10-Q
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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 10-Q

(Mark One)

Quarterly Report Pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934

For the quarterly period ended April 1, 2023

or

Transition Report Pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934

For the transition period from __ __ __ __to __ __ __ __

Commission File Number 1-10948

The ODP Corporation

(Exact Name of Registrant as Specified in its Charter)

https://cdn.kscope.io/8e816709461bce893b7b2ca568cce365-img216203478_0.jpg 

 

 

 

 

Delaware

85-1457062

(State or Other Jurisdiction of Incorporation or Organization)

(IRS Employer Identification No.)

 

 

 

6600 North Military Trail, Boca Raton, Florida

33496

(Address of Principal Executive Offices)

(Zip Code)

(561) 438-4800

(Registrant’s Telephone Number, Including Area Code)

 

(Former Name, Former Address and Former Fiscal Year, If Changed Since Last Report)

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class

 

Trading

Symbol(s)

 

Name of Each Exchange on which Registered

Common Stock, par value $0.01 per share

 

ODP

 

The NASDAQ Stock Market

(NASDAQ Global Select Market)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.:

Large accelerated filer

Accelerated filer

Non-accelerated filer

Smaller reporting company

Emerging growth company

 

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes No

The number of shares outstanding of the registrant’s common stock, as of the latest practicable date: At May 3, 2023, there were 38,595,863 outstanding shares of The ODP Corporation Common Stock, $0.01 par value.

1


 

TABLE OF CONTENTS

The order and presentation of this Quarterly Report on Form 10-Q differ from that of the traditional U.S. Securities and Exchange Commission (“SEC”) Form 10-Q format. We believe that our format better presents the relevant sections of this document and enhances readability. See “Form 10-Q Cross-Reference Index” within Other Information for a cross-reference index to the traditional SEC Form 10-Q format.

Financial Statements

 

Page

Condensed Consolidated Statements of Operations (Unaudited)

3

Condensed Consolidated Statements of Comprehensive Income (Unaudited)

4

Condensed Consolidated Balance Sheets (Unaudited)

5

Condensed Consolidated Statements of Cash Flows (Unaudited)

6

Condensed Consolidated Statements of Stockholders’ Equity (Unaudited)

 

7

Notes to Condensed Consolidated Financial Statements (Unaudited)

8

Management’s Discussion and Analysis (MD&A)

 

Overview

 

19

Operating Results by Division

 

22

Liquidity and Capital Resources

 

27

New Accounting Standards

 

29

Critical Accounting Policies

 

29

Other Information

 

 

Quantitative and Qualitative Disclosures About Market Risk

30

Controls and Procedures

30

Legal Proceedings

30

Risk Factors

30

Unregistered Sales of Equity Securities and Use of Proceeds

32

Exhibits

33

Form 10-Q Cross-Reference Index

 

34

Signatures

35

 

2


 

THE ODP CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(In millions, except per share amounts)

(Unaudited)

 

 

13 Weeks Ended

 

 

 

April 1,

 

 

March 26,

 

 

 

2023

 

 

2022

 

Sales

 

$

2,108

 

 

$

2,178

 

Cost of goods and occupancy costs

 

 

1,627

 

 

 

1,694

 

Gross profit

 

 

481

 

 

 

484

 

Selling, general and administrative expenses

 

 

382

 

 

 

396

 

Asset impairments

 

 

4

 

 

 

2

 

Merger, restructuring and other operating expenses, net

 

 

 

 

 

10

 

Operating income

 

 

95

 

 

 

76

 

Other income (expense):

 

 

 

 

 

 

Interest income

 

 

2

 

 

 

1

 

Interest expense

 

 

(5

)

 

 

(5

)

Other income, net

 

 

2

 

 

 

2

 

Income from continuing operations before income taxes

 

 

94

 

 

 

74

 

Income tax expense

 

 

22

 

 

 

19

 

Net income from continuing operations

 

 

72

 

 

 

55

 

Discontinued operations, net of tax

 

 

 

 

 

 

Net income

 

$

72

 

 

$

55

 

Basic earnings per share

 

 

 

 

 

 

Continuing operations

 

$

1.79

 

 

$

1.14

 

Discontinued operations

 

 

 

 

 

 

Net basic earnings per share

 

$

1.79

 

 

$

1.14

 

Diluted earnings per share

 

 

 

 

 

 

Continuing operations

 

$

1.71

 

 

$

1.09

 

Discontinued operations

 

 

 

 

 

 

Net diluted earnings per share

 

$

1.71

 

 

$

1.09

 

This report should be read in conjunction with the Notes to Condensed Consolidated Financial Statements herein and the Notes to Consolidated Financial Statements in The ODP Corporation Annual Report on Form 10-K filed on March 1, 2023 (the “2022 Form 10-K”).

3


 

THE ODP CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(In millions)

(Unaudited)

 

 

13 Weeks Ended

 

 

 

April 1,
2023

 

 

March 26,
2022

 

Net income

 

$

72

 

 

$

55

 

Other comprehensive income, net of tax, where applicable:

 

 

 

 

 

 

Foreign currency translation adjustments

 

 

2

 

 

 

(1

)

Reclassification of foreign currency translation adjustments
   realized upon disposal of business

 

 

 

 

 

6

 

Total other comprehensive income, net of tax, where
   applicable

 

 

2

 

 

 

5

 

Comprehensive income

 

$

74

 

 

$

60

 

This report should be read in conjunction with the Notes to Condensed Consolidated Financial Statements herein and the Notes to Consolidated Financial Statements in the 2022 Form 10-K.

4


 

THE ODP CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(In millions, except share and per share amounts)

 

 

April 1,

 

 

December 31,

 

 

 

2023

 

 

2022

 

 

 

(Unaudited)

 

 

 

 

ASSETS

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

Cash and cash equivalents

 

$

343

 

 

$

403

 

Receivables, net

 

 

524

 

 

 

536

 

Inventories

 

 

793

 

 

 

828

 

Prepaid expenses and other current assets

 

 

43

 

 

 

36

 

Current assets held for sale

 

 

110

 

 

 

107

 

Total current assets

 

 

1,813

 

 

 

1,910

 

Property and equipment, net

 

 

345

 

 

 

352

 

Operating lease right-of-use assets

 

 

885

 

 

 

874

 

Goodwill

 

 

467

 

 

 

464

 

Other intangible assets, net

 

 

44

 

 

 

46

 

Deferred income taxes

 

 

165

 

 

 

182

 

Other assets

 

 

322

 

 

 

321

 

Total assets

 

$

4,041

 

 

$

4,149

 

LIABILITIES AND STOCKHOLDERS’ EQUITY

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

Trade accounts payable

 

$

903

 

 

$

821

 

Accrued expenses and other current liabilities

 

 

923

 

 

 

1,005

 

Income taxes payable

 

 

7

 

 

 

17

 

Short-term borrowings and current maturities of long-term debt

 

 

12

 

 

 

16

 

Total current liabilities

 

 

1,845

 

 

 

1,859

 

Deferred income taxes and other long-term liabilities

 

 

123

 

 

 

122

 

Pension and postretirement obligations, net

 

 

16

 

 

 

16

 

Long-term debt, net of current maturities

 

 

210

 

 

 

172

 

Operating lease liabilities

 

 

699

 

 

 

693

 

Total liabilities

 

 

2,893

 

 

 

2,862

 

Commitments and contingencies

 

 

 

 

 

 

Stockholders' equity:

 

 

 

 

 

 

Common stock — authorized 80,000,000 shares of $0.01 par value; issued shares —
   
66,448,993 at April 01, 2023 and 65,636,015 at December 31, 2022;
   outstanding shares —
38,763,384 at April 01, 2023 and 42,213,046 at
   December 31, 2022

 

 

1

 

 

 

1

 

Additional paid-in capital

 

 

2,732

 

 

 

2,742

 

Accumulated other comprehensive loss

 

 

(75

)

 

 

(77

)

Accumulated deficit

 

 

(379

)

 

 

(451

)

Treasury stock, at cost — 27,685,609 shares at April 01, 2023 and 23,422,969
   shares at December 31, 2022

 

 

(1,131

)

 

 

(928

)

Total stockholders' equity

 

 

1,148

 

 

 

1,287

 

Total liabilities and stockholders’ equity

 

$

4,041

 

 

$

4,149

 

This report should be read in conjunction with the Notes to Condensed Consolidated Financial Statements herein and the Notes to Consolidated Financial Statements in the 2022 Form 10-K.

5


 

THE ODP CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In millions)

(Unaudited)

 

 

13 Weeks Ended

 

 

 

April 1,

 

 

March 26,

 

 

 

2023

 

 

2022

 

Cash flows from operating activities:

 

 

 

 

 

 

Net income

 

$

72

 

 

$

55

 

Income from discontinued operations, net of tax

 

 

 

 

 

 

Net income from continuing operations

 

 

72

 

 

 

55

 

Adjustments to reconcile net income to net cash provided by operating activities:

 

 

 

 

 

 

Depreciation and amortization

 

 

30

 

 

 

34

 

Amortization of debt discount and issuance costs

 

 

1

 

 

 

 

Charges for losses on receivables and inventories

 

 

5

 

 

 

6

 

Asset impairments

 

 

4

 

 

 

2

 

Gain on disposition of assets, net

 

 

(1

)

 

 

(3

)

Compensation expense for share-based payments

 

 

9

 

 

 

9

 

Deferred income taxes and deferred tax asset valuation allowances

 

 

17

 

 

 

10

 

Changes in working capital and other operating activities

 

 

20

 

 

 

(83

)

Net cash provided by operating activities of continuing operations

 

 

157

 

 

 

30

 

Net cash provided by operating activities of discontinued operations

 

 

 

 

 

 

Net cash provided by operating activities

 

 

157

 

 

 

30

 

Cash flows from investing activities:

 

 

 

 

 

 

Capital expenditures

 

 

(27

)

 

 

(21

)

Businesses acquired, net of cash acquired

 

 

(10

)

 

 

 

Proceeds from disposition of assets

 

 

1

 

 

 

6

 

Settlement of company-owned life insurance policies

 

 

 

 

 

1

 

Net cash used in investing activities of continuing operations

 

 

(36

)

 

 

(14

)

Net cash provided by investing activities of discontinued operations

 

 

5

 

 

 

67

 

Net cash provided by (used in) investing activities

 

 

(31

)

 

 

53

 

Cash flows from financing activities:

 

 

 

 

 

 

Net payments on long and short-term borrowings

 

 

(5

)

 

 

(6

)

Debt retirement

 

 

(60

)

 

 

(43

)

Debt issuance

 

 

100

 

 

 

 

Share purchases for taxes, net of proceeds from employee share-based transactions

 

 

(19

)

 

 

(14

)

Repurchase of common stock for treasury

 

 

(201

)

 

 

 

Other financing activities

 

 

 

 

 

(1

)

Net cash used in financing activities of continuing operations

 

 

(185

)

 

 

(64

)

Net cash used in financing activities of discontinued operations

 

 

 

 

 

 

Net cash used in financing activities

 

 

(185

)

 

 

(64

)

Effect of exchange rate changes on cash, cash equivalents and restricted cash

 

 

 

 

 

1

 

Net increase (decrease) in cash, cash equivalents and restricted cash

 

 

(59

)

 

 

20

 

Cash, cash equivalents and restricted cash at beginning of period

 

 

404

 

 

 

537

 

Cash, cash equivalents and restricted cash at end of period

 

$

345

 

 

$

557

 

Supplemental information on non-cash investing and financing activities

 

 

 

 

 

 

Right-of-use assets obtained in exchange for new operating lease liabilities

 

$

70

 

 

$

35

 

Promissory note receivable obtained from disposition of discontinued operations

 

 

59

 

 

 

55

 

Earn-out receivable obtained from disposition of discontinued operations

 

 

9

 

 

 

9

 

Cash interest paid, net of amounts capitalized and non-recourse debt

 

 

4

 

 

 

 

Other current receivable obtained from disposition of discontinued operations

 

 

 

 

 

30

 

This report should be read in conjunction with the Notes to Condensed Consolidated Financial Statements herein and the Notes to Consolidated Financial Statements in the 2022 Form 10-K.

6


 

THE ODP CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

(In millions, except share and per share amounts)

(Unaudited)

 

 

13 Weeks Ended April 1, 2023

 

 

 

Common
Stock
Shares

 

 

Common
Stock
Amount

 

 

Additional
Paid-in
Capital

 

 

Accumulated
Other
Comprehensive
Loss

 

 

Accumulated
Deficit

 

 

Treasury
Stock

 

 

Total
Equity

 

Balance at December 31, 2022

 

 

65,636,015

 

 

$

1

 

 

$

2,742

 

 

$

(77

)

 

$

(451

)

 

$

(928

)

 

$

1,287

 

Net income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

72

 

 

 

 

 

 

72

 

Other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

2

 

 

 

 

 

 

 

 

 

2

 

Exercise and release of incentive stock
   (including income tax benefits and
   withholding)

 

 

812,978

 

 

 

 

 

 

(19

)

 

 

 

 

 

 

 

 

 

 

 

(19

)

Amortization of long-term incentive
   stock grants

 

 

 

 

 

 

 

 

9

 

 

 

 

 

 

 

 

 

 

 

 

9

 

Repurchase of common stock

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(202

)

 

 

(202

)

Other

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1

)

 

 

(1

)

Balance at April 1, 2023

 

 

66,448,993

 

 

$

1

 

 

$

2,732

 

 

$

(75

)

 

$

(379

)

 

$

(1,131

)

 

$

1,148

 

 

 

 

13 Weeks Ended March 26, 2022

 

 

 

Common
Stock
Shares

 

 

Common
Stock
Amount

 

 

Additional
Paid-in
Capital

 

 

Accumulated
Other
Comprehensive
Loss

 

 

Accumulated
Deficit

 

 

Treasury
Stock

 

 

Total
Equity

 

Balance at December 25, 2021

 

 

64,704,979

 

 

$

1

 

 

$

2,692

 

 

$

(6

)

 

$

(617

)

 

$

(632

)

 

$

1,438

 

Net income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

55

 

 

 

 

 

 

55

 

Other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

5

 

 

 

 

 

 

 

 

 

5

 

Exercise and release of incentive stock
   (including income tax benefits and
   withholding)

 

 

652,606

 

 

 

 

 

 

(14

)

 

 

 

 

 

 

 

 

 

 

 

(14

)

Amortization of long-term incentive
   stock grants

 

 

 

 

 

 

 

 

9

 

 

 

 

 

 

 

 

 

 

 

 

9

 

Other

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1

)

 

 

(1

)

Balance at March 26, 2022

 

 

65,357,585

 

 

$

1

 

 

$

2,687

 

 

$

(1

)

 

$

(562

)

 

$

(633

)

 

$

1,492

 

This report should be read in conjunction with the Notes to Condensed Consolidated Financial Statements herein and the Notes to Consolidated Financial Statements in the 2022 Form 10-K.

7


 

THE ODP CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BASIS OF PRESENTATION

The ODP Corporation (including its consolidated subsidiaries, “ODP” or the “Company”) is a leading provider of products, services and technology solutions through an integrated business-to-business (“B2B”) distribution platform and omni-channel presence, which includes supply chain and distribution operations, dedicated sales professionals, a B2B digital procurement solution, online presence, and a network of Office Depot and OfficeMax retail stores. Through its operating companies ODP Business Solutions, LLC; Office Depot, LLC; Veyer, LLC; and Varis, LLC, The ODP Corporation empowers every business, professional, and consumer to achieve more every day.

The Company has four reportable segments (or “Divisions”), which are ODP Business Solutions Division, Office Depot Division, Veyer Division, and Varis Division. Refer to Note 4 for additional information.

The Company’s CompuCom Division was sold through a single disposal group on December 31, 2021. The Company has presented cash flows from the sale of the CompuCom Division as discontinued operations in the Condensed Consolidated Statements of Cash Flows for all periods. There was no impact of discontinued operations on the Condensed Consolidated Statement of Operations for the periods presented in this Quarterly Report on Form 10-Q. Refer to Note 12 for additional information.

The Condensed Consolidated Financial Statements as of April 1, 2023, and for the 13-week period ended April 1, 2023 (also referred to as the “first quarter of 2023”) and March 26, 2022 (also referred to as the “first quarter of 2022”) are unaudited. However, in management’s opinion, these Condensed Consolidated Financial Statements reflect all adjustments of a normal recurring nature necessary to provide a fair presentation of the Company’s financial position, results of operations, and cash flows for the periods presented. The Company made a business acquisition in 2023 which is included prospectively from the date of acquisition, thus affecting the comparability of the Company’s financial statements for the periods presented in this Quarterly Report on Form 10-Q. Refer to Note 2 for additional information.

The Company has prepared the Condensed Consolidated Financial Statements included herein pursuant to the rules and regulations of the SEC. Some information and note disclosures, which would normally be included in comprehensive annual financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”), have been condensed or omitted pursuant to those SEC rules and regulations. The preparation of these Condensed Consolidated Financial Statements requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. For a better understanding of the Company and its Condensed Consolidated Financial Statements, the Company recommends reading these Condensed Consolidated Financial Statements in conjunction with the audited financial statements, which are included in the Company’s 2022 Form 10-K. These interim results are not necessarily indicative of the results that should be expected for the full year.

CASH MANAGEMENT

The cash management process generally utilizes zero balance accounts which provide for the settlement of the related disbursement and cash concentration accounts on a daily basis. Amounts not yet presented for payment to zero balance disbursement accounts of $10 million and $16 million at April 1, 2023 and December 31, 2022, respectively, are presented in Trade accounts payable and Accrued expenses and other current liabilities.

At April 1, 2023 and December 31, 2022, cash and cash equivalents held outside the United States amounted to $117 million and $113 million, respectively.

Restricted cash consists primarily of cash in bank committed to fund UK pension obligations based on the agreements that govern the UK pension plan. Restricted cash is valued at cost, which approximates fair value. Restricted cash was $2 million and $1 million at April 1, 2023 and December 31, 2022, respectively.

8


THE ODP CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited) – (Continued)

REVENUE AND CONTRACT BALANCES

The Company generates substantially all of its revenue from contracts with customers for the sale of products and services. Refer to Note 4 for information on revenue by reportable segment and product category. Contract balances primarily consist of receivables, assets related to deferred contract acquisition costs, liabilities related to payments received in advance of performance under the contract, and liabilities related to unredeemed gift cards and loyalty programs. The following table provides information about receivables, contract assets and contract liabilities from contracts with customers:

 

 

 

April 1,

 

 

December 31,

 

(In millions)

 

2023

 

 

2022

 

Trade receivables, net

 

 

422

 

 

 

412

 

Short-term contract assets

 

 

5

 

 

 

8

 

Long-term contract assets

 

 

2

 

 

 

2

 

Short-term contract liabilities

 

 

40

 

 

 

41

 

Long-term contract liabilities

 

 

 

 

 

 

The Company recognized revenues of $18 million and $13 million in the first quarters of 2023 and 2022, respectively, which were included in the short-term contract liability balance at the beginning of each respective period.

NOTE 2. ACQUISITIONS

Since 2017, the Company has been acquiring profitable regional office supply distribution businesses to expand its reach and distribution network into geographic areas that were previously underserved. In January 2023, the Company acquired a small independent regional office supply distribution business in the U.S. The Company’s strategy has been to acquire businesses with purchase prices ranging from $5 million to $15 million, which were individually insignificant to the Company. The business acquired was consistent with acquisitions of similar sized businesses in the past and the acquisition was primarily funded with cash on hand.

The acquisition was treated as a purchase in accordance with ASC 805, Business Combinations (“ASC 805”) which requires allocation of the purchase price to the estimated fair values of assets and liabilities acquired in the transactions including goodwill and other intangible assets. The Company has performed a preliminary purchase price allocation of the aggregate purchase price to the estimated fair values of assets and liabilities acquired in the transactions. The preliminary purchase price allocation for the acquired office supply distribution business includes $3 million of goodwill. An immaterial amount of the aggregate purchase price was allocated to working capital accounts. These assets and liabilities are included in the Condensed Consolidated Balance Sheet as of April 1, 2023. As additional information is obtained about these assets and liabilities within the measurement period (not to exceed one year from the dates of acquisition), the Company will refine its estimates of fair value to allocate the purchase price. The operating results of the acquired business is combined with the Company’s operating results subsequent to the purchase date and are included in the ODP Business Solutions Division, as described in Note 4. Certain disclosures set forth under ASC 805, including supplemental pro forma financial information, are not disclosed because the operating results of the acquired business are not material to the Company.

Under the business combinations accounting guidance, merger and integration costs are not included as components of consideration transferred. Instead, they are accounted for as expenses in the period in which the costs are incurred. Transaction-related expenses are included in the Merger, restructuring and other operating expenses, net line in the Condensed Consolidated Statements of Operations. Refer to Note 3 for additional information about the merger, restructuring and other operating expenses incurred during the first quarter of 2023.

9


THE ODP CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited) – (Continued)

NOTE 3. MERGER, RESTRUCTURING AND OTHER ACTIVITY

The Company has taken actions to optimize its asset base and drive operational efficiencies. These actions include acquiring profitable businesses, closing underperforming retail stores and non-strategic distribution facilities, consolidating functional activities, eliminating redundant positions and disposing of non-strategic businesses and assets. The expenses and any income recognized directly associated with these actions are included in Merger, restructuring and other operating expenses, net on a separate line in the Condensed Consolidated Statements of Operations in order to identify these activities apart from the expenses incurred to sell to and service customers. These expenses are not included in the determination of Division operating income. The table below summarizes the major components of Merger, restructuring and other operating expenses, net.

 

 

 

First Quarter

 

(In millions)

 

2023

 

 

2022

 

Merger and transaction related expenses

 

 

 

 

 

 

Transaction and integration

 

$

 

 

$

 

Total Merger and transaction related expenses

 

 

 

 

 

 

Restructuring expenses