Business Combinations On January 3, 2020, the Company completed the acquisition of all of the shares of the parent company of Voortman, a manufacturer of premium, branded wafers as well as sugar-free and specialty cookies for approximately $325.8 million ($423.2 million CAD), pending final working capital and other closing statement adjustments. This purchase price was reduced by a net gain on a related foreign currency contract of $6.9 million, cash acquired of $1.6 million and a receivable for certain purchase price adjustments of $1.1 million, resulting in a net cash outflow of $318.4 million. The acquisition of Voortman diversifies and expands the Companys product offerings and manufacturing capabilities in the adjacent cookie category. The acquisition also leverages the Companys customer reach and lean and agile business model. The combined Company expects to realize additional benefits of scale via sharing established, efficient infrastructure and strengthening collaborative retail partnerships in the United States and Canada. An aggregate of $10.8 million CAD was deposited into an escrow account to satisfy amounts in respect of post-closing adjustments and to provide for payment to the Company of indemnity claims, if any. During the six months ended June 30, 2020, working capital and other adjustments of $1.0 million were made to goodwill. The Company continues to work through post-closing working capital and other adjustments in accordance with the terms of the share purchase agreement, as well as other contractual rights it has under the transaction documents. Included in other non-current liabilities in the table below is a $1.3 million liability for pre-acquisition uncertain tax positions. It is offset by a non-current receivable balance of $1.3 million representing expected recovery through seller or insurance policy indemnification. The Company recorded a preliminary allocation of the purchase price to tangible and identified intangible assets acquired and liabilities assumed, based on their fair values as of the closing date. The final allocation of the purchase price is pending the final valuation of certain assets acquired and liabilities assumed and finalization of customary closing adjustments to the final purchase price. The Company expects to finalize the allocation of the purchase consideration as soon as practicable. The preliminary purchase price allocation is as follows: (In thousands) Cash $ 1,639 Accounts receivable 24,848 Inventory 8,309 Income tax receivable 6,079 Other current assets 420 Property and equipment 32,200 Customer relationships 11,100 Trade names 130,000 Goodwill 167,064 Other non-current assets 1,320 Accounts payable and accrued expenses (5,192) Customer trade allowances (5,428) Lease liabilities (6,420) Deferred taxes (38,854) Other non-current liabilities (1,320) Assets acquired and liabilities assumed $ 325,765 During the six months ended June 30, 2020, the Company incurred $4.3 million of expenses related to this acquisition. These expenses are classified as business combination transaction costs on the consolidated statements of operations. The following unaudited pro forma combined financial information presents the Companys results as though the acquisition of Voortman had occurred at January 1, 2019. The unaudited pro forma consolidated financial information has been prepared using the acquisition method of accounting in accordance with U.S. GAAP: Three Months Ended Six Months Ended (In thousands) June 30, 2020 June 30, 2019 June 30, 2020 June 30, 2019 (unaudited, pro forma) (unaudited, pro forma) Net revenue $ 256,226 $ 269,082 $ 499,711 $ 512,142 Net income $ 17,370 $ 17,200 $ 20,010 $ 42,059