10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

____________________________

FORM 10-Q

____________________________

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 25, 2022

or

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _____ to _____

Commission File Number: 001-38000

____________________________

JELD-WEN Holding, Inc.

(Exact name of registrant as specified in its charter)

____________________________

Delaware	93-1273278
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

2645 Silver Crescent Drive

Charlotte, North Carolina 28273

(Address of principal executive offices, zip code)

(704) 378-5700

(Registrant’s telephone number, including area code)

____________________________

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock (par value $0.01 per share)	JELD	New York Stock Exchange

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes x No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☒	Accelerated filer	☐
Non-accelerated filer	o	Smaller reporting company	☐
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

The registrant had 84,258,862 shares of Common Stock, par value $0.01 per share, outstanding as of July 28, 2022.

JELD-WEN HOLDING, Inc.

- Table of Contents –

		Page No.
Part I - Financial Information
Item 1.	Unaudited Financial Statements
	Consolidated Statements of Operations	6
	Consolidated Statements of Comprehensive Income (Loss)	7
	Consolidated Balance Sheets	8
	Consolidated Statements of Equity	9
	Consolidated Statements of Cash Flows	11
	Notes to Unaudited Consolidated Financial Statements	12
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	32
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	41
Item 4.	Controls and Procedures	41
Part II - Other Information
Item 1.	Legal Proceedings	42
Item 1A.	Risk Factors	42
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	42
Item 5.	Other Information	42
Item 6.	Exhibits	43
	Signature	44

2

Glossary of Terms

When the following terms and abbreviations appear in the text of this report, they have the meanings indicated below:

10-K	Annual Report on Form 10-K for the fiscal year ended December 31, 2021
ABL Facility	Our $500 million asset-based loan revolving credit facility, dated as of October 15, 2014 and as amended from time to time, with JWI (as hereinafter defined) and JELD-WEN of Canada, Ltd., as borrowers, the guarantors party thereto, a syndicate of lenders, and Wells Fargo Bank, N.A., as administrative agent
Adjusted EBITDA	A supplemental non-GAAP financial measure of operating performance not based on any standardized methodology prescribed by GAAP that we define as net income (loss), adjusted for the following items: loss from discontinued operations, net of tax; equity earnings of non-consolidated entities; income tax (benefit) expense; depreciation and amortization; interest expense, net; impairment and restructuring charges; gain on previously held shares of equity investment; (gain) loss on sale of property and equipment; share-based compensation expense; non-cash foreign exchange transaction/translation (income) loss; other non-cash items; other items; and costs related to debt restructuring and debt refinancing
ASC	Accounting Standards Codification
ASU	Accounting Standards Update
AUD	Australian Dollar
Australia Senior Secured Credit Facility	Our senior secured credit facility, dated as of October 6, 2015 and as amended from time to time, with certain of our Australian subsidiaries, as borrowers, and Australia and New Zealand Banking Group Limited, as lender
BBSY	Bank Bill Swap Bid Rate
CAP	Cleanup Action Plan
CEO	Chief Executive Officer
CFO	Chief Financial Officer
CARES Act	Coronavirus Aid, Relief, and Economic Security Act enacted on March 27, 2020
Charter	Amended and Restated Certificate of Incorporation of JELD-WEN Holding, Inc.
CMI	JWI d/b/a CraftMaster Manufacturing, Inc.
COA	Consent Order and Agreement
CODM	Chief Operating Decision Maker, which is our Chief Executive Officer
Common Stock	The 900,000,000 shares of common stock, par value $0.01 per share, authorized under our Charter
Core Revenues	Revenue excluding the impact of foreign exchange and acquisitions completed in the last twelve months
Corporate Credit Facilities	Collectively, our ABL Facility and our Term Loan Facility
COVID-19	A novel strain of the 2019-nCov coronavirus
Credit Facilities	Collectively, our Corporate Credit Facilities and our Australia Senior Secured Credit Facility as well as other acquired term loans and revolving credit facilities
DKK	Danish Krone
ERP	Enterprise Resource Planning
Exchange Act	Securities Exchange Act of 1934, as amended
FASB	Financial Accounting Standards Board
GAAP	Generally Accepted Accounting Principles in the United States
GHGs	Greenhouse Gases
GILTI	Global Intangible Low-Taxed Income
JELD-WEN	JELD-WEN Holding, Inc., together with its consolidated subsidiaries where the context requires
JEM	JELD-WEN Excellence Model
JWA	JELD-WEN of Australia Pty. Ltd.
JWI	JELD-WEN, Inc., a Delaware corporation
LIBOR	London Interbank Offered Rate

3

MD&A	Management’s Discussion and Analysis of Financial Condition and Results of Operations
Onex	Onex Partners III LP and certain affiliates
PaDEP	Pennsylvania Department of Environmental Protection
PLP	Potential Liability Party
Preferred Stock	90,000,000 shares of Preferred Stock, par value $0.01 per share, authorized under our Charter
PSU	Performance Stock Unit
R&R	Repair and Remodel
RSU	Restricted Stock Unit
SEC	Securities and Exchange Commission
Securities Act	Securities Act of 1933, as amended
Senior Notes	$800.0 million of unsecured notes issued in December 2017 in a private placement in two tranches: $400.0 million bearing interest at 4.625% and maturing in December 2025 and $400.0 million bearing interest at 4.875% and maturing in December 2027
Senior Secured Notes	$250.0 million of senior secured notes issued in May 2020 in a private placement bearing interest at 6.25% and maturing in May 2025
SG&A	Selling, general, and administrative expenses
Tax Act	Tax Cuts and Jobs Act
Term Loan Facility	Our term loan facility, dated as of October 15, 2014, and as amended from time to time with JWI, as borrower, the guarantors party thereto, a syndicate of lenders, and Bank of America, N.A., as administrative agent
Common Stock	900,000,000 shares of common stock, with a par value of $0.01 per share
U.S.	United States of America
WADOE	Washington State Department of Ecology
Working Capital	Accounts receivable plus inventory less accounts payable

4

CERTAIN TRADEMARKS, TRADE NAMES, AND SERVICE MARKS

    This report includes trademarks, trade names, and service marks owned by us. Our U.S. window and door trademarks include JELD-WEN®, AuraLast®, MiraTEC®, Extira®, LaCANTINA®, MMI Door®, KaronaTM, ImpactGard®, JW®, Aurora®, IWP®, True BLU®, ABSTM, Siteline®, National Door®, Low-Friction Glider®, Hydrolock®, and VPITM. Our trademarks are either registered or have been used as common law trademarks by us. The trademarks we use outside the U.S. include the Stegbar®, Regency®, William Russell Doors®, Airlite®, Trend®, The Perfect FitTM, Aneeta®, Breezway®, KolderTM , Corinthian® and A&L Windows® marks in Australia, and Swedoor®, Dooria®, DANA®, MattioviTM, Zargag® , Alupan®, and Domoferm® marks in Europe. ENERGY STAR® is a registered trademark of the U.S. Environmental Protection Agency. This report contains additional trademarks, trade names, and service marks of others, which are, to our knowledge, the property of their respective owners. Solely for convenience, trademarks, trade names, and service marks referred to in this report appear without the ®, ™ or SM symbols, but such references are not intended to indicate, in any way, that we will not assert, to the fullest extent under applicable law, our rights or the right of the applicable licensor to these trademarks, trade names, and service marks. We do not intend our use of other parties’ trademarks, trade names, or service marks to imply, and such use or display should not be construed to imply, a relationship with, or endorsement or sponsorship of us by, these other parties.

5

PART I - FINANCIAL INFORMATION

Item 1 -Unaudited Financial Statements

JELD-WEN HOLDING, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited)

	Three Months Ended				Six Months Ended
(amounts in thousands, except share and per share data)	June 25, 2022		June 26, 2021		June 25, 2022		June 26, 2021
Net revenues	$	1,330,968	$	1,245,815	$	2,501,990	$	2,338,198
Cost of sales	1,084,803		953,898		2,052,527		1,810,342
Gross margin	246,165		291,917		449,463		527,856
Selling, general and administrative	180,487		188,691		373,483		380,245
Impairment and restructuring charges	5,296		1,145		5,297		2,072
Operating income	60,382		102,081		70,683		145,539
Interest expense, net	20,222		18,860		38,576		37,315
Other (income) expense	(20,887)		152		(28,224)		(10,689)
Income before taxes	61,047		83,069		60,331		118,913
Income tax expense	15,221		22,359		15,033		32,718
Net income	$	45,826	$	60,710	$	45,298	$	86,195
Weighted average common shares outstanding:
Basic	87,219,078		99,514,890		88,466,982		99,991,045
Diluted	87,967,049		101,670,624		89,557,956		102,141,889
Net income per share
Basic	$	0.53	$	0.61	$	0.51	$	0.86
Diluted	$	0.52	$	0.60	$	0.51	$	0.84

The accompanying notes are an integral part of these unaudited Consolidated Financial Statements.

6

JELD-WEN HOLDING, INC.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(unaudited)

	Three Months Ended				Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021		June 25, 2022		June 26, 2021
Net income	$	45,826	$	60,710	$	45,298	$	86,195
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments, net of tax expense of $112, $4, $102, and $13, respectively	(62,228)		12,379		(66,261)		(27,705)
Interest rate hedge adjustments, net of tax expense of $793, $139, $3,097, and $486, respectively	2,337		413		9,123		1,438
Defined benefit pension plans, net of tax expense of $392, $649, $542, and $1,483, respectively	510		1,524		911		3,525
Total other comprehensive income (loss), net of tax	(59,381)		14,316		(56,227)		(22,742)
Comprehensive (loss) income	$	(13,555)	$	75,026	$	(10,929)	$	63,453

The accompanying notes are an integral part of these unaudited Consolidated Financial Statements.

7

JELD-WEN HOLDING, INC.

CONSOLIDATED BALANCE SHEETS

(unaudited)

(amounts in thousands, except share and per share data)	June 25, 2022		December 31, 2021
ASSETS
Current assets
Cash and cash equivalents	$	272,510	$	395,596
Restricted cash	1,405		1,294
Accounts receivable, net	698,893		552,041
Inventories	723,265		615,971
Other current assets	90,455		55,531
Assets held for sale	122,428		119,424
Total current assets	1,908,956		1,739,857
Property and equipment, net	762,768		798,804
Deferred tax assets	198,199		204,232
Goodwill	519,165		545,213
Intangible assets, net	204,351		222,181
Operating lease assets, net	191,160		201,781
Other assets	30,711		26,603
Total assets	$	3,815,310	$	3,738,671
LIABILITIES AND EQUITY
Current liabilities
Accounts payable	$	420,885	$	418,774
Accrued payroll and benefits	145,265		135,989
Accrued expenses and other current liabilities	290,101		289,676
Current maturities of long-term debt	30,815		38,561
Liabilities held for sale	6,242		5,868
Total current liabilities	893,308		888,868
Long-term debt	1,867,838		1,667,696
Unfunded pension liability	56,143		61,438
Operating lease liability	156,799		166,318
Deferred credits and other liabilities	96,433		102,879
Deferred tax liabilities	8,282		9,254
Total liabilities	3,078,803		2,896,453
Commitments and contingencies (Note 19)
Shareholders’ equity
Preferred Stock, par value $0.01 per share, 90,000,000 shares authorized; no shares issued and outstanding	—		—
Common Stock: 900,000,000 shares authorized, par value $0.01 per share, 85,857,994 shares outstanding as of June 25, 2022; 900,000,000 shares authorized, par value $0.01 per share, 90,193,550 shares outstanding as of December 31, 2021	859		902
Additional paid-in capital	730,290		719,451
Retained earnings	155,331		215,611
Accumulated other comprehensive loss	(149,973)		(93,746)
Total shareholders’ equity	736,507		842,218
Total liabilities and shareholders’ equity	$	3,815,310	$	3,738,671

The accompanying notes are an integral part of these unaudited Consolidated Financial Statements.

8

JELD-WEN HOLDING, INC.

CONSOLIDATED STATEMENTS OF EQUITY

	Three Months Ended
	June 25, 2022			June 26, 2021
(amounts in thousands, except share and per share amounts)	Shares	Amount		Shares	Amount
Preferred stock, $0.01 par value per share	—	$	—	—	$	—
Common stock, $0.01 par value per share
Balance at beginning of period	89,136,454	$	891	100,146,904	$	1,001
Shares issued for exercise/vesting of share-based compensation awards	153,713	2		183,525	2
Shares repurchased	(3,430,006)	(34)		(1,177,757)	(12)
Shares surrendered for tax obligations for employee share-based transactions	(2,167)	—		(20,890)	—
Balance at period end	85,857,994	$	859	99,131,782	$	991
Additional paid-in capital
Balance at beginning of period		$	728,389		$	698,763
Shares issued for exercise/vesting of share-based compensation awards		1,021			1,060
Shares surrendered for tax obligations for employee share-based transactions		(45)			(562)
Amortization of share-based compensation		1,598			7,526
Balance at period end		730,963			706,787
Employee stock notes
Balance at beginning of period		(673)			(673)
Net issuances, payments and accrued interest on notes		—			—
Balance at period end		(673)			(673)
Balance at period end		$	730,290		$	706,114
Retained earnings
Balance at beginning of period		$	173,760		$	373,812
Shares repurchased		(64,255)			(33,739)
Net income		45,826			60,710
Balance at period end		$	155,331		$	400,783
Accumulated other comprehensive income (loss)
Balance at beginning of period		$	(90,592)		$	(95,751)
Foreign currency adjustments		(62,228)			12,379
Unrealized gain on interest rate hedges		2,337			413
Net actuarial pension gain		510			1,524
Balance at period end		$	(149,973)		$	(81,435)
Total shareholders’ equity at period end		$	736,507		$	1,026,453

The accompanying notes are an integral part of these unaudited Consolidated Financial Statements.

9

JELD-WEN HOLDING, INC.

CONSOLIDATED STATEMENTS OF EQUITY

(unaudited)

	Six Months Ended
	June 25, 2022			June 26, 2021
(amounts in thousands, except share and per share amounts)	Shares	Amount		Shares	Amount
Preferred stock, $0.01 par value per share	—	$	—	—	$	—
Common stock, $0.01 par value per share
Balance at beginning of period	90,193,550	$	902	100,806,068	$	1,008
Shares issued for exercise/vesting of share-based compensation awards	977,787	10		360,808	4
Shares repurchased	(5,207,272)	(52)		(1,987,641)	(20)
Shares surrendered for tax obligations for employee share-based transactions	(106,071)	(1)		(47,453)	(1)
Balance at period end	85,857,994	$	859	99,131,782	$	991
Additional paid-in capital
Balance at beginning of period		$	720,124		$	691,360
Shares issued for exercise/vesting of share-based compensation awards		2,000			2,323
Shares surrendered for tax obligations for employee share-based transactions		(2,423)			(1,277)
Amortization of share-based compensation		11,262			14,381
Balance at period end		730,963			706,787
Employee stock notes
Balance at beginning of period		(673)			(673)
Net issuances, payments and accrued interest on notes		—			—
Balance at period end		(673)			(673)
Balance at period end		$	730,290		$	706,114
Retained earnings
Balance at beginning of period		$	215,611		$	371,462
Shares repurchased		(105,578)			(56,874)
Net income		45,298			86,195
Balance at period end		$	155,331		$	400,783
Accumulated other comprehensive income (loss)
Balance at beginning of period		$	(93,746)		$	(58,693)
Foreign currency adjustments		(66,261)			(27,705)
Unrealized gain on interest rate hedges		9,123			1,438
Net actuarial pension gain		911			3,525
Balance at period end		$	(149,973)		$	(81,435)
Total shareholders’ equity at period end		$	736,507		$	1,026,453

The accompanying notes are an integral part of these unaudited Consolidated Financial Statements

10

JELD-WEN HOLDING, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(unaudited)

	Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021
OPERATING ACTIVITIES
Net income	$	45,298	$	86,195
Adjustments to reconcile net income to cash used in operating activities:
Depreciation and amortization	65,078		69,675
Deferred income taxes	(2,193)		5,313
Loss on sale or disposal of business units, property, and equipment	189		362
Adjustment to carrying value of assets	534		1,175
Amortization of deferred financing costs	1,512		1,455
Stock-based compensation	11,262		14,381
Amortization of U.S. pension expense	700		4,650
Recovery of cost from interest received on impaired notes	(13,412)		—
Other items, net	27,231		(5,218)
Net change in operating assets and liabilities, net of effect of acquisitions:
Accounts receivable	(170,071)		(144,365)
Inventories	(126,932)		(50,245)
Other assets	(32,229)		(14,862)
Accounts payable and accrued expenses	37,647		68,867
Change in short term and long-term tax liabilities	(10,325)		3,358
Net cash (used in) provided by operating activities	(165,711)		40,741
INVESTING ACTIVITIES
Purchases of property and equipment	(31,502)		(35,399)
Proceeds from sale of property and equipment	172		2,987
Purchase of intangible assets	(3,279)		(9,326)
Recovery of cost from interest received on impaired notes	13,412		—
Cash received for notes receivable	55		262
Purchase of securities for deferred compensation plan	(222)		—
Net cash used in investing activities	(21,364)		(41,476)
FINANCING ACTIVITIES
Change in long-term debt	186,628		(54,654)
Common stock issued for exercise of options	2,010		2,327
Common stock repurchased	(105,179)		(56,894)
Payments to tax authorities for employee share-based compensation	(2,378)		(1,106)
Net cash provided by (used in) financing activities	81,081		(110,327)
Effect of foreign currency exchange rates on cash	(16,981)		(6,310)
Net decrease in cash and cash equivalents	(122,975)		(117,372)
Cash, cash equivalents and restricted cash, beginning	396,890		736,594
Cash, cash equivalents and restricted cash, ending	$	273,915	$	619,222
For further information see Note 20 - Supplemental Cash Flow.

The accompanying notes are an integral part of these unaudited Consolidated Financial Statements.

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JELD-WEN HOLDING, INC.

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

Note 1. Description of Company and Summary of Significant Accounting Policies

Nature of Business – JELD-WEN Holding, Inc., along with its subsidiaries, is a vertically integrated global manufacturer and distributor of windows, doors, and other building products that derives substantially all its revenues from the sale of its door and window products. Unless otherwise specified or the context otherwise requires, all references in these notes to “JELD-WEN,” “we,” “us,” “our,” or the “Company” are to JELD-WEN Holding, Inc. and its subsidiaries.

We have facilities located in the U.S., Canada, Europe, Australia, Asia, and Mexico. Our products are marketed primarily under the JELD-WEN brand name in the U.S. and Canada and under JELD-WEN and a variety of acquired brand names in Europe, Australia, and Asia.

Our revenues are affected by the level of new housing starts and remodeling activity in each of our markets. Our sales typically follow seasonal new construction and repair and remodeling industry patterns. The peak season for home construction and remodeling in many of our markets generally corresponds with the second and third calendar quarters, and therefore, sales volume is typically higher during those quarters. Our first and fourth quarter sales volumes are generally lower due to reduced repair and remodeling activity and reduced activity in the building and construction industry as a result of colder and more inclement weather in certain areas of our geographic end markets.

Basis of Presentation – The accompanying unaudited consolidated financial statements as of June 25, 2022 and for the three and six months ended June 25, 2022 and June 26, 2021, respectively, have been prepared in accordance with GAAP for interim financial information and pursuant to the rules and regulations of the SEC. In the opinion of management, the unaudited consolidated financial statements have been prepared on the same basis as the audited financial statements and include all adjustments, consisting only of normal recurring adjustments, necessary for the fair statement of the Company’s financial position for the periods presented. The results for the three and six months ended June 25, 2022 are not necessarily indicative of the results to be expected for the year ending December 31, 2022, or any other period. The accompanying consolidated balance sheet as of December 31, 2021 was derived from audited financial statements included in our Annual Report on Form 10-K. The accompanying consolidated financial statements do not include all of the information and footnotes required by GAAP for annual financial statements. Accordingly, they should be read in conjunction with the audited financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2021.

All U.S. dollar and other currency amounts, except per share amounts, are presented in thousands unless otherwise noted.

Fiscal Year – We operate on a fiscal calendar year, and each interim quarter is comprised of two 4-week periods and one 5-week period, with each week ending on a Saturday. Our fiscal year always begins on January 1 and ends on December 31. As a result, our first and fourth quarters may have more or fewer days included than a traditional 91-day fiscal quarter.

Use of Estimates – The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates, assumptions, and allocations that affect amounts reported in the consolidated financial statements and related notes. Significant items that are subject to such estimates and assumptions include, but are not limited to, long-lived assets including goodwill and other intangible assets, employee benefit obligations, income tax uncertainties, contingent assets and liabilities, provisions for bad debt, inventory, warranty liabilities, legal claims, valuation of derivatives, environmental remediation, and claims relating to self-insurance. Actual results could differ due to the uncertainty inherent in the nature of these estimates.

COVID-19 – The CARES Act in the U.S. and similar legislation in other jurisdictions includes measures that assisted companies in responding to the COVID-19 pandemic. These measures consisted primarily of cash assistance to support employment levels and deferment of remittance of certain non-income tax expense payments. The most significant impact was from the CARES Act in the U.S., which included a provision that allowed employers to defer the remittance of the employer portion of the social security tax relating to 2020. The deferred employment payment must be paid over two years. Original payment due dates were in 2021 and 2022, however updated guidance provided by the Internal Revenue Service in December 2021 allowed for these payments to be made during 2022 and 2023. The Company deferred $20.9 million of the employer portion of social security tax in 2020, of which $9.9 million was paid in the first quarter of 2022 and the remaining $11.0 million is included in accrued payroll and benefits in the consolidated balance sheet as of June 25, 2022. As of December 31, 2021, the deferral $20.9 million was equally recorded between accrued payroll and benefits and deferred credits and other liabilities in the consolidated balance sheet.

Recent Accounting Standards – In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, which provides optional expedients and

12

exceptions for applying U.S. GAAP to contracts, hedging relationships, and other transactions affected by the discontinuation of LIBOR or by another reference rate expected to be discontinued. In January 2021, the FASB issued ASU No. 2021-01, Reference Rate Reform (Topic 848): Scope, to clarify the scope of ASU No. 2020-04. The amendments are effective for all entities as of March 12, 2020 through December 31, 2022. In May 2020, we elected the expedient within ASC 848 which allows us to assume that our hedged interest payments are probable of occurring regardless of any expected modifications in their terms related to reference rate reform. In addition, ASC 848 allows for the option to change the method of assessing effectiveness upon a change in critical terms of the derivative or the hedged transactions and upon the end of relief under ASC 848. At this time, we have elected to continue the method of assessing effectiveness as documented in the original hedge documentation and apply the practical expedients related to probability to assume that the reference rate on the hypothetical derivative matches the reference rate on the hedging instrument. We plan to evaluate the remaining expedients for adoption, as applicable, when contracts are modified. We currently do not expect this guidance to have a material impact on our consolidated financial statements. Refer to Note 17 - Derivative Financial Instruments for additional disclosure information relating to our hedging activity.

We have considered the applicability and impact of all ASUs. We have assessed ASUs not listed above and have determined that they were either not applicable or were not expected to have a material impact on our financial statements.

Note 2. Accounts Receivable

We sell our manufactured products to a large number of customers, primarily in the residential housing construction and remodel sectors, broadly dispersed across many domestic and foreign geographic regions. We assess the credit risk relating to our accounts receivable based on quantitative and qualitative factors, primarily historical credit collections within each region where we have operations. We perform ongoing credit evaluations of our customers to minimize credit risk. We do not usually require collateral for accounts receivable, but will require advance payment, guarantees, a security interest in the products sold to a customer, and/or letters of credit in certain situations. Customer accounts receivable converted to notes receivable are collateralized by inventory or other collateral.

At June 25, 2022 and December 31, 2021, we had an allowance for doubtful accounts of $16.2 million and $10.2 million, respectively.

Note 3. Inventories

Inventories are stated at the lower of cost or net realizable value. Finished goods and work-in-process inventories include material, labor, and manufacturing overhead costs.

(amounts in thousands)	June 25, 2022		December 31, 2021
Raw materials	$	553,322	$	478,566
Work in process	37,230		36,065
Finished goods	132,713		101,340
Total inventories	$	723,265	$	615,971

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Note 4. Property and Equipment, Net

(amounts in thousands)	June 25, 2022		December 31, 2021
Property and equipment	$	2,107,345	$	2,137,861
Accumulated depreciation	(1,344,577)		(1,339,057)
Total property and equipment, net	$	762,768	$	798,804

We monitor all property and equipment for any indicators of potential impairment. We recorded impairment charges of $0.5 million for the three and six months ended June 25, 2022, respectively, and $0.9 million and $1.2 million for the three and six months ended June 26, 2021.

The effect on our carrying value of property and equipment due to currency translations for foreign property and equipment, net, was a decrease of $20.5 million as of June 25, 2022 compared to December 31, 2021.

Depreciation expense was recorded as follows:

	Three Months Ended				Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021		June 25, 2022		June 26, 2021
Cost of sales	$	22,492	$	23,707	$	45,004	$	46,243
Selling, general and administrative	1,720		2,398		3,428		4,794
Total depreciation expense	$	24,212	$	26,105	$	48,432	$	51,037

Note 5. Goodwill

The following table summarizes the changes in goodwill by reportable segment:

(amounts in thousands)	North America		Europe		Australasia		Total Reportable Segments
Balance as of December 31, 2021	$	182,645	$	278,668	$	83,900	$	545,213
Currency translation	(118)		(21,977)		(3,953)		(26,048)
Balance as of June 25, 2022	$	182,527	$	256,691	$	79,947	$	519,165

Note 6. Intangible Assets, Net

The cost and accumulated amortization values of our intangible assets were as follows:

	June 25, 2022
(amounts in thousands)	Cost		Accumulated Amortization		Net Book Value
Customer relationships and agreements	$	140,056	$	(75,279)	$	64,777
Software	118,997		(41,120)		77,877
Trademarks and trade names	53,751		(11,480)		42,271
Patents, licenses and rights	44,538		(25,112)		19,426
Total amortizable intangibles	$	357,342	$	(152,991)	$	204,351

	December 31, 2021
(amounts in thousands)	Cost		Accumulated Amortization		Net Book Value
Customer relationships and agreements	$	145,940	$	(73,635)	$	72,305
Software	118,114		(35,816)		82,298
Trademarks and trade names	55,806		(10,771)		45,035
Patents, licenses and rights	46,353		(23,810)		22,543
Total amortizable intangibles	$	366,213	$	(144,032)	$	222,181

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The effect on our carrying value of intangible assets due to currency translations for foreign intangible assets was a decrease of $4.7 million as of June 25, 2022 compared to December 31, 2021.

Intangible assets are reviewed for impairment whenever events or changes in circumstances indicate the carrying amount of the corresponding asset group may not be recoverable. Intangible assets that become fully amortized are removed from the accounts in the period that they become fully amortized. Amortization expense was recorded as follows:

	Three Months Ended				Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021		June 25, 2022		June 26, 2021
Amortization expense	$	8,038	$	8,307	$	16,183	$	16,354

Note 7. Accrued Expenses and Other Current Liabilities

(amounts in thousands)	June 25, 2022		December 31, 2021
Accrued sales and advertising rebates	$	82,633	$	90,623
Current portion of operating lease liability	43,403		43,880
Non-income related taxes	32,981		25,030
Deferred revenue and customer deposits	28,683		25,568
Current portion of warranty liability (Note 8)	22,030		23,523
Accrued freight	21,316		19,020
Accrued expenses	19,514		18,636
Current portion of accrued claim costs relating to self-insurance programs	15,427		14,352
Accrued income taxes payable	10,484		16,237
Accrued interest payable	4,575		3,633
Legal claims provision	3,579		3,476
Current portion of restructuring accrual	3,319		171
Current portion of derivative liability (Note 17)	2,157		5,527
Total accrued expenses and other current liabilities	$	290,101	$	289,676

The legal claims provision relates primarily to contingencies associated with the ongoing legal matters disclosed in Note 19 - Commitments and Contingencies.

The accrued sales and advertising rebates, accrued interest payable, accrued freight, and non-income related taxes can fluctuate significantly period-over-period due to timing of payments.

Prior period balances in the table above have been reclassified to conform to current period presentation.

Note 8. Warranty Liability

Warranty terms vary from one year to lifetime on certain window and door components. Warranties are normally limited to servicing or replacing defective components for the original customer. Product defects arising within six months of sale are classified as manufacturing defects and are not included in the current period expense below. Some warranties are transferable to subsequent owners and are either limited to 10 years from the date of manufacture or require pro-rata payments from the customer. A provision for estimated warranty costs is recorded at the time of sale based on historical experience and is periodically adjusted to reflect actual experience.

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An analysis of our warranty liability is as follows:

(amounts in thousands)	June 25, 2022		June 26, 2021
Balance as of January 1	$	54,860	$	52,296
Current period charges	13,503		13,740
Experience adjustments	906		2,601
Payments	(15,032)		(14,984)
Currency translation	(743)		109
Balance at period end	53,494		53,762
Current portion	(22,030)		(23,082)
Long-term portion	$	31,464	$	30,680

The most significant component of our warranty liability is in the North America segment, which totaled $46.2 million at June 25, 2022, after discounting future estimated cash flows at rates between 0.53% and 2.75%. Without discounting, the liability would have been higher by approximately $2.7 million.

Note 9. Long-Term Debt

Our long-term debt, net of original issue discount and unamortized debt issuance costs, consisted of the following:

	June 25, 2022	June 25, 2022		December 31, 2021
(amounts in thousands)	Interest Rate
Senior Secured Notes and Senior Notes	4.63% - 6.25%	$	1,050,000	$	1,050,000
Term loans	1.30% - 3.31%	546,155		547,598
Revolving credit facilities	2.27% - 5.00%	202,750		—
Finance leases and other financing arrangements	1.25% - 6.17%	90,033		97,874
Mortgage notes	1.65% - 2.15%	22,885		25,411
Total Debt		1,911,823		1,720,883
Unamortized debt issuance costs and original issue discounts		(13,170)		(14,626)
Current maturities of long-term debt		(30,815)		(38,561)
Long-term debt		$	1,867,838	$	1,667,696

Summaries of our significant changes to outstanding debt agreements as of June 25, 2022 are as follows:

Senior Secured Notes and Senior Notes

In May 2020, we issued $250.0 million of Senior Secured Notes bearing interest at 6.25% and maturing in May 2025 in a private placement for resale to qualified institutional buyers pursuant to Rule 144A under the Securities Act. The proceeds were net of fees and expenses associated with debt issuance, including an underwriting fee of 1.25%. Interest is payable semiannually, in arrears, each May and November.

In December 2017, we issued $800.0 million of unsecured Senior Notes in two tranches: $400.0 million bearing interest at 4.63% and maturing in December 2025, and $400.0 million bearing interest at 4.88% and maturing in December 2027 in a private placement for resale to qualified institutional buyers pursuant to Rule 144A under the Securities Act.

Term Loans

U.S. Facility - Initially executed in October 2014, we amended the Term Loan Facility in July 2021 to, among other things, extend the maturity date from December 2024 to July 2028 and provide additional covenant flexibility. Pursuant to the amendment, certain existing and new lenders advanced $550.0 million of replacement term loans, the proceeds of which were used to prepay in full the amount outstanding under the previously existing term loans. The replacement term loans bear interest at LIBOR (subject to a floor of 0.00%) plus a margin of 2.00% to 2.25% depending on JWI’s corporate credit ratings. In addition, the amendment also modifies certain other terms and provisions of the Term Loan Facility. Voluntary prepayments of the replacement term loans are permitted at any time, in certain minimum principal amounts, but were subject to a 1.00% premium during the first six months. The amendment requires 0.25% of the initial principal to be repaid quarterly until maturity. As a result of this amendment, we recognized debt extinguishment costs of $1.3 million, which

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included $1.0 million of unamortized debt issuance costs and original discount fees. As of the date of the amendment, the outstanding principal balance, net of original issue discount, was $548.6 million. As of June 25, 2022, the outstanding principal balance, net of original issue discount, was $544.7 million.

In May 2020, we entered into interest rate swap agreements with a weighted average fixed rate of 0.395% paid against one-month LIBOR floored at 0.00% with outstanding notional amounts aggregating to $370.0 million corresponding to that amount of the debt outstanding under our Term Loan Facility. The interest rate swap agreements are designated as cash flow hedges of a portion of the interest obligations on our Term Loan Facility borrowings and mature in December 2023. See Note 17 - Derivative Financial Instruments for additional information on our derivative assets and liabilities.

Australia Facility - During the second quarter of 2021, we repaid the AUD 50.0 million ($38.4 million) outstanding principal balance of the floating rate revolving loan facility and terminated the term loan commitment.

Revolving Credit Facilities

ABL Facility - In July 2021, we amended the ABL Facility to, among other things, extend the maturity date from December 2022 to July 2026, increase the aggregate commitment to $500.0 million, amend the interest rate grid applicable to the loans thereunder, provide additional covenant flexibility, and conform certain terms and provisions to the Term Loan Facility. Pursuant to the amendment, the amount allocated to U.S. borrowers was increased to $465.0 million. The amount allocated to Canadian borrowers was maintained at $35.0 million. Borrowings under the ABL Facility bear, at the borrower’s option, interest at either a base rate plus a margin of 0.25% to 0.50% depending on excess availability or LIBOR plus a margin of 1.25% to 1.50% depending on excess availability. As of June 25, 2022, we had $202.8 million of outstanding borrowings, $34.9 million in letters of credit and $262.3 million available under the ABL Facility.

Australia Senior Secured Credit Facility - In June 2019, we amended the Australia Senior Secured Credit Facility, reallocating availability from the Australia Term Loan Facility and collapsing the floating rate revolving loan facility into an AUD 35.0 million interchangeable facility to be used for guarantees, asset financing, and loans of twelve months or less. The interchangeable facility does not have a set maturity date but is instead subject to an annual review each June.

In May 2020, we amended the Australia Senior Secured Credit Facility to relax certain financial covenants. The amended non-term loan portion of the facility bore line fees of 0.70%, compared to line fees of 0.50% under the previous amendment. The amendment also provided for a supplemental AUD 30.0 million floating rate revolving loan facility.

In December 2021, we amended the Australia Senior Secured Credit Facility to reinstate maintenance financial covenant ratios to pre-pandemic thresholds and renewed the facility through its next annual review. The amended facility includes line fees of 0.50%, compared to line fees of 0.70% under the previous amendment. As of June 25, 2022, we had AUD 23.1 million ($16.0 million) available under this facility.

The Australia Senior Secured Credit Facility is secured by guarantees of JWA and its subsidiaries, fixed and floating charges on the assets of JWA group, and mortgages on certain real properties owned by the JWA group. The combined agreement requires that JWA maintain certain financial ratios, including a minimum consolidated interest coverage ratio and a maximum consolidated debt to EBITDA ratio. The agreement limits dividends and repayments of intercompany loans where the JWA group is the borrower and limits loans or other financial accommodations to non-obligor entities.

At June 25, 2022, we had combined borrowing availability of $278.3 million under our revolving credit facilities.

Mortgage Notes – In December 2007, we entered into thirty-year mortgage notes secured by land and buildings with principal payments which began in 2018. As of June 25, 2022, we had DKK 161.7 million ($22.9 million) outstanding under these notes.

Finance leases and other financing arrangements – In addition to finance leases, we include insurance premium financing arrangements and loans secured by equipment in this category. As of June 25, 2022, we had $90.0 million outstanding in this category, with maturities ranging from 2022 to 2028.

As of June 25, 2022, we were in compliance with the terms of all of our credit facilities and the indentures governing the Senior Notes and Senior Secured Notes.

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Note 10. Income Taxes

The Company previously completed its accounting for the income tax effects of the Tax Act. We have considered ongoing developments released through the date hereof and determined that they have no material impact on our tax accounts for the six months ended June 25, 2022. Final guidance, once issued, may materially affect our conclusions regarding the net related effects of the Tax Act on our unaudited consolidated financial statements. Until then, management will continue to monitor and work with its tax advisors to interpret any guidance issued.

The effective income tax rate for continuing operations was 24.9% for both the three and six months ended June 25, 2022, respectively, compared to 26.9% and 27.5% and June 26, 2021, respectively. In accordance with ASC 740-270, we recorded a tax expense of $15.2 million and $15.0 million in the three and six months ended June 25, 2022, respectively, compared to tax expense of $22.4 million and $32.7 million from operations in the three and six months ended June 26, 2021, respectively, by applying an estimated annual effective tax rate to our year-to-date income for includable entities during the respective periods. Our estimated annual effective tax rate for both years includes the impact of the tax on GILTI. The application of the estimated annual effective tax rate in interim periods may result in a significant variation in the customary relationship between income tax expense and pretax accounting income due to the seasonality of our global business. Entities that are currently generating losses and for which there is a full valuation allowance are excluded from the worldwide effective tax rate calculation and are calculated separately.

The impact of significant discrete items is separately recognized in the quarter in which they occur. The tax benefit for discrete items included in the tax provision for continuing operations for the three months ended June 25, 2022 was $6.4 million compared to $1.7 million for the three months ended June 26, 2021. The discrete amounts for the three months ended June 25, 2022 were comprised primarily of $9.5 million of tax benefit related to movement in the valuation allowance due to changes in estimated forecasted earnings, partially offset by $2.6 million of tax expense attributable to current period interest expense on uncertain tax positions and $0.6 million of tax expense attributable to a windfall tax deduction on share-based compensation. The discrete amounts for the three months ended June 26, 2021 were comprised primarily of $1.8 million of tax benefit related to future changes to the UK tax rate enacted in the period and $0.3 million of tax benefit attributable to a windfall tax deduction on share-based compensation, partially offset by $0.3 million of tax expense attributable to interest expense on uncertain tax positions.

The tax benefit related to discrete items included in the tax provision for continuing operations for the six months ended June 25, 2022 was $6.4 million, compared to $1.6 million for the six months ended June 26, 2021. The discrete tax benefits for the six months ended June 25, 2022 were comprised primarily of $9.5 million of tax benefit related to movement in the valuation allowance due to changes in estimated forecasted earnings, partially offset by $2.5 million of tax expense attributable to current period interest expense on uncertain tax positions and $0.5 million of tax expense attributable to a windfall tax deduction on share-based compensation. The discrete benefit amounts for the six months ended June 26, 2021 were comprised primarily of $1.8 million of tax benefit related to future changes to the UK tax rate enacted in the period and $0.5 million of tax benefit attributable to a windfall tax deduction on share-based compensation, partially offset by $0.6 million of tax expense attributable to interest expense on uncertain tax positions.

Under ASC 740-10, we provide for uncertain tax positions and the related interest expense by adjusting unrecognized tax benefits and accrued interest accordingly. We recognize potential interest and penalties related to unrecognized tax benefits in income tax expense. We had unrecognized tax benefits without regard to accrued interest of $28.6 million and $26.8 million as of June 25, 2022 and December 31, 2021, respectively.

The Company continually evaluates its global cash needs and has historically asserted that most of its unremitted foreign earnings are permanently reinvested and did not record deferred taxes on such amounts. During the third quarter of 2021, the Company determined that it could no longer make this assertion as cash from foreign subsidiaries may be remitted in the foreseeable future. As a result, the Company removed its indefinite reinvestment assertion on a majority of unremitted earnings and certain other aspects of outside basis differences in its foreign subsidiaries and has recorded the deferred tax impacts in the period to account for potential withholdings and income taxes. The Company continues to make an indefinite reinvestment assertion on other aspects of the outside basis differences in foreign subsidiaries that would attract a significant cost of capital.

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Note 11. Segment Information

We report our segment information in the same way management internally organizes the business in assessing performance and making decisions regarding allocation of resources in accordance with ASC 280-10- Segment Reporting. We determined that we have three reportable segments, organized and managed principally by geographic region. Our reportable segments are North America, Europe, and Australasia. We report all other business activities in Corporate and unallocated costs. Factors considered in determining the three reportable segments include the nature of business activities, the management structure accountable directly to the CODM, the discrete financial information available and the information regularly reviewed by the CODM. Management reviews net revenues and Adjusted EBITDA to evaluate segment performance and allocate resources. We define Adjusted EBITDA as net income (loss), adjusted for the following items: loss from discontinued operations, net of tax; equity earnings of non-consolidated entities; income tax (benefit) expense; depreciation and amortization; interest expense, net; impairment and restructuring charges; gain on previously held shares of equity investment; (gain) loss on sale of property and equipment; share-based compensation expense; non-cash foreign exchange transaction/translation (income) loss; other items; other non-cash items; and costs related to debt restructuring and debt refinancing.

The following tables set forth certain information relating to our segments’ operations:

(amounts in thousands)	North America		Europe		Australasia		Total Operating Segments		Corporate and Unallocated Costs		Total Consolidated
Three Months Ended June 25, 2022
Total net revenues	$	839,480	$	340,047	$	156,951	$	1,336,478	$	—	$	1,336,478
Intersegment net revenues	(373)		—		(5,137)		(5,510)		—		(5,510)
Net revenues from external customers	$	839,107	$	340,047	$	151,814	$	1,330,968	$	—	$	1,330,968
Impairment and restructuring charges	4,751		534		31		5,316		(20)		5,296
Adjusted EBITDA	93,472		20,040		15,872		129,384		(3,589)		125,795
Three Months Ended June 26, 2021
Total net revenues	$	740,409	$	349,894	$	160,029	$	1,250,332	$	—	$	1,250,332
Intersegment net revenues	(281)		(147)		(4,089)		(4,517)		—		(4,517)
Net revenues from external customers	$	740,128	$	349,747	$	155,940	$	1,245,815	$	—	$	1,245,815
Impairment and restructuring charges	903		232		44		1,179		(34)		1,145
Adjusted EBITDA	115,320		39,784		17,995		173,099		(24,857)		148,242

(amounts in thousands)	North America		Europe		Australasia		Total Operating Segments		Corporate and Unallocated Costs		Total Consolidated
Six Months Ended June 25, 2022
Total net revenues	$	1,562,051	$	663,353	$	287,384	$	2,512,788	$	—	$	2,512,788
Intersegment net revenues	(601)		(34)		(10,163)		(10,798)		—		(10,798)
Net revenues from external customers	$	1,561,450	$	663,319	$	277,221	$	2,501,990	$	—	$	2,501,990
Impairment and restructuring charges	4,751		534		53		5,338		(41)		5,297
Adjusted EBITDA	160,557		34,738		26,244		221,539		(15,495)		206,044
Six Months Ended June 26, 2021
Total net revenues	$	1,380,144	$	671,282	$	295,997	$	2,347,423	$	—	$	2,347,423
Intersegment net revenues	(401)		(1,020)		(7,804)		(9,225)		—		(9,225)
Net revenues from external customers	$	1,379,743	$	670,262	$	288,193	$	2,338,198	$	—	$	2,338,198
Impairment and restructuring charges	916		1,127		84		2,127		(55)		2,072
Adjusted EBITDA	195,113		68,578		31,194		294,885		(48,732)		246,153

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Reconciliations of net income to Adjusted EBITDA are as follows:

	Three Months Ended				Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021		June 25, 2022		June 26, 2021
Net income	$	45,826	$	60,710	$	45,298	$	86,195
Income tax expense	15,221		22,359		15,033		32,718
Depreciation and amortization	32,513		35,465		65,078		69,675
Interest expense, net	20,222		18,860		38,576		37,315
Impairment and restructuring charges (1)	5,318		1,415		5,319		2,342
Loss on sale of property and equipment	55		1,308		189		432
Share-based compensation expense	1,598		7,526		11,262		14,381
Non-cash foreign exchange transaction/translation loss (income)	63		(2,000)		6,281		(13,496)
Other items (2)	3,938		2,599		17,967		16,591
Other non-cash items (3)	1,041		—		1,041		—
Adjusted EBITDA	$	125,795	$	148,242	$	206,044	$	246,153

(1)Impairment and restructuring charges consist of (i) impairment and restructuring charges that are included in our accompanying unaudited consolidated statements of operations plus (ii) additional charges relating to inventory and/or manufacturing of our products that are included in cost of sales in our accompanying unaudited consolidated statements of operations were $22 and $270 for the three and six months ended June 25, 2022 and June 26, 2021, respectively.

(2)Other non-recurring items not core to ongoing business activity include: (i) in the three months ended June 25, 2022 (1) $5,223 in facility closure, consolidation, and other related costs, (2) ($4,403) in adjustments related to fire damage and downtime at one of our facilities, and (3) $3,084 in legal costs and professional expenses; (ii) in the three months ended June 26, 2021 (1) $1,531 in legal costs and professional expenses relating primarily to litigation and (2) $654 in facility closure, consolidation, startup, and other related costs; (iii) in the six months ended June 25, 2022 (1) $8,126 in in legal costs and professional expenses, (2) $5,498 in facility closure, consolidation, and other related costs, (3) $2,448 in expenses related to fire damage and downtime at one of our facilities, and (4) $1,898 in compensation and non-income taxes associated with exercises of legacy equity awards; (iv) in the six months ended June 26, 2021 (1) $15,286 in legal costs and professional expenses relating primarily to litigation and (2) $783 in facility closure, consolidation, startup, and other related costs.

(3)Other non-cash items include $1,048 for unrealized mark-to-market losses from other derivatives in the three and six months ended June 25, 2022.

Note 12. Capital Stock

Preferred Stock - Our Board of Directors is authorized to issue Preferred Stock from time to time in one or more series and with such rights, privileges, and preferences as the Board of Directors shall from time to time determine. We have not issued any shares of Preferred Stock.

Common Stock - Common Stock includes the basis of shares outstanding plus amounts recorded as additional paid-in capital. Shares outstanding exclude the shares issued to the Employee Benefit Trust that are considered similar to treasury shares and total 193,941 shares at both June 25, 2022 and December 31, 2021 with a total original issuance value of $12.4 million.

We record share repurchases on their trade date and reduce shareholders’ equity and increase accounts payable. Repurchased shares are retired, and the excess of the repurchase price over the par value of the shares is charged to retained earnings.

On July 27, 2021, our Board of Directors increased our existing repurchase authorization to a total of $400.0 million with no expiration date. As of June 25, 2022, $26.5 million was remaining under this authorization.

On July 28, 2022, our Board of Directors authorized a new share repurchase program with an aggregate value of $200.0 million and no expiration date.

During the three and six months ended June 25, 2022, we repurchased 3,430,006 and 5,207,272, respectively, at an average price of $18.74 and $20.29, respectively. During the three and six months ended June 26, 2021, we repurchased 1,177,757 and 1,987,641 shares of our Common Stock, respectively, at an average price of $28.66 and $28.62, respectively.

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Note 13. Earnings Per Share

The basic and diluted income per share calculations were determined based on the following share data:

	Three Months Ended		Six Months Ended
	June 25, 2022	June 26, 2021	June 25, 2022	June 26, 2021
Weighted average outstanding shares of Common Stock basic	87,219,078	99,514,890	88,466,982	99,991,045
Restricted stock units, performance share units, and options to purchase Common Stock	747,971	2,155,734	1,090,974	2,150,844
Weighted average outstanding shares of Common Stock diluted	87,967,049	101,670,624	89,557,956	102,141,889

The following table provides the securities that could potentially dilute basic earnings per share in the future but were not included in the computation of diluted income per share as their inclusion would be anti-dilutive:

	Three Months Ended		Six Months Ended
	June 25, 2022	June 26, 2021	June 25, 2022	June 26, 2021
Common Stock options	1,845,460	846,216	1,487,577	762,049
Restricted stock units	968,531	32,836	570,426	18,014
Performance share units	135,718	165,749	197,600	116,118

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Note 14. Stock Compensation

The activity under our incentive plans for the periods presented are reflected in the following tables:

	Three Months Ended
	June 25, 2022			June 26, 2021
	Shares	Weighted Average Exercise Price Per Share		Shares	Weighted Average Exercise Price Per Share
Options granted	—	$	—	—	$	—
Options canceled	140,255	$	26.21	9,000	$	31.93
Options exercised	89,434	$	11.44	64,511	$	16.25
	Shares	Weighted Average Grant Date Fair Value		Shares	Weighted Average Grant Date Fair Value
RSUs granted	294,605	$	19.70	59,690	$	30.51
PSUs granted	—	$	—	—	$	—

	Six Months Ended
	June 25, 2022			June 26, 2021
	Shares	Weighted Average Exercise Price Per Share		Shares	Weighted Average Exercise Price Per Share
Options granted	310,554	$	24.17	309,902	$	29.01
Options canceled	178,025	$	26.71	25,602	$	28.15
Options exercised	156,380	$	11.91	153,573	$	15.00
	Shares	Weighted Average Grant Date Fair Value		Shares	Weighted Average Grant Date Fair Value
RSUs granted	1,140,000	$	23.02	642,609	$	29.15
PSUs granted	158,587	$	29.24	165,749	$	30.70

Stock-based compensation expense was $1.6 million and $11.3 million for the three and six months ended June 25, 2022, respectively, and $7.5 million and $14.4 million for the three and six months ended June 26, 2021, respectively. As of June 25, 2022, we had $28.2 million of total unrecognized compensation expense related to non-vested share-based compensation arrangements. This cost is expected to be recognized over the remaining weighted-average vesting period of 1.59 years.

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Note 15. Held for Sale

During 2021, the Company ceased the appeal process for its litigation with Steves & Sons, Inc. (“Steves”) further described in Note 19 - Commitments and Contingencies. As a result, we are required to divest the Company’s Towanda, PA operations (“Towanda”). As of June 25, 2022 and December 31, 2021, the assets and liabilities associated with the sale of Towanda qualify as held for sale. Since the Company will continue manufacturing door skins for its internal needs, the divestiture decision did not represent a strategic shift thereby precluding the divestiture as qualifying as a discontinued operation.

The assets and liabilities included within the summary below are expected to be disposed of within the next twelve months and are included in assets held for sale and liabilities held for sale in the accompanying balance sheet. The results of Towanda will continue to be reported within our North America operations until the divestiture is finalized.

In addition to Towanda, we have immaterial assets held for sale at points in time, primarily relating to property, plant and equipment from restructuring efforts, which have been classified as held for sale as of June 25, 2022 and December 31, 2021.

(amounts in thousands)	June 25, 2022		December 31, 2021
Assets
Inventory	$	15,453	$	15,520
Other current assets	145		105
Property and equipment	39,139		35,870
Intangible assets	1,471		1,471
Goodwill	65,000		65,000
Operating lease assets	1,220		1,458
Assets held for sale	$	122,428	$	119,424
Liabilities
Accrued payroll and benefits	903		$	907
Accrued expenses and other current liabilities	4,586		3,945
Current maturities of long term debt	6		10
Long-term debt	—		2
Operating lease liability	747		1,004
Liabilities held for sale	$	6,242	$	5,868

Note 16. Other (Income) Expense

The table below summarizes the amounts included in other (income) expense in the accompanying unaudited consolidated statements of operations:

	Three Months Ended				Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021		June 25, 2022		June 26, 2021
Foreign currency (gains) losses	$	(7,096)	$	297	$	(5,385)	$	(8,936)
Recovery of cost from interest received on impaired notes	(6,385)		—		(13,412)		—
Insurance Reimbursement	(4,843)		—		(4,843)		—
Pension income	(1,435)		(40)		(2,862)		(76)
Governmental pandemic assistance reimbursement	(414)		(235)		(479)		(499)
Loss on sale or disposal of property and equipment	55		1,308		189		362
Other items	(769)		(1,178)		(1,432)		(1,540)
Total other (income) expense	$	(20,887)	$	152	$	(28,224)	$	(10,689)

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Note 17. Derivative Financial Instruments

Foreign currency derivatives – We are exposed to the impact of foreign currency fluctuations in certain countries in which we operate. In most of these countries, the exposure to foreign currency movements is limited because the operating revenues and expenses of our business units are substantially denominated in the local currency. To the extent borrowings, sales, purchases, or other transactions are not executed in the local currency of the operating unit, we are exposed to foreign currency risk. To mitigate the exposure, we may enter into a variety of foreign currency derivative contracts, such as forward contracts, option collars, and cross-currency hedges. To manage the effect of exchange fluctuations on forecasted sales, purchases, acquisitions, inventory, capital expenditures, and certain intercompany transactions that are denominated in foreign currencies, we have foreign currency derivative contracts with a total notional amount of $104.0 million. We have foreign currency derivative contracts, with a total notional amount of $342.3 million, to hedge the effects of translation gains and losses on intercompany loan principal and interest. To mitigate the impact to the consolidated earnings of the Company from the effect of the translation of certain subsidiaries’ local currency results into U.S. dollars, we have foreign currency derivative contracts with a total notional amount of $92.6 million. We do not use derivative financial instruments for trading or speculative purposes. We have not elected hedge accounting for any foreign currency derivative contracts. We record mark-to-market changes in the values of these derivatives in other income. We recorded mark-to-market gains of $12.2 million and $11.0 million in the three and six months ended June 25, 2022, respectively, and $2.0 million and $5.8 million in the three and six months ended June 26, 2021, respectively.

Interest rate derivatives – We are exposed to interest rate risk in connection with our variable rate long-term debt and partially mitigate this risk through interest rate derivatives such as swaps and caps. In May 2020, we entered into interest rate swap agreements to manage this risk. The interest rate swaps have outstanding notional amounts aggregating to $370.0 million and mature in December 2023 with a weighted average fixed rate of 0.395% swapped against one-month USD LIBOR floored at 0.00%. The interest rate swap agreements are designated as cash flow hedges and effectively fix the interest rate on a corresponding portion of the aggregate debt outstanding under our Term Loan Facility.

No portion of these interest rate contracts were deemed ineffective during the three and six months ended June 25, 2022. We recorded pre-tax mark-to-market gains of $3.4 million and $12.3 million during the three and six months ended June 25, 2022, respectively, and $0.3 million and $1.4 million during the three and six months ended June 26, 2021, respectively, in other comprehensive income. We reclassified gains previously recorded in other comprehensive income to interest income of $0.3 million and $0.1 million during the three and six months ended June 25, 2022, respectively, and losses to interest expense of $0.3 million and $0.5 million during the three and six months ended June 26, 2021, respectively.

As of June 25, 2022, approximately $10.0 million is expected to be reclassified to interest income over the next twelve months.

Other derivative instruments – From time to time, we may enter into other types of derivative instruments immaterial to the business. Unless otherwise disclosed, these instruments are not designated as hedging instruments and mark-to-market adjustments are recorded in the statement of operations each period.

The derivative agreements each contain a provision whereby we could be declared in default on our derivative obligations if we either default or, in certain cases, are capable of being declared in default of any of our indebtedness greater than specified thresholds. These agreements also contain a provision where we could be declared in default subsequent to a merger or restructuring type event if the creditworthiness of the resulting entity is materially weaker.

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The fair values of derivative instruments held are as follows:

	Derivative assets
(amounts in thousands)	Balance Sheet Location	June 25, 2022		December 31, 2021
Derivatives designated as hedging instruments:
Interest rate contracts	Other current assets	$	9,191	$	263
Interest rate contracts	Other assets	$	6,328	$	3,036
Derivatives not designated as hedging instruments:
Foreign currency forward contracts	Other current assets	$	12,921	$	6,297

	Derivatives liabilities
(amounts in thousands)	Balance Sheet Location	June 25, 2022		December 31, 2021
Derivatives not designated as hedging instruments:
Foreign currency forward contracts	Accrued expenses and other current liabilities	$	1,109	$	5,527
Other derivative instruments	Accrued expenses and other current liabilities	$	1,048	$	—

Note 18. Fair Value of Financial Instruments

We record financial assets and liabilities at fair value based on FASB guidance related to fair value measurements. The guidance requires fair value to be determined based on the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. Three levels of inputs may be used to measure fair value:

Level 1 – Quoted prices in active markets for identical assets or liabilities.

Level 2 – Quoted market-based inputs or unobservable inputs that are corroborated by market data.

Level 3 – Unobservable inputs that are not corroborated by market data.

The recorded carrying amounts and fair values of these instruments were as follows:

	June 25, 2022
(amounts in thousands)	Carrying Amount		Total Fair Value		Level 1		Level 2		Level 3
Assets:
Cash equivalents	$	641	$	641	$	—	$	641	$	—
Derivative assets, recorded in other current assets	22,112		22,112		—		22,112		—
Derivative assets, recorded in other assets	6,328		6,328		—		6,328		—
Liabilities:
Debt, recorded in long-term debt and current maturities of long-term debt	$	1,911,823	$	1,755,413	$	—	$	1,755,413	$	—
Derivative liabilities, recorded in accrued expenses and other current liabilities	2,157		2,157		—		2,157		—

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	December 31, 2021
(amounts in thousands)	Carrying Amount		Total Fair Value		Level 1		Level 2		Level 3
Assets:
Cash equivalents	$	33,143	$	33,143	$	—	$	33,143	$	—
Derivative assets, recorded in other current assets	6,560		6,560		—		6,560		—
Liabilities:
Debt, recorded in long-term debt and current maturities of long-term debt	$	1,720,883	$	1,751,353	$	—	$	1,751,353	$	—
Derivative liabilities, recorded in accrued expenses and other current assets	5,527		5,527		—		5,527		—
Derivative liabilities, recorded in deferred credits and other liabilities	—		—		—		—		—

Derivative assets and liabilities reported in level 2 include foreign currency and interest rate contracts. See Note 17- Derivative Financial Instruments for additional information about our derivative assets and liabilities.

There are no material non-financial assets or liabilities as of June 25, 2022 or December 31, 2021.

Note 19. Commitments and Contingencies

Litigation – We are involved in various legal proceedings, claims, and government audits arising in the ordinary course of business. We record our best estimate of a loss when the loss is considered probable and the amount of such loss can be reasonably estimated. When a loss is probable and there is a range of estimated loss with no best estimate within the range, we record the minimum estimated liability related to the lawsuit or claim. As additional information becomes available, we reassess the potential liability and revise our accruals, if necessary. Because of uncertainties related to the resolution of lawsuits and claims, the ultimate outcome may differ materially from our estimates.

Other than the matters described below, there were no proceedings or litigation matters involving the Company or its property as of June 25, 2022 that we believe would have a material adverse effect on our consolidated financial position or cash flows, although they could have a material adverse effect on our operating results for a particular reporting period.

Steves & Sons, Inc. vs JELD-WEN, Inc. – We sell molded door skins to certain customers pursuant to long-term contracts, and these customers in turn use the molded door skins to manufacture interior doors and compete directly against us in the marketplace. We gave notice of termination of one of these contracts and, on June 29, 2016, the counterparty to the agreement, Steves and Sons, Inc. (“Steves”) filed a claim against JWI in the U.S. District Court for the Eastern District of Virginia, Richmond Division (the “Eastern District of Virginia”). The complaint alleged that our acquisition of CMI, a competitor in the molded door skins market, together with subsequent price increases and other alleged acts and omissions, violated antitrust laws, and constituted a breach of contract and breach of warranty. Specifically, the complaint alleged that our acquisition of CMI substantially lessened competition in the molded door skins market. The complaint sought declaratory relief, ordinary and treble damages, and injunctive relief, including divestiture of certain assets acquired in the CMI acquisition.

In February 2018, a jury in the Eastern District of Virginia returned a verdict that was unfavorable to JWI with respect to Steves’ claims that our acquisition of CMI violated Section 7 of the Clayton Act, and found that JWI breached the supply agreement between the parties (the “Original Action”). The verdict awarded Steves $12.2 million for past damages under both the Clayton Act and breach of contract claims and $46.5 million in future lost profits under the Clayton Act claim.

During the course of the proceedings in the Eastern District of Virginia, we discovered certain facts that led us to conclude that Steves, its principals, and certain former employees of the Company had misappropriated Company trade secrets, violated the terms of various agreements between the Company and those parties, and violated other laws. On May 11, 2018, a jury in the Eastern District of Virginia returned a verdict on our trade secrets claims against Steves and awarded damages in the amount of $1.2 million. The presiding judge entered a judgment in our favor for those damages, and the entire amount has been paid by Steves. On August 16, 2019, the presiding judge granted Steves’ request for an injunction, prohibiting us from pursuing certain claims against individual defendants pending in Bexar County, Texas (the “Steves Texas Trade Secret Theft Action”). On September 11, 2019, JELD-WEN filed a notice of appeal of the Eastern District of Virginia’s injunction to the Fourth Circuit Court of Appeals (the “Fourth Circuit”).

On March 13, 2019, the presiding judge entered an Amended Final Judgment Order in the Original Action, awarding $36.5 million in past damages under the Clayton Act (representing a trebling of the jury’s verdict) and granting divestiture of certain assets acquired in the CMI acquisition, subject to appeal. The judgment also conditionally awarded damages in the

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event the judgment was overturned on appeal. Specifically, the court awarded $139.4 million as future antitrust damages in the event the divestiture order was overturned on appeal and $9.9 million as past contract damages in the event both the divestiture and antitrust claims were overturned on appeal.

On April 12, 2019, Steves filed a petition requesting an award of its fees and a bill of costs, seeking $28.4 million in attorneys’ fees and $1.7 million in costs in connection with the Original Action. On November 19, 2019, the presiding judge entered an order for further relief awarding Steves an additional $7.1 million in damages for pricing differences from the date of the underlying jury verdict through May 31, 2019 (the “Pricing Action”). We also appealed that ruling. On April 14, 2020, Steves filed a motion for further supplemental relief for pricing differences from the date of the prior order and going forward through the end of the parties’ current supply agreement (the “Future Pricing Action”). We opposed that request for further relief.

JELD-WEN filed a supersedeas bond and notice of appeal of the judgment, which was heard by the Fourth Circuit on May 29, 2020. On February 18, 2021, the Fourth Circuit issued its decision on appeal in the Original Action, affirming the Amended Final Judgment Order in part and vacating and remanding in part. The Fourth Circuit vacated the Eastern District of Virginia’s alternative $139.4 million lost-profits award, holding that award was premature because Steves has not suffered the purported injury on which its claim for future lost profits rests. The Fourth Circuit also vacated the Eastern District of Virginia’s judgment for Sam Steves, Edward Steves, and John Pierce on JELD-WEN’s trade secrets claims. The Fourth Circuit affirmed the Eastern District of Virginia’s finding of antitrust injury and its award of $36.5 million in past antitrust damages. It also affirmed the Eastern District of Virginia’s divestiture order, while clarifying that JELD-WEN retains the right to challenge the terms of any divestiture, including whether a sale to any particular buyer will serve the public interest, and made clear that the Eastern District of Virginia may need to revisit its divestiture order if the special master who has been appointed by the presiding judge cannot locate a satisfactory buyer. JELD-WEN then filed a motion for rehearing en banc with the Fourth Circuit that was denied on March 22, 2021.

Following a thorough review, and consistent with our practice, we concluded that it is in the best interest of the Company and its stakeholders to move forward with the divestiture of Towanda and certain related assets. Although the Company did not seek Supreme Court review of the Fourth Circuit’s February 18, 2021 decision, the Company retains the legal right to challenge the divestiture process and the final divestiture order. We made estimates related to the divestiture in the preparation of our financial statements; however, there can be no guarantee that the divestiture will be consummated. The divestiture process is ongoing, and the special master is overseeing this process. Although the Company has decided to divest, we continue to believe that Steves’ claims lacked merit and that it was not entitled to the extraordinary remedy of divestiture. We continue to believe that the judgment in accordance with the verdict was improper under applicable law.

During the pendency of the Original Action, on February 14, 2020, Steves filed a complaint and motion for preliminary injunction in the Eastern District of Virginia alleging that we breached the long-term supply agreement between the parties, including, among other claims, by incorrectly calculating the allocation of door skins owed to Steves (the “Allocation Action”). Steves sought an additional allotment of door skins and damages for violation of antitrust laws, tortious interference, and breach of contract. On April 10, 2020, the presiding judge granted Steves’ motion for preliminary injunction, and the parties settled the issues underlying the preliminary injunction on April 30, 2020 and the Company reserved the right to appeal the ruling in the Fourth Circuit. The Company believed all the claims lacked merit and moved to dismiss the antitrust and tortious interference claims.

On June 2, 2020, we entered into a settlement agreement with Steves to resolve the Pricing Action, the Future Pricing Action, and the Allocation Action. As a result of the settlement, Steves filed a notice of satisfaction of judgment in the Pricing Action, withdrew its Future Pricing Action with prejudice, and filed a stipulated dismissal with prejudice in the Allocation Action. The Company also withdrew its appeal of the Pricing Action. The parties agreed to bear their own respective attorneys’ fees and costs in these actions. In partial consideration of the settlement, JWI and Steves entered into an amended supply agreement satisfactory to both parties that, by its terms, ended on September 10, 2021. This settlement had no effect on the Original Action between the parties except to agree that certain specific terms of the Amended Final Judgment Order in the Original Action would apply to the amended supply agreement during the pendency of the appeal of the Original Action. On April 2, 2021, JWI and Steves filed a stipulation regarding the amended supply agreement in the Original Action, stating that regardless of whether the case remains on appeal as of September 10, 2021, and absent further order of the court, the amended supply agreement would be extended until the divestiture of Towanda and certain related assets is complete and Steves’ new supply agreement with the company that acquires Towanda is in effect.

We continue to believe the claims in the settled actions lacked merit and made no admission of liability in these matters.

On October 7, 2021, we entered into a settlement agreement with Steves to resolve the following: (i) Steves’ past and any future claims for attorneys’ fees, expenses, and costs in connection with the Original Action, except that Steves and JWI each reserved the right to seek attorneys’ fees arising out of any challenge of the divestiture process or the final divestiture order; (ii) the Steves Texas Trade Secret Theft Action and the related Fourth Circuit appeal of the Eastern District of Virginia’s injunction in the Original Action; (iii) the past damages award in the Original Action; and (iv) any and all claims and counterclaims, known or unknown, that were asserted or could have been asserted against each other from the

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beginning of time through the date of the settlement agreement. As a result of the settlement, the parties filed a stipulated notice of satisfaction of the past antitrust damages judgment and a stipulated notice of settlement of Steves’ claim for attorneys’ fees, expenses, and costs against JWI in the Original Action, and Steves filed a notice of withdrawal of its motion for attorneys’ fees and expenses and bill of costs in the Original Action. The Company also filed a notice of dismissal with prejudice and agreed to take no judgment in the Steves Texas Trade Secret Theft Action, and the parties filed a joint agreement for dismissal of the injunction appeal in the Fourth Circuit. On November 3, 2021, we paid $66.4 million to Steves under the settlement agreement.

In re JELD-WEN Holding, Inc. Derivative Litigation – On February 2, 2021, Jason Aldridge, on behalf of the Company, filed a derivative action in the U.S. District Court for the District of Delaware against certain current and former executives and directors of the Company, alleging that the individual defendants breached their fiduciary duties by allowing the wrongful acts alleged in the Steves, as well as violations of Section 14(a) and 20(a) of the Exchange Act, unjust enrichment, and waste of corporate assets among other allegations (the “Aldridge Action”). The lawsuit seeks compensatory damages, equitable relief, and an award of attorneys’ fees and costs. The parties sought a stay of the Aldridge Action. On April 19, 2021, the court denied the parties’ motion to stay and, instead, ordered the plaintiff to file an amended complaint that complied with court rules or the matter would be dismissed. The plaintiff filed an amended complaint on May 10, 2021.

On June 21, 2021, prior to a response from the Company in the Aldridge Action, Shieta Black and the Board of Trustees of the City of Miami General Employees’ & Sanitation Employees’ Retirement Trust, on behalf of the Company, filed a derivative action in the U.S. District Court for the District of Delaware against certain current and former executives and directors of the Company and Onex Corporation (“Onex”), alleging that the defendants breached their fiduciary duties by allowing the wrongful acts alleged in the Steves, as well as insider trading, and unjust enrichment among other allegations (the “Black Action”). The lawsuit seeks compensatory damages, corporate governance reforms, restitution, equitable relief, and an award of attorneys’ fees and costs. The plaintiffs in the Black and Aldridge Actions sought to consolidate the lawsuits on July 16, 2021, which was granted by the court on the same day. On August 16, 2021, the plaintiffs designated the Black complaint as the operative complaint in the consolidated derivative action. On October 15, 2021, JELD-WEN and Onex moved to dismiss the complaint. On January 14, 2022, the plaintiffs moved for leave to amend the complaint. On January 28, 2022, the JELD-WEN defendants opposed the motion for leave to amend the complaint. On April 28, 2022, the court granted the plaintiffs leave to amend the complaint, and the plaintiffs filed their amended complaint the same day. As a result, on April 29, 2022, the Court denied JELD-WEN’s and Onex’s motions to dismiss as moot.

On June 20, 2022, the parties executed a settlement term sheet pertaining to the derivative litigation and notified the Court that a settlement had been reached. On June 22, 2022, the Court stayed the derivative litigation pending approval of the settlement.

Canadian Antitrust Litigation – On May 15, 2020, Développement Émeraude Inc., on behalf of itself and others similarly situated, filed a putative class action lawsuit against us and Masonite in the Superior Court of the Province of Quebec, Canada, which was served on us on September 18, 2020 (“the Quebec Action”). The putative class consists of any person in Canada who, since October 2012, purchased one or more interior molded doors from us or Masonite. The suit alleges an illegal conspiracy between us and Masonite to agree on prices, the distribution of market shares and/or the production levels of interior molded doors and that the plaintiffs suffered damages in that they were charged and paid higher prices for interior molded doors than they would have had to pay but for the alleged anti-competitive conduct. The plaintiffs are seeking compensatory and punitive damages, attorneys’ fees and costs. On September 9, 2020, Kate O’Leary Swinkels, on behalf of herself and others similarly situated, filed a putative class action against JELD-WEN and Masonite in the Federal Court of Canada, which was served on us on September 29, 2020 (the “Federal Court Action”). The Federal Court Action makes substantially similar allegations to the Quebec Action and the putative class is represented by the same counsel. In February 2021, the plaintiff in the Federal Court Action issued a proposed Amended Statement of Claim that replaced the named plaintiff, Kate O’Leary Swinkels, with David Regan. The plaintiff has sought a stay of the Quebec Action while the Federal Court Action proceeds. We anticipate a hearing on the certification of the Federal Court Action in 2023. The Company believes both the Quebec Action and the Federal Court Action lack merit and intends to vigorously defend against them.

We have evaluated the claims against us and recorded provisions based on management’s judgment about the probable outcome of the litigation and have included our estimates in accrued expenses in the accompanying balance sheets. See Note 7 - Accrued Expenses and Other Current Liabilities. While we expect a favorable resolution to these matters, the dispute resolution process could be lengthy, and if the plaintiffs were to prevail completely or substantially in the respective matters described above, such an outcome could have a material adverse effect on our operating results, consolidated financial position, or cash flows.

Self-Insured Risk – We self-insure substantially all of our domestic business liability risks including general liability, product liability, warranty, personal injury, auto liability, workers’ compensation, and employee medical benefits. Excess

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insurance policies from independent insurance companies generally cover exposures between $5.0 million and $200.0 million for domestic product liability risk and exposures between $3.0 million and $200.0 million for auto, general liability, personal injury, and workers’ compensation. We have no stop loss insurance covering our self-insured employee medical plan and are responsible for all claims thereunder. We estimate our provision for self-insured losses based upon an evaluation of current claim exposure and historical loss experience. Actual self-insurance losses may vary significantly from these estimates. At June 25, 2022 and December 31, 2021, our accrued liability for self-insured risks was $88.7 million and $88.4 million, respectively.

Indemnifications – At June 25, 2022, we had commitments related to certain representations made in contracts for the purchase or sale of businesses or property. These representations primarily relate to past actions such as responsibility for transfer taxes if they should be claimed, and the adequacy of recorded liabilities, warranty matters, employment benefit plans, income tax matters, or environmental exposures. These guarantees or indemnification responsibilities typically expire within one to three years. We are not aware of any material amounts claimed or expected to be claimed under these indemnities. From time to time and in limited geographic areas, we have entered into agreements for the sale of our products to certain customers that provide additional indemnifications for liabilities arising from construction or product defects. We cannot estimate the potential magnitude of such exposures, but to the extent specific liabilities have been identified related to product sales, liabilities have been provided in the warranty accrual in the accompanying consolidated balance sheets.

Other Financing Arrangements – At times we are required to provide letters of credit, surety bonds, or guarantees to meet various performance, legal, warranty, environmental, workers compensation, licensing, utility, and governmental requirements. Stand-by letters of credit are provided to certain customers and counterparties in the ordinary course of business as credit support for contractual performance guarantees, advanced payments received from customers, and future funding commitments. The stated values of these letters of credit agreements, surety bonds, and guarantees were $73.1 million and $116.9 million at June 25, 2022 and December 31, 2021, respectively. The decrease is primarily due to the cancellation of bonds related to the Steves’ legal matter.

Environmental Contingencies – We periodically incur environmental liabilities associated with remediating our current and former manufacturing sites as well as penalties for not complying with environmental rules and regulations. We record a liability for remediation costs when it is probable that we will be responsible for such costs and the costs can be reasonably estimated. These environmental liabilities are estimated based on current available facts and current laws and regulations. Accordingly, it is likely that adjustments to the estimated liabilities will be necessary as additional information becomes available. Short-term environmental liabilities and settlements are recorded in accrued expenses and other current liabilities in the accompanying consolidated balance sheets and totaled $0.5 million at June 25, 2022 and December 31, 2021. Long-term environmental liabilities are recorded in deferred credits and other liabilities in the accompanying consolidated balance sheets and totaled $11.8 million at June 25, 2022 and December 31, 2021.

Everett, Washington WADOE Action – In 2007, we were identified by the WADOE as a PLP with respect to our former manufacturing site in Everett, Washington. In 2008, we entered into an Agreed Order with the WADOE to assess historic environmental contamination and remediation feasibility at the site. As part of the order, we agreed to develop a CAP, arising from the feasibility assessment. In December 2020, we submitted to the WADOE a draft feasibility assessment with an array of remedial alternatives, which we considered substantially complete. During 2021, several comment rounds were completed as well as the identification of the Port of Everett and W&W Everett Investment LLC as additional PLPs, with respect to this matter with each PLP being jointly and severally liable for the cleanup costs. The WADOE received the final feasibility assessment on December 31, 2021, containing various remedial alternatives with its preferred remedial alternatives totaling $23.4 million. Based on this study, we have determined our range of possible outcomes to be $11.8 million to $33.4 million. On March 1, 2022, we delivered a draft CAP to the WADOE consistent with its preferred alternatives, and on May 16, 2022, we received the WADOE’s initial comments on the draft CAP. On June 13, 2022, we responded to the WADOE’s comments. The WADOE has 60 days to review and provide comments followed by a comment incorporation period for the draft CAP. At that time, the WADOE will complete an additional review within 60 days and release the documents for tribal consultation and comment. A 30-day public comment period will follow, and once the public comment period has expired and any comments incorporated, the WADOE will finalize the remedial actions we will be required to perform. The final CAP will be developed and delivered to the WADOE 15 days thereafter. The final CAP will ultimately be formalized in an Agreed Order or Consent Decree with the WADOE, the Company, and the other PLPs. We have made provisions within our financial statements within the range of possible outcomes; however, the contents and cost of the final CAP and allocation of the responsibility between the identified PLPs could vary materially from our estimates.

Towanda, Pennsylvania Consent Order – In December 2020, we entered into a COA with the PaDEP to remove a pile of wood fiber waste from our site in Towanda, Pennsylvania, which we acquired in connection with our acquisition of CMI in 2012, by using it as fuel for a boiler at that site. The COA replaced a 2018 Consent Decree between PaDEP and us. Under

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the COA, we are required to achieve certain periodic removal objectives and ultimately remove the entire pile by August 31, 2025. There are currently $2.3 million in bonds posted in connection with these obligations. If we are unable to remove this pile by August 31, 2025, then the bonds will be forfeited, and we may be subject to penalties by PaDEP. We currently anticipate meeting all applicable removal deadlines; however, if our operations should change, additional alternatives would be evaluated to meet the prescribed removal timeline.

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Note 20. Supplemental Cash Flow Information

	Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021
Cash Operating Activities:
Operating leases	$	30,232	$	29,735
Interest payments on financing lease obligations	83		112
Cash paid for amounts included in the measurement of lease liabilities	$	30,315	$	29,847
Non-cash Investing Activities:
Property, equipment, and intangibles purchased in accounts payable	$	4,888	$	5,557
Property, equipment, and intangibles purchased with debt	3,278		3,421
Cash Financing Activities:
Borrowings on long-term debt	$	441,364	258
Payments of long-term debt	(254,736)		(54,912)
Change in long-term debt	$	186,628	$	(54,654)
Cash paid for amounts included in the measurement of finance lease liabilities	$	924	$	1,164
Non-cash Financing Activities:
Prepaid insurance funded through short-term debt borrowings	$	2,029	$	2,570
Shares surrendered for tax obligations for employee share-based transactions in accrued liabilities	$	46	$	171
Shares repurchased in accounts payable	1,517		—
Accounts payable converted to installment notes	1,279		69
Other Supplemental Cash Flow Information:
Cash taxes paid, net of refunds	$	27,544	$	24,044
Cash interest paid	36,641		35,623

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Item 2 - Management’s Discussion and Analysis of Financial Condition and Results of Operations

FORWARD-LOOKING STATEMENTS

In addition to historical information, this 10-Q contains “forward-looking statements” within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act, which are subject to the “safe harbor” created by those sections. All statements, other than statements of historical facts, included in this 10-Q are forward-looking statements. You can generally identify forward-looking statements by our use of forward-looking terminology such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “potential,” “predict,” “seek,” or “should,” or the negative thereof or other variations thereon or comparable terminology. In particular, statements about the markets in which we operate, including growth of our various markets, and our expectations, beliefs, plans, strategies, objectives, prospects, assumptions, including the impact of COVID-19, the outcome of legal proceeding, or future events or performance contained under the heading Item 2- Management’s Discussion and Analysis of Financial Condition and Results of Operations are forward-looking statements.

    We have based these forward-looking statements on our current expectations, assumptions, estimates and projections. While we believe these expectations, assumptions, estimates, and projections are reasonable, such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond our control. These and other important factors, including those discussed under the headings Item 1A- Risk Factors in our annual report on Form 10-K and Item 1A – Risk Factors and Item 2- Management’s Discussion and Analysis of Financial Condition and Results of Operations in this 10-Q may cause our actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by these forward-looking statements. Some of the factors that could cause actual results to differ materially from those expressed or implied by the forward-looking statements include:

•negative trends in overall business, financial market and economic conditions, and/or activity levels in our end markets;

•our highly competitive business environment;

•failure to timely identify or effectively respond to consumer needs, expectations, or trends;

•failure to maintain the performance, reliability, quality, and service standards required by our customers;

•failure to successfully implement our strategic initiatives, including JEM;

•acquisitions or investments in other businesses that may not be successful;

•adverse outcome of pending or future litigation;

•declines in our relationships with and/or consolidation of our key customers;

•increases in interest rates and reduced availability of financing for the purchase of new homes and home construction and improvements;

•fluctuations in the prices of raw materials used to manufacture our products;

•delays or interruptions in the delivery of raw materials or finished goods;

•seasonal business with varying revenue and profit;

•changes in weather patterns;

•political, regulatory, economic, and other risks, including the impact of political conflict on the global economy and the ongoing impact of the COVID-19 pandemic, that arise from operating a multinational business;

•exchange rate fluctuations;

•disruptions in our operations;

•manufacturing realignments and cost savings programs resulting in a decrease in short-term earnings;

•our ERP system that we are currently implementing proving ineffective;

•security breaches and other cybersecurity incidents;

•increases in labor costs, potential labor disputes, and work stoppages at our facilities;  

•changes in building codes that could increase the cost of our products or lower the demand for our windows and doors;

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•compliance costs and liabilities under environmental, health, and safety laws and regulations;

•compliance costs with respect to legislative and regulatory proposals to restrict emission of GHGs;

•lack of transparency, threat of fraud, public sector corruption, and other forms of criminal activity involving government officials;

•product liability claims, product recalls, or warranty claims;

•inability to protect our intellectual property;

•pension plan obligations;

•our current level of indebtedness; and

•other risks and uncertainties, including those listed under Item 1A- Risk Factors in our 10-K and Item 1A- Risk Factors in this 10-Q.

    Given these risks and uncertainties, you are cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements contained in this 10-Q are not guarantees of future performance and our actual results of operations, financial condition, and liquidity, and the development of the industry in which we operate, may differ materially from the forward-looking statements contained herein. In addition, even if our results of operations, financial condition, and liquidity, and events in the industry in which we operate, are consistent with the forward-looking statements contained in this 10-Q, they may not be predictive of results or developments in future periods.

    Any forward-looking statement in this 10-Q speaks only as of the date of this 10-Q or as of the date such statement was made. We do not undertake any obligation to update or revise, or to publicly announce any update or revision to, any of the forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Unless the context requires otherwise, references in this 10-Q to “we,” “us,” “our,” “the Company,” or “JELD-WEN” mean JELD-WEN Holding, Inc., together with our consolidated subsidiaries where the context requires, including our wholly owned subsidiary JWI.

    This discussion should be read in conjunction with our historical financial statements and related notes thereto and the other disclosures contained elsewhere in this 10-Q. The results of operations for the periods reflected herein are not necessarily indicative of results that may be expected for future periods, and our actual results may differ materially from those discussed in the forward-looking statements as a result of various factors, including but not limited to those listed under Item 1A- Risk Factors in our annual report on Form 10-K and Item 1A – Risk Factors in this 10-Q and included elsewhere in this 10-Q.

This MD&A is a supplement to our financial statements and notes thereto included elsewhere in this 10-Q and is provided to enhance your understanding of our results of operations and financial condition. Our discussion of results of operations is presented in millions throughout the MD&A and due to rounding may not sum or calculate precisely to the totals and percentages provided in the tables. Our MD&A is organized as follows:

•Overview. This section provides a general description of our Company and reportable segments.

•Consolidated Results of Operations and Operating Results by Business Segment. This section provides our analysis and outlook for the significant line items on our consolidated statements of operations, as well as other information that we deem meaningful to an understanding of our results of operations on both a consolidated basis and a business segment basis.

•Liquidity and Capital Resources. This section contains an overview of our financing arrangements and provides an analysis of trends and uncertainties affecting liquidity, cash requirements for our business, and sources and uses of our cash.

•Critical Accounting Policies and Estimates. This section discusses the accounting policies that we consider important to the evaluation and reporting of our financial condition and results of operations, and whose application requires significant judgments or a complex estimation process.

Company Overview

We are a leading global provider of windows, doors, wall systems, and other building products. We design, produce, and distribute an extensive range of interior and exterior doors, wood, vinyl, and aluminum windows, and related products for use in the new construction, R&R of residential homes, and, to a lesser extent, non-residential buildings.

We operate manufacturing and distribution facilities in 19 countries, located primarily in North America, Europe, and Australia. For many product lines, our manufacturing processes are vertically integrated, enhancing our range of capabilities, our ability to innovate, and our quality control as well as providing supply chain, transportation, and working capital savings.

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Business Segments

Our business is organized in geographic regions to ensure integration across operations serving common end markets and customers. We have three reportable segments: North America, Europe, and Australasia. Financial information related to our business segments can be found in Note 11 - Segment Information of our financial statements included elsewhere in this 10-Q.

Results of Operations

The tables in this section summarize key components of our results of operations for the periods indicated, both in U.S. dollars and as a percentage of our net revenues. Certain percentages presented in this section have been rounded to the nearest whole number. Accordingly, totals may not equal the sum of the line items in the tables below.

Comparison of the Three Months Ended June 25, 2022 to the Three Months Ended June 26, 2021

	Three Months Ended
	June 25, 2022					June 26, 2021
(amounts in thousands)			% of Net  Revenues					% of Net  Revenues
Net revenues	$	1,330,968		100.0	%	$	1,245,815		100.0	%
Cost of sales	1,084,803			81.5	%	953,898			76.6	%
Gross margin	246,165			18.5	%	291,917			23.4	%
Selling, general and administrative	180,487			13.6	%	188,691			15.1	%
Impairment and restructuring charges	5,296			0.4	%	1,145			0.1	%
Operating income	60,382			4.5	%	102,081			8.2	%
Interest expense, net	20,222			1.5	%	18,860			1.5	%
Other (income) expense	(20,887)			(1.6)	%	152			—	%
Income before taxes	61,047			4.6	%	83,069			6.7	%
Income tax expense	15,221			1.1	%	22,359			1.8	%
Net income	$	45,826		3.4	%	$	60,710		4.9	%

Consolidated Results

Net Revenues – Net revenues increased $85.2 million, or 6.8%, to $1,331.0 million in the three months ended June 25, 2022 from $1,245.8 million in the three months ended June 26, 2021. The increase was due to an improvement in core revenues of 11% and an unfavorable impact from foreign exchange of 4%. Core revenues increased due to a 12% benefit from pricing, partially offset by unfavorable volume/mix of 1%.

Gross Margin – Gross margin decreased $45.8 million, or 15.7%, to $246.2 million in the three months ended June 25, 2022 from $291.9 million in the three months ended June 26, 2021. Gross margin as a percentage of net revenues was 18.5% in the three months ended June 25, 2022 and 23.4% in the three months ended June 26, 2021. The decrease in gross margin percentage was due to the impact of inflation on material costs, freight, and labor compensation and unfavorable volume/mix, partially offset by improved pricing and positive productivity.

SG&A Expense – SG&A expense decreased $8.2 million, or 4.3%, to $180.5 million in the three months ended June 25, 2022 from $188.7 million in the three months ended June 26, 2021. SG&A expense as a percentage of net revenues decreased to 13.6% in the three months ended June 25, 2022 from 15.1% in the three months ended June 26, 2021. The decrease in SG&A expense was primarily due to reduced salary and variable compensation charges as well as professional fees, partially offset by increased sales and marketing and research and development expenditures.

Impairment and Restructuring Charges – Impairment and restructuring charges increased $4.2 million, or 362.5%, to $5.3 million in the three months ended June 25, 2022 from $1.1 million in the three months ended June 26, 2021. The increase in impairment and restructuring charges of $4.2 million in the current period was primarily due to footprint rationalization initiatives in our North America segment.

Interest Expense, Net – Interest expense, net increased $1.4 million, or 7.2%, to $20.2 million in the three months ended June 25, 2022 from $18.9 million in the three months ended June 26, 2021. The increase was primarily due to an increase to the cost of borrowing deriving from the July 2021 amendment and extension of the Term Loan Facility and increased borrowings on the ABL

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Facility in the current period, partially offset by interest income from interest rate derivatives and the repayment of the term loan portion of the Australia Facility during the second quarter of 2021.

Other (Income) Expense – Other (income) expense changed $21.0 million to income of $20.9 million in the three months ended June 25, 2022 from expense of $0.2 million in the three months ended June 26, 2021. Other income in the three months ended June 25, 2022 consisted primarily of foreign currency gains of $7.1 million, the recovery of cost from interest received on impaired notes of $6.4 million, insurance reimbursements of $4.8 million, and pension income of $1.4 million. Other expense in the three months ended June 26, 2021 consisted primarily of a loss on sale of property and equipment of $1.3 million and foreign currency losses of $0.3 million, partially offset by governmental pandemic assistance reimbursements and government grants.

    Income Taxes – Income tax expense decreased $7.1 million, or 31.9%, to $15.2 million in the three months ended June 25, 2022 from $22.4 million in the three months ended June 26, 2021. The effective tax rate in the three months ended June 25, 2022 was 24.9% compared to 26.9% in the three months ended June 26, 2021. The decrease in tax expense of $7.1 million in the current period was primarily due to a decrease in income before taxes of $22.0 million. For more information, refer to Note 10 – Income Taxes to our consolidated financial statements included in this 10-Q.

Comparison of the Six Months Ended June 25, 2022 to the Six Months Ended June 26, 2021

	Six Months Ended
	June 25, 2022				June 26, 2021
(amounts in thousands)			% of Net  Revenues				% of Net  Revenues
Net revenues	$	2,501,990	100.0	%	$	2,338,198		100.0	%
Cost of sales	2,052,527		82.0	%	1,810,342			77.4	%
Gross margin	449,463		18.0	%	527,856			22.6	%
Selling, general and administrative	373,483		14.9	%	380,245			16.3	%
Impairment and restructuring charges	5,297		0.2	%	2,072			0.1	%
Operating income	70,683		2.8	%	145,539			6.2	%
Interest expense, net	38,576		1.5	%	37,315			1.6	%
Other income	(28,224)		(1.1)	%	(10,689)			(0.5)	%
Income before taxes	60,331		2.4	%	118,913			5.1	%
Income tax expense	15,033		0.6	%	32,718			1.4	%
Net income	$	45,298	1.8	%	$	86,195		3.7	%

Consolidated Results

Net Revenues – Net revenues increased $163.8 million, or 7.0%, to $2,502.0 million in the six months ended June 25, 2022 from $2,338.2 million in the six months ended June 26, 2021. The increase was due to an improvement in core revenues of 11%, partially offset by an unfavorable impact from foreign exchange of 4%. Core revenues increased due to a 12% benefit from pricing, partially offset by unfavorable volume/mix of 1%.

Gross Margin – Gross margin decreased $78.4 million, or 14.9%, to $449.5 million in the six months ended June 25, 2022 from $527.9 million in the six months ended June 26, 2021. Gross margin as a percentage of net revenues was 18.0% in the six months ended June 25, 2022 and 22.6% in the six months ended June 26, 2021. The decrease in gross margin percentage was primarily due to the impact of inflation on material costs, freight, and labor compensation and unfavorable volume/mix in the current period, partially offset by improved pricing and positive productivity.

SG&A Expense – SG&A expense decreased $6.8 million, or 1.8%, to $373.5 million in the six months ended June 25, 2022 from $380.2 million in the six months ended June 26, 2021. The decrease in SG&A expense was primarily due to reduced salary and variable compensation charges as well as professional fees, partially offset by increased sales and marketing and research and development expenditures.

Impairment and Restructuring Charges – Impairment and restructuring charges increased $3.2 million, or 155.6%, to $5.3 million in the six months ended June 25, 2022 from $2.1 million in the six months ended June 26, 2021. Charges in the current period primarily relate to footprint rationalization initiatives in our North America segment. Charges incurred in 2021 primarily related to restructuring projects within our Europe segment.

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Interest Expense, Net – Interest expense, net, increased $1.3 million, or 3.4%, to $38.6 million in the six months ended June 25, 2022 from $37.3 million in the six months ended June 26, 2021. The increase was primarily due to an increase to the cost of borrowing deriving from the July 2021 amendment and extension of the Term Loan Facility and increased borrowings on the ABL Facility in the current period, partially offset by interest income from interest rate derivatives and the repayment of the term loan portion of the Australia Facility during the second quarter of 2021.

Other Income – Other income increased $17.5 million, or 164.0%, to $28.2 million in the six months ended June 25, 2022 from $10.7 million in the six months ended June 26, 2021. Other income in the six months ended June 25, 2022 primarily consisted of the recovery of cost from interest received on impaired notes of $13.4 million, foreign currency gains of $5.4 million, insurance reimbursements of $4.8 million, and pension income of $2.9 million. Other income in the six months ended June 26, 2021 primarily consisted of foreign currency gains of $8.9 million and governmental pandemic assistance reimbursements and government grants.

Income Taxes – Income tax expense decreased $17.7 million, or 54.1%, to $15.0 million in the six months ended June 25, 2022 from $32.7 million in the six months ended June 26, 2021. The effective tax rate in the six months ended June 25, 2022 was 24.9% compared to 27.5% in the six months ended June 26, 2021. The decrease in income taxes in the six months ended June 25, 2022 was primarily due to a decrease in income before taxes of $58.6 million. For more information, refer to Note 10 – Income Taxes to our consolidated financial statements included in this 10-Q.

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Segment Results

We report our segment information in the same way management internally organizes the business in assessing performance and making decisions regarding allocation of resources in accordance with ASC 280-10 - Segment Reporting. We have determined that we have three reportable segments, organized and managed principally by geographic region. Our reportable segments are North America, Europe, and Australasia. We report all other business activities in Corporate and unallocated costs. We define Adjusted EBITDA as net income (loss), adjusted for the following items: loss from discontinued operations, net of tax; equity earnings of non-consolidated entities; income tax (benefit) expense; depreciation and amortization; interest expense, net; impairment and restructuring charges; gain on previously held shares of equity investment; (gain) loss on sale of property and equipment; share-based compensation expense; non-cash foreign exchange transaction/translation (income) loss; other non-cash items; other items; and costs related to debt restructuring and debt refinancing. For additional information on segment Adjusted EBITDA, see Note 11 - Segment Information to our consolidated financial statements included in this 10-Q.

Comparison of the Three Months Ended June 25, 2022 to the Three Months Ended June 26, 2021

	Three Months Ended
(amounts in thousands)	June 25, 2022			June 26, 2021
Net revenues from external customers							% Variance
North America	$	839,107		$	740,128		13.4	%
Europe	340,047			349,747			(2.8)	%
Australasia	151,814			155,940			(2.6)	%
Total Consolidated	$	1,330,968		$	1,245,815		6.8	%
Percentage of total consolidated net revenues
North America	63.0		%	59.4		%
Europe	25.6		%	28.1		%
Australasia	11.4		%	12.5		%
Total Consolidated	100.0		%	100.0		%
Adjusted EBITDA(1)
North America	$	93,472		$	115,320		(18.9)	%
Europe	20,040			39,784			(49.6)	%
Australasia	15,872			17,995			(11.8)	%
Corporate and unallocated costs	(3,589)			(24,857)			(85.6)	%
Total Consolidated	$	125,795		$	148,242		(15.1)	%
Adjusted EBITDA as a percentage of segment net revenues
North America	11.1		%	15.6		%
Europe	5.9		%	11.4		%
Australasia	10.5		%	11.5		%
Total Consolidated	9.5		%	11.9		%

(1)Adjusted EBITDA is a financial measure that is not calculated in accordance with GAAP. For a discussion of our presentation of Adjusted EBITDA, see Note 11 – Segment Information in our unaudited interim consolidated financial statements.

North America

Net revenues in North America increased $99.0 million, or 13.4%, to $839.1 million in the three months ended June 25, 2022 from $740.1 million in the three months ended June 26, 2021. The increase was primarily due to an increase in core revenues of 14%. Core revenues increased due to a 14% benefit from pricing.

Adjusted EBITDA in North America decreased $21.8 million, or 18.9%, to $93.5 million in the three months ended June 25, 2022 from $115.3 million in the three months ended June 26, 2021. The decrease was primarily due to the effect of inflation on material costs, freight, and labor compensation, partially offset by favorable pricing and positive productivity.

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Europe

Net revenues in Europe decreased $9.7 million, or 2.8%, to $340.0 million in the three months ended June 25, 2022 from $349.7 million in the three months ended June 26, 2021. The decrease was due to an unfavorable impact from foreign exchange of 12%, partially offset by an increase in core revenues of 9%. Core revenues increased due to an 11% benefit from pricing, partially offset by unfavorable volume/mix of 2%.

Adjusted EBITDA in Europe decreased $19.7 million, or 49.6%, to $20.0 million in the three months ended June 25, 2022 from $39.8 million in the three months ended June 26, 2021. The decrease was primarily due to the effect of inflation on material costs, freight, utility costs, and labor compensation as well as unfavorable volume/mix, partially offset by favorable pricing and positive productivity.

Australasia

Net revenues in Australasia decreased $4.1 million, or 2.6%, to $151.8 million in the three months ended June 25, 2022 from $155.9 million in the three months ended June 26, 2021. The decrease was due to an unfavorable impact from foreign exchange of 7%, partially offset by an increase in core revenues of 4%. Core revenues increased due to an 8% benefit from pricing, partially offset by unfavorable volume/mix of 4%.

Adjusted EBITDA in Australasia decreased $2.1 million, or 11.8%, to $15.9 million in the three months ended June 25, 2022 from $18.0 million in the three months ended June 26, 2021. The decrease was primarily due to the effect of inflation on material and labor compensation as well as unfavorable volume/mix, partially offset by favorable pricing and positive productivity.

Corporate and unallocated costs

Corporate and unallocated costs decreased in the three months ended June 25, 2022 compared to the three months ended June 26, 2021 primarily due to the recovery of cost from interest received on impaired notes, a gain on foreign exchange transactions, and insurance recoveries in the current period resulting in an increase to Adjusted EBITDA of $21.3 million, or 85.6%.

Comparison of the Six Months Ended June 25, 2022 to the Six Months Ended June 26, 2021

	Six Months Ended
(amounts in thousands)	June 25, 2022			June 26, 2021
Net revenues from external customers							% Variance
North America	$	1,561,450		$	1,379,743		13.2	%
Europe	663,319			670,262			(1.0)	%
Australasia	277,221			288,193			(3.8)	%
Total Consolidated	$	2,501,990		$	2,338,198		7.0	%
Percentage of total consolidated net revenues
North America	62.4		%	59.0		%
Europe	26.5		%	28.7		%
Australasia	11.1		%	12.3		%
Total Consolidated	100.0		%	100.0		%
Adjusted EBITDA(1)
North America	$	160,557		$	195,113		(17.7)	%
Europe	34,738			68,578			(49.3)	%
Australasia	26,244			31,194			(15.9)	%
Corporate and unallocated costs	(15,495)			(48,732)			(68.2)	%
Total Consolidated	$	206,044		$	246,153		(16.3)	%
Adjusted EBITDA as a percentage of segment net revenues
North America	10.3		%	14.1		%
Europe	5.2		%	10.2		%
Australasia	9.5		%	10.8		%
Total Consolidated	8.2		%	10.5		%

(1)Adjusted EBITDA is a financial measure that is not calculated in accordance with GAAP. For a discussion of our presentation of Adjusted EBITDA, see Note 11 - Segment Information in our unaudited consolidated financial statements.

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North America

Net revenues in North America increased $181.7 million, or 13.2%, to $1,561.5 million in the six months ended June 25, 2022 from $1,379.7 million in the six months ended June 26, 2021. The increase was due to an increase in core revenues of 13%. Core revenues increased due to a 14% benefit from pricing, partially offset by unfavorable volume/mix of 1%.

Adjusted EBITDA in North America decreased $34.6 million, or 17.7%, to $160.6 million in the six months ended June 25, 2022 from $195.1 million in the six months ended June 26, 2021. The decrease was due to the impact of inflation on material costs, freight, and labor compensation, partially offset by favorable pricing and positive productivity.

Europe

Net revenues in Europe decreased $6.9 million, or 1.0%, to $663.3 million in the six months ended June 25, 2022 from $670.3 million in the six months ended June 26, 2021. The decrease was primarily due to an unfavorable impact from foreign exchange of 10%, partially offset by an increase in core revenue of 9%. Core revenues increased due to an 11% benefit from pricing, partially offset by unfavorable volume/mix of 2%.

Adjusted EBITDA in Europe decreased $33.8 million, or 49.3%, to $34.7 million in the six months ended June 25, 2022 from $68.6 million in the six months ended June 26, 2021. The decrease was primarily due to the impact of inflation on material costs, freight, utility costs, and labor compensation, and unfavorable volume/mix, partially offset by favorable pricing and positive productivity.

Australasia

Net revenues in Australasia decreased $11.0 million, or 3.8%, to $277.2 million in the six months ended June 25, 2022 from $288.2 million in the six months ended June 26, 2021. The decrease was primarily due to an unfavorable impact from foreign exchange of 7%, partially offset by an increase in core revenues of 3%. Core revenues increased due to a 7% benefit from pricing, partially offset by unfavorable volume/mix of 4%.

Adjusted EBITDA in Australasia decreased $5.0 million, or 15.9%, to $26.2 million in the six months ended June 25, 2022 from $31.2 million in the six months ended June 26, 2021. The decrease was primarily due to the impact of inflation on material costs and labor compensation and unfavorable volume/mix, partially offset by favorable pricing and positive productivity.

Corporate and unallocated costs

Corporate and unallocated costs decreased in the six months ended June 25, 2022 compared to the six months ended June 26, 2021 primarily due to the recovery of cost from interest received on impaired notes, a gain on foreign exchange transactions, and insurance recoveries in the current period resulting in an increase to Adjusted EBITDA of $33.2 million, or 68.2%.

Liquidity and Capital Resources

Overview

We have historically funded our operations through a combination of cash from operations, draws on our revolving credit facilities, and the issuance of non-revolving debt such as our Term Loan Facility, Senior Notes, and Senior Secured Notes. Working capital fluctuates throughout the year and is affected by the seasonality of sales of our products, customer payment patterns, and the translation of the balance sheets of our foreign operations into the U.S. dollar. Typically, working capital increases at the end of the first quarter and beginning of the second quarter in conjunction with, and in preparation for, the peak season for home construction and remodeling in our North America and Europe segments, which represent the substantial majority of our revenues, and decreases starting in the fourth quarter as inventory levels and accounts receivable decline. Inventories fluctuate for raw materials with long delivery lead times, such as steel, as we work through prior shipments and take delivery of new orders.

As of June 25, 2022, we had total liquidity (a non-GAAP measure) of $550.8 million, consisting of $272.5 million in unrestricted cash, $262.3 million available for borrowing under the ABL Facility, and AUD 23.1 million ($16.0 million) available for borrowing under the Australia Senior Secured Credit Facility, compared to total liquidity of $837.8 million as of December 31, 2021. The decrease in total liquidity was primarily due to cash utilized for share repurchases, higher working capital investments, and decreased earnings in the current period.

As of June 25, 2022, our cash balances, including $1.4 million of restricted cash, consisted of $15.3 million in the U.S. and $258.6 million in non-U.S. subsidiaries. Based on our current level of operations, the seasonality of our business and anticipated growth, we believe that cash provided by operations and other sources of liquidity, including cash, cash equivalents and availability under our revolving credit facilities, will provide adequate liquidity for ongoing operations, planned capital expenditures and other investments, and debt service requirements for at least the next twelve months.

    We may, from time to time, refinance, reprice, extend, retire or otherwise modify our outstanding debt to lower our interest payments, reduce our debt, or otherwise improve our financial position. These actions may include repricing amendments, extensions,

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and/or opportunistic refinancing of debt. The amount of debt that may be refinanced, repriced, extended, retired, or otherwise modified, if any, will depend on market conditions, trading levels of our debt, our cash position, compliance with debt covenants, and other considerations.

Based on hypothetical variable rate debt that would have resulted from drawing each revolving credit facility up to the full commitment amount, a 1.0% decrease in interest rates would have reduced our interest expense by $3.4 million in the six months ended June 25, 2022. A 1.0% increase in interest rates would have increased our interest expense by $3.6 million in the same period. The impact of a hypothetical decrease would have been partially mitigated by interest rate floors that apply to certain of our debt agreements.

Borrowings and Refinancings

In December 2021, we amended our Australia Senior Secured Credit Facility resulting in reduced borrowing fees and reinstated maintenance financial covenant ratios to pre-pandemic thresholds.

In July 2021, we refinanced our existing Term Loan Facility and ABL Facility by issuing replacement loans that aggregated to $550.0 million in principal amount under the Term Loan Facility and added $100.0 million in potential additional revolving loan capacity to our ABL Facility.

As of June 25, 2022, we were in compliance with the terms of all of our Credit Facilities and the indentures governing the Senior Notes and Senior Secured Notes.

Our results have been and will continue to be impacted by substantial changes in our net interest expense throughout the periods presented and into the future. See Note 9 - Long-Term Debt to our consolidated financial statements for additional details.

Cash Flows

The following table summarizes the changes to our cash flows for the periods presented:

	Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021
Cash provided by (used in):
Operating activities	$	(165,711)	$	40,741
Investing activities	(21,364)		(41,476)
Financing activities	81,081		(110,327)
Effect of changes in exchange rates on cash and cash equivalents	(16,981)		(6,310)
Net change in cash and cash equivalents	$	(122,975)	$	(117,372)

Cash Flow from Operations

Net cash (used in) provided by operating activities changed $206.5 million to $165.7 million net cash used in the six months ended June 25, 2022 from $40.7 million net cash provided in the six months ended June 26, 2021. The increase in cash used in operating activities was due primarily to increased working capital and decreased earnings in the current period.

Cash Flow from Investing Activities

Net cash used in investing activities decreased $20.1 million to $21.4 million in the six months ended June 25, 2022 from $41.5 million in the six months ended June 26, 2021 primarily due to cash received from the recovery of cost from interest received on impaired notes of $13.4 million and a reduction in capital expenditures.

Cash Flow from Financing Activities

Net cash provided by financing activities was $81.1 million in the six months ended June 25, 2022 and consisted primarily of net borrowings of $186.6 million, partially offset by repurchases of our Common Stock of $105.2 million.

Net cash used in financing activities was $110.3 million in the six months ended June 26, 2021 and consisted primarily of repurchases of our Common Stock of $56.9 million and net debt repayments of $54.7 million.

40

Critical Accounting Policies and Estimates

Our MD&A is based upon our consolidated financial statements, which have been prepared in accordance with GAAP. The preparation of these consolidated financial statements requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses, and related disclosure of contingent assets and liabilities. On an ongoing basis, we evaluate our estimates. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which may differ from these estimates.

    Our significant accounting policies are described in Note 1 - Summary of Significant Accounting Policies to the consolidated financial statements presented in our 10-K. Our critical accounting policies and estimates are described in Management’s Discussion and Analysis of Financial Condition and Results of Operations in the 10-K. Our significant and critical accounting policies have not changed significantly since 10-K was filed.

Holding Company Status

We are a holding company that conducts all of our operations through subsidiaries, and we rely on dividends or advances from our subsidiaries to fund the holding company. The majority of our operating income is derived from JWI, our main operating subsidiary. The ability of our subsidiaries to pay dividends to us is subject to applicable local law and may be limited due to the terms of other contractual arrangements, including our Credit Facilities, Senior Notes, and Senior Secured Notes.

The Australia Senior Secured Credit Facility also contains restrictions on dividends that limit the amount of cash that the obligors under these facilities can distribute to JWI. Obligors under the Australia Senior Secured Credit Facility may pay dividends only to the extent they do not exceed 80% of after tax net profits (with a one-year carryforward of unused amounts) and only while no default is continuing under such agreement. For further information regarding the Australia Senior Secured Credit Facility, see Note 9 - Long-Term Debt in our consolidated financial statements.

The amount of our consolidated net assets that were available to be distributed under our credit facilities as of June 25, 2022 was $802.7 million.

Item 3 - Quantitative and Qualitative Disclosures About Market Risk

    We are exposed to various types of market risks, including the effects of adverse fluctuations in foreign currency exchange rates, adverse changes in interest rates, and adverse movements in commodity prices for products we use in our manufacturing. To reduce our exposure to these risks, we maintain risk management controls and policies to monitor these risks and take appropriate actions to attempt to mitigate such forms of market risk. Our market risks have not changed significantly from those disclosed in the 10-K.

Item 4 - Controls and Procedures

Disclosure Controls and Procedures

    The Company maintains disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)), which are designed to ensure that information required to be disclosed by the Company in reports that it files or submits under the Exchange Act, including this Report, are recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms. These disclosure controls and procedures include controls and procedures designed to ensure that information required to be disclosed by the Company under the Exchange Act is accumulated and communicated to the Company’s management, including its principal executive officer (“CEO”) and principal financial officer (“CFO”), as appropriate to allow timely decisions regarding required disclosure.

The Company’s management, including the Company’s CEO and CFO, conducted an evaluation of the effectiveness of the Company’s disclosure controls and procedures as of the end of the period covered by this Report and, based on that evaluation, the CEO and CFO concluded that the Company’s disclosure controls and procedures were effective as of June 25, 2022.

Changes in Internal Control over Financial Reporting

There were no changes in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) that occurred during the Company’s most recently completed quarter ended June 25, 2022 that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

41

PART II - OTHER INFORMATION

Item 1 - Legal Proceedings

    Information relating to this item is included within Note 19 - Commitments and Contingencies of our financial statements included elsewhere in this 10-Q.

Item 1A - Risk Factors

    Except the updates to the risk factors set forth below, there have been no material changes in our risk factors from those disclosed in our Annual Report on Form 10-K included in Part I Item 1A - Risk Factors for the year ended December 31, 2021.

The ongoing conflict between Russia and Ukraine could have a material adverse effect on our business, financial condition, and results of operations.

In February 2022, the Russian military commenced an invasion of Ukraine, which is ongoing as of the date of this report. The impacts of the conflict, as well as sanctions imposed on Russia and economic and political uncertainty could have an adverse impact on our business. We do not have operations in Ukraine, and prior to the invasion, we held limited sales operations in Russia, which were discontinued in the first quarter of 2022. However, we have and may continue to experience heightened inflation on materials, freight, and other variable costs, such as utilities, primarily in our European operations. The risks to our business may include, among others, adverse impacts on our supply chain, including trade barriers or restrictions, transportation and operating disruptions, decreased customer demand, elevated inflation, cybersecurity incidents, unfavorable foreign exchange, and higher borrowing costs, any of which could have a material adverse impact on our business, financial condition, and results of operations.

Item 2 - Unregistered Sales of Equity Securities and Use of Proceeds

(c) Issuer Purchases of Securities

A summary of our repurchases of Common Stock during the second quarter of 2022 is as follows (in thousands, except share and per share amounts):

	(a)	(b)	(c)	(d)
Period	Total Number of Shares (or Units) Purchased	Average Price Paid Per Share (or Unit) 1	Total Number of Shares (or Units) Purchased as Part of Publicly Announced Plans or Programs	Maximum Number (or Approximate Dollar Value) of Shares (or Units) That May Yet Be Purchased Under The Plans or Programs 2
March 27, 2022 - April 23, 2022	1,900,000	$20.82	1,900,000	$51,213
April 24, 2022 - May 21, 2022	530,006	$18.92	530,006	$41,185
May 22, 2022 - June 25, 2022	1,000,000	$14.71	1,000,000	$26,475
Total	3,430,006	$18.74	3,430,006

1 Average price paid per share includes costs associated with the repurchases.

2 In July 2021, our Board of Directors increased our existing repurchase authorization to a total of $400.0 million with no expiration date. On July 28, 2022, our Board of Directors authorized a new repurchase program with an aggregate value of $200.0 million and no expiration date.

Item 5 - Other Information

None.

42

Item 6 - Exhibits

Exhibit No.		Exhibit Description	Form	File No.	Exhibit	Filing Date
31.1*		Certification of Principal Executive Officer Pursuant to Rule 13a-14(a).
31.2*		Certification of Principal Financial Officer Pursuant to Rule 13a-14(a).
32.1*		Certification of Principal Executive Officer and Principal Financial Officer Pursuant to 18 U.S.C. Section 1350.
101.INS*		XBRL Instance Document-the instance document does not appear in this Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.
101.SCH*		Inline XBRL Taxonomy Extension Schema Document.
101.CAL*		Inline XBRL Taxonomy Extension Calculation Linkbase Document.
101.DEF*		Inline XBRL Taxonomy Extension Definition Linkbase Document.
101.LAB*		Inline XBRL Taxonomy Extension Label Linkbase Document.
101.PRE*		Inline XBRL Taxonomy Extension Presentation Linkbase Document.
104*		Cover page Interactive Data file (formatted as Inline XBRL and contained in Exhibit 101).
*	Filed herewith
+	Indicates management contract or compensatory plan

43

SIGNATURE

    Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

JELD-WEN HOLDING, INC.
(Registrant)
By:	/s/ Julie Albrecht
	Julie Albrecht
	Executive Vice President and Chief Financial Officer

Date: August 1, 2022

44

EX-31.1

Exhibit 31.1

CERTIFICATION OF PERIODIC REPORT UNDER SECTION 302 OF

THE SARBANES-OXLEY ACT OF 2002

I, Gary S. Michel, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q for the fiscal period ended June 25, 2022 of JELD-WEN Holding, Inc.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)     Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)     Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)    Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)     Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)     All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)     Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 1, 2022

/s/ Gary S. Michel

Gary S. Michel

Chair and Chief Executive Officer

(Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATION OF PERIODIC REPORT UNDER SECTION 302 OF

THE SARBANES-OXLEY ACT OF 2002

I, Julie Albrecht, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q for the fiscal period ended June 25, 2022 of JELD-WEN Holding, Inc.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)     Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)     Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; and

(c)    Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)    Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)     All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)     Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 1, 2022

/s/ Julie Albrecht

Julie Albrecht

Executive Vice President and Chief Financial Officer (Principal Financial Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO SECTION 906

OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to 18 U.S.C. §1350, we, the undersigned officers of JELD-WEN Holding, Inc. (the “Company”), do hereby certify that the Company's Quarterly Report on Form 10-Q for the fiscal period ended June 25, 2022 (the “Report”) fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: August 1, 2022

      /s/ Gary S. Michel
Gary S. Michel
Chair and Chief Executive Officer

(Principal Executive Officer)

      /s/ Julie Albrecht     
Julie Albrecht

Executive Vice President and Chief Financial Officer (Principal Financial Officer)

The foregoing certification is being furnished solely pursuant to 18 U.S.C. §1350 and is not being filed as part of the Report or as a separate disclosure document.

XML

Cover - shares	6 Months Ended
	Jun. 25, 2022	Jul. 28, 2022
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 25, 2022
Document Transition Report	false
Entity File Number	001-38000
Entity Registrant Name	JELD-WEN Holding, Inc.
Entity Incorporation, State	DE
Entity Tax Identification Number	93-1273278
Entity Address, Street Name	2645 Silver Crescent Drive
Entity Address, City	Charlotte
Entity Address, State	NC
Entity Address, Postal Zip Code	28273
City Area Code	704
Local Phone Number	378-5700
Title of each class	Common Stock (par value $0.01 per share)
Trading Symbol	JELD
Security Exchange Name	NYSE
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		84,258,862
Entity Central Index Key	0001674335
Amendment Flag	false
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2
Current Fiscal Year End Date	--12-31

XML

Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021
Income Statement [Abstract]
Net revenues	$ 1,330,968	$ 1,245,815	$ 2,501,990	$ 2,338,198
Cost of sales	1,084,803	953,898	2,052,527	1,810,342
Gross margin	246,165	291,917	449,463	527,856
Selling, general and administrative	180,487	188,691	373,483	380,245
Impairment and restructuring charges	5,296	1,145	5,297	2,072
Operating income	60,382	102,081	70,683	145,539
Interest expense, net	20,222	18,860	38,576	37,315
Other (income) expense	(20,887)	152	(28,224)	(10,689)
Income before taxes	61,047	83,069	60,331	118,913
Income tax expense	15,221	22,359	15,033	32,718
Net income	$ 45,826	$ 60,710	$ 45,298	$ 86,195
Weighted average common shares outstanding:
Basic (in shares)	87,219,078	99,514,890	88,466,982	99,991,045
Diluted (in shares)	87,967,049	101,670,624	89,557,956	102,141,889
Net income per share
Basic (usd per share)	$ 0.53	$ 0.61	$ 0.51	$ 0.86
Diluted (usd per share)	$ 0.52	$ 0.60	$ 0.51	$ 0.84

XML

Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021
Statement of Comprehensive Income [Abstract]
Net income	$ 45,826	$ 60,710	$ 45,298	$ 86,195
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments, net of tax expense of $112, $4, $102, and $13, respectively	(62,228)	12,379	(66,261)	(27,705)
Interest rate hedge adjustments, net of tax expense of $793, $139, $3,097, and $486, respectively	2,337	413	9,123	1,438
Defined benefit pension plans, net of tax expense of $392, $649, $542, and $1,483, respectively	510	1,524	911	3,525
Total other comprehensive income (loss), net of tax	(59,381)	14,316	(56,227)	(22,742)
Comprehensive (loss) income	$ (13,555)	$ 75,026	$ (10,929)	$ 63,453

XML

Consolidated Statements of Comprehensive Income (Loss) (Parentheticals) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021
Statement of Comprehensive Income [Abstract]
Foreign currency translation adjustments, tax (benefit)	$ 112	$ 4	$ 102	$ 13
Interest rate hedge adjustments, tax (benefit)	793	139	3,097	486
Defined benefit plan, after reclassification adjustment, tax (benefit)	$ 392	$ 649	$ 542	$ 1,483

XML

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 25, 2022	Dec. 31, 2021
Current assets
Cash and cash equivalents	$ 272,510	$ 395,596
Restricted cash	1,405	1,294
Accounts receivable, net	698,893	552,041
Inventories	723,265	615,971
Other current assets	90,455	55,531
Assets held for sale	122,428	119,424
Total current assets	1,908,956	1,739,857
Property and equipment, net	762,768	798,804
Deferred tax assets	198,199	204,232
Goodwill	519,165	545,213
Intangible assets, net	204,351	222,181
Operating lease assets, net	191,160	201,781
Other assets	30,711	26,603
Total assets	3,815,310	3,738,671
Current liabilities
Accounts payable	420,885	418,774
Accrued payroll and benefits	145,265	135,989
Accrued expenses and other current liabilities	290,101	289,676
Current maturities of long-term debt	30,815	38,561
Liabilities held for sale	6,242	5,868
Total current liabilities	893,308	888,868
Long-term debt	1,867,838	1,667,696
Unfunded pension liability	56,143	61,438
Operating lease liability	156,799	166,318
Deferred credits and other liabilities	96,433	102,879
Deferred tax liabilities	8,282	9,254
Total liabilities	3,078,803	2,896,453
Commitments and contingencies
Shareholders’ equity
Preferred Stock, par value $0.01 per share, 90,000,000 shares authorized; no shares issued and outstanding	0	0
Common Stock: 900,000,000 shares authorized, par value $0.01 per share, 85,857,994 shares outstanding as of June 25, 2022; 900,000,000 shares authorized, par value $0.01 per share, 90,193,550 shares outstanding as of December 31, 2021	859	902
Additional paid-in capital	730,290	719,451
Retained earnings	155,331	215,611
Accumulated other comprehensive loss	(149,973)	(93,746)
Total shareholders’ equity	736,507	842,218
Total liabilities and shareholders’ equity	$ 3,815,310	$ 3,738,671

XML

Consolidated Balance Sheets (Parentheticals) - $ / shares	Jun. 25, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Preferred stock, par value (usd per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	90,000,000	90,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, shares authorized (in shares)	900,000,000	900,000,000
Common stock, par value (usd per share)	$ 0.01	$ 0.01
Common stock, shares outstanding (in shares)	85,857,994	90,193,550

XML

Consolidated Statements of Equity - USD ($) $ in Thousands	Total	Preferred stock	Common stock	Additional paid-in capital	Other additional paid in capital	Other additional paid in capital Employee stock notes	Retained earnings	Accumulated other comprehensive income (loss)	Foreign currency adjustments	Unrealized gain on interest rate hedges	Net actuarial pension gain
Balance at beginning of period (in shares) at Dec. 31, 2020		0
Balance at beginning of period at Dec. 31, 2020		$ 0	$ 1,008		$ 691,360	$ (673)	$ 371,462	$ (58,693)
Balance at beginning of period (in shares) at Dec. 31, 2020			100,806,068
Increase (Decrease) in Stockholders' Equity
Shares issued for exercise/vesting of share-based compensation awards (in shares)			360,808
Shares issued for exercise/vesting of share-based compensation awards			$ 4		2,323
Shares repurchased (in shares)			(1,987,641)
Shares repurchased			$ (20)				(56,874)
Shares surrendered for tax obligations for employee share-based transactions (in shares)			(47,453)
Shares surrendered for tax obligations for employee share-based transactions			$ (1)		(1,277)
Amortization of share-based compensation					14,381
Net issuances, payments and accrued interest on notes						0
Net income	$ 86,195						86,195
Foreign currency adjustments	(27,705)								$ (27,705)
Unrealized gain on interest rate hedges	1,438									$ 1,438
Net actuarial pension gain	3,525										$ 3,525
Balance at period end (in shares) at Jun. 26, 2021		0
Balance at end of period at Jun. 26, 2021	1,026,453	$ 0	$ 991	$ 706,114	706,787	(673)	400,783	(81,435)
Balance at period end (in shares) at Jun. 26, 2021			99,131,782
Balance at beginning of period (in shares) at Mar. 27, 2021		0
Balance at beginning of period at Mar. 27, 2021		$ 0	$ 1,001		698,763	(673)	373,812	(95,751)
Balance at beginning of period (in shares) at Mar. 27, 2021			100,146,904
Increase (Decrease) in Stockholders' Equity
Shares issued for exercise/vesting of share-based compensation awards (in shares)			183,525
Shares issued for exercise/vesting of share-based compensation awards			$ 2		1,060
Shares repurchased (in shares)			(1,177,757)
Shares repurchased			$ (12)				(33,739)
Shares surrendered for tax obligations for employee share-based transactions (in shares)			(20,890)
Shares surrendered for tax obligations for employee share-based transactions			$ 0		(562)
Amortization of share-based compensation					7,526
Net issuances, payments and accrued interest on notes						0
Net income	60,710						60,710
Foreign currency adjustments	12,379								12,379
Unrealized gain on interest rate hedges	413									413
Net actuarial pension gain	1,524										1,524
Balance at period end (in shares) at Jun. 26, 2021		0
Balance at end of period at Jun. 26, 2021	$ 1,026,453	$ 0	$ 991	706,114	706,787	(673)	400,783	(81,435)
Balance at period end (in shares) at Jun. 26, 2021			99,131,782
Balance at beginning of period (in shares) at Dec. 31, 2021	0	0
Balance at beginning of period at Dec. 31, 2021	$ 842,218	$ 0	$ 902		720,124	(673)	215,611	(93,746)
Balance at beginning of period (in shares) at Dec. 31, 2021	90,193,550		90,193,550
Increase (Decrease) in Stockholders' Equity
Shares issued for exercise/vesting of share-based compensation awards (in shares)			977,787
Shares issued for exercise/vesting of share-based compensation awards			$ 10		2,000
Shares repurchased (in shares)			(5,207,272)
Shares repurchased			$ (52)				(105,578)
Shares surrendered for tax obligations for employee share-based transactions (in shares)			(106,071)
Shares surrendered for tax obligations for employee share-based transactions			$ (1)		(2,423)
Amortization of share-based compensation					11,262
Net issuances, payments and accrued interest on notes						0
Net income	$ 45,298						45,298
Foreign currency adjustments	(66,261)								(66,261)
Unrealized gain on interest rate hedges	9,123									9,123
Net actuarial pension gain	$ 911										911
Balance at period end (in shares) at Jun. 25, 2022	0	0
Balance at end of period at Jun. 25, 2022	$ 736,507	$ 0	$ 859	730,290	730,963	(673)	155,331	(149,973)
Balance at period end (in shares) at Jun. 25, 2022	85,857,994		85,857,994
Balance at beginning of period (in shares) at Mar. 26, 2022		0
Balance at beginning of period at Mar. 26, 2022		$ 0	$ 891		728,389	(673)	173,760	(90,592)
Balance at beginning of period (in shares) at Mar. 26, 2022			89,136,454
Increase (Decrease) in Stockholders' Equity
Shares issued for exercise/vesting of share-based compensation awards (in shares)			153,713
Shares issued for exercise/vesting of share-based compensation awards			$ 2		1,021
Shares repurchased (in shares)			(3,430,006)
Shares repurchased			$ (34)				(64,255)
Shares surrendered for tax obligations for employee share-based transactions (in shares)			(2,167)
Shares surrendered for tax obligations for employee share-based transactions			$ 0		(45)
Amortization of share-based compensation					1,598
Net issuances, payments and accrued interest on notes						0
Net income	$ 45,826						45,826
Foreign currency adjustments	(62,228)								$ (62,228)
Unrealized gain on interest rate hedges	2,337									$ 2,337
Net actuarial pension gain	$ 510										$ 510
Balance at period end (in shares) at Jun. 25, 2022	0	0
Balance at end of period at Jun. 25, 2022	$ 736,507	$ 0	$ 859	$ 730,290	$ 730,963	$ (673)	$ 155,331	$ (149,973)
Balance at period end (in shares) at Jun. 25, 2022	85,857,994		85,857,994

XML

Consolidated Statements of Equity (Parenthetical) - $ / shares	Jun. 25, 2022	Dec. 31, 2021	Jun. 26, 2021
Statement of Stockholders' Equity [Abstract]
Preferred stock, par value (usd per share)	$ 0.01	$ 0.01	$ 0.01
Common stock, par value (usd per share)	$ 0.01	$ 0.01	$ 0.01

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Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021
OPERATING ACTIVITIES
Net income	$ 45,298	$ 86,195
Adjustments to reconcile net income to cash used in operating activities:
Depreciation and amortization	65,078	69,675
Deferred income taxes	(2,193)	5,313
Loss on sale or disposal of business units, property, and equipment	189	362
Adjustment to carrying value of assets	534	1,175
Amortization of deferred financing costs	1,512	1,455
Stock-based compensation	11,262	14,381
Amortization of U.S. pension expense	700	4,650
Recovery of cost from interest received on impaired notes	(13,412)	0
Other items, net	27,231	(5,218)
Net change in operating assets and liabilities, net of effect of acquisitions:
Accounts receivable	(170,071)	(144,365)
Inventories	(126,932)	(50,245)
Other assets	(32,229)	(14,862)
Accounts payable and accrued expenses	37,647	68,867
Change in short term and long-term tax liabilities	(10,325)	3,358
Net cash (used in) provided by operating activities	(165,711)	40,741
INVESTING ACTIVITIES
Purchases of property and equipment	(31,502)	(35,399)
Proceeds from sale of property and equipment	172	2,987
Purchase of intangible assets	(3,279)	(9,326)
Recovery of cost from interest received on impaired notes	13,412	0
Cash received for notes receivable	55	262
Purchase of securities for deferred compensation plan	(222)	0
Net cash used in investing activities	(21,364)	(41,476)
FINANCING ACTIVITIES
Change in long-term debt	186,628	(54,654)
Common stock issued for exercise of options	2,010	2,327
Common stock repurchased	(105,179)	(56,894)
Payments to tax authorities for employee share-based compensation	(2,378)	(1,106)
Net cash provided by (used in) financing activities	81,081	(110,327)
Effect of foreign currency exchange rates on cash	(16,981)	(6,310)
Net decrease in cash and cash equivalents	(122,975)	(117,372)
Cash, cash equivalents and restricted cash, beginning	396,890	736,594
Cash, cash equivalents and restricted cash, ending	$ 273,915	$ 619,222

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Description of Company and Summary of Significant Accounting Policies

6 Months Ended

Jun. 25, 2022

Accounting Policies [Abstract]

Description of Company and Summary of Significant Accounting Policies

Description of Company and Summary of Significant Accounting Policies

Nature of Business – JELD-WEN Holding, Inc., along with its subsidiaries, is a vertically integrated global manufacturer and distributor of windows, doors, and other building products that derives substantially all its revenues from the sale of its door and window products. Unless otherwise specified or the context otherwise requires, all references in these notes to “JELD-WEN,” “we,” “us,” “our,” or the “Company” are to JELD-WEN Holding, Inc. and its subsidiaries.

We have facilities located in the U.S., Canada, Europe, Australia, Asia, and Mexico. Our products are marketed primarily under the JELD-WEN brand name in the U.S. and Canada and under JELD-WEN and a variety of acquired brand names in Europe, Australia, and Asia.

Our revenues are affected by the level of new housing starts and remodeling activity in each of our markets. Our sales typically follow seasonal new construction and repair and remodeling industry patterns. The peak season for home construction and remodeling in many of our markets generally corresponds with the second and third calendar quarters, and therefore, sales volume is typically higher during those quarters. Our first and fourth quarter sales volumes are generally lower due to reduced repair and remodeling activity and reduced activity in the building and construction industry as a result of colder and more inclement weather in certain areas of our geographic end markets.

Basis of Presentation – The accompanying unaudited consolidated financial statements as of June 25, 2022 and for the three and six months ended June 25, 2022 and June 26, 2021, respectively, have been prepared in accordance with GAAP for interim financial information and pursuant to the rules and regulations of the SEC. In the opinion of management, the unaudited consolidated financial statements have been prepared on the same basis as the audited financial statements and include all adjustments, consisting only of normal recurring adjustments, necessary for the fair statement of the Company’s financial position for the periods presented. The results for the three and six months ended June 25, 2022 are not necessarily indicative of the results to be expected for the year ending December 31, 2022, or any other period. The accompanying consolidated balance sheet as of December 31, 2021 was derived from audited financial statements included in our Annual Report on Form 10-K. The accompanying consolidated financial statements do not include all of the information and footnotes required by GAAP for annual financial statements. Accordingly, they should be read in conjunction with the audited financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2021.

All U.S. dollar and other currency amounts, except per share amounts, are presented in thousands unless otherwise noted.

Fiscal Year – We operate on a fiscal calendar year, and each interim quarter is comprised of two 4-week periods and one 5-week period, with each week ending on a Saturday. Our fiscal year always begins on January 1 and ends on December 31. As a result, our first and fourth quarters may have more or fewer days included than a traditional 91-day fiscal quarter.

Use of Estimates – The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates, assumptions, and allocations that affect amounts reported in the consolidated financial statements and related notes. Significant items that are subject to such estimates and assumptions include, but are not limited to, long-lived assets including goodwill and other intangible assets, employee benefit obligations, income tax uncertainties, contingent assets and liabilities, provisions for bad debt, inventory, warranty liabilities, legal claims, valuation of derivatives, environmental remediation, and claims relating to self-insurance. Actual results could differ due to the uncertainty inherent in the nature of these estimates.

COVID-19 – The CARES Act in the U.S. and similar legislation in other jurisdictions includes measures that assisted companies in responding to the COVID-19 pandemic. These measures consisted primarily of cash assistance to support employment levels and deferment of remittance of certain non-income tax expense payments. The most significant impact was from the CARES Act in the U.S., which included a provision that allowed employers to defer the remittance of the employer portion of the social security tax relating to 2020. The deferred employment payment must be paid over two years. Original payment due dates were in 2021 and 2022, however updated guidance provided by the Internal Revenue Service in December 2021 allowed for these payments to be made during 2022 and 2023. The Company deferred $20.9 million of the employer portion of social security tax in 2020, of which $9.9 million was paid in the first quarter of 2022 and the remaining $11.0 million is included in accrued payroll and benefits in the consolidated balance sheet as of June 25, 2022. As of December 31, 2021, the deferral $20.9 million was equally recorded between accrued payroll and benefits and deferred credits and other liabilities in the consolidated balance sheet.

Recent Accounting Standards – In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, which provides optional expedients and

exceptions for applying U.S. GAAP to contracts, hedging relationships, and other transactions affected by the discontinuation of LIBOR or by another reference rate expected to be discontinued. In January 2021, the FASB issued ASU No. 2021-01, Reference Rate Reform (Topic 848): Scope, to clarify the scope of ASU No. 2020-04. The amendments are effective for all entities as of March 12, 2020 through December 31, 2022. In May 2020, we elected the expedient within ASC 848 which allows us to assume that our hedged interest payments are probable of occurring regardless of any expected modifications in their terms related to reference rate reform. In addition, ASC 848 allows for the option to change the method of assessing effectiveness upon a change in critical terms of the derivative or the hedged transactions and upon the end of relief under ASC 848. At this time, we have elected to continue the method of assessing effectiveness as documented in the original hedge documentation and apply the practical expedients related to probability to assume that the reference rate on the hypothetical derivative matches the reference rate on the hedging instrument. We plan to evaluate the remaining expedients for adoption, as applicable, when contracts are modified. We currently do not expect this guidance to have a material impact on our consolidated financial statements. Refer to Note 17 - Derivative Financial Instruments for additional disclosure information relating to our hedging activity.

We have considered the applicability and impact of all ASUs. We have assessed ASUs not listed above and have determined that they were either not applicable or were not expected to have a material impact on our financial statements.

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Accounts Receivable	6 Months Ended
	Jun. 25, 2022
Receivables [Abstract]
Accounts Receivable	Accounts ReceivableWe sell our manufactured products to a large number of customers, primarily in the residential housing construction and remodel sectors, broadly dispersed across many domestic and foreign geographic regions. We assess the credit risk relating to our accounts receivable based on quantitative and qualitative factors, primarily historical credit collections within each region where we have operations. We perform ongoing credit evaluations of our customers to minimize credit risk. We do not usually require collateral for accounts receivable, but will require advance payment, guarantees, a security interest in the products sold to a customer, and/or letters of credit in certain situations. Customer accounts receivable converted to notes receivable are collateralized by inventory or other collateral.At June 25, 2022 and December 31, 2021, we had an allowance for doubtful accounts of $16.2 million and $10.2 million, respectively.

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Inventories

6 Months Ended

Jun. 25, 2022

Inventory Disclosure [Abstract]

Inventories

Inventories

Inventories are stated at the lower of cost or net realizable value. Finished goods and work-in-process inventories include material, labor, and manufacturing overhead costs.

(amounts in thousands)	June 25, 2022		December 31, 2021
Raw materials	$	553,322	$	478,566
Work in process	37,230		36,065
Finished goods	132,713		101,340
Total inventories	$	723,265	$	615,971

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Property and Equipment, Net

6 Months Ended

Jun. 25, 2022

Property, Plant and Equipment [Abstract]

Property and Equipment, Net

Property and Equipment, Net

(amounts in thousands)	June 25, 2022		December 31, 2021
Property and equipment	$	2,107,345	$	2,137,861
Accumulated depreciation	(1,344,577)		(1,339,057)
Total property and equipment, net	$	762,768	$	798,804

We monitor all property and equipment for any indicators of potential impairment. We recorded impairment charges of $0.5 million for the three and six months ended June 25, 2022, respectively, and $0.9 million and $1.2 million for the three and six months ended June 26, 2021.

The effect on our carrying value of property and equipment due to currency translations for foreign property and equipment, net, was a decrease of $20.5 million as of June 25, 2022 compared to December 31, 2021.

Depreciation expense was recorded as follows:

	Three Months Ended				Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021		June 25, 2022		June 26, 2021
Cost of sales	$	22,492	$	23,707	$	45,004	$	46,243
Selling, general and administrative	1,720		2,398		3,428		4,794
Total depreciation expense	$	24,212	$	26,105	$	48,432	$	51,037

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Goodwill

6 Months Ended

Jun. 25, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill

Goodwill

The following table summarizes the changes in goodwill by reportable segment:

(amounts in thousands)	North America		Europe		Australasia		Total Reportable Segments
Balance as of December 31, 2021	$	182,645	$	278,668	$	83,900	$	545,213
Currency translation	(118)		(21,977)		(3,953)		(26,048)
Balance as of June 25, 2022	$	182,527	$	256,691	$	79,947	$	519,165

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Intangible Assets, Net

6 Months Ended

Jun. 25, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets, Net

Intangible Assets, Net

The cost and accumulated amortization values of our intangible assets were as follows:

	June 25, 2022
(amounts in thousands)	Cost		Accumulated Amortization		Net Book Value
Customer relationships and agreements	$	140,056	$	(75,279)	$	64,777
Software	118,997		(41,120)		77,877
Trademarks and trade names	53,751		(11,480)		42,271
Patents, licenses and rights	44,538		(25,112)		19,426
Total amortizable intangibles	$	357,342	$	(152,991)	$	204,351

	December 31, 2021
(amounts in thousands)	Cost		Accumulated Amortization		Net Book Value
Customer relationships and agreements	$	145,940	$	(73,635)	$	72,305
Software	118,114		(35,816)		82,298
Trademarks and trade names	55,806		(10,771)		45,035
Patents, licenses and rights	46,353		(23,810)		22,543
Total amortizable intangibles	$	366,213	$	(144,032)	$	222,181

The effect on our carrying value of intangible assets due to currency translations for foreign intangible assets was a decrease of $4.7 million as of June 25, 2022 compared to December 31, 2021.

Intangible assets are reviewed for impairment whenever events or changes in circumstances indicate the carrying amount of the corresponding asset group may not be recoverable. Intangible assets that become fully amortized are removed from the accounts in the period that they become fully amortized. Amortization expense was recorded as follows:

	Three Months Ended				Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021		June 25, 2022		June 26, 2021
Amortization expense	$	8,038	$	8,307	$	16,183	$	16,354

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Accrued Expenses and Other Current Liabilities

6 Months Ended

Jun. 25, 2022

Payables and Accruals [Abstract]

Accrued Expenses and Other Current Liabilities

Accrued Expenses and Other Current Liabilities

(amounts in thousands)	June 25, 2022		December 31, 2021
Accrued sales and advertising rebates	$	82,633	$	90,623
Current portion of operating lease liability	43,403		43,880
Non-income related taxes	32,981		25,030
Deferred revenue and customer deposits	28,683		25,568
Current portion of warranty liability (Note 8)	22,030		23,523
Accrued freight	21,316		19,020
Accrued expenses	19,514		18,636
Current portion of accrued claim costs relating to self-insurance programs	15,427		14,352
Accrued income taxes payable	10,484		16,237
Accrued interest payable	4,575		3,633
Legal claims provision	3,579		3,476
Current portion of restructuring accrual	3,319		171
Current portion of derivative liability (Note 17)	2,157		5,527
Total accrued expenses and other current liabilities	$	290,101	$	289,676

The legal claims provision relates primarily to contingencies associated with the ongoing legal matters disclosed in Note 19 - Commitments and Contingencies.

The accrued sales and advertising rebates, accrued interest payable, accrued freight, and non-income related taxes can fluctuate significantly period-over-period due to timing of payments.

Prior period balances in the table above have been reclassified to conform to current period presentation.

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Warranty Liability

6 Months Ended

Jun. 25, 2022

Product Warranties Disclosures [Abstract]

Warranty Liability

Warranty LiabilityWarranty terms vary from one year to lifetime on certain window and door components. Warranties are normally limited to servicing or replacing defective components for the original customer. Product defects arising within six months of sale are classified as manufacturing defects and are not included in the current period expense below. Some warranties are transferable to subsequent owners and are either limited to 10 years from the date of manufacture or require pro-rata payments from the customer. A provision for estimated warranty costs is recorded at the time of sale based on historical experience and is periodically adjusted to reflect actual experience.

An analysis of our warranty liability is as follows:

(amounts in thousands)	June 25, 2022		June 26, 2021
Balance as of January 1	$	54,860	$	52,296
Current period charges	13,503		13,740
Experience adjustments	906		2,601
Payments	(15,032)		(14,984)
Currency translation	(743)		109
Balance at period end	53,494		53,762
Current portion	(22,030)		(23,082)
Long-term portion	$	31,464	$	30,680

The most significant component of our warranty liability is in the North America segment, which totaled $46.2 million at June 25, 2022, after discounting future estimated cash flows at rates between 0.53% and 2.75%. Without discounting, the liability would have been higher by approximately $2.7 million.

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Long-Term Debt

6 Months Ended

Jun. 25, 2022

Debt Disclosure [Abstract]

Long-Term Debt

Long-Term Debt

Our long-term debt, net of original issue discount and unamortized debt issuance costs, consisted of the following:

	June 25, 2022	June 25, 2022		December 31, 2021
(amounts in thousands)	Interest Rate
Senior Secured Notes and Senior Notes	4.63% - 6.25%	$	1,050,000	$	1,050,000
Term loans	1.30% - 3.31%	546,155		547,598
Revolving credit facilities	2.27% - 5.00%	202,750		—
Finance leases and other financing arrangements	1.25% - 6.17%	90,033		97,874
Mortgage notes	1.65% - 2.15%	22,885		25,411
Total Debt		1,911,823		1,720,883
Unamortized debt issuance costs and original issue discounts		(13,170)		(14,626)
Current maturities of long-term debt		(30,815)		(38,561)
Long-term debt		$	1,867,838	$	1,667,696

Summaries of our significant changes to outstanding debt agreements as of June 25, 2022 are as follows:

Senior Secured Notes and Senior Notes

In May 2020, we issued $250.0 million of Senior Secured Notes bearing interest at 6.25% and maturing in May 2025 in a private placement for resale to qualified institutional buyers pursuant to Rule 144A under the Securities Act. The proceeds were net of fees and expenses associated with debt issuance, including an underwriting fee of 1.25%. Interest is payable semiannually, in arrears, each May and November.

In December 2017, we issued $800.0 million of unsecured Senior Notes in two tranches: $400.0 million bearing interest at 4.63% and maturing in December 2025, and $400.0 million bearing interest at 4.88% and maturing in December 2027 in a private placement for resale to qualified institutional buyers pursuant to Rule 144A under the Securities Act.

Term Loans

U.S. Facility - Initially executed in October 2014, we amended the Term Loan Facility in July 2021 to, among other things, extend the maturity date from December 2024 to July 2028 and provide additional covenant flexibility. Pursuant to the amendment, certain existing and new lenders advanced $550.0 million of replacement term loans, the proceeds of which were used to prepay in full the amount outstanding under the previously existing term loans. The replacement term loans bear interest at LIBOR (subject to a floor of 0.00%) plus a margin of 2.00% to 2.25% depending on JWI’s corporate credit ratings. In addition, the amendment also modifies certain other terms and provisions of the Term Loan Facility. Voluntary prepayments of the replacement term loans are permitted at any time, in certain minimum principal amounts, but were subject to a 1.00% premium during the first six months. The amendment requires 0.25% of the initial principal to be repaid quarterly until maturity. As a result of this amendment, we recognized debt extinguishment costs of $1.3 million, which

included $1.0 million of unamortized debt issuance costs and original discount fees. As of the date of the amendment, the outstanding principal balance, net of original issue discount, was $548.6 million. As of June 25, 2022, the outstanding principal balance, net of original issue discount, was $544.7 million.

In May 2020, we entered into interest rate swap agreements with a weighted average fixed rate of 0.395% paid against one-month LIBOR floored at 0.00% with outstanding notional amounts aggregating to $370.0 million corresponding to that amount of the debt outstanding under our Term Loan Facility. The interest rate swap agreements are designated as cash flow hedges of a portion of the interest obligations on our Term Loan Facility borrowings and mature in December 2023. See Note 17 - Derivative Financial Instruments for additional information on our derivative assets and liabilities.

Australia Facility - During the second quarter of 2021, we repaid the AUD 50.0 million ($38.4 million) outstanding principal balance of the floating rate revolving loan facility and terminated the term loan commitment.

Revolving Credit Facilities

ABL Facility - In July 2021, we amended the ABL Facility to, among other things, extend the maturity date from December 2022 to July 2026, increase the aggregate commitment to $500.0 million, amend the interest rate grid applicable to the loans thereunder, provide additional covenant flexibility, and conform certain terms and provisions to the Term Loan Facility. Pursuant to the amendment, the amount allocated to U.S. borrowers was increased to $465.0 million. The amount allocated to Canadian borrowers was maintained at $35.0 million. Borrowings under the ABL Facility bear, at the borrower’s option, interest at either a base rate plus a margin of 0.25% to 0.50% depending on excess availability or LIBOR plus a margin of 1.25% to 1.50% depending on excess availability. As of June 25, 2022, we had $202.8 million of outstanding borrowings, $34.9 million in letters of credit and $262.3 million available under the ABL Facility.

Australia Senior Secured Credit Facility - In June 2019, we amended the Australia Senior Secured Credit Facility, reallocating availability from the Australia Term Loan Facility and collapsing the floating rate revolving loan facility into an AUD 35.0 million interchangeable facility to be used for guarantees, asset financing, and loans of twelve months or less. The interchangeable facility does not have a set maturity date but is instead subject to an annual review each June.

In May 2020, we amended the Australia Senior Secured Credit Facility to relax certain financial covenants. The amended non-term loan portion of the facility bore line fees of 0.70%, compared to line fees of 0.50% under the previous amendment. The amendment also provided for a supplemental AUD 30.0 million floating rate revolving loan facility.

In December 2021, we amended the Australia Senior Secured Credit Facility to reinstate maintenance financial covenant ratios to pre-pandemic thresholds and renewed the facility through its next annual review. The amended facility includes line fees of 0.50%, compared to line fees of 0.70% under the previous amendment. As of June 25, 2022, we had AUD 23.1 million ($16.0 million) available under this facility.

The Australia Senior Secured Credit Facility is secured by guarantees of JWA and its subsidiaries, fixed and floating charges on the assets of JWA group, and mortgages on certain real properties owned by the JWA group. The combined agreement requires that JWA maintain certain financial ratios, including a minimum consolidated interest coverage ratio and a maximum consolidated debt to EBITDA ratio. The agreement limits dividends and repayments of intercompany loans where the JWA group is the borrower and limits loans or other financial accommodations to non-obligor entities.

At June 25, 2022, we had combined borrowing availability of $278.3 million under our revolving credit facilities.

Mortgage Notes – In December 2007, we entered into thirty-year mortgage notes secured by land and buildings with principal payments which began in 2018. As of June 25, 2022, we had DKK 161.7 million ($22.9 million) outstanding under these notes.

Finance leases and other financing arrangements – In addition to finance leases, we include insurance premium financing arrangements and loans secured by equipment in this category. As of June 25, 2022, we had $90.0 million outstanding in this category, with maturities ranging from 2022 to 2028.

As of June 25, 2022, we were in compliance with the terms of all of our credit facilities and the indentures governing the Senior Notes and Senior Secured Notes.

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Income Taxes

6 Months Ended

Jun. 25, 2022

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

The Company previously completed its accounting for the income tax effects of the Tax Act. We have considered ongoing developments released through the date hereof and determined that they have no material impact on our tax accounts for the six months ended June 25, 2022. Final guidance, once issued, may materially affect our conclusions regarding the net related effects of the Tax Act on our unaudited consolidated financial statements. Until then, management will continue to monitor and work with its tax advisors to interpret any guidance issued.

The effective income tax rate for continuing operations was 24.9% for both the three and six months ended June 25, 2022, respectively, compared to 26.9% and 27.5% and June 26, 2021, respectively. In accordance with ASC 740-270, we recorded a tax expense of $15.2 million and $15.0 million in the three and six months ended June 25, 2022, respectively, compared to tax expense of $22.4 million and $32.7 million from operations in the three and six months ended June 26, 2021, respectively, by applying an estimated annual effective tax rate to our year-to-date income for includable entities during the respective periods. Our estimated annual effective tax rate for both years includes the impact of the tax on GILTI. The application of the estimated annual effective tax rate in interim periods may result in a significant variation in the customary relationship between income tax expense and pretax accounting income due to the seasonality of our global business. Entities that are currently generating losses and for which there is a full valuation allowance are excluded from the worldwide effective tax rate calculation and are calculated separately.

The impact of significant discrete items is separately recognized in the quarter in which they occur. The tax benefit for discrete items included in the tax provision for continuing operations for the three months ended June 25, 2022 was $6.4 million compared to $1.7 million for the three months ended June 26, 2021. The discrete amounts for the three months ended June 25, 2022 were comprised primarily of $9.5 million of tax benefit related to movement in the valuation allowance due to changes in estimated forecasted earnings, partially offset by $2.6 million of tax expense attributable to current period interest expense on uncertain tax positions and $0.6 million of tax expense attributable to a windfall tax deduction on share-based compensation. The discrete amounts for the three months ended June 26, 2021 were comprised primarily of $1.8 million of tax benefit related to future changes to the UK tax rate enacted in the period and $0.3 million of tax benefit attributable to a windfall tax deduction on share-based compensation, partially offset by $0.3 million of tax expense attributable to interest expense on uncertain tax positions.

The tax benefit related to discrete items included in the tax provision for continuing operations for the six months ended June 25, 2022 was $6.4 million, compared to $1.6 million for the six months ended June 26, 2021. The discrete tax benefits for the six months ended June 25, 2022 were comprised primarily of $9.5 million of tax benefit related to movement in the valuation allowance due to changes in estimated forecasted earnings, partially offset by $2.5 million of tax expense attributable to current period interest expense on uncertain tax positions and $0.5 million of tax expense attributable to a windfall tax deduction on share-based compensation. The discrete benefit amounts for the six months ended June 26, 2021 were comprised primarily of $1.8 million of tax benefit related to future changes to the UK tax rate enacted in the period and $0.5 million of tax benefit attributable to a windfall tax deduction on share-based compensation, partially offset by $0.6 million of tax expense attributable to interest expense on uncertain tax positions.

Under ASC 740-10, we provide for uncertain tax positions and the related interest expense by adjusting unrecognized tax benefits and accrued interest accordingly. We recognize potential interest and penalties related to unrecognized tax benefits in income tax expense. We had unrecognized tax benefits without regard to accrued interest of $28.6 million and $26.8 million as of June 25, 2022 and December 31, 2021, respectively.

The Company continually evaluates its global cash needs and has historically asserted that most of its unremitted foreign earnings are permanently reinvested and did not record deferred taxes on such amounts. During the third quarter of 2021, the Company determined that it could no longer make this assertion as cash from foreign subsidiaries may be remitted in the foreseeable future. As a result, the Company removed its indefinite reinvestment assertion on a majority of unremitted earnings and certain other aspects of outside basis differences in its foreign subsidiaries and has recorded the deferred tax impacts in the period to account for potential withholdings and income taxes. The Company continues to make an indefinite reinvestment assertion on other aspects of the outside basis differences in foreign subsidiaries that would attract a significant cost of capital.

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Segment Information

6 Months Ended

Jun. 25, 2022

Segment Reporting [Abstract]

Segment Information

Segment Information

We report our segment information in the same way management internally organizes the business in assessing performance and making decisions regarding allocation of resources in accordance with ASC 280-10- Segment Reporting. We determined that we have three reportable segments, organized and managed principally by geographic region. Our reportable segments are North America, Europe, and Australasia. We report all other business activities in Corporate and unallocated costs. Factors considered in determining the three reportable segments include the nature of business activities, the management structure accountable directly to the CODM, the discrete financial information available and the information regularly reviewed by the CODM. Management reviews net revenues and Adjusted EBITDA to evaluate segment performance and allocate resources. We define Adjusted EBITDA as net income (loss), adjusted for the following items: loss from discontinued operations, net of tax; equity earnings of non-consolidated entities; income tax (benefit) expense; depreciation and amortization; interest expense, net; impairment and restructuring charges; gain on previously held shares of equity investment; (gain) loss on sale of property and equipment; share-based compensation expense; non-cash foreign exchange transaction/translation (income) loss; other items; other non-cash items; and costs related to debt restructuring and debt refinancing.

The following tables set forth certain information relating to our segments’ operations:

(amounts in thousands)	North America		Europe		Australasia		Total Operating Segments		Corporate and Unallocated Costs		Total Consolidated
Three Months Ended June 25, 2022
Total net revenues	$	839,480	$	340,047	$	156,951	$	1,336,478	$	—	$	1,336,478
Intersegment net revenues	(373)		—		(5,137)		(5,510)		—		(5,510)
Net revenues from external customers	$	839,107	$	340,047	$	151,814	$	1,330,968	$	—	$	1,330,968
Impairment and restructuring charges	4,751		534		31		5,316		(20)		5,296
Adjusted EBITDA	93,472		20,040		15,872		129,384		(3,589)		125,795
Three Months Ended June 26, 2021
Total net revenues	$	740,409	$	349,894	$	160,029	$	1,250,332	$	—	$	1,250,332
Intersegment net revenues	(281)		(147)		(4,089)		(4,517)		—		(4,517)
Net revenues from external customers	$	740,128	$	349,747	$	155,940	$	1,245,815	$	—	$	1,245,815
Impairment and restructuring charges	903		232		44		1,179		(34)		1,145
Adjusted EBITDA	115,320		39,784		17,995		173,099		(24,857)		148,242

(amounts in thousands)	North America		Europe		Australasia		Total Operating Segments		Corporate and Unallocated Costs		Total Consolidated
Six Months Ended June 25, 2022
Total net revenues	$	1,562,051	$	663,353	$	287,384	$	2,512,788	$	—	$	2,512,788
Intersegment net revenues	(601)		(34)		(10,163)		(10,798)		—		(10,798)
Net revenues from external customers	$	1,561,450	$	663,319	$	277,221	$	2,501,990	$	—	$	2,501,990
Impairment and restructuring charges	4,751		534		53		5,338		(41)		5,297
Adjusted EBITDA	160,557		34,738		26,244		221,539		(15,495)		206,044
Six Months Ended June 26, 2021
Total net revenues	$	1,380,144	$	671,282	$	295,997	$	2,347,423	$	—	$	2,347,423
Intersegment net revenues	(401)		(1,020)		(7,804)		(9,225)		—		(9,225)
Net revenues from external customers	$	1,379,743	$	670,262	$	288,193	$	2,338,198	$	—	$	2,338,198
Impairment and restructuring charges	916		1,127		84		2,127		(55)		2,072
Adjusted EBITDA	195,113		68,578		31,194		294,885		(48,732)		246,153

Reconciliations of net income to Adjusted EBITDA are as follows:

	Three Months Ended				Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021		June 25, 2022		June 26, 2021
Net income	$	45,826	$	60,710	$	45,298	$	86,195
Income tax expense	15,221		22,359		15,033		32,718
Depreciation and amortization	32,513		35,465		65,078		69,675
Interest expense, net	20,222		18,860		38,576		37,315
Impairment and restructuring charges (1)	5,318		1,415		5,319		2,342
Loss on sale of property and equipment	55		1,308		189		432
Share-based compensation expense	1,598		7,526		11,262		14,381
Non-cash foreign exchange transaction/translation loss (income)	63		(2,000)		6,281		(13,496)
Other items (2)	3,938		2,599		17,967		16,591
Other non-cash items (3)	1,041		—		1,041		—
Adjusted EBITDA	$	125,795	$	148,242	$	206,044	$	246,153

(1)Impairment and restructuring charges consist of (i) impairment and restructuring charges that are included in our accompanying unaudited consolidated statements of operations plus (ii) additional charges relating to inventory and/or manufacturing of our products that are included in cost of sales in our accompanying unaudited consolidated statements of operations were $22 and $270 for the three and six months ended June 25, 2022 and June 26, 2021, respectively.

(2)Other non-recurring items not core to ongoing business activity include: (i) in the three months ended June 25, 2022 (1) $5,223 in facility closure, consolidation, and other related costs, (2) ($4,403) in adjustments related to fire damage and downtime at one of our facilities, and (3) $3,084 in legal costs and professional expenses; (ii) in the three months ended June 26, 2021 (1) $1,531 in legal costs and professional expenses relating primarily to litigation and (2) $654 in facility closure, consolidation, startup, and other related costs; (iii) in the six months ended June 25, 2022 (1) $8,126 in in legal costs and professional expenses, (2) $5,498 in facility closure, consolidation, and other related costs, (3) $2,448 in expenses related to fire damage and downtime at one of our facilities, and (4) $1,898 in compensation and non-income taxes associated with exercises of legacy equity awards; (iv) in the six months ended June 26, 2021 (1) $15,286 in legal costs and professional expenses relating primarily to litigation and (2) $783 in facility closure, consolidation, startup, and other related costs.

(3)Other non-cash items include $1,048 for unrealized mark-to-market losses from other derivatives in the three and six months ended June 25, 2022.

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Capital Stock

6 Months Ended

Jun. 25, 2022

Equity [Abstract]

Capital Stock

Capital Stock

Preferred Stock - Our Board of Directors is authorized to issue Preferred Stock from time to time in one or more series and with such rights, privileges, and preferences as the Board of Directors shall from time to time determine. We have not issued any shares of Preferred Stock.

Common Stock - Common Stock includes the basis of shares outstanding plus amounts recorded as additional paid-in capital. Shares outstanding exclude the shares issued to the Employee Benefit Trust that are considered similar to treasury shares and total 193,941 shares at both June 25, 2022 and December 31, 2021 with a total original issuance value of $12.4 million.

We record share repurchases on their trade date and reduce shareholders’ equity and increase accounts payable. Repurchased shares are retired, and the excess of the repurchase price over the par value of the shares is charged to retained earnings.

On July 27, 2021, our Board of Directors increased our existing repurchase authorization to a total of $400.0 million with no expiration date. As of June 25, 2022, $26.5 million was remaining under this authorization.

On July 28, 2022, our Board of Directors authorized a new share repurchase program with an aggregate value of $200.0 million and no expiration date.

During the three and six months ended June 25, 2022, we repurchased 3,430,006 and 5,207,272, respectively, at an average price of $18.74 and $20.29, respectively. During the three and six months ended June 26, 2021, we repurchased 1,177,757 and 1,987,641 shares of our Common Stock, respectively, at an average price of $28.66 and $28.62, respectively.

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Earnings Per Share

6 Months Ended

Jun. 25, 2022

Earnings Per Share [Abstract]

Earnings Per Share

Earnings Per Share

The basic and diluted income per share calculations were determined based on the following share data:

	Three Months Ended		Six Months Ended
	June 25, 2022	June 26, 2021	June 25, 2022	June 26, 2021
Weighted average outstanding shares of Common Stock basic	87,219,078	99,514,890	88,466,982	99,991,045
Restricted stock units, performance share units, and options to purchase Common Stock	747,971	2,155,734	1,090,974	2,150,844
Weighted average outstanding shares of Common Stock diluted	87,967,049	101,670,624	89,557,956	102,141,889

The following table provides the securities that could potentially dilute basic earnings per share in the future but were not included in the computation of diluted income per share as their inclusion would be anti-dilutive:

	Three Months Ended		Six Months Ended
	June 25, 2022	June 26, 2021	June 25, 2022	June 26, 2021
Common Stock options	1,845,460	846,216	1,487,577	762,049
Restricted stock units	968,531	32,836	570,426	18,014
Performance share units	135,718	165,749	197,600	116,118

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Stock Compensation

6 Months Ended

Jun. 25, 2022

Share-Based Payment Arrangement [Abstract]

Stock Compensation

Stock Compensation

The activity under our incentive plans for the periods presented are reflected in the following tables:

	Three Months Ended
	June 25, 2022			June 26, 2021
	Shares	Weighted Average Exercise Price Per Share		Shares	Weighted Average Exercise Price Per Share
Options granted	—	$	—	—	$	—
Options canceled	140,255	$	26.21	9,000	$	31.93
Options exercised	89,434	$	11.44	64,511	$	16.25
	Shares	Weighted Average Grant Date Fair Value		Shares	Weighted Average Grant Date Fair Value
RSUs granted	294,605	$	19.70	59,690	$	30.51
PSUs granted	—	$	—	—	$	—

	Six Months Ended
	June 25, 2022			June 26, 2021
	Shares	Weighted Average Exercise Price Per Share		Shares	Weighted Average Exercise Price Per Share
Options granted	310,554	$	24.17	309,902	$	29.01
Options canceled	178,025	$	26.71	25,602	$	28.15
Options exercised	156,380	$	11.91	153,573	$	15.00
	Shares	Weighted Average Grant Date Fair Value		Shares	Weighted Average Grant Date Fair Value
RSUs granted	1,140,000	$	23.02	642,609	$	29.15
PSUs granted	158,587	$	29.24	165,749	$	30.70

Stock-based compensation expense was $1.6 million and $11.3 million for the three and six months ended June 25, 2022, respectively, and $7.5 million and $14.4 million for the three and six months ended June 26, 2021, respectively. As of June 25, 2022, we had $28.2 million of total unrecognized compensation expense related to non-vested share-based compensation arrangements. This cost is expected to be recognized over the remaining weighted-average vesting period of 1.59 years.

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Held for Sale

6 Months Ended

Jun. 25, 2022

Discontinued Operations and Disposal Groups [Abstract]

Held for Sale

Held for Sale

During 2021, the Company ceased the appeal process for its litigation with Steves & Sons, Inc. (“Steves”) further described in Note 19 - Commitments and Contingencies. As a result, we are required to divest the Company’s Towanda, PA operations (“Towanda”). As of June 25, 2022 and December 31, 2021, the assets and liabilities associated with the sale of Towanda qualify as held for sale. Since the Company will continue manufacturing door skins for its internal needs, the divestiture decision did not represent a strategic shift thereby precluding the divestiture as qualifying as a discontinued operation.

The assets and liabilities included within the summary below are expected to be disposed of within the next twelve months and are included in assets held for sale and liabilities held for sale in the accompanying balance sheet. The results of Towanda will continue to be reported within our North America operations until the divestiture is finalized.

In addition to Towanda, we have immaterial assets held for sale at points in time, primarily relating to property, plant and equipment from restructuring efforts, which have been classified as held for sale as of June 25, 2022 and December 31, 2021.

(amounts in thousands)	June 25, 2022		December 31, 2021
Assets
Inventory	$	15,453	$	15,520
Other current assets	145		105
Property and equipment	39,139		35,870
Intangible assets	1,471		1,471
Goodwill	65,000		65,000
Operating lease assets	1,220		1,458
Assets held for sale	$	122,428	$	119,424
Liabilities
Accrued payroll and benefits	903		$	907
Accrued expenses and other current liabilities	4,586		3,945
Current maturities of long term debt	6		10
Long-term debt	—		2
Operating lease liability	747		1,004
Liabilities held for sale	$	6,242	$	5,868

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Other (Income) Expense

6 Months Ended

Jun. 25, 2022

Other Income and Expenses [Abstract]

Other (Income) Expense

Other (Income) Expense

The table below summarizes the amounts included in other (income) expense in the accompanying unaudited consolidated statements of operations:

	Three Months Ended				Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021		June 25, 2022		June 26, 2021
Foreign currency (gains) losses	$	(7,096)	$	297	$	(5,385)	$	(8,936)
Recovery of cost from interest received on impaired notes	(6,385)		—		(13,412)		—
Insurance Reimbursement	(4,843)		—		(4,843)		—
Pension income	(1,435)		(40)		(2,862)		(76)
Governmental pandemic assistance reimbursement	(414)		(235)		(479)		(499)
Loss on sale or disposal of property and equipment	55		1,308		189		362
Other items	(769)		(1,178)		(1,432)		(1,540)
Total other (income) expense	$	(20,887)	$	152	$	(28,224)	$	(10,689)

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Derivative Financial Instruments

6 Months Ended

Jun. 25, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Financial Instruments

Derivative Financial Instruments

Foreign currency derivatives – We are exposed to the impact of foreign currency fluctuations in certain countries in which we operate. In most of these countries, the exposure to foreign currency movements is limited because the operating revenues and expenses of our business units are substantially denominated in the local currency. To the extent borrowings, sales, purchases, or other transactions are not executed in the local currency of the operating unit, we are exposed to foreign currency risk. To mitigate the exposure, we may enter into a variety of foreign currency derivative contracts, such as forward contracts, option collars, and cross-currency hedges. To manage the effect of exchange fluctuations on forecasted sales, purchases, acquisitions, inventory, capital expenditures, and certain intercompany transactions that are denominated in foreign currencies, we have foreign currency derivative contracts with a total notional amount of $104.0 million. We have foreign currency derivative contracts, with a total notional amount of $342.3 million, to hedge the effects of translation gains and losses on intercompany loan principal and interest. To mitigate the impact to the consolidated earnings of the Company from the effect of the translation of certain subsidiaries’ local currency results into U.S. dollars, we have foreign currency derivative contracts with a total notional amount of $92.6 million. We do not use derivative financial instruments for trading or speculative purposes. We have not elected hedge accounting for any foreign currency derivative contracts. We record mark-to-market changes in the values of these derivatives in other income. We recorded mark-to-market gains of $12.2 million and $11.0 million in the three and six months ended June 25, 2022, respectively, and $2.0 million and $5.8 million in the three and six months ended June 26, 2021, respectively.

Interest rate derivatives – We are exposed to interest rate risk in connection with our variable rate long-term debt and partially mitigate this risk through interest rate derivatives such as swaps and caps. In May 2020, we entered into interest rate swap agreements to manage this risk. The interest rate swaps have outstanding notional amounts aggregating to $370.0 million and mature in December 2023 with a weighted average fixed rate of 0.395% swapped against one-month USD LIBOR floored at 0.00%. The interest rate swap agreements are designated as cash flow hedges and effectively fix the interest rate on a corresponding portion of the aggregate debt outstanding under our Term Loan Facility.

No portion of these interest rate contracts were deemed ineffective during the three and six months ended June 25, 2022. We recorded pre-tax mark-to-market gains of $3.4 million and $12.3 million during the three and six months ended June 25, 2022, respectively, and $0.3 million and $1.4 million during the three and six months ended June 26, 2021, respectively, in other comprehensive income. We reclassified gains previously recorded in other comprehensive income to interest income of $0.3 million and $0.1 million during the three and six months ended June 25, 2022, respectively, and losses to interest expense of $0.3 million and $0.5 million during the three and six months ended June 26, 2021, respectively.

As of June 25, 2022, approximately $10.0 million is expected to be reclassified to interest income over the next twelve months.

Other derivative instruments – From time to time, we may enter into other types of derivative instruments immaterial to the business. Unless otherwise disclosed, these instruments are not designated as hedging instruments and mark-to-market adjustments are recorded in the statement of operations each period.

The derivative agreements each contain a provision whereby we could be declared in default on our derivative obligations if we either default or, in certain cases, are capable of being declared in default of any of our indebtedness greater than specified thresholds. These agreements also contain a provision where we could be declared in default subsequent to a merger or restructuring type event if the creditworthiness of the resulting entity is materially weaker.

The fair values of derivative instruments held are as follows:

	Derivative assets
(amounts in thousands)	Balance Sheet Location	June 25, 2022		December 31, 2021
Derivatives designated as hedging instruments:
Interest rate contracts	Other current assets	$	9,191	$	263
Interest rate contracts	Other assets	$	6,328	$	3,036
Derivatives not designated as hedging instruments:
Foreign currency forward contracts	Other current assets	$	12,921	$	6,297

	Derivatives liabilities
(amounts in thousands)	Balance Sheet Location	June 25, 2022		December 31, 2021
Derivatives not designated as hedging instruments:
Foreign currency forward contracts	Accrued expenses and other current liabilities	$	1,109	$	5,527
Other derivative instruments	Accrued expenses and other current liabilities	$	1,048	$	—

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Fair Value of Financial Instruments

6 Months Ended

Jun. 25, 2022

Fair Value Disclosures [Abstract]

Fair Value of Financial Instruments

Fair Value of Financial Instruments

We record financial assets and liabilities at fair value based on FASB guidance related to fair value measurements. The guidance requires fair value to be determined based on the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. Three levels of inputs may be used to measure fair value:

Level 1 – Quoted prices in active markets for identical assets or liabilities.

Level 2 – Quoted market-based inputs or unobservable inputs that are corroborated by market data.

Level 3 – Unobservable inputs that are not corroborated by market data.

The recorded carrying amounts and fair values of these instruments were as follows:

	June 25, 2022
(amounts in thousands)	Carrying Amount		Total Fair Value		Level 1		Level 2		Level 3
Assets:
Cash equivalents	$	641	$	641	$	—	$	641	$	—
Derivative assets, recorded in other current assets	22,112		22,112		—		22,112		—
Derivative assets, recorded in other assets	6,328		6,328		—		6,328		—
Liabilities:
Debt, recorded in long-term debt and current maturities of long-term debt	$	1,911,823	$	1,755,413	$	—	$	1,755,413	$	—
Derivative liabilities, recorded in accrued expenses and other current liabilities	2,157		2,157		—		2,157		—

	December 31, 2021
(amounts in thousands)	Carrying Amount		Total Fair Value		Level 1		Level 2		Level 3
Assets:
Cash equivalents	$	33,143	$	33,143	$	—	$	33,143	$	—
Derivative assets, recorded in other current assets	6,560		6,560		—		6,560		—
Liabilities:
Debt, recorded in long-term debt and current maturities of long-term debt	$	1,720,883	$	1,751,353	$	—	$	1,751,353	$	—
Derivative liabilities, recorded in accrued expenses and other current assets	5,527		5,527		—		5,527		—
Derivative liabilities, recorded in deferred credits and other liabilities	—		—		—		—		—

Derivative assets and liabilities reported in level 2 include foreign currency and interest rate contracts. See Note 17- Derivative Financial Instruments for additional information about our derivative assets and liabilities.

There are no material non-financial assets or liabilities as of June 25, 2022 or December 31, 2021.

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Commitments and Contingencies

6 Months Ended

Jun. 25, 2022

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Commitments and Contingencies

Litigation – We are involved in various legal proceedings, claims, and government audits arising in the ordinary course of business. We record our best estimate of a loss when the loss is considered probable and the amount of such loss can be reasonably estimated. When a loss is probable and there is a range of estimated loss with no best estimate within the range, we record the minimum estimated liability related to the lawsuit or claim. As additional information becomes available, we reassess the potential liability and revise our accruals, if necessary. Because of uncertainties related to the resolution of lawsuits and claims, the ultimate outcome may differ materially from our estimates.

Other than the matters described below, there were no proceedings or litigation matters involving the Company or its property as of June 25, 2022 that we believe would have a material adverse effect on our consolidated financial position or cash flows, although they could have a material adverse effect on our operating results for a particular reporting period.

Steves & Sons, Inc. vs JELD-WEN, Inc. – We sell molded door skins to certain customers pursuant to long-term contracts, and these customers in turn use the molded door skins to manufacture interior doors and compete directly against us in the marketplace. We gave notice of termination of one of these contracts and, on June 29, 2016, the counterparty to the agreement, Steves and Sons, Inc. (“Steves”) filed a claim against JWI in the U.S. District Court for the Eastern District of Virginia, Richmond Division (the “Eastern District of Virginia”). The complaint alleged that our acquisition of CMI, a competitor in the molded door skins market, together with subsequent price increases and other alleged acts and omissions, violated antitrust laws, and constituted a breach of contract and breach of warranty. Specifically, the complaint alleged that our acquisition of CMI substantially lessened competition in the molded door skins market. The complaint sought declaratory relief, ordinary and treble damages, and injunctive relief, including divestiture of certain assets acquired in the CMI acquisition.

In February 2018, a jury in the Eastern District of Virginia returned a verdict that was unfavorable to JWI with respect to Steves’ claims that our acquisition of CMI violated Section 7 of the Clayton Act, and found that JWI breached the supply agreement between the parties (the “Original Action”). The verdict awarded Steves $12.2 million for past damages under both the Clayton Act and breach of contract claims and $46.5 million in future lost profits under the Clayton Act claim.

During the course of the proceedings in the Eastern District of Virginia, we discovered certain facts that led us to conclude that Steves, its principals, and certain former employees of the Company had misappropriated Company trade secrets, violated the terms of various agreements between the Company and those parties, and violated other laws. On May 11, 2018, a jury in the Eastern District of Virginia returned a verdict on our trade secrets claims against Steves and awarded damages in the amount of $1.2 million. The presiding judge entered a judgment in our favor for those damages, and the entire amount has been paid by Steves. On August 16, 2019, the presiding judge granted Steves’ request for an injunction, prohibiting us from pursuing certain claims against individual defendants pending in Bexar County, Texas (the “Steves Texas Trade Secret Theft Action”). On September 11, 2019, JELD-WEN filed a notice of appeal of the Eastern District of Virginia’s injunction to the Fourth Circuit Court of Appeals (the “Fourth Circuit”).

On March 13, 2019, the presiding judge entered an Amended Final Judgment Order in the Original Action, awarding $36.5 million in past damages under the Clayton Act (representing a trebling of the jury’s verdict) and granting divestiture of certain assets acquired in the CMI acquisition, subject to appeal. The judgment also conditionally awarded damages in the

event the judgment was overturned on appeal. Specifically, the court awarded $139.4 million as future antitrust damages in the event the divestiture order was overturned on appeal and $9.9 million as past contract damages in the event both the divestiture and antitrust claims were overturned on appeal.

On April 12, 2019, Steves filed a petition requesting an award of its fees and a bill of costs, seeking $28.4 million in attorneys’ fees and $1.7 million in costs in connection with the Original Action. On November 19, 2019, the presiding judge entered an order for further relief awarding Steves an additional $7.1 million in damages for pricing differences from the date of the underlying jury verdict through May 31, 2019 (the “Pricing Action”). We also appealed that ruling. On April 14, 2020, Steves filed a motion for further supplemental relief for pricing differences from the date of the prior order and going forward through the end of the parties’ current supply agreement (the “Future Pricing Action”). We opposed that request for further relief.

JELD-WEN filed a supersedeas bond and notice of appeal of the judgment, which was heard by the Fourth Circuit on May 29, 2020. On February 18, 2021, the Fourth Circuit issued its decision on appeal in the Original Action, affirming the Amended Final Judgment Order in part and vacating and remanding in part. The Fourth Circuit vacated the Eastern District of Virginia’s alternative $139.4 million lost-profits award, holding that award was premature because Steves has not suffered the purported injury on which its claim for future lost profits rests. The Fourth Circuit also vacated the Eastern District of Virginia’s judgment for Sam Steves, Edward Steves, and John Pierce on JELD-WEN’s trade secrets claims. The Fourth Circuit affirmed the Eastern District of Virginia’s finding of antitrust injury and its award of $36.5 million in past antitrust damages. It also affirmed the Eastern District of Virginia’s divestiture order, while clarifying that JELD-WEN retains the right to challenge the terms of any divestiture, including whether a sale to any particular buyer will serve the public interest, and made clear that the Eastern District of Virginia may need to revisit its divestiture order if the special master who has been appointed by the presiding judge cannot locate a satisfactory buyer. JELD-WEN then filed a motion for rehearing en banc with the Fourth Circuit that was denied on March 22, 2021.

Following a thorough review, and consistent with our practice, we concluded that it is in the best interest of the Company and its stakeholders to move forward with the divestiture of Towanda and certain related assets. Although the Company did not seek Supreme Court review of the Fourth Circuit’s February 18, 2021 decision, the Company retains the legal right to challenge the divestiture process and the final divestiture order. We made estimates related to the divestiture in the preparation of our financial statements; however, there can be no guarantee that the divestiture will be consummated. The divestiture process is ongoing, and the special master is overseeing this process. Although the Company has decided to divest, we continue to believe that Steves’ claims lacked merit and that it was not entitled to the extraordinary remedy of divestiture. We continue to believe that the judgment in accordance with the verdict was improper under applicable law.

During the pendency of the Original Action, on February 14, 2020, Steves filed a complaint and motion for preliminary injunction in the Eastern District of Virginia alleging that we breached the long-term supply agreement between the parties, including, among other claims, by incorrectly calculating the allocation of door skins owed to Steves (the “Allocation Action”). Steves sought an additional allotment of door skins and damages for violation of antitrust laws, tortious interference, and breach of contract. On April 10, 2020, the presiding judge granted Steves’ motion for preliminary injunction, and the parties settled the issues underlying the preliminary injunction on April 30, 2020 and the Company reserved the right to appeal the ruling in the Fourth Circuit. The Company believed all the claims lacked merit and moved to dismiss the antitrust and tortious interference claims.

On June 2, 2020, we entered into a settlement agreement with Steves to resolve the Pricing Action, the Future Pricing Action, and the Allocation Action. As a result of the settlement, Steves filed a notice of satisfaction of judgment in the Pricing Action, withdrew its Future Pricing Action with prejudice, and filed a stipulated dismissal with prejudice in the Allocation Action. The Company also withdrew its appeal of the Pricing Action. The parties agreed to bear their own respective attorneys’ fees and costs in these actions. In partial consideration of the settlement, JWI and Steves entered into an amended supply agreement satisfactory to both parties that, by its terms, ended on September 10, 2021. This settlement had no effect on the Original Action between the parties except to agree that certain specific terms of the Amended Final Judgment Order in the Original Action would apply to the amended supply agreement during the pendency of the appeal of the Original Action. On April 2, 2021, JWI and Steves filed a stipulation regarding the amended supply agreement in the Original Action, stating that regardless of whether the case remains on appeal as of September 10, 2021, and absent further order of the court, the amended supply agreement would be extended until the divestiture of Towanda and certain related assets is complete and Steves’ new supply agreement with the company that acquires Towanda is in effect.

We continue to believe the claims in the settled actions lacked merit and made no admission of liability in these matters.

On October 7, 2021, we entered into a settlement agreement with Steves to resolve the following: (i) Steves’ past and any future claims for attorneys’ fees, expenses, and costs in connection with the Original Action, except that Steves and JWI each reserved the right to seek attorneys’ fees arising out of any challenge of the divestiture process or the final divestiture order; (ii) the Steves Texas Trade Secret Theft Action and the related Fourth Circuit appeal of the Eastern District of Virginia’s injunction in the Original Action; (iii) the past damages award in the Original Action; and (iv) any and all claims and counterclaims, known or unknown, that were asserted or could have been asserted against each other from the

beginning of time through the date of the settlement agreement. As a result of the settlement, the parties filed a stipulated notice of satisfaction of the past antitrust damages judgment and a stipulated notice of settlement of Steves’ claim for attorneys’ fees, expenses, and costs against JWI in the Original Action, and Steves filed a notice of withdrawal of its motion for attorneys’ fees and expenses and bill of costs in the Original Action. The Company also filed a notice of dismissal with prejudice and agreed to take no judgment in the Steves Texas Trade Secret Theft Action, and the parties filed a joint agreement for dismissal of the injunction appeal in the Fourth Circuit. On November 3, 2021, we paid $66.4 million to Steves under the settlement agreement.

In re JELD-WEN Holding, Inc. Derivative Litigation – On February 2, 2021, Jason Aldridge, on behalf of the Company, filed a derivative action in the U.S. District Court for the District of Delaware against certain current and former executives and directors of the Company, alleging that the individual defendants breached their fiduciary duties by allowing the wrongful acts alleged in the Steves, as well as violations of Section 14(a) and 20(a) of the Exchange Act, unjust enrichment, and waste of corporate assets among other allegations (the “Aldridge Action”). The lawsuit seeks compensatory damages, equitable relief, and an award of attorneys’ fees and costs. The parties sought a stay of the Aldridge Action. On April 19, 2021, the court denied the parties’ motion to stay and, instead, ordered the plaintiff to file an amended complaint that complied with court rules or the matter would be dismissed. The plaintiff filed an amended complaint on May 10, 2021.

On June 21, 2021, prior to a response from the Company in the Aldridge Action, Shieta Black and the Board of Trustees of the City of Miami General Employees’ & Sanitation Employees’ Retirement Trust, on behalf of the Company, filed a derivative action in the U.S. District Court for the District of Delaware against certain current and former executives and directors of the Company and Onex Corporation (“Onex”), alleging that the defendants breached their fiduciary duties by allowing the wrongful acts alleged in the Steves, as well as insider trading, and unjust enrichment among other allegations (the “Black Action”). The lawsuit seeks compensatory damages, corporate governance reforms, restitution, equitable relief, and an award of attorneys’ fees and costs. The plaintiffs in the Black and Aldridge Actions sought to consolidate the lawsuits on July 16, 2021, which was granted by the court on the same day. On August 16, 2021, the plaintiffs designated the Black complaint as the operative complaint in the consolidated derivative action. On October 15, 2021, JELD-WEN and Onex moved to dismiss the complaint. On January 14, 2022, the plaintiffs moved for leave to amend the complaint. On January 28, 2022, the JELD-WEN defendants opposed the motion for leave to amend the complaint. On April 28, 2022, the court granted the plaintiffs leave to amend the complaint, and the plaintiffs filed their amended complaint the same day. As a result, on April 29, 2022, the Court denied JELD-WEN’s and Onex’s motions to dismiss as moot.

On June 20, 2022, the parties executed a settlement term sheet pertaining to the derivative litigation and notified the Court that a settlement had been reached. On June 22, 2022, the Court stayed the derivative litigation pending approval of the settlement.

Canadian Antitrust Litigation – On May 15, 2020, Développement Émeraude Inc., on behalf of itself and others similarly situated, filed a putative class action lawsuit against us and Masonite in the Superior Court of the Province of Quebec, Canada, which was served on us on September 18, 2020 (“the Quebec Action”). The putative class consists of any person in Canada who, since October 2012, purchased one or more interior molded doors from us or Masonite. The suit alleges an illegal conspiracy between us and Masonite to agree on prices, the distribution of market shares and/or the production levels of interior molded doors and that the plaintiffs suffered damages in that they were charged and paid higher prices for interior molded doors than they would have had to pay but for the alleged anti-competitive conduct. The plaintiffs are seeking compensatory and punitive damages, attorneys’ fees and costs. On September 9, 2020, Kate O’Leary Swinkels, on behalf of herself and others similarly situated, filed a putative class action against JELD-WEN and Masonite in the Federal Court of Canada, which was served on us on September 29, 2020 (the “Federal Court Action”). The Federal Court Action makes substantially similar allegations to the Quebec Action and the putative class is represented by the same counsel. In February 2021, the plaintiff in the Federal Court Action issued a proposed Amended Statement of Claim that replaced the named plaintiff, Kate O’Leary Swinkels, with David Regan. The plaintiff has sought a stay of the Quebec Action while the Federal Court Action proceeds. We anticipate a hearing on the certification of the Federal Court Action in 2023. The Company believes both the Quebec Action and the Federal Court Action lack merit and intends to vigorously defend against them.

We have evaluated the claims against us and recorded provisions based on management’s judgment about the probable outcome of the litigation and have included our estimates in accrued expenses in the accompanying balance sheets. See Note 7 - Accrued Expenses and Other Current Liabilities. While we expect a favorable resolution to these matters, the dispute resolution process could be lengthy, and if the plaintiffs were to prevail completely or substantially in the respective matters described above, such an outcome could have a material adverse effect on our operating results, consolidated financial position, or cash flows.

Self-Insured Risk – We self-insure substantially all of our domestic business liability risks including general liability, product liability, warranty, personal injury, auto liability, workers’ compensation, and employee medical benefits. Excess

insurance policies from independent insurance companies generally cover exposures between $5.0 million and $200.0 million for domestic product liability risk and exposures between $3.0 million and $200.0 million for auto, general liability, personal injury, and workers’ compensation. We have no stop loss insurance covering our self-insured employee medical plan and are responsible for all claims thereunder. We estimate our provision for self-insured losses based upon an evaluation of current claim exposure and historical loss experience. Actual self-insurance losses may vary significantly from these estimates. At June 25, 2022 and December 31, 2021, our accrued liability for self-insured risks was $88.7 million and $88.4 million, respectively.

Indemnifications – At June 25, 2022, we had commitments related to certain representations made in contracts for the purchase or sale of businesses or property. These representations primarily relate to past actions such as responsibility for transfer taxes if they should be claimed, and the adequacy of recorded liabilities, warranty matters, employment benefit plans, income tax matters, or environmental exposures. These guarantees or indemnification responsibilities typically expire within one to three years. We are not aware of any material amounts claimed or expected to be claimed under these indemnities. From time to time and in limited geographic areas, we have entered into agreements for the sale of our products to certain customers that provide additional indemnifications for liabilities arising from construction or product defects. We cannot estimate the potential magnitude of such exposures, but to the extent specific liabilities have been identified related to product sales, liabilities have been provided in the warranty accrual in the accompanying consolidated balance sheets.

Other Financing Arrangements – At times we are required to provide letters of credit, surety bonds, or guarantees to meet various performance, legal, warranty, environmental, workers compensation, licensing, utility, and governmental requirements. Stand-by letters of credit are provided to certain customers and counterparties in the ordinary course of business as credit support for contractual performance guarantees, advanced payments received from customers, and future funding commitments. The stated values of these letters of credit agreements, surety bonds, and guarantees were $73.1 million and $116.9 million at June 25, 2022 and December 31, 2021, respectively. The decrease is primarily due to the cancellation of bonds related to the Steves’ legal matter.

Environmental Contingencies – We periodically incur environmental liabilities associated with remediating our current and former manufacturing sites as well as penalties for not complying with environmental rules and regulations. We record a liability for remediation costs when it is probable that we will be responsible for such costs and the costs can be reasonably estimated. These environmental liabilities are estimated based on current available facts and current laws and regulations. Accordingly, it is likely that adjustments to the estimated liabilities will be necessary as additional information becomes available. Short-term environmental liabilities and settlements are recorded in accrued expenses and other current liabilities in the accompanying consolidated balance sheets and totaled $0.5 million at June 25, 2022 and December 31, 2021. Long-term environmental liabilities are recorded in deferred credits and other liabilities in the accompanying consolidated balance sheets and totaled $11.8 million at June 25, 2022 and December 31, 2021.

Everett, Washington WADOE Action – In 2007, we were identified by the WADOE as a PLP with respect to our former manufacturing site in Everett, Washington. In 2008, we entered into an Agreed Order with the WADOE to assess historic environmental contamination and remediation feasibility at the site. As part of the order, we agreed to develop a CAP, arising from the feasibility assessment. In December 2020, we submitted to the WADOE a draft feasibility assessment with an array of remedial alternatives, which we considered substantially complete. During 2021, several comment rounds were completed as well as the identification of the Port of Everett and W&W Everett Investment LLC as additional PLPs, with respect to this matter with each PLP being jointly and severally liable for the cleanup costs. The WADOE received the final feasibility assessment on December 31, 2021, containing various remedial alternatives with its preferred remedial alternatives totaling $23.4 million. Based on this study, we have determined our range of possible outcomes to be $11.8 million to $33.4 million. On March 1, 2022, we delivered a draft CAP to the WADOE consistent with its preferred alternatives, and on May 16, 2022, we received the WADOE’s initial comments on the draft CAP. On June 13, 2022, we responded to the WADOE’s comments. The WADOE has 60 days to review and provide comments followed by a comment incorporation period for the draft CAP. At that time, the WADOE will complete an additional review within 60 days and release the documents for tribal consultation and comment. A 30-day public comment period will follow, and once the public comment period has expired and any comments incorporated, the WADOE will finalize the remedial actions we will be required to perform. The final CAP will be developed and delivered to the WADOE 15 days thereafter. The final CAP will ultimately be formalized in an Agreed Order or Consent Decree with the WADOE, the Company, and the other PLPs. We have made provisions within our financial statements within the range of possible outcomes; however, the contents and cost of the final CAP and allocation of the responsibility between the identified PLPs could vary materially from our estimates.

Towanda, Pennsylvania Consent Order – In December 2020, we entered into a COA with the PaDEP to remove a pile of wood fiber waste from our site in Towanda, Pennsylvania, which we acquired in connection with our acquisition of CMI in 2012, by using it as fuel for a boiler at that site. The COA replaced a 2018 Consent Decree between PaDEP and us. Under

the COA, we are required to achieve certain periodic removal objectives and ultimately remove the entire pile by August 31, 2025. There are currently $2.3 million in bonds posted in connection with these obligations. If we are unable to remove this pile by August 31, 2025, then the bonds will be forfeited, and we may be subject to penalties by PaDEP. We currently anticipate meeting all applicable removal deadlines; however, if our operations should change, additional alternatives would be evaluated to meet the prescribed removal timeline.

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Supplemental Cash Flow Information

6 Months Ended

Jun. 25, 2022

Supplemental Cash Flow Elements [Abstract]

Supplemental Cash Flow Information

Supplemental Cash Flow Information

	Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021
Cash Operating Activities:
Operating leases	$	30,232	$	29,735
Interest payments on financing lease obligations	83		112
Cash paid for amounts included in the measurement of lease liabilities	$	30,315	$	29,847
Non-cash Investing Activities:
Property, equipment, and intangibles purchased in accounts payable	$	4,888	$	5,557
Property, equipment, and intangibles purchased with debt	3,278		3,421
Cash Financing Activities:
Borrowings on long-term debt	$	441,364	258
Payments of long-term debt	(254,736)		(54,912)
Change in long-term debt	$	186,628	$	(54,654)
Cash paid for amounts included in the measurement of finance lease liabilities	$	924	$	1,164
Non-cash Financing Activities:
Prepaid insurance funded through short-term debt borrowings	$	2,029	$	2,570
Shares surrendered for tax obligations for employee share-based transactions in accrued liabilities	$	46	$	171
Shares repurchased in accounts payable	1,517		—
Accounts payable converted to installment notes	1,279		69
Other Supplemental Cash Flow Information:
Cash taxes paid, net of refunds	$	27,544	$	24,044
Cash interest paid	36,641		35,623

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Description of Company and Summary of Significant Accounting Policies (Policies)

6 Months Ended

Jun. 25, 2022

Accounting Policies [Abstract]

Basis of Presentation

Basis of Presentation – The accompanying unaudited consolidated financial statements as of June 25, 2022 and for the three and six months ended June 25, 2022 and June 26, 2021, respectively, have been prepared in accordance with GAAP for interim financial information and pursuant to the rules and regulations of the SEC. In the opinion of management, the unaudited consolidated financial statements have been prepared on the same basis as the audited financial statements and include all adjustments, consisting only of normal recurring adjustments, necessary for the fair statement of the Company’s financial position for the periods presented. The results for the three and six months ended June 25, 2022 are not necessarily indicative of the results to be expected for the year ending December 31, 2022, or any other period. The accompanying consolidated balance sheet as of December 31, 2021 was derived from audited financial statements included in our Annual Report on Form 10-K. The accompanying consolidated financial statements do not include all of the information and footnotes required by GAAP for annual financial statements. Accordingly, they should be read in conjunction with the audited financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2021.

All U.S. dollar and other currency amounts, except per share amounts, are presented in thousands unless otherwise noted.

Fiscal Year

Fiscal Year – We operate on a fiscal calendar year, and each interim quarter is comprised of two 4-week periods and one 5-week period, with each week ending on a Saturday. Our fiscal year always begins on January 1 and ends on December 31. As a result, our first and fourth quarters may have more or fewer days included than a traditional 91-day fiscal quarter.

Use of Estimates

Use of Estimates – The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates, assumptions, and allocations that affect amounts reported in the consolidated financial statements and related notes. Significant items that are subject to such estimates and assumptions include, but are not limited to, long-lived assets including goodwill and other intangible assets, employee benefit obligations, income tax uncertainties, contingent assets and liabilities, provisions for bad debt, inventory, warranty liabilities, legal claims, valuation of derivatives, environmental remediation, and claims relating to self-insurance. Actual results could differ due to the uncertainty inherent in the nature of these estimates.

Recent Accounting Standards

Recent Accounting Standards – In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, which provides optional expedients and

exceptions for applying U.S. GAAP to contracts, hedging relationships, and other transactions affected by the discontinuation of LIBOR or by another reference rate expected to be discontinued. In January 2021, the FASB issued ASU No. 2021-01, Reference Rate Reform (Topic 848): Scope, to clarify the scope of ASU No. 2020-04. The amendments are effective for all entities as of March 12, 2020 through December 31, 2022. In May 2020, we elected the expedient within ASC 848 which allows us to assume that our hedged interest payments are probable of occurring regardless of any expected modifications in their terms related to reference rate reform. In addition, ASC 848 allows for the option to change the method of assessing effectiveness upon a change in critical terms of the derivative or the hedged transactions and upon the end of relief under ASC 848. At this time, we have elected to continue the method of assessing effectiveness as documented in the original hedge documentation and apply the practical expedients related to probability to assume that the reference rate on the hypothetical derivative matches the reference rate on the hedging instrument. We plan to evaluate the remaining expedients for adoption, as applicable, when contracts are modified. We currently do not expect this guidance to have a material impact on our consolidated financial statements. Refer to Note 17 - Derivative Financial Instruments for additional disclosure information relating to our hedging activity.

We have considered the applicability and impact of all ASUs. We have assessed ASUs not listed above and have determined that they were either not applicable or were not expected to have a material impact on our financial statements.

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Inventories (Tables)

6 Months Ended

Jun. 25, 2022

Inventory Disclosure [Abstract]

Schedule of Inventory

(amounts in thousands)	June 25, 2022		December 31, 2021
Raw materials	$	553,322	$	478,566
Work in process	37,230		36,065
Finished goods	132,713		101,340
Total inventories	$	723,265	$	615,971

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Property and Equipment, Net (Tables)

6 Months Ended

Jun. 25, 2022

Property, Plant and Equipment [Abstract]

Schedule of Property, Plant and Equipment

(amounts in thousands)	June 25, 2022		December 31, 2021
Property and equipment	$	2,107,345	$	2,137,861
Accumulated depreciation	(1,344,577)		(1,339,057)
Total property and equipment, net	$	762,768	$	798,804

Depreciation expense was recorded as follows:

	Three Months Ended				Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021		June 25, 2022		June 26, 2021
Cost of sales	$	22,492	$	23,707	$	45,004	$	46,243
Selling, general and administrative	1,720		2,398		3,428		4,794
Total depreciation expense	$	24,212	$	26,105	$	48,432	$	51,037

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Goodwill (Tables)

6 Months Ended

Jun. 25, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Goodwill

The following table summarizes the changes in goodwill by reportable segment:

(amounts in thousands)	North America		Europe		Australasia		Total Reportable Segments
Balance as of December 31, 2021	$	182,645	$	278,668	$	83,900	$	545,213
Currency translation	(118)		(21,977)		(3,953)		(26,048)
Balance as of June 25, 2022	$	182,527	$	256,691	$	79,947	$	519,165

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Intangible Assets, Net (Tables)

6 Months Ended

Jun. 25, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Finite-Lived Intangible Assets

The cost and accumulated amortization values of our intangible assets were as follows:

	June 25, 2022
(amounts in thousands)	Cost		Accumulated Amortization		Net Book Value
Customer relationships and agreements	$	140,056	$	(75,279)	$	64,777
Software	118,997		(41,120)		77,877
Trademarks and trade names	53,751		(11,480)		42,271
Patents, licenses and rights	44,538		(25,112)		19,426
Total amortizable intangibles	$	357,342	$	(152,991)	$	204,351

	December 31, 2021
(amounts in thousands)	Cost		Accumulated Amortization		Net Book Value
Customer relationships and agreements	$	145,940	$	(73,635)	$	72,305
Software	118,114		(35,816)		82,298
Trademarks and trade names	55,806		(10,771)		45,035
Patents, licenses and rights	46,353		(23,810)		22,543
Total amortizable intangibles	$	366,213	$	(144,032)	$	222,181

Schedule of Finite-lived Intangible Assets Amortization Expense

Intangible assets that become fully amortized are removed from the accounts in the period that they become fully amortized. Amortization expense was recorded as follows:

	Three Months Ended				Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021		June 25, 2022		June 26, 2021
Amortization expense	$	8,038	$	8,307	$	16,183	$	16,354

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Accrued Expenses and Other Current Liabilities (Tables)

6 Months Ended

Jun. 25, 2022

Payables and Accruals [Abstract]

Schedule of Accrued Expenses and Other Current Liabilities

(amounts in thousands)	June 25, 2022		December 31, 2021
Accrued sales and advertising rebates	$	82,633	$	90,623
Current portion of operating lease liability	43,403		43,880
Non-income related taxes	32,981		25,030
Deferred revenue and customer deposits	28,683		25,568
Current portion of warranty liability (Note 8)	22,030		23,523
Accrued freight	21,316		19,020
Accrued expenses	19,514		18,636
Current portion of accrued claim costs relating to self-insurance programs	15,427		14,352
Accrued income taxes payable	10,484		16,237
Accrued interest payable	4,575		3,633
Legal claims provision	3,579		3,476
Current portion of restructuring accrual	3,319		171
Current portion of derivative liability (Note 17)	2,157		5,527
Total accrued expenses and other current liabilities	$	290,101	$	289,676

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Warranty Liability (Tables)

6 Months Ended

Jun. 25, 2022

Product Warranties Disclosures [Abstract]

Schedule of Analysis of Warranty Liability

An analysis of our warranty liability is as follows:

(amounts in thousands)	June 25, 2022		June 26, 2021
Balance as of January 1	$	54,860	$	52,296
Current period charges	13,503		13,740
Experience adjustments	906		2,601
Payments	(15,032)		(14,984)
Currency translation	(743)		109
Balance at period end	53,494		53,762
Current portion	(22,030)		(23,082)
Long-term portion	$	31,464	$	30,680

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Long-Term Debt (Tables)

6 Months Ended

Jun. 25, 2022

Debt Disclosure [Abstract]

Schedule of Long-term Debt Instruments

Our long-term debt, net of original issue discount and unamortized debt issuance costs, consisted of the following:

	June 25, 2022	June 25, 2022		December 31, 2021
(amounts in thousands)	Interest Rate
Senior Secured Notes and Senior Notes	4.63% - 6.25%	$	1,050,000	$	1,050,000
Term loans	1.30% - 3.31%	546,155		547,598
Revolving credit facilities	2.27% - 5.00%	202,750		—
Finance leases and other financing arrangements	1.25% - 6.17%	90,033		97,874
Mortgage notes	1.65% - 2.15%	22,885		25,411
Total Debt		1,911,823		1,720,883
Unamortized debt issuance costs and original issue discounts		(13,170)		(14,626)
Current maturities of long-term debt		(30,815)		(38,561)
Long-term debt		$	1,867,838	$	1,667,696

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Segment Information (Tables)

6 Months Ended

Jun. 25, 2022

Segment Reporting [Abstract]

Schedule of Segment Reportable Segments, by Segment

The following tables set forth certain information relating to our segments’ operations:

(amounts in thousands)	North America		Europe		Australasia		Total Operating Segments		Corporate and Unallocated Costs		Total Consolidated
Three Months Ended June 25, 2022
Total net revenues	$	839,480	$	340,047	$	156,951	$	1,336,478	$	—	$	1,336,478
Intersegment net revenues	(373)		—		(5,137)		(5,510)		—		(5,510)
Net revenues from external customers	$	839,107	$	340,047	$	151,814	$	1,330,968	$	—	$	1,330,968
Impairment and restructuring charges	4,751		534		31		5,316		(20)		5,296
Adjusted EBITDA	93,472		20,040		15,872		129,384		(3,589)		125,795
Three Months Ended June 26, 2021
Total net revenues	$	740,409	$	349,894	$	160,029	$	1,250,332	$	—	$	1,250,332
Intersegment net revenues	(281)		(147)		(4,089)		(4,517)		—		(4,517)
Net revenues from external customers	$	740,128	$	349,747	$	155,940	$	1,245,815	$	—	$	1,245,815
Impairment and restructuring charges	903		232		44		1,179		(34)		1,145
Adjusted EBITDA	115,320		39,784		17,995		173,099		(24,857)		148,242

(amounts in thousands)	North America		Europe		Australasia		Total Operating Segments		Corporate and Unallocated Costs		Total Consolidated
Six Months Ended June 25, 2022
Total net revenues	$	1,562,051	$	663,353	$	287,384	$	2,512,788	$	—	$	2,512,788
Intersegment net revenues	(601)		(34)		(10,163)		(10,798)		—		(10,798)
Net revenues from external customers	$	1,561,450	$	663,319	$	277,221	$	2,501,990	$	—	$	2,501,990
Impairment and restructuring charges	4,751		534		53		5,338		(41)		5,297
Adjusted EBITDA	160,557		34,738		26,244		221,539		(15,495)		206,044
Six Months Ended June 26, 2021
Total net revenues	$	1,380,144	$	671,282	$	295,997	$	2,347,423	$	—	$	2,347,423
Intersegment net revenues	(401)		(1,020)		(7,804)		(9,225)		—		(9,225)
Net revenues from external customers	$	1,379,743	$	670,262	$	288,193	$	2,338,198	$	—	$	2,338,198
Impairment and restructuring charges	916		1,127		84		2,127		(55)		2,072
Adjusted EBITDA	195,113		68,578		31,194		294,885		(48,732)		246,153

Schedule of Reconciliation of Net Income (Loss) to Adjusted EBITDA

Reconciliations of net income to Adjusted EBITDA are as follows:

	Three Months Ended				Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021		June 25, 2022		June 26, 2021
Net income	$	45,826	$	60,710	$	45,298	$	86,195
Income tax expense	15,221		22,359		15,033		32,718
Depreciation and amortization	32,513		35,465		65,078		69,675
Interest expense, net	20,222		18,860		38,576		37,315
Impairment and restructuring charges (1)	5,318		1,415		5,319		2,342
Loss on sale of property and equipment	55		1,308		189		432
Share-based compensation expense	1,598		7,526		11,262		14,381
Non-cash foreign exchange transaction/translation loss (income)	63		(2,000)		6,281		(13,496)
Other items (2)	3,938		2,599		17,967		16,591
Other non-cash items (3)	1,041		—		1,041		—
Adjusted EBITDA	$	125,795	$	148,242	$	206,044	$	246,153

(1)Impairment and restructuring charges consist of (i) impairment and restructuring charges that are included in our accompanying unaudited consolidated statements of operations plus (ii) additional charges relating to inventory and/or manufacturing of our products that are included in cost of sales in our accompanying unaudited consolidated statements of operations were $22 and $270 for the three and six months ended June 25, 2022 and June 26, 2021, respectively.

(2)Other non-recurring items not core to ongoing business activity include: (i) in the three months ended June 25, 2022 (1) $5,223 in facility closure, consolidation, and other related costs, (2) ($4,403) in adjustments related to fire damage and downtime at one of our facilities, and (3) $3,084 in legal costs and professional expenses; (ii) in the three months ended June 26, 2021 (1) $1,531 in legal costs and professional expenses relating primarily to litigation and (2) $654 in facility closure, consolidation, startup, and other related costs; (iii) in the six months ended June 25, 2022 (1) $8,126 in in legal costs and professional expenses, (2) $5,498 in facility closure, consolidation, and other related costs, (3) $2,448 in expenses related to fire damage and downtime at one of our facilities, and (4) $1,898 in compensation and non-income taxes associated with exercises of legacy equity awards; (iv) in the six months ended June 26, 2021 (1) $15,286 in legal costs and professional expenses relating primarily to litigation and (2) $783 in facility closure, consolidation, startup, and other related costs.

(3)Other non-cash items include $1,048 for unrealized mark-to-market losses from other derivatives in the three and six months ended June 25, 2022.

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Earnings Per Share (Tables)

6 Months Ended

Jun. 25, 2022

Earnings Per Share [Abstract]

Schedule of Basic and Diluted Earnings Per Share

The basic and diluted income per share calculations were determined based on the following share data:

	Three Months Ended		Six Months Ended
	June 25, 2022	June 26, 2021	June 25, 2022	June 26, 2021
Weighted average outstanding shares of Common Stock basic	87,219,078	99,514,890	88,466,982	99,991,045
Restricted stock units, performance share units, and options to purchase Common Stock	747,971	2,155,734	1,090,974	2,150,844
Weighted average outstanding shares of Common Stock diluted	87,967,049	101,670,624	89,557,956	102,141,889

Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share

The following table provides the securities that could potentially dilute basic earnings per share in the future but were not included in the computation of diluted income per share as their inclusion would be anti-dilutive:

	Three Months Ended		Six Months Ended
	June 25, 2022	June 26, 2021	June 25, 2022	June 26, 2021
Common Stock options	1,845,460	846,216	1,487,577	762,049
Restricted stock units	968,531	32,836	570,426	18,014
Performance share units	135,718	165,749	197,600	116,118

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Stock Compensation (Tables)

6 Months Ended

Jun. 25, 2022

Share-Based Payment Arrangement [Abstract]

Schedule of Stock Option Activity Roll forward

The activity under our incentive plans for the periods presented are reflected in the following tables:

	Three Months Ended
	June 25, 2022			June 26, 2021
	Shares	Weighted Average Exercise Price Per Share		Shares	Weighted Average Exercise Price Per Share
Options granted	—	$	—	—	$	—
Options canceled	140,255	$	26.21	9,000	$	31.93
Options exercised	89,434	$	11.44	64,511	$	16.25
	Shares	Weighted Average Grant Date Fair Value		Shares	Weighted Average Grant Date Fair Value
RSUs granted	294,605	$	19.70	59,690	$	30.51
PSUs granted	—	$	—	—	$	—

	Six Months Ended
	June 25, 2022			June 26, 2021
	Shares	Weighted Average Exercise Price Per Share		Shares	Weighted Average Exercise Price Per Share
Options granted	310,554	$	24.17	309,902	$	29.01
Options canceled	178,025	$	26.71	25,602	$	28.15
Options exercised	156,380	$	11.91	153,573	$	15.00
	Shares	Weighted Average Grant Date Fair Value		Shares	Weighted Average Grant Date Fair Value
RSUs granted	1,140,000	$	23.02	642,609	$	29.15
PSUs granted	158,587	$	29.24	165,749	$	30.70

Schedule of RSU and PSU Activity Roll forward

The activity under our incentive plans for the periods presented are reflected in the following tables:

	Three Months Ended
	June 25, 2022			June 26, 2021
	Shares	Weighted Average Exercise Price Per Share		Shares	Weighted Average Exercise Price Per Share
Options granted	—	$	—	—	$	—
Options canceled	140,255	$	26.21	9,000	$	31.93
Options exercised	89,434	$	11.44	64,511	$	16.25
	Shares	Weighted Average Grant Date Fair Value		Shares	Weighted Average Grant Date Fair Value
RSUs granted	294,605	$	19.70	59,690	$	30.51
PSUs granted	—	$	—	—	$	—

	Six Months Ended
	June 25, 2022			June 26, 2021
	Shares	Weighted Average Exercise Price Per Share		Shares	Weighted Average Exercise Price Per Share
Options granted	310,554	$	24.17	309,902	$	29.01
Options canceled	178,025	$	26.71	25,602	$	28.15
Options exercised	156,380	$	11.91	153,573	$	15.00
	Shares	Weighted Average Grant Date Fair Value		Shares	Weighted Average Grant Date Fair Value
RSUs granted	1,140,000	$	23.02	642,609	$	29.15
PSUs granted	158,587	$	29.24	165,749	$	30.70

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Held for Sale (Tables)

6 Months Ended

Jun. 25, 2022

Discontinued Operations and Disposal Groups [Abstract]

Schedule of Accompanying Balance Sheet

(amounts in thousands)	June 25, 2022		December 31, 2021
Assets
Inventory	$	15,453	$	15,520
Other current assets	145		105
Property and equipment	39,139		35,870
Intangible assets	1,471		1,471
Goodwill	65,000		65,000
Operating lease assets	1,220		1,458
Assets held for sale	$	122,428	$	119,424
Liabilities
Accrued payroll and benefits	903		$	907
Accrued expenses and other current liabilities	4,586		3,945
Current maturities of long term debt	6		10
Long-term debt	—		2
Operating lease liability	747		1,004
Liabilities held for sale	$	6,242	$	5,868

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Other (Income) Expense (Tables)

6 Months Ended

Jun. 25, 2022

Other Income and Expenses [Abstract]

Schedule of Other (Income) Expense

The table below summarizes the amounts included in other (income) expense in the accompanying unaudited consolidated statements of operations:

	Three Months Ended				Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021		June 25, 2022		June 26, 2021
Foreign currency (gains) losses	$	(7,096)	$	297	$	(5,385)	$	(8,936)
Recovery of cost from interest received on impaired notes	(6,385)		—		(13,412)		—
Insurance Reimbursement	(4,843)		—		(4,843)		—
Pension income	(1,435)		(40)		(2,862)		(76)
Governmental pandemic assistance reimbursement	(414)		(235)		(479)		(499)
Loss on sale or disposal of property and equipment	55		1,308		189		362
Other items	(769)		(1,178)		(1,432)		(1,540)
Total other (income) expense	$	(20,887)	$	152	$	(28,224)	$	(10,689)

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Derivative Financial Instruments (Tables)

6 Months Ended

Jun. 25, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

The fair values of derivative instruments held are as follows:

	Derivative assets
(amounts in thousands)	Balance Sheet Location	June 25, 2022		December 31, 2021
Derivatives designated as hedging instruments:
Interest rate contracts	Other current assets	$	9,191	$	263
Interest rate contracts	Other assets	$	6,328	$	3,036
Derivatives not designated as hedging instruments:
Foreign currency forward contracts	Other current assets	$	12,921	$	6,297

	Derivatives liabilities
(amounts in thousands)	Balance Sheet Location	June 25, 2022		December 31, 2021
Derivatives not designated as hedging instruments:
Foreign currency forward contracts	Accrued expenses and other current liabilities	$	1,109	$	5,527
Other derivative instruments	Accrued expenses and other current liabilities	$	1,048	$	—

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Fair Value of Financial Instruments (Tables)

6 Months Ended

Jun. 25, 2022

Fair Value Disclosures [Abstract]

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis

The recorded carrying amounts and fair values of these instruments were as follows:

	June 25, 2022
(amounts in thousands)	Carrying Amount		Total Fair Value		Level 1		Level 2		Level 3
Assets:
Cash equivalents	$	641	$	641	$	—	$	641	$	—
Derivative assets, recorded in other current assets	22,112		22,112		—		22,112		—
Derivative assets, recorded in other assets	6,328		6,328		—		6,328		—
Liabilities:
Debt, recorded in long-term debt and current maturities of long-term debt	$	1,911,823	$	1,755,413	$	—	$	1,755,413	$	—
Derivative liabilities, recorded in accrued expenses and other current liabilities	2,157		2,157		—		2,157		—

	December 31, 2021
(amounts in thousands)	Carrying Amount		Total Fair Value		Level 1		Level 2		Level 3
Assets:
Cash equivalents	$	33,143	$	33,143	$	—	$	33,143	$	—
Derivative assets, recorded in other current assets	6,560		6,560		—		6,560		—
Liabilities:
Debt, recorded in long-term debt and current maturities of long-term debt	$	1,720,883	$	1,751,353	$	—	$	1,751,353	$	—
Derivative liabilities, recorded in accrued expenses and other current assets	5,527		5,527		—		5,527		—
Derivative liabilities, recorded in deferred credits and other liabilities	—		—		—		—		—

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Supplemental Cash Flow Information (Tables)

6 Months Ended

Jun. 25, 2022

Supplemental Cash Flow Elements [Abstract]

Schedule of Cash Flow, Supplemental Disclosures

	Six Months Ended
(amounts in thousands)	June 25, 2022		June 26, 2021
Cash Operating Activities:
Operating leases	$	30,232	$	29,735
Interest payments on financing lease obligations	83		112
Cash paid for amounts included in the measurement of lease liabilities	$	30,315	$	29,847
Non-cash Investing Activities:
Property, equipment, and intangibles purchased in accounts payable	$	4,888	$	5,557
Property, equipment, and intangibles purchased with debt	3,278		3,421
Cash Financing Activities:
Borrowings on long-term debt	$	441,364	258
Payments of long-term debt	(254,736)		(54,912)
Change in long-term debt	$	186,628	$	(54,654)
Cash paid for amounts included in the measurement of finance lease liabilities	$	924	$	1,164
Non-cash Financing Activities:
Prepaid insurance funded through short-term debt borrowings	$	2,029	$	2,570
Shares surrendered for tax obligations for employee share-based transactions in accrued liabilities	$	46	$	171
Shares repurchased in accounts payable	1,517		—
Accounts payable converted to installment notes	1,279		69
Other Supplemental Cash Flow Information:
Cash taxes paid, net of refunds	$	27,544	$	24,044
Cash interest paid	36,641		35,623

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Description of Company and Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 26, 2022	Jun. 25, 2022	Dec. 31, 2021	Dec. 31, 2020
Unusual or Infrequent Item, or Both [Line Items]
Deferred credits and other liabilities		$ 96,433	$ 102,879
Cares act, deferral of social security tax
Unusual or Infrequent Item, or Both [Line Items]
Deferred credits and other liabilities		$ 11,000	$ 20,900	$ 20,900
Repayments of deferred credits and other liabilities	$ 9,900

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Accounts Receivable (Details) - USD ($) $ in Millions	Jun. 25, 2022	Dec. 31, 2021
Receivables [Abstract]
Allowance for credit loss	$ 16.2	$ 10.2

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Inventories (Details) - USD ($) $ in Thousands	Jun. 25, 2022	Dec. 31, 2021
Inventory Disclosure [Abstract]
Raw materials	$ 553,322	$ 478,566
Work in process	37,230	36,065
Finished goods	132,713	101,340
Total inventories	$ 723,265	$ 615,971

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Property and Equipment, Net (Details) - USD ($) $ in Thousands	Jun. 25, 2022	Dec. 31, 2021
Property, Plant and Equipment [Abstract]
Property and equipment	$ 2,107,345	$ 2,137,861
Accumulated depreciation	(1,344,577)	(1,339,057)
Total property and equipment, net	$ 762,768	$ 798,804

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Property and Equipment, Net - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021
Property, Plant and Equipment [Line Items]
Gain (loss) due to currency translations for foreign assets			$ (20.5)
Property plant and equipment
Property, Plant and Equipment [Line Items]
Impairment of assets	$ 0.5	$ 0.9	$ 0.5	$ 1.2

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Property and Equipment, Net - Depreciation (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021
Depreciation
Total depreciation expense	$ 24,212	$ 26,105	$ 48,432	$ 51,037
Cost of sales
Depreciation
Total depreciation expense	22,492	23,707	45,004	46,243
Selling, general and administrative
Depreciation
Total depreciation expense	$ 1,720	$ 2,398	$ 3,428	$ 4,794

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Goodwill - Rollforward (Details) $ in Thousands	6 Months Ended
	Jun. 25, 2022 USD ($)
Goodwill
Beginning balance	$ 545,213
Currency translation	(26,048)
Ending balance	519,165
North America
Goodwill
Beginning balance	182,645
Currency translation	(118)
Ending balance	182,527
Europe
Goodwill
Beginning balance	278,668
Currency translation	(21,977)
Ending balance	256,691
Australasia
Goodwill
Beginning balance	83,900
Currency translation	(3,953)
Ending balance	$ 79,947

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Intangible Assets, Net - Cost and Accumulated Amortization (Details) - USD ($) $ in Thousands	Jun. 25, 2022	Dec. 31, 2021
Finite-Lived Intangible Assets
Cost	$ 357,342	$ 366,213
Accumulated Amortization	(152,991)	(144,032)
Net Book Value	204,351	222,181
Customer relationships and agreements
Finite-Lived Intangible Assets
Cost	140,056	145,940
Accumulated Amortization	(75,279)	(73,635)
Net Book Value	64,777	72,305
Software
Finite-Lived Intangible Assets
Cost	118,997	118,114
Accumulated Amortization	(41,120)	(35,816)
Net Book Value	77,877	82,298
Trademarks and trade names
Finite-Lived Intangible Assets
Cost	53,751	55,806
Accumulated Amortization	(11,480)	(10,771)
Net Book Value	42,271	45,035
Patents, licenses and rights
Finite-Lived Intangible Assets
Cost	44,538	46,353
Accumulated Amortization	(25,112)	(23,810)
Net Book Value	$ 19,426	$ 22,543

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Intangible Assets, Net - Narrative (Details) $ in Millions	6 Months Ended
	Jun. 25, 2022 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Currency translation increase (decrease)	$ (4.7)

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Intangible Assets, Net - Amortization Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization expense	$ 8,038	$ 8,307	$ 16,183	$ 16,354

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Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands	Jun. 25, 2022	Dec. 31, 2021	Jun. 26, 2021
Accounts Payable and Accrued Liabilities, Current
Accrued sales and advertising rebates	$ 82,633	$ 90,623
Current portion of operating lease liability	43,403	43,880
Non-income related taxes	32,981	25,030
Deferred revenue and customer deposits	28,683	25,568
Current portion of warranty liability	22,030	23,523	$ 23,082
Accrued freight	21,316	19,020
Accrued expenses	19,514	18,636
Current portion of accrued claim costs relating to self-insurance programs	15,427	14,352
Accrued income taxes payable	10,484	16,237
Accrued interest payable	4,575	3,633
Legal claims provision	3,579	3,476
Current portion of restructuring accrual	3,319	171
Current portion of derivative liability	2,157	5,527
Total accrued expenses and other current liabilities	$ 290,101	$ 289,676

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Warranty Liability - Narrative (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 25, 2022	Dec. 31, 2021	Jun. 26, 2021	Dec. 31, 2020
Product Warranty Liability
Accrued warranty liability	$ 53,494	$ 54,860	$ 53,762	$ 52,296
North America
Product Warranty Liability
Accrued warranty liability	46,200
Product warranty, discount adjustment	$ 2,700
Minimum
Product Warranty Liability
Product warranty term	1 year
Minimum | North America
Product Warranty Liability
Product warranty discount rate (as a percent)	0.53%
Maximum
Product Warranty Liability
Product warranty term	10 years
Maximum | North America
Product Warranty Liability
Product warranty discount rate (as a percent)	2.75%

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Warranty Liability - Rollforward (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Dec. 31, 2021
Movement in Standard and Extended Product Warranty Accrual, Increase (Decrease)
Balance at beginning balance	$ 54,860	$ 52,296
Current period charges	13,503	13,740
Experience adjustments	906	2,601
Payments	(15,032)	(14,984)
Currency translation	(743)	109
Balance at period end	53,494	53,762
Current portion	(22,030)	(23,082)	$ (23,523)
Long-term portion	$ 31,464	$ 30,680

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Long-Term Debt - Long Term Debt (Details) $ in Thousands, kr in Millions	Jun. 25, 2022 USD ($)	Jun. 25, 2022 DKK (kr)	Dec. 31, 2021 USD ($)	Jul. 31, 2021 USD ($)
Debt Instrument
Total Debt	$ 1,911,823		$ 1,720,883
Unamortized debt issuance costs and original issue discounts	(13,170)		(14,626)
Current maturities of long-term debt	(30,815)		(38,561)
Long-term debt	1,867,838		1,667,696
Senior Secured Notes and Senior Notes
Debt Instrument
Long-term debt, gross	$ 1,050,000		1,050,000
Senior Secured Notes and Senior Notes | Minimum
Debt Instrument
Effective interest rate, percent	4.63%	4.63%
Senior Secured Notes and Senior Notes | Maximum
Debt Instrument
Effective interest rate, percent	6.25%	6.25%
Term loans | Term Loan
Debt Instrument
Long-term debt, gross	$ 546,155		547,598
Unamortized debt issuance costs and original issue discounts				$ (1,000)
Term loans | Term Loan | Minimum
Debt Instrument
Effective interest rate, percent	1.30%	1.30%
Term loans | Term Loan | Maximum
Debt Instrument
Effective interest rate, percent	3.31%	3.31%
Revolving credit facilities | ABL Facility
Debt Instrument
Long-term debt, gross	$ 202,750		0
Revolving credit facilities | ABL Facility | Minimum
Debt Instrument
Effective interest rate, percent	2.27%	2.27%
Revolving credit facilities | ABL Facility | Maximum
Debt Instrument
Effective interest rate, percent	5.00%	5.00%
Finance Leases And Other Financing Arrangements
Debt Instrument
Finance leases and other financing arrangements	$ 90,033		97,874
Finance Leases And Other Financing Arrangements | Minimum
Debt Instrument
Finance lease, rate	1.25%	1.25%
Finance Leases And Other Financing Arrangements | Maximum
Debt Instrument
Finance lease, rate	6.17%	6.17%
Mortgage notes
Debt Instrument
Long-term debt, gross	$ 22,885	kr 161.7	$ 25,411
Mortgage notes | Minimum
Debt Instrument
Effective interest rate, percent	1.65%	1.65%
Mortgage notes | Maximum
Debt Instrument
Effective interest rate, percent	2.15%	2.15%

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Long-Term Debt - Narrative (Details) kr in Millions		1 Months Ended				3 Months Ended
	Jun. 30, 2019 AUD ($)	Dec. 31, 2021 USD ($)	Jul. 31, 2021 USD ($)	May 31, 2020 AUD ($)	Dec. 31, 2007	Jun. 26, 2021 USD ($)	Jun. 26, 2021 AUD ($)	Jun. 25, 2022 USD ($)	Jun. 25, 2022 AUD ($)	Jun. 25, 2022 DKK (kr)	May 31, 2020 USD ($)	Dec. 31, 2017 USD ($) tranche
Debt Instrument
Unamortized debt issuance costs and original issue discounts		$ 14,626,000						$ 13,170,000
Interest Rate Swap | Cash Flow Hedge | Designated as Hedging Instrument
Debt Instrument
Derivative fixed interest rate (as a percent)											0.395%
Notional amount											$ 370,000,000
LIBOR | Minimum | Interest Rate Swap | Cash Flow Hedge | Designated as Hedging Instrument
Debt Instrument
Derivative variable interest rate (as a percent)											0.00%
Revolving Credit Facility
Debt Instrument
Borrowing availability								278,300,000
U.S. Facility | Secured Debt
Debt Instrument
Debt instrument face amount			$ 550,000,000
U.S. Facility | Secured Debt | Corporate Credit Rating
Debt Instrument
Derivative variable interest rate (as a percent)			0.00%
U.S. Facility | Secured Debt | Corporate Credit Rating | Minimum
Debt Instrument
Debt instrument, variable rate, percent			2.00%
U.S. Facility | Secured Debt | Corporate Credit Rating | Maximum
Debt Instrument
Debt instrument, variable rate, percent			2.25%
Australian Facility | Secured Debt
Debt Instrument
Repayment of long term debt						$ 38,400,000	$ 50,000,000
ABL Facility | Revolving Credit Facility
Debt Instrument
Maximum borrowing capacity			$ 500,000,000
ABL Facility | Revolving Credit Facility | US Borrowers
Debt Instrument
Maximum borrowing capacity			465,000,000
ABL Facility | Revolving Credit Facility | Canadian Borrowers
Debt Instrument
Maximum borrowing capacity			$ 35,000,000
ABL Facility | Revolving Credit Facility | LIBOR | Minimum
Debt Instrument
Debt instrument, variable rate, percent			1.25%
ABL Facility | Revolving Credit Facility | LIBOR | Maximum
Debt Instrument
Debt instrument, variable rate, percent			1.50%
ABL Facility | Revolving Credit Facility | Base Rate | Minimum
Debt Instrument
Debt instrument, variable rate, percent			0.25%
ABL Facility | Revolving Credit Facility | Base Rate | Maximum
Debt Instrument
Debt instrument, variable rate, percent			0.50%
Senior Secured Notes and Senior Notes
Debt Instrument
Debt instrument face amount												$ 800,000,000
Number of tranches (tranche) | tranche												2
Long-term debt		1,050,000,000						1,050,000,000
Senior Secured Notes and Senior Notes | Senior Secured Notes Maturing May 2025
Debt Instrument
Senior secured notes											$ 250,000,000
Debt instrument stated interest rate, percent											6.25%
Debt instrument discount rate, percent											1.25%
Senior Secured Notes and Senior Notes | Senior Note Maturing December 2025
Debt Instrument
Debt instrument stated interest rate, percent												4.63%
Debt instrument face amount												$ 400,000,000
Senior Secured Notes and Senior Notes | Senior Note Maturing December 2027
Debt Instrument
Debt instrument stated interest rate, percent												4.88%
Debt instrument face amount												$ 400,000,000
Secured Debt
Debt Instrument
Long-term debt		25,411,000						22,885,000		kr 161.7
Debt instrument term					30 years
Term Loans | Term Loan
Debt Instrument
Premium payable percentage			1.00%
Repayment percentage			0.25%
Loss on extinguishment of debt			$ 1,300,000
Unamortized debt issuance costs and original issue discounts			1,000,000
Long term debt principal amount outstanding			$ 548,600,000					544,700,000
Long-term debt		547,598,000						546,155,000
Term Loans | Amended Floating Rate Revolving Loan Facility | Secured Debt
Debt Instrument
Increase in borrowing capacity				$ 30,000,000
Term Loans | Finance Leases and Other Financing Arrangements
Debt Instrument
Present value of lease liability								90,000,000
Line of Credit | ABL Facility
Debt Instrument
Long-term debt		$ 0						202,750,000
Line of Credit | ABL Facility | Revolving Credit Facility
Debt Instrument
Letters of credit								34,900,000
Borrowing availability								262,300,000
Line of Credit | Australia Senior Secured Credit Facility | Interchangeable Facility
Debt Instrument
Maximum borrowing capacity	$ 35,000,000
Borrowing availability								$ 16,000,000	$ 23,100,000
Line fee, percentage	0.50%	0.50%		0.70%

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Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021	Dec. 31, 2021
Income Tax Disclosure [Abstract]
Effective tax rate (as a percent)	24.90%	26.90%	24.90%	27.50%
Income tax expense	$ 15,221	$ 22,359	$ 15,033	$ 32,718
Discrete adjustments	6,400	1,700	6,400	1,600
Adjustments of comprised primarily tax	600		500
Interest on income taxes expense	2,600	300		600
Change in enacted tax rate	9,500	1,800	9,500	1,800
Increase for tax positions taken during the prior period		$ 300		$ 500
Other decreases			2,500
Unrecognized tax benefits	$ 28,600		$ 28,600		$ 26,800

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Segment Information - Narrative (Details)	6 Months Ended
	Jun. 25, 2022 segment
Segment Reporting [Abstract]
Number of reportable segments	3

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Segment Information - Reportable Segment (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021
Segment Reporting Information, Profit (Loss)
Net revenues	$ 1,330,968	$ 1,245,815	$ 2,501,990	$ 2,338,198
Impairment and restructuring charges	5,296	1,145	5,297	2,072
Adjusted EBITDA	125,795	148,242	206,044	246,153
North America
Segment Reporting Information, Profit (Loss)
Net revenues	839,107	740,128	1,561,450	1,379,743
Europe
Segment Reporting Information, Profit (Loss)
Net revenues	340,047	349,747	663,319	670,262
Australasia
Segment Reporting Information, Profit (Loss)
Net revenues	151,814	155,940	277,221	288,193
Operating Segments
Segment Reporting Information, Profit (Loss)
Net revenues	1,336,478	1,250,332	2,512,788	2,347,423
Impairment and restructuring charges	5,316	1,179	5,338	2,127
Adjusted EBITDA	129,384	173,099	221,539	294,885
Operating Segments | North America
Segment Reporting Information, Profit (Loss)
Net revenues	839,480	740,409	1,562,051	1,380,144
Impairment and restructuring charges	4,751	903	4,751	916
Adjusted EBITDA	93,472	115,320	160,557	195,113
Operating Segments | Europe
Segment Reporting Information, Profit (Loss)
Net revenues	340,047	349,894	663,353	671,282
Impairment and restructuring charges	534	232	534	1,127
Adjusted EBITDA	20,040	39,784	34,738	68,578
Operating Segments | Australasia
Segment Reporting Information, Profit (Loss)
Net revenues	156,951	160,029	287,384	295,997
Impairment and restructuring charges	31	44	53	84
Adjusted EBITDA	15,872	17,995	26,244	31,194
Intersegment net revenues
Segment Reporting Information, Profit (Loss)
Net revenues	(5,510)	(4,517)	(10,798)	(9,225)
Intersegment net revenues | North America
Segment Reporting Information, Profit (Loss)
Net revenues	(373)	(281)	(601)	(401)
Intersegment net revenues | Europe
Segment Reporting Information, Profit (Loss)
Net revenues	0	(147)	(34)	(1,020)
Intersegment net revenues | Australasia
Segment Reporting Information, Profit (Loss)
Net revenues	(5,137)	(4,089)	(10,163)	(7,804)
Corporate and Unallocated Costs
Segment Reporting Information, Profit (Loss)
Net revenues	0	0	0	0
Impairment and restructuring charges	(20)	(34)	(41)	(55)
Adjusted EBITDA	$ (3,589)	$ (24,857)	$ (15,495)	$ (48,732)

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Segment Information - Reconciliation of Net Income (Loss) to EBITDA (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021
Segment Reporting, Other Significant Reconciling Item [Line Items]
Net income	$ 45,826	$ 60,710	$ 45,298	$ 86,195
Income tax expense	15,221	22,359	15,033	32,718
Depreciation and amortization	32,513	35,465	65,078	69,675
Interest expense, net	20,222	18,860	38,576	37,315
Impairment and restructuring charges	5,318	1,415	5,319	2,342
Loss on sale of property and equipment	55	1,308	189	432
Share-based compensation expense	1,598	7,526	11,262	14,381
Non-cash foreign exchange transaction/translation loss (income)	63	(2,000)	6,281	(13,496)
Other items	3,938	2,599	17,967	16,591
Other non-cash items	1,041	0	1,041	0
Adjusted EBITDA	125,795	148,242	206,044	246,153
Miscellaneous cost	(4,403)		2,448
Legal fees	3,084	1,531	8,126	15,286
Foreign equity compensation			1,898
Consolidation and reorganization cost	5,223	654	5,498	783
Unrealized mark-to-market losses from commodity derivatives	1,048		1,048
Cost of sales
Segment Reporting, Other Significant Reconciling Item [Line Items]
Impairment and restructuring charges	$ 22	$ 270	$ 22	$ 270

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Capital Stock - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021	Jul. 28, 2022	Dec. 31, 2021	Jul. 27, 2021
Class of Stock
Shares held in employee trust (in shares)	193,941		193,941			193,941
Shares held in employee trust	$ 12.4		$ 12.4			$ 12.4
Shares remaining for repurchase	$ 26.5		$ 26.5				$ 400.0
Subsequent Event
Class of Stock
Share authorized for repurchase					$ 200.0
Common stock
Class of Stock
Common shares repurchased (in shares)	3,430,006	1,177,757	5,207,272	1,987,641
Common shares repurchased (usd per share)	$ 18.74	$ 28.66	$ 20.29	$ 28.62

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Earnings Per Share - Diluted Loss Per Share Calculation (Details) - shares	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021
Earnings Per Share [Abstract]
Weighted average outstanding shares of Common Stock basic (in shares)	87,219,078	99,514,890	88,466,982	99,991,045
Restricted stock units, performance share units, and options to purchase Common Stock (in shares)	747,971	2,155,734	1,090,974	2,150,844
Weighted average outstanding shares of Common Stock diluted (in shares)	87,967,049	101,670,624	89,557,956	102,141,889

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Earnings Per Share - Potentially Dilutive Securities (Details) - shares	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021
Common Stock options
Incremental Weighted Average Shares Attributable to Dilutive Effect
Antidilutive securities excluded from computation of diluted earnings per share (in shares)			1,487,577	762,049
Common Stock options | Common stock
Incremental Weighted Average Shares Attributable to Dilutive Effect
Antidilutive securities excluded from computation of diluted earnings per share (in shares)	1,845,460	846,216
Restricted stock units
Incremental Weighted Average Shares Attributable to Dilutive Effect
Antidilutive securities excluded from computation of diluted earnings per share (in shares)	968,531	32,836	570,426	18,014
Performance share units
Incremental Weighted Average Shares Attributable to Dilutive Effect
Antidilutive securities excluded from computation of diluted earnings per share (in shares)	135,718	165,749	197,600	116,118

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Stock Compensation - Activity (Details) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract]
Options granted (in shares)	0	0	310,554	309,902
Options canceled (in shares)	140,255	9,000	178,025	25,602
Options exercised (in shares)	89,434	64,511	156,380	153,573
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Options granted (usd per share)	$ 0	$ 0	$ 24.17	$ 29.01
Options canceled (usd per share)	26.21	31.93	26.71	28.15
Options exercised (usd per share)	$ 11.44	$ 16.25	$ 11.91	$ 15.00
RSUs
Weighted Average Grant-Date Fair Value Per Share
Equity instruments granted (in shares)	294,605	59,690	1,140,000	642,609
Equity instruments granted, weighted average exercise price (usd per share)	$ 19.70	$ 30.51	$ 23.02	$ 29.15
PSU's
Weighted Average Grant-Date Fair Value Per Share
Equity instruments granted (in shares)	0	0	158,587	165,749
Equity instruments granted, weighted average exercise price (usd per share)	$ 0	$ 0	$ 29.24	$ 30.70

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Stock Compensation - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021
Share-Based Payment Arrangement [Abstract]
Stock-based compensation	$ 1.6	$ 7.5	$ 11.3	$ 14.4
Stock compensation not yet recognized	$ 28.2		$ 28.2
Recognition period for stock compensation not yet recognized			1 year 7 months 2 days

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Held for Sale - Schedule of Accompanying Balance Sheet (Details) - Disposal Group, Held-for-sale, Not Discontinued Operations - Towanda - USD ($) $ in Thousands	Jun. 25, 2022	Dec. 31, 2021
Assets
Inventory	$ 15,453	$ 15,520
Other current assets	145	105
Property and equipment	39,139	35,870
Intangible assets	1,471	1,471
Goodwill	65,000	65,000
Operating lease assets	1,220	1,458
Assets held for sale	122,428	119,424
Liabilities
Accrued payroll and benefits	903	907
Accrued expenses and other current liabilities	4,586	3,945
Current maturities of long term debt	6	10
Long-term debt	0	2
Operating lease liability	747	1,004
Liabilities held for sale	$ 6,242	$ 5,868

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Other (Income) Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021
Other Income and Expenses [Abstract]
Foreign currency (gains) losses	$ (7,096)	$ 297	$ (5,385)	$ (8,936)
Recovery of cost from interest received on impaired notes	(6,385)	0	(13,412)	0
Insurance Reimbursement	(4,843)	0	(4,843)	0
Pension income	(1,435)	(40)	(2,862)	(76)
Governmental pandemic assistance reimbursement	(414)	(235)	(479)	(499)
Loss on sale or disposal of property and equipment	55	1,308	189	362
Other items	(769)	(1,178)	(1,432)	(1,540)
Total other (income) expense	$ (20,887)	$ 152	$ (28,224)	$ (10,689)

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Derivative Financial Instruments - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021	Jun. 25, 2022	Jun. 26, 2021	May 31, 2020
Notional Disclosures
Realized gain (loss) on hedges	$ 3.4	$ 0.3	$ 12.3	$ 1.4
Amount expected to be reclassified to interest expense over the next twelve months	10.0		10.0
Foreign Exchange Contracts, Forecasted Transactions | Not Designated as Hedging Instrument
Notional Disclosures
Notional amount	104.0		104.0
Foreign Currency Exchange Contracts, Intercompany Loans and Interest | Not Designated as Hedging Instrument
Notional Disclosures
Notional amount	342.3		342.3
Foreign Exchange Contracts, Consolidated Earnings | Not Designated as Hedging Instrument
Notional Disclosures
Notional amount	92.6		92.6
Foreign Currency Forward Contracts | Not Designated as Hedging Instrument
Notional Disclosures
Realized gain (loss) on hedges	12.2	2.0	11.0	5.8
Interest Rate Swap | Designated as Hedging Instrument | Cash Flow Hedge
Notional Disclosures
Notional amount					$ 370.0
Derivative fixed interest rate (as a percent)					0.395%
Reclassified to interest expense	$ (0.3)	$ 0.3	$ (0.1)	$ 0.5
Interest Rate Swap | Designated as Hedging Instrument | Cash Flow Hedge | Minimum | LIBOR
Notional Disclosures
Derivative variable interest rate (as a percent)					0.00%

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Derivative Financial Instruments - Fair Value (Details) - USD ($) $ in Thousands	Jun. 25, 2022	Dec. 31, 2021
Derivatives designated as hedging instruments: | Interest rate contracts | Other current assets
Derivative Asset, Fair Value, Amount Not Offset Against Collateral
Derivative assets	$ 9,191	$ 263
Derivatives designated as hedging instruments: | Interest rate contracts | Other assets
Derivative Asset, Fair Value, Amount Not Offset Against Collateral
Derivative assets	6,328	3,036
Derivatives not designated as hedging instruments: | Foreign currency forward contracts | Other current assets
Derivative Asset, Fair Value, Amount Not Offset Against Collateral
Derivative assets	12,921	6,297
Derivatives not designated as hedging instruments: | Foreign currency forward contracts | Accrued expenses and other current liabilities
Derivative Asset, Fair Value, Amount Not Offset Against Collateral
Derivatives liabilities	1,109	5,527
Derivatives not designated as hedging instruments: | Other derivative instruments | Accrued expenses and other current liabilities
Derivative Asset, Fair Value, Amount Not Offset Against Collateral
Derivatives liabilities	$ 1,048	$ 0

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Fair Value of Financial Instruments - Financial Assets and Liabilities (Details) - USD ($) $ in Thousands	Jun. 25, 2022	Dec. 31, 2021
Assets:
Derivative Asset, Current, Statement of Financial Position [Extensible Enumeration]	Other current assets	Other current assets
Derivative Asset, Noncurrent, Statement of Financial Position [Extensible Enumeration]	Other assets
Liabilities:
Derivative liabilities, recorded in accrued expenses and other current liabilities	$ 2,157	$ 5,527
Derivative Liability, Current, Statement of Financial Position [Extensible Enumeration]	Accrued expenses and other current liabilities	Accrued expenses and other current liabilities
Derivative Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration]		Deferred credits and other liabilities
Carrying Amount | Recurring
Assets:
Cash equivalents	$ 641	$ 33,143
Derivative assets, recorded in other current assets	22,112	6,560
Derivative assets, recorded in other assets	6,328
Liabilities:
Debt, recorded in long-term debt and current maturities of long-term debt	1,911,823	1,720,883
Derivative liabilities, recorded in accrued expenses and other current liabilities	2,157	5,527
Derivative liabilities, recorded in deferred credits and other liabilities		0
Total Fair Value | Recurring
Assets:
Cash equivalents	641	33,143
Derivative assets, recorded in other current assets	22,112	6,560
Derivative assets, recorded in other assets	6,328
Liabilities:
Debt, recorded in long-term debt and current maturities of long-term debt	1,755,413	1,751,353
Derivative liabilities, recorded in accrued expenses and other current liabilities	2,157	5,527
Derivative liabilities, recorded in deferred credits and other liabilities		0
Total Fair Value | Recurring | Level 1
Assets:
Cash equivalents	0	0
Derivative assets, recorded in other current assets	0	0
Derivative assets, recorded in other assets	0
Liabilities:
Debt, recorded in long-term debt and current maturities of long-term debt	0	0
Derivative liabilities, recorded in accrued expenses and other current liabilities	0	0
Derivative liabilities, recorded in deferred credits and other liabilities		0
Total Fair Value | Recurring | Level 2
Assets:
Cash equivalents	641	33,143
Derivative assets, recorded in other current assets	22,112	6,560
Derivative assets, recorded in other assets	6,328
Liabilities:
Debt, recorded in long-term debt and current maturities of long-term debt	1,755,413	1,751,353
Derivative liabilities, recorded in accrued expenses and other current liabilities	2,157	5,527
Derivative liabilities, recorded in deferred credits and other liabilities		0
Total Fair Value | Recurring | Level 3
Assets:
Cash equivalents	0	0
Derivative assets, recorded in other current assets	0	0
Derivative assets, recorded in other assets	0
Liabilities:
Debt, recorded in long-term debt and current maturities of long-term debt	0	0
Derivative liabilities, recorded in accrued expenses and other current liabilities	$ 0	0
Derivative liabilities, recorded in deferred credits and other liabilities		$ 0

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Commitments and Contingencies (Details) - USD ($) $ in Millions						1 Months Ended	6 Months Ended
	Nov. 03, 2021	Nov. 19, 2019	Apr. 12, 2019	Mar. 13, 2019	May 11, 2018	Feb. 28, 2018	Jun. 25, 2022	Dec. 31, 2021
Loss Contingencies
Accrued self-insurance liability							$ 88.7	$ 88.4
Financing bonds and letters of credit							73.1	116.9
Environmental loss contingencies, current							0.5	0.5
Environmental loss contingencies, non-current							11.8	11.8
Preferred remedial alternatives totaling								23.4
PaDEP
Loss Contingencies
Collateralized bond							$ 2.3
Minimum
Loss Contingencies
Indemnification							1 year
Environmental remedial feasibility alternative								11.8
Minimum | Reinsurance Contract [Axis]: Auto, General Liability, Personal Injury and Workers Compensation
Loss Contingencies
Concentration risk, auto, employee and general liability							$ 3.0
Minimum | Reinsurance Contract [Axis]: Domestic Product Liability
Loss Contingencies
Concentration risk, auto, employee and general liability							$ 5.0
Maximum
Loss Contingencies
Indemnification							3 years
Environmental remedial feasibility alternative								$ 33.4
Maximum | Reinsurance Contract [Axis]: Auto, General Liability, Personal Injury and Workers Compensation
Loss Contingencies
Concentration risk, auto, employee and general liability							$ 200.0
Maximum | Reinsurance Contract [Axis]: Domestic Product Liability
Loss Contingencies
Concentration risk, auto, employee and general liability							$ 200.0
Steve and Sons
Loss Contingencies
Damages awarded to plaintiff		$ 7.1		$ 36.5
Settlement proceeds awarded					$ 1.2
Steve and Sons | Attorney Fees
Loss Contingencies
Damages sought			$ 28.4
Steve and Sons | Legal Cost
Loss Contingencies
Damages sought			$ 1.7
Past Damages | Steve and Sons
Loss Contingencies
Damages awarded to plaintiff				9.9		$ 12.2
Future Damages | Steve and Sons
Loss Contingencies
Damages awarded to plaintiff				$ 139.4		$ 46.5
Loss contingency accrual, payments	$ 66.4

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Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 25, 2022	Jun. 26, 2021
Cash Operating Activities:
Operating leases	$ 30,232	$ 29,735
Interest payments on financing lease obligations	83	112
Cash paid for amounts included in the measurement of lease liabilities	30,315	29,847
Non-cash Investing Activities:
Property, equipment, and intangibles purchased in accounts payable	4,888	5,557
Property, equipment, and intangibles purchased with debt	3,278	3,421
Cash Financing Activities:
Borrowings on long-term debt	441,364	258
Payments of long-term debt	(254,736)	(54,912)
Change in long-term debt	186,628	(54,654)
Cash paid for amounts included in the measurement of finance lease liabilities	924	1,164
Non-cash Financing Activities:
Prepaid insurance funded through short-term debt borrowings	2,029	2,570
Shares surrendered for tax obligations for employee share-based transactions in accrued liabilities	46	171
Shares repurchased in accounts payable	1,517	0
Accounts payable converted to installment notes	1,279	69
Other Supplemental Cash Flow Information:
Cash taxes paid, net of refunds	27,544	24,044
Cash interest paid	$ 36,641	$ 35,623