Discontinued Operations

9 Months Ended

Mar. 30, 2013

Discontinued Operations

Discontinued Operations

Note 18. Discontinued Operations

During the second quarter of fiscal 2013, the Company closed the sale of the Hologram Business, previously within the AOT reportable segment, to OpSec Security Inc. and received gross proceeds of $11.5 million in cash.

In accordance with the applicable accounting guidance for the disposal of long-lived assets, the results of the Hologram Business are presented as discontinued operations and, as such, have been excluded from both continuing operations and segment results for all periods presented.

Net revenue of the Hologram Business for the nine months ended March 30, 2013 was $5.2 million. Net revenue of the Hologram Business for the three and nine months ended March 31, 2012 was $5.9 million and $14.4 million, respectively. Net loss for the nine months ended months ended March 30, 2013 was $1.0 million. Net loss for the three and nine months ended March 31, 2012 was $1.2 million and $5.9 million, respectively. There was no tax effect associated with the discontinued operation for any periods presented.

During the nine months ended March 30, 2013, the Company recorded a gain of $0.6 million as a component of Loss from discontinued operations, net of tax on the Consolidated Statement of Operations in connection with the sale of the Hologram Business, calculated as follows (in millions):

Gross Proceeds	$	11.5
Less: carrying value of net assets	(10.6		)
Less: selling costs	(0.3		)
Gain	$	0.6

The carrying value of the net assets sold as of October 12, 2012 are as follows (in millions):

	October 12,
	2012
Accounts receivable, net	$	2.7
Inventories, net	4.4
Property, plant and equipment, net	0.8
Intangibles, net	5.8
Accounts payable and accrued expenses	(1.5		)
Other current and non-current liabilities	(1.6		)
Total net assets held for sale	$	10.6