v3.26.3
Commitments and Contingencies
9 Months Ended
Sep. 28, 2026
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies

(11) Commitments and Contingencies

Legal Matters

The Company is subject to various legal matters, which it considers normal for its business activities. While the Company currently believes that the amount of any reasonably possible loss for known matters would not be material to the Company’s financial condition, the outcome of these actions is inherently difficult to predict. In the event of an adverse outcome, the ultimate potential loss could have a material adverse effect on the Company’s financial condition or results of operations in a particular period. The Company has accrued amounts for its loss contingencies which are probable and estimable as of September 28, 2026 and December 29, 2025 and included as a component of other current liabilities. However, these amounts are not material to the consolidated condensed financial statements of the Company.

Supplier Finance Program Obligations

The Company has agreements with financial institutions to facilitate payments to certain suppliers. Liabilities associated with these agreements are recorded in accounts payable on the consolidated condensed balance sheets and amounted to $21,531 and $12,535 as of September 28, 2026 and December 29, 2025, respectively.

Banking Facility Agreement

In June 2026, the Company entered a banking facility with a major financial institution to replace a portion of the trade credit capacity granted under the previous Asia ABL. This banking facility provides the Company with a line of credit for up to an aggregate $30,000, which can be used to facilitate payments over imported equipment. The line of credit can be drawn upon for up to one year and six months. On a quarterly basis, the Company is required to pay 1.25% per annum on the drawn portion of the aggregate available line of credit. As of September 28, 2026, the Company had current letters of credit issued under this banking facility agreement of $21,531.

Future Lease Commitments

As of September 28, 2026, the Company entered into seven facility lease agreements that have not yet commenced in order to expand manufacturing and corporate capacity. Total undiscounted future minimum lease commitments under these agreements are $25,078 for leases that are expected to commence starting in the fourth quarter of 2026 through 2027 with initial terms ranging from five to eight years.