Condensed Consolidating Financial Statements (Tables)

3 Months Ended

Mar. 31, 2018

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Schedule of Condensed Balance Sheet

	As of March 31, 2018
	Aleris Corporation (Parent)		Aleris International, Inc.		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			Consolidated
ASSETS
Current Assets
Cash and cash equivalents	$	—	$	34.7	$	—	$	46.4	$	(2.0	)	$	79.1
Accounts receivable, net	—		0.1		147.2		216.9		—			364.2
Inventories	—		—		335.1		340.6		—			675.7
Prepaid expenses and other current assets	—		5.6		27.7		47.3		—			80.6
Intercompany receivables	—		223.5		85.8		0.9		(310.2		)	—
Total Current Assets	—		263.9		595.8		652.1		(312.2		)	1,199.6
Property, plant and equipment, net	—		—		891.2		579.3		—			1,470.5
Intangible assets, net	—		—		18.2		15.9		—			34.1
Deferred income taxes	—		—		—		69.5		—			69.5
Other long-term assets	—		3.2		8.4		43.5		—			55.1
Investments in subsidiaries	124.7		1,521.4		3.1		—		(1,649.2		)	—
Total Assets	$	124.7	$	1,788.5	$	1,516.7	$	1,360.3	$	(1,961.4	)	$	2,828.8
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current Liabilities
Accounts payable	$	—	$	4.0	$	169.8	$	169.8	$	(2.0	)	$	341.6
Accrued liabilities	—		66.0		65.1		68.8		—			199.9
Current portion of long-term debt	—		—		0.9		9.4		—			10.3
Intercompany payables	3.8		71.3		204.5		30.6		(310.2		)	—
Total Current Liabilities	3.8		141.3		440.3		278.6		(312.2		)	551.8
Long-term debt	—		1,522.2		0.8		296.1		—			1,819.1
Deferred revenue	—		—		74.0		—					74.0
Deferred income taxes	—		—		0.5		5.6					6.1
Accrued pension benefits	—		—		45.0		128.5					173.5
Accrued postretirement benefits	—		—		33.8		—					33.8
Other long-term liabilities	—		0.3		17.2		32.1					49.6
Total Long-Term Liabilities	—		1,522.5		171.3		462.3		—			2,156.1
Total equity	120.9		124.7		905.1		619.4		(1,649.2		)	120.9
Total Liabilities and Equity	$	124.7	$	1,788.5	$	1,516.7	$	1,360.3	$	(1,961.4	)	$	2,828.8

	As of December 31, 2017
	Aleris Corporation (Parent)		Aleris International, Inc.		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			Consolidated
ASSETS
Current Assets
Cash and cash equivalents	$	—	$	40.3	$	—	$	64.2	$	(2.1	)	$	102.4
Accounts receivable, net	—		0.2		83.0		162.5		—			245.7
Inventories	—		—		286.6		344.6		—			631.2
Prepaid expenses and other current assets	—		3.4		10.0		22.7		—			36.1
Intercompany receivables	—		134.6		46.0		32.4		(213.0		)	—
Total Current Assets	—		178.5		425.6		626.4		(215.1		)	1,015.4
Property, plant and equipment, net	—		—		903.7		567.2		—			1,470.9
Intangible assets, net	—		—		18.8		15.9		—			34.7
Deferred income taxes	—		—		—		70.7		—			70.7
Other long-term assets	—		3.4		8.0		41.3		—			52.7
Investments in subsidiaries	96.3		1,514.4		4.5		—		(1,615.2		)	—
Total Assets	$	96.3	$	1,696.3	$	1,360.6	$	1,321.5	$	(1,830.3	)	$	2,644.4
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current Liabilities
Accounts payable	$	—	$	4.3	$	140.7	$	156.3	$	(2.1	)	$	299.2
Accrued liabilities	—		43.9		75.8		77.7		—			197.4
Current portion of long-term debt	—		—		1.0		8.1		—			9.1
Intercompany payables	3.6		54.8		137.8		16.8		(213.0		)	—
Total Current Liabilities	3.6		103.0		355.3		258.9		(215.1		)	505.7
Long-term debt	—		1,497.0		1.0		273.4		—			1,771.4
Deferred revenue	—		—		17.0		—		—			17.0
Deferred income taxes	—		—		0.2		3.8		—			4.0
Accrued pension benefits	—		—		45.2		125.0		—			170.2
Accrued postretirement benefits	—		—		34.3		—		—			34.3
Other long-term liabilities	—		—		17.2		31.9		—			49.1
Total Long-Term Liabilities	—		1,497.0		114.9		434.1		—			2,046.0
Total equity	92.7		96.3		890.4		628.5		(1,615.2		)	92.7
Total Liabilities and Equity	$	96.3	$	1,696.3	$	1,360.6	$	1,321.5	$	(1,830.3	)	$	2,644.4

Schedule of Condensed Income Statement

	For the three months ended March 31, 2018
	Aleris Corporation (Parent)			Aleris International, Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Revenues	$	—		$	—		$	414.6		$	396.7		$	(9.0	)	$	802.3
Cost of sales	—			—			390.4			358.4			(9.0		)	739.8
Gross profit	—			—			24.2			38.3			—			62.5
Selling, general and administrative expenses	—			9.0			17.4			24.2			—			50.6
Restructuring charges	—			—			0.7			0.2						0.9
Gains on derivative financial instruments	—			—			(22.8		)	(11.1		)	—			(33.9		)
Other operating expense, net	—			—			0.7			—			—			0.7
Operating (loss) income	—			(9.0		)	28.2			25.0			—			44.2
Interest expense, net	—			—			26.3			7.5			—			33.8
Other (income) expense, net	—			(3.7		)	2.7			1.4			—			0.4
Equity in net earnings of affiliates	(4.6		)	(9.9		)	(0.7		)	—			15.2			—
Income (loss) before income taxes	4.6			4.6			(0.1		)	16.1			(15.2		)	10.0
Provision for income taxes	—			—			0.2			5.2			—			5.4
Net income (loss)	$	4.6		$	4.6		$	(0.3	)	$	10.9		$	(15.2	)	$	4.6
Comprehensive income	$	25.1		$	25.1		$	1.1		$	30.1		$	(56.3	)	$	25.1

	For the three months ended March 31, 2017
	Aleris Corporation (Parent)			Aleris International, Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Eliminations			Consolidated
Revenues	$	—		$	—		$	349.4		$	332.1	$	(7.3	)	$	674.2
Cost of sales	—			—			324.9			271.0		(7.3		)	588.6
Gross profit	—			—			24.5			61.1		—			85.6
Selling, general and administrative expenses	—			0.1			32.4			20.4		—			52.9
Restructuring charges	—			—			0.3			0.1		—			0.4
Losses on derivative financial instruments	—			—			20.0			8.2		—			28.2
Other operating expense, net	—			—			1.0			—		—			1.0
Operating (loss) income	—			(0.1		)	(29.2		)	32.4		—			3.1
Interest expense, net	—			—			20.7			6.4		—			27.1
Other (income) expense, net	—			(0.3		)	(1.5		)	2.3		—			0.5
Equity in net loss (earnings) of affiliates	35.2			35.3			(0.2		)	—		(70.3		)	—
(Loss) income before income taxes	(35.2		)	(35.1		)	(48.2		)	23.7		70.3			(24.5		)
Provision for (benefit from) income taxes	—			0.1			(0.1		)	10.7		—			10.7
Net (loss) income	$	(35.2	)	$	(35.2	)	$	(48.1	)	$	13.0	$	70.3		$	(35.2	)
Comprehensive (loss) income	$	(25.6	)	$	(25.6	)	$	(47.6	)	$	22.2	$	51.0		$	(25.6	)

Schedule of Condensed Cash Flow Statement

	For the three months ended March 31, 2018
	Aleris Corporation (Parent)			Aleris International, Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net cash provided (used) by operating activities	$	0.1		$	(2.9	)	$	6.9		$	2.5		$	(41.5	)	$	(34.9	)
Investing activities
Payments for property, plant and equipment	—			—			(17.8		)	(12.3		)	—			(30.1		)
Disbursements of intercompany loans	—			—			—			(25.0		)	25.0			—
Repayments from intercompany loans	—			—			—			39.5			(39.5		)	—
Equity contributions in subsidiaries	—			(13.2		)	—			—			13.2			—
Return of investment in subsidiaries	—			—			0.1			—			(0.1		)	—
Other	—			—			(0.3		)	0.1			—			(0.2		)
Net cash (used) provided by investing activities	—			(13.2		)	(18.0		)	2.3			(1.4		)	(30.3		)
Financing activities
Proceeds from the revolving credit facilities	—			80.0			—			53.9			—			133.9
Payments on the revolving credit facilities	—			(55.0		)	—			(35.0		)	—			(90.0		)
Payments on other long-term debt	—			—			(0.3		)	(3.5		)	—			(3.8		)
Proceeds from intercompany loans	—			25.0			—			—			(25.0		)	—
Repayments on intercompany loans	—			(39.5		)	—			—			39.5			—
Proceeds from intercompany equity contributions	—			—			13.2			—			(13.2		)	—
Dividends paid	—			—			(2.0		)	(39.6		)	41.6			—
Other	(0.1		)	—			0.2			(0.1		)	—			—
Net cash (used) provided by financing activities	(0.1		)	10.5			11.1			(24.3		)	42.9			40.1
Effect of exchange rate differences on cash, cash equivalents and restricted cash	—			—			—			1.9			—			1.9
Net (decrease) increase in cash, cash equivalents and restricted cash	—			(5.6		)	—			(17.6		)	—			(23.2		)
Cash, cash equivalents and restricted cash at beginning of period	—			40.3			—			69.7			(2.0		)	108.0
Cash, cash equivalents and restricted cash at end of period	$	—		$	34.7		$	—		$	52.1		$	(2.0	)	$	84.8
Cash and cash equivalents	$	—		$	34.7		$	—		$	46.4		$	(2.0	)	$	79.1
Restricted cash (included in “Other current assets”)	—			—			—			5.7			—			5.7
Cash, cash equivalents and restricted cash	$	—		$	34.7		$	—		$	52.1		$	(2.0	)	$	84.8

	For the three months ended March 31, 2017
	Aleris Corporation (Parent)			Aleris International, Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net cash provided (used) by operating activities	$	1.1		$	303.5		$	(355.6	)	$	11.8		$	0.6		$	(38.6	)
Investing activities
Payments for property, plant and equipment	—			—			(52.7		)	(9.9		)	—			(62.6		)
Equity contributions in subsidiaries	—			(406.6		)	—			—			406.6			—
Return of investments in subsidiaries	—			8.3			5.8			—			(14.1		)	—
Other	—			—			(0.4		)	—			—			(0.4		)
Net cash provided (used) by investing activities	—			(398.3		)	(47.3		)	(9.9		)	392.5			(63.0		)
Financing activities
Proceeds from revolving credit facilities	—			55.0			—			104.5			—			159.5
Payments on revolving credit facilities	—			(185.0		)	—			(109.5		)	—			(294.5		)
Proceeds from senior secured notes, net of discount	—			263.8			—			—			—			263.8
Payments on other long-term debt	—			—			(0.1		)	(2.2		)	—			(2.3		)
Debt issuance costs				(1.8		)	—			—			—			(1.8		)
Proceeds from intercompany equity contributions	—			—			402.6			4.0			(406.6		)	—
Dividends paid	—			—			—			(14.4		)	14.4			—
Other	(1.1		)	—			0.4			(0.5		)	—			(1.2		)
Net cash (used) provided by financing activities	(1.1		)	132.0			402.9			(18.1		)	(392.2		)	123.5
Effect of exchange rate differences on cash, cash equivalents and restricted cash	—			—			—			0.6			—			0.6
Net decrease in cash, cash equivalents and restricted cash	—			37.2			—			(15.6		)	0.9			22.5
Cash, cash equivalents and restricted cash at beginning of period	—			5.5			—			53.3			(3.2		)	55.6
Cash, cash equivalents and restricted cash at end of period	$	—		$	42.7		$	—		$	37.7		$	(2.3	)	$	78.1
Cash and cash equivalents	$	—		$	42.7		$	—		$	34.2		$	(2.3	)	74.6
Restricted cash (included in “Other current assets”)	—			—			—			3.5			—			3.5
Cash, cash equivalents and restricted cash	$	—		$	42.7		$	—		$	37.7		$	(2.3	)	$	78.1