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Document and Entity Information - USD ($)	12 Months Ended
Document and Entity Information - USD ($)	Dec. 31, 2018	Feb. 04, 2019	Jun. 29, 2018
Document And Entity Information
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2018
Document Fiscal Year Focus	2018
Document Fiscal Period Focus	FY
Trading Symbol	PCCC
Entity Registrant Name	PC CONNECTION INC
Entity Central Index Key	0001050377
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		26,395,683
Entity Public Float			$ 380,230,570

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Current Assets:
Cash and cash equivalents	$ 91,703	$ 49,990
Accounts receivable, net	447,698	449,682
Inventories, net	119,195	106,753
Income taxes receivable	922	3,933
Prepaid expenses and other current assets	9,661	5,737
Total current assets	669,179	616,095
Property and equipment, net	51,799	41,491
Goodwill	73,602	73,602
Intangibles assets, net	9,564	11,025
Other assets	1,211	5,638
Total Assets	805,355	747,851
Current Liabilities:
Accounts payable	201,640	194,257
Accrued payroll	24,319	22,662
Accrued expenses and other liabilities	33,840	31,096
Total current liabilities	259,799	248,015
Deferred income taxes	17,184	15,696
Other liabilities	2,469	1,888
Total Liabilities	279,452	265,599
Stockholders' Equity:
Common Stock, $.01 par value, 100,000 shares authorized, 28,787 and 28,709 issued, 26,396 and 26,853 outstanding at December 31, 2018 and 2017, respectively	288	287
Additional paid-in capital	115,842	114,154
Retained earnings	441,010	383,673
Treasury stock, at cost, 2,391 and 1,856 shares at December 31, 2018 and 2017	(31,237)	(15,862)
Total Stockholders' Equity	525,903	482,252
Total Liabilities and Stockholders' Equity	$ 805,355	$ 747,851

CONSOLIDATED BALANCE SHEETS (PARENTHETICAL) - $ / shares shares in Thousands	Dec. 31, 2018	Dec. 31, 2017
Consolidated Balance Sheets
Common Stock, par value	$ 0.01	$ 0.01
Common Stock, shares authorized	100,000	100,000
Common Stock, shares issued	28,787	28,709
Common Stock, shares outstanding	26,396	26,853
Treasury stock, shares	2,391	1,856

CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Consolidated Statements of Income
Net sales	$ 709,520	$ 658,504	$ 706,570	$ 624,895	$ 762,267	$ 729,230	$ 749,792	$ 670,594	$ 2,699,489	$ 2,911,883	$ 2,692,592
Cost of sales	602,718	558,060	599,102	528,523	662,737	633,087	650,122	583,861	2,288,403	2,529,807	2,321,435
Gross profit	106,802	100,444	107,468	96,372	99,530	96,143	99,670	86,733	411,086	382,076	371,157
Selling, general and administrative expenses	79,518	81,494	82,521	80,900	74,939	74,404	76,289	75,281	324,433	300,913	287,231
Restructuring and other charges	967				2,695		941		967	3,636	3,406
Income from operations	26,317	18,950	24,947	15,472	21,896	21,739	22,440	11,452	85,686	77,527	80,520
Other income (expense), net	2,566	114	182	116	78	(8)	9	19	2,978	98	(67)
Income before taxes	28,883	19,064	25,129	15,588	21,974	21,731	22,449	11,471	88,664	77,625	80,453
Income tax provision	(7,583)	(5,298)	(6,903)	(4,288)	(1,251)	(8,614)	(8,864)	(4,039)	(24,072)	(22,768)	(32,342)
Net income	$ 21,300	$ 13,766	$ 18,226	$ 11,300	$ 20,723	$ 13,117	$ 13,585	$ 7,432	$ 64,592	$ 54,857	$ 48,111
Earnings per common share:
Basic	$ 0.80	$ 0.52	$ 0.68	$ 0.42	$ 0.77	$ 0.49	$ 0.51	$ 0.28	$ 2.42	$ 2.05	$ 1.81
Diluted	$ 0.80	$ 0.51	$ 0.68	$ 0.42	$ 0.77	$ 0.49	$ 0.51	$ 0.28	$ 2.41	$ 2.04	$ 1.80
Shares used in computation of earnings per common share:
Basic	26,632	26,716	26,685	26,835	26,822	26,802	26,761	26,697	26,717	26,771	26,528
Diluted	26,766	26,902	26,820	26,916	26,907	26,899	26,893	26,866	26,854	26,891	26,719

CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands	Common Stock	Additional Paid-In Capital	Retained Earnings	Treasury Shares	Total
Balance at Dec. 31, 2015	$ 284	$ 109,161	$ 298,868	$ (15,862)	$ 392,451
Balance (in shares) at Dec. 31, 2015	28,353			(1,856)
Stock options exercised		135			135
Stock options exercised (in shares)	11
Issuance of common stock under Employee Stock Purchase Plan		961			961
Issuance of common stock under Employee Stock Purchase Plan (in shares)	39
Stock-based compensation expense		1,049			1,049
Restricted stock units vested	$ 1	(1)
Restricted stock units vested (in shares)	62
Shares withheld for taxes paid on stock awards		(737)			(737)
Tax benefit from stock-based compensation		513			513
Dividend declaration			(9,041)		(9,041)
Net income			48,111		48,111
Balance at Dec. 31, 2016	$ 285	111,081	337,938	$ (15,862)	433,442
Balance (in shares) at Dec. 31, 2016	28,465			(1,856)
Stock options exercised	$ 2	1,748			1,750
Stock options exercised (in shares)	157
Issuance of common stock under Employee Stock Purchase Plan		1,197			1,197
Issuance of common stock under Employee Stock Purchase Plan (in shares)	47
Stock-based compensation expense		741			741
Restricted stock units vested (in shares)	40
Shares withheld for taxes paid on stock awards		(613)			(613)
Dividend declaration			(9,122)		(9,122)
Net income			54,857		54,857
Balance at Dec. 31, 2017	$ 287	114,154	383,673	$ (15,862)	$ 482,252
Balance (in shares) at Dec. 31, 2017	28,709			(1,856)	28,709
Issuance of common stock under Employee Stock Purchase Plan	$ 1	1,246			$ 1,247
Issuance of common stock under Employee Stock Purchase Plan (in shares)	41
Stock-based compensation expense		1,080			1,080
Restricted stock units vested (in shares)	37
Shares withheld for taxes paid on stock awards		(638)			(638)
Repurchases of treasury shares				$ (15,375)	(15,375)
Repurchase of treasury shares (in shares)				(535)
Dividend declaration			(8,452)		(8,452)
Net income			64,592		64,592
Balance at Dec. 31, 2018	$ 288	$ 115,842	441,010	$ (31,237)	$ 525,903
Balance (in shares) at Dec. 31, 2018	28,787			(2,391)	28,787
Cumulative effect of adoption of ASC 606			$ 1,197		$ 1,197

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Cash Flows provided by Operating Activities:
Net income	$ 64,592	$ 54,857	$ 48,111
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization	14,063	11,839	10,453
Provision for doubtful accounts	1,680	1,658	360
Stock-based compensation expense	1,080	741	1,049
Deferred income taxes	1,488	(3,906)	3,506
Loss on disposal of fixed assets	51	24	92
Excess tax benefit from exercise of equity awards			(513)
Changes in assets and liabilities:
Accounts receivable	14,872	(39,457)	(33,835)
Inventories	(23,311)	(16,218)	12,401
Prepaid expenses, income tax receivables and other current assets	(1,045)	(2,097)	(1,274)
Other non-current assets	2,403	(4,265)	(321)
Accounts payable	5,722	15,807	(3,012)
Accrued expenses and other liabilities	5,244	337	(3,431)
Net cash provided by operating activities	86,839	19,320	33,586
Cash Flows used in Investing Activities:
Purchases of equipment and capitalized software	(21,238)	(11,803)	(11,885)
Cash paid for acquisitions			(42,990)
Net cash used in investing activities	(21,238)	(11,803)	(54,875)
Cash Flows (used in) provided by Financing Activities:
Proceeds from short-term borrowings	859
Repayment of short-term borrowings	(859)
Purchase of treasury shares	(15,375)
Dividend payment	(9,122)	(9,041)	(10,591)
Exercise of stock options		1,750	135
Issuance of stock under Employee Stock Purchase Plan	1,247	1,197	961
Excess tax benefit from exercise of equity awards			513
Payment of payroll taxes on stock-based compensation through shares withheld	(638)	(613)	(737)
Net cash used in financing activities	(23,888)	(6,707)	(9,719)
Increase (decrease) in cash and cash equivalents	41,713	810	(31,008)
Cash and cash equivalents, beginning of year	49,990	49,180	80,188
Cash and cash equivalents, end of year	91,703	49,990	49,180
Non-cash Investing and Financing Activities:
Accrued capital expenditures	2,422	699	109
Dividend declaration	8,452	9,122	9,041
Supplemental Cash Flow Information:
Income taxes paid	$ 19,945	$ 28,927	$ 29,740

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

12 Months Ended

Dec. 31, 2018

Summary of Significant Accounting Policies

Summary of Significant Accounting Policies

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

We are a leading solutions provider of a wide range of information technology, or IT, solutions. We help our customers design, enable, manage, and service their IT environments. We provide IT products, including computer systems, software and peripheral equipment, networking communications, and other products and accessories that we purchase from manufacturers, distributors, and other suppliers. We also offer services involving design, configuration, and implementation of IT solutions. These services are performed by our personnel and by first-party service providers. We operate through three sales segments: (a) the Business Solutions segment, which serves small- to medium-sized businesses, through our PC Connection Sales subsidiary, (b) the Enterprise Solutions segment, which serves large enterprise customers, through our MoreDirect subsidiary, and (c) the Public Sector segment, which serves federal, state, and local governmental and educational institutions, through our GovConnection subsidiary.

The following is a summary of our significant accounting policies:

Principles of Consolidation

The consolidated financial statements include the accounts of PC Connection, Inc. and its subsidiaries, all of which are wholly-owned. Intercompany transactions and balances are eliminated in consolidation.

Use of Estimates in the Preparation of Financial Statements

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts and disclosures of assets and liabilities and the reported amounts and disclosures of revenue and expenses during the period. By nature, estimates are subject to an inherent degree of uncertainty. Actual results could differ from those estimates and assumptions.

Reclassification of Prior Year Presentation

Certain prior year amounts have been reclassified for consistency with current year presentation. Restructuring and other charges have been separated from selling, general, and administrative expenses on the Consolidated Statements of Income. These charges amount to $967, $3,636, and $3,406 for the years ending December 31, 2018, 2017, and 2016, respectively. This change in classification does not affect previously reported net income or earnings per share figures in the Consolidated Statements of Income.

Revenue Recognition

On January 1, 2018, we adopted ASC 606, Revenue from Contracts with Customers (“ASC 606”), which replaced existing revenue recognition rules with a comprehensive revenue measurement and recognition standard and expanded disclosure requirements. See Adoption of Recently Issued Accounting Standards within this footnote for additional information.

Revenue is recognized upon transfer of control of promised products or services to customers in an amount that reflects the consideration we expect to receive in exchange for those products or services. We enter into contracts that can include various combinations of products and services, which are generally capable of being distinct and accounted for as separate performance obligations. In most instances, when several performance obligations are aggregated into one single transaction, these performance obligations are fulfilled at the same point in time. We account for an arrangement when it has approval and commitment from both parties, the rights are identified, the contract has commercial substance, and collectability of consideration is probable. We generally obtain oral or written purchase authorizations from our customers for a specified amount of product at a specified price, which constitutes an arrangement. Revenue is recognized at the amount expected to be collected, net of any taxes collected from customers, which are subsequently remitted to governmental authorities. We generally invoice for our products at the time of shipping, and accordingly there is not a significant financing component included in our arrangements.

Prior to the adoption of ASC 606, revenue on product sales was recognized at the point in time when persuasive evidence of an arrangement existed, the price was fixed or determinable, delivery had occurred, and there was a reasonable assurance of collection of the sales proceeds. Service revenue was recognized over time as the services were performed. We evaluated such engagements to determine whether we or the third party assumed the general risk and reward of ownership in these transactions. This evaluation was the basis by which we determined that revenue from these transactions would be recognized on a gross or a net basis.

In multiple-element revenue arrangements, each service performed and product delivered was considered a separate deliverable and qualified as a separate unit of accounting. For material multiple element arrangements, we allocated revenue based on vendor-specific objective evidence of fair value of the underlying services and products. In the absence of vendor-specific objective evidence, we would utilize third-party evidence to allocate the selling price. If neither vendor-specific objective evidence nor third-party evidence was available, we would estimate the selling price based on market price and company specific factors.

Cost of Sales and Certain Other Costs

Cost of sales includes the invoice cost of the product, direct employee and third party cost of services, direct costs of packaging, inbound and outbound freight, and provisions for inventory obsolescence, adjusted for discounts, rebates, and other vendor allowances.

Cash and Cash Equivalents

We consider all highly liquid short-term investments with original maturities of 90 days or less to be cash equivalents. The carrying value of our cash equivalents approximates fair value. The majority of payments due from credit card processors and banks for third-party credit card and debit card transactions process within one to five business days. All credit card and debit card transactions that process in less than seven days are classified as cash and cash equivalents. Amounts due from banks for credit card transactions classified as cash equivalents totaled $2,651 and $6,776 at December 31, 2018 and 2017, respectively.

Accounts Receivable

We perform ongoing credit evaluations of our customers and adjust credit limits based on payment history and customer creditworthiness. We maintain an allowance for estimated doubtful accounts based on our historical experience and the customer credit issues identified. Our customers do not post collateral for open accounts receivable. We monitor collections regularly and adjust the allowance for doubtful accounts as necessary to recognize any changes in credit exposure. Trade receivables are written off in the period in which they are deemed uncollectible. Recoveries of trade receivables previously charged are recorded when received.

Inventories

Inventories (all finished goods) consisting of software packages, computer systems, and peripheral equipment, are stated at cost (determined under a weighted-average cost method which approximates the first-in, first-out method) or net realizable value, whichever is lower. Inventory quantities on hand are reviewed regularly, and allowances are maintained for obsolete, slow moving, and nonsalable inventory.

Vendor Consideration

We receive funding from merchandise vendors for price protections, discounts, product rebates, and other programs. These allowances are treated as a reduction of the vendor’s prices and are recorded as adjustments to cost of sales or inventory, as applicable. Allowances for product rebates that require certain volumes of product sales or purchases are recorded as the related milestones are probable of being met.

Advertising Costs and Vendor Consideration

Costs of producing and distributing catalogs are charged to expense in the period in which the catalogs are first circulated. Other advertising costs are expensed as incurred.

Vendors have the ability to place advertisements in our catalogs or fund other advertising activities for which we receive advertising consideration. This vendor consideration, to the extent that it represents specific reimbursements of incremental and identifiable costs, is offset against SG&A expenses. Advertising consideration that cannot be associated with a specific program or that exceeds the fair value of advertising expense associated with that program is classified as an offset to cost of sales. Our vendor partners generally consolidate their funding of advertising and other marketing programs, and accordingly, we classify substantially all vendor consideration as a reduction of cost of sales rather than a reduction of advertising expense. Advertising expense, which is classified as a component of SG&A expenses, totaled $16,244, $14,437, and $16,083, for the years ended December 31, 2018, 2017, and 2016, respectively.

Property and Equipment

Property and equipment are stated at cost, net of accumulated depreciation and amortization. Depreciation and amortization is provided for financial reporting purposes over the estimated useful lives of the assets ranging from three to seven years. Computer software, including licenses and internally developed software, is capitalized and amortized over lives generally ranging from three to seven years. Depreciation is recorded using the straight-line method. Leasehold improvements and facilities under capital leases are amortized over the terms of the related leases or their useful lives, whichever is shorter, whereas for income tax reporting purposes, they are amortized over the applicable tax lives.

Costs incurred to develop internal-use software during the application development stage are recorded in property and equipment at cost. External direct costs of materials and services consumed in developing or obtaining internal-use computer software and payroll-related costs for employees developing internal-use computer software projects, to the extent of their time spent directly on the project and specific to application development, are capitalized.

When events or circumstances indicate a potential impairment, we evaluate the carrying value of property and equipment based upon current and anticipated undiscounted cash flows. We recognize impairment when it is probable that such estimated future cash flows will be less than the asset carrying value.

Goodwill and Other Intangible Assets

Our intangible assets consist of (1) goodwill, which is not subject to amortization; (2) an internet domain name, which is an indefinite-lived intangible not subject to amortization; and (3) amortizing intangibles, which consist of customer lists, trade names, and customer relationships, which are being amortized over their useful lives.

Note 4 describes the annual impairment methodology that we employ each year in calculating the recoverability of goodwill and non-amortizing intangibles. This same impairment test is performed at other times during the course of a year should an event occur or circumstance change that would more likely than not reduce the fair value of a reporting unit below its carrying amount.

Recoverability of amortizing intangible assets is assessed only when events have occurred that may give rise to impairment. When a potential impairment has been identified, forecasted undiscounted net cash flows of the operations to which the asset relates are compared to the current carrying value of the long-lived assets present in that operation. If such cash flows are less than such carrying amounts, long-lived assets including such intangibles, are written down to their respective fair values.

Concentrations

Concentrations of credit risk with respect to trade account receivables are limited due to the large number of customers comprising our customer base. No single customer accounted for more than 3% of total net sales in 2018, 2017, and 2016. While no single agency of the federal government comprised more than 3% of total sales, aggregate sales to the federal government as a percentage of total net sales were 5.4%, 7.8%, and 7.5% in 2018, 2017, and 2016, respectively.

Product purchases from Ingram Micro, Inc. (“Ingram”), our largest supplier, accounted for approximately 22% of our total product purchases in both 2018 and 2017 and 21% in 2016. Purchases from Synnex Corporation (“Synnex”) comprised 12%, 12%, and 13%, of our total product purchases in 2018, 2017, and 2016, respectively. Purchases from Tech Data comprised of 10%, 11% and 8% in 2018, 2017, and 2016, respectively. Purchases from Hewlett-Packard Company, or HP, accounted for approximately 7% of our total product purchases in 2018, 11% in 2017, and 9% in 2016. No other vendor supplied more than 10% of our total product purchases in 2018, 2017, or 2016. We believe that, while we may experience some short-term disruption if products from Ingram, Synnex, HP and/or Tech Data become unavailable to us, alternative sources for products obtained directly from Ingram, Synnex, HP and Tech Data are available to us.

Products manufactured by HP represented approximately 18% of our net sales in 2018 and approximately 20% in both 2017 and 2016. We believe that in the event we experience either a short-term or permanent disruption of supply of HP products, such disruption would likely have a material adverse effect on our results of operations and cash flows.

Restructuring and other charges

During 2018, we began presenting restructuring and other charges separately from SG&A expenses. Costs incurred were as follows:


	Year Ended December 31,
	2018		2017		2016
Employee separations	$	967	$	640	$	1,766
Acquisition costs		—		—		570
Relocation expenses		—		84		291
Re-branding costs		—		—		596
Employee compensation		—		2,800		—
Other		—		112		183
Total restructuring and other charges	$	967	$	3,636	$	3,406

The net restructuring charges recorded in 2018 were related to a reduction in workforce at our Business Solutions, Public Sector Solutions, and Headquarter segments and included cash severance payments and other related benefits.

The net restructuring and other charges recorded in 2017 were primarily driven by a reduction in workforce at our Headquarters segment, along with costs related to the Softmart business, which was acquired in 2016, including expenses to retain certain key personnel brought over in the acquisition. Also in 2017, we incurred additional expense of $2,700 related to a one-time cash bonus paid to all non-executive employees at the end of the year.

The net restructuring and other charges recorded in 2016 were primarily driven by a reduction in workforce after the Softmart acquisition and other employee severance expenses incurred throughout the business. We also incurred costs associated with the acquisitions and IT transitions of Softmart and GlobalServe, along with other costs associated with a company-wide rebranding campaign.

Overall, restructuring and other charges consist primarily of employee termination benefits, which are accrued in the period incurred and paid within a year of termination. Included in accrued expenses at December 31, 2018, 2017, and 2016 were $784, $2, and $417, respectively, related to unpaid employee termination benefits. The amount accrued as of December 31, 2018 is expected to be paid in 2019.

Other restructuring-related charges such as acquisition costs, relocation expenses and significant marketing campaigns are expensed and paid as incurred.

All planned restructuring and other charges were incurred as of December 31, 2018 and we have no ongoing restructuring plans.

Earnings Per Share

Basic earnings per common share is computed using the weighted average number of shares outstanding. Diluted earnings per share is computed using the weighted average number of shares outstanding adjusted for the incremental shares attributable to nonvested stock units and stock options outstanding, if dilutive.

The following table sets forth the computation of basic and diluted earnings per share:



	2018		2017		2016
Numerator:
Net income	$	64,592	$	54,857	$	48,111
Denominator:
Denominator for basic earnings per share		26,717		26,771		26,528
Dilutive effect of employee stock awards		137		120		191
Denominator for diluted earnings per share		26,854		26,891		26,719
Earnings per share:
Basic	$	2.42	$	2.05	$	1.81
Diluted	$	2.41	$	2.04	$	1.80

For the years ended December 31, 2018, 2017, and 2016, we did not exclude any outstanding nonvested stock units or stock options from the computation of diluted earnings per share because including them would have had an anti-dilutive effect.

Other Income (Expense), Net

Other income, net for the year ended December 31, 2018 consisted of $2,255 related to a gain, net of costs incurred of $745, that was realized upon execution of a favorable $3,000 cash resolution of a contract dispute that arose in 2017. We included the $3,000 owed to us in other assets as of December 31, 2018. Also included in other income, net for the year ended December 31, 2018 was interest income of $868, offset partially by interest expense of $145.

Other income, net for the year ended December 31, 2017 consisted of interest income of $224, which was partially offset by interest expense of $126. Other expense, net for the year ended December 31, 2016 consisted of interest expense of $107, which was partially offset by interest income of $40.

Comprehensive Income

We had no items of comprehensive income, other than our net income for each of the periods presented.

Adoption of Recently Issued Financial Accounting Standards

On May 28, 2014, the Financial Accounting Standards Board, or the FASB, issued ASC 606, which amended the

accounting standards for revenue recognition and expanded our disclosure requirements. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services.

On January 1, 2018 we adopted ASC 606 using the modified retrospective transition method, which resulted in an

adjustment at January 1, 2018 to retained earnings for the cumulative effect of applying the standard to all contracts not

completed as of the adoption date. Upon adoption we recorded $1,197 as an increase to retained earnings. The comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods.

The adoption resulted in an acceleration of the timing of revenue recognized for certain transactions where product that remained in our possession has been recognized as of the transaction date when all revenue recognition criteria have been met.

The following table presents the effect of the adoption of ASC 606 on our consolidated balance sheets as of January 1, 2018:


				Adjustments
		Balance at		due to		Balance at
		December 31, 2017		ASC 606		January 1, 2018
Balance Sheet
Assets
Accounts receivable, net	$	449,682	$	14,568	$	464,250
Inventories		106,753		(10,869)		95,884
Prepaid expenses and other current assets		5,737		(132)		5,605
Long-term accounts receivable		—		1,890		1,890
Other assets		5,638		(3,914)		1,724

Liabilities
Accounts payable		194,257		(62)		194,195
Accrued expenses and other liabilities		31,096		(312)		30,784
Accrued payroll		22,662		291		22,953
Deferred income taxes		15,696		429		16,125

Stockholders' Equity
Retained earnings	$	383,673	$	1,197	$	384,870

In addition to the timing of revenue recognition impacted by the above-described transactions, upon adoption of ASC 606, the amount of revenue to be recognized prospectively was affected by the presentation of revenue transactions as an agent instead of principal in certain transactions. Specifically, revenue related to the sale of cloud products, as well as certain security software, is now being recognized net of costs as we determined that we act as an agent in these transactions. These sales are recorded on a net basis at a point in time when our vendor and the customer accept the terms and conditions in the sales arrangement. In addition, we sell third-party software maintenance that is delivered over time either separately or bundled with the software license. We have determined that software maintenance is a distinct performance obligation that we do not control, and accordingly, we act as an agent in these transactions and recognized the related revenue on a net basis under ASC 606. We previously recognized revenue for cloud products, security software, and software maintenance on a gross basis (i.e., acting as a principal). This change reduced both net sales and cost of sales with no impact on reported gross profit as compared to our prior accounting policies.

The following tables present the effect of the adoption of ASC 606 on our consolidated income statement and balance sheet for the year ended December 31, 2018 and as of December 31, 2018, respectively:


	Year Ended December 31, 2018
			Balances without
	As		Adoption of
	Reported	Adjustments	ASC 606
Income statement
Revenues
Net sales	$ 2,699,489	$ 404,690	$ 3,104,179

Costs and expenses
Cost of sales	2,288,403	403,737	2,692,140

Income from operations	85,686	750	86,436
Income before taxes	88,664	750	89,414
Net income	64,592	526	65,118


	December 31, 2018
			Balances without
	As		Adoption of
	Reported	Adjustments	ASC 606
Balance Sheet
Assets
Accounts receivable, net	$ 447,698	$ (6,949)	$ 440,749
Inventories	119,195	4,798	123,993
Prepaid expenses and other current assets	9,661	148	9,809
Other assets	1,211	3,914	5,125

Liabilities
Accrued expenses and other liabilities	$ 33,840	$ 2,904	$ 36,744
Accrued payroll	24,319	(116)	24,203
Deferred income taxes	17,184	(219)	16,965

Stockholders' Equity
Retained earnings	$ 441,010	$ (657)	$ 440,353

We have elected the use of certain practical expedients in our adoption of the new standard, which includes continuing to record revenue reported net of applicable taxes imposed on the related transaction and the application of the new standard to all arrangements not completed as of the adoption date. We have also elected to use the practical expedient to not account for the shipping and handling as separate performance obligations. Adoptions of the standard related to revenue recognition had no net impact on our consolidated statement of cash flows.

In March 2016, the FASB issued ASU 2016-09, Improvements to Employee Share-Based Payment Accounting. The Company adopted this standard on January 1, 2017. The new standard simplifies several aspects of the accounting for employee share-based payment transactions, including the accounting for income taxes, forfeitures, and statutory tax withholding requirements, as well as classification in the statement of cash flows. Under this guidance, a company recognizes all excess tax benefits and tax deficiencies as income tax expense or benefit in the income statement. This change eliminates the notion of the additional paid-in capital pool and reduces the complexity in accounting for excess tax benefits and tax deficiencies. The primary impact of our adoption was the recognition of excess tax benefits related to equity compensation in our provision for income taxes rather than paid-in capital, which is a change required to be applied on a prospective basis in accordance with the new guidance. There were no unrecognized excess tax benefits at implementation. Accordingly, we recorded discrete income tax benefits in the consolidated statements of income of $1,054 in the year ended December 31, 2017, for excess tax benefits related to equity compensation. The corresponding cash flows were reflected in cash provided by operating activities instead of financing activities, as was previously required. We adopted the cash flow presentation that requires presentation of excess tax benefits within operating activities on a prospective basis. Additionally, under ASU 2016-09, we have elected to continue to estimate equity award forfeitures expected to occur to determine the amount of compensation cost to be recognized in each period. Additional amendments to the accounting for income taxes and minimum statutory withholding tax requirements had no impact on our results of operations. The presentation requirements for cash flows related to employee taxes paid for withheld shares also had no impact to any of the periods presented in our consolidated statements of cash flows since such cash flows have historically been presented as a financing activity.

Recently Issued Financial Accounting Standards

In February 2016, the FASB issued ASU 2016-02, Leases. The new standard establishes a right-of-use (ROU) model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than twelve months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The new standard is effective for fiscal years beginning after December 15, 2018 and will be adopted using a modified retrospective transition approach on January 1, 2019. The Company has reviewed the requirements of the new standard and expects that it will have a material impact on our consolidated financial statements, as all long-term leases will be capitalized on the consolidated balance sheet. The Company has identified the population of leases and lease assets, has selected a software repository to track all of its lease agreements and to assist in the reporting and disclosures required by the new standard, and is still in the process of testing the data and calculations performed by the software. The Company is also in the process of implementing changes to our procedures and controls in conjunction with both the review of existing lease agreements and any future agreements that will be accounted for under this new standard. The future lease payments that will be subject to the new accounting standard are disclosed in Note 12 to the financial statements.

In January 2017, the FASB issued ASU 2017-04, Simplifying the Test for Goodwill Impairment, which simplifies the accounting for goodwill impairments by eliminating step two from the goodwill impairment test. Instead, if the carrying amount of a reporting unit exceeds its fair value, an impairment loss shall be recognized in an amount equal to that excess, limited to the total amount of goodwill allocated to that reporting unit. ASU 2017-04 also clarifies the requirements for excluding and allocating foreign currency translation adjustments to reporting units related to an entity's testing of reporting units for goodwill impairment and clarifies that an entity should consider income tax effects from any tax deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. ASU 2017-04 is effective for us beginning January 1, 2020 for both interim and annual reporting periods. We are currently assessing the potential impact of the adoption of ASC 2017-04 on our consolidated financial statements.

REVENUE

12 Months Ended

Dec. 31, 2018

Revenue

Revenue

2. REVENUE

Nature of Products and Services

Information technology (“IT”) products typically represent a distinct performance obligation, and revenue is recognized at the point in time when control is transferred to the customer which is generally upon delivery to the customer. We recognize revenue as the principal in the transaction with the customer (i.e., on a gross basis), as we control the product prior to delivery to the customer and derive the economic benefits from the sales transaction given our control over customer pricing.

We do not recognize revenue for goods that remain in our physical possession before the customer has the ability to direct the use of, and obtain substantially all of the remaining benefits from the products, the goods are ready for physical transfer to and identified as belonging to the customer, and when we have no ability to use the product or to direct it to another customer.

Licenses for on-premise software provide the customer with a right to take possession of the software. Customers may purchase perpetual licenses or enter into subscriptions to the licensed software. We are the principal in these transactions and recognize revenue for the on-premise license at the point in time when the software is made available to the customer and the commencement of the term of the software license or when the renewal term begins, as applicable.

For certain on-premise licenses for security software, the customer derives substantially all of the benefit from these arrangements through the third-party delivered software maintenance, which provides software updates and other support services. We do not have control over the delivery of these performance obligations, and accordingly we are the agent in these transactions. We recognize revenue for security software net of the related costs of sales at the point in time when our vendor and customer accept the terms and conditions in the sales arrangement. Cloud products allow customers to use hosted software over the contractual period without taking possession of the software and are provided on a subscription basis. We do not exercise control over these products or services and therefore are an agent in these transactions. We recognize revenue for cloud products net of the related costs of sales at the point in time when our vendor and customer accept the terms and conditions in the sales arrangements.

Certain software sales include on-premise licenses that are combined with software maintenance. Software maintenance conveys rights to updates, bug fixes and help desk support, and other support services transferred over the underlying contract period. On-premise licenses are considered distinct performance obligations when sold with the software maintenance, as we sell these items separately. We recognize revenue related to the software maintenance as the agent in these transactions because we do not have control over the on-going software maintenance service. Revenue allocated to software maintenance is recognized at the point in time when our vendor and customer accept the terms and conditions in the sales arrangements.

Certain of our larger customers are offered the opportunity by vendors to purchase software licenses and maintenance under enterprise agreements (“EAs”). Under EAs, customers are considered to be compliant with applicable license requirements for the ensuing year, regardless of changes to their employee base. Customers are charged an annual true-up fee for changes in the number of users over the year. With most EAs, our vendors will transfer the license and bill the customer directly, paying resellers, such as us, an agency fee or commission on these sales. We record these agency fees as a component of net sales as earned and there is no corresponding cost of sales amount. In certain instances, we invoice the customer directly under an EA and account for the individual items sold based on the nature of each item. Our vendors typically dictate how the EA will be sold to the customer.

We also offer extended service plans (“ESP”) on IT products, both as part of the initial arrangement and separately from the IT products. We recognize revenue related to ESP as the agent in the transaction because we do not have control over the on-going ESP service and do not provide any service after the sale. Revenue allocated to ESP is recognized at the point in time when our vendor and customer accept the terms and conditions in the sales arrangement.

We use our own engineering personnel to assist in projects involving the design and installation of systems and networks, and we also engage third-party service providers to perform warranty maintenance, implementations, asset disposal, and other services. Service revenue is recognized in general over time as we perform the underlying services and satisfy our performance obligations. We evaluate such engagements to determine whether we are the principal or the agent in each transaction. For those transactions in which we do not control the service, we act as an agent and recognize the transaction revenue on a net basis at a point in time when the vendor and customer accept the terms and conditions in the sales arrangement.

All amounts billed to a customer in a sales transaction related to shipping and handling, if any, represent revenues earned for the goods provided, and these amounts have been included in net sales. Costs related to shipping and handling billing are classified as cost of sales. Sales are reported net of sales, use, or other transaction taxes that are collected from customers and remitted to taxing authorities.

Significant Judgments

Our contracts with customers often include promises to transfer multiple products or services to a customer. Determining whether we are the agent or the principal and whether products and services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment.

We estimate the standalone selling price (“SSP”) for each distinct performance obligation when a single arrangement contains multiple performance obligations and the fulfillment occurs at different points of times. We maximize the use of observable inputs in the determination of the estimate for SSP for the items that we do not sell separately, including on-premise licenses sold with software maintenance, and IT products sold with ESP. In instances where SSP is not directly observable, such as when we do not sell the product or service separately, we determine the SSP using information that may include market conditions and other observable inputs.

We provide our customers with a limited thirty-day right of return which is generally limited to defective merchandise. Revenue is recognized at delivery and a reserve for sales returns is recorded. We make estimates of product returns based on significant historical experience and record our sales return reserves as a reduction of revenues and either as reduction of accounts receivable or, for customers who have already paid, as accrued expenses.

Description of Revenue

We disaggregate revenue from our arrangements with customers by type of products and services, as we believe this method best depicts how the nature, amount, timing, and uncertainty of revenue and cash flows are affected by economic factors.

The following tables represent a disaggregation of revenue from arrangements with customers for the twelve months ended December 31, 2018 and 2017, along with the reportable segment for each category.


	Twelve Months Ended December 31, 2018 (1)
	Business Solutions		Enterprise Solutions		Public Sector Solutions		Total
Notebooks/Mobility	$	299,247	$	272,589		138,818	$	710,654
Accessories		95,342		214,102		43,696		353,140
Software		134,071		135,420		45,365		314,856
Desktops		108,096		126,643		53,569		288,308
Servers/Storage		111,559		102,209		59,653		273,421
Displays and sound		89,779		109,497		52,760		252,036
Net/Com products		109,702		62,060		52,287		224,049
Other hardware/services		80,122		142,622		60,281		283,025
Total net sales	$	1,027,918	$	1,165,142	$	506,429	$	2,699,489

(1)

The Company adopted ASC 606 in 2018 using the modified retrospective approach, which primarily resulted in certain software sales being reported on a net basis where they would have otherwise been reported on a gross basis under the previous revenue recognition guidance. As a result, certain revenue figures reported in the current year may not be comparable with prior-year disclosures.


	Twelve Months Ended December 31, 2017 (1)
	Business Solutions		Enterprise Solutions		Public Sector Solutions		Total
Notebooks/Mobility	$	299,029		213,352		123,908	$	636,289
Accessories		86,339		166,898		50,058		303,295
Software		271,805		284,003		103,680		659,488
Desktops		116,931		106,779		98,160		321,870
Servers/Storage		116,770		84,612		56,322		257,704
Displays and sound		90,868		86,398		57,099		234,365
Net/Com products		95,043		63,741		59,359		218,143
Other hardware/services		81,854		126,040		72,835		280,729
Total net sales	$	1,158,639	$	1,131,823	$	621,421	$	2,911,883

(1)

Product categories were separated into additional categories in 2018. Certain prior-year balances have been reclassified to conform to 2018 presentation.

Contract Balances

The following table provides information about contract liability from arrangements with customers as of December 31, 2018 and January 1, 2018:


	December 31, 2018		January 1, 2018
Contract liability, which are included in "Accrued expenses and other liabilities"	$	2,679	$	2,914

Significant changes in the contract liability balances during the year ended December 31, 2018 are as follows (in thousands):


	Year Ended
	December 31,
Balances at January 1, 2018	$	2,914
Cash received in advance and not recognized as revenue		16,279
Amounts recognized as revenue as performance obligations satisfied		(16,514)
Balances at December 31, 2018	$	2,679

ACQUISITIONS

12 Months Ended

Dec. 31, 2018

Acquisitions

Acquisitions

3. ACQUISITIONS

Softmart Acquisition

On May 27, 2016, we acquired substantially all of the assets of Softmart Inc. (“Softmart”), a global supplier of information technology and software services solutions. The purchase of Softmart is consistent with our strategy to expand our software services capabilities. Under the terms of the asset purchase agreement, we paid $31,899, net of cash acquired, and allocated the total purchase price to the tangible and identifiable intangible assets acquired and liabilities assumed based on their estimated fair values on the date of acquisition. The excess of the purchase price over the net assets acquired represents potential synergies from Softmart’s customer base and its assembled workforce of sales representatives and software service specialists that we acquired in the transaction. This excess of purchase price over the aggregate fair values was recorded as goodwill. We incurred $357 of transaction costs in 2016 related to the acquisition which we have reported in selling, general and administrative expenses in our consolidated statement of income for the year ended December 31, 2016. The operating results of Softmart have been included in the SMB and Large Accounts segments since the acquisition date. The revenues and income from operations were not material to our consolidated results, and accordingly, we have not presented Softmart’s revenues or operating results on a pro forma basis.

The following table reflects components of the net assets acquired and liabilities assumed at fair value as of the closing date.


	Purchase Price
	Allocation
Current assets	$	22,812
Fixed assets		343
Goodwill		14,314
Customer relationships		11,300
Total assets acquired		48,769
Acquired liabilities		(16,252)
Net assets acquired		32,517
Less cash acquired		(628)
Purchase price at closing, net of cash acquired	$	31,889

We recorded goodwill of $7,366 and $6,948 in our SMB and Large Account segments, respectively, and the aggregate is expected to be fully deductible for tax purposes.

GlobalServe Acquisition

On October 11, 2016, we acquired the outstanding common shares of GlobalServe, Inc. (“GlobalServe”), which has developed an Internet portal tool that simplifies customers’ global IT procurement. Under the terms of the stock purchase agreement, we paid $11,101, net of cash acquired. The purchase of GlobalServe allows us to service our customers’ global IT needs through this OneSource Internet portal with consistent delivery, reporting, pricing, and logistics. We allocated the total purchase price to the tangible and identifiable intangible assets acquired and liabilities assumed based on their estimated fair values on the date of acquisition and recorded the excess of purchase price over the aggregate fair values as goodwill. In 2016 we incurred $118 of transaction costs related to the acquisition which we have reported in selling, general and administrative expenses in our consolidated statement of income for the year ended December 31, 2016. We have included the operating results of GlobalServe in the Large Account segment since the acquisition date. The revenues and income from operations were not material to our consolidated results, and accordingly, we have not presented GlobalServe’s revenues or operating results on a pro forma basis.

The following table reflects components of the net assets acquired and liabilities assumed at fair value as of the closing date.


	Purchase Price
	Allocation
Current assets	$	1,486
Fixed assets		4,609
Goodwill		8,012
Customer relationships		900
Total assets acquired		15,007
Acquired liabilities		(734)
Deferred taxes and unrecognized tax benefits		(2,390)
Net assets acquired		11,883
Less cash acquired		(782)
Purchase price at closing, net of cash acquired	$	11,101

We recorded $8,012 of goodwill as a result of our acquisition of GlobalServe in our Large Account segment. None of the goodwill related to this acquisition will be deductible for tax purposes.

GOODWILL AND OTHER INTANGIBLE ASSETS

12 Months Ended

Dec. 31, 2018

Goodwill and Intangible Assets Disclosure

Goodwill and Other Intangible Assets

4. GOODWILL AND OTHER INTANGIBLE ASSETS

Goodwill

Goodwill and intangible assets with indefinite lives are subject to an annual impairment test and tested more frequently if events or circumstances occur that would indicate a potential decline in fair value. For goodwill, a two-step quantitative test is performed at a reporting unit level which requires, under the first step, that the fair value of a reporting unit is determined and compared to the reporting unit’s carrying value, including goodwill. To assess the fair value of a reporting unit, both income and market valuation approaches are used. If the fair value is determined to be less than the carrying value, the second step is performed to measure the amount, if any, of the impairment.

Historically, we have performed our annual impairment test of an indefinite-lived domain name and goodwill as of the first day of the calendar year. Beginning in 2018, we performed the test as of November 30. We assessed the potential impact this change might have on the outcome of the impairment analysis and on the overall consolidated results and determined that the impact, if any, would be immaterial. We made this conclusion based on the following factors: 1) the old and new testing dates are close in proximity, 2) based on historical impairment analyses performed, the goodwill and intangible assets measured do not present a significant risk of impairment, and 3) we do not expect that changing the dates would produce different impairment results.

Goodwill is held by our Large Account and SMB reporting units. The fair value of the domain name and the two reporting units each substantially exceeded the respective carrying value, and accordingly, an impairment was not identified in the annual test. We also did not identify any events or circumstances that would indicate that it is more likely than not that the carrying values of the reporting units or the domain name were in excess of the respective fair values during the year ended December 31, 2018.

To determine the fair value of our reporting units, we considered operating results and future projections, as well as changes in the Company’s overall market capitalization. The significant assumptions used in our discounted cash flow analysis include: projected cash flows and profitability, the discount rate used to present value future cash flows, working capital requirements, and terminal growth rates. Cash flows and profitability assumptions include sales growth, gross margin, and SG&A growth assumptions which are generally based on historical trends. The discount rate used is a "market participant" weighted average cost of capital ("WACC"). For our computation of fair value as of November 30, 2018, we used a WACC rate of 12.5%, and estimated terminal growth rate at 3.0% and working capital requirements at 9.5% of revenues. The carrying amount of goodwill for the periods presented is detailed below:


Balance at December 31, 2017	SMB		Large Account		Public Sector		Total
Goodwill, gross	$	8,539	$	66,236	$	7,634	$	82,409
Accumulated impairment losses		(1,173)		─		(7,634)		(8,807)
Net balance	$	7,366	$	66,236	$	—	$	73,602

Balance at December 31, 2018	SMB		Large Account		Public Sector		Total
Goodwill, gross	$	8,539	$	66,236	$	7,634	$	82,409
Accumulated impairment losses		(1,173)		─		(7,634)		(8,807)
Net balance	$	7,366	$	66,236	$	—	$	73,602

Intangible Assets

At December 31, 2018, our intangible assets included a domain name for $450, which has an indefinite life and is not subject to amortization. In addition, we acquired in 2016 customer relationships from our Softmart and GlobalServe acquisitions, which will be amortized on a straight-line basis over their estimated useful lives of 10 years. Our remaining intangible assets are amortized in proportion to the estimates of the future cash flows underlying the valuation of the assets. Intangible assets and related accumulated amortization are detailed below:


		December 31, 2018						December 31, 2017
	Estimated	Gross		Accumulated		Net		Gross		Accumulated		Net
	Useful Lives	Amount		Amortization		Amount		Amount		Amortization		Amount
Customer list	8	$	3,400	$	3,364	$	36	$	3,400	$	3,143	$	257
Tradename	5		1,190		1,190		—		1,190		1,190		—
Customer relationships	10		12,200		3,122		9,078		12,200		1,882		10,318
Total intangible assets		$	16,790	$	7,676	$	9,114	$	16,790	$	6,215	$	10,575

In 2018, 2017, and 2016, we recorded amortization expense of $1,461, $1,561, and $1,281, respectively. The estimated amortization expense relating to intangible assets in each of the five succeeding years and thereafter is as follows:


For the Years Ended December 31,
2019	$	1,256
2020		1,220
2021		1,220
2022		1,220
2023		1,220
2024 and thereafter		2,978
	$	9,114

ACCOUNTS RECEIVABLE

12 Months Ended

Dec. 31, 2018

Accounts Receivable

Accounts Receivable

5. ACCOUNTS RECEIVABLE

Accounts receivable consisted of the following:


	December 31,
	2018		2017
Trade	$	401,530	$	398,524
Vendor consideration, returns and other		52,560		57,043
Due from employees		107		149
Total gross accounts receivable		454,197		455,716
Allowances for:
Sales returns		(3,397)		(3,308)
Doubtful accounts		(3,102)		(2,726)
Accounts receivable, net	$	447,698	$	449,682

- Definition

The entire disclosure for claims held for amounts due a entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses.

+ References + Details

PROPERTY AND EQUIPMENT

12 Months Ended

Dec. 31, 2018

Property and Equipment

Property and Equipment

6. PROPERTY AND EQUIPMENT

Property and equipment consisted of the following:


	December 31,
	2018		2017
Computer software, including licenses and internally-developed software	$	75,528	$	58,320
Furniture and equipment		36,147		33,176
Leasehold improvements		8,102		7,787
Total		119,777		99,283
Accumulated depreciation and amortization		(67,978)		(57,792)
Property and equipment, net	$	51,799	$	41,491

We recorded depreciation and amortization expense for property and equipment of $12,602, $10,278, and $9,172 in 2018, 2017, and 2016, respectively.

ACCRUED EXPENSES AND OTHER LIABILITIES

12 Months Ended

Dec. 31, 2018

Accrued Expenses and Other Liabilities

Accrued Expenses and Other Liabilities

7. ACCRUED EXPENSES AND OTHER LIABILITIES

Accrued expenses and other liabilities consisted of the following:


	December 31,
	2018		2017
Customer and vendor deposits	$	8,880	$	7,763
Dividends payable		8,453		9,122
Sales taxes		7,632		5,905
Other		8,875		8,306
Accrued expenses and other liabilities	$	33,840	$	31,096

BANK BORROWINGS	12 Months Ended
BANK BORROWINGS	Dec. 31, 2018
Bank Borrowings
Bank Borrowings	8. BANK BORROWINGS We have a $50,000 credit facility collateralized by our account receivables that expires February 10, 2022. This facility can be increased, at our option, to $80,000 for permitted acquisitions or other uses authorized by the lender on substantially the same terms. Amounts outstanding under this facility bear interest at the one-month London Interbank Offered Rate (“LIBOR”) (2.51% at December 31, 2018) , plus a spread based on our funded debt ratio, or in the absence of LIBOR, the prime rate (5.50% at December 31, 2018). The credit facility includes various customary financial ratios and operating covenants, including minimum net worth and maximum funded debt ratio requirements, and default acceleration provisions. The credit facility does not include restrictions on future dividend payments. Funded debt ratio is the ratio of average outstanding advances under the credit facility to Adjusted EBITDA (Earnings Before Interest Expense, Taxes, Depreciation, Amortization, and Special Charges). The maximum allowable funded debt ratio under the agreement is 2.0 to 1.0. Decreases in our consolidated Adjusted EBITDA could limit our potential borrowing capacity under the credit facility. We had no outstanding bank borrowings at December 31, 2018 or 2017, and accordingly, the entire $50,000 facility was available for borrowings under the credit facility.

STOCKHOLDERS' EQUITY AND SHARE-BASED COMPENSATION

12 Months Ended

Dec. 31, 2018

Stockholders' Equity and Share-Based Compensation

Stockholders' Equity and Share-Based Compensation

9. STOCKHOLDERS’ EQUITY AND SHARE-BASED COMPENSATION

Preferred Stock

Our Amended and Restated Certificate of Incorporation (the “Restated Certificate”) authorizes the issuance of up to 10,000 shares of preferred stock, $.01 par value per share (the “Preferred Stock”). Under the terms of the Restated Certificate, the Board is authorized, subject to any limitations prescribed by law, without stockholder approval, to issue by a unanimous vote such shares of Preferred Stock in one or more series. Each such series of Preferred Stock shall have such rights, preferences, privileges, and restrictions, including voting rights, dividend rights, redemption privileges, and liquidation preferences, as shall be determined by the Board. There were no preferred shares outstanding at December 31, 2018 or 2017.

Share Repurchase Authorization

In 2001, our Board of Directors authorized the spending of up to $15,000 to repurchase shares of our common stock. In 2014, our Board approved a new share repurchase program authorizing up to an additional $15,000 in share repurchases, for a total authorized repurchase amount of $30,000. We consider block repurchases directly from larger stockholders, as well as open market purchases, in carrying out our ongoing stock repurchase program.

In 2018, we repurchased 535 shares for $15,374 under the Board-approved repurchase programs. As of December 31, 2018, we have repurchased an aggregate of 2,217 shares for $27,608 under our Board-approved repurchase programs.

On December 17, 2018, our Board approved a new share repurchase program authorizing up to $25,000 in additional share repurchases. There is no fixed termination date for this repurchase program. Purchases may be made in open-market transactions, block transactions on or off an exchange, or in privately negotiated transactions. We intend to complete the remaining 2001 and 2014 repurchase programs before repurchasing shares under the new program. The timing and amount of any share repurchases will be based on market conditions and other factors. At December 31, 2018, the maximum approximate dollar value of shares that may yet be purchased under Board-authorized programs is $27,392.

Dividend Payments

The following table summarizes our special cash dividends declared in the three years ended December 31, 2018:


	2018		2017		2016
Dividend per share	$	0.32	$	0.34	$	0.34
Stockholder record date		12/28/2018		12/29/2017		12/30/2016
Total dividend	$	8,452	$	9,122	$	9,041
Payment date		1/11/2019		1/12/2018		1/12/2017

The dividends paid in January 2019, 2018 and 2017 were included in accrued expenses and other liabilities at December 31, 2018, 2017 and 2016. We have no current plans to pay additional cash dividends on our common stock in the foreseeable future, and declaration of any future cash dividends will depend upon our financial position, strategic plans, and general business conditions.

Equity Compensation Plan Descriptions

In 2007, the Board adopted and our stockholders approved the 2007 Stock Incentive Plan. In 2010, the Board adopted and our stockholders approved the Amended and Restated 2007 Stock Incentive Plan (the “2007 Plan”), which, among other things, extended the term of the 2007 Plan to 2020. In May 2016, our stockholders approved an amendment to the 2007 Plan, which authorized the issuance of 1,700 shares of common stock. Under the terms of the 2007 Plan, we are authorized, for a ten-year period, to grant options, stock appreciation rights, nonvested stock, nonvested stock units, and other stock-based awards to employees, officers, directors, and consultants. As of December 31, 2018, there were 8 shares eligible for future grants under the 2007 Plan.

1997 Employee Stock Purchase Plan

In November 1997, the Board adopted and our stockholders approved the 1997 Employee Stock Purchase Plan (the “Purchase Plan”). The Purchase Plan authorizes the issuance of common stock to participating employees. Under the Purchase Plan, as amended, our employees are eligible to purchase company stock at 95% of the purchase price as of the last business day of each six-month offering period. An aggregate of 1,162 shares of common stock has been reserved for issuance under the Purchase Plan, of which 1,155 shares have been purchased.

Accounting for Share-Based Compensation

We measure the grant date fair value of equity awards given to employees and recognize that cost, adjusted for forfeitures, over the period that services are performed. We value grants with multiple vesting periods as a single award, estimate expected forfeitures based upon historical patterns of employee turnover, and record share-based compensation as a component of SG&A expenses. In 2016 and in 2018, we granted nonvested stock units. No equity awards were granted in 2017.

The following table summarizes the components of share-based compensation recorded as expense for the three years ended December 31, 2018:


	2018		2017		2016
Pre-tax expense for nonvested units	$	1,080	$	741	$	1,049
Tax benefit		(293)		(297)		(420)
Net effect on net income	$	787	$	444	$	629

In 2016 and in 2018, we issued nonvested stock units that settle in stock and vest over periods up to ten years. No awards were issued in 2017. Recipients of nonvested stock units do not possess stockholder rights. The fair value of nonvested stock units is based on the end of day market value of our common stock on the grant date. The following table summarizes our nonvested stock unit activity in 2018:


	Nonvested Stock Units
		Weighted-Average
		Grant Date
	Shares	Fair Value
Nonvested at January 1, 2018	288	$	21.01
Granted	190		24.90
Vested	(55)		17.94
Nonvested at December 31, 2018	423		23.16

The weighted-average grant-date fair value of nonvested stock units granted in 2018 and 2016 was $24.90 and $24.72, respectively. No awards were granted in 2017. The total fair value of nonvested stock units that vested in 2018, 2017, and 2016 was $1,635, $1,638, and $2,348, respectively. Unearned compensation cost related to the nonvested portion of outstanding nonvested stock units was $8,736 as of December 31, 2018, and is expected to be recognized over a weighted-average period of approximately 7.0 years. The aggregate intrinsic value of the nonvested stock units at December 31, 2018, which is calculated based on the positive difference between the fair value of the Company’s stock on December 31, 2018 and the grant price of the underlying awards, was $12,561.

Stock Equivalent Units

We have also issued stock equivalent units, (“SEUs”), which settle in cash and vest ratably over four years, to non-executive employees. The fair value of these liability awards is based on the closing market price of our common stock, and is remeasured at the end of each reporting period until the SEUs vest. We report the compensation as a component of SG&A expense and the related liability as accrued payroll on the consolidated balance sheets.


	2018		2017		2016
Units issued		—		100		23
Compensation expense	$	1,871	$	1,429	$	1,973

INCOME TAXES

12 Months Ended

Dec. 31, 2018

Income Taxes

Income Taxes

10. INCOME TAXES

The provision for income taxes consisted of the following:


	Years Ended December 31,
	2018		2017		2016
Current:
Federal	$	16,643	$	21,813	$	23,923
State		6,370		4,861		4,913
Total current		23,013		26,674		28,836
Deferred:
Federal		1,087		(5,132)		2,920
State		(28)		1,226		586
Total deferred		1,059		(3,906)		3,506
Net provision	$	24,072	$	22,768	$	32,342

The components of the deferred taxes at December 31, 2018 and 2017 are as follows:


	2018		2017
Deferred tax assets:
Provisions for doubtful accounts	$	825	$	724
Inventory costs capitalized for tax purposes		112		127
Inventory valuation reserves		280		275
Sales return reserves		132		129
Deductible expenses, primarily employee-benefit related		319		357
Accrued compensation		2,014		981
Revenue deferral		—		409
Other		1,254		875
Compensation under non-statutory stock option agreements		82		34
State tax loss carryforwards		958		877
Federal benefit for uncertain state tax positions		177		177
Total gross deferred tax assets		6,153		4,965
Less: Valuation allowance		(839)		(745)
Net deferred tax assets		5,314		4,220

Deferred tax liabilities:
Goodwill and other intangibles		(12,850)		(12,516)
Property and equipment		(9,548)		(7,218)
Prepaid expenses		(100)		(182)
Total gross deferred tax liabilities		(22,498)		(19,916)
Net deferred tax liability	$	(17,184)	$	(15,696)


Current deferred tax assets	$	—	$	—
Noncurrent deferred tax liability		(17,184)		(15,696)
Net deferred tax liability	$	(17,184)	$	(15,696)

We have deferred tax assets from state net operating loss carryforwards aggregating $1,213 at December 31, 2018 representing state tax benefits, net of federal taxes, of approximately $958. These loss carryforwards are subject to between five, fifteen, and twenty-year carryforward periods, with $8 expiring after 2019, $6 expiring after 2020, $3 expiring after 2021, $3 expiring after 2022, $3 expiring after 2023, $1,171 expiring beyond 2023, and $19 with no expiration. We have provided valuation allowances of $839 and $745 at December 31, 2018 and 2017, respectively, against the state tax loss carryforwards, representing the portion of carryforward losses that we believe are not likely to be realized. The net change in the total valuation allowance reflects a $94, $260, and $102 increase in 2018, 2017, and 2016, respectively. The valuation allowance was increased in 2018, 2017, and 2016 to offset the corresponding increase to the deferred tax asset associated with state net operating loss carryforwards.

A reconciliation of our 2018, 2017, and 2016 income tax provision to total income taxes at the statutory federal tax rate is as follows:


	2018		2017		2016
Federal income taxes, at statutory tax rate	$	18,619	$	27,169	$	28,159
State income taxes, net of federal benefit		5,157		3,843		3,947
Nondeductible expenses		454		(113)		602
Remeasurement of net deferred tax balances		—		(7,815)		—
Other–net		(158)		(316)		(366)
Tax provision	$	24,072	$	22,768	$	32,342

On December 22, 2017, the U.S. government enacted comprehensive tax legislation (the “Tax Act”), which significantly revises the ongoing U.S. corporate income tax law by lowering the U.S. federal corporate income tax rate from 35.0% to 21.0%, and setting limitations on deductibility of certain costs. This rate reduction, which took effect on January 1, 2018, required the revaluation of our net deferred tax liability. The revaluation resulted in the recording of an income tax benefit of $7.7 million for the fourth quarter of 2017.

We file one consolidated U.S. Federal income tax return that includes all of our subsidiaries as well as several consolidated, combined, and separate company returns in many U.S. state tax jurisdictions. The tax years 2014-2017 remain open to examination by the major state taxing jurisdictions in which we file. The tax years 2015-2017 remain open to examination by the Internal Revenue Service.

A reconciliation of unrecognized tax benefits for 2018, 2017, and 2016, is as follows:


	2018		2017		2016
Balance at January 1,	$	368	$	684	$	869
Additions on tax positions of prior years		—		—		—
Lapses of applicable statute of limitations		—		(159)		(185)
Settlements		—		(157)		—
Balance at December 31,	$	368	$	368	$	684

We recognize interest and penalties related to unrecognized income tax benefits as a component of income tax expense, and the corresponding accrual is included as a component of our liability for unrecognized income tax benefits. During the years ended December 31, 2018, 2017, and 2016, we recognized interest and penalties totaling $0, $0, and $62, respectively. At December 31, 2018 and 2017, accrued interest aggregated $481 and accrued penalties aggregated $93. As of December 31, 2018 and 2017, all unrecognized tax benefits and the related interest and penalties, if recognized, would favorably affect our effective tax rate.

We do not anticipate that total unrecognized tax benefits will change significantly due to the settlement of audits, expiration of statutes of limitations, or other reasons in the next twelve months.

EMPLOYEE BENEFIT PLAN	12 Months Ended
EMPLOYEE BENEFIT PLAN	Dec. 31, 2018
Employee Benefit Plan
Employee Benefit Plan	11. EMPLOYEE BENEFIT PLAN We have a contributory profit-sharing and employee savings plan covering all qualified employees. No contributions to the profit-sharing element of the plan were made by us in 2018, 2017, or 2016. We made matching contributions to the employee savings element of such plan of $2,538, $2,396, and $2,320 in 2018, 2017, and 2016, respectively.

COMMITMENTS AND CONTINGENCIES

12 Months Ended

Dec. 31, 2018

Commitments and Contingencies

Commitments And Contingencies

12. COMMITMENTS AND CONTINGENCIES

Operating Leases

We lease our corporate headquarters and an adjacent office facility from an entity controlled by our principal stockholders. The five-year operating lease for our corporate headquarters ended in November 2018 and the Company is currently in the process of negotiating an amendment to extend the lease term. The operating lease for the adjacent facility ended in July 2018 and the Company is currently in the process of negotiating an amendment to extend the lease term. We also lease several other buildings from our principal stockholders on a month-to-month basis. In addition, we lease offices from unrelated parties with remaining terms of one to ten years.

Future aggregate minimum annual lease payments under these leases at December 31, 2018 are as follows:


Year Ended December 31,	Related Parties		Others		Total
2019	$	1,516	$	3,519	$	5,035
2020		1,407		3,386		4,793
2021		1,253		2,466		3,719
2022		1,253		1,490		2,743
2023		1,149		820		1,969
2024 and thereafter		—		1,395		1,395

Total rent expense aggregated $5,428, $5,225, and $4,753 for the years ended December 31, 2018, 2017, and 2016, respectively, under the terms of the operating leases described above. Such amounts included $1,651, $1,647, and $1,640 in 2018, 2017, and 2016, respectively, paid to related parties.

Contingencies

We are subject to various legal proceedings and claims, including patent infringement claims, which have arisen during the ordinary course of business. In the opinion of management, the outcome of such matters is not expected to have a material effect on our business, financial position, results of operations, or cash flows.

We record a liability when we believe that a loss is both probable and reasonably estimable. On a quarterly basis, we review each of these legal proceedings to determine whether it is probable, reasonably possible, or remote that a liability has been incurred and, if it is at least reasonably possible, whether a range of loss can be reasonably estimated. Significant judgment is required to determine both the likelihood of there being a loss and the estimated amount of such loss. Until the final resolution of such matters, there may be an exposure to loss in excess of the amount recorded, and such amounts could be material. We expense legal fees in the period in which they are incurred.

We are subject to audits by states on sales and income taxes, employment matters, and other assessments. Additional liabilities for these and other audits could be assessed, and such outcomes could have a material negative impact on our financial position, results of operations, and cash flows.

SEGMENT AND RELATED DISCLOSURES

12 Months Ended

Dec. 31, 2018

Segment and Related Disclosures

Segment and Related Disclosures

13. SEGMENT AND RELATED DISCLOSURES

The internal reporting structure used by our chief operating decision maker (“CODM”) to assess performance and allocate resources determines the basis for our reportable operating segments. Our CODM is our Chief Executive Officer, and he evaluates operations and allocates resources based on a measure of operating income.

Our operations are organized under three reporting segments—the Business Solutions segment, which serves primarily small- and medium-sized businesses; the Enterprise Solutions segment, which serves primarily medium-to-large corporations; and the Public Sector Solutions segment, which serves primarily federal, state, and local government and educational institutions. In addition, the Headquarters/Other group provides services in areas such as finance, human resources, information technology, marketing, and product management. Most of the operating costs associated with the Headquarters/Other group functions are charged to the operating segments based on their estimated usage of the underlying functions. We report these charges to the operating segments as “Allocations.” Certain headquarters costs relating to executive oversight and other fiduciary functions that are not allocated to the operating segments are included under the heading of Headquarters/Other in the tables below.

In May 2016, we acquired Softmart. We have included the operating results for Softmart in our Business Solutions and Enterprise Solutions segments beginning on May 27, 2016, the closing date of the acquisition.

In October 2016, we acquired GlobalServe. We have included the operating results for GlobalServe in our Enterprise Solutions segment beginning on October 11, 2016, the closing date of the acquisition.

Net sales presented below exclude inter-segment product revenues. Segment information applicable to our reportable operating segments for the years ended December 31, 2018, 2017, and 2016 is shown below:


	Years Ended December 31,

	2018		2017		2016
Net sales:
Business Solutions	$	1,027,918	$	1,158,639	$	1,091,182
Enterprise Solutions		1,165,142		1,131,823		1,011,990
Public Sector Solutions		506,429		621,421		589,420
Total net sales	$	2,699,489	$	2,911,883	$	2,692,592
Operating income (loss):
Business Solutions	$	40,188	$	40,425	$	41,596
Enterprise Solutions		61,663		50,163		42,504
Public Sector Solutions		(2,260)		953		8,561
Headquarters/Other		(13,905)		(14,014)		(12,141)
Total operating income		85,686		77,527		80,520
Other income (expense), net		2,978		98		(67)
Income before taxes	$	88,664	$	77,625	$	80,453
Selected operating expense:
Depreciation and amortization:
Business Solutions	$	632	$	592	$	425
Enterprise Solutions		2,318		2,163		1,784
Public Sector Solutions		112		159		160
Headquarters/Other		11,001		8,925		8,084
Total depreciation and amortization	$	14,063	$	11,839	$	10,453
Total assets:
Business Solutions	$	274,202	$	249,064
Enterprise Solutions		477,296		413,921
Public Sector Solutions		66,000		75,531
Headquarters/Other		(12,143)		9,335
Total assets	$	805,355	$	747,851

The assets of our operating segments presented above consist primarily of accounts receivable, net intercompany receivable, goodwill, and other intangibles. Goodwill of $66,236 and $7,366 is held by our Enterprise Solutions and Business Solutions segments, respectively, as of December 31, 2018. Assets reported under the Headquarters/Other group are managed by corporate headquarters, including cash, inventory, property and equipment and intercompany balance, net. Total assets for the Headquarters/Other group are presented net of intercompany balances eliminations of $19,019 and $29,731 for the years ended December 31, 2018 and 2017, respectively. Our capital expenditures consist largely of IT hardware and software purchased to maintain or upgrade our management information systems. These systems serve all of our subsidiaries, to varying degrees, and as a result, our CODM does not evaluate capital expenditures on a segment basis.

Substantially, all of our sales in 2018, 2017, and 2016 were made to customers located in the United States. Shipments to customers located in foreign countries were not more than 1% of total net sales in 2018, 2017, and 2016. All of our assets at December 31, 2018 and 2017 were located in the United States. Our primary target customers are SMBs, medium-to-large corporate accounts, and federal, state, and local government agencies, educational institutions, and medium-to-large corporate accounts. No single customer accounted for more than 3% of total net sales in 2018, 2017, or 2016. While no single agency of the federal government comprised more than 3% of total sales, aggregate sales to the federal government were 5.4%, 7.8%, and 7.5% in 2018, 2017, and 2016, respectively.

QUARTERLY FINANCIAL RESULTS (UNAUDITED)

12 Months Ended

Dec. 31, 2018

Quarterly Financial Results (Unaudited)

Quarterly Financial Results (Unaudited)

14. QUARTERLY FINANCIAL RESULTS (UNAUDITED)

The following table sets forth certain unaudited quarterly data of the Company for each of the calendar quarters in 2018 and 2017. This information has been prepared on the same basis as the annual financial statements, and all necessary adjustments, consisting only of normal recurring adjustments, have been included in the amounts stated below to present fairly the selected quarterly information when read in conjunction with the annual financial statements and the notes thereto included elsewhere in this document. The quarterly operating results are not necessarily indicative of future results of operations.


	Quarters Ended
	March 31,		June 30,		September 30,		December 31,
	2018		2018		2018		2018
Net sales	$	624,895	$	706,570	$	658,504	$	709,520
Cost of sales		528,523		599,102		558,060		602,718
Gross profit		96,372		107,468		100,444		106,802
Selling, general and administrative expenses		80,900		82,521		81,494		79,518
Restructuring and other charges		—		—		—		967
Income from operations		15,472		24,947		18,950		26,317
Other income, net		116		182		114		2,566
Income before taxes		15,588		25,129		19,064		28,883
Income tax provision		(4,288)		(6,903)		(5,298)		(7,583)
Net income	$	11,300	$	18,226	$	13,766	$	21,300
Earnings per common share:
Basic	$	0.42	$	0.68	$	0.52	$	0.80
Diluted	$	0.42	$	0.68	$	0.51	$	0.80
Weighted average common shares outstanding:
Basic		26,835		26,685		26,716		26,632
Diluted		26,916		26,820		26,902		26,766


	Quarters Ended
	March 31,		June 30,		September 30,		December 31,
	2017		2017 (1)		2017		2017 (1)
Net sales	$	670,594	$	749,792	$	729,230	$	762,267
Cost of sales		583,861		650,122		633,087		662,737
Gross profit		86,733		99,670		96,143		99,530
Selling, general and administrative expenses		75,281		76,289		74,404		74,939
Restructuring and other charges		—		941		—		2,695
Income from operations		11,452		22,440		21,739		21,896
Interest income (expense), net		19		9		(8)		78
Income before taxes		11,471		22,449		21,731		21,974
Income tax provision		(4,039)		(8,864)		(8,614)		(1,251)
Net income	$	7,432	$	13,585	$	13,117	$	20,723
Earnings per common share:
Basic	$	0.28	$	0.51	$	0.49	$	0.77
Diluted	$	0.28	$	0.51	$	0.49	$	0.77
Weighted average common shares outstanding:
Basic		26,697		26,761		26,802		26,822
Diluted		26,866		26,893		26,899		26,907

(1)

Certain prior year amounts have been reclassified to conform to 2018 presentation. These changes had no impact on previously reported results of operations or shareholders’ equity.

SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS

12 Months Ended

Dec. 31, 2018

Schedule II - Valuation and Qualifying Accounts

Schedule II-Valuation And Qualifying Accounts

SCHEDULE II—VALUATION AND QUALIFYING ACCOUNTS

(amounts in thousands)


		Balance at	Charged to			Balance at
		Beginning	Costs and	Deductions/		End of
		of Period	Expenses	Write-Offs		Period
Description
Allowance for Sales Returns
Year Ended December 31, 2016	$	3,235	32,909	(32,435)	$	3,709
Year Ended December 31, 2017	$	3,709	32,399	(32,800)	$	3,308
Year Ended December 31, 2018	$	3,308	28,504	(28,415)	$	3,397

Allowance for Doubtful Accounts
Year Ended December 31, 2016	$	2,219	360	(269)	$	2,310
Year Ended December 31, 2017	$	2,310	1,658	(1,242)	$	2,726
Year Ended December 31, 2018	$	2,726	1,680	(1,304)	$	3,102

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

12 Months Ended

Dec. 31, 2018

Summary of Significant Accounting Policies

Principles of Consolidation

Use of Estimates in the Preparation of Financial Statements

Reclassification of Prior Year Presentation

Revenue Recognition

Cost of Sales and Certain Other Costs

Cash and Cash Equivalents

Accounts Receivable

Inventories

Vendor Consideration

Advertising Costs and Vendor consideration

Advertising Costs and Vendor Consideration

Costs of producing and distributing catalogs are charged to expense in the period in which the catalogs are first circulated. Other advertising costs are expensed as incurred.

Property and Equipment

Goodwill and Other Intangible Assets

Concentrations

Restructuring and other charges

During 2018, we began presenting restructuring and other charges separately from SG&A expenses. Costs incurred were as follows:


	Year Ended December 31,
	2018		2017		2016
Employee separations	$	967	$	640	$	1,766
Acquisition costs		—		—		570
Relocation expenses		—		84		291
Re-branding costs		—		—		596
Employee compensation		—		2,800		—
Other		—		112		183
Total restructuring and other charges	$	967	$	3,636	$	3,406

Other restructuring-related charges such as acquisition costs, relocation expenses and significant marketing campaigns are expensed and paid as incurred.

All planned restructuring and other charges were incurred as of December 31, 2018 and we have no ongoing restructuring plans.

Earnings Per Share

The following table sets forth the computation of basic and diluted earnings per share:



	2018		2017		2016
Numerator:
Net income	$	64,592	$	54,857	$	48,111
Denominator:
Denominator for basic earnings per share		26,717		26,771		26,528
Dilutive effect of employee stock awards		137		120		191
Denominator for diluted earnings per share		26,854		26,891		26,719
Earnings per share:
Basic	$	2.42	$	2.05	$	1.81
Diluted	$	2.41	$	2.04	$	1.80

Other Income (Expense), Net

Comprehensive Income

We had no items of comprehensive income, other than our net income for each of the periods presented.

Recently Issued Financial Accounting Standards

Adoption of Recently Issued Financial Accounting Standards

On May 28, 2014, the Financial Accounting Standards Board, or the FASB, issued ASC 606, which amended the

On January 1, 2018 we adopted ASC 606 using the modified retrospective transition method, which resulted in an

adjustment at January 1, 2018 to retained earnings for the cumulative effect of applying the standard to all contracts not

The following table presents the effect of the adoption of ASC 606 on our consolidated balance sheets as of January 1, 2018:


				Adjustments
		Balance at		due to		Balance at
		December 31, 2017		ASC 606		January 1, 2018
Balance Sheet
Assets
Accounts receivable, net	$	449,682	$	14,568	$	464,250
Inventories		106,753		(10,869)		95,884
Prepaid expenses and other current assets		5,737		(132)		5,605
Long-term accounts receivable		—		1,890		1,890
Other assets		5,638		(3,914)		1,724

Liabilities
Accounts payable		194,257		(62)		194,195
Accrued expenses and other liabilities		31,096		(312)		30,784
Accrued payroll		22,662		291		22,953
Deferred income taxes		15,696		429		16,125

Stockholders' Equity
Retained earnings	$	383,673	$	1,197	$	384,870


	Year Ended December 31, 2018
			Balances without
	As		Adoption of
	Reported	Adjustments	ASC 606
Income statement
Revenues
Net sales	$ 2,699,489	$ 404,690	$ 3,104,179

Costs and expenses
Cost of sales	2,288,403	403,737	2,692,140

Income from operations	85,686	750	86,436
Income before taxes	88,664	750	89,414
Net income	64,592	526	65,118


	December 31, 2018
			Balances without
	As		Adoption of
	Reported	Adjustments	ASC 606
Balance Sheet
Assets
Accounts receivable, net	$ 447,698	$ (6,949)	$ 440,749
Inventories	119,195	4,798	123,993
Prepaid expenses and other current assets	9,661	148	9,809
Other assets	1,211	3,914	5,125

Liabilities
Accrued expenses and other liabilities	$ 33,840	$ 2,904	$ 36,744
Accrued payroll	24,319	(116)	24,203
Deferred income taxes	17,184	(219)	16,965

Stockholders' Equity
Retained earnings	$ 441,010	$ (657)	$ 440,353

Recently Issued Financial Accounting Standards

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

12 Months Ended

Dec. 31, 2018

Schedule of restructuring and other charges


	Year Ended December 31,
	2018		2017		2016
Employee separations	$	967	$	640	$	1,766
Acquisition costs		—		—		570
Relocation expenses		—		84		291
Re-branding costs		—		—		596
Employee compensation		—		2,800		—
Other		—		112		183
Total restructuring and other charges	$	967	$	3,636	$	3,406

Computation of basic and diluted earnings per share



	2018		2017		2016
Numerator:
Net income	$	64,592	$	54,857	$	48,111
Denominator:
Denominator for basic earnings per share		26,717		26,771		26,528
Dilutive effect of employee stock awards		137		120		191
Denominator for diluted earnings per share		26,854		26,891		26,719
Earnings per share:
Basic	$	2.42	$	2.05	$	1.81
Diluted	$	2.41	$	2.04	$	1.80

ASU 2014-09

Schedule of the effect of the adoption of ASU 2014-09

The following table presents the effect of the adoption of ASC 606 on our consolidated balance sheets as of January 1, 2018:


				Adjustments
		Balance at		due to		Balance at
		December 31, 2017		ASC 606		January 1, 2018
Balance Sheet
Assets
Accounts receivable, net	$	449,682	$	14,568	$	464,250
Inventories		106,753		(10,869)		95,884
Prepaid expenses and other current assets		5,737		(132)		5,605
Long-term accounts receivable		—		1,890		1,890
Other assets		5,638		(3,914)		1,724

Liabilities
Accounts payable		194,257		(62)		194,195
Accrued expenses and other liabilities		31,096		(312)		30,784
Accrued payroll		22,662		291		22,953
Deferred income taxes		15,696		429		16,125

Stockholders' Equity
Retained earnings	$	383,673	$	1,197	$	384,870

The following tables present the effect of the adoption of ASC 606 on our condensed consolidated income statement and balance sheet for the twelve months ended December 31, 2018 and as of December 31, 208, respectively:


	Year Ended December 31, 2018
			Balances without
	As		Adoption of
	Reported	Adjustments	ASC 606
Income statement
Revenues
Net sales	$ 2,699,489	$ 404,690	$ 3,104,179

Costs and expenses
Cost of sales	2,288,403	403,737	2,692,140

Income from operations	85,686	750	86,436
Income before taxes	88,664	750	89,414
Net income	64,592	526	65,118


	December 31, 2018
			Balances without
	As		Adoption of
	Reported	Adjustments	ASC 606
Balance Sheet
Assets
Accounts receivable, net	$ 447,698	$ (6,949)	$ 440,749
Inventories	119,195	4,798	123,993
Prepaid expenses and other current assets	9,661	148	9,809
Other assets	1,211	3,914	5,125

Liabilities
Accrued expenses and other liabilities	$ 33,840	$ 2,904	$ 36,744
Accrued payroll	24,319	(116)	24,203
Deferred income taxes	17,184	(219)	16,965

Stockholders' Equity
Retained earnings	$ 441,010	$ (657)	$ 440,353

REVENUE (Tables)

12 Months Ended

Dec. 31, 2018

Revenue

Schedule of disaggregation of revenue from contracts with customers


	Twelve Months Ended December 31, 2018 (1)
	Business Solutions		Enterprise Solutions		Public Sector Solutions		Total
Notebooks/Mobility	$	299,247	$	272,589		138,818	$	710,654
Accessories		95,342		214,102		43,696		353,140
Software		134,071		135,420		45,365		314,856
Desktops		108,096		126,643		53,569		288,308
Servers/Storage		111,559		102,209		59,653		273,421
Displays and sound		89,779		109,497		52,760		252,036
Net/Com products		109,702		62,060		52,287		224,049
Other hardware/services		80,122		142,622		60,281		283,025
Total net sales	$	1,027,918	$	1,165,142	$	506,429	$	2,699,489

(1)


	Twelve Months Ended December 31, 2017 (1)
	Business Solutions		Enterprise Solutions		Public Sector Solutions		Total
Notebooks/Mobility	$	299,029		213,352		123,908	$	636,289
Accessories		86,339		166,898		50,058		303,295
Software		271,805		284,003		103,680		659,488
Desktops		116,931		106,779		98,160		321,870
Servers/Storage		116,770		84,612		56,322		257,704
Displays and sound		90,868		86,398		57,099		234,365
Net/Com products		95,043		63,741		59,359		218,143
Other hardware/services		81,854		126,040		72,835		280,729
Total net sales	$	1,158,639	$	1,131,823	$	621,421	$	2,911,883

Product categories were separated into additional categories in 2018. Certain prior-year balances have been reclassified to conform to 2018 presentation.

Schedule of information on contract liability

The following table provides information about contract liability from arrangements with customers as of December 31, 2018 and January 1, 2018:


	December 31, 2018		January 1, 2018
Contract liability, which are included in "Accrued expenses and other liabilities"	$	2,679	$	2,914

Significant changes in the contract liability balances during the year ended December 31, 2018 are as follows (in thousands):


	Year Ended
	December 31,
Balances at January 1, 2018	$	2,914
Cash received in advance and not recognized as revenue		16,279
Amounts recognized as revenue as performance obligations satisfied		(16,514)
Balances at December 31, 2018	$	2,679

ACQUISITIONS (Tables)

12 Months Ended

Dec. 31, 2018

Softmart

Acquisitions

Components of the net assets acquired and liabilities assumed at fair value


	Purchase Price
	Allocation
Current assets	$	22,812
Fixed assets		343
Goodwill		14,314
Customer relationships		11,300
Total assets acquired		48,769
Acquired liabilities		(16,252)
Net assets acquired		32,517
Less cash acquired		(628)
Purchase price at closing, net of cash acquired	$	31,889

GlobalServe

Acquisitions

Components of the net assets acquired and liabilities assumed at fair value


	Purchase Price
	Allocation
Current assets	$	1,486
Fixed assets		4,609
Goodwill		8,012
Customer relationships		900
Total assets acquired		15,007
Acquired liabilities		(734)
Deferred taxes and unrecognized tax benefits		(2,390)
Net assets acquired		11,883
Less cash acquired		(782)
Purchase price at closing, net of cash acquired	$	11,101

GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)

12 Months Ended

Dec. 31, 2018

Goodwill and Intangible Assets Disclosure

Carrying Amount of Goodwill


Balance at December 31, 2017	SMB		Large Account		Public Sector		Total
Goodwill, gross	$	8,539	$	66,236	$	7,634	$	82,409
Accumulated impairment losses		(1,173)		─		(7,634)		(8,807)
Net balance	$	7,366	$	66,236	$	—	$	73,602

Balance at December 31, 2018	SMB		Large Account		Public Sector		Total
Goodwill, gross	$	8,539	$	66,236	$	7,634	$	82,409
Accumulated impairment losses		(1,173)		─		(7,634)		(8,807)
Net balance	$	7,366	$	66,236	$	—	$	73,602

Intangible Assets and Related Accumulated Amortization


		December 31, 2018						December 31, 2017
	Estimated	Gross		Accumulated		Net		Gross		Accumulated		Net
	Useful Lives	Amount		Amortization		Amount		Amount		Amortization		Amount
Customer list	8	$	3,400	$	3,364	$	36	$	3,400	$	3,143	$	257
Tradename	5		1,190		1,190		—		1,190		1,190		—
Customer relationships	10		12,200		3,122		9,078		12,200		1,882		10,318
Total intangible assets		$	16,790	$	7,676	$	9,114	$	16,790	$	6,215	$	10,575

Estimated Amortization Expense


For the Years Ended December 31,
2019	$	1,256
2020		1,220
2021		1,220
2022		1,220
2023		1,220
2024 and thereafter		2,978
	$	9,114

ACCOUNTS RECEIVABLE (Tables)

12 Months Ended

Dec. 31, 2018

Accounts Receivable

Accounts Receivable


	December 31,
	2018		2017
Trade	$	401,530	$	398,524
Vendor consideration, returns and other		52,560		57,043
Due from employees		107		149
Total gross accounts receivable		454,197		455,716
Allowances for:
Sales returns		(3,397)		(3,308)
Doubtful accounts		(3,102)		(2,726)
Accounts receivable, net	$	447,698	$	449,682

PROPERTY AND EQUIPMENT (Tables)

12 Months Ended

Dec. 31, 2018

Property and Equipment

Property and Equipment


	December 31,
	2018		2017
Computer software, including licenses and internally-developed software	$	75,528	$	58,320
Furniture and equipment		36,147		33,176
Leasehold improvements		8,102		7,787
Total		119,777		99,283
Accumulated depreciation and amortization		(67,978)		(57,792)
Property and equipment, net	$	51,799	$	41,491

ACCRUED EXPENSES AND OTHER LIABILITIES (Tables)

12 Months Ended

Dec. 31, 2018

Accrued Expenses and Other Liabilities

Schedule of Accrued Expenses and Other Liabilities


	December 31,
	2018		2017
Customer and vendor deposits	$	8,880	$	7,763
Dividends payable		8,453		9,122
Sales taxes		7,632		5,905
Other		8,875		8,306
Accrued expenses and other liabilities	$	33,840	$	31,096

STOCKHOLDERS' EQUITY AND SHARE-BASED COMPENSATION (Tables)

12 Months Ended

Dec. 31, 2018

Dividend declared


	2018		2017		2016
Dividend per share	$	0.32	$	0.34	$	0.34
Stockholder record date		12/28/2018		12/29/2017		12/30/2016
Total dividend	$	8,452	$	9,122	$	9,041
Payment date		1/11/2019		1/12/2018		1/12/2017

Components of Share-Based Compensation Recorded as Expense


	2018		2017		2016
Pre-tax expense for nonvested units	$	1,080	$	741	$	1,049
Tax benefit		(293)		(297)		(420)
Net effect on net income	$	787	$	444	$	629

Nonvested Stock Unit Activity


	Nonvested Stock Units
		Weighted-Average
		Grant Date
	Shares	Fair Value
Nonvested at January 1, 2018	288	$	21.01
Granted	190		24.90
Vested	(55)		17.94
Nonvested at December 31, 2018	423		23.16

Stock Equivalent Units (SEUs)

Stock Equivalent Units


	2018		2017		2016
Units issued		—		100		23
Compensation expense	$	1,871	$	1,429	$	1,973

INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2018

Income Taxes

Provision for Income Taxes


	Years Ended December 31,
	2018		2017		2016
Current:
Federal	$	16,643	$	21,813	$	23,923
State		6,370		4,861		4,913
Total current		23,013		26,674		28,836
Deferred:
Federal		1,087		(5,132)		2,920
State		(28)		1,226		586
Total deferred		1,059		(3,906)		3,506
Net provision	$	24,072	$	22,768	$	32,342

Components of Deferred Taxes


	2018		2017
Deferred tax assets:
Provisions for doubtful accounts	$	825	$	724
Inventory costs capitalized for tax purposes		112		127
Inventory valuation reserves		280		275
Sales return reserves		132		129
Deductible expenses, primarily employee-benefit related		319		357
Accrued compensation		2,014		981
Revenue deferral		—		409
Other		1,254		875
Compensation under non-statutory stock option agreements		82		34
State tax loss carryforwards		958		877
Federal benefit for uncertain state tax positions		177		177
Total gross deferred tax assets		6,153		4,965
Less: Valuation allowance		(839)		(745)
Net deferred tax assets		5,314		4,220

Deferred tax liabilities:
Goodwill and other intangibles		(12,850)		(12,516)
Property and equipment		(9,548)		(7,218)
Prepaid expenses		(100)		(182)
Total gross deferred tax liabilities		(22,498)		(19,916)
Net deferred tax liability	$	(17,184)	$	(15,696)


Current deferred tax assets	$	—	$	—
Noncurrent deferred tax liability		(17,184)		(15,696)
Net deferred tax liability	$	(17,184)	$	(15,696)

Reconciliation of Income Tax Provision to Total Income Taxes at Statutory Federal Tax Rate


	2018		2017		2016
Federal income taxes, at statutory tax rate	$	18,619	$	27,169	$	28,159
State income taxes, net of federal benefit		5,157		3,843		3,947
Nondeductible expenses		454		(113)		602
Remeasurement of net deferred tax balances		—		(7,815)		—
Other–net		(158)		(316)		(366)
Tax provision	$	24,072	$	22,768	$	32,342

Reconciliation of Unrecognized Tax Benefits


	2018		2017		2016
Balance at January 1,	$	368	$	684	$	869
Additions on tax positions of prior years		—		—		—
Lapses of applicable statute of limitations		—		(159)		(185)
Settlements		—		(157)		—
Balance at December 31,	$	368	$	368	$	684

COMMITMENTS AND CONTINGENCIES (Tables)

12 Months Ended

Dec. 31, 2018

Commitments and Contingencies

Future Aggregate Minimum Annual Lease Payments Under Operating Leases

Future aggregate minimum annual lease payments under these leases at December 31, 2018 are as follows:


Year Ended December 31,	Related Parties		Others		Total
2019	$	1,516	$	3,519	$	5,035
2020		1,407		3,386		4,793
2021		1,253		2,466		3,719
2022		1,253		1,490		2,743
2023		1,149		820		1,969
2024 and thereafter		—		1,395		1,395

SEGMENT AND RELATED DISCLOSURES (Tables)

12 Months Ended

Dec. 31, 2018

Segment and Related Disclosures

Segment Information Applicable to Reportable Operating Segments


	Years Ended December 31,

	2018		2017		2016
Net sales:
Business Solutions	$	1,027,918	$	1,158,639	$	1,091,182
Enterprise Solutions		1,165,142		1,131,823		1,011,990
Public Sector Solutions		506,429		621,421		589,420
Total net sales	$	2,699,489	$	2,911,883	$	2,692,592
Operating income (loss):
Business Solutions	$	40,188	$	40,425	$	41,596
Enterprise Solutions		61,663		50,163		42,504
Public Sector Solutions		(2,260)		953		8,561
Headquarters/Other		(13,905)		(14,014)		(12,141)
Total operating income		85,686		77,527		80,520
Other income (expense), net		2,978		98		(67)
Income before taxes	$	88,664	$	77,625	$	80,453
Selected operating expense:
Depreciation and amortization:
Business Solutions	$	632	$	592	$	425
Enterprise Solutions		2,318		2,163		1,784
Public Sector Solutions		112		159		160
Headquarters/Other		11,001		8,925		8,084
Total depreciation and amortization	$	14,063	$	11,839	$	10,453
Total assets:
Business Solutions	$	274,202	$	249,064
Enterprise Solutions		477,296		413,921
Public Sector Solutions		66,000		75,531
Headquarters/Other		(12,143)		9,335
Total assets	$	805,355	$	747,851

QUARTERLY FINANCIAL RESULTS (UNAUDITED) (Tables)

12 Months Ended

Dec. 31, 2018

Quarterly Financial Results (Unaudited)

Quarterly Operating Results (Unaudited)


	Quarters Ended
	March 31,		June 30,		September 30,		December 31,
	2018		2018		2018		2018
Net sales	$	624,895	$	706,570	$	658,504	$	709,520
Cost of sales		528,523		599,102		558,060		602,718
Gross profit		96,372		107,468		100,444		106,802
Selling, general and administrative expenses		80,900		82,521		81,494		79,518
Restructuring and other charges		—		—		—		967
Income from operations		15,472		24,947		18,950		26,317
Other income, net		116		182		114		2,566
Income before taxes		15,588		25,129		19,064		28,883
Income tax provision		(4,288)		(6,903)		(5,298)		(7,583)
Net income	$	11,300	$	18,226	$	13,766	$	21,300
Earnings per common share:
Basic	$	0.42	$	0.68	$	0.52	$	0.80
Diluted	$	0.42	$	0.68	$	0.51	$	0.80
Weighted average common shares outstanding:
Basic		26,835		26,685		26,716		26,632
Diluted		26,916		26,820		26,902		26,766


	Quarters Ended
	March 31,		June 30,		September 30,		December 31,
	2017		2017 (1)		2017		2017 (1)
Net sales	$	670,594	$	749,792	$	729,230	$	762,267
Cost of sales		583,861		650,122		633,087		662,737
Gross profit		86,733		99,670		96,143		99,530
Selling, general and administrative expenses		75,281		76,289		74,404		74,939
Restructuring and other charges		—		941		—		2,695
Income from operations		11,452		22,440		21,739		21,896
Interest income (expense), net		19		9		(8)		78
Income before taxes		11,471		22,449		21,731		21,974
Income tax provision		(4,039)		(8,864)		(8,614)		(1,251)
Net income	$	7,432	$	13,585	$	13,117	$	20,723
Earnings per common share:
Basic	$	0.28	$	0.51	$	0.49	$	0.77
Diluted	$	0.28	$	0.51	$	0.49	$	0.77
Weighted average common shares outstanding:
Basic		26,697		26,761		26,802		26,822
Diluted		26,866		26,893		26,899		26,907

(1)

Certain prior year amounts have been reclassified to conform to 2018 presentation. These changes had no impact on previously reported results of operations or shareholders’ equity.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) $ in Thousands	3 Months Ended			12 Months Ended
	Dec. 31, 2018 USD ($)	Dec. 31, 2017 USD ($)	Jun. 30, 2017 USD ($)	Dec. 31, 2018 USD ($) segment	Dec. 31, 2017 USD ($)	Dec. 31, 2016 USD ($)
Number of sales segments \| segment				3
Restructuring and other charges	$ 967	$ 2,695	$ 941	$ 967	$ 3,636	$ 3,406
Amounts due from banks for credit card transactions, classified as cash equivalents	2,651	6,776		$ 2,651	6,776
Minimum
Property and equipment, estimated useful lives				3 years
Maximum
Property and equipment, estimated useful lives				7 years
Computer Software \| Minimum
Estimated useful lives				3 years
Computer Software \| Maximum
Estimated useful lives				7 years
Selling, General and Administrative Expenses
Advertising expense				$ 16,244	14,437	$ 16,083
Accounts receivable, net
Sale reserves	$ 3,397	$ 3,308		$ 3,397	$ 3,308

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Concentration Risk (Details) - Net Sales	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Customer \| Single Customer \| Maximum
Concentration risk
Percentage of total net sales	3.00%	3.00%	3.00%
Customer \| Federal Government Agencies
Concentration risk
Percentage of total net sales	5.40%	7.80%	7.50%
Customer \| Single Federal Government Agency \| Maximum
Concentration risk
Percentage of total net sales	3.00%	3.00%	3.00%
Supplier \| Ingram Micro Inc Class
Concentration risk
Percentage of product purchases	22.00%	22.00%	21.00%
Supplier \| Synnex Corporation
Concentration risk
Percentage of product purchases	12.00%	12.00%	13.00%
Supplier \| Tech Data Corporation
Concentration risk
Percentage of product purchases	10.00%	11.00%	8.00%
Supplier \| Hewlett Packard Company
Concentration risk
Percentage of product purchases	7.00%	11.00%	9.00%
Products manufactured by HP as a percentage of net sales	18.00%	20.00%	20.00%
Supplier \| Other vendor suppliers \| Maximum
Concentration risk
Percentage of product purchases	10.00%	10.00%	10.00%

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Restructuring and Other Charges (Details) - USD ($) $ in Thousands	3 Months Ended			12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Jun. 30, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Restructuring and other charges
Restructuring and other charges	$ 967	$ 2,695	$ 941	$ 967	$ 3,636	$ 3,406
Accrued employee termination benefits	$ 784	$ 2		784	2	417
Employee separations
Restructuring and other charges
Restructuring and other charges				$ 967	640	1,766
Acquisition costs
Restructuring and other charges
Restructuring and other charges						570
Relocation expenses
Restructuring and other charges
Restructuring and other charges					84	291
Rebranding costs
Restructuring and other charges
Restructuring and other charges						596
Employee compensation
Restructuring and other charges
Restructuring and other charges					2,800
Employee compensation \| Non-executive employees
Restructuring and other charges
One-time cash bonus paid					2,700
Other
Restructuring and other charges
Restructuring and other charges					$ 112	$ 183

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Numerator:
Net income	$ 21,300	$ 13,766	$ 18,226	$ 11,300	$ 20,723	$ 13,117	$ 13,585	$ 7,432	$ 64,592	$ 54,857	$ 48,111
Denominator:
Denominator for basic earnings per share	26,632	26,716	26,685	26,835	26,822	26,802	26,761	26,697	26,717	26,771	26,528
Dilutive effect of employee stock awards									137	120	191
Denominator for diluted earnings per share	26,766	26,902	26,820	26,916	26,907	26,899	26,893	26,866	26,854	26,891	26,719
Earnings per share:
Basic	$ 0.80	$ 0.52	$ 0.68	$ 0.42	$ 0.77	$ 0.49	$ 0.51	$ 0.28	$ 2.42	$ 2.05	$ 1.81
Diluted	$ 0.80	$ 0.51	$ 0.68	$ 0.42	$ 0.77	$ 0.49	$ 0.51	$ 0.28	$ 2.41	$ 2.04	$ 1.80
Additional Disclosure
Employee stock awards excluded from computation of diluted earnings per share									$ 0	$ 0	$ 0

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Other Income (Expense) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Other income (expense), net
Gain on contract dispute resolution, net of costs	$ 2,255
Resolution costs	745
Interest income	868	$ 224	$ 40
Interest expense	145	$ 126	$ 107
Other Assets
Other income (expense), net
Cash resolution of contract dispute	$ 3,000

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Effect of Adoption of ASU 2014-09 (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Jan. 02, 2018	Jan. 01, 2018	Jan. 01, 2017
REVENUES
Net sales	$ 709,520	$ 658,504	$ 706,570	$ 624,895	$ 762,267	$ 729,230	$ 749,792	$ 670,594	$ 2,699,489	$ 2,911,883	$ 2,692,592
Costs and expenses
Cost of sales	602,718	558,060	599,102	528,523	662,737	633,087	650,122	583,861	2,288,403	2,529,807	2,321,435
Income from operations	26,317	18,950	24,947	15,472	21,896	21,739	22,440	11,452	85,686	77,527	80,520
Income before taxes	28,883	19,064	25,129	15,588	21,974	21,731	22,449	11,471	88,664	77,625	80,453
Net income	21,300	13,766	18,226	11,300	20,723	13,117	13,585	7,432	64,592	54,857	48,111
ASSETS
Accounts receivable, net	447,698				449,682				447,698	449,682		$ 464,250
Inventories, net	119,195				106,753				119,195	106,753		95,884
Prepaid expenses and other current assets	9,661				5,737				9,661	5,737		5,605
Long-term accounts receivable												1,890
Other assets	1,211				5,638				1,211	5,638		1,724
LIABILITIES
Accounts payable	201,640				194,257				201,640	194,257		194,195
Accrued expenses and other liabilities	33,840				31,096				33,840	31,096		30,784
Accrued payroll	24,319				22,662				24,319	22,662		22,953
Deferred income taxes	17,184				15,696				17,184	15,696		16,125
STOCKHOLDERS' EQUITY
Retained earnings	441,010				383,673				441,010	383,673		$ 384,870
Unrecognized excess tax benefits related to equity compensation														$ 0
Income tax benefits	(7,583)	$ (5,298)	$ (6,903)	$ (4,288)	$ (1,251)	$ (8,614)	$ (8,864)	$ (4,039)	(24,072)	(22,768)	$ (32,342)
ASU 2016-09
STOCKHOLDERS' EQUITY
Income tax benefits										1,054
Difference between Revenue Guidance in Effect before and after Topic 606 \| ASU 2014-09
REVENUES
Net sales									404,690
Costs and expenses
Cost of sales									403,737
Income from operations									750
Income before taxes									750
Net income									526
ASSETS
Accounts receivable, net	(6,949)								(6,949)				$ 14,568
Inventories, net	4,798								4,798				(10,869)
Prepaid expenses and other current assets	148								148				(132)
Long-term accounts receivable													1,890
Other assets	3,914								3,914				(3,914)
LIABILITIES
Accounts payable													(62)
Accrued expenses and other liabilities	2,904								2,904				(312)
Accrued payroll	(116)								(116)				291
Deferred income taxes	(219)								(219)				429
STOCKHOLDERS' EQUITY
Retained earnings	(657)								(657)				$ 1,197
Calculated under Revenue Guidance in Effect before Topic 606
REVENUES
Net sales									3,104,179	$ 2,911,883
Costs and expenses
Cost of sales									2,692,140
Income from operations									86,436
Income before taxes									89,414
Net income									65,118
ASSETS
Accounts receivable, net	440,749								440,749
Inventories, net	123,993								123,993
Prepaid expenses and other current assets	9,809								9,809
Other assets	5,125								5,125
LIABILITIES
Accrued expenses and other liabilities	36,744								36,744
Accrued payroll	24,203								24,203
Deferred income taxes	16,965								16,965
STOCKHOLDERS' EQUITY
Retained earnings	$ 440,353								$ 440,353

REVENUE - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Disaggregation of revenue
Net sales	$ 709,520	$ 658,504	$ 706,570	$ 624,895	$ 762,267	$ 729,230	$ 749,792	$ 670,594	$ 2,699,489	$ 2,911,883	$ 2,692,592
Notebooks/Mobility
Disaggregation of revenue
Net sales									710,654
Accessories
Disaggregation of revenue
Net sales									353,140
Software
Disaggregation of revenue
Net sales									314,856
Desktops
Disaggregation of revenue
Net sales									288,308
Servers/Storage
Disaggregation of revenue
Net sales									273,421
Displays and sound
Disaggregation of revenue
Net sales									252,036
Net/Com products
Disaggregation of revenue
Net sales									224,049
Other hardware/services
Disaggregation of revenue
Net sales									283,025
Business Solutions
Disaggregation of revenue
Net sales									1,027,918
Business Solutions \| Notebooks/Mobility
Disaggregation of revenue
Net sales									299,247
Business Solutions \| Accessories
Disaggregation of revenue
Net sales									95,342
Business Solutions \| Software
Disaggregation of revenue
Net sales									134,071
Business Solutions \| Desktops
Disaggregation of revenue
Net sales									108,096
Business Solutions \| Servers/Storage
Disaggregation of revenue
Net sales									111,559
Business Solutions \| Displays and sound
Disaggregation of revenue
Net sales									89,779
Business Solutions \| Net/Com products
Disaggregation of revenue
Net sales									109,702
Business Solutions \| Other hardware/services
Disaggregation of revenue
Net sales									80,122
Enterprise Solutions
Disaggregation of revenue
Net sales									1,165,142
Enterprise Solutions \| Notebooks/Mobility
Disaggregation of revenue
Net sales									272,589
Enterprise Solutions \| Accessories
Disaggregation of revenue
Net sales									214,102
Enterprise Solutions \| Software
Disaggregation of revenue
Net sales									135,420
Enterprise Solutions \| Desktops
Disaggregation of revenue
Net sales									126,643
Enterprise Solutions \| Servers/Storage
Disaggregation of revenue
Net sales									102,209
Enterprise Solutions \| Displays and sound
Disaggregation of revenue
Net sales									109,497
Enterprise Solutions \| Net/Com products
Disaggregation of revenue
Net sales									62,060
Enterprise Solutions \| Other hardware/services
Disaggregation of revenue
Net sales									142,622
Public Sector Solutions
Disaggregation of revenue
Net sales									506,429
Public Sector Solutions \| Notebooks/Mobility
Disaggregation of revenue
Net sales									138,818
Public Sector Solutions \| Accessories
Disaggregation of revenue
Net sales									43,696
Public Sector Solutions \| Software
Disaggregation of revenue
Net sales									45,365
Public Sector Solutions \| Desktops
Disaggregation of revenue
Net sales									53,569
Public Sector Solutions \| Servers/Storage
Disaggregation of revenue
Net sales									59,653
Public Sector Solutions \| Displays and sound
Disaggregation of revenue
Net sales									52,760
Public Sector Solutions \| Net/Com products
Disaggregation of revenue
Net sales									52,287
Public Sector Solutions \| Other hardware/services
Disaggregation of revenue
Net sales									60,281
Calculated under Revenue Guidance in Effect before Topic 606
Disaggregation of revenue
Net sales									$ 3,104,179	2,911,883
Calculated under Revenue Guidance in Effect before Topic 606 \| Notebooks/Mobility
Disaggregation of revenue
Net sales										636,289
Calculated under Revenue Guidance in Effect before Topic 606 \| Accessories
Disaggregation of revenue
Net sales										303,295
Calculated under Revenue Guidance in Effect before Topic 606 \| Software
Disaggregation of revenue
Net sales										659,488
Calculated under Revenue Guidance in Effect before Topic 606 \| Desktops
Disaggregation of revenue
Net sales										321,870
Calculated under Revenue Guidance in Effect before Topic 606 \| Servers/Storage
Disaggregation of revenue
Net sales										257,704
Calculated under Revenue Guidance in Effect before Topic 606 \| Displays and sound
Disaggregation of revenue
Net sales										234,365
Calculated under Revenue Guidance in Effect before Topic 606 \| Net/Com products
Disaggregation of revenue
Net sales										218,143
Calculated under Revenue Guidance in Effect before Topic 606 \| Other hardware/services
Disaggregation of revenue
Net sales										280,729
Calculated under Revenue Guidance in Effect before Topic 606 \| Business Solutions
Disaggregation of revenue
Net sales										1,158,639
Calculated under Revenue Guidance in Effect before Topic 606 \| Business Solutions \| Notebooks/Mobility
Disaggregation of revenue
Net sales										299,029
Calculated under Revenue Guidance in Effect before Topic 606 \| Business Solutions \| Accessories
Disaggregation of revenue
Net sales										86,339
Calculated under Revenue Guidance in Effect before Topic 606 \| Business Solutions \| Software
Disaggregation of revenue
Net sales										271,805
Calculated under Revenue Guidance in Effect before Topic 606 \| Business Solutions \| Desktops
Disaggregation of revenue
Net sales										116,931
Calculated under Revenue Guidance in Effect before Topic 606 \| Business Solutions \| Servers/Storage
Disaggregation of revenue
Net sales										116,770
Calculated under Revenue Guidance in Effect before Topic 606 \| Business Solutions \| Displays and sound
Disaggregation of revenue
Net sales										90,868
Calculated under Revenue Guidance in Effect before Topic 606 \| Business Solutions \| Net/Com products
Disaggregation of revenue
Net sales										95,043
Calculated under Revenue Guidance in Effect before Topic 606 \| Business Solutions \| Other hardware/services
Disaggregation of revenue
Net sales										81,854
Calculated under Revenue Guidance in Effect before Topic 606 \| Enterprise Solutions
Disaggregation of revenue
Net sales										1,131,823
Calculated under Revenue Guidance in Effect before Topic 606 \| Enterprise Solutions \| Notebooks/Mobility
Disaggregation of revenue
Net sales										213,352
Calculated under Revenue Guidance in Effect before Topic 606 \| Enterprise Solutions \| Accessories
Disaggregation of revenue
Net sales										166,898
Calculated under Revenue Guidance in Effect before Topic 606 \| Enterprise Solutions \| Software
Disaggregation of revenue
Net sales										284,003
Calculated under Revenue Guidance in Effect before Topic 606 \| Enterprise Solutions \| Desktops
Disaggregation of revenue
Net sales										106,779
Calculated under Revenue Guidance in Effect before Topic 606 \| Enterprise Solutions \| Servers/Storage
Disaggregation of revenue
Net sales										84,612
Calculated under Revenue Guidance in Effect before Topic 606 \| Enterprise Solutions \| Displays and sound
Disaggregation of revenue
Net sales										86,398
Calculated under Revenue Guidance in Effect before Topic 606 \| Enterprise Solutions \| Net/Com products
Disaggregation of revenue
Net sales										63,741
Calculated under Revenue Guidance in Effect before Topic 606 \| Enterprise Solutions \| Other hardware/services
Disaggregation of revenue
Net sales										126,040
Calculated under Revenue Guidance in Effect before Topic 606 \| Public Sector Solutions
Disaggregation of revenue
Net sales										621,421
Calculated under Revenue Guidance in Effect before Topic 606 \| Public Sector Solutions \| Notebooks/Mobility
Disaggregation of revenue
Net sales										123,908
Calculated under Revenue Guidance in Effect before Topic 606 \| Public Sector Solutions \| Accessories
Disaggregation of revenue
Net sales										50,058
Calculated under Revenue Guidance in Effect before Topic 606 \| Public Sector Solutions \| Software
Disaggregation of revenue
Net sales										103,680
Calculated under Revenue Guidance in Effect before Topic 606 \| Public Sector Solutions \| Desktops
Disaggregation of revenue
Net sales										98,160
Calculated under Revenue Guidance in Effect before Topic 606 \| Public Sector Solutions \| Servers/Storage
Disaggregation of revenue
Net sales										56,322
Calculated under Revenue Guidance in Effect before Topic 606 \| Public Sector Solutions \| Displays and sound
Disaggregation of revenue
Net sales										57,099
Calculated under Revenue Guidance in Effect before Topic 606 \| Public Sector Solutions \| Net/Com products
Disaggregation of revenue
Net sales										59,359
Calculated under Revenue Guidance in Effect before Topic 606 \| Public Sector Solutions \| Other hardware/services
Disaggregation of revenue
Net sales										$ 72,835

REVENUE - Contract Balances (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Jan. 02, 2018
Change in contract liability
Beginning balance - Contract liability	$ 2,914
Cash received in advance and not recognized as revenue	16,279
Amounts recognized as revenue as performance obligations satisfied	(16,514)
Ending balance - Contract liability	2,679
Accrued expenses and other liabilities
Contract liabilities
Contract liability	$ 2,679	$ 2,914

ACQUISITIONS - (Details) - USD ($) $ in Thousands			12 Months Ended
ACQUISITIONS - (Details) - USD ($) $ in Thousands	Oct. 11, 2016	May 27, 2016	Dec. 31, 2016	Dec. 31, 2018	Dec. 31, 2017
Components of purchase price:
Goodwill				$ 73,602	$ 73,602
Purchase price at closing, net of cash acquired			$ 42,990
Softmart
Components of purchase price:
Current assets		$ 22,812
Fixed assets		343
Goodwill		14,314
Total assets acquired		48,769
Acquired liabilities		(16,252)
Net assets acquired		32,517
Less cash acquired		(628)
Purchase price at closing, net of cash acquired		31,889
Softmart \| Customer relationships
Components of purchase price:
Intangible asset		11,300
GlobalServe
Components of purchase price:
Current assets	$ 1,486
Fixed assets	4,609
Goodwill	8,012
Total assets acquired	15,007
Acquired liabilities	(734)
Deferred taxes and unrecognized tax benefits	(2,390)
Net assets acquired	11,883
Less cash acquired	(782)
Purchase price at closing, net of cash acquired	11,101
GlobalServe \| Customer relationships
Components of purchase price:
Intangible asset	900
Selling, General and Administrative Expenses \| Softmart
Acquisition
Transaction costs related to acquisition			357
Selling, General and Administrative Expenses \| GlobalServe
Acquisition
Transaction costs related to acquisition			$ 118
Business Solutions
Components of purchase price:
Goodwill				7,366	7,366
Business Solutions \| Softmart
Components of purchase price:
Goodwill		7,366
Enterprise Solutions
Components of purchase price:
Goodwill				$ 66,236	$ 66,236
Enterprise Solutions \| Softmart
Components of purchase price:
Goodwill		$ 6,948
Enterprise Solutions \| GlobalServe
Components of purchase price:
Goodwill	8,012
Goodwill related to acquisition deductible for tax purposes	$ 0

GOODWILL AND OTHER INTANGIBLE ASSETS - Goodwill (Details) - segment	1 Months Ended	12 Months Ended
	Nov. 30, 2018	Dec. 31, 2018
Goodwill and Intangible Assets Disclosure
Number of reporting units		2
Weighted average cost of capital rate	12.50%
Estimated terminal growth rate	3.00%
Working capital requirements	9.50%

GOODWILL AND OTHER INTANGIBLE ASSETS - Carrying Amount of Goodwill (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Goodwill
Goodwill, gross	$ 82,409	$ 82,409
Accumulated impairment losses	(8,807)	(8,807)
Net balance	73,602	73,602
Business Solutions
Goodwill
Goodwill, gross	8,539	8,539
Accumulated impairment losses	(1,173)	(1,173)
Net balance	7,366	7,366
Enterprise Solutions
Goodwill
Goodwill, gross	66,236	66,236
Net balance	66,236	66,236
Public Sector Segment
Goodwill
Goodwill, gross	7,634	7,634
Accumulated impairment losses	$ (7,634)	$ (7,634)

GOODWILL AND OTHER INTANGIBLE ASSETS - Amortizable Intangible Assets and Related Accumulated Amortization (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Intangible Assets
Indefinite-lived intangible assets	$ 450
Gross Amount	16,790	$ 16,790
Accumulated Amortization	7,676	6,215
Net Amount	9,114	10,575
Amortization expense	$ 1,461	1,561	$ 1,281
Customer list
Intangible Assets
Estimated useful lives	8 years
Gross Amount	$ 3,400	3,400
Accumulated Amortization	3,364	3,143
Net Amount	$ 36	257
Tradename
Intangible Assets
Estimated useful lives	5 years
Gross Amount	$ 1,190	1,190
Accumulated Amortization	$ 1,190	1,190
Customer relationships
Intangible Assets
Acquired estimated useful lives	10 years
Estimated useful lives	10 years
Gross Amount	$ 12,200	12,200
Accumulated Amortization	3,122	1,882
Net Amount	$ 9,078	$ 10,318

GOODWILL AND OTHER INTANGIBLE ASSETS - Estimated Amortization Expenses (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Goodwill and Intangible Assets Disclosure
2019	$ 1,256
2020	1,220
2021	1,220
2022	1,220
2023	1,220
2024 and thereafter	2,978
Net Amount	$ 9,114	$ 10,575

ACCOUNTS RECEIVABLE (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Jan. 02, 2018	Dec. 31, 2017
Accounts receivable
Trade	$ 401,530		$ 398,524
Vendor consideration, returns and other	52,560		57,043
Due from employees	107		149
Total gross accounts receivable	454,197		455,716
Doubtful accounts	(3,102)		(2,726)
Accounts receivable, net	447,698	$ 464,250	449,682
Accounts receivable, net
Accounts receivable
Sales returns	$ (3,397)		$ (3,308)

PROPERTY AND EQUIPMENT - Summary (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Property and Equipment
Computer software, including licenses and internally-developed software	$ 75,528	$ 58,320
Furniture and equipment	36,147	33,176
Leasehold improvements	8,102	7,787
Total	119,777	99,283
Accumulated depreciation and amortization	(67,978)	(57,792)
Property and equipment, net	$ 51,799	$ 41,491

PROPERTY AND EQUIPMENT - Depreciation and Amortization Expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Property and Equipment
Depreciation and amortization	$ 12,602	$ 10,278	$ 9,172

ACCRUED EXPENSES AND OTHER LIABILITIES (Detail) - USD ($) $ in Thousands	Dec. 31, 2018	Jan. 02, 2018	Dec. 31, 2017
Accrued Expenses and Other Liabilities
Customer and vendor deposits	$ 8,880		$ 7,763
Dividends payable	8,453		9,122
Sales taxes	7,632		5,905
Other	8,875		8,306
Accrued expenses and other liabilities	$ 33,840	$ 30,784	$ 31,096

BANK BORROWINGS (Detail) - USD ($) $ in Thousands	12 Months Ended
BANK BORROWINGS (Detail) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Subordinated Borrowing
Line of credit, borrowing capacity	$ 50,000
Credit facility, expiration date	Feb. 10, 2022
Line of credit, maximum borrowing capacity	$ 80,000
Debt instrument, description of variable rate basis	one-month LIBOR
Line of credit, outstanding borrowing	$ 0	$ 0
Line of credit, available for borrowing	$ 50,000	$ 50,000
Maximum
Subordinated Borrowing
Debt ratio	2.0
Prime Rate
Subordinated Borrowing
Debt instrument, interest rate	5.50%
One-month LIBOR rate
Subordinated Borrowing
Debt instrument, interest rate	2.51%

STOCKHOLDERS' EQUITY AND SHARE-BASED COMPENSATION - Narrative (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 17, 2018	May 31, 2016	Dec. 31, 2014	Dec. 31, 2001
Stockholders' equity and share-based compensation
Preferred Stock, shares authorized		10,000	10,000
Preferred Stock, par value	$ 0.01	$ 0.01
Preferred Stock, shares outstanding	0	0
Shares repurchased, value	$ 15,375
Aggregate shares repurchased	2,391	1,856
Shares Granted		0
Stock Incentive Plan 2007
Stockholders' equity and share-based compensation
Term of approved stock-based compensation plan	10 years
Shares authorized for issuance under stock incentive plan					1,700
Shares available for future grant	8
1997 Employee Stock Purchase Plan
Stockholders' equity and share-based compensation
Purchase price under employee stock purchase plan as a percentage of price as of the last day of each six month offering period	95.00%
Common stock reserved for issuance	1,162
Share purchased under employee stock purchase plan	1,155
Nonvested Stock Units
Stockholders' equity and share-based compensation
Granted	190	0
Weighted-average grant-date fair values of nonvested stock awards granted	$ 24.90		$ 24.72
Total fair values of nonvested stock awards that vested	$ 1,635	$ 1,638	$ 2,348
Unearned compensation cost	$ 8,736
Unrecognized compensation costs, weighted average period of recognition	7 years
Aggregate intrinsic value	$ 12,561
Stock Equivalent Units (SEUs)
Stockholders' equity and share-based compensation
Granted		100	23
Vesting period	4 years
Share repurchase programs, aggregate
Stockholders' equity and share-based compensation
Number of share repurchased	535
Shares repurchased, value	$ 15,374
Aggregate shares repurchased	2,217
Aggregate number of shares repurchased	$ 27,608
Maximum \| Nonvested Stock Units
Stockholders' equity and share-based compensation
Vesting period	10 years		10 years
Maximum \| Share repurchase programs, aggregate
Stockholders' equity and share-based compensation
Repurchase of common stock, authorized amount						$ 30,000
Approximate dollar value of shares that may yet be purchased	$ 27,392
Maximum \| Share repurchase program 2001
Stockholders' equity and share-based compensation
Repurchase of common stock, authorized amount							$ 15,000
Maximum \| Share repurchase program 2014
Stockholders' equity and share-based compensation
Repurchase of common stock, authorized amount						$ 15,000
Maximum \| Share repurchase program 2018
Stockholders' equity and share-based compensation
Repurchase of common stock, authorized amount				$ 25,000

STOCKHOLDERS' EQUITY AND SHARE-BASED COMPENSATION - Dividend Payments (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Earnings Per Share
Dividend per share	$ 0.32	$ 0.34	$ 0.34
Stockholder record date	Dec. 28, 2018	Dec. 29, 2017	Dec. 30, 2016
Total dividend	$ 8,452	$ 9,122	$ 9,041
Payment date	Jan. 11, 2019	Jan. 12, 2018	Jan. 12, 2017

STOCKHOLDERS' EQUITY AND SHARE-BASED COMPENSATION - Components of Share-Based Compensation Recorded as Expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Stockholders' equity and share-based compensation
Tax benefit	$ (293)	$ (297)	$ (420)
Net effect on net income	787	444	629
Nonvested units
Stockholders' equity and share-based compensation
Pre-tax expense for nonvested units	$ 1,080	$ 741	$ 1,049

STOCKHOLDERS' EQUITY AND SHARE-BASED COMPENSATION - Nonvested Stock Award and Unit Activity (Details) - Nonvested Stock Units - $ / shares shares in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Shares
Nonvested shares beginning balance	288
Granted	190	0
Vested	(55)
Nonvested shares ending balance	423	288
Weighted-Average Grant Date Fair Value
Nonvested shares beginning balance	$ 21.01
Granted	24.90		$ 24.72
Vested	17.94
Nonvested shares ending balance	$ 23.16	$ 21.01

STOCKHOLDERS' EQUITY AND SHARE-BASED COMPENSATION - Stock Equivalent Units (Details) - Stock Equivalent Units (SEUs) - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2018
Stockholders' equity and share-based compensation
Units issued	100	23
Compensation expense	$ 1,429	$ 1,973	$ 1,871

INCOME TAXES - Provision for Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Current:
Federal									$ 16,643	$ 21,813	$ 23,923
State									6,370	4,861	4,913
Total current									23,013	26,674	28,836
Deferred:
Federal									1,087	(5,132)	2,920
State									(28)	1,226	586
Total deferred									1,059	(3,906)	3,506
Net provision	$ 7,583	$ 5,298	$ 6,903	$ 4,288	$ 1,251	$ 8,614	$ 8,864	$ 4,039	$ 24,072	$ 22,768	$ 32,342

INCOME TAXES - Components of Deferred Taxes (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Deferred tax assets:
Provisions for doubtful accounts	$ 825	$ 724
Inventory costs capitalized for tax purposes	112	127
Inventory valuation reserves	280	275
Sales return reserves	132	129
Deductible expenses, primarily employee-benefit related	319	357
Accrued compensation	2,014	981
Revenue deferral		409
Other	1,254	875
Compensation under non-statutory stock option agreements	82	34
State tax loss carryforwards	958	877
Federal benefit for uncertain state tax positions	177	177
Total gross deferred tax assets	6,153	4,965
Less: Valuation allowance	(839)	(745)
Net deferred tax assets	5,314	4,220
Deferred tax liabilities:
Goodwill and other intangibles	(12,850)	(12,516)
Property and equipment	(9,548)	(7,218)
Prepaid expenses	(100)	(182)
Total gross deferred tax liabilities.	(22,498)	(19,916)
Net deferred tax liability	(17,184)	(15,696)
Noncurrent deferred tax liability	(17,184)	(15,696)
Net deferred tax liability	$ (17,184)	$ (15,696)

INCOME TAXES - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Income Tax Examination
State net operating loss carryforwards		$ 1,213
Operating loss carryforwards, state tax benefits net of federal taxes	$ 877	958	$ 877
State tax credit and state tax loss carryforwards, valuation allowance	745	839	745
Net change in the valuation allowance related to utilization and expiration of tax carryforwards		$ 94	$ 260	$ 102
Statutory federal income tax rate (as a percent)		21.00%	35.00%
Estimated tax benefit related to remeasurement of net deferred tax	7,700
Unrecognized income tax benefits, interest and penalties recognized		$ 0	$ 0	$ 62
Unrecognized income tax benefits, accrued interest	481	481	481
Unrecognized income tax benefits, accrued penalties	$ 93	$ 93	$ 93
State Jurisdiction
Income Tax Examination
Tax years remain open to examination		2014 2015 2016 2017
Internal Revenue Service (IRS)
Income Tax Examination
Tax years remain open to examination		2015 2016 2017
Expiring After 2019
Income Tax Examination
State net operating loss carryforwards		$ 8
Expiring After 2020
Income Tax Examination
State net operating loss carryforwards		6
Expiring After 2021
Income Tax Examination
State net operating loss carryforwards		3
Expiring After 2022
Income Tax Examination
State net operating loss carryforwards		3
Expiring After 2023
Income Tax Examination
State net operating loss carryforwards		3
Expiring Beyond 2023
Income Tax Examination
State net operating loss carryforwards		1,171
No Expiration
Income Tax Examination
State net operating loss carryforwards		$ 19
Period 1
Income Tax Examination
State net operating loss carryforwards, expiration period		5 years
Period 2
Income Tax Examination
State net operating loss carryforwards, expiration period		15 years
Period 3
Income Tax Examination
State net operating loss carryforwards, expiration period		20 years

INCOME TAXES - Reconciliation of Income Tax Provision To Total Income Taxes At Statutory Federal Tax Rate (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Income Taxes
Federal income taxes, at statutory tax rate									$ 18,619	$ 27,169	$ 28,159
State income taxes, net of federal benefit									5,157	3,843	3,947
Nondeductible expenses									454	(113)	602
Remeasurement of net deferred tax balances										(7,815)
Other-net									(158)	(316)	(366)
Net provision	$ 7,583	$ 5,298	$ 6,903	$ 4,288	$ 1,251	$ 8,614	$ 8,864	$ 4,039	$ 24,072	$ 22,768	$ 32,342

INCOME TAXES - Reconciliation Of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Income Taxes
Beginning balance	$ 368	$ 684	$ 869
Lapses of applicable statute of limitations		(159)	(185)
Settlements		(157)
Ending balance	$ 368	$ 368	$ 684

EMPLOYEE BENEFIT PLAN (Details) - USD ($) $ in Thousands	12 Months Ended
EMPLOYEE BENEFIT PLAN (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Compensation and Retirement
Employer matching contributions to employee savings	$ 2,538	$ 2,396	$ 2,320
Employer matching contributions to employee profit sharing plan	$ 0	$ 0	$ 0

COMMITMENTS AND CONTINGENCIES - Operating Lease Information (Details) - USD ($) $ in Thousands		12 Months Ended
	Nov. 30, 2018	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Operating leases
Property leased from unrelated parties with remaining terms, minimum		1 year
Property leased from unrelated parties with remaining terms, maximum		10 years
Total rent expense		$ 5,428	$ 5,225	$ 4,753
Corporate headquarters
Operating leases
Operating lease term	5 years
Related Party
Operating leases
Total rent expense		$ 1,651	$ 1,647	$ 1,640

COMMITMENTS AND CONTINGENCIES - Future Aggregate Minimum Annual Lease Payments Under Operating Leases (Details) $ in Thousands	Dec. 31, 2018 USD ($)
Operating leases
2019	$ 5,035
2020	4,793
2021	3,719
2022	2,743
2023	1,969
2024 and thereafter	1,395
Related Parties
Operating leases
2019	1,516
2020	1,407
2021	1,253
2022	1,253
2023	1,149
Others
Operating leases
2019	3,519
2020	3,386
2021	2,466
2022	1,490
2023	820
2024 and thereafter	$ 1,395

SEGMENT AND RELATED DISCLOSURES - Segment Information Applicable to Reportable Operating Segments (Details) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018 USD ($)	Sep. 30, 2018 USD ($)	Jun. 30, 2018 USD ($)	Mar. 31, 2018 USD ($)	Dec. 31, 2017 USD ($)	Sep. 30, 2017 USD ($)	Jun. 30, 2017 USD ($)	Mar. 31, 2017 USD ($)	Dec. 31, 2018 USD ($) segment	Dec. 31, 2017 USD ($)	Dec. 31, 2016 USD ($)
Segment Reporting Information
Number of reportable segments \| segment									3
Net sales:
Net sales	$ 709,520	$ 658,504	$ 706,570	$ 624,895	$ 762,267	$ 729,230	$ 749,792	$ 670,594	$ 2,699,489	$ 2,911,883	$ 2,692,592
Operating income (loss):
Operating income (loss)	26,317	18,950	24,947	15,472	21,896	21,739	22,440	11,452	85,686	77,527	80,520
Other income (expense), net	2,566	114	182	116	78	(8)	9	19	2,978	98	(67)
Income before taxes	28,883	$ 19,064	$ 25,129	$ 15,588	21,974	$ 21,731	$ 22,449	$ 11,471	88,664	77,625	80,453
Depreciation and amortization:
Depreciation and amortization									14,063	11,839	10,453
Total assets:
Total assets	805,355				747,851				805,355	747,851
Goodwill	73,602				73,602				73,602	73,602
Business Solutions
Net sales:
Net sales									1,027,918
Total assets:
Goodwill	7,366				7,366				7,366	7,366
Enterprise Solutions
Net sales:
Net sales									1,165,142
Total assets:
Goodwill	66,236				66,236				66,236	66,236
Public Sector Solutions
Net sales:
Net sales									506,429
Operating Segments \| Business Solutions
Net sales:
Net sales									1,027,918	1,158,639	1,091,182
Operating income (loss):
Operating income (loss)									40,188	40,425	41,596
Depreciation and amortization:
Depreciation and amortization									632	592	425
Total assets:
Total assets	274,202				249,064				274,202	249,064
Goodwill	7,366								7,366
Operating Segments \| Enterprise Solutions
Net sales:
Net sales									1,165,142	1,131,823	1,011,990
Operating income (loss):
Operating income (loss)									61,663	50,163	42,504
Depreciation and amortization:
Depreciation and amortization									2,318	2,163	1,784
Total assets:
Total assets	477,296				413,921				477,296	413,921
Goodwill	66,236								66,236
Operating Segments \| Public Sector Solutions
Net sales:
Net sales									506,429	621,421	589,420
Operating income (loss):
Operating income (loss)									(2,260)	953	8,561
Depreciation and amortization:
Depreciation and amortization									112	159	160
Total assets:
Total assets	66,000				75,531				66,000	75,531
Headquarters/Other
Operating income (loss):
Operating income (loss)									(13,905)	(14,014)	(12,141)
Depreciation and amortization:
Depreciation and amortization									11,001	8,925	$ 8,084
Total assets:
Assets net of intercompany balance eliminations	(12,143)				9,335				(12,143)	9,335
Intersegment Elimination
Total assets:
Total assets	$ (19,019)				$ (29,731)				(19,019)	(29,731)
Calculated under Revenue Guidance in Effect before Topic 606
Net sales:
Net sales									3,104,179	2,911,883
Operating income (loss):
Operating income (loss)									86,436
Income before taxes									$ 89,414
Calculated under Revenue Guidance in Effect before Topic 606 \| Business Solutions
Net sales:
Net sales										1,158,639
Calculated under Revenue Guidance in Effect before Topic 606 \| Enterprise Solutions
Net sales:
Net sales										1,131,823
Calculated under Revenue Guidance in Effect before Topic 606 \| Public Sector Solutions
Net sales:
Net sales										$ 621,421

SEGMENT AND RELATED DISCLOSURES - Concentration Risk (Details) - Net Sales	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Geographic Concentration Risk \| Foreign \| Maximum
Segment Reporting Information
Percentage of sales by segment	1.00%	1.00%	1.00%
Customer \| Single Customer \| Maximum
Segment Reporting Information
Percentage of sales by segment	3.00%	3.00%	3.00%
Customer \| Federal Government Agencies
Segment Reporting Information
Percentage of sales by segment	5.40%	7.80%	7.50%
Customer \| Single Federal Government Agency \| Maximum
Segment Reporting Information
Percentage of sales by segment	3.00%	3.00%	3.00%

QUARTERLY FINANCIAL RESULTS (UNAUDITED) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Quarterly Financial Results (Unaudited).
Net sales	$ 709,520	$ 658,504	$ 706,570	$ 624,895	$ 762,267	$ 729,230	$ 749,792	$ 670,594	$ 2,699,489	$ 2,911,883	$ 2,692,592
Cost of sales	602,718	558,060	599,102	528,523	662,737	633,087	650,122	583,861	2,288,403	2,529,807	2,321,435
Gross profit	106,802	100,444	107,468	96,372	99,530	96,143	99,670	86,733	411,086	382,076	371,157
Selling, general and administrative expenses	79,518	81,494	82,521	80,900	74,939	74,404	76,289	75,281	324,433	300,913	287,231
Restructuring and other charges	967				2,695		941		967	3,636	3,406
Income from operations	26,317	18,950	24,947	15,472	21,896	21,739	22,440	11,452	85,686	77,527	80,520
Other income (expense), net	2,566	114	182	116	78	(8)	9	19	2,978	98	(67)
Income before taxes	28,883	19,064	25,129	15,588	21,974	21,731	22,449	11,471	88,664	77,625	80,453
Income tax provision	(7,583)	(5,298)	(6,903)	(4,288)	(1,251)	(8,614)	(8,864)	(4,039)	(24,072)	(22,768)	(32,342)
Net income	$ 21,300	$ 13,766	$ 18,226	$ 11,300	$ 20,723	$ 13,117	$ 13,585	$ 7,432	$ 64,592	$ 54,857	$ 48,111
Earnings per common share:
Basic	$ 0.80	$ 0.52	$ 0.68	$ 0.42	$ 0.77	$ 0.49	$ 0.51	$ 0.28	$ 2.42	$ 2.05	$ 1.81
Diluted	$ 0.80	$ 0.51	$ 0.68	$ 0.42	$ 0.77	$ 0.49	$ 0.51	$ 0.28	$ 2.41	$ 2.04	$ 1.80
Denominator:
Basic	26,632	26,716	26,685	26,835	26,822	26,802	26,761	26,697	26,717	26,771	26,528
Diluted	26,766	26,902	26,820	26,916	26,907	26,899	26,893	26,866	26,854	26,891	26,719

SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Allowance for Sales Returns
Valuation and Qualifying Accounts
Beginning Balance	$ 3,308	$ 3,709	$ 3,235
Charged to Costs and Expenses	28,504	32,399	32,909
Deductions/Write-Offs	(28,415)	(32,800)	(32,435)
Ending Balance	3,397	3,308	3,709
Allowance for Doubtful Accounts
Valuation and Qualifying Accounts
Beginning Balance	2,726	2,310	2,219
Charged to Costs and Expenses	1,680	1,658	360
Deductions/Write-Offs	(1,304)	(1,242)	(269)
Ending Balance	$ 3,102	$ 2,726	$ 2,310