Massachusetts
|
|
04-2882273
|
(State or other jurisdiction of
incorporation or organization)
|
|
(I.R.S. Employer
Identification No.)
|
|
|
|
400 Wood Road,
Braintree, Massachusetts 02184-9114
(Address of principal executive offices)
|
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(781) 848-7100
(Registrant’s telephone number)
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(Title of Each Class)
|
|
(Name of Exchange on Which Registered)
|
Common stock, $.01 par value per share
|
|
New York Stock Exchange
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Page
Number
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Item 1.
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||
Item 1A.
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Item 1B.
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Item 2.
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||
Item 3.
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Item 4.
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Item 5.
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Item 6.
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Item 7.
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Item 7A.
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Item 8.
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Item 9.
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Item 9A.
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Item 9B.
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Item 10.
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Item 11.
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Item 12.
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Item 13.
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Item 14.
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Item 15.
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•
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Plasma
|
•
|
Blood Center
|
•
|
We market the MCS
®
brand apheresis equipment which is designed to collect specific blood components from the donor. Utilizing the MCS automated platelet collection protocols, blood centers collect one or more therapeutic “doses” of platelets during a single donation.
|
•
|
Our portfolio of disposable whole blood collection and component storage sets offer flexibility in collecting a unit of whole blood and the subsequent production and storage of blood components, including options for in-line or dockable filters for leukoreduction.
|
•
|
Our SafeTrace Tx
®
and El-Dorado Donor
®
donation and blood unit management systems span blood center operations and automate and track operations from the recruitment of the blood donor to the disposition of the blood product.
|
•
|
Our Hemasphere
®
software solution provides support for more efficient blood drive planning and Donor Doc
®
and e-Donor
®
software help to improve donor recruitment and retention.
|
•
|
Hospital
|
•
|
Japan
|
•
|
EMEA
|
•
|
North America Plasma
|
•
|
All Other
|
(In thousands)
|
March 31,
2018 |
|
April 1,
2017 |
|
April 2,
2016 |
||||||
Japan
|
$
|
99,237
|
|
|
$
|
91,346
|
|
|
$
|
129,551
|
|
EMEA
|
278,581
|
|
|
259,863
|
|
|
249,504
|
|
|||
North America Plasma
|
342,028
|
|
|
313,934
|
|
|
453,212
|
|
|||
All Other
|
517,493
|
|
|
573,566
|
|
|
486,861
|
|
|||
Total assets
|
$
|
1,237,339
|
|
|
$
|
1,238,709
|
|
|
$
|
1,319,128
|
|
•
|
Plasma
|
•
|
Blood Center
|
•
|
Hospital
|
•
|
FDA's Quality System Regulation, which requires manufacturers, including third party manufacturers, to follow quality assurance procedures during all aspects of the manufacturing process;
|
•
|
Labeling regulations including unique device identification;
|
•
|
Clearance of a 510(k) for certain product modifications;
|
•
|
Medical device reporting, or MDR, regulations, which require that manufacturers report to the FDA if their device may have caused or contributed to a death or serious injury or malfunctioned in a way that would likely cause or contribute to a death or serious injury if the malfunction were to recur;
|
•
|
Medical device correction and removal (recall) reporting regulations; and
|
•
|
An order of repair, replacement or refund.
|
•
|
strengthen the rules on placing devices on the market and reinforce surveillance once they are available;
|
•
|
establish explicit provisions on manufacturers’ responsibilities;
|
•
|
improve the traceability of medical devices;
|
•
|
set up a central database to provide comprehensive information on products available in the EU; and
|
•
|
strengthen rules for the assessment of certain high-risk devices before they are placed on the market.
|
|
First
Quarter |
|
Second
Quarter |
|
Third
Quarter |
|
Fourth
Quarter |
||||||||
Fiscal year ended March 31, 2018:
|
|
|
|
|
|
|
|
|
|
|
|
||||
Market price of Common Stock:
|
|
|
|
|
|
|
|
|
|
|
|
||||
High
|
$
|
43.62
|
|
|
$
|
44.97
|
|
|
$
|
58.99
|
|
|
$
|
75.45
|
|
Low
|
$
|
38.54
|
|
|
$
|
38.47
|
|
|
$
|
44.61
|
|
|
$
|
60.51
|
|
Fiscal year ended April 1, 2017:
|
|
|
|
|
|
|
|
|
|
|
|
||||
Market price of Common Stock:
|
|
|
|
|
|
|
|
|
|
|
|
||||
High
|
$
|
35.67
|
|
|
$
|
38.06
|
|
|
$
|
41.41
|
|
|
$
|
41.65
|
|
Low
|
$
|
25.98
|
|
|
$
|
29.08
|
|
|
$
|
32.76
|
|
|
$
|
36.44
|
|
|
Total
Number of Shares Purchased |
|
Average Price Paid per Share
(1)
|
|
Total Number of Shares Purchased as Part of Publicly Announced Program
|
|
Approximate Dollar Value of Shares that May Yet Be Purchased Under the Program
|
||||||
December 31, 2017 - January 27, 2018
|
—
|
|
|
$
|
|
—
|
|
|
$
|
—
|
|
||
January 28, 2018 - February 24, 2018
|
1,161,608
|
|
|
$
|
68.87
|
|
|
1,161,608
|
|
|
$
|
160,000,000
|
|
February 25, 2018 - March 31, 2018
|
—
|
|
|
$
|
—
|
|
|
—
|
|
|
$
|
—
|
|
(1)
This amount reflects the price per share based on the initial delivery of approximately 1.2 million shares under the ASR. Upon settlement of the ASR, including the delivery of approximately 0.2 million shares during the first quarter of fiscal 2019, the average price per share was $73.36
|
(In thousands, except per share and employee data)
|
2018
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
||||||||||
Summary of Operations:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net revenues
|
$
|
903,923
|
|
|
$
|
886,116
|
|
|
$
|
908,832
|
|
|
$
|
910,373
|
|
|
$
|
938,509
|
|
Cost of goods sold
|
492,015
|
|
|
507,622
|
|
|
502,918
|
|
|
475,955
|
|
|
470,144
|
|
|||||
Gross profit
|
411,908
|
|
|
378,494
|
|
|
405,914
|
|
|
434,418
|
|
|
468,365
|
|
|||||
Operating expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Research and development
|
39,228
|
|
|
37,556
|
|
|
44,965
|
|
|
54,187
|
|
|
54,200
|
|
|||||
Selling, general and administrative
|
316,523
|
|
|
301,726
|
|
|
317,223
|
|
|
337,168
|
|
|
365,977
|
|
|||||
Impairment of assets
|
—
|
|
|
58,593
|
|
|
92,395
|
|
|
5,441
|
|
|
1,711
|
|
|||||
Contingent consideration (income) expense
|
—
|
|
|
—
|
|
|
(4,727
|
)
|
|
(2,918
|
)
|
|
45
|
|
|||||
Total operating expenses
|
355,751
|
|
|
397,875
|
|
|
449,856
|
|
|
393,878
|
|
|
421,933
|
|
|||||
Operating income (loss)
|
56,157
|
|
|
(19,381
|
)
|
|
(43,942
|
)
|
|
40,540
|
|
|
46,432
|
|
|||||
Gain on divestiture
|
8,000
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Interest and other expense, net
|
(4,525
|
)
|
|
(8,095
|
)
|
|
(9,474
|
)
|
|
(9,375
|
)
|
|
(10,031
|
)
|
|||||
Income (loss) before provision (benefit) for income taxes
|
59,632
|
|
|
(27,476
|
)
|
|
(53,416
|
)
|
|
31,165
|
|
|
36,401
|
|
|||||
Provision (benefit) for income taxes
|
14,060
|
|
|
(1,208
|
)
|
|
2,163
|
|
|
14,268
|
|
|
1,253
|
|
|||||
Net income (loss)
|
$
|
45,572
|
|
|
$
|
(26,268
|
)
|
|
$
|
(55,579
|
)
|
|
$
|
16,897
|
|
|
$
|
35,148
|
|
Income (loss) per share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Basic
|
$
|
0.86
|
|
|
$
|
(0.51
|
)
|
|
$
|
(1.09
|
)
|
|
$
|
0.33
|
|
|
$
|
0.68
|
|
Diluted
|
$
|
0.85
|
|
|
$
|
(0.51
|
)
|
|
$
|
(1.09
|
)
|
|
$
|
0.32
|
|
|
$
|
0.67
|
|
Weighted average number of shares
|
52,755
|
|
|
51,524
|
|
|
50,910
|
|
|
51,533
|
|
|
51,611
|
|
|||||
Common stock equivalent shares
|
746
|
|
|
—
|
|
|
—
|
|
|
556
|
|
|
766
|
|
|||||
Weighted average number of shares and common stock equivalent shares
|
53,501
|
|
|
51,524
|
|
|
50,910
|
|
|
52,089
|
|
|
52,377
|
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
||||||||||
Financial and Statistical Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Working capital
|
$
|
136,474
|
|
|
$
|
298,850
|
|
|
$
|
302,535
|
|
|
$
|
368,985
|
|
|
$
|
391,944
|
|
Current ratio
|
1.4
|
|
|
2.4
|
|
|
2.6
|
|
|
3.0
|
|
|
2.8
|
|
|||||
Property, plant and equipment, net
|
$
|
332,156
|
|
|
$
|
323,862
|
|
|
$
|
337,634
|
|
|
$
|
321,948
|
|
|
$
|
271,437
|
|
Capital expenditures
|
$
|
74,799
|
|
|
$
|
76,135
|
|
|
$
|
102,405
|
|
|
$
|
122,220
|
|
|
$
|
73,648
|
|
Depreciation and amortization
|
$
|
89,247
|
|
|
$
|
89,733
|
|
|
$
|
89,911
|
|
|
$
|
86,053
|
|
|
$
|
81,740
|
|
Total assets
|
$
|
1,237,339
|
|
|
$
|
1,238,709
|
|
|
$
|
1,319,128
|
|
|
$
|
1,485,417
|
|
|
$
|
1,514,178
|
|
Total debt
|
$
|
253,682
|
|
|
$
|
314,647
|
|
|
$
|
408,000
|
|
|
$
|
427,891
|
|
|
$
|
437,687
|
|
Stockholders’ equity
|
$
|
752,429
|
|
|
$
|
739,610
|
|
|
$
|
721,565
|
|
|
$
|
826,122
|
|
|
$
|
837,888
|
|
Debt as a % of stockholders’ equity
|
33.7
|
%
|
|
42.5
|
%
|
|
56.5
|
%
|
|
51.8
|
%
|
|
52.2
|
%
|
|||||
Employees
|
3,136
|
|
|
3,107
|
|
|
3,225
|
|
|
3,383
|
|
|
3,782
|
|
•
|
Biopharmaceutical companies are seeking more yield from the collected plasma to meet growing demand for biopharmaceuticals without requiring an equivalent increase in plasma supply.
|
•
|
Newly approved indications for, and the growing understanding and thus diagnosis of auto-immune diseases treated with plasma-derived therapies increase the demand for plasma, as do longer lifespans and a growing aging patient population.
|
•
|
Geographical expansion of biopharmaceuticals also increases demand for plasma.
|
▪
|
Declining transfusion rates in mature markets due to the development of more minimally invasive procedures with lower associated blood loss, as well as better blood management.
|
▪
|
Competition in multi-unit collection technology for automated blood component collection systems has intensified and has negatively impact our sales in markets where these collections are prevalent.
|
▪
|
Industry consolidation through group purchasing organizations has intensified pricing competition particularly in the manual whole blood collection systems, as well as impacting our software business where switching large customers to new or emerging technology platforms has a relatively high cost.
|
|
Fiscal Year
|
|
|
|
|
||||||||||||
(In thousands, except per share data)
|
2018
|
|
2017
|
|
2016
|
|
% Increase/(Decrease)
18 vs. 17 |
|
% Increase/(Decrease)
17 vs. 16 |
||||||||
Net revenues
|
$
|
903,923
|
|
|
$
|
886,116
|
|
|
$
|
908,832
|
|
|
2.0
|
%
|
|
(2.5
|
)%
|
Gross profit
|
$
|
411,908
|
|
|
$
|
378,494
|
|
|
$
|
405,914
|
|
|
8.8
|
%
|
|
(6.8
|
)%
|
% of net revenues
|
45.6
|
%
|
|
42.7
|
%
|
|
44.7
|
%
|
|
|
|
|
|
|
|||
Operating expenses
|
$
|
355,751
|
|
|
$
|
397,875
|
|
|
$
|
449,856
|
|
|
(10.6
|
)%
|
|
(11.6
|
)%
|
Operating income (loss)
|
$
|
56,157
|
|
|
$
|
(19,381
|
)
|
|
$
|
(43,942
|
)
|
|
n/m
|
|
|
(55.9
|
)%
|
% of net revenues
|
6.2
|
%
|
|
(2.2
|
)%
|
|
(4.8
|
)%
|
|
|
|
|
|
|
|||
Gain on divestiture
|
$
|
8,000
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
100.0
|
%
|
|
—
|
%
|
Interest and other expense, net
|
$
|
(4,525
|
)
|
|
$
|
(8,095
|
)
|
|
$
|
(9,474
|
)
|
|
(44.1
|
)%
|
|
(14.6
|
)%
|
Income (loss) before taxes
|
$
|
59,632
|
|
|
$
|
(27,476
|
)
|
|
$
|
(53,416
|
)
|
|
n/m
|
|
|
(48.6
|
)%
|
Tax expense (benefit)
|
$
|
14,060
|
|
|
$
|
(1,208
|
)
|
|
$
|
2,163
|
|
|
n/m
|
|
|
n/m
|
|
% of pre-tax income
|
23.6
|
%
|
|
4.4
|
%
|
|
(4.0
|
)%
|
|
|
|
|
|
|
|||
Net income (loss)
|
$
|
45,572
|
|
|
$
|
(26,268
|
)
|
|
$
|
(55,579
|
)
|
|
n/m
|
|
|
(52.7
|
)%
|
% of net revenues
|
5.0
|
%
|
|
(3.0
|
)%
|
|
(6.1
|
)%
|
|
|
|
|
|
||||
Net income (loss) per share - basic
|
$
|
0.86
|
|
|
$
|
(0.51
|
)
|
|
$
|
(1.09
|
)
|
|
n/m
|
|
|
(53.2
|
)%
|
Net income (loss) per share - diluted
|
$
|
0.85
|
|
|
$
|
(0.51
|
)
|
|
$
|
(1.09
|
)
|
|
n/m
|
|
|
(53.2
|
)%
|
|
Fiscal Year
|
|
Fiscal 2018 versus 2017
|
|
Fiscal 2017 versus 2016
|
||||||||||||||||||||||||
(Dollars in thousands)
|
2018
|
|
2017
|
|
2016
|
|
Reported Growth
|
|
Currency impact
|
|
Constant currency growth
(1)
|
|
Reported Growth
|
|
Currency impact
|
|
Constant currency growth
(1)
|
||||||||||||
United States
|
$
|
548,731
|
|
|
$
|
522,686
|
|
|
$
|
519,440
|
|
|
5.0
|
%
|
|
—
|
%
|
|
5.0
|
%
|
|
0.6
|
%
|
|
—
|
%
|
|
0.6
|
%
|
International
|
355,192
|
|
|
363,430
|
|
|
389,392
|
|
|
(2.3
|
)%
|
|
2.0
|
%
|
|
(4.3
|
)%
|
|
(6.7
|
)%
|
|
(3.1
|
)%
|
|
(3.6
|
)%
|
|||
Net revenues
|
$
|
903,923
|
|
|
$
|
886,116
|
|
|
$
|
908,832
|
|
|
2.0
|
%
|
|
0.9
|
%
|
|
1.1
|
%
|
|
(2.5
|
)%
|
|
(1.3
|
)%
|
|
(1.2
|
)%
|
(1)
Constant currency growth, a non-GAAP financial measure, measures the change in sales between the current and prior year periods using a constant currency. See
"Management's Use of Non-GAAP Measures."
|
|
|
Fiscal Year
|
|
Fiscal 2018 versus 2017
|
|
Fiscal 2017 versus 2016
|
||||||||||||||||||
(Dollars in thousands)
|
|
2018
|
|
2017
|
|
2016
|
|
Reported Growth
|
|
Currency impact
|
|
Constant currency growth
(1)
|
|
Reported Growth
|
|
Currency impact
|
|
Constant currency growth
(1)
|
||||||
Plasma
|
|
$
|
435,956
|
|
|
$
|
410,727
|
|
|
$
|
381,776
|
|
|
6.1%
|
|
0.6%
|
|
5.5%
|
|
7.6%
|
|
(1.0)%
|
|
8.6%
|
Blood Center
|
|
284,902
|
|
|
303,890
|
|
|
355,108
|
|
|
(6.2)%
|
|
1.3%
|
|
(7.5)%
|
|
(14.4)%
|
|
(0.9)%
|
|
(13.5)%
|
|||
Cell Processing
|
|
107,562
|
|
|
105,376
|
|
|
112,483
|
|
|
2.1%
|
|
1.6%
|
|
0.5%
|
|
(6.3)%
|
|
(2.5)%
|
|
(3.8)%
|
|||
Hemostasis Management
|
|
75,503
|
|
|
66,123
|
|
|
59,465
|
|
|
14.2%
|
|
0.6%
|
|
13.6%
|
|
11.2%
|
|
(2.6)%
|
|
13.8%
|
|||
Net revenues
|
|
$
|
903,923
|
|
|
$
|
886,116
|
|
|
$
|
908,832
|
|
|
2.0%
|
|
0.9%
|
|
1.1%
|
|
(2.5)%
|
|
(1.3)%
|
|
(1.2)%
|
(1)
Constant currency growth, a non-GAAP financial measure, measures the change in sales between the current and prior year periods using a constant currency. See
"Management's Use of Non-GAAP Measures."
|
|
Fiscal Year
|
|
|
|
|
||||||||||||
(Dollars in thousands)
|
2018
|
|
2017
|
|
2016
|
|
% Increase/(Decrease)
18 vs. 17 |
|
Increase/(Decrease)
17 vs. 16 |
||||||||
Gross profit
|
$
|
411,908
|
|
|
$
|
378,494
|
|
|
$
|
405,914
|
|
|
8.8
|
%
|
|
(6.8
|
)%
|
% of net revenues
|
45.6
|
%
|
|
42.7
|
%
|
|
44.7
|
%
|
|
|
|
|
|
|
|
Fiscal Year
|
|
|
|
|
||||||||||||
(In thousands)
|
2018
|
|
2017
|
|
2016
|
|
% Increase/(Decrease)
18 vs. 17 |
|
Increase/(Decrease)
17 vs. 16 |
||||||||
Research and development
|
$
|
39,228
|
|
|
$
|
37,556
|
|
|
$
|
44,965
|
|
|
4.5
|
%
|
|
(16.5
|
)%
|
% of net revenues
|
4.3
|
%
|
|
4.2
|
%
|
|
4.9
|
%
|
|
|
|
|
|
|
|||
Selling, general and administrative
|
$
|
316,523
|
|
|
$
|
301,726
|
|
|
$
|
317,223
|
|
|
4.9
|
%
|
|
(4.9
|
)%
|
% of net revenues
|
35.0
|
%
|
|
34.1
|
%
|
|
34.9
|
%
|
|
|
|
|
|
|
|||
Impairment of assets
|
$
|
—
|
|
|
$
|
58,593
|
|
|
$
|
92,395
|
|
|
(100.0
|
)%
|
|
(36.6
|
)%
|
% of net revenues
|
—
|
%
|
|
6.6
|
%
|
|
10.2
|
%
|
|
|
|
|
|||||
Contingent consideration income
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
(4,727
|
)
|
|
—
|
%
|
|
(100.0
|
)%
|
% of net revenues
|
—
|
%
|
|
—
|
%
|
|
(0.5
|
)%
|
|
|
|
|
|||||
Total operating expenses
|
$
|
355,751
|
|
|
$
|
397,875
|
|
|
$
|
449,856
|
|
|
(10.6
|
)%
|
|
(11.6
|
)%
|
% of net revenues
|
39.4
|
%
|
|
44.9
|
%
|
|
49.5
|
%
|
|
|
|
|
|
|
|
Fiscal Year
|
|
|
|
|
|||||||||
|
2018
|
|
2017
|
|
2016
|
|
% Increase/(Decrease)
18 vs. 17 |
|
Increase/(Decrease)
17 vs. 16 |
|||||
Reported income tax rate
|
23.6
|
%
|
|
4.4
|
%
|
|
(4.0
|
)%
|
|
19.2
|
%
|
|
8.4
|
%
|
|
Fiscal Year
|
|
|
|
|
||||||||||||||
(In thousands)
|
2018
|
|
2017
|
|
2016
|
|
% Increase/(Decrease)
18 vs. 17 |
|
Increase/(Decrease)
17 vs. 16 |
||||||||||
Net cash provided by (used in):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Operating activities
|
$
|
220,350
|
|
|
$
|
159,738
|
|
|
$
|
121,865
|
|
|
$
|
60,612
|
|
|
$
|
37,873
|
|
Investing activities
|
(63,041
|
)
|
|
(73,313
|
)
|
|
(104,768
|
)
|
|
(10,272
|
)
|
|
(31,455
|
)
|
|||||
Financing activities
|
(120,643
|
)
|
|
(60,413
|
)
|
|
(62,624
|
)
|
|
60,230
|
|
|
(2,211
|
)
|
|||||
Effect of exchange rate changes on cash and cash equivalents
(1)
|
3,939
|
|
|
(1,571
|
)
|
|
(12
|
)
|
|
5,510
|
|
|
(1,559
|
)
|
|||||
Net increase (decrease) in cash and cash equivalents
|
$
|
40,605
|
|
|
$
|
24,441
|
|
|
$
|
(45,539
|
)
|
|
|
|
|
||||
(1)
The balance sheet is affected by spot exchange rates used to translate local currency amounts into U.S. dollars. In accordance with U.S. GAAP, we have eliminated the effect of foreign currency throughout our cash flow statement, except for its effect on our cash and cash equivalents.
|
|
Payments Due by Period
|
||||||||||||||||||
(In thousands)
|
Total
|
|
Less than 1 year
|
|
1-3 years
|
|
3-5 years
|
|
More than 5 years
|
||||||||||
Debt
|
$
|
253,682
|
|
|
$
|
194,259
|
|
|
$
|
59,402
|
|
|
$
|
21
|
|
|
$
|
—
|
|
Operating leases
|
20,283
|
|
|
3,905
|
|
|
6,245
|
|
|
4,937
|
|
|
5,196
|
|
|||||
Purchase commitments
(1)
|
130,914
|
|
|
130,914
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Expected retirement plan benefit payments
|
14,876
|
|
|
2,770
|
|
|
2,715
|
|
|
2,970
|
|
|
6,421
|
|
|||||
Total contractual obligations
|
$
|
419,755
|
|
|
$
|
331,848
|
|
|
$
|
68,362
|
|
|
$
|
7,928
|
|
|
$
|
11,617
|
|
(1)
Includes amounts we are committed to spend on purchase orders entered in the normal course of business for capital equipment and for the purpose of manufacturing our products including contract manufacturers, specifically JMS Co. Ltd., Kawasumi Laboratories and Sanmina Corporation for the manufacture of certain disposable products and equipment. The majority of our operating expense spending does not require any advance commitment.
|
|
Year Ended
|
||||||||||
|
March 31,
2018 |
|
April 1,
2017 |
|
April 2,
2016 |
||||||
|
|
|
|
|
|
||||||
Net revenues
|
$
|
903,923
|
|
|
$
|
886,116
|
|
|
$
|
908,832
|
|
Cost of goods sold
|
492,015
|
|
|
507,622
|
|
|
502,918
|
|
|||
Gross profit
|
411,908
|
|
|
378,494
|
|
|
405,914
|
|
|||
Operating expenses:
|
|
|
|
|
|
|
|
|
|||
Research and development
|
39,228
|
|
|
37,556
|
|
|
44,965
|
|
|||
Selling, general and administrative
|
316,523
|
|
|
301,726
|
|
|
317,223
|
|
|||
Impairment of assets
|
—
|
|
|
58,593
|
|
|
92,395
|
|
|||
Contingent consideration income
|
—
|
|
|
—
|
|
|
(4,727
|
)
|
|||
Total operating expenses
|
355,751
|
|
|
397,875
|
|
|
449,856
|
|
|||
Operating income (loss)
|
56,157
|
|
|
(19,381
|
)
|
|
(43,942
|
)
|
|||
Gain on divestiture
|
8,000
|
|
|
—
|
|
|
—
|
|
|||
Interest and other expense, net
|
(4,525
|
)
|
|
(8,095
|
)
|
|
(9,474
|
)
|
|||
Income (loss) before provision (benefit) for income taxes
|
59,632
|
|
|
(27,476
|
)
|
|
(53,416
|
)
|
|||
Provision (benefit) for income taxes
|
14,060
|
|
|
(1,208
|
)
|
|
2,163
|
|
|||
Net income (loss)
|
$
|
45,572
|
|
|
$
|
(26,268
|
)
|
|
$
|
(55,579
|
)
|
|
|
|
|
|
|
|
|
|
|||
Net income (loss) per share - basic
|
$
|
0.86
|
|
|
$
|
(0.51
|
)
|
|
$
|
(1.09
|
)
|
Net income (loss) per share - diluted
|
$
|
0.85
|
|
|
$
|
(0.51
|
)
|
|
$
|
(1.09
|
)
|
|
|
|
|
|
|
||||||
Weighted average shares outstanding
|
|
|
|
|
|
|
|
|
|||
Basic
|
52,755
|
|
|
51,524
|
|
|
50,910
|
|
|||
Diluted
|
53,501
|
|
|
51,524
|
|
|
50,910
|
|
|
Year Ended
|
||||||||||
|
March 31,
2018 |
|
April 1,
2017 |
|
April 2,
2016 |
||||||
|
|
|
|
|
|
||||||
Net income (loss)
|
$
|
45,572
|
|
|
$
|
(26,268
|
)
|
|
$
|
(55,579
|
)
|
|
|
|
|
|
|
||||||
Other comprehensive income (loss):
|
|
|
|
|
|
||||||
Impact of defined benefit plans, net of tax
|
1,949
|
|
|
5,220
|
|
|
1,431
|
|
|||
Foreign currency translation adjustment
|
13,430
|
|
|
(7,336
|
)
|
|
(1,987
|
)
|
|||
Unrealized loss on cash flow hedges, net of tax
|
(2,796
|
)
|
|
(364
|
)
|
|
(3,938
|
)
|
|||
Reclassifications into earnings of cash flow hedge losses (gains), net of tax
|
1,299
|
|
|
4,647
|
|
|
(8,822
|
)
|
|||
Other comprehensive income (loss)
|
13,882
|
|
|
2,167
|
|
|
(13,316
|
)
|
|||
Comprehensive income (loss)
|
$
|
59,454
|
|
|
$
|
(24,101
|
)
|
|
$
|
(68,895
|
)
|
|
March 31,
2018 |
|
April 1,
2017 |
||||
|
|||||||
ASSETS
|
|
|
|
||||
Current assets:
|
|
|
|
|
|
||
Cash and cash equivalents
|
$
|
180,169
|
|
|
$
|
139,564
|
|
Accounts receivable, less allowance of $2,111 at March 31, 2018 and $2,184 at April 1, 2017
|
151,226
|
|
|
152,683
|
|
||
Inventories, net
|
160,799
|
|
|
176,929
|
|
||
Prepaid expenses and other current assets
|
28,983
|
|
|
40,853
|
|
||
Total current assets
|
521,177
|
|
|
510,029
|
|
||
Property, plant and equipment, net
|
332,156
|
|
|
323,862
|
|
||
Intangible assets, less accumulated amortization of $249,278 at March 31, 2018 and $215,772 at April 1, 2017
|
156,589
|
|
|
177,540
|
|
||
Goodwill
|
211,395
|
|
|
210,841
|
|
||
Deferred tax asset
|
3,961
|
|
|
3,988
|
|
||
Other long-term assets
|
12,061
|
|
|
12,449
|
|
||
Total assets
|
$
|
1,237,339
|
|
|
$
|
1,238,709
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
|
|
|
||||
Current liabilities:
|
|
|
|
|
|
||
Notes payable and current maturities of long-term debt
|
$
|
194,259
|
|
|
$
|
61,022
|
|
Accounts payable
|
55,265
|
|
|
42,973
|
|
||
Accrued payroll and related costs
|
69,519
|
|
|
43,534
|
|
||
Other current liabilities
|
65,660
|
|
|
63,650
|
|
||
Total current liabilities
|
384,703
|
|
|
211,179
|
|
||
Long-term debt, net of current maturities
|
59,423
|
|
|
253,625
|
|
||
Deferred tax liability
|
6,526
|
|
|
12,114
|
|
||
Other long-term liabilities
|
34,258
|
|
|
22,181
|
|
||
Stockholders’ equity:
|
|
|
|
|
|
||
Common stock, $0.01 par value; Authorized — 150,000,000 shares; Issued and outstanding — 52,342,965 shares at March 31, 2018 and 52,255,495 shares at April 1, 2017
|
523
|
|
|
523
|
|
||
Additional paid-in capital
|
503,955
|
|
|
482,044
|
|
||
Retained earnings
|
266,942
|
|
|
289,916
|
|
||
Accumulated other comprehensive loss
|
(18,991
|
)
|
|
(32,873
|
)
|
||
Total stockholders’ equity
|
752,429
|
|
|
739,610
|
|
||
Total liabilities and stockholders’ equity
|
$
|
1,237,339
|
|
|
$
|
1,238,709
|
|
|
Common Stock
|
|
Additional
Paid-in Capital
|
|
Retained Earnings
|
|
Accumulated
Other
Comprehensive Income/(Loss)
|
|
Total
Stockholders’ Equity
|
|||||||||||||
|
Shares
|
|
Par Value
|
|
|
|
|
|||||||||||||||
Balance, March 28, 2015
|
51,671
|
|
|
$
|
517
|
|
|
$
|
426,964
|
|
|
$
|
420,365
|
|
|
$
|
(21,724
|
)
|
|
$
|
826,122
|
|
Employee stock purchase plan
|
145
|
|
|
1
|
|
|
4,340
|
|
|
—
|
|
|
—
|
|
|
4,341
|
|
|||||
Exercise of stock options
|
492
|
|
|
6
|
|
|
14,026
|
|
|
—
|
|
|
—
|
|
|
14,032
|
|
|||||
Shares repurchased
|
(1,488
|
)
|
|
(15
|
)
|
|
(12,367
|
)
|
|
(48,602
|
)
|
|
—
|
|
|
(60,984
|
)
|
|||||
Issuance of restricted stock, net of cancellations
|
112
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Stock-based compensation expense
|
—
|
|
|
—
|
|
|
6,949
|
|
|
—
|
|
|
—
|
|
|
6,949
|
|
|||||
Net loss
|
—
|
|
|
—
|
|
|
—
|
|
|
(55,579
|
)
|
|
—
|
|
|
(55,579
|
)
|
|||||
Other comprehensive loss
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(13,316
|
)
|
|
(13,316
|
)
|
|||||
Balance, April 2, 2016
|
50,932
|
|
|
$
|
509
|
|
|
$
|
439,912
|
|
|
$
|
316,184
|
|
|
$
|
(35,040
|
)
|
|
$
|
721,565
|
|
Employee stock purchase plan
|
141
|
|
|
2
|
|
|
3,557
|
|
|
—
|
|
|
—
|
|
|
3,559
|
|
|||||
Exercise of stock options
|
1,048
|
|
|
12
|
|
|
29,425
|
|
|
—
|
|
|
—
|
|
|
29,437
|
|
|||||
Issuance of restricted stock, net of cancellations
|
134
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Stock-based compensation expense
|
—
|
|
|
—
|
|
|
9,150
|
|
|
—
|
|
|
—
|
|
|
9,150
|
|
|||||
Net loss
|
—
|
|
|
—
|
|
|
—
|
|
|
(26,268
|
)
|
|
—
|
|
|
(26,268
|
)
|
|||||
Other comprehensive income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,167
|
|
|
2,167
|
|
|||||
Balance, April 1, 2017
|
52,255
|
|
|
$
|
523
|
|
|
$
|
482,044
|
|
|
$
|
289,916
|
|
|
$
|
(32,873
|
)
|
|
$
|
739,610
|
|
Employee stock purchase plan
|
102
|
|
|
1
|
|
|
3,245
|
|
|
—
|
|
|
—
|
|
|
3,246
|
|
|||||
Exercise of stock options
|
1,014
|
|
|
11
|
|
|
37,083
|
|
|
—
|
|
|
—
|
|
|
37,094
|
|
|||||
Shares repurchased
|
(1,162
|
)
|
|
(12
|
)
|
|
(31,442
|
)
|
|
(68,546
|
)
|
|
—
|
|
|
(100,000
|
)
|
|||||
Issuance of restricted stock, net of cancellations
|
134
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Stock-based compensation expense
|
—
|
|
|
—
|
|
|
13,025
|
|
|
—
|
|
|
—
|
|
|
13,025
|
|
|||||
Net income
|
—
|
|
|
—
|
|
|
—
|
|
|
45,572
|
|
|
—
|
|
|
45,572
|
|
|||||
Other comprehensive income
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
13,882
|
|
|
13,882
|
|
|||||
Balance, March 31, 2018
|
52,343
|
|
|
$
|
523
|
|
|
$
|
503,955
|
|
|
$
|
266,942
|
|
|
$
|
(18,991
|
)
|
|
$
|
752,429
|
|
|
Year Ended
|
||||||||||
|
March 31,
2018 |
|
April 1,
2017 |
|
April 2,
2016 |
||||||
Cash Flows from Operating Activities:
|
|
|
|
|
|
|
|
|
|||
Net income (loss)
|
$
|
45,572
|
|
|
$
|
(26,268
|
)
|
|
$
|
(55,579
|
)
|
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
|
|
|
|
|
|
|
|
|
|||
Non-cash items:
|
|
|
|
|
|
|
|
|
|||
Depreciation and amortization
|
89,247
|
|
|
89,733
|
|
|
89,911
|
|
|||
Impairment of assets
|
2,673
|
|
|
75,348
|
|
|
101,243
|
|
|||
Stock-based compensation expense
|
13,025
|
|
|
9,150
|
|
|
6,949
|
|
|||
Gain on divestiture
|
(8,000
|
)
|
|
—
|
|
|
—
|
|
|||
Deferred tax benefit
|
(5,828
|
)
|
|
(6,800
|
)
|
|
(1,038
|
)
|
|||
Unrealized (gain) loss from hedging activities
|
(649
|
)
|
|
517
|
|
|
(2,645
|
)
|
|||
Changes in fair value of contingent consideration
|
—
|
|
|
—
|
|
|
(4,727
|
)
|
|||
Provision for losses on accounts receivable and inventory
|
2,639
|
|
|
11,381
|
|
|
13,053
|
|
|||
Other non-cash operating activities
|
1,692
|
|
|
860
|
|
|
899
|
|
|||
Change in operating assets and liabilities:
|
|
|
|
|
|
|
|
|
|||
Change in accounts receivable
|
5,087
|
|
|
3,155
|
|
|
(10,328
|
)
|
|||
Change in inventories
|
14,385
|
|
|
(1,552
|
)
|
|
11,896
|
|
|||
Change in prepaid income taxes
|
1,436
|
|
|
1,395
|
|
|
(651
|
)
|
|||
Change in other assets and other liabilities
|
17,670
|
|
|
(18,253
|
)
|
|
3,121
|
|
|||
Change in accounts payable and accrued expenses
|
41,401
|
|
|
21,072
|
|
|
(30,239
|
)
|
|||
Net cash provided by operating activities
|
220,350
|
|
|
159,738
|
|
|
121,865
|
|
|||
Cash Flows from Investing Activities:
|
|
|
|
|
|
|
|
|
|||
Capital expenditures
|
(74,799
|
)
|
|
(76,135
|
)
|
|
(102,405
|
)
|
|||
Proceeds from divestiture
|
9,000
|
|
|
—
|
|
|
—
|
|
|||
Proceeds from sale of property, plant and equipment
|
2,758
|
|
|
2,822
|
|
|
637
|
|
|||
Other acquisitions and investments
|
—
|
|
|
—
|
|
|
(3,000
|
)
|
|||
Net cash used in investing activities
|
(63,041
|
)
|
|
(73,313
|
)
|
|
(104,768
|
)
|
|||
Cash Flows from Financing Activities:
|
|
|
|
|
|
|
|
|
|||
Repayment of term loan borrowings
|
(61,654
|
)
|
|
(42,683
|
)
|
|
(21,342
|
)
|
|||
Net increase (decrease) in short-term loans
|
671
|
|
|
(50,727
|
)
|
|
2,272
|
|
|||
Proceeds from employee stock purchase plan
|
3,246
|
|
|
3,560
|
|
|
4,341
|
|
|||
Proceeds from exercise of stock options
|
37,094
|
|
|
29,437
|
|
|
14,032
|
|
|||
Share repurchases
|
(100,000
|
)
|
|
—
|
|
|
(60,984
|
)
|
|||
Other financing activities
|
—
|
|
|
—
|
|
|
(943
|
)
|
|||
Net cash used in financing activities
|
(120,643
|
)
|
|
(60,413
|
)
|
|
(62,624
|
)
|
|||
Effect of exchange rates on cash and cash equivalents
|
3,939
|
|
|
(1,571
|
)
|
|
(12
|
)
|
|||
Net Change in Cash and Cash Equivalents
|
40,605
|
|
|
24,441
|
|
|
(45,539
|
)
|
|||
Cash and Cash Equivalents at Beginning of Year
|
139,564
|
|
|
115,123
|
|
|
160,662
|
|
|||
Cash and Cash Equivalents at End of Year
|
$
|
180,169
|
|
|
$
|
139,564
|
|
|
$
|
115,123
|
|
Supplemental Disclosures of Cash Flow Information:
|
|
|
|
|
|
|
|
|
|||
Interest paid
|
$
|
7,663
|
|
|
$
|
7,850
|
|
|
$
|
8,511
|
|
Income taxes paid
|
$
|
9,083
|
|
|
$
|
6,957
|
|
|
$
|
7,829
|
|
Transfers from inventory to fixed assets for placement of Haemonetics equipment
|
$
|
8,963
|
|
|
$
|
6,255
|
|
|
$
|
9,663
|
|
Asset Classification
|
|
Estimated
Useful Lives
|
Building
|
|
30-40 Years
|
Building improvements
|
|
5-20 Years
|
Plant equipment and machinery
|
|
3-15 Years
|
Office equipment and information technology
|
|
3-10 Years
|
Haemonetics equipment
|
|
3-7 Years
|
•
|
Purchase and consumption of a certain level of disposable products
|
•
|
Payment of monthly rental fees
|
•
|
An asset utilization performance metric, such as performing a minimum level of procedures per month per device
|
(In thousands)
|
March 31,
2018 |
|
April 1,
2017 |
||||
VAT liabilities
|
$
|
2,932
|
|
|
$
|
4,051
|
|
Forward contracts
|
1,583
|
|
|
966
|
|
||
Deferred revenue
|
25,814
|
|
|
26,485
|
|
||
Accrued taxes
|
5,340
|
|
|
4,407
|
|
||
All other
|
29,991
|
|
|
27,741
|
|
||
Total
|
$
|
65,660
|
|
|
$
|
63,650
|
|
(In thousands)
|
March 31,
2018 |
|
April 1,
2017 |
||||
Unfunded pension liability
|
14,045
|
|
|
14,060
|
|
||
Unrecognized tax benefit
|
2,850
|
|
|
1,627
|
|
||
Transition tax liability
|
7,837
|
|
|
—
|
|
||
All other
|
9,526
|
|
|
6,494
|
|
||
Total
|
$
|
34,258
|
|
|
$
|
22,181
|
|
(In thousands)
|
2018 Program
|
|
2017 and Prior Programs
|
|
Total
|
||||||
Balance at March 28, 2015
|
$
|
—
|
|
|
$
|
16,612
|
|
|
$
|
16,612
|
|
Costs incurred, net of reversals
|
—
|
|
|
23,055
|
|
|
23,055
|
|
|||
Payments
|
—
|
|
|
(26,413
|
)
|
|
(26,413
|
)
|
|||
Non-cash adjustments
|
—
|
|
|
(4,502
|
)
|
|
(4,502
|
)
|
|||
Balance at April 2, 2016
|
$
|
—
|
|
|
$
|
8,752
|
|
|
$
|
8,752
|
|
Costs incurred, net of reversals
|
—
|
|
|
21,833
|
|
|
21,833
|
|
|||
Payments
|
—
|
|
|
(22,317
|
)
|
|
(22,317
|
)
|
|||
Non-cash adjustments
|
—
|
|
|
(800
|
)
|
|
(800
|
)
|
|||
Balance at April 1, 2017
|
$
|
—
|
|
|
$
|
7,468
|
|
|
$
|
7,468
|
|
Costs incurred, net of reversals
|
29,694
|
|
|
835
|
|
|
30,529
|
|
|||
Payments
|
(1,363
|
)
|
|
(6,897
|
)
|
|
(8,260
|
)
|
|||
Non-cash adjustments
|
(1,202
|
)
|
|
—
|
|
|
(1,202
|
)
|
|||
Balance at March 31, 2018
|
$
|
27,129
|
|
|
$
|
1,406
|
|
|
$
|
28,535
|
|
Restructuring costs
|
|
|
|
|
|
||||||
(In thousands)
|
2018
|
|
2017
|
|
2016
|
||||||
Japan
|
$
|
514
|
|
|
$
|
819
|
|
|
$
|
9
|
|
EMEA
|
1,496
|
|
|
4,272
|
|
|
3,210
|
|
|||
North America Plasma
|
565
|
|
|
366
|
|
|
—
|
|
|||
All Other
|
27,954
|
|
|
16,376
|
|
|
19,836
|
|
|||
Total
|
$
|
30,529
|
|
|
$
|
21,833
|
|
|
$
|
23,055
|
|
|
|
|
|
|
|
||||||
Turnaround costs
|
|
|
|
|
|
||||||
(In thousands)
|
2018
|
|
2017
|
|
2016
|
||||||
Japan
|
$
|
—
|
|
|
$
|
2
|
|
|
$
|
416
|
|
EMEA
|
(107
|
)
|
|
94
|
|
|
961
|
|
|||
North America Plasma
|
976
|
|
|
972
|
|
|
—
|
|
|||
All Other
|
12,727
|
|
|
11,415
|
|
|
17,852
|
|
|||
Total
|
$
|
13,596
|
|
|
$
|
12,483
|
|
|
$
|
19,229
|
|
|
|
|
|
|
|
||||||
Total restructuring and turnaround
|
$
|
44,125
|
|
|
$
|
34,316
|
|
|
$
|
42,284
|
|
(In thousands)
|
2018
|
|
2017
|
|
2016
|
||||||
Domestic
|
$
|
3,534
|
|
|
$
|
(44,724
|
)
|
|
$
|
(18,526
|
)
|
Foreign
|
56,098
|
|
|
17,248
|
|
|
(34,890
|
)
|
|||
Total
|
$
|
59,632
|
|
|
$
|
(27,476
|
)
|
|
$
|
(53,416
|
)
|
(In thousands)
|
2018
|
|
2017
|
|
2016
|
||||||
Current
|
|
|
|
|
|
|
|
|
|||
Federal
|
$
|
9,927
|
|
|
$
|
(1,424
|
)
|
|
$
|
12
|
|
State
|
1,024
|
|
|
436
|
|
|
(660
|
)
|
|||
Foreign
|
8,937
|
|
|
6,580
|
|
|
3,842
|
|
|||
Total current
|
$
|
19,888
|
|
|
$
|
5,592
|
|
|
$
|
3,194
|
|
Deferred
|
|
|
|
|
|
|
|
|
|||
Federal
|
(5,350
|
)
|
|
(8,711
|
)
|
|
3,532
|
|
|||
State
|
344
|
|
|
(953
|
)
|
|
319
|
|
|||
Foreign
|
(822
|
)
|
|
2,864
|
|
|
(4,882
|
)
|
|||
Total deferred
|
$
|
(5,828
|
)
|
|
$
|
(6,800
|
)
|
|
$
|
(1,031
|
)
|
Total
|
$
|
14,060
|
|
|
$
|
(1,208
|
)
|
|
$
|
2,163
|
|
(In thousands)
|
March 31,
2018 |
|
April 1,
2017 |
||||
Deferred tax assets:
|
|
|
|
||||
Depreciation
|
$
|
1,345
|
|
|
$
|
934
|
|
Amortization of intangibles
|
964
|
|
|
1,150
|
|
||
Inventory
|
3,183
|
|
|
7,419
|
|
||
Accruals, reserves and other deferred tax assets
|
16,939
|
|
|
13,907
|
|
||
Net operating loss carry-forward
|
10,810
|
|
|
11,742
|
|
||
Stock based compensation
|
3,292
|
|
|
6,014
|
|
||
Tax credit carry-forward, net
|
3,479
|
|
|
17,852
|
|
||
Gross deferred tax assets
|
40,012
|
|
|
59,018
|
|
||
Less valuation allowance
|
(11,090
|
)
|
|
(25,872
|
)
|
||
Total deferred tax assets (after valuation allowance)
|
28,922
|
|
|
33,146
|
|
||
Deferred tax liabilities:
|
|
|
|
||||
Depreciation
|
(17,732
|
)
|
|
(30,422
|
)
|
||
Amortization of goodwill and intangibles
|
(11,942
|
)
|
|
(7,732
|
)
|
||
Unremitted earnings
|
(274
|
)
|
|
(1,065
|
)
|
||
Other deferred tax liabilities
|
(1,539
|
)
|
|
(2,053
|
)
|
||
Total deferred tax liabilities
|
(31,487
|
)
|
|
(41,272
|
)
|
||
Net deferred tax liabilities
|
$
|
(2,565
|
)
|
|
$
|
(8,126
|
)
|
(In thousands)
|
2018
|
|
2017
|
|
2016
|
|||||||||||||||
Tax at federal statutory rate
|
$
|
18,807
|
|
|
31.5
|
%
|
|
$
|
(9,616
|
)
|
|
35.0
|
%
|
|
$
|
(18,695
|
)
|
|
35.0
|
%
|
Difference between U.S. and foreign tax
|
(9,264
|
)
|
|
(15.5
|
)%
|
|
137
|
|
|
(0.5
|
)%
|
|
10,645
|
|
|
(19.9
|
)%
|
|||
State income taxes net of federal benefit
|
29
|
|
|
—
|
%
|
|
(495
|
)
|
|
1.8
|
%
|
|
134
|
|
|
(0.3
|
)%
|
|||
Change in uncertain tax positions
|
1,095
|
|
|
1.8
|
%
|
|
862
|
|
|
(3.1
|
)%
|
|
(1,820
|
)
|
|
3.4
|
%
|
|||
Unremitted earnings
|
(791
|
)
|
|
(1.3
|
)%
|
|
330
|
|
|
(1.2
|
)%
|
|
735
|
|
|
(1.4
|
)%
|
|||
Deferred statutory rate changes
|
(3,193
|
)
|
|
(5.4
|
)%
|
|
(383
|
)
|
|
1.4
|
%
|
|
(2,653
|
)
|
|
5.0
|
%
|
|||
Non-deductible goodwill impairment
|
—
|
|
|
—
|
%
|
|
3,703
|
|
|
(13.5
|
)%
|
|
2,861
|
|
|
(5.4
|
)%
|
|||
Non-deductible expenses
|
243
|
|
|
0.4
|
%
|
|
896
|
|
|
(3.2
|
)%
|
|
1,491
|
|
|
(2.8
|
)%
|
|||
Stock compensation benefits
|
(2,544
|
)
|
|
(4.3
|
)%
|
|
—
|
|
|
—
|
%
|
|
—
|
|
|
—
|
%
|
|||
Research credits
|
(763
|
)
|
|
(1.3
|
)%
|
|
(561
|
)
|
|
2.0
|
%
|
|
(672
|
)
|
|
1.3
|
%
|
|||
One-time transition tax from tax reform
|
25,798
|
|
|
43.3
|
%
|
|
—
|
|
|
—
|
%
|
|
—
|
|
|
—
|
%
|
|||
Tax amortization of goodwill
|
—
|
|
|
—
|
%
|
|
(10,564
|
)
|
|
38.4
|
%
|
|
4,185
|
|
|
(7.8
|
)%
|
|||
Valuation allowance
|
(15,541
|
)
|
|
(25.9
|
)%
|
|
13,505
|
|
|
(49.2
|
)%
|
|
5,194
|
|
|
(9.7
|
)%
|
|||
Other, net
|
184
|
|
|
0.3
|
%
|
|
978
|
|
|
(3.5
|
)%
|
|
758
|
|
|
(1.4
|
)%
|
|||
Income tax (benefit) provision
|
$
|
14,060
|
|
|
23.6
|
%
|
|
$
|
(1,208
|
)
|
|
4.4
|
%
|
|
$
|
2,163
|
|
|
(4.0
|
)%
|
(In thousands)
|
March 31,
2018 |
|
April 1,
2017 |
|
April 2,
2016 |
||||||
Beginning Balance
|
$
|
3,370
|
|
|
$
|
2,523
|
|
|
$
|
7,070
|
|
Additions for tax positions of current year
|
289
|
|
|
—
|
|
|
—
|
|
|||
Additions for tax positions of prior years
|
1,203
|
|
|
1,279
|
|
|
340
|
|
|||
Reductions of tax positions
|
(252
|
)
|
|
(29
|
)
|
|
(4,158
|
)
|
|||
Settlements with taxing authorities
|
—
|
|
|
—
|
|
|
—
|
|
|||
Closure of statute of limitations
|
(160
|
)
|
|
(403
|
)
|
|
(729
|
)
|
|||
Ending Balance
|
$
|
4,450
|
|
|
$
|
3,370
|
|
|
$
|
2,523
|
|
(In thousands, except per share amounts)
|
2018
|
|
2017
|
|
2016
|
||||||
Basic EPS
|
|
|
|
|
|
|
|
|
|||
Net income (loss)
|
$
|
45,572
|
|
|
$
|
(26,268
|
)
|
|
$
|
(55,579
|
)
|
Weighted average shares
|
52,755
|
|
|
51,524
|
|
|
50,910
|
|
|||
Basic income(loss) per share
|
$
|
0.86
|
|
|
$
|
(0.51
|
)
|
|
$
|
(1.09
|
)
|
Diluted EPS
|
|
|
|
|
|
|
|
|
|||
Net income (loss)
|
$
|
45,572
|
|
|
$
|
(26,268
|
)
|
|
$
|
(55,579
|
)
|
Basic weighted average shares
|
52,755
|
|
|
51,524
|
|
|
50,910
|
|
|||
Net effect of common stock equivalents
|
746
|
|
|
—
|
|
|
—
|
|
|||
Diluted weighted average shares
|
53,501
|
|
|
51,524
|
|
|
50,910
|
|
|||
Diluted income (loss) per share
|
$
|
0.85
|
|
|
$
|
(0.51
|
)
|
|
$
|
(1.09
|
)
|
(In thousands)
|
March 31,
2018 |
|
April 1,
2017 |
||||
Raw materials
|
$
|
46,450
|
|
|
$
|
52,052
|
|
Work-in-process
|
10,774
|
|
|
10,400
|
|
||
Finished goods
|
103,575
|
|
|
114,477
|
|
||
Total Inventories
|
$
|
160,799
|
|
|
$
|
176,929
|
|
(In thousands)
|
|
March 31, 2018
|
|
April 1, 2017
|
||||
Land
|
|
$
|
7,450
|
|
|
$
|
7,389
|
|
Building and building improvements
|
|
114,646
|
|
|
109,933
|
|
||
Plant equipment and machinery
|
|
291,537
|
|
|
253,693
|
|
||
Office equipment and information technology
|
|
134,412
|
|
|
129,753
|
|
||
Haemonetics equipment
|
|
325,401
|
|
|
306,714
|
|
||
Total
|
|
873,446
|
|
|
807,482
|
|
||
Less: accumulated depreciation and amortization
|
|
(541,290
|
)
|
|
(483,620
|
)
|
||
Property, plant and equipment, net
|
|
$
|
332,156
|
|
|
$
|
323,862
|
|
(In thousands)
|
Japan
|
|
EMEA
|
|
North America Plasma
|
|
All Other
|
|
Total
|
||||||||||
Carrying amount as of April 2, 2016
|
$
|
24,883
|
|
|
$
|
—
|
|
|
$
|
26,415
|
|
|
$
|
216,542
|
|
|
$
|
267,840
|
|
Impairment charge
|
—
|
|
|
—
|
|
|
—
|
|
|
(56,989
|
)
|
|
(56,989
|
)
|
|||||
Transfer of goodwill between segments
|
—
|
|
|
20,545
|
|
|
—
|
|
|
(20,545
|
)
|
|
—
|
|
|||||
Currency translation
|
(3
|
)
|
|
(2
|
)
|
|
—
|
|
|
(5
|
)
|
|
(10
|
)
|
|||||
Carrying amount as of April 1, 2017
|
$
|
24,880
|
|
|
$
|
20,543
|
|
|
$
|
26,415
|
|
|
$
|
139,003
|
|
|
$
|
210,841
|
|
Currency translation
|
162
|
|
|
134
|
|
|
—
|
|
|
258
|
|
|
554
|
|
|||||
Carrying amount as of March 31, 2018
|
$
|
25,042
|
|
|
$
|
20,677
|
|
|
$
|
26,415
|
|
|
$
|
139,261
|
|
|
$
|
211,395
|
|
(In thousands)
|
Gross Carrying
Amount
|
|
Accumulated
Amortization
|
|
Net
|
||||||
As of March 31, 2018
|
|
|
|
|
|
|
|
||||
Amortizable:
|
|
|
|
|
|
||||||
Patents
|
$
|
9,301
|
|
|
$
|
8,262
|
|
|
$
|
1,039
|
|
Capitalized software
|
54,095
|
|
|
27,117
|
|
|
26,978
|
|
|||
Other developed technology
|
117,959
|
|
|
80,622
|
|
|
37,337
|
|
|||
Customer contracts and related relationships
|
197,266
|
|
|
127,338
|
|
|
69,928
|
|
|||
Trade names
|
7,178
|
|
|
5,939
|
|
|
1,239
|
|
|||
Total
|
$
|
385,799
|
|
|
$
|
249,278
|
|
|
$
|
136,521
|
|
Non-amortizable:
|
|
|
|
|
|
||||||
In-process software development
|
$
|
17,717
|
|
|
|
|
|
||||
In-process patents
|
2,351
|
|
|
|
|
|
|||||
Total
|
$
|
20,068
|
|
|
|
|
|
(In thousands)
|
Gross Carrying
Amount
|
|
Accumulated
Amortization
|
|
Net
|
||||||
As of April 1, 2017
|
|
|
|
|
|
|
|
||||
Amortizable:
|
|
|
|
|
|
||||||
Patents
|
$
|
9,183
|
|
|
$
|
8,043
|
|
|
$
|
1,140
|
|
Capitalized software
|
49,948
|
|
|
21,563
|
|
|
28,385
|
|
|||
Other developed technology
|
117,712
|
|
|
72,594
|
|
|
45,118
|
|
|||
Customer contracts and related relationships
|
194,876
|
|
|
108,073
|
|
|
86,803
|
|
|||
Trade names
|
7,017
|
|
|
5,499
|
|
|
1,518
|
|
|||
Total
|
$
|
378,736
|
|
|
$
|
215,772
|
|
|
$
|
162,964
|
|
Non-amortizable:
|
|
|
|
|
|
||||||
In-process software development
|
$
|
12,743
|
|
|
|
|
|
||||
In-process patents
|
1,833
|
|
|
|
|
|
|||||
Total
|
$
|
14,576
|
|
|
|
|
|
Derivative Instruments
|
|
Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Loss
|
|
Amount of Gain Reclassified from Accumulated Other Comprehensive Loss into Earnings
|
|
Location in Consolidated Statements of Income (Loss) and Comprehensive Income (Loss)
|
|
Amount of Gain Excluded from
Effectiveness
Testing (*)
|
|
Location in Consolidated Statements of Income (Loss) and Comprehensive Income (Loss)
|
||||||
(In thousands)
|
|
|
|
|
|
|
|
|
|
|
||||||
Designated foreign currency hedge contracts, net of tax
|
|
$
|
(2,732
|
)
|
|
$
|
(1,299
|
)
|
|
Net revenues, COGS and SG&A
|
|
$
|
1,118
|
|
|
Other expense, net
|
Non-designated foreign currency hedge contracts
|
|
—
|
|
|
—
|
|
|
|
|
$
|
(1,488
|
)
|
|
Other expense, net
|
||
Designated interest rate swaps, net of tax
|
|
$
|
(64
|
)
|
|
$
|
—
|
|
|
Other expense, net
|
|
$
|
—
|
|
|
|
(*)
We exclude the difference between the spot rate and hedge forward rate from our effectiveness testing.
|
(In thousands)
|
Location in
Balance Sheet
|
|
March 31, 2018
|
|
April 1, 2017
|
||||
Derivative Assets:
|
|
|
|
|
|
|
|
||
Designated foreign currency hedge contracts
|
Other current assets
|
|
$
|
780
|
|
|
$
|
1,645
|
|
Non-designated foreign currency hedge contracts
|
Other current assets
|
|
324
|
|
|
218
|
|
||
Designated interest rate swaps
|
Other current assets
|
|
—
|
|
|
64
|
|
||
|
|
|
$
|
1,104
|
|
|
$
|
1,927
|
|
Derivative Liabilities:
|
|
|
|
|
|
|
|
||
Designated foreign currency hedge contracts
|
Other current liabilities
|
|
$
|
1,445
|
|
|
$
|
894
|
|
Non-designated foreign currency hedge contracts
|
Other current liabilities
|
|
$
|
138
|
|
|
$
|
72
|
|
|
|
|
$
|
1,583
|
|
|
$
|
966
|
|
•
|
Level 1 — Inputs to the valuation methodology are quoted market prices for identical assets or liabilities.
|
•
|
Level 2 — Inputs to the valuation methodology are other observable inputs, including quoted market prices for similar assets or liabilities and market-corroborated inputs.
|
•
|
Level 3 — Inputs to the valuation methodology are unobservable inputs based on management’s best estimate of inputs market participants would use in pricing the asset or liability at the measurement date, including assumptions about risk.
|
As of March 31, 2018
|
Level 1
|
|
Level 2
|
|
Total
|
||||||
(In thousands)
|
|
|
|
|
|
||||||
Assets
|
|
|
|
|
|
|
|
|
|||
Money market funds
|
$
|
75,450
|
|
|
$
|
—
|
|
|
$
|
75,450
|
|
Designated foreign currency hedge contracts
|
—
|
|
|
780
|
|
|
780
|
|
|||
Non-designated foreign currency hedge contracts
|
—
|
|
|
324
|
|
|
324
|
|
|||
|
$
|
75,450
|
|
|
$
|
1,104
|
|
|
$
|
76,554
|
|
Liabilities
|
|
|
|
|
|
|
|
|
|||
Designated foreign currency hedge contracts
|
$
|
—
|
|
|
$
|
1,445
|
|
|
$
|
1,445
|
|
Non-designated foreign currency hedge contracts
|
—
|
|
|
138
|
|
|
138
|
|
|||
|
$
|
—
|
|
|
$
|
1,583
|
|
|
$
|
1,583
|
|
As of April 1, 2017
|
Level 1
|
|
Level 2
|
|
Total
|
||||||
(In thousands)
|
|
|
|
|
|
||||||
Assets
|
|
|
|
|
|
|
|
|
|||
Money market funds
|
$
|
80,676
|
|
|
$
|
—
|
|
|
$
|
80,676
|
|
Designated foreign currency hedge contracts
|
—
|
|
|
1,645
|
|
|
1,645
|
|
|||
Non-designated foreign currency hedge contracts
|
—
|
|
|
218
|
|
|
218
|
|
|||
Designated interest rate swaps
|
—
|
|
|
64
|
|
|
64
|
|
|||
|
$
|
80,676
|
|
|
$
|
1,927
|
|
|
$
|
82,603
|
|
Liabilities
|
|
|
|
|
|
|
|
|
|||
Designated foreign currency hedge contracts
|
$
|
—
|
|
|
$
|
894
|
|
|
$
|
894
|
|
Non-designated foreign currency hedge contracts
|
—
|
|
|
72
|
|
|
72
|
|
|||
|
$
|
—
|
|
|
$
|
966
|
|
|
$
|
966
|
|
(In thousands)
|
March 31, 2018
|
|
April 1, 2017
|
||||
Term loan, net of financing fees
|
$
|
253,305
|
|
|
$
|
314,218
|
|
Bank loans and other borrowings
|
377
|
|
|
429
|
|
||
Less current portion
|
(194,259
|
)
|
|
(61,022
|
)
|
||
Long-term debt
|
$
|
59,423
|
|
|
$
|
253,625
|
|
Fiscal year
(In thousands)
|
|
||
2019
|
$
|
194,617
|
|
2020
|
59,412
|
|
|
2021
|
55
|
|
|
2022
|
14
|
|
|
2023
|
5
|
|
|
Thereafter
|
2
|
|
(In thousands)
|
March 31,
2018 |
|
April 1,
2017 |
||||
Warranty accrual as of the beginning of the year
|
$
|
176
|
|
|
$
|
420
|
|
Warranty provision
|
1,082
|
|
|
400
|
|
||
Warranty spending
|
(942
|
)
|
|
(644
|
)
|
||
Warranty accrual as of the end of the year
|
$
|
316
|
|
|
$
|
176
|
|
(In thousands)
|
2018
|
|
2017
|
|
2016
|
||||||
Service cost
|
$
|
2,651
|
|
|
$
|
3,404
|
|
|
$
|
3,560
|
|
Interest cost on benefit obligation
|
293
|
|
|
287
|
|
|
371
|
|
|||
Expected return on plan assets
|
(215
|
)
|
|
(308
|
)
|
|
(330
|
)
|
|||
Actuarial loss
|
186
|
|
|
532
|
|
|
598
|
|
|||
Amortization of unrecognized prior service cost
|
(121
|
)
|
|
(119
|
)
|
|
(38
|
)
|
|||
Amortization of unrecognized transition obligation
|
—
|
|
|
37
|
|
|
42
|
|
|||
Plan settlements and curtailments
|
(445
|
)
|
|
289
|
|
|
—
|
|
|||
Totals
|
$
|
2,349
|
|
|
$
|
4,122
|
|
|
$
|
4,203
|
|
Balance, March 28, 2015
|
$
|
(8,923
|
)
|
Obligation at transition
|
33
|
|
|
Actuarial loss
|
681
|
|
|
Prior service cost
|
717
|
|
|
Balance as of April 2, 2016
|
$
|
(7,492
|
)
|
Obligation at transition
|
32
|
|
|
Actuarial loss
|
5,126
|
|
|
Prior service cost
|
62
|
|
|
Balance as of April 1, 2017
|
$
|
(2,272
|
)
|
Actuarial loss
|
1,922
|
|
|
Prior service cost
|
(125
|
)
|
|
Plan settlements and curtailments
|
152
|
|
|
Balance as of March 31, 2018
|
$
|
(323
|
)
|
(In thousands)
|
|
|
|
Fiscal 2019
|
$
|
2,770
|
|
Fiscal 2020
|
1,351
|
|
|
Fiscal 2021
|
1,364
|
|
|
Fiscal 2022
|
1,529
|
|
|
Fiscal 2023
|
1,441
|
|
|
Fiscal 2024-2027
|
6,421
|
|
|
|
$
|
14,876
|
|
Fiscal Year
|
|
|
|
(In thousands)
|
|
||
2019
|
$
|
3,905
|
|
2020
|
3,230
|
|
|
2021
|
3,015
|
|
|
2022
|
2,599
|
|
|
2023
|
2,338
|
|
|
Thereafter
|
5,196
|
|
|
|
$
|
20,283
|
|
(In thousands)
|
2018
|
|
2017
|
|
2016
|
|||
Selling, general and administrative expenses
|
$9,960
|
|
$6,894
|
|
$5,183
|
|||
Research and development
|
2,114
|
|
|
1,549
|
|
|
1,060
|
|
Cost of goods sold
|
951
|
|
|
707
|
|
|
706
|
|
|
$13,025
|
|
$9,150
|
|
$6,949
|
|
Options
Outstanding
(shares)
|
|
Weighted
Average
Exercise Price
per Share
|
|
Weighted
Average
Remaining
Life (years)
|
|
Aggregate
Intrinsic
Value
($000’s)
|
|||||
Outstanding at April 1, 2017
|
2,038,795
|
|
|
$
|
35.51
|
|
|
3.88
|
|
$
|
10,963
|
|
Granted
|
368,507
|
|
|
41.96
|
|
|
|
|
|
|
||
Exercised
|
(1,027,727
|
)
|
|
36.64
|
|
|
|
|
|
|
||
Forfeited/Canceled
|
(182,137
|
)
|
|
34.51
|
|
|
|
|
|
|
||
Outstanding at March 31, 2018
|
1,197,438
|
|
|
$
|
36.68
|
|
|
4.71
|
|
$
|
43,685
|
|
|
|
|
|
|
|
|
|
|||||
Exercisable at March 31, 2018
|
429,084
|
|
|
$
|
36.24
|
|
|
2.92
|
|
$
|
15,843
|
|
|
|
|
|
|
|
|
|
|||||
Vested or expected to vest at March 31, 2018
|
1,066,789
|
|
|
$
|
36.55
|
|
|
4.57
|
|
$
|
39,051
|
|
|
2018
|
|
2017
|
|
2016
|
||||||
Volatility
|
24.2
|
%
|
|
24.0
|
%
|
|
22.8
|
%
|
|||
Expected life (years)
|
4.8
|
|
|
4.9
|
|
|
4.9
|
|
|||
Risk-free interest rate
|
1.7
|
%
|
|
1.2
|
%
|
|
1.4
|
%
|
|||
Dividend yield
|
0.0
|
%
|
|
0.0
|
%
|
|
0.0
|
%
|
|||
Fair value per option
|
$
|
10.25
|
|
|
$
|
7.61
|
|
|
$
|
7.40
|
|
|
Shares
|
|
Weighted
Average
Grant Date Fair Value
|
|||
Unvested at April 1, 2017
|
341,641
|
|
|
$
|
33.16
|
|
Granted
|
269,905
|
|
|
41.87
|
|
|
Vested
|
(133,906
|
)
|
|
33.03
|
|
|
Forfeited
|
(59,926
|
)
|
|
34.58
|
|
|
Unvested at March 31, 2018
|
417,714
|
|
|
$
|
38.95
|
|
|
2018
|
|
2017
|
|
2016
|
||||||
Grant-date fair value per RSU
|
$
|
41.87
|
|
|
$
|
32.61
|
|
|
$
|
33.19
|
|
Fair value of RSUs vested
|
$
|
33.03
|
|
|
$
|
34.98
|
|
|
$
|
36.07
|
|
|
Shares
|
|
Weighted
Average
Grant Date Fair Value
|
|||
Unvested at April 1, 2017
|
284,625
|
|
|
$
|
33.66
|
|
Granted
|
179,616
|
|
|
46.49
|
|
|
Vested
|
(13,212
|
)
|
|
35.09
|
|
|
Forfeited
|
(62,922
|
)
|
|
33.16
|
|
|
Unvested at March 31, 2018
|
388,107
|
|
|
$
|
39.63
|
|
|
2018
|
|
2017
|
|
2016
|
|||
Expected stock price volatility
|
26.11
|
%
|
|
26.39
|
%
|
|
22.27
|
%
|
Peer group stock price volatility
|
34.13
|
%
|
|
33.86
|
%
|
|
31.95
|
%
|
Correlation of returns
|
49.51
|
%
|
|
51.17
|
%
|
|
26.27
|
%
|
|
2018
|
|
2017
|
|
2016
|
|||
Volatility
|
22.6
|
%
|
|
31.3
|
%
|
|
21.1
|
%
|
Expected life (months)
|
6
|
|
|
6
|
|
|
6
|
|
Risk-free interest rate
|
1.2
|
%
|
|
0.5
|
%
|
|
0.2
|
%
|
Dividend Yield
|
0.0
|
%
|
|
0.0
|
%
|
|
0.0
|
%
|
•
|
Japan
|
•
|
EMEA
|
•
|
North America Plasma
|
•
|
All Other
|
(In thousands)
|
2018
|
|
2017
|
|
2016
|
||||||
Net revenues
|
|
|
|
|
|
||||||
Japan
|
$
|
68,172
|
|
|
$
|
74,695
|
|
|
$
|
84,270
|
|
EMEA
|
183,301
|
|
|
198,396
|
|
|
204,192
|
|
|||
North America Plasma
|
333,831
|
|
|
309,718
|
|
|
279,803
|
|
|||
All Other
|
324,013
|
|
|
316,771
|
|
|
342,249
|
|
|||
Net revenues before foreign exchange impact
|
909,317
|
|
|
899,580
|
|
|
910,515
|
|
|||
Effect of exchange rates
|
(5,394
|
)
|
|
(13,464
|
)
|
|
(1,683
|
)
|
|||
Net revenues
|
$
|
903,923
|
|
|
$
|
886,116
|
|
|
$
|
908,832
|
|
(In thousands)
|
2018
|
|
2017
|
|
2016
|
||||||
Segment operating income
|
|
|
|
|
|
||||||
Japan
|
$
|
37,243
|
|
|
$
|
39,892
|
|
|
$
|
43,619
|
|
EMEA
|
62,696
|
|
|
65,689
|
|
|
63,665
|
|
|||
North America Plasma
|
119,003
|
|
|
98,254
|
|
|
109,220
|
|
|||
All Other
|
128,945
|
|
|
127,834
|
|
|
127,493
|
|
|||
Segment operating income
|
347,887
|
|
|
331,669
|
|
|
343,997
|
|
|||
Corporate operating expenses
|
(220,699
|
)
|
|
(211,481
|
)
|
|
(227,839
|
)
|
|||
Effect of exchange rates
|
4,059
|
|
|
(4,772
|
)
|
|
3,546
|
|
|||
Restructuring and turnaround costs
|
(44,125
|
)
|
|
(34,337
|
)
|
|
(42,185
|
)
|
|||
Deal amortization
|
(26,013
|
)
|
|
(27,107
|
)
|
|
(28,958
|
)
|
|||
Impairment of assets
|
(1,941
|
)
|
|
(73,353
|
)
|
|
(97,230
|
)
|
|||
Legal charges
(1)
|
(3,011
|
)
|
|
—
|
|
|
—
|
|
|||
Contingent consideration income
|
—
|
|
|
—
|
|
|
4,727
|
|
|||
Operating income (loss)
|
$
|
56,157
|
|
|
$
|
(19,381
|
)
|
|
$
|
(43,942
|
)
|
(1)
Reflects net impact of settlement charges associated with the fiscal 2017 voluntary whole blood collection kits recall.
|
(In thousands)
|
2018
|
|
2017
|
|
2016
|
||||||
Depreciation and amortization
|
|
|
|
|
|
||||||
Japan
|
$
|
486
|
|
|
$
|
827
|
|
|
$
|
774
|
|
EMEA
|
4,464
|
|
|
4,255
|
|
|
5,146
|
|
|||
North America Plasma
|
16,060
|
|
|
13,022
|
|
|
12,944
|
|
|||
All Other
|
68,237
|
|
|
71,629
|
|
|
71,047
|
|
|||
Total depreciation and amortization (excluding impairment charges)
|
$
|
89,247
|
|
|
$
|
89,733
|
|
|
$
|
89,911
|
|
(In thousands)
|
March 31,
2018 |
|
April 1,
2017 |
|
April 2,
2016 |
||||||
Long-lived assets
(2)
|
|
|
|
|
|
||||||
Japan
|
$
|
26,640
|
|
|
$
|
21,412
|
|
|
$
|
33,159
|
|
EMEA
|
74,783
|
|
|
63,854
|
|
|
63,861
|
|
|||
North America Plasma
|
91,815
|
|
|
142,164
|
|
|
116,001
|
|
|||
All Other
|
138,918
|
|
|
96,432
|
|
|
124,613
|
|
|||
Total long-lived assets
|
$
|
332,156
|
|
|
$
|
323,862
|
|
|
$
|
337,634
|
|
(2)
Long-lived assets are comprised of property, plant and equipment.
|
(Dollars in thousands)
|
2018
|
|
2017
|
|
2016
|
||||||
Net Revenues
|
|
|
|
|
|
||||||
United States
|
$
|
548,731
|
|
|
$
|
522,686
|
|
|
$
|
519,440
|
|
Japan
|
67,319
|
|
|
79,266
|
|
|
81,411
|
|
|||
Europe
|
164,226
|
|
|
166,007
|
|
|
187,725
|
|
|||
Asia
|
115,127
|
|
|
109,858
|
|
|
111,758
|
|
|||
Other
|
8,520
|
|
|
8,299
|
|
|
8,498
|
|
|||
Net revenues
|
$
|
903,923
|
|
|
$
|
886,116
|
|
|
$
|
908,832
|
|
(Dollars in thousands)
|
March 31,
2018 |
|
April 1,
2017 |
|
April 2,
2016 |
||||||
Long-lived assets
(2)
|
|
|
|
|
|
||||||
United States
|
$
|
236,603
|
|
|
$
|
241,610
|
|
|
$
|
231,744
|
|
Japan
|
1,511
|
|
|
1,691
|
|
|
2,022
|
|
|||
Europe
|
13,696
|
|
|
12,952
|
|
|
18,672
|
|
|||
Asia
|
36,431
|
|
|
34,174
|
|
|
40,235
|
|
|||
Other
|
43,915
|
|
|
33,435
|
|
|
44,961
|
|
|||
Total long-lived assets
|
$
|
332,156
|
|
|
$
|
323,862
|
|
|
$
|
337,634
|
|
(2)
Long-lived assets are comprised of property, plant and equipment.
|
(Dollars in thousands)
|
2018
|
|
2017
|
|
2016
|
||||||
Plasma
|
435,956
|
|
|
410,727
|
|
|
381,776
|
|
|||
Blood Center
|
284,902
|
|
|
303,890
|
|
|
355,108
|
|
|||
Cell Processing
|
107,562
|
|
|
105,376
|
|
|
112,483
|
|
|||
Hemostasis Management
|
75,503
|
|
|
66,123
|
|
|
59,465
|
|
|||
Net revenues
|
$
|
903,923
|
|
|
$
|
886,116
|
|
|
$
|
908,832
|
|
(In thousands, except per share data)
|
|
Three months ended
|
||||||||||||||
Fiscal 2018
|
|
July 1,
2017 |
|
September 30,
2017 |
|
December 30,
2017 |
|
March 31,
2018 |
||||||||
Net revenues
|
|
$
|
210,951
|
|
|
$
|
225,377
|
|
|
$
|
234,043
|
|
|
$
|
233,552
|
|
Gross profit
|
|
$
|
91,665
|
|
|
$
|
104,562
|
|
|
$
|
111,295
|
|
|
$
|
104,386
|
|
Operating income
|
|
$
|
16,611
|
|
|
$
|
24,258
|
|
|
$
|
1,013
|
|
|
$
|
14,275
|
|
Net income (loss)
|
|
$
|
20,137
|
|
|
$
|
20,102
|
|
|
$
|
(6,547
|
)
|
|
$
|
11,880
|
|
Per share data:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net income (loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Basic
|
|
$
|
0.38
|
|
|
$
|
0.38
|
|
|
$
|
(0.12
|
)
|
|
$
|
0.22
|
|
Diluted
|
|
$
|
0.38
|
|
|
$
|
0.38
|
|
|
$
|
(0.12
|
)
|
|
$
|
0.22
|
|
|
|
|
|
|
|
|
|
|
||||||||
(In thousands, except per share data)
|
|
Three months ended
|
||||||||||||||
Fiscal 2017
|
|
July 2,
2016 |
|
October 1,
2016 |
|
December 31,
2016 |
|
April 1,
2017 |
||||||||
Net revenues
|
|
$
|
209,956
|
|
|
$
|
220,253
|
|
|
$
|
227,841
|
|
|
$
|
228,066
|
|
Gross profit
|
|
$
|
91,056
|
|
|
$
|
104,248
|
|
|
$
|
101,079
|
|
|
$
|
82,111
|
|
Operating (loss) income
|
|
$
|
(7,881
|
)
|
|
$
|
24,794
|
|
|
$
|
21,212
|
|
|
$
|
(57,506
|
)
|
Net (loss) income
|
|
$
|
(10,346
|
)
|
|
$
|
19,825
|
|
|
$
|
15,393
|
|
|
$
|
(51,140
|
)
|
Per share data:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net (loss) income:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Basic
|
|
$
|
(0.20
|
)
|
|
$
|
0.39
|
|
|
$
|
0.30
|
|
|
$
|
(0.98
|
)
|
Diluted
|
|
$
|
(0.20
|
)
|
|
$
|
0.38
|
|
|
$
|
0.30
|
|
|
$
|
(0.98
|
)
|
•
|
We increased oversight by our management in the calculation and reporting of certain inventory balances;
|
•
|
We enhanced policies and procedures relating to account reconciliation and analysis;
|
•
|
We strengthened communication and information flows between the inventory operations department and the corporate controller's group.
|
1. Articles of Organization
|
||
|
Amended and Restated Articles of Organization of the Company reflecting Articles of Amendment dated August 23, 1993 and August 21, 2006 (filed as Exhibit 3.1 to the Company's Quarterly Report on Form 10-Q for the Quarter ended December 29, 2012 and incorporated herein by reference).
|
|
|
By-Laws of the Company, as amended through January 21, 2015 (filed as Exhibit 99.1 to the Company's Form 8-K dated January 27, 2015 and incorporated herein by reference).
|
|
|
|
|
2. Instruments Defining the Rights of Security Holders
|
||
4A*
|
|
Specimen certificate for shares of common stock (filed as Exhibit 4B to the Company's Amendment No. 1 to Form S-1 No. 33-39490 and incorporated herein by reference).
|
|
|
|
3. Material Contracts
|
||
10A*
|
|
Lease dated July 17, 1990 between the Buncher Company and the Company of property in Pittsburgh, Pennsylvania (filed as Exhibit 10-K to the Company's Form S-1 No. 33-39490 and incorporated herein by reference).
|
10B*
|
|
First Amendment to lease dated July 17, 1990, made as of April 30, 1991 between Buncher Company and the Company of property in Pittsburgh, Pennsylvania (filed as Exhibit 10AI to the Company's Form 10-Q for the quarter ended December 28, 1996 and incorporated herein by reference).
|
|
Second Amendment to lease dated July 17, 1990, made as of October 18, 2000 between Buncher Company and the Company for the property in Pittsburgh, Pennsylvania (filed as Exhibit 10AG to the Company's Form 10-K for the year ended March 29, 2003 and incorporated herein by reference).
|
|
|
Third Amendment to lease dated July 17, 1990, made as of March 23, 2004 between Buncher Company and the Company for the property in Pittsburgh, Pennsylvania (filed as Exhibit 10D to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Fourth Amendment to lease dated July 17, 1990, made as of March 12, 2008 between Buncher Company and the Company for the property in Pittsburgh, Pennsylvania (filed as Exhibit 10E to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Fifth Amendment to lease dated July 17, 1990, made as of October 1, 2008 between Buncher Company and the Company for the property in Pittsburgh, Pennsylvania (filed as Exhibit 10F to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Sixth Amendment to lease dated July 17, 1990 made as of January 8, 2010 between Buncher Company and the Company for the property in Pittsburgh, Pennsylvania (filed as Exhibit 10G to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Seventh Amendment to lease dated July 17, 1990, made as of March 31, 2011 between Buncher Company and the Company for the property in Pittsburgh, Pennsylvania (filed as Exhibit 10H to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Eighth Amendment to lease dated July 17, 1990, made as of February 26, 2013 between Buncher Company and the Company for the property in Pittsburgh, Pennsylvania (filed as Exhibit 10I to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Ninth Amendment to lease dated July 17, 1990, made as of March 12, 2014 between Buncher Company and the Company for the property in Pittsburgh, Pennsylvania filed herewith as Exhibit 10J to the Company's Form 10-K, for the year ended March 31, 2018.
|
|
|
Tenth Amendment to lease dated July 17, 1990, made as of May 31, 2017 between Buncher Company and the Company for the property in Pittsburgh, Pennsylvania filed herewith as Exhibit 10K to the Company's Form 10-K, for the year ended March 31, 2018.
|
|
|
Eleventh Amendment to lease dated July 17, 1990, made as of March 2, 2018 between Buncher Company and the Company for the property in Pittsburgh, Pennsylvania and filed herewith as Exhibit 10L to the Company's Form 10-K, for the year ended March 31, 2018.
|
|
Lease dated February 21, 2000 between BBVA Bancomer Servicios, S.A., as Trustee of the “Submetropoli de Tijuana” Trust and Haemonetics Mexico Manufacturing, S. de R.L. de C.V., as successor in interest to Ensatec, S.A. de C.V. with authorization of El Florido California, S.A. de C.V., for property located in Tijuana, Mexico (filed as Exhibit 10J to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Amendment to Lease dated February 21, 2000 made as of July 25, 2008 between BBVA Bancomer Servicios, S.A., as Trustee of the “Submetropoli de Tijuana” Trust Haemonetics Mexico Manufacturing, S. de R.L. de C.V., as successor in interest to Ensatec, S.A. de C.V., for property located in Tijuana, Mexico (filed as Exhibit 10K to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Extension to Lease dated February 21, 2000, made as of August 14, 2011 between PROCADEF 1, S.A.P.I. de C.V. and Haemonetics Mexico Manufacturing, S. de R.L. de C.V., as successor in interest to Ensatec, S.A. de C.V., for property located in Tijuana, Mexico (Spanish to English translation filed as Exhibit 10L to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Amendment Letter to Lease dated February 21, 2000, made as of August 14, 2011 between BBVA Bancomer Servicios, S.A., as Trustee of the “Submetropoli de Tijuana” Trust and Haemonetics Mexico Manufacturing, S. de R.L. de C.V., as successor in interest to Ensatec, S.A. de C.V., for property located in Tijuana, Mexico (filed as Exhibit 10M to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Notice of Assignment to Lease dated February 21, 2000, made as of February 23, 2012 between BBVA Bancomer Servicios, S.A., as Trustee of the “Submetropoli de Tijuana” Trust and Haemonetics Mexico Manufacturing, S. de R.L. de C.V., as successor in interest to Ensatec, S.A. de C.V. for property located in Tijuana, Mexico (Spanish to English translation filed as Exhibit 10N to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Amendment to Lease dated February 21, 2000 made as of January 1, 2018 between MEGA2013, S.A.P.I. de CV (as successor in interest to ABBVA Bancomer Servicios, S.A., as Trustee of the “Submetropoli de Tijuana” Trust) and Haemonetics Mexico Manufacturing, S. de R.L. de C.V., as successor in interest to Ensatec, S.A. de C.V., for property located in Tijuana, Mexico.
|
|
|
Lease Agreement effective December 3, 2007 between Mrs. Blanca Estela Colunga Santelices, by her own right, and Pall Life Sciences Mexico, S.de R.L. de C.V. for the property located in Tijuana, Mexico (Spanish to English translation filed as Exhibit 10W to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Assignment to Lease Agreement effective December 3, 2007, made as of December 2, 2011 between Mrs. Blanca Estela Colunga Santelices, by her own right, Pall Life Sciences Mexico, S.de R.L. de C.V., (“Assignor”) and Haemonetics Mexico Manufacturing, S. de R.L. de C.V.as successor in interest to Pall Mexico Manufacturing S. de R.L. de C.V., (“Assignee”) assigned in favor of the property located in Tijuana, Mexico (filed as Exhibit 10X to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Amendment to Lease Agreement effective December 3, 2007, made in 2017 between Mrs. Blanca Estela Colunga Santelices, by her own right, Pall Life Sciences Mexico, S.de R.L. de C.V. (“Assignor”) and Haemonetics Mexico Manufacturing, S. de R.L. de C.V. as successor in interest to Pall Mexico Manufacturing S. de R.L. de C.V., (“Assignee”) assigned in favor of the property located in Tijuana, Mexico.
|
|
|
Sublease Contract to Lease Agreement effective December 3, 2007, made as of December 3, 2011 between Haemonetics Mexico Manufacturing, S. de R.L. de C.V. as successor in interest to Pall Mexico Manufacturing, S.de R.L. de C.V., and Pall Life Sciences Mexico, S. de R.L. de C.V., for the property located in Tijuana, Mexico (filed as Exhibit 10Y to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Sublease Contract to Lease Agreement effective December 3, 2007, made as of February 23, 2012 between Haemonetics Mexico Manufacturing, S. de R.L. de C.V. as successor in interest to Pall Mexico Manufacturing S. de R.L. de C.V. and Ensatec, S.A. de C.V., for the property located in Tijuana, Mexico (filed as Exhibit 10Z to the Company's Form 10-K for the year ended March 30, 2013 and incorporated herein by reference).
|
|
|
Lease dated September 19, 2013 between the Penang Development Corporation and Haemonetics Malaysia Sdn Bhd of the property located in Penang, Malaysia (filed as Exhibit 10D to the Company's 10-Q for the quarter ended June 28, 2014 and incorporated herein by reference).
|
|
|
Haemonetics Corporation 2005 Long-Term Incentive Compensation Plan, reflecting amendments dated July 31, 2008, July 29, 2009, July 21, 2011, November 30, 2012, July 24, 2013, January 21, 2014, and July 23, 2014 (filed as Exhibit 10.1 to the Company's Form 8-K dated July 25, 2014 and incorporated herein by reference).
|
|
|
Form of Option Agreement for Non-Qualified stock options for the 2005 Long Term-Incentive Compensation Plan for Non-employee Directors (filed as Exhibit 10.1 to the Company's Form 10-Q for the quarter ended October 1, 2005 and incorporated herein by reference).
|
|
Form of Option Agreement for Non-Qualified stock options for the 2005 Long-Term Incentive Compensation Plan for Employees. (filed as Exhibit 10S to the Company's Form 10-K for the fiscal year ended March 30, 2010 and incorporated herein by reference).
|
|
|
Form of Restricted Stock Agreement with Employees under 2005 Long-Term Incentive Compensation Plan (filed as Exhibit 10U to the Company's Form 10-K for the year ended April 3, 2010 and incorporated herein by reference).
|
|
|
Amended and Restated 2007 Employee Stock Purchase Plan (as amended and restated on July 21, 2016 incorporated as Exhibit 10.2 to the Company’s Form 10-Q, for the quarter ended July 2, 2016 and incorporated herein by reference).
|
|
|
Amended and Restated Non-Qualified Deferred Compensation Plan as amended and restated on July 24, 2013 (filed as Exhibit 10.2 to the Company's Form 8-K dated July 26, 2013 and incorporated herein by reference).
|
|
|
Employment Agreement effective as of May 16, 2016 between the Company and Christopher Simon (filed as Exhibit 10.1 to the Company’s Form 8-K dated May 10, 2016 and incorporated herein by reference).
|
|
|
Executive Severance Agreement between the Company and Christopher A. Simon dated as of November 7, 2017 (filed as Exhibit 10.4 to the Company’s Form 10-Q dated for the quarter ended September 30, 2017 and
incorporated herein by reference).
|
|
|
Change in Control Agreement between the Company and Christopher A. Simon dated as of November 7, 2017 (filed as Exhibit 10.5 to the Company’s Form 8-K dated 10-Q dated for the quarter ended September 30, 2017 and incorporated herein by reference).
|
|
|
Form of Executive Severance Agreement between the Company and executive officers other than Christopher A. Simon (filed as Exhibit 10.2 to the Company’s Form 10-Q for the quarter ended September 30, 2017 and incorporated herein by reference).
|
|
|
Form of Change in Control Agreement between the Company and executive officers other than Christopher A. Simon (filed as Exhibit 10.3 to the Company’s Form 10-Q for the quarter ended September 30, 2017 and incorporated herein by reference).
|
|
|
Haemonetics Corporation Worldwide Executive Bonus Plan with an Effective Date of April 3, 2016 (filed as Exhibit 10.3 to the Company’s Form 10-Q for the quarter ended July 2, 2016 and incorporated herein by reference).
|
|
|
Amended and Restated Performance Share Unit Agreement between Haemonetics Corporation and Christopher Simon dated June 6, 2017, amending and restating Performance Share Unit Agreement dated June 29, 2016 (filed as Exhibit 10.2 to the Company’s Form 10-Q for the quarter ended July 1, 2017 and incorporated herein by reference).
|
|
|
Form of Performance Share Unit Award Agreement Under 2005 Long-Term Incentive Compensation Plan (Internal Financial Metrics, adopted fiscal 2018) (filed as Exhibit 10.3 to the Company’s Form 10-Q for the quarter ended July 1, 2017 and incorporated herein by reference).
|
|
|
Form of Performance Share Unit Award Agreement Under 2005 Long-Term Incentive Compensation Plan (rTSR Metrics, adopted fiscal 2015) (filed as Exhibit 10AP to the Company’s Form 10-K for the fiscal year ended March 28, 2015 and incorporated herein by reference).
|
|
|
Form of Performance Share Unit Award Agreement Under 2005 Long-Term Incentive Compensation Plan (rTSR Metrics, adopted fiscal 2017) and filed herewith as Exhibit 10AN to the Company's Form 10-K, for the year ended March 31, 2018.
|
|
|
Form of Performance Share Unit Award Agreement Under 2005 Long-Term Incentive Compensation Plan (rTSR Metrics, adopted fiscal 2018) and filed herewith as Exhibit 10AO to the Company's Form 10-K, for the year ended March 31, 2018.
|
|
|
Agreement and General Release between Haemonetics Corporation and Byron Selman dated May 1, 2017 (filed as Exhibit 10AH to the Company’s Form 10-K for the fiscal year ended April 1, 2017 and incorporated herein by reference).
|
|
|
Asset Purchase Agreement, dated as of April 28, 2012, by and between Haemonetics Corporation and Pall Corporation (filed as Exhibit 10Z to the Company's Form 10-K for the fiscal year ended March 31, 2012 and incorporated herein by reference).
|
|
|
Second Amended and Restated License Agreement by and among Cora Healthcare, Inc., CoraMed Technologies, LLC, and Haemonetics Corporation dated August 14, 2013 (filed as Exhibit 10.1 to the Company’s Form 10-Q for the quarter ended July 1, 2017 and incorporated herein by reference).
|
|
|
Credit Agreement dated as of June 30, 2014 among Haemonetics Corporation and the Lenders listed therein and JPMorgan Chase Bank, N.A. as Administrative Agent (filed as Exhibit 10.1 to the Company’s Form 8-K dated July 7, 2014 and incorporated herein by reference).
|
*
|
Incorporated by reference
|
|
†
|
Agreement, plan, or arrangement related to the compensation of officers or directors
|
|
‡
|
Subject to a confidential treatment request
|
|
ˆ
|
In accordance with Rule 406T of Regulation S-T, the XBRL-related information in Exhibit 101 to this Form 10-K is deemed not filed or part of a registration statement or prospectus for purposes of sections 11 or 12 of the Securities Act, is deemed not filed for purposes of section 18 of the Exchange Act, and otherwise is not subject to liability under these sections.
|
|
HAEMONETICS CORPORATION
|
|
|
|
|
|
By:
|
/s/ Christopher Simon
|
|
|
Christopher Simon
|
|
|
President, Director and Chief Executive Officer
|
Signature
|
|
Title
|
|
Date
|
|
|
|
|
|
/s/ Christopher Simon
|
|
President, Director and Chief Executive Officer
|
|
May 23, 2018
|
Christopher Simon
|
|
(Principal Executive Officer)
|
|
|
|
|
|
|
|
/s/ William Burke
|
|
Executive Vice President, Chief Financial Officer
|
|
May 23, 2018
|
William Burke
|
|
(Principal Financial Officer)
|
|
|
|
|
|
|
|
/s/ Dan Goldstein
|
|
Vice President, Corporate Controller
|
|
May 23, 2018
|
Dan Goldstein
|
|
(Principal Accounting Officer)
|
|
|
|
|
|
|
|
/s/ Robert Abernathy
|
|
Director
|
|
May 23, 2018
|
Robert Abernathy
|
|
|
|
|
|
|
|
|
|
/s/ Catherine Burzik
|
|
Director
|
|
May 23, 2018
|
Catherine Burzik
|
|
|
|
|
|
|
|
|
|
/s/ Charles Dockendorff
|
|
Director
|
|
May 23, 2018
|
Charles Dockendorff
|
|
|
|
|
|
|
|
|
|
/s/ Susan Bartlett Foote
|
|
Director
|
|
May 23, 2018
|
Susan Bartlett Foote
|
|
|
|
|
|
|
|
|
|
/s/ Ronald Gelbman
|
|
Director
|
|
May 23, 2018
|
Ronald Gelbman
|
|
|
|
|
|
|
|
|
|
/s/ Pedro Granadillo
|
|
Director
|
|
May 23, 2018
|
Pedro Granadillo
|
|
|
|
|
|
|
|
|
|
/s/ Mark Kroll
|
|
Director
|
|
May 23, 2018
|
Mark Kroll
|
|
|
|
|
|
|
|
|
|
/s/ Richard Meelia
|
|
Director
|
|
May 23, 2018
|
Richard Meelia
|
|
|
|
|
|
|
|
|
|
/s/ Ellen Zane
|
|
Director
|
|
May 23, 2018
|
Ellen Zane
|
|
|
|
|
(In thousands)
|
Balance at
Beginning of Fiscal Year |
|
Charged to
Costs and Expenses |
|
Write-Offs
(Net of Recoveries) |
|
Balance at End
of Fiscal Year |
||||||||
For Year Ended March 31, 2018
|
|
|
|
|
|
|
|
|
|
|
|
||||
Allowance for Doubtful Accounts
|
$
|
2,184
|
|
|
$
|
208
|
|
|
$
|
281
|
|
|
$
|
2,111
|
|
For Year Ended April 1, 2017
|
|
|
|
|
|
|
|
|
|
|
|
||||
Allowance for Doubtful Accounts
|
$
|
2,253
|
|
|
$
|
103
|
|
|
$
|
172
|
|
|
$
|
2,184
|
|
For Year Ended April 2, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||
Allowance for Doubtful Accounts
|
$
|
1,749
|
|
|
$
|
728
|
|
|
$
|
(224
|
)
|
|
$
|
2,253
|
|
Company Relative TSR Percentile Rank
at End of the Performance Period |
Share Payout
as a Percentage of Target Award |
40
th
or lower
|
0%
|
41
st
to 60
th
|
50% to 99%
|
61
st
to 80
th
|
100% to 200%
|
81
st
or higher
|
200%
|
Company Relative TSR Percentile Rank
at Maturity Date
|
Share Payout as a Percentage of Target Award
|
40
th
Percentile or lower
|
0%
|
41
st
to 60
th
Percentile
|
50% to 99%
|
61
st
to 80
th
Percentile
|
100% to 200%
|
81
st
Percentile or higher
|
200%
|
A.
|
Tenant shall, for the balance of the Seventh Renewal Term, during the Eighth Renewal Term, and for the balance of the Second Extended Term, continue to pay to Landlord on the first (1
st
) day of each calendar month to and including March 1, 2015, as monthly rental for the Leased Premises (i.e. Buildings 18 and 18A, the Building 18 Expansion Space and the Building #3 Space), the amount of $42,707.73.
|
B.
|
In the event the term of the Lease terminates or expires for the Building #3 Space only for whatever cause, beginning on the first (1
st
) day of the month following the termination or expiration of the term of the Lease for the Building #3 Space only, and on the first (1
st
) day of each calendar month thereafter during the balance of the Second Extended Term, Tenant shall pay to Landlord as monthly rental for the Leased Premises, excluding the Building #3 Space (i.e. Buildings 18 and 18A and the Building 18 Expansion Space),
the amount of $31,997.49.
|
A.
|
Tenant shall notify Landlord in writing at least three (3) months prior to the date Tenant desires to terminate the Lease and the term thereof (the
|
B.
|
Tenant shall not be in default of the Lease; and
|
C.
|
Tenant shall pay to Landlord as a fee for said termination, and not as a penalty, the amount of $32,130.71 payable on the first day of the calendar month immediately following the date of the termination notice by Tenant to Landlord. Said fee shall be in addition to the rental and additional rental due under the Lease.
|
A.
|
Furnish and install five (5) additional light poles with concrete bases and LED light fixtures within the parking lot of the Leased Premises. The location of such additional light poles shall be mutually agreed to by Tenant and Landlord.
|
B.
|
Remove existing fixtures and furnish and install eight (8) exterior mount LED wall light fixtures on the front of Building 18 and/or Building 18A.
|
CONVENIO (EL “
CONVENIO
”) CON EFECTOS AL 1º DE ENERO DE 2018 QUE CELEBRAN POR UNA PARTE
MEGA2013, S.A.P.I. DE C.V.
, A QUIEN EN LO SUCESIVO SE LE DENOMINARÁ COMO EL
“ARRENDADOR”
,
REPRESENTADA EN ESTE ACTO POR LA DRA. GEORGINA SERRANO CUEVAS Y EL LIC. JOSÉ LUIS NORIEGA BALCÁRCEL; Y POR LA OTRA
HAEMONETICS MÉXICO MANUFACTURING, S. DE R.L. DE C.V.
, A QUIEN EN LO SUCESIVO SE LE DENOMINARÁ COMO EL
“ARRENDATARIO”
, REPRESENTADA EN ESTE ACTO POR LOS SEÑORES WILLIAM PATRICK BURKE Y DAN GOLDSTEIN; CON LA COMPARECENCIA DE
HAEMONETICS CORPORATION
, A QUIEN EN LO SUCESIVO SE LE DENOMINARÁ COMO EL
“GARANTE”
REPRESENTADA EN ESTE ACTO POR EL SR. WILLIAM PATRICK BURKE; DE CONFORMIDAD CON LAS SIGUIENTES DECLARACIONES Y CLÁUSULAS:
|
|
AGREEMENT (THE
“AGREEMENT”
) EFFECTIVE AS OF JANUARY 1
st
. 2018, ENTERED INTO ON ONE PART BY
MEGA2013, S.A.P.I. DE C.V.
, HEREINAFTER REFERRED TO AS THE
“LESSOR”
,
REPRESENTED HEREIN BY MRS. GEORGINA SERRANO CUEVAS AND MR. JOSÉ LUIS NORIEGA BALCÁRCEL; AND ON THE OTHER PART BY
HAEMONETICS MÉXICO MANUFACTURING, S. DE R.L. DE C.V.
,
HEREINAFTER REFERRED TO AS THE
“LESSEE”
,
REPRESENTED HEREIN BY MESSRS. WILLIAM PATRICK BURKE AND DAN GOLDSTEIN; WITH THE APPEARANCE OF
HAEMONETICS CORPORATION
, HEREINAFTER REFERRED TO AS THE
“GUARANTOR”
,
REPRESENTED HEREIN BY MR. WILLIAM PATRICK BURKE; PURSUANT TO THE FOLLOWING RECITALS AND CLAUSES:
|
DECLARACIONES:
|
|
RECITALS:
|
Las partes de este convenio manifiestan y hacen constar lo siguiente:
|
|
The parties to this agreement represent and certify the following:
|
1. Que con fecha 21 de Febrero del año 2000, BANCO BILBAO VIZCAYA-MEXICO, SOCIEDAD ANÓNIMA, INSTITUCIÓN DE BANCA MÚLTIPLE, GRUPO FINANCIERO BBVA-PROBURSA, DIVISIÓN FIDUCIARIA, en su carácter de Fiduciario del Fideicomiso “Submetrópoli de Tijuana” y ENSATEC, S.A. DE C.V. celebraron un contrato de arrendamiento respecto a la nave industrial y mejoras accesorias ubicadas en la Calle Colinas 11730 del Fraccionamiento Parque Industrial El Florido, Sección Colinas, Delegación La Presa, Tijuana, Baja California, México (el
“Contrato de Arrendamiento Original”
).
|
|
1. That on February 21
st
of year 2000, BANCO BILBAO VIZCAYA-MEXICO, SOCIEDAD ANÓNIMA, INSTITUCIÓN DE BANCA MÚLTIPLE, GRUPO FINANCIERO BBVA-PROBURSA, DIVISIÓN FIDUCIARIA, as trustee of the “Submetrópoli de Tijuana” trust and ENSATEC, S.A. DE C.V. entered into a lease agreement over the industrial facility and accesory improvements located at Calle Colinas 11730 of Fraccionamiento Parque Industrial El Florido, Sección Colinas, Delegación La Presa, Tijuana, Baja California, Mexico (the
“Original Lease Agreement”
).
|
2. Que mediante escritura pública de 16 de noviembre del año 2000, número 66,723 del Protocolo de la Notaría número 137 de la Ciudad de México, a cargo del señor Licenciado Carlos de Pablo Serna, de la que se tomó razón el 14 de diciembre del año 2000, en el Folio Mercantil número 63,300, del Registro Público de la Propiedad y del Comercio de la Ciudad de México, se hizo constar la protocolización del acta de asamblea extraordinaria celebrada por BANCO BILBAO VIZCAYA-MEXICO, SOCIEDAD ANONIMA, INSTITUCION DE BANCA MULTIPLE, GRUPO FINANCIERO BBVA BANCOMER, el 23 de octubre del año 2000, por virtud de la cual, entre otras cosas, se reformó el artículo Primero de los estatutos sociales de la mencionada institución bancaria, cambiando la denominación a la de BBVA BANCOMER SERVICIOS, SOCIEDAD ANONIMA, INSTITUCION DE BANCA MULTIPLE, GRUPO FINANCIERO BBVA BANCOMER (
“BBVA BANCOMER SERVICIOS, S.A”
).
|
|
2. That through public instrument dated November 16
th
, 2000, number 66,723 of Notary Public Number 137 of Mexico City, Mr. Carlos de Pablo Serna, recorded on December 14
th
, 2000, under mercantile number 63,300 of the Public Registry of Property and Commerce of Mexico City, it was notarized the extraordinary shareholders meeting of BANCO BILBAO VIZCAYA-MEXICO, SOCIEDAD ANONIMA, INSTITUCION DE BANCA MULTIPLE, GRUPO FINANCIERO BBVA BANCOMER of October 23
rd
, 2000, under which, among others, article first of the by-laws of referred banking institution was amended, to change its denomination to BBVA BANCOMER SERVICIOS, SOCIEDAD ANONIMA, INSTITUCION DE BANCA MULTIPLE, GRUPO FINANCIERO BBVA BANCOMER (
“BBVA BANCOMER SERVICIOS, S.A”
).
|
3. Que con fecha 18 de octubre de 2004, BBVA BANCOMER SERVICIOS, S.A., en su carácter de Fiduciario del Fideicomiso “Submetrópoli de Tijuana” y ENSATEC, S.A. DE C.V., con la comparecencia de PALL CORPORATION, celebraron un convenio al Contrato de Arrendamiento Original, mediante el cual se tomaron, entre otros, diversos acuerdos relacionados con ciertas mejoras y adecuaciones así como con respecto a la reparación y mantenimiento de la membrana techo del inmueble objeto de referido contrato de arrendamiento (el
“Primer Convenio Modificatorio”
).
|
|
3. That on October 18
th
, 2004, BBVA BANCOMER SERVICIOS, S.A., as trustee of the “Submetrópoli de Tijuana” trust and ENSATEC, S.A. DE C.V., with the appearance of PALL CORPORATION, entered into an agreement to the Original Lease Agreement, through which they agree, among others, on certain matters related to the improvements and to the repair and maintenance of the roof membrane of the real estate property subject matter of referred lease agreement (the
“First Amendment Agreement”
).
|
4. Que con fecha 14 de febrero de 2006, BBVA BANCOMER SERVICIOS, S.A., en su carácter de Fiduciario del Fideicomiso “Submetrópoli de Tijuana” y ENSATEC, S.A. DE C.V., con la comparecencia de PALL CORPORATION, celebraron un convenio al Contrato de Arrendamiento Original, mediante el cual se tomaron, entre otros, diversos acuerdos relacionados con ciertas mejoras y adecuaciones así como con respecto a la reparación y mantenimiento de la membrana techo del inmueble objeto de referido contrato de arrendamiento (el
“Segundo Convenio Modificatorio”
).
|
|
4. That on February 14th, 2006, BBVA BANCOMER SERVICIOS, S.A., as trustee of the “Submetrópoli de Tijuana” trust and ENSATEC, S.A. DE C.V., with the appearance of PALL CORPORATION, entered into an agreement to the Original Lease Agreement, through which they agree, among others, on certain matters related to the improvements and to the repair and maintenance of the roof membrane of the real estate property subject matter of referred lease agreement (the
“Second Amendment Agreement”
).
|
5. Que con fecha 25 de julio de 2008, BBVA BANCOMER SERVICIOS, S.A., en su carácter de Fiduciario del Fideicomiso “Submetrópoli de Tijuana” y ENSATEC, S.A. DE C.V., con la comparecencia de PALL CORPORATION, celebraron un convenio modificatorio al Contrato de Arrendamiento Original, mediante el cual convinieron en prorrogar la vigencia de referido contrato de arrendamiento hasta el día 15 de agosto de 2011 (el
“Tercer Convenio Modificatorio”
).
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5. That on July 25
th
, 2008, BBVA BANCOMER SERVICIOS, S.A., as trustee of the “Submetrópoli de Tijuana” trust and ENSATEC, S.A. DE C.V., with the appearance of PALL CORPORATION, entered into an amendment to the Original Lease Agreement, through which they agree to extend the term of referred lease up to August 15
th
, 2011 (the
“Third Amendment Agreement”
).
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6. Que mediante instrumento público 107,819 del volumen 1,370 de fecha 10 de diciembre de 2010 del protocolo del Notario Público Número 3 de Ensenada, Baja California, México, PROMOTORA CALIFORNIANA DE DESARROLLOS, S.A.P.I. DE C.V. adquirió los derechos y obligaciones de arrendador bajo el Contrato de Arrendamiento Original (la
“Primer Cesión de Derechos de Arrendamiento”
).
|
|
6. That through public instrument number 107,819 of volume 1,370 dated December 10
th
, 2010, of the protocol of Notary Public Number 3 for Ensenada, Baja California, Mexico, PROMOTORA CALIFORNIANA DE DESARROLLOS, S.A.P.I. DE C.V., acquired lessor´s rights and obligations under the Original Lease Agreement (the
“First Lease Assignment”
).
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7. Que mediante instrumento público número 107,949 del volumen 1,376 de fecha 10 de febrero de 2011, del protocolo del Notario Público Número 3 de Ensenada, Baja California, PROCADEF 1, S.A.P.I. DE C.V. adquirió, entre otros, los derechos y obligaciones de arrendador bajo el Contrato de Arrendamiento Original (la
“Segunda Cesión de Derechos de Arrendamiento”
y conjuntamente con la Primer Cesión de Derechos de Arrendamiento, las
“Cesiones de Arrendamiento”
)..
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|
7. That through public instrument number 107,949 of volume 1,376 dated February 10
th
, 2011, of the protocol of Notary Public Number 3 for Ensenada, Baja California, Mexico, PROCADEF 1, S.A.P.I. DE C.V., acquired, among others, lessor´s rights and obligations under the Original Lease Agreement (the
“Second Lease Assignment”
and jointly with the First Lease Assignment, the
“Lease Assignments”
).
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8. Que mediante convenio que entró en vigor el día 14 de agosto de 2011 celebrado entre PROCADEF 1, S.A.P.I. DE C.V., ENSATEC, S.A. DE C.V. y PALL CORPORATION, se convino entre otras cosas en prorrogar la vigencia del Contrato de Arrendamiento Original para efectos de que el mismo continuara vigente hasta el día 16 de agosto del año 2018 (el
“Cuarto Convenio Modificatorio”
y conjuntamente con el Primer, Segundo y Tercer Convenio Modificatorio y la Cesiones de Arrendamiento, el
“
Contrato de Arrendamiento
”
).
|
|
8. That through agreement that was effective as of August 14th, 2011, entered into between PROCADEF 1, S.A.P.I. DE C.V., ENSATEC, S.A. DE C.V. and PALL CORPORATION, it was agreed, among others, to extend the term of the Original Lease Agreement in order for the same to continue in effect until August 16
th
, 2018 (the
“Fourth Amendment Agreement”
and jointly with the First, Second and Third Amendment Agreement, and the Lease Assignments, the
“
Lease Agreement
”
).
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9. Que con fecha efectiva del 23 de febrero de 2012, ENSATEC, S.A. DE C.V., cedió todos y cada uno de sus derechos y obligaciones bajo el Contrato de Arrendamiento a favor del ARRENDATARIO, HAEMONETICS MÉXICO MANUFACTURING, S. DE R.L. DE C.V. (anteriormente Pall México Manufacturing, S. de R.L. de C.V.).
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|
9. That effective as of February 23rd, 2012, ENSATEC, S.A. DE C.V., assigned each and all of its rights and obligations under the Lease Agreement in favor of LESSEE, HAEMONETICS MÉXICO MANUFACTURING, S. DE R.L. DE C.V. (formerly Pall México Manufacturing, S. de R.L. de C.V.).
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10. Que con fecha 5 de octubre de 2012, el GARANTE para garantizar el cumplimiento de todas y cada y una de las obligaciones del ARRENDATARIO bajo el Contrato de Arrendamiento otorgó la Garantía de Arrendamiento que en copia se adjunta al presente como
Anexo “A”
.
|
|
10. That on October 5
th
, 2012, the GUARANTOR to guarantee each and all of LESSEE´s obligations under the Lease Agreement, granted the Guaranty of Lease that in copy is attached hereto as
Exhibit “A”
.
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11. Que mediante escritura pública de 29 de enero del año 2013, número 41,355 del Protocolo del Notario Público Número 13 de Tijuana, Baja California, México, a cargo del señor Licenciado Carlos E. Ahumada Arruti, de la que se tomó razón en el Folio Mercantil Electrónico 32944*2, del Registro Público de la Propiedad y de Comercio de Tijuana, Baja California, se hizo constar la protocolización del acta de asamblea de socios de PALL MEXICO MANUFACTURING, S. DE R.L. DE C.V. de fecha 29 de enero del año 2013, por virtud de la cual, entre otras cosas, se acordó en cambiar su denominación a la de HAEMONETICS MEXICO MANUFACTURING, S. DE R.L. DE C.V.
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11. That through public instrument dated January 29, number 41,355 of the protocol of Notary Public Number 13 for Tijuana, Baja California, Mexico, Mr. Carlos E. Ahumada Arruti, which was recorded under Mercantile Number 32944*2 of the Public Registry of Property and Commerce of Tijuana, Baja California, it was notarized the partner´s meeting of PALL MEXICO MANUFACTURING, S. DE R.L. DE C.V. dated January 29
th
, 2013, under which it was agreed to change its denomination to HAEMONETICS MEXICO MANUFACTURING, S. DE R.L. DE C.V.
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12. Que a partir del día 10 de diciembre de 2013, MEGA2013, S.A.P.I. DE C.V., se convirtió en plena propietaria del inmueble objeto del Contrato de Arrendamiento, según consta en los instrumentos públicos números 110,730 y 110,731 ambos del protocolo del Notario Público Número 3 de Ensenada, Baja California, México, copia de los cuales se adjuntan al presente como
Anexo “A-1
”.
|
|
12. That as of December 10
th
, 2013, MEGA2013, S.A.P.I. DE C.V., became the owner of the real estate property subject matter of the Lease Agreement, as evidenced in public instruments number 110,730 and 110,731 both of the protocol of Notary Public Number 3 for Ensenada, Baja California, Mexico, copy of which are attached hereto as
Exhibit “A-1”.
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13. Que el ARRENDADOR es el actual titular de los derechos y obligaciones de arrendador bajo el Contrato de Arrendamiento y el ARRENDATARIO es el actual titular de los derechos y obligaciones de arrendatario bajo el Contrato de Arrendamiento.
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13. That LESSOR is the current holder of lessor´s rights and obligations under the Lease Agreement, and LESSEE is the current holder of lessee´s rights and obligations under the Lease Agreement.
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14. La Dra. Georgina Serrano Cuevas y el Lic. José Luis Noriega Balcárcel acreditan contar con facultades suficientes para representar al ARRENDADOR en la celebración del presente Convenio con la documentación que en copia se adjunta al presente como
Anexo “B”
.
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|
14. Mrs. Georgina Serrano Cuevas and Mr. José Luis Noriega Balcárcel evidence to have sufficient authority to represent LESSOR for the execution hereof, with the documentation that in copy is attached hereto as
Exhibit “B”
.
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15. El señor William Patrick Burke, declara que acredita contar con facultades suficientes para representar al ARRENDATARIO en la celebración del presente Convenio con la documentación que en copia se adjunta al presente como
Anexo “C”
.
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|
15. Mr. William Patrick Burke evidence to have sufficient authority to represent LESSEE for the execution hereof, with the documentation that in copy is attached hereto as
Exhibit “C”
.
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16. El señor Dan Goldstein, declara que acredita contar con facultades suficientes para representar al ARRENDATARIO en la celebración del presente Convenio con la documentación que en copia se adjunta al presente como
Anexo “C-1”
.
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|
15. Mr. Dan Goldstein evidence to have sufficient authority to represent LESSEE for the execution hereof, with the documentation that in copy is attached hereto as
Exhibit “C-1”
.
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17. El señor William Patrick Burke, declara que acredita contar con facultades suficientes para representar al GARANTE en la celebración del presente Convenio con la documentación que en copia se adjunta al presente como
Anexo “D”
.
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|
17. Mr. William Patrick Burke evidence to have sufficient authority to represent GUARANTOR for the execution hereof, with the documentation that in copy is attached hereto as
Exhibit “D”
.
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18. Los suscritos declaran, que la representación con la que cada uno de ellos comparece a suscribir el presente Convenio no les ha sido revocada o limitada de forma alguna.
|
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18. The undersigned state that the capacity with which each of them appears to the execution hereof has not been revoked nor limited in any manner.
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19. Que la Cláusula Primera del Cuarto Convenio Modificatorio, a la letra establece lo siguiente:
“
PRIMERA.
Prorroga del Contrato de Arrendamiento.
El ARRENDADOR y el ARRENDATARIO por medio del presente convienen y acuerdan prorrogar la vigencia del Contrato de Arrendamiento para efectos de que el mismo continúe vigente hasta el día
16 (dieciséis) de agosto del año 2018 (dos mil dieciocho)
. En virtud de lo anterior, las partes de este Convenio manifiestan y hacen constar que el Contrato de Arrendamiento continuará vigente hasta el día
16 (dieciséis) de agosto del año 2018 (dos mil dieciocho)
fecha en la cual concluirá la vigencia de dicho Contrato de Arrendamiento, salvo que el mismo fuere ampliado o renovado por un período adicional de 5 (cinco) años de conformidad con el párrafo 6.2 del Contrato de Arrendamiento, o rescindido o terminado anticipadamente por el ARRENDADOR en los términos del mismo.”
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19. That Clause First of the Fourth Amendment Agreement , reads as follows:
“FIRST.
Extension of the Lease Agreement.
The LESSOR and the LESSEE agree to extend the term of the Lease Agreement up to
August 16 (sixteen) of year 2018 (two thousand eighteen)
. In view of the foregoing, the parties to this Agreement, state and certify that the Lease Agreement will continue to be in effect until
August 16 (sixteen) of year 2018 (two thousand eighteen)
, date on which the effectiveness of such Lease Agreement will expire, unless the same is extended or renewed for an additional 5 (five) year term pursuant to paragraph 6.2 of the Lease Agreement, or rescind or earlier terminated by LESSOR under the terms thereof.”
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20. Que con anterioridad a la celebración del presente instrumento y con efectos a partir del día 1º de Enero de 2018, convinieron y acordaron en: (i) renovar y prorrogar la vigencia del Contrato de Arrendamiento para efectos de que el mismo
continúe vigente hasta el día
16 (dieciséis) de agosto del año 2023 (dos mil veintitrés)
(la
“Fecha de Vencimiento”)
; (ii) reducir el monto de la renta mensual para efectos de que a partir del día 1º de Enero de 2018 la misma fuere la cantidad de $23,177.59 Dólares por mes más el Impuesto al Valor Agregado correspondiente; (iii) reducir el porcentaje de incremento anual en la renta mensual para que en lugar de 3% por cada periodo de 12 meses sea de 2% por cada periodo de 12 meses; y (iv) que el ARRENDATARIO contaría con la opción de prorrogar la vigencia del Contrato de Arrendamiento por un plazo adicional de 5 (cinco) años a partir de la Fecha de Terminación.
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20. That prior to the execution hereof and effective as of January 1
st
2018, they agree: (i) to renew and extend the term of the Lease Agreement in order for the same to continue in effect until
August 16 (sixteen) of year 2023 (two thousand twenty three) (
the
“Termination Date”)
; (ii) to reduce the amount of the monthly rent, as of January 1
st
2018, in order for the same to be the amount of $23,177.59 Dollars per month plus applicable Value Added Tax; (iii) to reduce the percentage of yearly increase on the monthly rent, in order that instead of being of 3% per 12 month period, to be of 2% per 12 month period; and (iv) that LESSEE will continue to have the option to extend the term of the Lease Agreement for an additional 5 (five) year term as from the Termination Date.
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21. Que desean formalizar por medio del presente instrumento los acuerdos a que se refiere la Declaración 20 anterior.
|
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21. That they wish to hereby formalize the agreements referred to in Recital 20 above.
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22. Que desean celebrar el presente Convenio, conforme a los términos y condiciones que aquí se establecen.
|
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22. That they wish to enter into this Agreement, pursuant to the terms and conditions herein set forth.
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En virtud de lo anterior, las partes convienen en las siguientes:
|
|
In view of the foregoing, the parties agree on the following:
|
CLÁUSULAS:
|
|
CLAUSES:
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PRIMERA.
Prórroga del Contrato de Arrendamiento.
El ARRENDADOR y el ARRENDATARIO con efectos retroactivos a partir del día 1º de Enero de 2018 por medio del presente instrumento formalizan su acuerdo previo de prorrogar y renovar la vigencia del Contrato de Arrendamiento para efectos de que el mismo continúe vigente hasta el día
16 (dieciséis) de agosto del año 2023 (dos mil veintitrés)
. En virtud de lo anterior, las partes de este Convenio manifiestan y hacen constar que el Contrato de Arrendamiento continuará vigente hasta el día
16 (dieciséis) de agosto del año 2023 (dos mil veintitrés)
fecha en la cual concluirá la vigencia de dicho Contrato de Arrendamiento, salvo que el mismo fuere ampliado o renovado por el período adicional de 5 (cinco) años a que se refiere la Cláusula Segunda siguiente, o rescindido o terminado anticipadamente por el ARRENDADOR en los términos del mismo.
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FIRST.
Extension of the Lease Agreement.
Effective as of January 1
st
2018, the LESSOR and the LESSEE hereby formalize their prior agreement to extend the term of the Lease Agreement for the same to continue in effect up to
August 16 (sixteen) of year 2023 (two thousand twenty-three)
. In view of the foregoing, the parties to this Agreement, state and certify that the Lease Agreement will continue to be in effect until
August 16 (sixteen) of year 2023 (two thousand twenty-three)
, date on which the term of such Lease Agreement will expire, unless the same is extended or renewed for the additional 5 (five) year term referred to in Clause Second below, or rescind or earlier terminated by LESSOR under the terms thereof.
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SEGUNDA.
Opción de renovación.
Para todos los efectos legales procedentes, el ARRENDADOR y el ARRENDATARIO manifiestan y hacen constar que el presente Convenio se celebra en virtud del ejercicio por parte del ARRENDATARIO de su segundo derecho para renovar el Término del Arrendamiento consignado en el párrafo 6.2 de la Cláusula Sexta del Contrato de Arrendamiento, acordando y ratificando el ARRENDADOR y el ARRENDATARIO, que la renovación aquí formalmente acordada es por un periodo que fenecerá el día
16 (dieciséis) de agosto del año 2023 (dos mil veintitrés)
.
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SECOND.
Option to renew.
For all legal purposes LESSOR and LESSEE state and certify that this Agreement is entered due to the exercise by LESSEE of its second right to renew the Term of the Lease Agreement contained in paragraph 6.2 of Clause Sixth of the Lease Agreement, agreeing and ratifying LESSOR and LESSEE that the renewal hereby formally agreed is for a period that will expire on
August 16 (sixteen) of year 2023 (two thousand twenty-three)
.
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En adición a lo anterior, las partes convienen y acuerdan en que el ARRENDATARIO tendrá derecho de prorrogar la Fecha de Vencimiento por un periodo adicional de 5 (cinco) años, mismo que en su caso podrá ser ejercitado por el ARRENDATARIO mediante notificación por escrita entregada al ARRENDADOR con cuando menos 6 (seis) meses antes del día
16 (dieciséis) de agosto del año 2023 (dos mil veintitrés)
. Lo anterior, en el entendido de que dicho derecho de prorroga estará sujeto única y exclusivamente a que el ARRENDATARIO se encuentre al corriente en el cumplimiento de sus obligaciones bajo el Contrato de Arrendamiento.
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Furthermore, the parties covenant and agree that LESSEE will have the right to extend the Termination Date for an additional 5 (five) year term, and that such right may be exercised by LESSEE through written notification delivered to LESSOR with at least 6 (six) months of anticipation of
August 16 (sixteen) of year 2023 (two thousand twenty-three)
. The above in the understanding that such extension right will be subject only and exclusively to the fact that LESSEE be current in the compliance of its obligations under the Lease Agreement.
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Salvo por lo dispuesto en el párrafo anterior, las partes convienen y acuerdan desde ahora la improrrogabilidad del término pactado, por lo que el ARRENDATARIO desde ahora renuncia a los beneficios que le concede el Artículo 2359 del Código Civil para el Estado de Baja California.
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|
Except for that set forth in the above paragraph, the parties hereby expressly agree on the non-extension of the agreed term, therefore LESSEE waives the benefits granted under article 2359 of the Civil Code for the State of Baja California.
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TERCERA.
Renuncia al derecho de preferencia y al derecho del tanto.
El ARRENDATARIO renuncia expresamente al derecho de preferencia y al derecho del tanto a que se refiere el Artículo 2321 del Código Civil para el Estado de Baja California. Más aún, el ARRENDATARIO en este acto conviene en que el legítimo propietario del inmueble objeto del Contrato de Arrendamiento, así como quien en lo futuro asumiere tal carácter, estará facultado para vender, ceder o de cualquier otra manera transmitir libremente la propiedad del inmueble objeto del Contrato de Arrendamiento.
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THIRD.
Waiver to preferential rights and rights of first refusal.
LESSEE expressly waives the right of first refusal and preferential right referred to under Article 2321 of the Civil Code for the State of Baja California. Moreover, LESSEE hereby agrees
that the rightful owner of the leased premises and any other person that in the future assumes such role, is authorized to sell, assign or in any other manner transfer title to the premises subject matter of the Lease Agreement.
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CUARTA.
Renta.
Con efectos retroactivos a partir del día 1º de Enero de 2018, el ARRENDADOR y el ARRENDATARIO, por medio del presente instrumento formalizan su acuerdo previo respecto al monto de la renta mensual pagadera conforme al Contrato de Arrendamiento en el sentido de que a partir del día 1º de Enero de 2018, la renta mensual será la cantidad de
US$23,177.59 Dólares
(Veintitrés Mil Ciento Setenta y Siete Dólares 59/100 moneda de curso legal de los Estados Unidos de América)
por mes, más el correspondiente Impuesto al Valor Agregado.
|
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FOURTH.
Rent.
With retroactive effects as of January 1
st
2018, LESSOR and LESSEE hereby formalize their prior agreement regarding the amount of the rent payable pursuant to the Lease Agreement in order that as of January 1
st
2018, the monthly rent be the amount of
US$23,177.59 Dollars (Twenty-Three Thousand One Hundred Seventy-Seven Dollars 59/100 legal currency of the United States of America)
per month, plus the corresponding Value Added Tax.
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Adicionalmente, queda entendido y acordado entre el ARRENDADOR y el ARRENDATARIO en que la renta mensual durante el periodo de prorroga y renovación aquí formalmente convenido, se incrementará en forma acumulativa a partir del día
1 (primero) de septiembre del año 2018 (dos mil dieciocho)
a razón de 2% (dos por ciento) por cada periodo de 12 (doce) meses. Es decir, la renta por cada mes del periodo comprendido entre el día
1 (primero) de septiembre del año 2018 (dos mil dieciocho) y el día 31 (treinta y uno) de agosto del año 2019 (dos mil diecinueve)
será la cantidad de
US$23,641.14 Dólares
(Veintitrés Mil Seiscientos Cuarenta y Un Dólares 14/100 moneda de curso legal de los Estados Unidos de América)
por mes, más el correspondiente Impuesto al Valor Agregado, y la misma se incrementará en forma acumulativa para el siguiente periodo de 12 (doce) meses y para los períodos subsecuentes de 12 (doce) meses a razón de 2% (dos por ciento) por cada período de 12 (doce) meses.
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Additionally, it is agreed and understood by LESSOR and LESSEE that the monthly rent during the extension term hereby formally agreed, will be increased in a cumulative manner as of
September 1
st
(first) of year 2018 (two thousand eighteen)
at a rate of 2% (two percent) per each 12 (twelve) month period. This is, the monthly rent per each month during the period between
September 1
st
(first) of year 2018 (two thousand eighteen) and August 31
st
(thirty first) of year 2019 (two thousand nineteen)
will be the amount of
US$23,641.14 Dollars (Twenty-three Thousand Six Hundred Forty One Dollars 14/100 legal currency of the United States of America)
per month, plus the corresponding Value Added Tax, and such amount will be increased in a cumulative manner for the following 12 (twelve) months and the subsequent 12 (twelve) month periods at a rate of 2% (two percent) per each 12 (twelve) month period.
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En virtud de que con anterioridad a la firma del presente instrumento el ARRENDATARIO pagó al ARRENDADOR la renta correspondiente al mes de Enero 2018, sin considerar el ajuste al misma a que se refiere el primer párrafo de esta Cláusula, las partes convienen y acuerdan en que el ARRENDATARIO excepcionalmente y únicamente por lo que respecta al pago de la renta por el mes de Febrero 2018 estará obligado a pagar la cantidad de
US$16,559.28 Dólares
(Dieciséis Mil Quinientos Cincuenta y Nueve Dólares 28/100 moneda de curso legal de los Estados Unidos de América)
, más el correspondiente Impuesto al Valor Agregado. Lo anterior toda vez que el ARRENDADOR expedirá una nota de crédito por el pago en exceso en la renta correspondiente al mes de Enero 2018.
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|
Due to the fact that prior to the execution hereof LESSEE paid LESSOR the rent corresponding to the month of January 2018, without considering the adjustment to the same referred to in the first paragraph of this Clause, the parties covenant and agree that solely and exceptionally for the rental payment that correspond to the month of February 2018, LESSEE shall only be obligated to pay the amount of
US$16,559.28 Dollars (Sixteen Thousand Five Hundred Fifty Nine Dollars 28/100 legal currency of the United States of America)
plus the corresponding Value Added Tax. The above since LESSOR will issue a credit note for the payment in excess on rent for the month of January 2018.
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QUINTA.
Consentimiento de Haemonetics Corporation.
Con la firma del presente Convenio por parte de Haemonetics Corporation, Haemonetics Corporation manifiesta y hace constar: (i) que no tiene ni tuvo inconveniente o problema alguno para que el ARRENDADOR adquiriera y asumiera los derechos y obligaciones de arrendador bajo el Contrato de Arrendamiento; (ii) que reconoce y acepta al ARRENDADOR como titular de los derechos y obligaciones de arrendador bajo el Contrato de Arrendamiento; (iii) que reconoce y acepta al ARRENDADOR como beneficiario de los derechos derivados de la Garantía de Arrendamiento relacionada en la Declaración 10 del presente instrumento y como persona legitimada para hacer valer la misma; (iv) que otorga su autorización y consentimiento, como garante del ARRENDATARIO, con respecto a la celebración del presente Convenio; y (v) que reconoce y acepta que la Garantía de Arrendamiento relacionada en la Declaración 10 del presente instrumento continuará y permanecerá vigente durante toda la vigencia del Contrato de Arrendamiento.
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FIFTH.
Consent of Haemonetics Corporation.
With the execution hereof by Haemonetics Corporation, Haemonetics Corporation states and certifies: (i) that it didn´t had nor has any inconvenience or problem for LESSOR to acquire and assume lessors rights and obligations under the Lease Agreement; (ii) that it recognizes and accepts LESSOR as holder of lessor´s rights and obligations under the Lease Agreement; (iii) that it recognizes and accepts LESSOR as beneficiary of the rights derived from the Lease Guaranty referred to in Recital 10 hereof and the person who may enforce the same; (iv) that it grants its consent and authorization, as LESSEE´s guarantor, for the execution hereof; and (v) that it recognizes and accepts that the Guaranty of Lease referred to in Recital 10 hereof, will continue in effect during the entire effectiveness of the Lease Agreement.
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SEXTA.
Domicilios.
Para los efectos de este Convenio y los del Contrato de Arrendamiento, las partes señalan como sus domicilios para oír y recibir toda clase de notificaciones y avisos, aún las de carácter personal, incluyendo entre estas las de emplazamiento, los siguientes:
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SIXTH.
Addresses.
For the purposes of this Agreement and those of the Lease Agreement, the parties designate as their addresses to hear and receive all kind of notifications and notices, including those of personal character and notices for trial, the following:
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Del ARRENDADOR: Boulevard Insurgentes 25420, Parque Industrial El Florido, C.P. 22244, Tijuana, Baja California, México.
|
|
Of LESSOR: Boulevard Insurgentes 25420, Parque Industrial El Florido, C.P. 22244, Tijuana, Baja California, Mexico.
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Del ARRENDATARIO: Calle Colinas 11730 del Fraccionamiento Parque Industrial El Florido, Sección Colinas, Delegación La Presa, Tijuana, Baja California, México.
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Of LESSEE: Calle Colinas 11730 del Fraccionamiento Parque Industrial El Florido, Sección Colinas, Delegación La Presa, Tijuana, Baja California, Mexico.
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Del GARANTE: 400 Wood Road, Braintree, Massachusetts, E.U.A.
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Of GUARANTOR: 400 Wood Road, Braintree, Massachusetts, U.S.A.
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SÉPTIMA.
Declaraciones.
Las partes convienen y acuerdan que las declaraciones del presente Convenio forman parte integral del clausulado del mismo, por lo que por esta referencia se tienen aquí por reproducidas como si a la letra se insertasen.
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SEVENTH.
Recitals.
The parties covenant and agree that the recitals of this Agreement form and integral part of the clauses and by this reference are hereby as reproduced and inserted to the letter.
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OCTAVA.
Alcance.
(a)
Las partes convienen y reconocen que el presente Convenio deberá interpretarse conjuntamente con el Contrato de Arrendamiento, en el entendido de que éstos constituyen una sola unidad contractual
(b) Con excepción de las modificaciones contenidas en este Convenio, el resto del Contrato de Arrendamiento permanece en vigor, surtiendo todos sus efectos y fuerza legales, obligando a las partes en los mismos términos y condiciones originalmente otorgados.
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EIGHTH.
Scope.
(a) The parties recognize and acknowledge that this Agreement shall be interpreted together with the Lease Agreement, on the understanding that they are one and the same..
(b) With the exception of the amendments agreed to in this Agreement, the Lease Agreement remains in full force, and legal effects, binding the parties hereto in the original terms and conditions agreed upon
.
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NOVENA.
Idioma.
El presente Convenio se redacta en los idiomas Español e Inglés para facilitar la referencia de las partes participantes; sin embargo, estas convienen que en caso de discrepancia entre ambas versiones, será la redactada en idioma Español la que prevalezca.
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NINTH.
Language
.
This Agreement is written in the Spanish and English languages to facilitate the reference of all parties involved; however, the all parties agree that in the event of discrepancy between both versions, the Spanish version shall prevail.
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LEIDO QUE FUE POR LAS PARTES DE ESTE CONVENIO Y ENTERADOS DE SU CONTENIDO Y FUERZA LEGAL, LO RATIFICARON Y FIRMARON A LOS 19 DÍAS DEL MES DE ENERO DEL AÑO DOS MIL DIECIOCHO, ANTE LOS TESTIGOS QUE DAN FE DEL ACTO.
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AFTER READING THIS AGREEMENT AND ACKNOWLEDGING ITS CONTENTS AND LEGAL EFFECTS, THE PARTIES RATIFY AND SIGN IT ON JANUARY 19, OF YEAR TWO THOUSAND EIGHTEEN BEFORE THE ATTESTING WITNESSES.
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HAEMONETICS MEXICO MANUFACTURING, S. DE R.L. DE C.V.
/s/ Dan Goldstein
By:
MR
.
DAN GOLDSTEIN
Title: Legal representative
Place:
Date:
/s/ William Patrick Burke
By:
MR
.
WILLIAM PATRICK BURKE
Title: Legal representative
Place:
Date:
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HAEMONETICS MEXICO MANUFACTURING, S. DE R.L. DE C.V.
/s/ Dan Goldstein
Por:
SR
.
DAN GOLDSTEIN
Cargo: Representante legal
Lugar:
Fecha:
/s/ William Patrick Burke
Por:
SR. WILLIAM PATRICK BURKE
Cargo: Representante legal
Lugar:
Fecha:
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/s/ Blanca Estela Colunga Santelices
MRS. BLANCA ESTELA COLUNGA SANTELICES
Place:
Date:
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/s/ Blanca Estela Colunga Santelices
SRA. BLANCA ESTELA COLUNGA SANTELICES
Lugar:
Fecha:
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Entity Name
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Jurisdiction of Incorporation
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5D Information Management, Inc.
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Delaware
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Arryx, Inc.
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Nevada
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Global Med Technologies, Inc.
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Colorado
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Haemonetics (Hong Kong) Limited
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Hong Kong
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Haemonetics (UK) Limited
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United Kingdom
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Haemonetics Asia Incorporated
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Delaware
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Haemonetics Asia UK Ltd.
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United Kingdom
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Haemonetics Australia PTY Ltd.
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Victoria
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Haemonetics Belgium NV
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Belgium
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Haemonetics BV
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Netherlands
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Haemonetics Canada Ltd.
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British Columbia
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Haemonetics CZ, spol. s.r.o.
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Czech Republic
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Haemonetics France S.a.r.l
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France
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Haemonetics GmbH
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Germany
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Haemonetics Handelsgesellschaft m.b.H.
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Austria
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Haemonetics Healthcare India Private Limited
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India
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Haemonetics Hospitalar Ltda.
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Brazil
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Haemonetics International Finance S.a.r.l.
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Luxembourg
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Haemonetics International Holdings GmbH
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Switzerland
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Haemonetics IP HC Sarl
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Switzerland
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Haemonetics Italia s.r.l.
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Italy
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Haemonetics Japan GK
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Japan
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Haemonetics Korea, Inc.
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Seoul, Korea
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Haemonetics Limited
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United Kingdom
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Haemonetics Malaysia Sdn. Bhd.
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Malaysia
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Haemonetics Manufacturing, Inc.
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Delaware
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Haemonetics (Shanghai) Management Co. Ltd.
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Shanghai,China
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Haemonetics Mexico Manufacturing, S.de R.L. de C.V.
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Mexico
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Haemonetics New Zealand Limited
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New Zealand
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Haemonetics Produzione Italia S.r.l.
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Italy
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Haemonetics Puerto Rico LLC
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Puerto Rico
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Haemonetics S.A.
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Switzerland
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Haemonetics Scandinavia AB
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Sweden
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Haemonetics Singapore Pte. Ltd.
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Singapore
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Haemoscope Corporation
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Massachusetts
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Inlog SAS
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France
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Inlog Holdings France SAS
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France
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1.
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I have reviewed this Annual Report on Form 10-K of Haemonetics Corporation;
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2.
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Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
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3.
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Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
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4.
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The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
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a)
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Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
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b)
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Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
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c)
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Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures as of the end of the period covered by this report based on such evaluation; and
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d)
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Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
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5.
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The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):
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a)
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All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
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b)
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Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
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/s/ Christopher Simon
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Christopher Simon, President, Director and Chief
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Executive Officer (Principal Executive Officer)
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1.
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I have reviewed this Annual Report on Form 10-K of Haemonetics Corporation;
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2.
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Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
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3.
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Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
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4.
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The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
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a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
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b)
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Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
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c)
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Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures as of the end of the period covered by this report based on such evaluation; and
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d)
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Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
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5.
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The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):
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a)
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All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
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b)
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Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
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/s/ William Burke
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William Burke, Executive Vice President, Chief
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Financial Officer
(Principal Financial Officer)
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/s/ Christopher Simon
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Christopher Simon,
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President, Director and Chief Executive Officer
(Principal Executive Officer)
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/s/ William Burke
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William Burke, Executive Vice President, Chief
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Financial Officer
(Principal Financial Officer) |
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