STOCKHOLDERS' EQUITY AND NONCONTROLLING INTERESTS

9 Months Ended

Jul. 01, 2016

Equity [Abstract]

STOCKHOLDERS’ EQUITY AND NONCONTROLLING INTERESTS

STOCKHOLDERS’ EQUITY AND NONCONTROLLING INTERESTS

Share Repurchase Program

In November 2015, the VMS Board of Directors authorized the repurchase of 8.0 million shares of VMS common stock through December 31, 2016. Share repurchases under the Company's authorizations may be made in open market purchases, in privately negotiated transactions (including accelerated share repurchase (“ASR”) programs), or under Rule 10b5-1 share repurchase plans, and may be made from time to time in one or more blocks. All shares that were repurchased under the Company's share repurchase programs have been retired.

The Company repurchased shares of VMS common stock under various authorizations during the periods presented as follows:

	Three Months Ended				Nine Months Ended
(In thousands, except per share amounts)	July 1, 2016		July 3, 2015		July 1, 2016		July 3, 2015
Number of shares	1,500		1,000		4,650		3,325
Average repurchase price per share	$	83.68	$	92.39	$	80.48	$	88.30
Total cost	$	125,513	$	92,389	$	374,217	$	293,570

Included in the table above, VMS repurchased common stock under various ASR agreements during the periods presented as follows:

	Three Months Ended				Nine Months Ended
(In thousands, except per share amounts)	July 1, 2016		July 3, 2015		July 1, 2016		July 3, 2015
Number of shares	—		744		519		1,239
Average repurchase price per share	$	—	$	94.10	$	77.81	$	92.84
Total cost	$	—	$	70,000	$	40,400	$	115,000

As of July 1, 2016, 4.8 million shares of VMS common stock remained available for repurchase under the November 2015 authorization.

Subsequent to July 1, 2016, the Company paid $45.4 million, as part of an ASR agreement with J.P. Morgan Chase Bank, N.A. (“J.P. Morgan”), and received approximately 0.5 million shares of VMS common stock.

Other Comprehensive Earnings

The changes in accumulated other comprehensive loss by component and related tax effects are summarized as follows:

(In thousands)	Net Unrealized Gains (Losses) Defined Benefit Pension and Post-Retirement Benefit Plans			Net Unrealized Gains (Losses) Cash Flow Hedging Instruments			Net Unrealized Gains (Losses) Available-for- Sale Securities			Cumulative Translation Adjustment			Accumulated Other Comprehensive Loss
Balance at October 2, 2015	$	(46,070	)	$	—		$	(112	)	$	(40,281	)	$	(86,463	)
Other comprehensive earnings (loss) before reclassifications	—			(917		)	(440		)	906			(451		)
Amounts reclassified out of other comprehensive earnings	1,849			589			604			—			3,042
Tax benefit (expense)	(260		)	122			(52		)	—			(190		)
Balance at July 1, 2016	$	(44,481	)	$	(206	)	$	—		$	(39,375	)	$	(84,062	)

(In thousands)	Net Unrealized Gain (Loss) Defined Benefit Pension and Post-Retirement Benefit Plans			Net Unrealized Gain (Loss) Cash Flow Hedging Instruments			Net Unrealized Gain (Loss) Available-for- Sale Investments			Cumulative Translation Adjustment			Accumulated Other Comprehensive Loss
Balance at September 26, 2014	$	(44,060	)	$	965		$	—		$	(15,516	)	$	(58,611	)
Other comprehensive earnings (loss) before reclassifications	—			2,318			(320		)	(28,348		)	(26,350		)
Amounts reclassified out of other comprehensive earnings	1,623			(3,441		)				—			(1,818		)
Tax benefit (expense)	(226		)	420			102			—			296
Balance at July 3, 2015	$	(42,663	)	$	262		$	(218	)	$	(43,864	)	$	(86,483	)

The amounts reclassified out of other comprehensive earnings into the Condensed Consolidated Statements of Earnings, with line item location, during each period were as follows: 

	Three Months Ended						Nine Months Ended
	July 1,			July 3,			July 1,			July 3,
(In thousands)	2016			2015			2016			2015
Comprehensive Earnings Components	Income (Loss) Before Taxes						Income (Loss) Before Taxes						Line Item in Statements of Earnings
Unrealized loss on defined benefit pension and post-retirement benefit plans	$	(617	)	$	(541	)	$	(1,849	)	$	(1,623	)	Cost of revenues & Operating expenses
Unrealized gain (loss) on cash flow hedging instruments	(668		)	693			(589		)	3,441			Revenues
Unrealized loss on available-for-sale-investments	—			—			(604		)	—			Operating expenses
Total amounts reclassified out of other comprehensive earnings	$	(1,285	)	$	152		$	(3,042	)	$	1,818

Noncontrolling Interests

In April 2015, the Company completed the acquisition of 73.5% of the then outstanding shares of MeVis Medical Solutions AG ("MeVis"), a public company based in Bremen, Germany that provides image processing software and services for cancer screening.

In August 2015, the Company, through one of its German subsidiaries, entered into a domination and profit and loss transfer agreement (the “DPLTA”) with MeVis. In October 2015, the DPLTA became effective upon its registration at the local court of Bremen, Germany. Under the DPLTA, MeVis subordinates its management to the Company and undertakes to transfer all of its annual profits and losses to the Company. In return, the DPLTA grants the noncontrolling shareholders of MeVis: (1) an annual recurring net compensation of €0.95 per MeVis share starting from January 1, 2015 and (2) a put right for their MeVis shares at €19.77 per MeVis share. Upon effectiveness of the DPLTA, the noncontrolling interests in MeVis became redeemable as a result of the put right and were reclassified to temporary equity. As of July 1, 2016, the redemption value of redeemable noncontrolling interests in MeVis was $10.3 million.

During the nine months endedJuly 1, 2016, an immaterial number of MeVis' shares were purchased under the put right. As of July 1, 2016, noncontrolling shareholders together held approximately 480,000 shares of MeVis, representing 26.4% of the outstanding shares.

Changes in noncontrolling interests and redeemable noncontrolling interests relating to MeVis and other subsidiaries of the Company were as follows:

	Nine Months Ended						Nine Months Ended
	July 1, 2016						July 3, 2015
(In thousands)	Noncontrolling Interests			Redeemable Noncontrolling Interests			Noncontrolling Interests		Redeemable Noncontrolling Interests
Balance at beginning of period	$	14,744		$	—		$	—	$	—
Net earnings (loss) attributable to noncontrolling interests	(216		)	334			136		—
Acquisition of Mevis	—			—			10,218
Capital contribution from noncontrolling interest holders	—			—			3,993		—
Reclassification of noncontrolling interests in MeVis to redeemable noncontrolling interests	(10,382		)	10,382			—		—
Other	(499		)	(385		)	21		—
Balance at end of period	$	3,647		$	10,331		$	14,368	$	—