Subsequent Events

6 Months Ended

Jul. 04, 2015

Subsequent Events [Abstract]

Subsequent Events

Subsequent Events

European Commercial Paper Program

On July 31, 2015, Mohawk Capital Luxembourg S.A. (“MCL”), a wholly owned subsidiary of the Company, established a program for the issuance of unsecured commercial paper (the “Notes”) in European capital markets. Under the program, the Company may issue Notes from time to time in an aggregate amount not to exceed €1,000,000 outstanding at any time (or the equivalent amount in alternative currencies). The Notes will have maturities ranging from one day to 183 days and will not be subject to voluntary prepayment or redemption prior to maturity. The Notes will rank pari passu with all of the Company's other unsecured and unsubordinated indebtedness. Payment on the Notes will be fully and unconditionally guaranteed by the Company.

The proceeds from the sale of the Notes will be available to the Company for general corporate purposes. The Company expects to use the initial proceeds from the sale of the Notes to repay euro-denominated borrowings under its 2015 Senior Credit Facility.

The obligations of MCL to repay amounts owing under the Notes and the guarantee of the Notes by the Company will be backstopped by the Company's 2015 Senior Credit Facility. The total amount due and payable under any of the Company's commercial paper programs may not exceed $1,800,000 (or its equivalent in alternative currencies) at any time.