Subsequent Event (Tables)

3 Months Ended

Mar. 28, 2015

Subsequent Event

Schedule of impacts in statement of operations attributable to the product recall

The impacts recorded in our consolidated statement of operations attributable to the recall for the quarter ended March 28, 2015 are summarized as follows (in thousands):

	Increase / (Decrease)
Net revenues	$	—
Cost of revenues (1)	15,260
Gross profit	(15,260		)
Operating expenses:
Selling, general & administrative expenses (2)	233
Impairment of intangible asset (3)	9,277
Operating loss	(24,770		)
Interest expense, net	—
Loss before income taxes	(24,770		)
Income tax benefit	8,882
Net loss	$	(15,888	)

(1) Additional cost of revenues primarily reflects the write-down of approximately $4.9 million of inventory on hand and a provision of approximately $10.4 million for additional costs estimated to be incurred related to the recall, including product expected to be returned from customers and consumers.

(2) Additional selling, general & administrative costs consists of approximately $0.2 million to record additional accounts receivable reserves.

(3) Amount reflects a $9.3 million impairment charge recorded to write-off the carrying value of the Fresh Frozen customer relationships intangible asset.