January 1, 2023: April 2, 2023 January 1, 2023 Weighted-average remaining lease term – finance leases (in years) 3.73 3.82 Weighted-average remaining lease term – operating leases (in years) 9.16 9.29 Weighted-average discount rate – finance leases 4.16 % 3.79 % Weighted-average discount rate – operating leases 5.91 % 5.89 % Maturity Analysis A maturity analysis of lease payments under non-cancellable leases is presented as follows: Fiscal Year Operating Leases Finance Leases (in thousands) 2023 (excluding the three months ended April 2, 2023) $ 10,792 $ 1,761 2024 14,237 2,069 2025 12,463 1,260 2026 12,407 711 2027 10,015 495 Thereafter 49,813 496 Total future minimum lease payments (undiscounted) 109,727 6,792 Less: Present value discount (26,801) (569) Total lease liability $ 82,926 $ 6,223

Employee Benefit Plans

Employee Benefit Plans	3 Months Ended
Employee Benefit Plans	Apr. 02, 2023
Retirement Benefits [Abstract]
Employee Benefit Plans	EMPLOYEE BENEFIT PLANS During the three-month periods ended April 2, 2023 and April 3, 2022, the Company recorded multi-employer pension expense related to multi-employer contributions of $0.6 million and $0.7 million, respectively. The following tables provide the components of net periodic benefit cost for the three months ended April 2, 2023 and April 3, 2022: Three Months Ended Defined Benefit Retirement Plans (Europe) April 2, 2023 April 3, 2022 (in thousands) Interest cost $ 1,735 $ 916 Expected return on plan assets (1,964) (1,059) Amortization of prior service cost 29 32 Amortization of net actuarial losses 223 275 Net periodic benefit cost $ 23 $ 164 Three Months Ended Salary Continuation Plan April 2, 2023 April 3, 2022 (in thousands) Interest cost $ 283 $ 193 Amortization of net actuarial losses 49 139 Net periodic benefit cost $ 332 $ 332 Three Months Ended nora Defined Benefit Plan April 2, 2023 April 3, 2022 (in thousands) Service cost $ 114 $ 225 Interest cost 272 110 Amortization of net actuarial (gains) losses (109) 50 Net periodic benefit cost $ 277 $ 385 In accordance with applicable accounting standards, the service cost component of net periodic benefit costs is presented within operating income in the consolidated condensed statements of operations, while all other components of net periodic benefit costs are presented within other expense, net, in the consolidated condensed statements of operations.

Goodwill and Intangible Assets

Goodwill and Intangible Assets	3 Months Ended
Goodwill and Intangible Assets	Apr. 02, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets	GOODWILL AND INTANGIBLE ASSETS The ending balance and the change in the carrying amounts of good will fo r the three months ended April 2, 2023 are as follows: Goodwill (1) (in thousands) Balance, at January 1, 2023 $ 102,417 Foreign currency translation (2) 1,257 Balance, at April 2, 2023 $ 103,674 (1) The goodwill balance is allocated entirely to the AMS reportable segment. All goodwill allocated to the EAAA reportable segment was previously written off as a result of impairment charges. (2) A portion of the goodwill balance is comprised of goodwill denominated in foreign currency attributable to the nora acquisition.

Segment Information

Segment Information	3 Months Ended
Segment Information	Apr. 02, 2023
Segment Reporting [Abstract]
Segment Information	SEGMENT INFORMATION The Company determines that an operating segment exists if a component (i) engages in business activities from which it earns revenues and incurs expenses, (ii) has operating results that are regularly reviewed by the chief operating decision maker (“CODM”) and (iii) has discrete financial information. Additionally, accounting standards require the utilization of a “management approach” to report the financial results of operating segments, which is based on information used by the CODM to assess performance and make operating and resource allocation decisions. The Company determined that it has two operating segments organized by geographical area – namely (a) Americas (“AMS”) and (b) Europe, Africa, Asia and Australia (collectively “EAAA”). The AMS operating segment includes the United States, Canada and Latin America geographic areas. Pursuant to the management approach discussed above, the Company’s CODM, our chief executive officer, evaluates performance at the AMS and EAAA operating segment levels and makes operating and resource allocation decisions based on segment adjusted operating income (“AOI”), which includes allocations of corporate selling, general and administrative expenses. AOI excludes nora purchase accounting amortization; Thailand plant closure inventory write-down; Cyber Event impact; property casualty loss; and restructuring, asset impairment, severance and other charges. Intersegment revenues for the three months ended April 2, 2023 and April 3, 2022 were $22.6 million and $17.3 million, respectively. Intersegment revenues are eliminated from net sales presented below since these amounts are not included in the information provided to the CODM. The Company has determined that it has two reportable segments – AMS and EAAA, as each operating segment meets the quantitative thresholds defined in the accounting guidance. Segment information for the three months ended April 2, 2023 and April 3, 2022 is presented in the following table: Three Months Ended April 2, 2023 April 3, 2022 (in thousands) Net sales AMS $ 169,241 $ 156,509 EAAA 126,551 131,493 Total net sales $ 295,792 $ 288,002 Segment AOI AMS $ 11,269 $ 21,138 EAAA 3,929 9,504 Depreciation and amortization AMS $ 4,393 $ 4,058 EAAA 5,598 6,612 Total depreciation and amortization $ 9,991 $ 10,670 A reconciliation of the Company’s total operating segment assets to the corresponding consolidated amounts follows: April 2, 2023 January 1, 2023 (in thousands) Assets AMS $ 554,790 $ 588,110 EAAA 655,823 652,921 Total segment assets 1,210,613 1,241,031 Corporate assets 121,418 110,495 Eliminations (78,826) (85,023) Total reported assets $ 1,253,205 $ 1,266,503 Reconciliations of operating income to income (loss) before income tax expense and segment AOI are presented as follows: Three Months Ended April 2, 2023 April 3, 2022 (in thousands) AMS operating income $ 8,715 $ 21,250 EAAA operating income 762 6,170 Consolidated operating income 9,477 27,420 Interest expense 8,505 6,850 Other expense, net 1,500 170 Income (loss) before income tax expense $ (528) $ 20,400 Three Months Ended April 2, 2023 Three Months Ended April 3, 2022 AMS EAAA AMS EAAA (in thousands) Operating income $ 8,715 $ 762 $ 21,250 $ 6,170 Purchase accounting amortization — 1,283 — 1,342 Thailand plant closure inventory write-down — — — 1,115 Cyber Event impact 228 200 — — Property casualty loss 1,300 — — — Restructuring, asset impairment, severance and other charges 1,026 1,684 (112) 877 AOI $ 11,269 $ 3,929 $ 21,138 $ 9,504

Supplemental Cash Flow Informat

Supplemental Cash Flow Information	3 Months Ended
Supplemental Cash Flow Information	Apr. 02, 2023
Supplemental Cash Flow Information [Abstract]
Supplemental Cash Flow Information	SUPPLEMENTAL CASH FLOW INFORMATION Cash payments for interest amounted to $3.7 million and $1.3 million for the three months ended April 2, 2023 and April 3, 2022, respectively. Income tax payments, net of refunds, amounted to $5.1 million and $2.8 million for the three months ended April 2, 2023 and April 3, 2022, respectively. See Note 8 entitled “Leases” for supplemental disclosures related to finance and operating leases. Non-Cash Financing Activities

Income Taxes

Income Taxes	3 Months Ended
Income Taxes	Apr. 02, 2023
Income Tax Disclosure [Abstract]
Income Taxes	INCOME TAXES The Company determines its provision for income taxes for interim periods using an estimate of its annual effective tax rate (“AETR”) and records any changes affecting the estimated AETR in the interim period in which the change occurs, including discrete tax items. During the three months ended April 2, 2023, the Company recorded a total income tax provision of $0.2 million on pre-tax loss of $0.5 million resulting in a negative effective tax rate of 35.2%, as compared to a total income tax provision of $7.1 million on pre-tax income of $20.4 million resulting in an effective tax rate of 34.8% during the three months ended April 3, 2022. The pre-tax loss for the three months ended April 2, 2023 included significant unusual or infrequent items that are specifically excluded from the AETR. The tax effects related to these specifically excluded items are recognized discretely. The income tax benefits recognized discretely were at a lower effective tax rate compared to the estimated AETR resulting in an overall negative effective tax rate for the three months ended April 2, 2023. The year-over-year change in the effective tax rate is primarily due to the tax effects of relatively low pre-tax loss in the current year quarter compared to pre-tax income in the prior year quarter and favorable changes related to the cash surrender value of Company-owned life insurance policies. In the first three months of 2023, the Company increased its liability for unrecognized tax benefits by $0.3 million. As of April 2, 2023, the Company had accrued approximately $6.0 million for unrecognized tax benefits. In accordance with applicable accounting standards, the Company’s deferred tax asset as of April 2, 2023 reflects a reduction for $2.8 million of these unrecognized tax benefits.

Items Reclassified from Accumul

Items Reclassified from Accumulated Other Comprehensive Loss	3 Months Ended
	Apr. 02, 2023
Equity [Abstract]
Items Reclassified from Accumulated Other Comprehensive Loss	ITEMS RECLASSIFIED FROM ACCUMULATED OTHER COMPREHENSIVE LOSS Amounts reclassified out of accumulated other comprehensive loss (“AOCI”), before tax, to the consolidated condensed statements of operations during the three months ended April 2, 2023 and April 3, 2022 are reflected in the table below: Three Months Ended Statement of Operations Location April 2, 2023 April 3, 2022 (in thousands) Interest rate swap contracts loss Interest expense $ (393) $ (893) Amortization of benefit plan net actuarial losses and prior service cost Other expense, net (192) (496) Total loss reclassified from AOCI $ (585) $ (1,389)

Restructuring and Other Charges

Restructuring and Other Charges	3 Months Ended
Restructuring and Other Charges	Apr. 02, 2023
Restructuring and Related Activities [Abstract]
Restructuring and Other Charges	RESTRUCTURING AND OTHER CHARGES Restructuring, asset impairment and other charges are as follows: Three Months Ended April 2, 2023 April 3, 2022 (in thousands) Restructuring, asset impairment and other charges (1) $ 142 $ 887 (1) Charges are attributable to the EAAA reportable segment. 2021 Restructuring Plan A summary of the restructuring reserve balance, recorded within accrued expenses in the consolidated condensed balance sheets, for the 2021 restructuring plan is presented below: Workforce Reduction Retention Bonuses Asset Impairment and Other Related Charges Total (in thousands) Balance, at January 1, 2023 $ 277 $ 179 $ — $ 456 Charged to expenses 23 (19) 138 142 Deductions (300) (160) — (460) Charged to other accounts — — (138) (138) Balance, at April 2, 2023 $ — $ — $ — $ — Below is a discussion of the restructuring plan activities under the 2021 restructuring plan. On September 8, 2021, the Company committed to a new restructuring plan that continued to focus on efforts to improve efficiencies and decrease costs across its worldwide operations. The plan involved a reduction of approximately 188 employees and the closure of the Company’s manufacturing facility in Thailand at the end of the first quarter of 2022. Expected charges and cumulative charges incurred to date under the 2021 restructuring plan are as follows: Workforce Reduction Retention Bonuses Asset Impairment and Other Related Charges Total (in thousands) Estimated expected charges (1) $ 2,281 $ 474 $ 3,259 $ 6,014 Cumulative charges incurred to date (1) 2,281 474 3,259 6,014 (1) Charges are attributable to the EAAA reportable segment. In addition, during the three months ended April 3, 2022, in conjunction with the closure of its Thailand facility, the Company recorded a write-down of inventory of $1.1 million within cost of sales in the consolidated condensed statements of operations. The restructuring plan was expected to result in cash expenditures of approximately $3 million to $4 million for payment of employee severance, employee retention bonuses and other costs to shut down the Thailand manufacturing facility, as described above. The Company expects to complete the restructuring plan in the second quarter of 2023 following the sale of the Thailand manufacturing facility, as described in Note 16 entitled “Assets Held For Sale,” and expects the plan to yield annualized savings of approximately $1.7 million. A portion of the annualized savings was realized on the consolidated condensed statements of operations in fiscal year 2022, with the remaining portion of the annualized savings expected to be realized in fiscal year 2023.

Assets Held for Sale

Assets Held for Sale	3 Months Ended
Assets Held for Sale	Apr. 02, 2023
Discontinued Operations and Disposal Groups [Abstract]
Assets Held for Sale	ASSETS HELD FOR SALE On September 8, 2021, the Company announced a restructuring plan that involved the closure of its manufacturing facility in Thailand and committed to a plan to sell the Thailand facility in connection with this restructuring plan. See Note 15 entitled “Restructuring and Other Charges” for additional information. On March 7, 2023, the Company entered into a binding agreement to sell the Thailand manufacturing facility for approximately $6.7 million. The transaction is expected to close in the second quarter of 2023. The Company determined that the Thailand manufacturing facility met the assets held for sale criteria during the first quarter of 2023. Accordingly, we have reported the carrying value of the manufacturing facility as assets held for sale in the consolidated condensed balance sheet as of April 2, 2023. We discontinued recording depreciation expense on the manufacturing facility once the assets held for sale criteria were met. We determined that the Thailand facility sale did not meet the criteria for classification as discontinued operations.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
Summary of Significant Accounting Policies (Policies)	Apr. 02, 2023
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation References in this Quarterly Report on Form 10-Q to “Interface,” “the Company,” “we,” “our,” “ours” and “us” refer to Interface, Inc. and its subsidiaries or any of them, unless the context requires otherwise. As contemplated by the Securities and Exchange Commission (the “Commission”) instructions to Form 10-Q, the following footnotes have been condensed and, therefore, do not contain all disclosures required in connection with annual financial statements. Reference should be made to the Company’s year-end financial statements and notes thereto contained in its Annual Report on Form 10-K for the fiscal year ended January 1, 2023, as filed with the Commission. The financial information included in this report has been prepared by the Company, without audit. In the opinion of management, the financial information included in this report contains all adjustments necessary for a fair presentation of the results for the interim periods. All such adjustments are of a normal recurring nature unless otherwise disclosed. Nevertheless, the results shown for interim periods are not necessarily indicative of results to be expected for the full year. The January 1, 2023, consolidated condensed balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States (“GAAP”). The three-month periods ended April 2, 2023 and April 3, 2022 both include 13 weeks.
Recent Accounting Pronouncements	Recently Adopted Accounting Pronouncements In June 2022, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) 2022-03, “ Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions .” This ASU clarifies that a contractual restriction on the sale of an equity security is not considered in measuring fair value. The ASU also requires certain disclosures for equity securities subject to contractual sale restrictions. The new guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2023. Early adoption is permitted. The Company adopted this standard on April 2, 2023. The adoption of this standard did not have a material impact on the Company’s consolidated financial statements.

Revenue Recognition (Tables)

Revenue Recognition (Tables)	3 Months Ended
Revenue Recognition (Tables)	Apr. 02, 2023
Revenues [Abstract]
Disaggregation of Revenue	For the three months ended April 2, 2023 and April 3, 2022, revenue from the Company’s customers is broken down by geography as follows: Three Months Ended Geography April 2, 2023 April 3, 2022 Americas 57.2 % 54.4 % Europe 32.0 % 32.6 % Asia-Pacific 10.8 % 13.0 %

Inventories (Tables)

Inventories (Tables)	3 Months Ended
Inventories (Tables)	Apr. 02, 2023
Inventory Disclosure [Abstract]
Schedule of Inventories	Inventories are summarized as follows: April 2, 2023 January 1, 2023 (in thousands) Finished goods $ 224,665 $ 209,478 Work-in-process 19,236 15,463 Raw materials 68,844 81,386 Inventories, net $ 312,745 $ 306,327

Earnings Per Share (Tables)

Earnings Per Share (Tables)	3 Months Ended
Earnings Per Share (Tables)	Apr. 02, 2023
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following table shows the computation of basic and diluted EPS: Three Months Ended April 2, 2023 April 3, 2022 (in thousands, except per share data) Numerator: Net income (loss) $ (714) $ 13,293 Less: distributed and undistributed earnings available to participating securities (9) (190) Distributed and undistributed earnings (loss) available to common shareholders $ (723) $ 13,103 Denominator: Weighted average shares outstanding 57,177 58,403 Participating securities 902 845 Shares for basic EPS 58,079 59,248 Shares for diluted EPS 58,079 59,248 Basic EPS $ (0.01) $ 0.22 Diluted EPS $ (0.01) $ 0.22

Long-Term Debt (Tables)

Long-Term Debt (Tables)	3 Months Ended
Long-Term Debt (Tables)	Apr. 02, 2023
Debt Disclosure [Abstract]
Schedule of Long-Term Debt Instruments	Long-term debt consisted of the following: April 2, 2023 January 1, 2023 Outstanding Principal Interest Rate (1) Outstanding Principal Interest Rate (1) (in thousands) (in thousands) Syndicated Credit Facility: Revolving loan borrowings $ 9,360 5.18 % $ 24,250 5.29 % Term loan borrowings 197,597 6.14 % 202,082 5.84 % Total borrowings under Syndicated Credit Facility 206,957 6.10 % 226,332 5.78 % 5.50% Senior Notes due 2028 300,000 5.50 % 300,000 5.50 % Total debt 506,957 526,332 Less: Unamortized debt issuance costs (5,840) (6,118) Total debt, net 501,117 520,214 Less: Current portion of long-term debt (10,216) (10,211) Total long-term debt, net $ 490,901 $ 510,003 (1) Represents the stated rate of interest, without the effect of debt issuance costs.

Shareholders' Equity (Tables)

Shareholders' Equity (Tables)	3 Months Ended
Shareholders' Equity (Tables)	Apr. 02, 2023
Stockholders' Equity Note [Abstract]
Schedule of Shareholders' Equity	The following tables depict the activity in the accounts which make up shareholders’ equity for the three months ended April 2, 2023 and April 3, 2022: SHARES COMMON STOCK ADDITIONAL PAID-IN CAPITAL RETAINED PENSION LIABILITY FOREIGN CURRENCY TRANSLATION ADJUSTMENT CASH FLOW (in thousands) Balance, at January 1, 2023 58,106 $ 5,811 $ 244,159 $ 278,639 $ (27,548) $ (138,775) $ (749) Net loss — — — (714) — — — Issuances of stock related to performance shares 79 8 (8) — — — — Cash dividends declared, $0.01 per common share — — — (580) — — — Compensation expense related to stock awards, net of forfeitures and shares received for tax withholdings (132) (14) 1,850 — — — — Pension liability adjustment — — — — (279) — — Foreign currency translation adjustment — — — — — 4,930 — Reclassification out of accumulated other comprehensive loss – discontinued cash flow hedge — — — — — — 299 Balance, at April 2, 2023 58,053 $ 5,805 $ 246,001 $ 277,345 $ (27,827) $ (133,845) $ (450) SHARES COMMON STOCK ADDITIONAL PAID-IN CAPITAL RETAINED PENSION LIABILITY FOREIGN CURRENCY TRANSLATION ADJUSTMENT CASH FLOW (in thousands) Balance, at January 2, 2022 59,055 $ 5,905 $ 253,110 $ 261,434 $ (53,888) $ (100,441) $ (2,722) Net income — — — 13,293 — — — Restricted stock issuances 303 30 3,966 — — — — Unamortized compensation expense related to restricted stock awards — — (3,996) — — — — Cash dividends declared, $0.01 per common share — — — (592) — — — Compensation expense related to stock awards, net of shares received for tax withholdings (30) (2) 1,787 — — — — Pension liability adjustment — — — — 1,539 — — Foreign currency translation adjustment — — — — — (13,184) — Reclassification out of accumulated other comprehensive loss – discontinued cash flow hedge — — — — — — 641 Balance, at April 3, 2022 59,328 $ 5,933 $ 254,867 $ 274,135 $ (52,349) $ (113,625) $ (2,081)
Schedule of Restricted Stock Outstanding and Activity	The following table summarizes restricted stock outstanding as of April 2, 2023, as well as activity during the three months then ended: Restricted Shares Weighted Average Outstanding at January 1, 2023 1,006,400 $ 13.91 Granted — — Vested (270,000) 15.15 Forfeited or canceled (6,800) 13.54 Outstanding at April 2, 2023 729,600 $ 13.45
Schedule of Restricted Share Units Outstanding and Activity	The following table summarizes restricted share units outstanding as of April 2, 2023, as well as activity during the three months then ended: Restricted Share Units Weighted Average Outstanding at January 1, 2023 — $ — Granted 586,500 10.39 Vested — — Forfeited or canceled — — Outstanding at April 2, 2023 586,500 $ 10.39
Schedule of Performance Shares Outstanding and Activity	The following table summarizes the performance shares outstanding as of April 2, 2023, as well as the activity during the three months then ended: Performance Shares Weighted Average Outstanding at January 1, 2023 923,600 $ 13.91 Granted 467,500 10.79 Vested (79,400) 15.16 Forfeited or canceled (169,700) 15.13 Outstanding at April 2, 2023 1,142,000 $ 12.36

Leases (Tables)

Leases (Tables)	3 Months Ended
Leases (Tables)	Apr. 02, 2023
Leases [Abstract]
Balance Sheet Information, Lessee	The table below represents a summary of the balances recorded in the consolidated condensed balance sheets related to the Company’s leases as of April 2, 2023 and January 1, 2023: April 2, 2023 January 1, 2023 Balance Sheet Location Operating Leases Finance Leases Operating Leases Finance Leases (in thousands) Operating lease right-of-use assets $ 80,226 $ 81,644 Current portion of operating lease liabilities $ 11,601 $ 11,857 Operating lease liabilities 71,325 72,305 Total operating lease liabilities $ 82,926 $ 84,162 Property, plant and equipment, net $ 5,838 $ 5,845 Accrued expenses $ 2,173 $ 2,101 Other long-term liabilities 4,050 4,138 Total finance lease liabilities $ 6,223 $ 6,239
Schedule of Lease Costs	Lease Costs Three Months Ended April 2, 2023 April 3, 2022 (in thousands) Finance lease cost: Amortization of right-of-use assets $ 655 $ 517 Interest on lease liabilities 60 29 Operating lease cost 4,703 4,918 Short-term lease cost 356 227 Variable lease cost 733 616 Total lease cost $ 6,507 $ 6,307
Other Supplemental Information, Lessee	Other Supplemental Information Three Months Ended April 2, 2023 April 3, 2022 (in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from finance leases $ 52 $ 21 Operating cash flows from operating leases 4,201 4,635 Financing cash flows from finance leases 643 479 Right-of-use assets obtained in exchange for new finance lease liabilities 557 382 Right-of-use assets obtained in exchange for new operating lease liabilities 1,121 20
Weighted Average Lease Term and Discount Rate, Lessee	The table below presents the weighted average remaining lease terms and discount rates for finance and operating leases as of April 2, 2023 and January 1, 2023: April 2, 2023 January 1, 2023 Weighted-average remaining lease term – finance leases (in years) 3.73 3.82 Weighted-average remaining lease term – operating leases (in years) 9.16 9.29 Weighted-average discount rate – finance leases 4.16 % 3.79 % Weighted-average discount rate – operating leases 5.91 % 5.89 %
Lease Liability Maturity Schedule	A maturity analysis of lease payments under non-cancellable leases is presented as follows: Fiscal Year Operating Leases Finance Leases (in thousands) 2023 (excluding the three months ended April 2, 2023) $ 10,792 $ 1,761 2024 14,237 2,069 2025 12,463 1,260 2026 12,407 711 2027 10,015 495 Thereafter 49,813 496 Total future minimum lease payments (undiscounted) 109,727 6,792 Less: Present value discount (26,801) (569) Total lease liability $ 82,926 $ 6,223
Lease Liability Maturity Schedule	A maturity analysis of lease payments under non-cancellable leases is presented as follows: Fiscal Year Operating Leases Finance Leases (in thousands) 2023 (excluding the three months ended April 2, 2023) $ 10,792 $ 1,761 2024 14,237 2,069 2025 12,463 1,260 2026 12,407 711 2027 10,015 495 Thereafter 49,813 496 Total future minimum lease payments (undiscounted) 109,727 6,792 Less: Present value discount (26,801) (569) Total lease liability $ 82,926 $ 6,223

Employee Benefit Plans (Tables)

Employee Benefit Plans (Tables)	3 Months Ended
Employee Benefit Plans (Tables)	Apr. 02, 2023
Retirement Benefits [Abstract]
Schedule of Net Periodic Benefit Cost	The following tables provide the components of net periodic benefit cost for the three months ended April 2, 2023 and April 3, 2022: Three Months Ended Defined Benefit Retirement Plans (Europe) April 2, 2023 April 3, 2022 (in thousands) Interest cost $ 1,735 $ 916 Expected return on plan assets (1,964) (1,059) Amortization of prior service cost 29 32 Amortization of net actuarial losses 223 275 Net periodic benefit cost $ 23 $ 164 Three Months Ended Salary Continuation Plan April 2, 2023 April 3, 2022 (in thousands) Interest cost $ 283 $ 193 Amortization of net actuarial losses 49 139 Net periodic benefit cost $ 332 $ 332 Three Months Ended nora Defined Benefit Plan April 2, 2023 April 3, 2022 (in thousands) Service cost $ 114 $ 225 Interest cost 272 110 Amortization of net actuarial (gains) losses (109) 50 Net periodic benefit cost $ 277 $ 385

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	3 Months Ended
Goodwill and Intangible Assets (Tables)	Apr. 02, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Goodwill	The ending balance and the change in the carrying amounts of good will fo r the three months ended April 2, 2023 are as follows: Goodwill (1) (in thousands) Balance, at January 1, 2023 $ 102,417 Foreign currency translation (2) 1,257 Balance, at April 2, 2023 $ 103,674 (1) The goodwill balance is allocated entirely to the AMS reportable segment. All goodwill allocated to the EAAA reportable segment was previously written off as a result of impairment charges. (2) A portion of the goodwill balance is comprised of goodwill denominated in foreign currency attributable to the nora acquisition.

Segment Information (Tables)

Segment Information (Tables)	3 Months Ended
Segment Information (Tables)	Apr. 02, 2023
Segment Reporting [Abstract]
Schedule of Operating Segment Information	Segment information for the three months ended April 2, 2023 and April 3, 2022 is presented in the following table: Three Months Ended April 2, 2023 April 3, 2022 (in thousands) Net sales AMS $ 169,241 $ 156,509 EAAA 126,551 131,493 Total net sales $ 295,792 $ 288,002 Segment AOI AMS $ 11,269 $ 21,138 EAAA 3,929 9,504 Depreciation and amortization AMS $ 4,393 $ 4,058 EAAA 5,598 6,612 Total depreciation and amortization $ 9,991 $ 10,670
Reconciliation of Assets from Segment to Consolidated	A reconciliation of the Company’s total operating segment assets to the corresponding consolidated amounts follows: April 2, 2023 January 1, 2023 (in thousands) Assets AMS $ 554,790 $ 588,110 EAAA 655,823 652,921 Total segment assets 1,210,613 1,241,031 Corporate assets 121,418 110,495 Eliminations (78,826) (85,023) Total reported assets $ 1,253,205 $ 1,266,503
Reconciliation of Operating Income to Income (Loss) Before Income Tax Expense and Segment AOI	Reconciliations of operating income to income (loss) before income tax expense and segment AOI are presented as follows: Three Months Ended April 2, 2023 April 3, 2022 (in thousands) AMS operating income $ 8,715 $ 21,250 EAAA operating income 762 6,170 Consolidated operating income 9,477 27,420 Interest expense 8,505 6,850 Other expense, net 1,500 170 Income (loss) before income tax expense $ (528) $ 20,400 Three Months Ended April 2, 2023 Three Months Ended April 3, 2022 AMS EAAA AMS EAAA (in thousands) Operating income $ 8,715 $ 762 $ 21,250 $ 6,170 Purchase accounting amortization — 1,283 — 1,342 Thailand plant closure inventory write-down — — — 1,115 Cyber Event impact 228 200 — — Property casualty loss 1,300 — — — Restructuring, asset impairment, severance and other charges 1,026 1,684 (112) 877 AOI $ 11,269 $ 3,929 $ 21,138 $ 9,504

Items Reclassified from Accum_2

Items Reclassified from Accumulated Other Comprehensive Loss (Tables)	3 Months Ended
	Apr. 02, 2023
Equity [Abstract]
Schedule of Items Reclassified out of Accumulated Other Comprehensive Loss	Amounts reclassified out of accumulated other comprehensive loss (“AOCI”), before tax, to the consolidated condensed statements of operations during the three months ended April 2, 2023 and April 3, 2022 are reflected in the table below: Three Months Ended Statement of Operations Location April 2, 2023 April 3, 2022 (in thousands) Interest rate swap contracts loss Interest expense $ (393) $ (893) Amortization of benefit plan net actuarial losses and prior service cost Other expense, net (192) (496) Total loss reclassified from AOCI $ (585) $ (1,389)

Restructuring and Other Charg_2

Restructuring and Other Charges (Tables)	3 Months Ended
Restructuring and Other Charges (Tables)	Apr. 02, 2023
Restructuring and Related Activities [Abstract]
Summary of Restructuring, Asset Impairment and Other Charges	Restructuring, asset impairment and other charges are as follows: Three Months Ended April 2, 2023 April 3, 2022 (in thousands) Restructuring, asset impairment and other charges (1) $ 142 $ 887 (1) Charges are attributable to the EAAA reportable segment.
Schedule of Restructuring Reserve by Type of Cost	A summary of the restructuring reserve balance, recorded within accrued expenses in the consolidated condensed balance sheets, for the 2021 restructuring plan is presented below: Workforce Reduction Retention Bonuses Asset Impairment and Other Related Charges Total (in thousands) Balance, at January 1, 2023 $ 277 $ 179 $ — $ 456 Charged to expenses 23 (19) 138 142 Deductions (300) (160) — (460) Charged to other accounts — — (138) (138) Balance, at April 2, 2023 $ — $ — $ — $ —
Schedule of Expected and Cumulative Restructuring, Asset Impairment and Other Charges	Expected charges and cumulative charges incurred to date under the 2021 restructuring plan are as follows: Workforce Reduction Retention Bonuses Asset Impairment and Other Related Charges Total (in thousands) Estimated expected charges (1) $ 2,281 $ 474 $ 3,259 $ 6,014 Cumulative charges incurred to date (1) 2,281 474 3,259 6,014 (1) Charges are attributable to the EAAA reportable segment.

Revenue Recognition - Narrative

Revenue Recognition - Narrative (Details)	3 Months Ended
Revenue Recognition - Narrative (Details)	Apr. 02, 2023	Apr. 03, 2022
Modular Carpet, Resilient Flooring, Rubber Flooring, and Other Flooring-Related Material
Disaggregation of Revenue [Line Items]
Percent of revenue due to contracts with customers (percentage)	98%	99%
Installation of Carpet and Other Flooring-Related Material
Disaggregation of Revenue [Line Items]
Percent of revenue due to contracts with customers (percentage)	2%	1%

Revenue Recognition - Disaggreg

Revenue Recognition - Disaggregation of Revenue (Details)	3 Months Ended
Revenue Recognition - Disaggregation of Revenue (Details)	Apr. 02, 2023	Apr. 03, 2022
Americas
Disaggregation of Revenue [Line Items]
Percentage of net sales	57.20%	54.40%
Europe
Disaggregation of Revenue [Line Items]
Percentage of net sales	32%	32.60%
Asia-Pacific
Disaggregation of Revenue [Line Items]
Percentage of net sales	10.80%	13%

Inventories - Summary of Invent

Inventories - Summary of Inventories (Details) - USD ($) $ in Thousands	Apr. 02, 2023	Jan. 01, 2023
Inventory Disclosure [Abstract]
Finished goods	$ 224,665	$ 209,478
Work-in-process	19,236	15,463
Raw materials	68,844	81,386
Inventories, net	$ 312,745	$ 306,327

Earnings Per Share - Basic and

Earnings Per Share - Basic and Diluted (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Apr. 02, 2023	Apr. 03, 2022
Numerator:
Net income (loss)	$ (714)	$ 13,293
Distributed and undistributed earnings available to participating securities, basic	(9)	(190)
Distributed and undistributed earnings available to participating securities, diluted	(9)	(190)
Distributed and undistributed earnings (loss) available to common shareholders, basic	(723)	13,103
Distributed and undistributed earnings (loss) available to common shareholders, diluted	$ (723)	$ 13,103
Denominator:
Weighted average shares outstanding (in shares)	57,177	58,403
Participating securities (in shares)	902	845
Shares for basic earnings (loss) per share (in shares)	58,079	59,248
Shares for diluted earnings (loss) per share (in shares)	58,079	59,248
Earnings (loss) per share - basic (in dollars per share)	$ (0.01)	$ 0.22
Earnings (loss) per share - diluted (in dollars per share)	$ (0.01)	$ 0.22

Earnings Per Share - Narrative

Earnings Per Share - Narrative (Details)	3 Months Ended
Earnings Per Share - Narrative (Details)	Apr. 02, 2023 shares
Earnings Per Share [Abstract]
Antidilutive securities excluded from computation of EPS (in shares)	1,728,579

Long-Term Debt - Summary of Lon

Long-Term Debt - Summary of Long-Term Debt (Details) - USD ($) $ in Thousands	Apr. 02, 2023	Jan. 01, 2023
Debt Instrument [Line Items]
Long-term debt, gross	$ 506,957	$ 526,332
Unamortized debt issuance costs, recorded as reduction of long-term debt, net	(5,840)	(6,118)
Total debt, net	501,117	520,214
Current portion of long-term debt	(10,216)	(10,211)
Total long-term debt, net	490,901	510,003
Syndicated Facility Agreement
Debt Instrument [Line Items]
Long-term debt, gross	$ 206,957	$ 226,332
Weighted average interest rate on borrowings outstanding (percentage)	6.10%	5.78%
Syndicated Facility Agreement \| Revolving Loan Facility
Debt Instrument [Line Items]
Long-term debt, gross	$ 9,360	$ 24,250
Long-term debt, bearing variable interest, rate (percentage)	5.18%	5.29%
Syndicated Facility Agreement \| Term Loan
Debt Instrument [Line Items]
Long-term debt, gross	$ 197,597	$ 202,082
Long-term debt, bearing variable interest, rate (percentage)	6.14%	5.84%
Senior Notes
Debt Instrument [Line Items]
Long-term debt, gross	$ 300,000	$ 300,000
Long-term debt, bearing fixed interest, rate (percentage)	5.50%	5.50%

Long-Term Debt - Narrative (Det

Long-Term Debt - Narrative (Details) - USD ($) $ in Thousands	Apr. 02, 2023	Jan. 01, 2023
Debt Instrument [Line Items]
Long-term debt, gross	$ 506,957	$ 526,332
Unamortized debt issuance costs, recorded as reduction of long-term debt, net	5,840	6,118
Syndicated Facility Agreement
Debt Instrument [Line Items]
Letters of credit outstanding	1,600	1,600
Long-term debt, gross	206,957	226,332
Unamortized debt issuance costs, revolving loan facility, net	1,700	1,800
Syndicated Facility Agreement \| Term Loan
Debt Instrument [Line Items]
Long-term debt, gross	197,597	202,082
Term Loan and Senior Notes
Debt Instrument [Line Items]
Unamortized debt issuance costs, recorded as reduction of long-term debt, net	$ 5,800	6,100
Senior Notes
Debt Instrument [Line Items]
Stated interest rate (percentage)	5.50%
Long-term debt, fair value	$ 244,100
Long-term debt, gross	$ 300,000	$ 300,000

Derivative Instruments - Narrat

Derivative Instruments - Narrative (Details) - Interest Rate Swap - USD ($) $ in Millions	3 Months Ended
	Apr. 02, 2023	Jan. 01, 2023	Dec. 02, 2020
Derivative [Line Items]
Derivative, notional amount			$ 250
Accumulated other comprehensive loss, loss of discontinued cash flow hedge, before tax	$ (0.6)	$ (1)
Discontinued cash flow hedge, loss expected to be reclassified to earnings in the next twelve months	$ (0.6)

Shareholders' Equity - Activity

Shareholders' Equity - Activity in Shareholders' Equity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Apr. 02, 2023	Apr. 03, 2022
Increase (Decrease) in Shareholders' Equity [Roll Forward]
Balance at beginning of period	$ 361,537
Net income (loss)	(714)	$ 13,293
Pension liability adjustment	(279)	1,539
Foreign currency translation adjustment	4,930	(13,184)
Reclassification out of accumulated other comprehensive loss - discontinued cash flow hedge	(299)	$ (641)
Balance at end of period	$ 367,029
Cash dividends declared, per common share (in dollars per share)	$ 0.01	$ 0.01
COMMON STOCK
Increase (Decrease) in Shareholders' Equity [Roll Forward]
Balance at beginning of period (in shares)	58,106	59,055
Balance at beginning of period	$ 5,811	$ 5,905
Issuances of stock related to performance shares (in shares)	79
Issuances of stock related to performance shares	$ 8
Restricted stock issuances (in shares)		303
Restricted stock issuances		$ 30
Compensation expense related to stock awards, net of forfeitures and shares received for tax withholdings (in shares)	(132)	(30)
Compensation expense related to stock awards, net of forfeitures and shares received for tax withholdings	$ (14)	$ (2)
Balance at end of period (in shares)	58,053	59,328
Balance at end of period	$ 5,805	$ 5,933
ADDITIONAL PAID-IN CAPITAL
Increase (Decrease) in Shareholders' Equity [Roll Forward]
Balance at beginning of period	244,159	253,110
Issuances of stock related to performance shares	(8)
Restricted stock issuances		3,966
Unamortized compensation expense related to restricted stock awards		(3,996)
Compensation expense related to stock awards, net of forfeitures and shares received for tax withholdings	1,850	1,787
Balance at end of period	246,001	254,867
RETAINED EARNINGS
Increase (Decrease) in Shareholders' Equity [Roll Forward]
Balance at beginning of period	278,639	261,434
Net income (loss)	(714)	13,293
Cash dividends declared	(580)	(592)
Balance at end of period	277,345	274,135
PENSION LIABILITY
Increase (Decrease) in Shareholders' Equity [Roll Forward]
Balance at beginning of period	(27,548)	(53,888)
Pension liability adjustment	(279)	1,539
Balance at end of period	(27,827)	(52,349)
FOREIGN CURRENCY TRANSLATION ADJUSTMENT
Increase (Decrease) in Shareholders' Equity [Roll Forward]
Balance at beginning of period	(138,775)	(100,441)
Foreign currency translation adjustment	4,930	(13,184)
Balance at end of period	(133,845)	(113,625)
CASH FLOW HEDGE
Increase (Decrease) in Shareholders' Equity [Roll Forward]
Balance at beginning of period	(749)	(2,722)
Reclassification out of accumulated other comprehensive loss - discontinued cash flow hedge	299	641
Balance at end of period	$ (450)	$ (2,081)

Shareholders' Equity - Narrativ

Shareholders' Equity - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 02, 2023	Apr. 03, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock compensation amortization expense	$ 3,004	$ 2,182
Compensation expense, tax benefit	$ 300
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock awards granted (in shares)	0
Stock compensation amortization expense	$ 1,400	1,200
Unrecognized compensation expense related to unvested stock awards	$ 4,200
Restricted Stock \| Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period (in years)	1 year
Restricted Stock \| Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period (in years)	3 years
Restricted Share Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock awards granted (in shares)	586,500
Vesting period (in years)	3 years
Stock compensation amortization expense	$ 500
Unrecognized compensation expense related to unvested stock awards	$ 5,600
Number of shares of common stock to be issued for each restricted share unit vested (in shares)	1
Restricted Share Units \| Tranche One
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	33.33%
Restricted Share Units \| Tranche Two
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	33.33%
Restricted Share Units \| Tranche Three
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	33.33%
Performance Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock awards granted (in shares)	467,500
Stock compensation amortization expense	$ 1,100	$ 1,000
Unrecognized compensation expense related to unvested stock awards	$ 9,000
Number of shares that may be issued in settlement of the performance shares to the award recipient, upper limit (percentage)	200%
Performance Shares \| Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period (in years)	1 year
Performance Shares \| Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period (in years)	3 years

Shareholders' Equity - Restrict

Shareholders' Equity - Restricted Stock Outstanding (Details) - Restricted Stock	3 Months Ended
	Apr. 02, 2023 $ / shares shares
Shares
Outstanding at beginning of period (in shares) \| shares	1,006,400
Granted (in shares) \| shares	0
Vested (in shares) \| shares	(270,000)
Forfeited or canceled (in shares) \| shares	(6,800)
Outstanding at end of period (in shares) \| shares	729,600
Weighted Average Grant Date Fair Value
Outstanding at beginning of period, weighted average grant date fair value (in dollars per share) \| $ / shares	$ 13.91
Granted, weighted average grant date fair value (in dollars per share) \| $ / shares	0
Vested, weighted average grant date fair value (in dollars per share) \| $ / shares	15.15
Forfeited or canceled, weighted average grant date fair value (in dollars per share) \| $ / shares	13.54
Outstanding at end of period, weighted average grant date fair value (in dollars per share) \| $ / shares	$ 13.45

Shareholders' Equity - Restri_2

Shareholders' Equity - Restricted Share Units Outstanding (Details) - Restricted Share Units	3 Months Ended
	Apr. 02, 2023 $ / shares shares
Shares
Outstanding at beginning of period (in shares) \| shares	0
Granted (in shares) \| shares	586,500
Vested (in shares) \| shares	0
Forfeited or canceled (in shares) \| shares	0
Outstanding at end of period (in shares) \| shares	586,500
Weighted Average Grant Date Fair Value
Outstanding at beginning of period, weighted average grant date fair value (in dollars per share) \| $ / shares	$ 0
Granted, weighted average grant date fair value (in dollars per share) \| $ / shares	10.39
Vested, weighted average grant date fair value (in dollars per share) \| $ / shares	0
Forfeited or canceled, weighted average grant date fair value (in dollars per share) \| $ / shares	0
Outstanding at end of period, weighted average grant date fair value (in dollars per share) \| $ / shares	$ 10.39

Shareholders' Equity - Performa

Shareholders' Equity - Performance Shares Outstanding (Details) - Performance Shares	3 Months Ended
	Apr. 02, 2023 $ / shares shares
Shares
Outstanding at beginning of period (in shares) \| shares	923,600
Granted (in shares) \| shares	467,500
Vested (in shares) \| shares	(79,400)
Forfeited or canceled (in shares) \| shares	(169,700)
Outstanding at end of period (in shares) \| shares	1,142,000
Weighted Average Grant Date Fair Value
Outstanding at beginning of period, weighted average grant date fair value (in dollars per share) \| $ / shares	$ 13.91
Granted, weighted average grant date fair value (in dollars per share) \| $ / shares	10.79
Vested, weighted average grant date fair value (in dollars per share) \| $ / shares	15.16
Forfeited or canceled, weighted average grant date fair value (in dollars per share) \| $ / shares	15.13
Outstanding at end of period, weighted average grant date fair value (in dollars per share) \| $ / shares	$ 12.36

Leases - Narrative (Details)

Leases - Narrative (Details)	3 Months Ended
Leases - Narrative (Details)	Apr. 02, 2023
Lessee, Lease, Description [Line Items]
Lease renewal term	5 years
Minimum
Lessee, Lease, Description [Line Items]
Lease contract term	1 year
Maximum
Lessee, Lease, Description [Line Items]
Lease contract term	20 years

Leases - Balance Sheet Informat

Leases - Balance Sheet Information (Details) - USD ($) $ in Thousands	Apr. 02, 2023	Jan. 01, 2023
Leases [Abstract]
Operating lease right-of-use assets	$ 80,226	$ 81,644
Current portion of operating lease liabilities	11,601	11,857
Operating lease liabilities	71,325	72,305
Total operating lease liabilities	82,926	84,162
Finance lease right-of-use assets, net	$ 5,838	$ 5,845
Finance lease right-of-use asset, consolidated condensed balance sheet location	Property, plant and equipment, net	Property, plant and equipment, net
Current portion of finance lease liabilities	$ 2,173	$ 2,101
Finance lease liability, current, consolidated condensed balance sheet location	Accrued expenses	Accrued expenses
Finance lease liabilities	$ 4,050	$ 4,138
Finance lease liability, noncurrent, consolidated condensed balance sheet location	Other long-term liabilities	Other long-term liabilities
Total finance lease liabilities	$ 6,223	$ 6,239

Leases - Lease Costs (Details)

Leases - Lease Costs (Details) - USD ($) $ in Thousands	3 Months Ended
Leases - Lease Costs (Details) - USD ($) $ in Thousands	Apr. 02, 2023	Apr. 03, 2022
Leases [Abstract]
Finance lease cost: Amortization of right-of-use assets	$ 655	$ 517
Finance lease cost: Interest on lease liabilities	60	29
Operating lease cost	4,703	4,918
Short-term lease cost	356	227
Variable lease cost	733	616
Total lease cost	$ 6,507	$ 6,307

Leases - Other Supplemental Inf

Leases - Other Supplemental Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 02, 2023	Apr. 03, 2022
Leases [Abstract]
Operating cash flows from finance leases	$ 52	$ 21
Operating cash flows from operating leases	4,201	4,635
Financing cash flows from finance leases	643	479
Right-of-use assets obtained in exchange for new finance lease liabilities	557	382
Right-of-use assets obtained in exchange for new operating lease liabilities	$ 1,121	$ 20

Leases - Lease Term and Discoun

Leases - Lease Term and Discount Rate (Details)	Apr. 02, 2023	Jan. 01, 2023
Leases [Abstract]
Weighted-average remaining lease term – finance leases (in years)	3 years 8 months 23 days	3 years 9 months 25 days
Weighted-average remaining lease term – operating leases (in years)	9 years 1 month 28 days	9 years 3 months 14 days
Weighted-average discount rate – finance leases (percentage)	4.16%	3.79%
Weighted-average discount rate – operating leases (percentage)	5.91%	5.89%

Leases - Maturity of Lease Paym

Leases - Maturity of Lease Payments (Details) - USD ($) $ in Thousands	Apr. 02, 2023	Jan. 01, 2023
Lessee, Operating Lease, Liability, Payment, Due [Abstract]
2023 (excluding the three months ended April 2, 2023)	$ 10,792
2024	14,237
2025	12,463
2026	12,407
2027	10,015
Thereafter	49,813
Total future minimum lease payments (undiscounted)	109,727
Less: Present value discount	(26,801)
Total lease liability	82,926	$ 84,162
Lessee, Finance Lease, Liability, Payment, Due [Abstract]
2023 (excluding the three months ended April 2, 2023)	1,761
2024	2,069
2025	1,260
2026	711
2027	495
Thereafter	496
Total future minimum lease payments (undiscounted)	6,792
Less: Present value discount	(569)
Total lease liability	$ 6,223	$ 6,239

Employee Benefit Plans - Narrat

Employee Benefit Plans - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Apr. 02, 2023	Apr. 03, 2022
Retirement Benefits [Abstract]
Multiemployer plan, employer contribution	$ 0.6	$ 0.7

Employee Benefit Plans - Schedu

Employee Benefit Plans - Schedule of Net Periodic Benefit Cost (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 02, 2023	Apr. 03, 2022
Europe
Defined Benefit Plans and Other Postretirement Benefit Plans [Line Items]
Interest cost	$ 1,735	$ 916
Expected return on plan assets	(1,964)	(1,059)
Amortization of prior service cost	29	32
Amortization of net actuarial (gains) losses	223	275
Net periodic benefit cost	23	164
Salary Continuation Plan \| United States
Defined Benefit Plans and Other Postretirement Benefit Plans [Line Items]
Interest cost	283	193
Amortization of net actuarial (gains) losses	49	139
Net periodic benefit cost	332	332
nora Defined Benefit Plan
Defined Benefit Plans and Other Postretirement Benefit Plans [Line Items]
Service cost	114	225
Interest cost	272	110
Amortization of net actuarial (gains) losses	(109)	50
Net periodic benefit cost	$ 277	$ 385

Goodwill and Intangible Asset_2

Goodwill and Intangible Assets - Changes in Carrying Amounts of Goodwill (Details) - Operating Segments - AMS $ in Thousands	3 Months Ended
	Apr. 02, 2023 USD ($)
Goodwill [Roll Forward]
Balance at beginning of period	$ 102,417
Foreign currency translation	1,257
Balance at end of period	$ 103,674

Goodwill and Intangible Asset_3

Goodwill and Intangible Assets - Narrative (Details) - USD ($) $ in Millions	Apr. 02, 2023	Jan. 01, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Carrying value of intangible assets, net (excluding goodwill)	$ 59.2	$ 59.8

Segment Information - Narrative

Segment Information - Narrative (Details) $ in Millions	3 Months Ended
Segment Information - Narrative (Details) $ in Millions	Apr. 02, 2023 USD ($)	Apr. 03, 2022 USD ($)
Segment Reporting [Abstract]
Number of operating segments	2
Number of reportable segments	2
Intersegment revenues	$ 22.6	$ 17.3

Segment Information - Operating

Segment Information - Operating Segments (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 02, 2023	Apr. 03, 2022
Segment Reporting Information [Line Items]
Net sales	$ 295,792	$ 288,002
Depreciation and amortization	9,991	10,670
Operating Segments \| AMS
Segment Reporting Information [Line Items]
Net sales	169,241	156,509
AOI	11,269	21,138
Depreciation and amortization	4,393	4,058
Operating Segments \| EAAA
Segment Reporting Information [Line Items]
Net sales	126,551	131,493
AOI	3,929	9,504
Depreciation and amortization	$ 5,598	$ 6,612

Segment Information - Reconcili

Segment Information - Reconciliation of Segment Assets (Details) - USD ($) $ in Thousands	Apr. 02, 2023	Jan. 01, 2023
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	$ 1,253,205	$ 1,266,503
Operating Segments
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	1,210,613	1,241,031
Operating Segments \| AMS
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	554,790	588,110
Operating Segments \| EAAA
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	655,823	652,921
Corporate, Non-Segment
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	121,418	110,495
Eliminations
Segment Reporting, Asset Reconciling Item [Line Items]
Assets	$ (78,826)	$ (85,023)

Segment Information - Reconci_2

Segment Information - Reconciliation of Segment AOI (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 02, 2023	Apr. 03, 2022
Segment Reporting, Reconciling Item for Operating Income from Segment to Consolidated [Line Items]
Operating income	$ 9,477	$ 27,420
Interest expense	8,505	6,850
Other expense, net	1,500	170
Income (loss) before income tax expense	(528)	20,400
Purchase accounting amortization	1,283	1,342
Operating Segments \| AMS
Segment Reporting, Reconciling Item for Operating Income from Segment to Consolidated [Line Items]
Operating income	8,715	21,250
Purchase accounting amortization	0	0
Thailand plant closure inventory write-down	0	0
Cyber Event impact	228	0
Property casualty loss	1,300	0
Restructuring, asset impairment, severance and other charges	1,026	(112)
AOI	11,269	21,138
Operating Segments \| EAAA
Segment Reporting, Reconciling Item for Operating Income from Segment to Consolidated [Line Items]
Operating income	762	6,170
Purchase accounting amortization	1,283	1,342
Thailand plant closure inventory write-down	0	1,115
Cyber Event impact	200	0
Property casualty loss	0	0
Restructuring, asset impairment, severance and other charges	1,684	877
AOI	$ 3,929	$ 9,504

Supplemental Cash Flow Inform_2

Supplemental Cash Flow Information - Narrative (Details) - USD ($) $ in Millions		3 Months Ended
	Mar. 14, 2023	Apr. 02, 2023	Apr. 03, 2022
Supplemental Cash Flow Information [Abstract]
Cash payments for interest		$ 3.7	$ 1.3
Income tax payments, net of refunds		$ 5.1	$ 2.8
Accrued Expenses
Non-Cash Financing Activities [Line Items]
Cash dividends declared on common stock	$ 0.6

Income Taxes - Narrative (Detai

Income Taxes - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended
Income Taxes - Narrative (Details) - USD ($) $ in Thousands	Apr. 02, 2023	Apr. 03, 2022
Income Tax Disclosure [Abstract]
Income tax expense	$ 186	$ 7,107
Income (loss) before income tax expense	$ (528)	$ 20,400
Effective income tax rate (percentage)	(35.20%)	34.80%
Unrecognized tax benefits, period increase (decrease)	$ 300
Unrecognized tax benefits	6,000
Reduction of deferred tax asset for unrecognized tax benefits	2,800
Amount of unrecognized tax benefit reasonably possible to be recognized in next twelve months	1,100
Unrecognized tax benefits that would impact effective tax rate	$ 400

Items Reclassified from Accum_3

Items Reclassified from Accumulated Other Comprehensive Loss - Schedule of Items Reclassified from Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 02, 2023	Apr. 03, 2022
Equity [Abstract]
Interest rate swap contracts loss	$ (393)	$ (893)
Discontinued cash flow hedge, reclassification out of accumulated other comprehensive loss, consolidated condensed statement of operations location	Interest expense	Interest expense
Amortization of benefit plan net actuarial losses and prior service cost	$ (192)	$ (496)
Total loss reclassified from accumulated other comprehensive loss	$ (585)	$ (1,389)

Restructuring and Other Charg_3

Restructuring and Other Charges - Restructuring, Asset Impairment and Other Charges (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 02, 2023	Apr. 03, 2022
Restructuring Activities [Line Items]
Restructuring, asset impairment and other charges	$ 142	$ 887
Operating Segments \| EAAA
Restructuring Activities [Line Items]
Restructuring, asset impairment and other charges	$ 142	$ 887

Restructuring and Other Charg_4

Restructuring and Other Charges - Summary of Restructuring Reserve (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 02, 2023	Apr. 03, 2022
Restructuring Reserve [Roll Forward]
Balance at beginning of period	$ 456
Charged to expenses	142	$ 887
Deductions	(460)
Charged to other accounts	(138)
Balance at end of period	0
2021 Restructuring Plan \| Workforce Reduction
Restructuring Reserve [Roll Forward]
Balance at beginning of period	277
Charged to expenses	23
Deductions	(300)
Balance at end of period	0
2021 Restructuring Plan \| Retention Bonuses
Restructuring Reserve [Roll Forward]
Balance at beginning of period	179
Charged to expenses	(19)
Deductions	(160)
Balance at end of period	0
2021 Restructuring Plan \| Asset Impairment and Other Related Charges
Restructuring Reserve [Roll Forward]
Charged to expenses	138
Charged to other accounts	$ (138)

Restructuring and Other Charg_5

Restructuring and Other Charges - Narrative (Details) $ in Thousands		3 Months Ended
	Sep. 08, 2021	Apr. 02, 2023 USD ($)	Apr. 03, 2022 USD ($)
Operating Segments \| EAAA
Restructuring Activities [Line Items]
Thailand plant closure inventory write-down		$ 0	$ 1,115
2021 Restructuring Plan
Restructuring Activities [Line Items]
Number of employees eliminated	188
Expected annualized savings from restructuring		1,700
2021 Restructuring Plan \| Minimum
Restructuring Activities [Line Items]
Cash expenditures for restructuring		3,000
2021 Restructuring Plan \| Maximum
Restructuring Activities [Line Items]
Cash expenditures for restructuring		$ 4,000
2021 Restructuring Plan \| Operating Segments \| EAAA \| Cost of Sales
Restructuring Activities [Line Items]
Thailand plant closure inventory write-down			$ 1,100

Restructuring and Other Charg_6

Restructuring and Other Charges - Expected and Cumulative Charges (Details) - 2021 Restructuring Plan - Operating Segments - EAAA $ in Thousands	Apr. 02, 2023 USD ($)
Restructuring Activities [Line Items]
Estimated expected charges	$ 6,014
Cumulative charges incurred to date	6,014
Workforce Reduction
Restructuring Activities [Line Items]
Estimated expected charges	2,281
Cumulative charges incurred to date	2,281
Retention Bonuses
Restructuring Activities [Line Items]
Estimated expected charges	474
Cumulative charges incurred to date	474
Asset Impairment and Other Related Charges
Restructuring Activities [Line Items]
Estimated expected charges	3,259
Cumulative charges incurred to date	$ 3,259

Assets Held for Sale - Narrativ

Assets Held for Sale - Narrative (Details) $ in Millions	3 Months Ended
Assets Held for Sale - Narrative (Details) $ in Millions	Jul. 02, 2023 USD ($)
Subsequent Event
Assets Held for Sale [Line Items]
Sale price of assets held for sale	$ 6.7