Contingencies and Legal Matters

9 Months Ended

Sep. 30, 2016

Commitments and Contingencies Disclosure [Abstract]

Litigation

The Company is involved in certain legal actions and claims arising in the ordinary course of business. While the outcome of these legal actions and claims cannot be predicted with certainty, it is the opinion of management that the outcome of any such claim which is pending or threatened, either individually or on a combined basis, will not have a material effect on the consolidated financial condition, results of operations or cash flows of the Company.

Income Taxes

The Company periodically undergoes examination by the Internal Revenue Service (the “IRS”) as well as various state and foreign jurisdictions. These tax authorities routinely challenge certain deductions and credits reported by the Company on its income tax returns. No significant tax audit findings are being contested at this time with either the IRS or any state or foreign tax authority.

Employees and Labor Relations

The Company’s U.S. union employees are represented by the United Steelworkers Union (the “USW”). Approximately 50 percent of salaried employees and 80 percent of hourly employees of Neenah Germany are eligible to be represented by the Mining, Chemicals and Energy Trade Union, Industriegewerkschaft Bergbau, Chemie and Energie (the “IG BCE”). As of September 30, 2016, the Company had approximately 189 U.S. employees covered under collective bargaining agreements that will expire in the next 12 months. The following table shows the expiration dates of the Company’s various bargaining agreements and the number of employees covered under each of these agreements.



Contract Expiration Date	Location	Union	Number of Employees
September 2016 (a)	Reading, PA	USW	29
November 2016	Brattleboro, VT	USW	70
November 2016	Lowville, NY	USW	90
June 2017	Neenah Germany	IG BCE	(b)
January 2018	Whiting, WI	USW	204
June 2018	Neenah, WI	USW	266
July 2018	Munising, MI	USW	201
May 2019	Appleton, WI	USW	77


(a)	We have announced the closure of the Reading facility by mid-2017. The current collective bargaining arrangement will remain in effect until that time.

(b) Under German law union membership is voluntary and does not need to be disclosed to the Company. As a result, the number of employees covered by the collective bargaining agreement with the IG BCE cannot be determined.

The Company’s United Kingdom salaried and hourly employees are eligible to participate in Unite the Union (“UNITE”) on an individual basis, but not under a collective bargaining agreement.