XML 40 R27.htm IDEA: XBRL DOCUMENT v3.21.1
Significant Accounting Principles and Policies (Tables)
 3 Months Ended
Mar. 28, 2021
Accounting Policies [Abstract]  
Impact of Restatement
The impact of the restatement on the condensed consolidated balance sheets, statement of operations, statement of comprehensive income and statement of cash flows for the prior periods included in this Quarterly Report is presented below:



Three Months Ended March 29, 2020
As filedRestatement adjustmentsAs Restated
Revenues$617,253 $— $617,253 
Cost of revenues465,208 — $465,208 
Selling, general and administrative expenses137,326 — 137,326 
Amortization of intangible assets8,047 — 8,047 
Total operating expenses610,581 — 610,581 
Program profit 6,672 — 6,672 
Other operating income, net785 — 785 
Operating income 7,457 — 7,457 
Interest expense, net(20,948)— (20,948)
Other income, net— 30,112 30,112 
Income (loss) before income taxes(13,491)30,112 16,621 
Expense (benefit) from income taxes(8,714)(815)(9,529)
Net income (loss) (4,777)30,927 26,150 
Noncontrolling interest in earnings of ventures166 — 166 
Net income (loss) attributed to PAE Incorporated$(4,943)$30,927 $25,984 
Net income (loss) per share attributed to PAE Incorporated:
   Basic $(0.08)$0.51 $0.43 
   Diluted$(0.08)$0.51 $0.43 
Weighted average shares outstanding:
    Basic59,807,549 59,807,549 59,807,549 
    Diluted59,807,549 59,807,549 59,807,549 
Three Months Ended March 29, 2020
As filedRestatement adjustmentsAs Restated
Net (loss) income $(4,777)$30,927 $26,150 
Other comprehensive income (loss):
Change in foreign currency translation adjustment, net of tax(976)— (976)
Other, net281 — 281 
Other comprehensive loss(695)— (695)
Comprehensive (loss) income(5,472)30,927 25,455 
Comprehensive income attributed to noncontrolling interests498 — 498 
Comprehensive (loss) income attributed to PAE Incorporated$(5,970)$30,927 $24,957 
December 31, 2020
As filedRestatement adjustmentsAs Restated
Assets
Current assets:
Cash and cash equivalents$85,908 $— $85,908 
Accounts receivable, net585,511 — 585,511 
Prepaid expenses and other current assets61,607 — 61,607 
Total current assets733,026 — 733,026 
Property and equipment, net27,615 — 27,615 
Deferred income taxes, net— — — 
Investments18,272 — 18,272 
Goodwill590,668 — 590,668 
Intangible assets, net258,210 — 258,210 
Operating lease right-of-use assets, net191,370 — 191,370 
Other noncurrent assets10,209 — 10,209 
Total assets$1,829,370 $— $1,829,370 
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable$152,962 $— $152,962 
Accrued expenses114,222 — 114,222 
Customer advances and billings in excess of costs106,475 — 106,475 
Salaries, benefits and payroll taxes145,186 — 145,186 
Accrued taxes15,582 — 15,582 
Current portion of long-term debt, net5,961 — 5,961 
Operating lease liabilities, current portion46,756 — 46,756 
Other current liabilities45,037 — 45,037 
Total current liabilities632,181 — 632,181 
— 
Deferred income taxes, net4,389 — 4,389 
Long-term debt, net860,306 — 860,306 
Long-term operating lease liabilities145,569 — 145,569 
Warrant liability— 50,467 50,467 
Other long-term liabilities30,273 — 30,273 
Total liabilities1,672,718 50,467 1,723,185 
Stockholders’ equity:
Preferred stock, $0.0001 par value per share, 1,000,000 shares authorized;
no shares issued and outstanding
— — — 
Common stock, $0.0001 par value per share: 210,000,000 shares authorized; 92,040,654 and 21,127,823 shares issued and outstanding as of December 31, 2020 and December 31, 2019, respectively
9 — 9 
Additional paid-in capital252,612 (63,927)188,685 
Accumulated deficit(130,081)13,460 (116,621)
Accumulated other comprehensive income (loss)1,876 — 1,876 
Total PAE Incorporated stockholders' equity 124,416 (50,467)73,949 
Noncontrolling interests32,236 — 32,236 
Total liabilities and stockholders’ equity$1,829,370 $— $1,829,370 
Three Months Ended March 29, 2020
As filedRestatement adjustmentsAs Restated
Operating activities
Net income (loss)$(4,777)$30,927 $26,150 
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation of property and equipment2,583 — 2,583 
Amortization of intangible assets8,047 — 8,047 
Amortization of debt issuance cost6,063 — 6,063 
Net undistributed (loss) income from unconsolidated ventures(663)— (663)
Deferred income taxes, net(9,081)(815)(9,896)
Change in fair value in warrant liability— (33,599)(33,599)
Other non-cash activities, net270 — 270 
Changes in operating assets and liabilities, net of acquisitions:
Accounts receivable, net20,869 — 20,869 
Accounts payable(2,417)— (2,417)
Accrued expenses(3,779)3,487 (292)
Customer advances and billings in excess of costs18,223 — 18,223 
Salaries, benefits and payroll taxes(21,307)— (21,307)
Inventories, net1,342 — 1,342 
Prepaid expenses and other current assets(2,921)— (2,921)
Other current and noncurrent liabilities(4,545)— (4,545)
Investments750 — 750 
Other noncurrent assets4,729 — 4,729 
Accrued taxes(2,473)— (2,473)
Net cash provided by (used in) operating activities10,913 — 10,913 
Investing activities
Expenditures for property and equipment(404)— (404)
Net cash used in investing activities(404)— (404)
Financing activities
Net contributions from noncontrolling interests150 — 150 
Borrowings on long-term debt60,000 — 60,000 
Repayments on long-term debt(196,544)— (196,544)
Payment of debt issuance costs(964)— (964)
Recapitalization from merger with Gores III605,708 — 605,708 
Payment of underwriting and transaction costs(27,268)— (27,268)
Distribution to selling stockholders(419,548)— (419,548)
Net cash provided by (used in) financing activities21,534 — 21,534 
Effect of exchange rate changes on cash and cash equivalents(288)— (288)
Net increase (decrease) in cash and cash equivalents31,755 — 31,755 
Cash and cash equivalents at beginning of period68,035 — 68,035 
Cash and cash equivalents at end of period$99,790 $— $99,790 
Supplemental cash flow information
Cash paid for interest$10,900 $— $10,900 
Cash paid for taxes$1,523 $— $1,523