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Condensed Consolidating Financial Statements (Tables)
6 Months Ended
Jun. 30, 2012
Condensed Consolidating Financial Statements [Abstract]  
Condensed Consolidating Financial Statements

Condensed Consolidating Balance Sheets

As of June 30, 2012

(In millions)

 

                                         
    Parent     Guarantor
Subsidiaries
    Non-
Guarantor
Subsidiaries
    Eliminations     Consolidated  

ASSETS

  

CURRENT ASSETS:

                                       

Cash and cash equivalents

  $ 1.0     $ 24.2     $ 43.9     $ —       $ 69.1  

Accounts and notes receivable, net

    (921.4 )      898.1       512.9       23.6       513.2  

Inventories, net

    —         314.4       118.0       (5.1 )     427.3  

Deferred income taxes, net

    1.5       23.3       8.0       (1.3 )      31.5  

Other assets

    0.6       22.1       118.6       (69.7 )      71.6  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total current assets

    (918.3 )      1,282.1       801.4       (52.5 )      1,112.7  

PROPERTY, PLANT AND EQUIPMENT, net

    —         242.3       50.3       —         292.6  

GOODWILL

    —         133.9       168.3       —         302.2  

DEFERRED INCOME TAXES

    (0.7 )      89.6       17.5       (9.7 )      96.7  

OTHER ASSETS, net

    2,113.7       842.9       27.7       (2,900.3 )      84.0  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

TOTAL ASSETS

  $ 1,194.7     $ 2,590.8     $ 1,065.2     $ (2,962.5 )    $ 1,888.2  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

LIABILITIES AND STOCKHOLDERS’ EQUITY

  

CURRENT LIABILITIES:

                                       

Short-term debt

  $ 111.5     $ —       $ (61.0 )    $ (36.3 )    $ 14.2  

Current maturities of long-term debt

    —         0.3       0.2       —         0.5  

Accounts payable

    9.2       235.4       92.2       34.4       371.2  

Accrued expenses

    7.1       189.3       90.6       (0.1 )      286.9  

Income taxes payable

    (10.7 )      20.0       30.5       (34.1 )      5.7  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total current liabilities

    117.1       445.0       152.5       (36.1 )      678.5  

LONG-TERM DEBT

    497.5       16.2       95.9       (95.4 )      514.2  

POSTRETIREMENT BENEFITS, OTHER THAN PENSIONS

    —         18.5       —         —         18.5  

PENSIONS

    —         107.1       12.0       —         119.1  

OTHER LIABILITIES

    0.9       62.1       13.4       (11.0 )      65.4  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total liabilities

    615.5       648.9       273.8       (142.5 )      1,395.7  

COMMITMENTS AND CONTINGENCIES

                                       

TOTAL STOCKHOLDERS’ EQUITY

    579.2       1,941.9       791.4       (2,820.0 )      492.5  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY

  $ 1,194.7     $ 2,590.8     $ 1,065.2     $ (2,962.5 )    $ 1,888.2  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Condensed Consolidating Statements of Operations

For the Three Months Ended June 30, 2012

(In millions)

 

                                         
    Parent     Guarantor
Subsidiaries
    Non-Guarantor
Subsidiaries
    Eliminations     Consolidated  

NET SALES

  $ —       $ 761.5     $ 226.4     $ (54.1 )    $ 933.8  

COST OF GOODS SOLD

    0.1       565.6       173.2       (53.8 )      685.1  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

    (0.1 )      195.9       53.2       (0.3 )      248.7  

OPERATING EXPENSES:

                                       

Selling, general and administrative expenses

    —         134.6       38.0       0.1       172.7  

(Gains) losses and other expenses, net

    (0.6 )      1.3       0.8       —         1.5  

Restructuring charges

    —         0.4       0.2       —         0.6  

(Income) loss from equity method investments

    (50.3 )      (3.7 )      (3.1 )      53.2       (3.9 ) 
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) from continuing operations

    50.8       63.3       17.3       (53.6 )      77.8  

INTEREST EXPENSE (INCOME), net

    4.4       (0.7 )      0.6       —         4.3  

OTHER EXPENSE, net

    —         —         0.1       —         0.1  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) from continuing operations before income taxes

    46.4       64.0       16.6       (53.6 )      73.4  

(BENEFIT FROM) PROVISION FOR INCOME TAXES

    (1.4 )      21.8       4.9       (0.1 )      25.2  

Income (loss) from continuing operations

    47.8       42.2       11.7       (53.5 )      48.2  

Loss from discontinued operations

    —         (2.2 )      (1.3 )      —         (3.5 ) 
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

  $ 47.8     $ 40.0     $ 10.4     $ (53.5 )    $ 44.7  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

OTHER COMPREHENSIVE (LOSS) INCOME

  $ (4.5 )    $ (2.9 )    $ (21.1 )    $ 3.5     $ (25.0 ) 
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Condensed Consolidating Statements of Operations

For the Six Months Ended June 30, 2012

(In millions)

 

                                         
    Parent     Guarantor
Subsidiaries
    Non-
Guarantor
Subsidiaries
    Eliminations     Consolidated  

NET SALES

  $ —       $ 1,284.7     $ 434.5     $ (101.2 )    $ 1,618.0  

COST OF GOODS SOLD

    0.1       973.8       330.1       (100.8 )      1,203.2  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

    (0.1 )      310.9       104.4       (0.4 )      414.8  

OPERATING EXPENSES:

                                       

Selling, general and administrative expenses

    —         256.2       79.4       0.1       335.7  

(Gains) losses and other expenses, net

    (2.2 )      0.6       1.6       —         —    

Restructuring charges

    —         3.5       0.2       —         3.7  

(Income) loss from equity method investments

    (43.5 )      (1.6 )      (5.0 )      43.8       (6.3 ) 
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) from continuing operations

    45.6       52.2       28.2       (44.3 )      81.7  

INTEREST EXPENSE (INCOME), net

    8.8       (1.2 )      1.4       —         9.0  

OTHER EXPENSE, net

    —         —         0.1               0.1  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) from continuing operations before income taxes

    36.8       53.4       26.7       (44.3 )      72.6  

(BENEFIT FROM) PROVISION FOR INCOME TAXES

    (2.4 )      19.0       8.5       (0.2 )      24.9  

Income (loss) from continuing operations

    39.2       34.4       18.2       (44.1 )      47.7  

Loss from discontinued operations

    —         (4.4 )      (4.7 )      —         (9.1 ) 
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

  $ 39.2     $ 30.0     $ 13.5     $ (44.1 )    $ 38.6  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

OTHER COMPREHENSIVE INCOME (LOSS)

  $ 2.3     $ (0.2 )    $ (9.0 )    $ 4.4     $ (2.5 ) 
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Condensed Consolidating Balance Sheets

As of December 31, 2011

(In millions)

 

                                         
    Parent     Guarantor
Subsidiaries
    Non-Guarantor
Subsidiaries
    Eliminations     Consolidated  

ASSETS

  

CURRENT ASSETS:

                                       

Cash and cash equivalents

  $ 1.0     $ 9.7     $ 34.4     $ (0.1 )    $ 45.0  

Accounts and notes receivable, net

    (991.9 )      950.1       422.6       20.6       401.4  

Inventories, net

    —         221.2       107.5       (4.7 )      324.0  

Deferred income taxes, net

    4.7       23.5       8.3       (1.3 )      35.2  

Other assets

    1.6       21.7       108.6       (56.5 )      75.4  

Assets of discontinued operations

    —         24.7       10.3       —         35.0  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total current assets

    (984.6 )      1,250.9       691.7       (42.0 )      916.0  

PROPERTY, PLANT AND EQUIPMENT, net

    —         251.7       52.8       —         304.5  

GOODWILL

    —         133.4       172.2       —         305.6  

DEFERRED INCOME TAXES

    0.2       89.8       19.2       (9.7 )      99.5  

OTHER ASSETS, net

    2,174.6       532.8       22.2       (2,649.5 )      80.1  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

TOTAL ASSETS

  $ 1,190.2     $ 2,258.6     $ 958.1     $ (2,701.2 )    $ 1,705.7  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
 

LIABILITIES AND STOCKHOLDERS’ EQUITY

  

CURRENT LIABILITIES:

                                       

Short-term debt

  $ 112.1     $ —       $ (67.3 )    $ (40.1 )    $ 4.7  

Current maturities of long-term debt

    —         0.6       0.2       —         0.8  

Accounts payable

    9.2       133.5       96.9       31.4       271.0  

Accrued expenses

    15.3       177.0       87.3       (0.1 )      279.5  

Income taxes payable

    (29.9 )      28.0       24.7       (17.1 )      5.7  

Liabilities of discontinued operations

    —         8.2       3.4       —         11.6  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total current liabilities

    106.7       347.3       145.2       (25.9 )      573.3  

LONG-TERM DEBT

    443.0       16.2       97.3       (96.9 )      459.6  

POSTRETIREMENT BENEFITS, OTHER THAN PENSIONS

    —         18.6       —         —         18.6  

PENSIONS

    —         111.9       12.8       —         124.7  

OTHER LIABILITIES

    0.8       58.6       13.3       (11.0 )      61.7  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total liabilities

    550.5       552.6       268.6       (133.8 )      1,237.9  

COMMITMENTS AND CONTINGENCIES

                                       

TOTAL STOCKHOLDERS’ EQUITY

    639.7       1,706.0       689.5       (2,567.4 )      467.8  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY

  $ 1,190.2     $ 2,258.6     $ 958.1     $ (2,701.2 )    $ 1,705.7  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Condensed Consolidating Statements of Operations

For the Three Months Ended June 30, 2011

(In millions)

 

                                         
    Parent     Guarantor
Subsidiaries
    Non-
Guarantor
Subsidiaries
    Eliminations     Consolidated  

NET SALES

  $ —       $ 729.2     $ 236.9     $ (52.0 )    $ 914.1  

COST OF GOODS SOLD

    0.1       542.2       179.1       (51.5 )      669.9  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

    (0.1 )      187.0       57.8       (0.5 )      244.2  

OPERATING EXPENSES:

                                       

Selling, general and administrative expenses

    —         126.4       43.4       —         169.8  

Losses (gains) and other expenses, net

    1.3       0.2       (0.1 )      (0.2 )      1.2  

Restructuring charges

    —         2.5       (0.1 )      —         2.4  

(Income) loss from equity method investments

    (54.9 )      (6.8 )      (2.6 )      60.9       (3.4 ) 
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operational income (loss) from continuing operations

    53.5       64.7       17.2       (61.2 )      74.2  

INTEREST EXPENSE (INCOME), net

    4.0       (1.0 )      1.2       0.1       4.3  

OTHER EXPENSE, net

    —         —         0.1       —         0.1  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) from continuing operations before income taxes

    49.5       65.7       15.9       (61.3 )      69.8  

(BENEFIT FROM) PROVISION FOR INCOME TAXES

    (1.7 )      20.8       5.1       (0.5 )      23.7  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) from continuing operations

    51.2       44.9       10.8       (60.8 )      46.1  

(Loss) income from discontinued operations

    —         (1.8 )      0.7       —         (1.1 ) 
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

  $ 51.2     $ 43.1     $ 11.5     $ (60.8 )    $ 45.0  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

OTHER COMPREHENSIVE (LOSS) INCOME

  $ (2.6 )    $ 3.7     $ 4.5     $ 0.3     $ 5.9  

Condensed Consolidating Statements of Operations

For the Six Months Ended June 30, 2011

(In millions)

 

                                         
    Parent     Guarantor
Subsidiaries
    Non-
Guarantor
Subsidiaries
    Eliminations     Consolidated  

NET SALES

  $ —       $ 1,229.8     $ 450.2     $ (96.5 )    $ 1,583.5  

COST OF GOODS SOLD

    0.1       930.2       341.8       (97.1 )      1,175.0  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

    (0.1 )      299.6       108.4       0.6       408.5  

OPERATING EXPENSES:

                                       

Selling, general and administrative expenses

    —         248.7       88.4       —         337.1  

Losses (gains) and other expenses, net

    2.2       (1.0 )      (0.3 )      —         0.9  

Restructuring charges

    —         3.2       0.4       —         3.6  

(Income) loss from equity method investments

    (48.9 )      (5.7 )      (4.9 )      53.5       (6.0 ) 
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operational income (loss) from continuing operations

    46.6       54.4       24.8       (52.9 )      72.9  

INTEREST EXPENSE (INCOME), net

    8.0       (1.8 )      2.2       —         8.4  

OTHER EXPENSE, net

    —         —         0.1       —         0.1  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) from continuing operations before income taxes

    38.6       56.2       22.5       (52.9 )      64.4  

(BENEFIT FROM) PROVISION FOR INCOME TAXES

    (3.5 )      17.8       7.9       (0.4 )      21.8  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) from continuing operations

    42.1       38.4       14.6       (52.5 )      42.6  

(Loss) income from discontinued operations

    —         (5.2 )      0.4       —         (4.8 ) 
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

  $ 42.1     $ 33.2     $ 15.0     $ (52.5 )    $ 37.8  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

OTHER COMPREHENSIVE (LOSS) INCOME

  $ (6.7 )    $ 5.7     $ 16.8     $ 1.3     $ 17.1  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Condensed Consolidating Statements of Cash Flows

For the Six Months Ended June 30, 2012

(In millions)

 

                                         
    Parent     Guarantor
Subsidiaries
    Non-Guarantor
Subsidiaries
    Eliminations     Consolidated  

Net cash provided by (used in) operating activities

  $ 34.6     $ (51.6 )    $ 6.4     $ —       $ (10.6 ) 

CASH FLOWS FROM INVESTING ACTIVITIES:

                                       

Proceeds from the disposal of property, plant and equipment

    —         0.1       0.1       —         0.2  

Purchases of property, plant and equipment

    —         (14.2 )      (2.6 )      —         (16.8 ) 

Net proceeds from sale of business

    —         7.2       —         —         7.2  

Net cash used in discontinued operations

    —         (0.1 )      —         —         (0.1 ) 
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net cash used in investing activities

    —         (7.0 )      (2.5 )      —         (9.5 ) 

CASH FLOWS FROM FINANCING ACTIVITIES:

                                       

Short-term borrowings, net

    —         —         9.9       —         9.9  

Asset securitization borrowings

    —         —         310.0       —         310.0  

Asset securitization payments

    —         —         (310.0 )      —         (310.0 ) 

Long-term payments

    —         (0.4 )      (0.2 )      —         (0.6 ) 

Borrowings from revolving credit facility

    526.0       —         —         —         526.0  

Payments on revolving credit facility

    (471.5 )      —         —         —         (471.5 ) 

Proceeds from stock option exercises

    0.2       —         —         —         0.2  

Repurchases of common stock

    (2.6 )      —         —         —         (2.6 ) 

Excess tax benefits related to share-based payments

    1.2       —         —         —         1.2  

Intercompany debt

    0.8       0.4       (1.2 )      —         —    

Intercompany financing activity

    (70.4 )      73.1       (2.7 )      —         —    

Cash dividends paid

    (18.3 )      —         —         —         (18.3 ) 
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net cash (used in) provided by financing activities

    (34.6 )      73.1       5.8       —         44.3  

INCREASE IN CASH AND CASH EQUIVALENTS

    —         14.5       9.7       —         24.2  

EFFECT OF EXCHANGE RATES ON CASH AND CASH EQUIVALENTS

    —         —         (0.1 )      —         (0.1 ) 

CASH AND CASH EQUIVALENTS, beginning of period

    1.0       9.7       34.3       —         45.0  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

CASH AND CASH EQUIVALENTS, end of period

  $ 1.0     $ 24.2     $ 43.9     $ —       $ 69.1  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Condensed Consolidating Statements of Cash Flows

For the Six Months Ended June 30, 2011

(In millions)

 

                                         
    Parent     Guarantor
Subsidiaries
    Non-Guarantor
Subsidiaries
    Eliminations     Consolidated  

Net cash provided by (used in) operating activities

  $ 51.0     $ (184.9 )    $ (8.5 )    $ —       $ (142.4 ) 

CASH FLOWS FROM INVESTING ACTIVITIES:

                                       

Proceeds from the disposal of property, plant and equipment

    —         0.7       0.2       —         0.9  

Purchases of property, plant and equipment

    —         (16.0 )      (2.0 )      —         (18.0 ) 

Net proceeds from sale of business

    —         —         0.6       —         0.6  

Acquisition of business

    —         (139.8 )      (7.9 )      —         (147.7 ) 

Change in restricted cash

    —         —         11.7       —         11.7  

Net cash used in discontinued operations

    —         (0.4 )      (0.2 )      —         (0.6 ) 
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net cash (used in) provided by investing activities

    —         (155.5 )      2.4       —         (153.1 ) 

CASH FLOWS FROM FINANCING ACTIVITIES:

                                       

Short-term borrowings, net

    —         —         5.1       —         5.1  

Asset securitization borrowings

    —         —         80.0       —         80.0  

Asset securitization payments

    —         —         (80.0 )      —         (80.0 ) 

Long-term payments

    —         (0.4 )      —         —         (0.4 ) 

Borrowings from revolving credit facility

    683.0       —         —         —         683.0  

Payments on revolving credit facility

    (429.0 )      —         —         —         (429.0 ) 

Proceeds from stock option exercises

    1.3       —         —         —         1.3  

Repurchases of common stock

    (36.5 )      —         —         —         (36.5 ) 

Excess tax benefits related to share-based payments

    1.5       —         —         —         1.5  

Intercompany debt

    35.8       (11.6 )      (24.2 )      —         —    

Intercompany financing activity

    (370.3 )      365.2       5.1       —         —    

Cash dividends paid

    (17.7 )      —         —         —         (17.7 ) 
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net cash (used in) provided by financing activities

    (131.9 )      353.2       (14.0 )      —         207.3  

INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS

    (80.9 )      12.8       (20.1 )      —         (88.2 ) 

EFFECT OF EXCHANGE RATES ON CASH AND CASH EQUIVALENTS

    —         —         4.7       —         4.7  

CASH AND CASH EQUIVALENTS, beginning of period

    81.1       14.7       64.2       —         160.0  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

CASH AND CASH EQUIVALENTS, end of period

  $ 0.2     $ 27.5     $ 48.8     $ —       $ 76.5