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GUARANTOR FINANCIAL STATEMENTS - (Tables)
 12 Months Ended
Dec. 31, 2013
Guarantor Financial Statements [Abstract]  
Schedule of Condensed Income Statement
Condensed Consolidating Statement of Operations and Comprehensive Income (Loss)
For the year ended December 31, 2013

 
 
 
 
Guarantor
 
Non-Guarantor
 
 
 
Nortek
 
 
Nortek
 
Subsidiaries
 
Subsidiaries
 
Eliminations
 
Consolidated
 
 
(Dollar amounts in millions)
 
 
 
 
 
 
 
 
 
 
 
Net Sales
 
$
—

 
$
1,938.4

 
$
729.4

 
$
(379.9
)
 
$
2,287.9

Cost of products sold
 
—

 
1,389.4

 
618.2

 
(380.2
)
 
1,627.4

Gross profit
 
—

 
549.0

 
111.2

 
0.3

 
660.5

Selling, general and administrative expense, net
 
60.3

 
370.0

 
91.0

 
—

 
521.3

Amortization of intangible assets
 
—

 
49.2

 
2.9

 
(0.8
)
 
51.3

Operating (loss) earnings
 
(60.3
)
 
129.8

 
17.3

 
1.1

 
87.9

Interest expense
 
(96.2
)
 
(3.0
)
 
(0.2
)
 
—

 
(99.4
)
Investment income
 
—

 
—

 
0.1

 
—

 
0.1

(Loss) income before charges and allocations to
     subsidiaries and equity in subsidiaries'
     (loss) earnings before income taxes
 
(156.5
)
 
126.8

 
17.2

 
1.1

 
(11.4
)
Charges and allocations to subsidiaries and equity
     in subsidiaries' (loss) earnings before income
     taxes
 
145.1

 
(67.8
)
 
1.2

 
(78.5
)
 
—

(Loss) earnings before (benefit) provision for
     income taxes
 
(11.4
)
 
59.0

 
18.4

 
(77.4
)
 
(11.4
)
(Benefit) provision for income taxes
 
(3.1
)
 
23.9

 
6.6

 
(30.5
)
 
(3.1
)
Net (loss) earnings
 
$
(8.3
)
 
$
35.1

 
$
11.8

 
$
(46.9
)
 
$
(8.3
)
 
 
 
 
 
 
 
 
 
 
 
Comprehensive (loss) income
 
$
(2.3
)
 
$
38.1

 
$
7.8

 
$
(45.9
)
 
$
(2.3
)
 
Condensed Consolidating Statement of Operations and Comprehensive (Loss) Income
For the year ended December 31, 2012

 
 
 
 
Guarantor
 
Non-Guarantor
 
 
 
Nortek
 
 
Nortek
 
Subsidiaries
 
Subsidiaries
 
Eliminations
 
Consolidated
 
 
(Dollar amounts in millions)
 
 
 
 
 
 
 
 
 
 
 
Net Sales
 
$
—

 
$
1,809.5

 
$
711.4

 
$
(319.6
)
 
$
2,201.3

Cost of products sold
 
—

 
1,277.1

 
601.8

 
(318.0
)
 
1,560.9

Gross profit
 
—

 
532.4

 
109.6

 
(1.6
)
 
640.4

Selling, general and administrative expense, net
 
44.7

 
338.6

 
85.2

 
—

 
468.5

Amortization of intangible assets
 
—

 
41.9

 
2.8

 
(0.4
)
 
44.3

Operating (loss) earnings
 
(44.7
)
 
151.9

 
21.6

 
(1.2
)
 
127.6

Interest expense
 
(93.9
)
 
(2.2
)
 
(0.4
)
 
—

 
(96.5
)
Loss from debt retirement
 
(6.4
)
 
—

 
—

 
—

 
(6.4
)
Investment income
 
—

 
—

 
0.1

 
—

 
0.1

(Loss) income before charges and allocations to
     subsidiaries and equity in subsidiaries' earnings
     (loss) before income taxes
 
(145.0
)
 
149.7

 
21.3

 
(1.2
)
 
24.8

Charges and allocations to subsidiaries and equity
     in subsidiaries' earnings (loss) before income
     taxes
 
169.8

 
(59.3
)
 
12.4

 
(122.9
)
 
—

Earnings (loss) before provision (benefit) for
     income taxes
 
24.8

 
90.4

 
33.7

 
(124.1
)
 
24.8

Provision (benefit) for income taxes
 
15.3

 
34.2

 
7.6

 
(41.8
)
 
15.3

Net earnings (loss)
 
$
9.5

 
$
56.2

 
$
26.1

 
$
(82.3
)
 
$
9.5

 
 
 
 
 
 
 
 
 
 
 
Comprehensive income (loss)
 
$
8.0

 
$
56.6

 
$
25.2

 
$
(81.8
)
 
$
8.0

 

 
Condensed Consolidating Statement of Operations and Comprehensive (Loss) Income
For the year ended December 31, 2011

 
 
 
 
Guarantor
 
Non-Guarantor
 
 
 
Nortek
 
 
Nortek
 
Subsidiaries
 
Subsidiaries
 
Eliminations
 
Consolidated
 
 
(Dollar amounts in millions)
 
 
 
 
 
 
 
 
 
 
 
Net Sales
 
$
—

 
$
1,736.9

 
$
693.4

 
$
(289.8
)
 
$
2,140.5

Cost of products sold
 
—

 
1,245.5

 
612.0

 
(289.7
)
 
1,567.8

Gross profit
 
—

 
491.4

 
81.4

 
(0.1
)
 
572.7

Selling, general and administrative expense, net
 
40.4

 
335.2

 
89.2

 
—

 
464.8

Amortization of intangible assets
 
—

 
42.3

 
2.5

 
—

 
44.8

Operating (loss) earnings
 
(40.4
)
 
113.9

 
(10.3
)
 
(0.1
)
 
63.1

Interest expense
 
(102.6
)
 
(1.9
)
 
(1.1
)
 
—

 
(105.6
)
Loss from debt retirement
 
(33.8
)
 
—

 
—

 
—

 
(33.8
)
Investment income
 
—

 
—

 
0.1

 
—

 
0.1

(Loss) income before charges and allocations to
     subsidiaries and equity in subsidiaries'
     (loss) earnings before income taxes
 
(176.8
)
 
112.0

 
(11.3
)
 
(0.1
)
 
(76.2
)
Charges and allocations to subsidiaries and equity
     in subsidiaries' (loss) earnings before income
     taxes
 
100.6

 
(72.2
)
 
0.3

 
(28.7
)
 
—

(Loss) earnings before (benefit) provision for
     income taxes
 
(76.2
)
 
39.8

 
(11.0
)
 
(28.8
)
 
(76.2
)
(Benefit) provision for income taxes
 
(20.3
)
 
14.6

 
6.1

 
(20.7
)
 
(20.3
)
Net (loss) earnings
 
$
(55.9
)
 
$
25.2

 
$
(17.1
)
 
$
(8.1
)
 
$
(55.9
)
 
 
 
 
 
 
 
 
 
 
 
Comprehensive (loss) income
 
$
(77.5
)
 
$
20.3

 
$
(21.6
)
 
$
1.3

 
$
(77.5
)
Schedule of Condensed Balance Sheet
Condensed Consolidating Balance Sheet as of December 31, 2013

 
 
 
 
Guarantor
 
Non-Guarantor
 
 
 
Nortek
 
 
Nortek
 
Subsidiaries
 
Subsidiaries
 
Eliminations
 
Consolidated
 
 
(Dollar amounts in millions)
ASSETS:
Current Assets:
 
 
 
 
 
 
 
 
 
 
Unrestricted cash and cash equivalents
 
$
23.2

 
$
20.0

 
$
37.7

 
$
—

 
$
80.9

Restricted cash
 
2.7

 
0.1

 
0.1

 
—

 
2.9

Accounts receivable, less allowances
 
0.1

 
219.2

 
57.1

 
—

 
276.4

Intercompany receivables
 
1.4

 
—

 
60.5

 
(61.9
)
 
—

Inventories, net
 
—

 
204.5

 
72.0

 
(6.0
)
 
270.5

Prepaid expenses
 
3.2

 
11.0

 
6.0

 
—

 
20.2

Other current assets
 
0.1

 
6.5

 
12.8

 
—

 
19.4

Deferred tax assets
 
4.8

 
26.3

 
—

 
(1.4
)
 
29.7

Total current assets
 
35.5

 
487.6

 
246.2

 
(69.3
)
 
700.0

Property and Equipment, at Cost:
 
 
 
 
 
 
 
 
 
 
Total property and equipment, net
 
7.0

 
157.4

 
68.0

 
—

 
232.4

 
 
 
 
 
 
 
 
 
 
 
Other Long-term Assets:
 
 
 
 
 
 
 
 
 
 
Investment in subsidiaries and long-term
     receivable from (to) subsidiaries
 
1,180.7

 
418.6

 
—

 
(1,599.3
)
 
—

Goodwill
 
—

 
357.8

 
15.7

 
—

 
373.5

Intangible assets, less accumulated amortization
 
—

 
627.1

 
32.2

 
(10.4
)
 
648.9

Deferred tax asset
 
10.2

 
—

 
—

 
(10.2
)
 
—

Other assets
 
20.3

 
14.6

 
1.2

 
—

 
36.1

Total other long-term assets
 
1,211.2

 
1,418.1

 
49.1

 
(1,619.9
)
 
1,058.5

Total Assets
 
$
1,253.7

 
$
2,063.1

 
$
363.3

 
$
(1,689.2
)
 
$
1,990.9

 
 
 
 
 
 
 
 
 
 
 
LIABILITIES AND STOCKHOLDERS' INVESTMENT (DEFICIT):
Current Liabilities:
 
 
 
 
 
 
 
 
 
 
Short term bank obligations
 
$
—

 
$
—

 
$
0.7

 
$
—

 
$
0.7

Current maturities of long-term debt
 
0.3

 
2.5

 
—

 
—

 
2.8

Accounts payable
 
2.3

 
103.7

 
108.7

 
—

 
214.7

Accrued expenses and taxes
 
36.2

 
152.4

 
42.9

 
—

 
231.5

Current deferred taxes
 
—

 
—

 
1.4

 
(1.4
)
 
—

Intercompany payables
 
—

 
61.9

 
—

 
(61.9
)
 
—

Total current liabilities
 
38.8

 
320.5

 
153.7

 
(63.3
)
 
449.7

 
 
 
 
 
 
 
 
 
 
 
Other Liabilities:
 
 
 
 
 
 
 
 
 
 
Deferred income taxes
 
—

 
163.8

 
7.7

 
(12.4
)
 
159.1

Other long-term liabilities
 
31.7

 
135.6

 
21.6

 
—

 
188.9

Long-term intercompany payables
 
—

 
—

 
49.4

 
(49.4
)
 
—

 
 
31.7

 
299.4

 
78.7

 
(61.8
)
 
348.0

 
 
 
 
 
 
 
 
 
 
 
Notes, Mortgage Notes and Obligations
     Payable, Less Current Maturities
 
1,083.3

 
10.0

 
—

 
—

 
1,093.3

 
 
 
 
 
 
 
 
 
 
 
Stockholders' investment (deficit)
 
99.9

 
1,433.2

 
130.9

 
(1,564.1
)
 
99.9

Total Liabilities and Stockholders'
     Investment (Deficit)
 
$
1,253.7

 
$
2,063.1

 
$
363.3

 
$
(1,689.2
)
 
$
1,990.9

Condensed Consolidating Balance Sheet as of December 31, 2012

 
 
 
 
Guarantor
 
Non-Guarantor
 
 
 
Nortek
 
 
Nortek
 
Subsidiaries
 
Subsidiaries
 
Eliminations
 
Consolidated
 
 
(Dollar amounts in millions)
ASSETS:
Current Assets:
 
 
 
 
 
 
 
 
 
 
Unrestricted cash and cash equivalents
 
$
94.9

 
$
13.1

 
$
36.7

 
$
—

 
$
144.7

Restricted cash
 
—

 
—

 
0.2

 
—

 
0.2

Accounts receivable, less allowances
 
—

 
191.7

 
65.7

 
—

 
257.4

Intercompany receivables
 
1.0

 
—

 
42.3

 
(43.3
)
 
—

Inventories, net
 
—

 
192.4

 
71.6

 
(5.6
)
 
258.4

Prepaid expenses
 
1.2

 
8.7

 
4.5

 
—

 
14.4

Other current assets
 
—

 
10.7

 
10.4

 
(1.1
)
 
20.0

Deferred tax assets
 
18.3

 
12.6

 
—

 
(1.6
)
 
29.3

Total current assets
 
115.4

 
429.2

 
231.4

 
(51.6
)
 
724.4

 
 
 
 
 
 
 
 
 
 
 
Property and Equipment, at Cost:
 
 
 
 
 
 
 
 
 
 
Total property and equipment, net
 
3.0

 
128.7

 
67.8

 
—

 
199.5

 
 
 
 
 
 
 
 
 
 
 
Other Long-term Assets:
 
 
 
 
 
 
 
 
 
 
Investment in subsidiaries and long-term
     receivable from (to) subsidiaries
 
1,107.8

 
321.2

 
—

 
(1,429.0
)
 
—

Goodwill
 
—

 
292.7

 
14.9

 
—

 
307.6

Intangible assets, less accumulated amortization
 
—

 
591.6

 
34.5

 
(11.2
)
 
614.9

Deferred tax asset
 
10.9

 
—

 
—

 
(10.9
)
 
—

Other assets
 
25.4

 
15.7

 
0.6

 
—

 
41.7

Total other long-term assets
 
1,144.1

 
1,221.2

 
50.0

 
(1,451.1
)
 
964.2

Total Assets
 
$
1,262.5

 
$
1,779.1

 
$
349.2

 
$
(1,502.7
)
 
$
1,888.1

 
 
 
 
 
 
 
 
 
 
 
LIABILITIES AND STOCKHOLDERS' INVESTMENT (DEFICIT):
Current Liabilities:
 
 
 
 
 
 
 
 
 
 
Short term bank obligations
 
$
—

 
$
—

 
$
0.7

 
$
—

 
$
0.7

Current maturities of long-term debt
 
0.3

 
2.1

 
—

 
—

 
2.4

Accounts payable
 
4.1

 
76.7

 
93.6

 
—

 
174.4

Accrued expenses and taxes
 
31.1

 
119.4

 
48.8

 
(0.4
)
 
198.9

Current deferred taxes
 
—

 
—

 
1.6

 
(1.6
)
 
—

Intercompany payables
 
—

 
43.3

 
—

 
(43.3
)
 
—

Total current liabilities
 
35.5

 
241.5

 
144.7

 
(45.3
)
 
376.4

 
 
 
 
 
 
 
 
 
 
 
Other Liabilities:
 
 
 
 
 
 
 
 
 
 
Deferred income taxes
 
—

 
137.3

 
8.7

 
(13.3
)
 
132.7

Other long-term liabilities
 
47.7

 
110.3

 
28.9

 
—

 
186.9

Long-term intercompany payables
 
—

 
—

 
44.0

 
(44.0
)
 
—

 
 
47.7

 
247.6

 
81.6

 
(57.3
)
 
319.6

 
 
 
 
 
 
 
 
 
 
 
Notes, Mortgage Notes and Obligations
     Payable, Less Current Maturities
 
1,085.1

 
12.8

 
—

 
—

 
1,097.9

 
 
 
 
 
 
 
 
 
 
 
Stockholders' investment (deficit)
 
94.2

 
1,277.2

 
122.9

 
(1,400.1
)
 
94.2

Total Liabilities and Stockholders'
     Investment (Deficit)
 
$
1,262.5

 
$
1,779.1

 
$
349.2

 
$
(1,502.7
)
 
$
1,888.1
Schedule of Condensed Cash Flow Statement
Condensed Consolidating Cash Flow Statement
For the year ended December 31, 2013
 
 
 
 
Guarantor
 
Non-Guarantor
 
Nortek
 
 
Nortek
 
Subsidiaries
 
Subsidiaries
 
Consolidated
 
 
(Dollar amounts in millions)
 
 
 
 
 
 
 
 
 
Cash Flows from operating activities:
 
 
 
 
 
 
 
 
Net cash (used in) provided by operating activities
 
$
(151.7
)
 
$
276.2

 
$
10.7

 
$
135.2

Cash Flows from investing activities:
 
 
 
 
 
 
 
 
Capital expenditures
 
(5.1
)
 
(27.9
)
 
(10.8
)
 
(43.8
)
Net cash paid for businesses acquired
 
(145.5
)
 
—

 
(0.9
)
 
(146.4
)
Proceeds from the sale of property and equipment
 
—

 
0.1

 
0.1

 
0.2

(Increase) decrease in restricted cash and marketable securities
 
(2.7
)
 
0.3

 
—

 
(2.4
)
Intercompany capital contributions
 
(2.2
)
 
2.2

 
—

 
—

Other, net
 
(0.1
)
 
(0.7
)
 
(0.1
)
 
(0.9
)
Net cash used in investing activities
 
(155.6
)
 
(26.0
)
 
(11.7
)
 
(193.3
)
 
 
 
 
 
 
 
 
 
Cash Flows from financing activities:
 
 
 
 
 
 
 
 
Increase in borrowings
 
150.0

 
—

 
3.1

 
153.1

Payment of borrowings
 
(150.3
)
 
(2.6
)
 
(3.1
)
 
(156.0
)
Net proceeds from equity transactions
 
(2.5
)
 
—

 
—

 
(2.5
)
Long-term intercompany advances and loans
 
238.7

 
(240.7
)
 
2.0

 
—

Other, net
 
(0.3
)
 
—

 
—

 
(0.3
)
Net cash provided by (used in) financing activities
 
235.6

 
(243.3
)
 
2.0

 
(5.7
)
Net change in unrestricted cash and cash equivalents
 
(71.7
)
 
6.9

 
1.0

 
(63.8
)
Unrestricted cash and cash equivalents at the
     beginning of the period
 
94.9

 
13.1

 
36.7

 
144.7

Unrestricted cash and cash equivalents at the
     end of the period
 
$
23.2

 
$
20.0

 
$
37.7

 
$
80.9




Condensed Consolidating Cash Flow Statement
For the year ended December 31, 2012

 
 
 
 
Guarantor
 
Non-Guarantor
 
Nortek
 
 
Nortek
 
Subsidiaries
 
Subsidiaries
 
Consolidated
 
 
(Dollar amounts in millions)
 
 
 
 
 
 
 
 
 
Cash Flows from operating activities:
 
 
 
 
 
 
 
 
Net cash (used in) provided by operating activities
 
$
(141.4
)
 
$
280.1

 
$
25.5

 
$
164.2

Cash Flows from investing activities:
 
 
 
 
 
 
 
 
Capital expenditures
 
(1.8
)
 
(16.2
)
 
(6.1
)
 
(24.1
)
Net cash paid for businesses acquired
 
(2.6
)
 
—

 
—

 
(2.6
)
Proceeds from the sale of property and equipment
 
—

 
2.5

 
0.5

 
3.0

Decrease in restricted cash and marketable securities
 
0.1

 
0.1

 
—

 
0.2

Intercompany dividends
 
—

 
6.5

 
(6.5
)
 
—

Other, net
 
0.1

 
—

 
(0.1
)
 
—

Net cash used in investing activities
 
(4.2
)
 
(7.1
)
 
(12.2
)
 
(23.5
)
 
 
 
 
 
 
 
 
 
Cash Flows from financing activities:
 
 
 
 
 
 
 
 
Increase in borrowings
 
30.0

 
—

 
4.6

 
34.6

Payment of borrowings
 
(57.7
)
 
(2.4
)
 
(23.9
)
 
(84.0
)
Net proceeds from the sale of the 8.5% Senior Notes due 2021
 
251.7

 
—

 
—

 
251.7

Redemption of the Term Loan Facility
 
(251.7
)
 
—

 
—

 
(251.7
)
Fees paid in connection with debt facilities
 
(5.9
)
 
—

 
—

 
(5.9
)
Net proceeds from equity transactions
 
1.2

 
—

 
—

 
1.2

Long-term intercompany advances and loans
 
255.2

 
(266.8
)
 
11.6

 
—

Other, net
 
(0.1
)
 
—

 
—

 
(0.1
)
Net cash provided by (used in) financing activities
 
222.7

 
(269.2
)
 
(7.7
)
 
(54.2
)
Net change in unrestricted cash and cash equivalents
 
77.1

 
3.8

 
5.6

 
86.5

Unrestricted cash and cash equivalents at the
     beginning of the period
 
17.8

 
9.3

 
31.1

 
58.2

Unrestricted cash and cash equivalents at the
     end of the period
 
$
94.9

 
$
13.1

 
$
36.7

 
$
144.7



Condensed Consolidating Cash Flow Statement
For the year ended December 31, 2011

 
 
 
 
Guarantor
 
Non-Guarantor
 
Nortek
 
 
Nortek
 
Subsidiaries
 
Subsidiaries
 
Consolidated
 
 
(Dollar amounts in millions)
 
 
 
 
 
 
 
 
 
Cash Flows from operating activities:
 
 
 
 
 
 
 
 
Net cash (used in) provided by operating activities
 
$
(121.6
)
 
$
185.5

 
$
17.0

 
$
80.9

Cash Flows from investing activities:
 
 
 
 
 
 
 
 
Capital expenditures
 
(0.1
)
 
(14.8
)
 
(6.2
)
 
(21.1
)
Net cash paid for businesses acquired
 
(5.8
)
 
(25.1
)
 
—

 
(30.9
)
Investment in joint venture
 
—

 
(5.3
)
 
—

 
(5.3
)
Proceeds from the sale of property and equipment
 
0.7

 
0.5

 
0.1

 
1.3

Decrease in restricted cash and marketable securities
 
—

 
0.2

 
—

 
0.2

Other, net
 
—

 
—

 
0.1

 
0.1

Net cash used in investing activities
 
(5.2
)
 
(44.5
)
 
(6.0
)
 
(55.7
)
 
 
 
 
 
 
 
 
 
Cash Flows from financing activities:
 
 
 
 
 
 
 
 
Increase in borrowings
 
50.0

 
5.3

 
27.5

 
82.8

Payment of borrowings
 
(102.6
)
 
(6.9
)
 
(30.8
)
 
(140.3
)
Sale of the 8.5% Senior Notes due 2021
 
500.0

 
—

 
—

 
500.0

Net proceeds from borrowings under the Term Loan Facility
 
348.2

 
—

 
—

 
348.2

Redemption of the 11% Senior Secured Notes due 2013
 
(753.3
)
 
—

 
—

 
(753.3
)
Fees paid in connection with debt facilities
 
(59.6
)
 
—

 
—

 
(59.6
)
Net proceeds from equity transactions
 
(2.7
)
 
—

 
—

 
(2.7
)
Intercompany capital contributions
 
(3.0
)
 
2.7

 
0.3

 
—

Long-term intercompany advances and loans
 
151.5

 
(154.2
)
 
2.7

 
—

Other, net
 
0.1

 
0.1

 
—

 
0.2

Net cash provided by (used in) financing activities
 
128.6

 
(153.0
)
 
(0.3
)
 
(24.7
)
Net change in unrestricted cash and cash equivalents
 
1.8

 
(12.0
)
 
10.7

 
0.5

Unrestricted cash and cash equivalents at the
     beginning of the period
 
16.0

 
21.3

 
20.4

 
57.7

Unrestricted cash and cash equivalents at the
     end of the period
 
$
17.8

 
$
9.3

 
$
31.1

 
$
58.2