10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2015

OR

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from             to             

Commission file number 333-174896

WireCo WorldGroup Inc.

(Exact name of registrant as specified in its charter)

Delaware	27-0061302
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)
2400 West 75th Street Prairie Village, Kansas	66208
(Address of registrant's executive offices)	(Zip Code)
(816) 270-4700
(Registrant's telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    YES  ¨   NO  x

NOTE: While the Registrant is a voluntary filer not subject to the filing requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934 (the "Exchange Act"), the Registrant has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the preceding 12 months.

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate website, if any, every Interactive Date File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    YES  x    NO  ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer	¨	Accelerated filer	¨
Non-accelerated filer	x	Smaller reporting company	¨

Indicate by check mark whether the registrant is a shell company (as defined in Exchange Act Rule 12b-2).    YES  ¨   NO  x

There is no market for the Registrant’s equity, all of which is held by affiliates of WireCo WorldGroup (Cayman) Inc. (the “Company”). As of November 1, 2015 the Registrant had 100 shares of common stock outstanding.

WireCo WorldGroup Inc.

Quarterly Report

For the period ended September 30, 2015

TABLE OF CONTENTS

PART I – FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS (unaudited)
Consolidated Balance Sheets as of September 30, 2015 and December 31, 2014	2
Consolidated Statements of Operations for the three and nine months ended September 30, 2015 and 2014	3
Consolidated Statements of Comprehensive Income (Loss) for the three and nine months ended September 30, 2015 and 2014	4
Consolidated Statements of Cash Flows for the nine months ended September 30, 2015 and 2014	5
Notes to Consolidated Financial Statements	6
ITEM  2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS	23
ITEM  3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK	35
ITEM 4. CONTROLS AND PROCEDURES	36
PART II – OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS	36
ITEM 1A. RISK FACTORS	37
ITEM  2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS	37
ITEM 3. DEFAULTS UPON SENIOR SECURITIES	37
ITEM 4. MINE SAFETY DISCLOSURES	37
ITEM 5. OTHER INFORMATION	37
ITEM 6. EXHIBITS	37
SIGNATURES	38

1

PART I – FINANCIAL INFORMATION

Item 1.Financial Statements (unaudited)

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Consolidated Balance Sheets

(in thousands, except share and per share data)

Assets	September 30, 2015			December 31, 2014
Current assets:	(unaudited)
Cash and cash equivalents	$	34,607		$	58,195
Restricted cash	1,584			1,565
Accounts receivable, less allowance for doubtful accounts of $2,103 and $2,223, at September 30, 2015 and December 31, 2014, respectively	134,297			143,068
Other receivables	4,200			2,305
Inventories, net	192,211			225,075
Current deferred income tax assets	3,197			3,867
Prepaid expenses and other current assets	9,461			12,976
Total current assets	$	379,557		$	447,051
Property, plant and equipment, less accumulated depreciation of $192,959 and $181,728, at September 30, 2015 and December 31, 2014, respectively	291,170			319,198
Intangible assets, net	110,234			125,578
Goodwill	182,978			188,925
Deferred financing fees, net	10,924			15,425
Non-current deferred income tax assets	969			1,123
Derivative assets	42,931			16,133
Other non-current assets	9,951			11,418
Total assets	$	1,028,714		$	1,124,851
Liabilities and Stockholders’ Equity
Current liabilities:
Current maturities of long-term debt	$	3,318		$	19,113
Interest payable	17,960			6,322
Accounts payable	66,738			98,914
Accrued compensation and benefits	18,932			19,117
Current deferred income tax liabilities	938			311
Other current liabilities	28,147			20,173
Total current liabilities	$	136,033		$	163,950
Long-term debt, excluding current maturities	838,645			854,042
Non-current deferred income tax liabilities	42,393			46,735
Other non-current liabilities	16,446			15,861
Total liabilities	$	1,033,517		$	1,080,588
Commitments and contingencies
Stockholders’ deficit:
Common stock, $0.01 par value. 3,000,000 shares authorized; 2,054,374 and 2,005,205 shares issued and outstanding, respectively at September 30, 2015 and December 31, 2014	$	21		$	21
Additional paid-in capital	238,662			232,883
Accumulated other comprehensive loss	(78,571		)	(48,579		)
Accumulated deficit	(151,758		)	(125,626		)
Treasury stock, at cost. 49,169 shares at September 30, 2015 and December 31, 2014	(14,465		)	(14,465		)
Total stockholders’ equity attributable to WireCo WorldGroup (Cayman) Inc.	$	(6,111	)	$	44,234
Non-controlling interests	1,308			29
Total stockholders’ equity	$	(4,803	)	$	44,263
Total liabilities and stockholders’ equity	$	1,028,714		$	1,124,851

The accompanying notes are an integral part of the unaudited consolidated financial statements.

2

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Consolidated Statements of Operations

(in thousands)

(unaudited)

	Three months ended						Nine months ended
	September 30,						September 30,
	2015			2014			2015			2014
Net sales	$	171,356		$	217,076		$	525,526		$	654,086
Cost of sales	(130,686		)	(170,293		)	(402,072		)	(493,839		)
Gross profit	40,670			46,783			123,454			160,247
Other operating expenses:
Selling expenses	(8,904		)	(10,787		)	(28,592		)	(33,328		)
Administrative expenses	(19,117		)	(21,499		)	(54,875		)	(62,971		)
Amortization expense	(2,255		)	(2,318		)	(6,738		)	(8,056		)
Total other operating expenses	(30,276		)	(34,604		)	(90,205		)	(104,355		)
Operating income	10,394			12,179			33,249			55,892
Other income (expense):
Interest expense, net	(19,597		)	(19,603		)	(55,221		)	(59,357		)
Foreign currency exchange gains (losses), net	5,626			(31,816		)	(1,341		)	(35,131		)
Loss on extinguishment of debt	—			(617		)	—			(617		)
Other income (expense), net	(169		)	125			(397		)	703
Total other expense, net	(14,140		)	(51,911		)	(56,959		)	(94,402		)
Loss before income taxes	(3,746		)	(39,732		)	(23,710		)	(38,510		)
Income tax benefit (expense)	(1,446		)	4,540			(595		)	1,177
Net loss	(5,192		)	(35,192		)	(24,305		)	(37,333		)
Less: Net income attributable to non-controlling interests	2,073			113			1,827			527
Net loss attributable to WireCo WorldGroup (Cayman) Inc.	$	(7,265	)	$	(35,305	)	$	(26,132	)	$	(37,860	)

The accompanying notes are an integral part of the unaudited consolidated financial statements.

3

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Consolidated Statements of Comprehensive Income (Loss)

(in thousands)

(unaudited)

	Three months ended						Nine months ended
	September 30,						September 30,
	2015			2014			2015			2014
Net loss	$	(5,192	)	$	(35,192	)	$	(24,305	)	$	(37,333	)
Other comprehensive income (loss):
Foreign currency translation gain (loss)	(11,249		)	(12,923		)	(30,540		)	(17,229		)
Comprehensive loss	(16,441		)	(48,115		)	(54,845		)	(54,562		)
Less: Comprehensive income (loss) attributable to non-controlling interests	2,367			150			1,279			(440		)
Comprehensive loss attributable to WireCo WorldGroup (Cayman) Inc.	$	(18,808	)	$	(48,265	)	$	(56,124	)	$	(54,122	)

The accompanying notes are an integral part of the unaudited consolidated financial statements.

4

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Consolidated Statements of Cash Flows

(in thousands)

(unaudited)

	Nine months ended
	September 30,
	2015			2014
Cash flows from operating activities:
Net loss	$	(24,305	)	$	(37,333	)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	33,746			38,140
Amortization of debt issuance costs, discounts and premium	5,830			6,268
Loss on extinguishment of debt	—			617
Share-based compensation	5,779			5,539
Unrealized gain on derivative instruments, net	(23,428		)	(1,882		)
Unrealized foreign currency exchange losses, net	22,137			35,722
Provision for deferred income taxes	(28		)	(3,710		)
Other adjustments	(378		)	2,476
Changes in assets and liabilities:
Accounts receivable	10,038			5
Inventories	19,439			(12,103		)
Prepaid expenses and other assets	(1,704		)	(9,722		)
Interest payable	11,656			9,603
Accounts payable	(31,761		)	8,673
Other accrued liabilities	8,982			6,133
Net cash provided by operating activities	$	36,003		$	48,426
Cash flows from investing activities:
Capital expenditures	(22,829		)	(16,213		)
Acquisition of business	—			(4,573		)
Other investing activities	—			1,951
Net cash used in investing activities	$	(22,829	)	$	(18,835	)
Cash flows from financing activities:
Principal payments on long-term debt	(17,116		)	(5,621		)
Debt issuance costs paid	(1,067		)	—
Retirement of long-term debt	—			(26,946		)
Borrowings under revolving credit agreement	55,400			152,350
Repayments under revolving credit agreement	(69,580		)	(140,300		)
Other financing activities	—			(437		)
Net cash used in financing activities	$	(32,363	)	$	(20,954	)
Effect of exchange rates on cash and cash equivalents	(4,399		)	(1,906		)
Increase (decrease) in cash and cash equivalents	$	(23,588	)	$	6,731
Cash and cash equivalents, beginning of period	58,195			34,987
Cash and cash equivalents, end of period	$	34,607		$	41,718
Supplemental Disclosure of Cash Flow Information:
Cash paid for interest, net of interest capitalized	$	39,594		$	41,462
Cash paid for income taxes, net of refunds	4,087			6,632

The accompanying notes are an integral part of the unaudited consolidated financial statements.

5

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements

(in thousands)

(unaudited)

(1) Interim Financial Statement Presentation

The financial information included in this quarterly report on Form 10-Q are those of WireCo WorldGroup (Cayman) Inc., its wholly-owned subsidiaries, including WireCo WorldGroup Inc., and subsidiaries in which it has a controlling interest (collectively, the “Company”). The accompanying unaudited interim consolidated financial statements included herein have been prepared in United States ("U.S.") dollars and in accordance with U.S. generally accepted accounting principles (“GAAP”). In the opinion of management, all material adjustments, which are of a normal and recurring nature necessary for a fair presentation of the results for the periods presented, have been reflected.

Pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for quarterly reports on Form 10-Q, certain information and note disclosures normally included in annual financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. These unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes included in the Company’s annual report on Form 10-K for the year ended December 31, 2014.

New Accounting Standards

In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2014-09, Revenue from Contracts with Customers, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. ASU 2014-09 will replace most existing revenue recognition guidance in U.S. GAAP. As a result of a deferral of the effective date enacted in July 2015, the new standard would be effective for public entities on January 1, 2018. ASU 2014-09 allows the use of either the retrospective or cumulative effect transition method. The Company is evaluating the effect of ASU 2014-09 and has not yet selected a transition method nor has it determined the effect of the standard on its ongoing financial reporting.

In April 2015, the FASB issued ASU 2015-03, Interest - Imputation of Interest,to reduce complexity in accounting standards and make the presentation of debt issuance costs consistent with the presentation of debt discounts. This ASU requires debt issuance costs to be presented in the balance sheet as a direct deduction from the carrying amount of the associated debt liability, rather than as an asset. ASU 2015-03 is limited to simplifying the presentation of debt issuance costs and there will be no effect on the income statement. This ASU requires retrospective adoption and is effective for the Company during the first quarter of 2016, with early adoption permitted. Upon adoption, the Company will present its remaining unamortized debt issuance costs as a direct deduction from the carrying amount of the related debt liability.

In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory, which changes the measurement principle for inventory from the lower of cost or market to the lower of cost and net realizable value. This ASU requires prospective adoption and is effective for annual reporting periods beginning after December 15, 2016 and interim periods within those annual periods, with early adoption permitted. The Company does not expect the adoption of this standard will have a material impact on its consolidated financial statements.

Out-of-period Error

During the third quarter of 2015, the Company identified an error related to Foreign currency exchange gains within the consolidated statements of operations in the amount of $3,051. These foreign currency exchange gains should have been recorded in the three and six month periods ending June 30, 2015. This amount was determined to be immaterial to the consolidated financial statements for both the three and six month periods ended June 30, 2015.  The gains have been excluded from the consolidated financial statements for the three month period ended September 30, 2015 but are properly reflected in the results for the nine month period ended September 30, 2015.  The adjustment will be included in the consolidated financial statements for the three and six month periods ended June 30, 2015 when subsequently issued.

6

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

(2) Inventories, net

The major classes of inventories were as follows as of the dates indicated:

	September 30, 2015		December 31, 2014
Raw materials, net	$	69,628	$	86,669
Work in process, net	8,754		10,487
Finished goods, net	113,829		127,919
Inventories, net	$	192,211	$	225,075

(3) Intangible Assets and Goodwill

The components of finite-lived intangible assets were as follows as of the dates indicated:

	September 30, 2015							December 31, 2014
	Gross carrying amount		Accumulated amortization			Net carrying amount		Gross carrying amount		Accumulated amortization			Net carrying amount
Finite-lived assets
Customer relationships	$	118,618	$	(89,493	)	$	29,125	$	124,856	$	(87,406	)	$	37,450
Patented and unpatented technology	21,534		(11,179		)	10,355		22,216		(10,539		)	11,677
Other	6,283		(6,283		)	—		6,505		(6,505		)	—
Total finite-lived intangible assets	$	146,435	$	(106,955	)	$	39,480	$	153,577	$	(104,450	)	$	49,127

Using the exchange rates in effect at period end, estimated amortization of finite-lived intangible assets as of September 30, 2015 was as follows:

Remainder of 2015	$	2,178
2016	8,633
2017	7,085
2018	3,509
2019	3,270
Thereafter	14,805
Total	$	39,480

Intangible assets with indefinite lives are not amortized. The carrying values of trade names as of September 30, 2015 and December 31, 2014 were $70,754 and $76,451, respectively.

The change in the carrying value of goodwill was as follows as of the dates indicated:

December 31, 2014	$	188,925
Foreign currency translation	(5,947		)
September 30, 2015	$	182,978

7

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

(4) Borrowings

Long-term debt consisted of the following as of the dates indicated:

	September 30, 2015			December 31, 2014
Borrowings under Revolving Loan Facility	$	54,570		$	68,750
Term Loan due 2017	307,246			324,362
9.00% Senior Notes due 2017	56,000			56,000
9.50% Senior Notes due 2017	425,000			425,000
Other indebtedness	—			157
Total debt at face value	842,816			874,269
Less: Unamortized discount, net	(853		)	(1,114		)
Less: Current maturities of long-term debt	(3,318		)	(19,113		)
Total long-term debt	$	838,645		$	854,042

For a detailed discussion of the Company's borrowings, see Note 7—“Borrowings” to the Company's audited consolidated financial statements in Item 8, Financial Statements and Supplementary Data, of the annual report on Form 10-K for the year ended December 31, 2014.

Senior Secured Credit Facilities - Revolving Loan Facility and Term Loan due 2017

The Company's maximum borrowing capacity under the Revolving Loan Facility is $145,000. As of September 30, 2015, availability under the Revolving Loan Facility was $88,767. Availability is based upon the maximum borrowing capacity, less outstanding borrowings and letters of credit, and if applicable, further restricted by certain covenants in the Company's credit agreements. Outstanding letters of credit were $1,663 at September 30, 2015. The variable interest rate on the Revolving Loan Facility and Term Loan due 2017 at September 30, 2015 was 5.06% and 6.00%, respectively.

On June 24, 2015, the Company entered into a third amendment (the “Amendment”) to the credit agreement dated as of July 12, 2012 (the "Credit Agreement"). The Amendment, among other things, amended the Credit Agreement to (i) update the Interest Coverage Ratio financial covenant for fiscal quarters ending June 30, 2015 and thereafter from a range of 1.75x to 2.00x to a fixed ratio covenant of 1.50x and (ii) reduce incremental capacity to the greater of (a) $75,000 and (b) 2.25:1.00 Senior Secured Leverage from the greater of (a) $125,000 and (b) 2.75:1.00 Senior Secured Leverage. During 2015, the Company paid $1,067 in debt issuance costs in connection with this Amendment that are being amortized to interest expense over the term of the debt instrument.

Interest expense, net

Net interest expense consists of:

	Three months ended						Nine months ended
	September 30,						September 30,
	2015			2014			2015			2014
Interest on long-term debt	$	17,498		$	17,413		$	49,182		$	53,527
Amortization of debt issuance costs, discounts and premium	1,994			2,091			5,830			6,268
Capitalized interest	(58		)	(265		)	(181		)	(635		)
Other	163			364			390			197
Interest expense, net	$	19,597		$	19,603		$	55,221		$	59,357

(5) Derivative Financial Instruments

During September 2014, the Company entered into cross-currency swaps with three counterparties to economically hedge exposures to foreign currency exchange risk related to its global operations. The cross-currency swaps notional value is $300,000, at a weighted average foreign currency exchange rate of $1.00 to €0.7820, and matures in February 2017. In accordance with the cross-currency swap agreements, on a semi-annual basis, the Company pays interest on €234,597 at a

8

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

weighted average fixed rate of 8.79% and receives interest on $300,000 based on a fixed rate of 9.50%, which is included in Interest expense, net within the consolidated statements of operations.

During June 2015, the Company entered into a cross-currency swap with a counterparty to economically hedge exposures to foreign currency exchange risk related to its global operations. The cross-currency swap notional value is $125,000, at a foreign currency exchange rate of $1.00 to €0.9125, and matures in February 2017. In accordance with the cross-currency swap agreement, on a quarterly basis, the Company pays interest on €114,062 at a fixed rate of 8.94% and receives interest on $125,000 based on a fixed rate of 9.50%, which is included in Interest expense, net within the consolidated statements of operations.

The Company incurred settlements with each of its counterparties during 2015, which resulted in a net reduction in Interest expense, net of $2,773 for the nine months ended September 30, 2015.

In March 2015, the Company entered into a foreign currency forward contract to mitigate the exchange rate risk associated with fluctuations of the U.S. dollar to euro on internal cash movements associated with its global operations. Pursuant to the contract, the Company received a notional value of $3,093 at a foreign currency exchange rate of $1.00 to €0.9700 on the settlement date of May 13, 2015. Upon cash settlement, the Company realized a $253 foreign currency exchange loss, which is included in Foreign currency exchange gains (losses) within the consolidated statements of operations.

The Company's derivative financial instruments do not qualify for hedge accounting treatment and accordingly, changes in fair value are recorded in Foreign currency exchange gains (losses) within the consolidated statements of operations. The Company recognized an unrealized loss of $221 during the three months ended September 30, 2015 and an unrealized gain of $23,428 during the nine months ended September 30, 2015 that were recorded in Foreign currency exchange gains (losses) in the consolidated statements of operations.

Refer to Note 6—“Fair Value Measurements” for additional information regarding the fair value of the Company’s derivative arrangements included in the consolidated balance sheets.

(6) Fair Value Measurements

The Company’s short-term financial instruments include cash and cash equivalents, accounts receivable and accounts payable. The carrying amounts reported on the consolidated balance sheets for these items approximate fair market value due to their relative short-term nature.

The table below sets forth by level, within the fair value hierarchy, the fair value of the Company's derivative financial instruments that are measured on a recurring basis. The Company estimates the fair value of its derivative instruments using present value measurements based on the spot rate, forward option spreads and other relevant market conditions.

		September 30, 2015
		Level 1		Level 2		Level 3
Derivatives Designated	Balance Sheet Classification
Cross-currency swaps	Derivative assets	$	—	$	42,931	$	—
Cross-currency swap	Other non-current liabilities	$	—	$	3,370	$	—

		December 31, 2014
		Level 1		Level 2		Level 3
Derivatives Designated	Balance Sheet Classification
Cross-currency swaps	Derivative assets	$	—	$	16,133	$	—
Cross-currency swap	Other non-current liabilities	$	—	$	—	$	—

9

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

The carrying amounts and estimated fair values of the Company’s long-term debt at September 30, 2015 were as follows:

	Carrying amount		Estimated fair value
Revolving Loan Facility	$	54,570	$	54,570
Term Loan due 2017	306,050		307,246
9.00% Senior Notes due 2017	56,000		49,350
9.50% Senior Notes due 2017	425,343		374,000

As the Revolving Loan Facility is a revolving credit agreement, the carrying amount approximates fair value. The estimated fair value of the Term Loan due 2017 is based on rates currently available for obligations with similar terms and maturities (Level 2 inputs). The estimated fair value of the 9.00% Senior Notes is based on a model that incorporates assumptions a market participant would use in pricing the liability (Level 3 inputs), and the estimated fair value of the 9.50% Senior Notes is based on current market rates in inactive markets (Level 2 inputs).

(7) Share-based Compensation

Changes in the Company's outstanding service-based stock option awards since December 31, 2014 were as follows:

Options	Number of options	Weighted average exercise price		Weighted average remaining contractual term (years)
Outstanding at December 31, 2014	513,491	$	172.76
Granted	10,000	194.69
Exercised	—	—
Expired	—	—
Other	—	—
Outstanding at September 30, 2015	523,491	$	173.18	4.30
Vested and expected to vest as of September 30, 2015	523,491	173.18		4.30
Exercisable at September 30, 2015	417,458	150.61		3.33

The fair value of the service-based stock option awards granted during 2015 were estimated on the date of grant using the Black-Scholes option-pricing model that uses the assumptions noted in the following table.

	2015
Expected volatility (1)	35.51%
Risk-free interest rate (2)	1.80%
Expected term of the option (years) (3)	6.50
Expected dividend yield	—%
Grant-date fair value	$75.43

⁽¹⁾  Based on the average historical volatility of similar entities with publicly traded shares since the Company's shares are privately held.

⁽²⁾  Based on the U.S. Treasury interest rate whose term is consistent with the expected term of the stock options.

⁽³⁾  Based on the expected term considering vesting and contractual terms.

At September 30, 2015, total unrecognized compensation cost related to the unvested portion of the Company's service-based stock option awards that remains to be expensed was $11,232, with the weighted average remaining years to vest of approximately 2.47 years. There were 19,779 awards available for future grants under the 2008 Long Term Incentive Plan at September 30, 2015.

10

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

(8) Restructuring Charges

As part of the Company's initiatives to manage costs in response to the challenges in certain end markets, the Company reduced its production and administrative workforce during 2015. Restructuring charges related to employee termination and related benefits were recorded in Administrative expenses in the consolidated statement of operations. The accrual balance is included in Other current liabilities on the consolidated balance sheet.

A rollforward of this restructuring activity is set forth below:

Balance at December 31, 2014	$	—
Restructuring charges incurred in 2015	1,576
Payments made in 2015	(964		)
Balance at September 30, 2015	$	612

(9) Income Taxes

The Company determines the interim tax provision by applying an estimate of the annual effective tax rate to the year-to-date pretax book income (loss) and adjusts for discrete items during the reporting period, if any. Tax jurisdictions with losses for which tax benefits cannot be realized are excluded. Additionally, for certain tax jurisdictions where a reliable estimate of year-to-date income tax expense or benefit cannot be made, the Company applied the actual effective tax rate to year-to-date income.

The effective income tax rate for the three months ended September 30, 2015 and 2014 was (38.6)% and 11.4%, respectively. The effective income tax rate for the nine months ended September 30, 2015 and 2014 was (2.5)% and 3.1%, respectively. The Company's effective income tax rates differ from the applicable statutory tax rate primarily due to valuation allowances on deferred tax assets in various jurisdictions, mix of earnings (losses) by jurisdictions and the effects of foreign tax rate differences.

(10) Related Party Transactions

Paine & Partners, LLC (“Paine & Partners”), which manages the funds that control the Company, has entered into a management agreement with the Company to provide administrative and other support services. During the first quarters of 2015 and 2014, the Company paid an annual management fee of $3,112 and $3,042, respectively. This annual management fee is deferred as a prepaid and recognized ratably over the year as the services are provided. The Company recognized management fee expense of $778 and $761 during the three months ended September 30, 2015 and 2014, respectively, and $2,334 and $2,282 during the nine months ended September 30, 2015 and 2014, respectively, that was recorded in Administrative expenses in the consolidated statements of operations.

During the three months ended September 30, 2015 and 2014, the Company had product sales of $378 and $139, respectively, and during the nine months ended September 30, 2015 and 2014, the Company had product sales of $824 and $585, respectively, to its Spanish joint venture, Lankhorst Euronete Espana SA. The Company purchased $449 and $1,293 of product for the three months ended September 30, 2015 and 2014, respectively, and purchased $1,773 and $3,816 of product for the nine months ended September 30, 2015 and 2014, respectively, from its Greek joint venture, Eurorope Performance Rope Producers SA.

(11) Commitments and Contingencies

The Company relocated its corporate headquarters during the third quarter of 2015. The Company entered into a noncancelable, renewable operating lease agreement for the term of 10 years and 5 months, with a total aggregate commitment of approximately $6,700. The Company accrued $2,406 related to the early termination of its previous corporate headquarters lease, which is included in Administrative expenses within the consolidated statements of operations. As an incentive to relocate, the Kansas Department of Commerce offered the Company grants, which allow businesses adding jobs in Kansas to retain a significant amount of eligible employees' state payroll withholding taxes for a period of 10 years. The Company will recognize a reduction of expense related to these grants as actual payroll withholding taxes are incurred for the respective period.

11

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

The Company is involved in various claims and legal actions arising in the ordinary course of business, which are incidental to its operations. Insurance coverage is maintained for certain risks, such as product liability and workers’ compensation. The Company is not currently a party to any legal proceedings or other contingencies that it believes would have a material adverse effect on its financial position, results of operations, or cash flows.

(12) Segment Reporting

The Company reports the manufacturing, marketing, selling and distribution of wire and synthetic ropes, specialty wire and engineered products as one operating and one reportable segment. The Company's net sales by product line for the periods presented was as follows:

	Three months ended								Nine months ended
	September 30,								September 30,
	2015				2014				2015				2014
Product line net sales	($)		(%)		($)		(%)		($)		(%)		($)		(%)
Rope	$	123,946	72	%	$	155,675	72	%	$	380,410	72	%	$	477,219	73	%
Specialty wire	29,623		17	%	37,631		17	%	93,470		18	%	106,198		16	%
Engineered products	17,787		11	%	23,770		11	%	51,646		10	%	70,669		11	%
Total net sales	$	171,356	100	%	$	217,076	100	%	$	525,526	100	%	$	654,086	100	%

(13) Condensed Consolidating Financial Statements

Guarantees of the 9.50% Senior Notes

WireCo WorldGroup Inc. has registered 9.50% Senior Notes, which are unsecured obligations. These obligations are jointly and severally and fully and unconditionally guaranteed by WireCo WorldGroup (Cayman) Inc. Certain entities controlled by WireCo WorldGroup (Cayman) Inc. (collectively referred to as the “Guarantor Subsidiaries”) also jointly and severally and fully and unconditionally guarantee these obligations, subject to customary release provisions. All voting shares for the entities presented in the “Guarantor Subsidiaries” column are 100% owned directly or indirectly by the Company. Certain subsidiaries with locations primarily in the Netherlands, Brazil and France do not guarantee the debt (collectively referred to as the “Non-Guarantor Subsidiaries”). The following condensed consolidating financial statements are prepared with each entity’s investment in subsidiaries accounted for under the equity method. The adjustments eliminate investments in subsidiaries, related stockholders’ equity and other intercompany balances and transactions. There are currently no significant restrictions on the ability of WireCo WorldGroup Inc. or any guarantor to obtain funds from its subsidiaries by dividend or loan.

12

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

Condensed Consolidating Balance Sheets

	September 30, 2015
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Elimination Adjustments			Consolidated
Assets
Current assets:
Cash and cash equivalents	$	23		$	3,972	$	17,898	$	12,714	$	—		$	34,607
Restricted cash	—			—		317		1,267		—			1,584
Accounts receivable, net	—			29,858		72,749		31,690		—			134,297
Intercompany accounts receivable	(311		)	67,379		39,662		25,833		(132,563		)	—
Other receivables	—			686		2,522		992		—			4,200
Inventories, net	—			66,477		95,085		30,649		—			192,211
Current deferred income tax assets	—			1,384		1,696		117		—			3,197
Prepaid expenses and other current assets	—			3,674		3,963		1,824		—			9,461
Total current assets	$	(288	)	$	173,430	$	233,892	$	105,086	$	(132,563	)	$	379,557
Long-term intercompany notes receivable	—			432,956		18,597		109,439		(560,992		)	—
Property, plant and equipment, net	—			52,355		196,958		41,857		—			291,170
Intangible assets, net	—			31,781		60,219		18,234		—			110,234
Goodwill	—			116,842		47,672		18,464		—			182,978
Investments in subsidiaries	(44,189		)	—		118,233		8,392		(82,436		)	—
Deferred financing fees, net	—			10,924		—		—		—			10,924
Non-current deferred income tax assets	—			—		969		—		—			969
Derivative assets	42,931			—		—		—		—			42,931
Other non-current assets	—			251		9,692		8		—			9,951
Total assets	$	(1,546	)	$	818,539	$	686,232	$	301,480	$	(775,991	)	$	1,028,714
Liabilities and Stockholders’ Equity
Current liabilities:
Current maturities of long-term debt	$	—		$	3,318	$	—	$	—	$	—		$	3,318
Interest payable	—			17,826		36		98		—			17,960
Accounts payable	—			11,994		40,553		14,191		—			66,738
Accrued compensation and benefits	—			5,304		10,806		2,822		—			18,932
Intercompany accounts payable	905			43,203		77,675		10,922		(132,705		)	—
Current deferred income tax liabilities	—			—		311		627		—			938
Other current liabilities	230			5,807		15,946		6,164		—			28,147
Total current liabilities	$	1,135		$	87,452	$	145,327	$	34,824	$	(132,705	)	$	136,033

13

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

Long-term debt, excluding current maturities	—			838,645			—			—		—			838,645
Long-term intercompany notes payable	—			—			532,521			28,445		(560,966		)	—
Non-current deferred income tax liabilities	—			11,949			22,945			7,499		—			42,393
Other non-current liabilities	3,430			481			11,194			1,341		—			16,446
Total liabilities	$	4,565		$	938,527		$	711,987		$	72,109	$	(693,671	)	$	1,033,517
Stockholders’ equity:
Total stockholders’ equity attributable to WireCo WorldGroup (Cayman) Inc.	(6,111		)	(119,988		)	(21,682		)	223,990		(82,320		)	(6,111		)
Non-controlling interests	—			—			(4,073		)	5,381		—			1,308
Total stockholders’ equity	$	(6,111	)	$	(119,988	)	$	(25,755	)	$	229,371	$	(82,320	)	$	(4,803	)
Total liabilities and stockholders’ equity	$	(1,546	)	$	818,539		$	686,232		$	301,480	$	(775,991	)	$	1,028,714

14

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

	December 31, 2014
	WireCo WorldGroup (Cayman) Inc. (Parent)		WireCo WorldGroup Inc. (Issuer)		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Elimination Adjustments			Consolidated
Assets
Current assets:
Cash and cash equivalents	$	24	$	4,178	$	35,792	$	18,201	$	—		$	58,195
Restricted cash	—		—		656		909		—			1,565
Accounts receivable, net	—		45,159		69,645		28,264		—			143,068
Intercompany accounts receivable	27,454		64,043		55,654		18,493		(165,644		)	—
Other receivables	—		—		1,914		391		—			2,305
Inventories, net	—		71,924		122,025		31,126		—			225,075
Current deferred income tax assets	—		1,384		1,902		581		—			3,867
Prepaid expenses and other current assets	—		2,935		6,378		3,663		—			12,976
Total current assets	$	27,478	$	189,623	$	293,966	$	101,628	$	(165,644	)	$	447,051
Long-term intercompany notes receivable	—		467,127		22,461		112,482		(602,070		)	—
Property, plant and equipment, net	—		54,302		220,675		44,221		—			319,198
Intangible assets, net	—		34,052		70,186		21,340		—			125,578
Goodwill	—		116,842		50,906		21,177		—			188,925
Investment in subsidiaries	25,057		—		129,522		7,659		(162,238		)	—
Deferred financing fees, net	—		15,425		—		—		—			15,425
Non-current deferred income tax assets	—		—		1,123		—		—			1,123
Derivative assets	—		16,133		—		—		—			16,133
Other non-current assets	—		207		11,202		9		—			11,418
Total assets	$	52,535	$	893,711	$	800,041	$	308,516	$	(929,952	)	$	1,124,851
Liabilities and Stockholders’ Equity
Current liabilities:
Current maturities of long-term debt	$	—	$	19,098	$	6	$	9	$	—		$	19,113
Interest payable	—		6,038		131		153		—			6,322
Accounts payable	—		23,830		62,158		12,926		—			98,914
Accrued compensation and benefits	—		5,009		10,558		3,550		—			19,117
Intercompany accounts payable	1,572		75,197		74,251		14,538		(165,558		)	—
Current deferred income tax liabilities	—		—		311		—		—			311
Other current liabilities	—		2,927		12,940		4,306		—			20,173
Total current liabilities	$	1,572	$	132,099	$	160,355	$	35,482	$	(165,558	)	$	163,950
Long-term debt, excluding current maturities	—		853,899		143		—		—			854,042

15

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

Long-term intercompany notes payable	6,700		—			564,740			30,610		(602,050		)	—
Non-current deferred income tax liabilities	—		11,949			25,084			9,702		—			46,735
Other non-current liabilities	—		414			13,825			1,622		—			15,861
Total liabilities	$	8,272	$	998,361		$	764,147		$	77,416	$	(767,608	)	$	1,080,588
Stockholders’ equity:
Total stockholders’ equity attributable to WireCo WorldGroup (Cayman) Inc.	44,234		(104,650		)	39,399			227,591		(162,340		)	44,234
Non-controlling interests	29		—			(3,505		)	3,509		(4		)	29
Total stockholders’ equity	$	44,263	$	(104,650	)	$	35,894		$	231,100	$	(162,344	)	$	44,263
Total liabilities and stockholders’ equity	$	52,535	$	893,711		$	800,041		$	308,516	$	(929,952	)	$	1,124,851

16

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

Condensed Consolidating Statements of Operations and Comprehensive Income (Loss)

	Three months ended September 30, 2015
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net sales	$	—		$	49,367		$	102,777		$	41,685		$	(22,473	)	$	171,356
Cost of sales	—			(40,268		)	(79,840		)	(33,559		)	22,981			(130,686		)
Gross profit	—			9,099			22,937			8,126			508			40,670
Other operating expenses:
Selling expenses	—			(2,600		)	(3,564		)	(2,740		)	—			(8,904		)
Administrative expenses	(229		)	(8,861		)	(7,974		)	(2,053		)	—			(19,117		)
Amortization expense	—			(757		)	(1,210		)	(288		)	—			(2,255		)
Total other operating expenses	(229		)	(12,218		)	(12,748		)	(5,081		)	—			(30,276		)
Operating income (loss)	(229		)	(3,119		)	10,189			3,045			508			10,394
Other income (expense):
Interest income (expense), net	6			(11,181		)	(9,528		)	1,106			—			(19,597		)
Equity income (loss) from subsidiaries	(21,174		)	—			(21,985		)	67			43,092			—
Foreign currency exchange gains (losses), net	(118		)	(731		)	(524		)	6,999			—			5,626
Other income (expense), net	14,250			(16		)	(164		)	11			(14,250		)	(169		)
Total other income (expense), net	(7,036		)	(11,928		)	(32,201		)	8,183			28,842			(14,140		)
Income (loss) before income taxes	(7,265		)	(15,047		)	(22,012		)	11,228			29,350			(3,746		)
Income tax expense	—			(399		)	(981		)	(66		)	—			(1,446		)
Net income (loss)	(7,265		)	(15,446		)	(22,993		)	11,162			29,350			(5,192		)
Less: Net income (loss) attributable to non-controlling interests	—			—			(488		)	2,561			—			2,073
Net income (loss) attributable to WireCo WorldGroup (Cayman) Inc.	(7,265		)	(15,446		)	(22,505		)	8,601			29,350			(7,265		)
Comprehensive income (loss)	$	(16,441	)	$	(15,446	)	$	(34,242	)	$	20,338		$	29,350		$	(16,441	)

17

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

	Three months ended September 30, 2014
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net sales	$	—		$	74,566		$	130,647		$	47,522		$	(35,659	)	$	217,076
Cost of sales	—			(64,889		)	(103,742		)	(37,403		)	35,741			(170,293		)
Gross profit	—			9,677			26,905			10,119			82			46,783
Other operating expenses:
Selling expenses	—			(3,040		)	(4,859		)	(2,888		)	—			(10,787		)
Administrative expenses	(199		)	(14,248		)	(6,813		)	(824		)	585			(21,499		)
Amortization expense	—			(757		)	(1,179		)	(382		)	—			(2,318		)
Total other operating expenses	(199		)	(18,045		)	(12,851		)	(4,094		)	585			(34,604		)
Operating income (loss)	(199		)	(8,368		)	14,054			6,025			667			12,179
Other income (expense):
Interest income (expense), net	(103		)	(10,660		)	(10,301		)	1,461			—			(19,603		)
Equity income (loss) from subsidiaries	(35,003		)	—			(5,812		)	983			39,832			—
Foreign currency exchange gains (losses), net	—			1,734			(39,856		)	6,306			—			(31,816		)
Loss on extinguishment of debt	—			(617		)	—			—			—			(617		)
Other income (expense), net	—			(198		)	301			22			—			125
Total other income (expense), net	(35,106		)	(9,741		)	(55,668		)	8,772			39,832			(51,911		)
Income (loss) before income taxes	(35,305		)	(18,109		)	(41,614		)	14,797			40,499			(39,732		)
Income tax benefit (expense)	—			(1,117		)	(1,559		)	7,216			—			4,540
Net income (loss)	(35,305		)	(19,226		)	(43,173		)	22,013			40,499			(35,192		)
Less: Net income (loss) attributable to non-controlling interests	—			—			(618		)	731			—			113
Net income (loss) attributable to WireCo WorldGroup (Cayman) Inc.	(35,305		)	(19,226		)	(42,555		)	21,282			40,499			(35,305		)
Comprehensive income (loss)	$	(48,115	)	$	(19,226	)	$	(56,096	)	$	16,973		$	58,349		$	(48,115	)

18

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

	Nine months ended September 30, 2015
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net sales	$	—		$	156,029		$	328,564		$	113,746		$	(72,813	)	$	525,526
Cost of sales	—			(125,631		)	(258,832		)	(90,848		)	73,239			(402,072		)
Gross profit	—			30,398			69,732			22,898			426			123,454
Other operating expenses:
Selling expenses	—			(8,523		)	(11,716		)	(8,353		)	—			(28,592		)
Administrative expenses	(842		)	(28,678		)	(20,703		)	(4,652		)	—			(54,875		)
Amortization expense	—			(2,272		)	(3,590		)	(876		)	—			(6,738		)
Total other operating expenses	(842		)	(39,473		)	(36,009		)	(13,881		)	—			(90,205		)
Operating income (loss)	(842		)	(9,075		)	33,723			9,017			426			33,249
Other income (expense):
Interest income (expense), net	(198		)	(29,916		)	(29,108		)	4,001			—			(55,221		)
Equity income (loss) from subsidiaries	(39,223		)	—			(11,289		)	733			49,779			—
Foreign currency exchange gains (losses), net	(119		)	23,218			(37,206		)	12,766			—			(1,341		)
Other income (expense), net	14,250			(143		)	(273		)	19			(14,250		)	(397		)
Total other income (expense), net	(25,290		)	(6,841		)	(77,876		)	17,519			35,529			(56,959		)
Income (loss) before income taxes	(26,132		)	(15,916		)	(44,153		)	26,536			35,955			(23,710		)
Income tax benefit (expense)	—			(531		)	(2,036		)	1,972			—			(595		)
Net income (loss)	(26,132		)	(16,447		)	(46,189		)	28,508			35,955			(24,305		)
Less: Net income (loss) attributable to non-controlling interests	—			—			(537		)	2,364			—			1,827
Net income (loss) attributable to WireCo WorldGroup (Cayman) Inc.	(26,132		)	(16,447		)	(45,652		)	26,144			35,955			(26,132		)
Comprehensive income (loss)	$	(54,845	)	$	(16,447	)	$	(76,729	)	$	57,221		$	35,955		$	(54,845	)

19

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

	Nine months ended September 30, 2014
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net sales	$	—		$	221,559		$	389,617		$	141,939		$	(99,029	)	$	654,086
Cost of sales	—			(178,369		)	(306,605		)	(108,561		)	99,696			(493,839		)
Gross profit	—			43,190			83,012			33,378			667			160,247
Other operating expenses:
Selling expenses	—			(8,954		)	(15,210		)	(9,164		)	—			(33,328		)
Administrative expenses	(495		)	(39,253		)	(20,034		)	(3,531		)	342			(62,971		)
Amortization expense	—			(1,981		)	(5,121		)	(954		)	—			(8,056		)
Total other operating expenses	(495		)	(50,188		)	(40,365		)	(13,649		)	342			(104,355		)
Operating income (loss)	(495		)	(6,998		)	42,647			19,729			1,009			55,892
Other income (expense):
Interest income (expense), net	(307		)	(32,808		)	(30,636		)	4,394			—			(59,357		)
Equity income (loss) from subsidiaries	(37,058		)	—			(10,620		)	2,264			45,414			—
Foreign currency exchange gains (losses), net	—			1,836			(44,281		)	7,314			—			(35,131		)
Loss on extinguishment of debt	—			(617		)	—			—			—			(617		)
Other income (expense), net	—			(570		)	1,223			50			—			703
Total other income (expense), net	(37,365		)	(32,159		)	(84,314		)	14,022			45,414			(94,402		)
Income (loss) before income taxes	(37,860		)	(39,157		)	(41,667		)	33,751			46,423			(38,510		)
Income tax benefit (expense)	—			(1,144		)	(1,637		)	3,958			—			1,177
Net income (loss)	(37,860		)	(40,301		)	(43,304		)	37,709			46,423			(37,333		)
Less: Net income (loss) attributable to non-controlling interests	—			—			(1,324		)	1,851			—			527
Net income (loss) attributable to WireCo WorldGroup (Cayman), Inc.	(37,860		)	(40,301		)	(41,980		)	35,858			46,423			(37,860		)
Comprehensive income (loss)	$	(54,562	)	$	(40,301	)	$	(60,533	)	$	30,990		$	69,844		$	(54,562	)

20

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

Condensed Consolidating Statements of Cash Flows

	Nine months ended September 30, 2015
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net cash provided by (used in) operating activities	$	(14,251	)	$	9,422		$	38,996		$	1,836		$	—		$	36,003
Cash flows from investing activities:
Capital expenditures	—			(5,409		)	(12,288		)	(5,132		)	—			(22,829		)
Repayments from intercompany loans	—			28,144			2,044			—			(30,188		)	—
Intercompany dividends received	14,250			—			—			—			(14,250		)	—
Net cash provided by (used in) investing activities	$	14,250		$	22,735		$	(10,244	)	$	(5,132	)	$	(44,438	)	$	(22,829	)
Cash flows from financing activities:
Principal payments on long-term debt	—			(17,116		)	—			—			—			(17,116		)
Debt issuance costs paid	—			(1,067		)	—			—			—			(1,067		)
Decreases in intercompany notes	—			—			(29,204		)	(984		)	30,188			—
Borrowings under revolving credit agreement	—			55,400			—			—			—			55,400
Repayments under revolving credit agreement	—			(69,580		)	—			—			—			(69,580		)
Intercompany dividends paid	—			—			(14,250		)	—			14,250			—
Net cash used in financing activities	$	—		$	(32,363	)	$	(43,454	)	$	(984	)	$	44,438		$	(32,363	)
Effect of exchange rates on cash and cash equivalents	—			—			(3,192		)	(1,207		)	—			(4,399		)
Decrease in cash and cash equivalents	$	(1	)	$	(206	)	$	(17,894	)	$	(5,487	)	$	—		$	(23,588	)
Cash and cash equivalents, beginning of period	24			4,178			35,792			18,201			—			58,195
Cash and cash equivalents, end of period	$	23		$	3,972		$	17,898		$	12,714		$	—		$	34,607

21

WIRECO WORLDGROUP (CAYMAN) INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements (Continued)

(in thousands)

(unaudited)

	Nine months ended September 30, 2014
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net cash provided by (used in) operating activities	$	(256	)	$	(15,394	)	$	51,038		$	13,038		$	—		$	48,426
Cash flows from investing activities:
Capital expenditures	—			(4,198		)	(8,635		)	(3,380		)	—			(16,213		)
Acquisition of business	—			—			—			(4,573		)	—			(4,573		)
Other investing activities	—			—			1,951			—			—			1,951
Repayments from intercompany loans	—			43,713			7,997			819			(52,529		)	—
Investment in subsidiaries	—			—			—			(4,573		)	4,573			—
Net cash provided by (used in) investing activities	$	—		$	39,515		$	1,313		$	(11,707	)	$	(47,956	)	$	(18,835	)
Cash flows from financing activities:
Principal payments on long-term debt	—			(5,621		)	—			—			—			(5,621		)
Retirement of long-term debt	—			(26,500		)	(446		)	—			—			(26,946		)
Borrowings under revolving credit agreement	—			152,350			—			—			—			152,350
Repayments under revolving credit agreement	—			(140,300		)	—			—			—			(140,300		)
Capital contributions received	—			—			—			4,573			(4,573		)	—
Repayments of intercompany loans	—			—			(44,532		)	(7,997		)	52,529			—
Other financing activities	228			(398		)	(267		)	—			—			(437		)
Net cash provided by (used in) financing activities	$	228		$	(20,469	)	$	(45,245	)	$	(3,424	)	$	47,956		$	(20,954	)
Effect of exchange rates on cash and cash equivalents	—			—			(1,510		)	(396		)	—			(1,906		)
Increase (decrease) in cash and cash equivalents	$	(28	)	$	3,652		$	5,596		$	(2,489	)	$	—		$	6,731
Cash and cash equivalents, beginning of period	53			2,564			11,798			20,572			—			34,987
Cash and cash equivalents, end of period	$	25		$	6,216		$	17,394		$	18,083		$	—		$	41,718

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Item 2.Management's Discussion and Analysis of Financial Condition and Results of Operations

Unless the context otherwise requires, the use of the terms “WireCo,” the “Company,” “we,” “our” or “us” in the following refers to WireCo WorldGroup (Cayman) Inc., its wholly-owned subsidiaries, including WireCo WorldGroup Inc., and subsidiaries in which it has a controlling interest.

Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”) provides a reader of our financial statements with a narrative from the perspective of our management on our consolidated financial condition, results of operations, liquidity and capital resources on a historical basis and certain other factors that have affected recent earnings, as well as those factors that may affect future earnings. This MD&A is provided as a supplement to, and should be read in conjunction with the unaudited interim consolidated financial statements and accompanying notes included in this quarterly report. Additionally, our MD&A should be read in conjunction with our annual report on Form 10-K for the year ended December 31, 2014.

Forward-Looking Statements

This quarterly report contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, which reflect the current views and assumptions of management with respect to future events regarding our business and industry in general. These forward-looking statements include all statements, other than statements of historical fact, regarding our financial position, business strategy and other plans and objectives for future operations. Forward-looking statements include those containing such words as “anticipates,” “believes,” “continues,” “estimates,” “expects,” “forecasts,” “outlook,” “plans,” “projects,” “should,” “targets,” “will,” or the negative of those words or other comparable terminology. Although we believe that our plans, intentions and expectations reflected in or suggested by the forward-looking statements we make in this quarterly report are reasonable, we can give no assurance that such plans, intentions or expectations will be achieved. Such statements are subject to a number of risks and uncertainties, many of which are beyond our control. You are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements as a result of various factors, including but not limited to those set forth under “Risk Factors” in our annual report on Form 10-K for the year ended December 31, 2014. Such factors include, among others:

• the general economic conditions in markets and countries where we have operations;

• fluctuations in end market demand;

• foreign currency exchange rate fluctuations;

• risks associated with our non-U.S. operations;

• our ability to meet quality standards;

• our ability to protect our trade names;

• the competitive environment in which we operate;

• changes in the availability or cost of raw materials and energy;

• risks associated with our manufacturing activities;

• violations of laws and regulations;

• the impact of environmental issues and changes in environmental laws and regulations;

• our ability to successfully execute and integrate acquisitions;

• comparability of our specified scaled disclosure requirements applicable to emerging growth companies;

• labor disturbances, including any resulting from suspension or termination of our collective bargaining agreements;

• our significant indebtedness;

• covenant restrictions;

• the interests of our principal equity holder may not be aligned with the holders of our 9.5% Senior Notes; and

• credit-rating downgrades.

Any forward-looking statements that we make in this quarterly report speak only as of the date of such statement and we undertake no obligation to update such statements. Comparisons of results for current and any prior periods are not intended to express any future trends or indications of future performance, unless expressed as such, and should only be viewed as historical data.

Non-GAAP Financial Measures

Our consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). This MD&A includes various financial measures that have not been calculated in accordance with GAAP, commonly referred to as “Non-GAAP Financial Measures”.

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These Non-GAAP Financial Measures include:

• Adjusted EBITDA

• Adjusted Working Capital

• Net Debt

• Free Cash Flow

These measures are not in accordance with, or an alternative to GAAP, and may be different from Non-GAAP Financial Measures used by other companies. These measures have important limitations as analytical tools and should not be considered in isolation, nor as a substitute for, or superior to, analysis of our results as reported under GAAP. We recommend that investors view these measures in conjunction with the GAAP measures included in this MD&A and have provided reconciliations of reported GAAP amounts to the Non-GAAP amounts. Also, in the respective sections of MD&A, we explain the ways in which management uses these Non-GAAP Financial Measures to evaluate our business and the reasons why management believes that these Non-GAAP Financial Measures provide useful information to investors.

Third Quarter 2015 Executive Summary

We provide steel and synthetic rope, specialty wire and engineered products across multiple customers and geographies which results in a diversified revenue stream. The long-term sales growth and profitability of our product portfolio is dependent not only on increased demand in the end markets which we serve and the overall economic environment, but also on our ability to increase our existing market share and expand our presence geographically, continuously improve operational excellence, identify, consummate and integrate strategic acquisitions and develop and market innovative new products. 

For the three months ended September 30, 2015, we reported sales of $171.4 million, a net loss of $5.2 million and Adjusted EBITDA of $27.5 million compared to sales of $217.1 million, a net loss of $35.2 million and Adjusted EBITDA of $39.0 million for the same period in 2014. For the nine months ended September 30, 2015, we reported sales of $525.5 million, a net loss of $24.3 million and Adjusted EBITDA of $81.9 million compared to sales of $654.1 million, a net loss of $37.3 million and Adjusted EBITDA of $116.7 million for the same period in 2014. Given our global operations, the strengthening of the U.S. dollar had a significant negative impact on our 2015 results.  For the three and nine months ended September 30, 2015, approximately 59% and 61% of our sales, respectively, were generated in currencies other than the U.S. dollar. The euro, Polish złoty and Mexican peso all devalued between 18-22% compared to the nine months ended September 30, 2014.  Given the translation of our international results into U.S. dollars, this devaluation unfavorably impacted our sales by $22.3 million and $70.5 million and our Adjusted EBITDA by $4.0 million and $12.7 million for the three months and nine months ended September 30, 2015, respectively. The foreign currency exchange impact on cash for the nine months ended September 30, 2015 is a decrease of $4.4 million. Conversely, while the appreciation of the U.S. dollar has an immediate negative impact on our earnings, there is potential for leveraging a weakening currency as a competitive sales advantage. Given our scale and ability to serve a global market, when our non-U.S. manufactured products are imported by customers in countries that have not experienced a currency devaluation, the prices of these produced goods have decreased.

As a result of the weakening oil and gas end market during 2015, we reduced our factory work force in the United States, Mexico and Poland and implemented workforce reductions in several administrative departments.  In addition, we took other cost containment measures, such as certain procurement initiatives and other selling and administrative savings. The disciplined management of capital expenditures during 2015 has also contributed to our cost savings initiatives. During the third quarter of 2015, management achieved $6.5 million of savings resulting from operational initiatives.

During the nine months ended September 30, 2015, we have been reducing our inventory in order to better match current demand. As a result, we have reduced our inventory levels in terms of dollars. In addition, we are strategically supporting certain customers in the short-term with longer payment terms which has resulted in an increase in days sales outstanding. Also, days payable outstanding decreased due to a large number of our rod suppliers having third quarter year-ends. Despite short-term challenges in some of our end markets, we continue to believe that our targeted strategies, including acquisitions, geographic expansion, market share gains and new product development, will provide attractive long-term opportunities for sustainable growth. We remain focused on maintaining our financial strength by adjusting our cost structure to reflect changes in demand levels and by proactively managing working capital and cash flow generation.

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Consolidated Results of Operations

This section focuses on significant items that impacted our operating results for the three and nine months ended September 30, 2015 compared to the three and nine months ended September 30, 2014. Our results of operations have been converted to U.S. dollars from multiple currencies, which primarily include the euro, Polish złoty and Mexican peso. Our revenues and certain expenses are affected by fluctuations in the value of the U.S. dollar against these local currencies.

Three months ended September 30, 2015 compared to three months ended September 30, 2014

	Three months ended
	September 30,						Change
	2015			2014			Dollars			Percent
	(in thousands)
Net sales	$	171,356		$	217,076		$	(45,720	)	(21.1	)%
Gross profit	40,670			46,783			(6,113		)	(13.1	)%
Other operating expenses	(30,276		)	(34,604		)	4,328			(12.5	)%
Other expense, net	(14,140		)	(51,911		)	37,771			(72.8	)%
Income tax benefit (expense)	(1,446		)	4,540			(5,986		)	NM
Net loss	$	(5,192	)	$	(35,192	)	$	30,000		NM
Gross profit as % of net sales	23.7		%	21.6		%
Other operating expenses as % of net sales	17.7		%	15.9		%

NM = Not Meaningful

Net sales

Our consolidated net sales decreased$45.7 million, or 21.1%, for the three months ended September 30, 2015 as compared to the same period in 2014. Foreign currency exchange rate fluctuations contributed to $22.3 million of the decrease due to the depreciation of the euro, Polish złoty and Mexican peso when comparing the average exchange rates for the three months ended September 30, 2015 to the average exchange rates for the three months ended September 30, 2014.

Excluding the impact of foreign currency exchange rate fluctuations, rope sales for the quarter decreased$18.7 million primarily due to decreased sales in the onshore oil and gas, mining and industrial and infrastructure end markets. Sales to our onshore oil and gas end market decreased $19.2 million primarily driven by a slowdown in domestic drilling activity evidenced by the decline in rig count. According to Baker Hughes, the average North American onshore rig count for the third quarter of 2015 was 1,020 compared to 2,225 in the third quarter of 2014, a 54.2% decline, and the rig count at September 30, 2015 was 980 compared to 2,297 at September 30, 2014. Sales to our mining end market decreased $2.4 million primarily driven by a decrease in tons mined in the United States. According to the National Mining Association, tons mined in the United States decreased by 8.5% for the year-to-date period ended September 27, 2015 compared to the same period last year. Sales to our industrial and infrastructure end market decreased $4.5 million primarily due to weakness with global OEM cranes and continuing softening economic conditions in China. However, offshore oil and gas project sales increased $3.1 million for the three months ended September 30, 2015 compared to the same period last year. Rope sales represented 72% of our total consolidated net sales for both the three months ended September 30, 2015 and 2014.

Excluding the impact of foreign currency exchange rate fluctuations, specialty wire sales decreased$2.5 million for the three months ended September 30, 2015 compared to the same period last year primarily due to a slowdown in the fencing wire business in Poland. Specialty wire sales represented 17% of our total consolidated net sales for both the three months ended September 30, 2015 and 2014.

Excluding the impact of foreign currency exchange rate fluctuations, engineered products sales decreased$2.2 million for the three months ended September 30, 2015 compared to the same period last year primarily driven by lower sales within the mature oil and gas portfolio, offset by buoyancy sales. We produce buoyancy elements for the offshore industry to ensure that dynamic risers, cables and umbilicals are held in the correct wave configuration when submerged. Engineered product sales represented 11% of our total consolidated net sales for both the three months ended September 30, 2015 and 2014.

Gross profit

Gross profit decreased$6.1 million for the three months ended September 30, 2015 compared to the same period in 2014, and gross profit as a percentage of sales (“gross margin”) increased from 21.6% for the three months ended September 30, 2014 to

25

23.7% for the three months ended September 30, 2015. The decline in gross profit was directly related to the decline in sales. The higher gross margin was due to cost savings initiatives, partially offset by unfavorable product mix.

Other operating expenses

	Three months ended September 30,						Change
	2015			2014			Dollars		Percent
	(in thousands)
Selling expenses	$	(8,904	)	$	(10,787	)	$	1,883	(17.5	)%
Administrative expenses	(19,117		)	(21,499		)	2,382		(11.1	)%
Amortization expense	(2,255		)	(2,318		)	63		(2.7	)%
Other operating expenses	$	(30,276	)	$	(34,604	)	$	4,328	(12.5	)%

Other operating expenses decreased$4.3 million, or 12.5%, for the three months ended September 30, 2015 compared to the same period in 2014. Total other operating expenses as a percentage of net sales increased from 15.9% for the third quarter of 2014 to 17.7% for the third quarter of 2015.

Selling expenses decreased$1.9 million, or 17.5%, for the three months ended September 30, 2015 compared to the same period in 2014 primarily due to foreign currency exchange rate fluctuations, which accounted for $1.0 million of the change. We incurred $0.4 million less external distributor commissions during the three months ended September 30, 2015 compared to the three months ended September 30, 2014 due to the decline in net sales during the period. We also incurred $0.4 million less labor and related expenses during the three months ended September 30, 2015 compared to the three months ended September 30, 2014.

Administrative expenses decreased$2.4 million, or 11.1%, for the three months ended September 30, 2015 compared to the same period in 2014. Foreign currency exchange rate fluctuations accounted for $1.2 million of the decrease. As an offset, we incurred $2.1 million more reorganization and restructuring charges than the same period in prior year, considering the current period production and the corporate headquarters relocation. Due to the decline in Adjusted EBITDA, incentive compensation was $0.5 million lower in the third quarter of 2015 compared to the third quarter of 2014. We incurred $1.0 million less advisory fees in the third quarter of 2015 compared to the third quarter of 2014 due to external fees incurred on Paine & Partners' behalf related to business process improvements in 2014. We incurred $0.3 million less lease expenses during the three months ended September 30, 2015 compared to the same period in 2014 due to the corporate headquarters relocation. As a result of our workforce reductions during 2015, we incurred $0.3 million less personnel expenses during the three months ended September 30, 2015compared to the three months ended September 30, 2014. As a result of impairment recorded on certain intangibles during 2014 as part of our annual impairment analysis, we incurred $0.2 million less impairment charges during the three months ended September 30, 2015 compared to the same period in 2014.

Other expense, net

	Three months ended September 30,						Change
	2015			2014			Dollars			Percent
	(in thousands)
Interest expense, net	$	(19,597	)	$	(19,603	)	$	6		—	%
Foreign currency exchange gains (losses), net	5,626			(31,816		)	37,442			(117.7	)%
Loss on extinguishment of debt	—			(617		)	617			100.0	%
Other income (expense), net	(169		)	125			(294		)	(235.2	)%
Total other expense, net	$	(14,140	)	$	(51,911	)	$	37,771		(72.8	)%

Total other expense decreased by $37.8 million, or 72.8%, for the three months ended September 30, 2015 compared to the same period in 2014. For the three months ended September 30, 2015, foreign currency exchange gains were $5.6 million compared to foreign currency exchange losses of $31.8 million for the same period in 2014. At September 30, 2015 and 2014, we had intercompany loans that required remeasurement in the aggregate amounts of $383.7 million and $432.8 million, respectively. The U.S. dollar to euro exchange rate at September 30, 2014 was $1.00 to €0.7947 compared to $1.00 to €0.8926 at September 30, 2015. The U.S. dollar to the Polish złoty exchange rate at September 30, 2014 was $1.00 to zł3.3200 compared to $1.00 to zł3.7890 at September 30, 2015. The U.S. dollar to the Mexican peso exchange rate at September 30, 2014 was $1.00 to $13.4891 compared to $1.00 to $17.0771 at September 30, 2015.

26

Loss on extinguishment of debt decreased$0.6 million for the three months ended September 30, 2015 compared to the same period in 2014 due to the call premium and write-off of unamortized debt issuance costs in conjunction with the redemption of a portion of the 9.00% Senior Notes in 2014.

Income tax expense/benefit

For the three months ended September 30, 2015, we recorded an income tax expense of $1.4 million compared to an income tax benefit of $4.5 million for the three months ended September 30, 2014. The resulting effective tax rate for the third quarter of 2015 and 2014 was (38.6)% and 11.4%, respectively. The Company's effective tax rate differs from the applicable statutory tax rate primarily due to valuation allowances on deferred tax assets in various jurisdictions, mix of earnings (losses) by jurisdictions and the effects of foreign tax rate differences.

Nine months ended September 30, 2015 compared to nine months ended September 30, 2014

The following table presents selected consolidated financial data for the nine months ended September 30, 2015 and 2014:

	Nine months ended September 30,						Change
	2015			2014			Dollars			Percent
	(in thousands)
Net sales	$	525,526		$	654,086		$	(128,560	)	(19.7	)%
Gross profit	123,454			160,247			(36,793		)	(23.0	)%
Other operating expenses	(90,205		)	(104,355		)	14,150			(13.6	)%
Other expense, net	(56,959		)	(94,402		)	37,443			(39.7	)%
Income tax benefit (expense)	(595		)	1,177			(1,772		)	NM
Net loss	$	(24,305	)	$	(37,333	)	$	13,028		NM
Gross profit as % of net sales	23.5		%	24.5		%
Other operating expenses as % of net sales	17.2		%	16.0		%

Net sales

Our consolidated net sales decreased$128.6 million, or 19.7%, during the nine months ended September 30, 2015 as compared to the same period in 2014. Foreign currency exchange rate fluctuations contributed to $70.5 million of the decrease due to the depreciation of the euro, Polish złoty and Mexican peso when comparing the average exchange rates for the nine months ended September 30, 2015 to the average exchange rates for the nine months ended September 30, 2014.

Excluding the impact of foreign currency exchange rate fluctuations, rope sales for the nine months ended September 30, 2015decreased$52.7 million primarily due to decreased sales in the onshore oil and gas and industrial and infrastructure end markets. Sales to our onshore oil and gas end market decreased $52.7 million primarily driven by a slowdown in domestic drilling activity evidenced by the decline in rig count. According to Baker Hughes, the average North American onshore rig count during the first nine months of 2015 was 1,218 compared to 2,155 during the same period in 2014, a 43.5% decrease. Sales to our industrial and infrastructure end market decreased $12.1 million primarily due to weakness with global OEM cranes and softening economic conditions in China, Brazil and Australia. However, offshore oil and gas project sales increased $13.0 million for the nine months ended September 30, 2015 compared to the same period last year. Rope sales represented 72% of our total consolidated net sales for the nine months ended September 30, 2015 compared to 73% for the same period in 2014.

Excluding the impact of foreign currency exchange rate fluctuations, specialty wire sales increased$1.3 million for the nine months ended September 30, 2015 compared to the same period in 2014 primarily due to increased activity in the Mexican construction sector, offset by a slowdown in the fencing wire business in Poland. Specialty wire sales represented 18% of our total consolidated net sales for the nine months ended September 30, 2015 compared to 16% for the same period in 2014.

Excluding the impact of foreign currency exchange rate fluctuations, sales of engineered products decreased$6.6 million for the nine months ended September 30, 2015 compared to the same period in 2014 primarily driven by lower sales within the mature oil and gas portfolio in 2015 and by higher end cap product sales in 2014 than in 2015, partially offset by buoyancy sales. End caps are highly engineered products produced for pipeline sealing applications. Engineered product sales represented 10% of our total consolidated net sales for the nine months ended September 30, 2015 compared to 11% for the same period in 2014.

27

Gross profit

Gross profit decreased$36.8 million and gross profit as a percentage of sales (“gross margin”) decreased from 24.5% for the nine months ended September 30, 2014 to 23.5% for the nine months ended September 30, 2015. The decline in gross profit was directly related to the decline in sales and the lower gross margin was primarily due to product mix. We saw volume growth in select specialty wire which generates lower margin than the products in the rope portfolio and conversely, saw volume declines in onshore oil and gas products which generate some of the Company's highest margins.

Other operating expenses

	Nine months ended September 30,						Change
	2015			2014			Dollars		Percent
	(in thousands)
Selling expenses	$	(28,592	)	$	(33,328	)	$	4,736	(14.2	)%
Administrative expenses	(54,875		)	(62,971		)	8,096		(12.9	)%
Amortization expense	(6,738		)	(8,056		)	1,318		(16.4	)%
Other operating expenses	$	(90,205	)	$	(104,355	)	$	14,150	(13.6	)%

Other operating expenses decreased$14.2 million, or 13.6%, for the nine months ended September 30, 2015 compared to the same period in 2014. Overall, total other operating expenses as a percentage of net sales increased from 16.0% for the nine months ended September 30, 2014 to 17.2% for the nine months ended September 30, 2015.

Selling expenses decreased$4.7 million, or 14.2%, for the nine months ended September 30, 2015 compared to the same period in 2014 primarily due to foreign currency exchange rate fluctuations, which accounted for $3.6 million of the change. We incurred $0.5 million less labor and related expenses during the nine months ended September 30, 2015 compared to the nine months ended September 30, 2014. We incurred $0.8 million less external distributor commissions during the nine months ended September 30, 2015 compared to the nine months ended September 30, 2014 due to the decline in net sales during the period.

Administrative expenses decreased$8.1 million, or 12.9%, for the nine months ended September 30, 2015 compared to the same period in 2014. Foreign currency exchange rate fluctuations accounted for $4.1 million of the decrease due to the depreciation of the euro, Polish złoty and Mexican peso. During the first quarter of 2014, we incurred a non-cash impairment charge of $0.6 million related to an office building that was abandoned. Partially offsetting these decreases, reorganization and restructuring charges were $3.2 million higher during the nine months ended September 30, 2015 compared to the same period in 2014 due to current period production, workforce reductions and the corporate headquarters relocation. Due to the decline in Adjusted EBITDA, incentive compensation was $1.8 million lower during the nine months ended September 30, 2015 compared to the same period in 2014. We incurred $1.0 million less advisory fees during the nine months ended September 30, 2015 compared to the same period in 2014 due to external fees incurred on Paine & Partners' behalf related to business process improvements in 2014. We incurred $0.7 million less third party consultant fees during the nine months ended September 30, 2015 compared to the same period in 2014 primarily due to cost management initiatives, which included the management of more projects with internal resources instead of with external consultants. We incurred $0.9 million less lease expenses during the nine months ended September 30, 2015 compared to the same period in 2014 due to the corporate headquarters relocation. As a result of our workforce reductions during 2015, we incurred $0.5 million less personnel expenses during the nine months ended September 30, 2015compared to the nine months ended September 30, 2014. As a result of impairment recorded on certain intangibles during 2014 as part of our annual impairment analysis, we incurred $0.8 million less impairment charges during the nine months ended September 30, 2015 compared to the same period in 2014.

Amortization expense decreased$1.3 million, or 16.4%, primarily related to the depreciation of the euro, Polish złoty and Mexican peso during the nine months ended September 30, 2015.

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Other expense, net

	Nine months ended September 30,						Change
	2015			2014			Dollars			Percent
	(in thousands)
Interest expense, net	$	(55,221	)	$	(59,357	)	$	4,136		(7.0	)%
Foreign currency exchange gains (losses), net	(1,341		)	(35,131		)	33,790			(96.2	)%
Loss on extinguishment of debt	—			(617		)	617			100.0	%
Other income (expense), net	(397		)	703			(1,100		)	(156.5	)%
Total other expense, net	$	(56,959	)	$	(94,402	)	$	37,443		(39.7	)%

Other expense decreased$37.4 million, or 39.7%, for the nine months ended September 30, 2015 compared to the same period in 2014. This decrease was primarily due to foreign currency exchange fluctuations.

Interest expense decreased$4.1 million for the nine months ended September 30, 2015 compared to 2014 primarily due to our cross-currency swaps.

Foreign currency exchange gains were $1.3 million for the nine months ended September 30, 2015 compared to foreign currency exchange losses of $35.1 million for the same period in 2014. At September 30, 2015 and 2014, we had intercompany loans that required remeasurement in the aggregate amounts of $383.7 million and $432.8 million, respectively. Foreign currency exchange losses for the nine months ended September 30, 2015 primarily related to the depreciation of the euro, Polish złoty and Mexican peso. The U.S. dollar to euro exchange rate at December 31, 2014 was $1.00 to €0.8237 compared to $1.00 to €0.8926 at September 30, 2015. The U.S. dollar to the Polish złoty exchange rate at December 31, 2014 was $1.00 to zł3.5196 compared to $1.00 to zł3.7890 at September 30, 2015. The U.S. dollar to the Mexican peso exchange rate at December 31, 2014 was $1.00 to $14.7348 compared to $1.00 to $17.0771 at September 30, 2015. These losses were offset by a $26.8 million unrealized gain on the fair value marked-to-market adjustment on the cross-currency swaps entered into during the third quarter of 2014. Foreign currency exchange losses for the nine months ended September 30, 2014 were primarily due to the depreciation of the euro. The U.S. dollar to euro exchange rate at December 31, 2013 was $1.00 to €0.7251 compared to $1.00 to €0.7947 at September 30, 2014.

Loss on extinguishment of debt decreased$0.6 million for the nine months ended September 30, 2015 compared to the same period in 2014 due to the call premium and write-off of unamortized debt issuance costs in conjunction with the redemption of a portion of the 9.00% Senior Notes in 2014.

Income tax expense/benefit

For the nine months ended September 30, 2015, we recorded an income tax expense of $0.6 million compared to an income tax benefit of $1.2 million for the nine months ended September 30, 2014. The resulting effective tax rate for the nine months ended September 30, 2015 and 2014 was (2.5)% and 3.1%, respectively. The Company's effective tax rate differs from the applicable statutory tax rate primarily due to valuation allowances on deferred tax assets in various jurisdictions, mix of earnings (losses) by jurisdictions and the effects of foreign tax rate differences.

Adjusted EBITDA

Adjusted EBITDA is a Non-GAAP Financial Measure, defined in the indenture governing the 9.50% Senior Notes, as net income (loss) plus, without duplication: interest expense, income tax expense (benefit), depreciation and amortization, as further adjusted by (i) all fees and costs incurred in connection with any merger, consolidation, acquisition or offering of debt or equity securities, (ii) realized and unrealized gains (losses) resulting from foreign currency transactions, (iii) payments of advisory fees pursuant to the Management Fee Letter with Paine & Partners, LLC, (iv) all amounts deducted in arriving at net income (loss) in respect of severance packages payable in connection with the termination of any officer, director or employee, (v) business optimization expenses and other reorganization or restructuring charges, reserves or expenses (which, for the avoidance of doubt, will include, without limitation, the effect of inventory optimization programs, plant closures, facility consolidations, retention, system establishment costs, contract termination costs, future lease commitments and excess pension charges), (vi) other expenses, such as share-based compensation expense and income (loss) on our investments in joint ventures, and (vii) non-cash items, other than the accrual of revenue in the ordinary course of business.

We use this Non-GAAP Financial Measure internally to evaluate our performance, allocate resources, calculate debt covenant ratios and for incentive compensation purposes. We believe that our presentation of this measure provides investors with greater transparency with respect to our results of operations and is useful for peer comparisons.

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The following is a reconciliation of net loss to Adjusted EBITDA:

	Three months ended September 30,						Nine months ended September 30,
	2015			2014			2015			2014
	(in thousands)
Net loss (GAAP)	$	(5,192	)	$	(35,192	)	$	(24,305	)	$	(37,333	)
Plus:
Interest expense, net	19,597			19,603			55,221			59,357
Income tax expense (benefit)	1,446			(4,540		)	595			(1,177		)
Depreciation and amortization	11,232			12,192			33,746			38,140
Foreign currency exchange losses (gains), net	(5,626		)	31,816			1,341			35,131
Share-based compensation	1,926			1,969			5,779			5,539
Other expense (income), net	169			(125		)	397			(703		)
Loss on extinguishment of debt	—			617			—			617
Acquisition costs	—			—			—			347
Advisory fees	953			2,001			2,928			3,899
Reorganization and restructuring charges	2,956			832			5,212			1,968
Non-cash impairment of assets	—			246			—			844
Effect of Inventory Optimization Program	—			9,244			—			9,244
Other adjustments	58			289			998			872
Adjusted EBITDA (Non-GAAP)	$	27,519		$	38,952		$	81,912		$	116,745

Credit Agreement EBITDA

Credit Agreement EBITDA is a Non-GAAP Financial Measure, defined in the Credit Agreement as Consolidated Net Income, adjusted by adding thereto, (a) to the extent deducted in determining Consolidated Net Income, the sum of (i) Consolidated Interest Expense, (ii) provision for Taxes based on income of the Parent and its Subsidiaries, (iii) depreciation and amortization expense, (iv) Closing Date Transaction Expenses incurred in connection with the Closing Date Transactions, (v) Transaction Expenses of the type described in clause (a) of the definition thereof, provided that the amount of Transaction Expenses included pursuant to this clause (v) shall not exceed (a) with respect to Transaction Expenses paid to the Sponsor, 1.0% of the value of the applicable transaction and (b) with respect to Transaction Expenses paid to any other Person, such Transaction Expenses as are normal and customary, (vi) non-cash, stock-based compensation expense, (vii) non-recurring or unusual losses or expenses (including non-recurring or unusual losses on permitted sales or dispositions of assets and casualty events), (viii) all other non-cash charges that represent an accrual to the extent no cash is expected to be paid in the next twelve months (excluding any such non-cash item to the extent that it represents an accrual or reserve for potential cash items in any future period or amortization of a prepaid cash item that was paid in a prior period), (ix) Permitted Management Fees paid during such period, (x) non-cash, restricted stock award charges, (xi) unrealized non- cash losses resulting from foreign currency balance sheet adjustments required by GAAP, (xii) severance packages payable in connection with the termination of the ten highest paid officers, directors or employees of Parent or any of its Subsidiaries in an aggregate amount not to exceed $5,000,000 from the Closing Date until the date of determination and (xiii) non-cash minority interest expense; minus (b) to the extent included in determining Consolidated Net Income, the sum of (i) extraordinary, non-recurring or unusual gains (including extraordinary, non-recurring or unusual income or gains on permitted sales or dispositions of assets and casualty events), (ii) all other non-cash income to the extent no cash is expected to be received in the next twelve months (excluding any such non-cash item to the extent it represents the reversal of and accrual or reserve for potential cash item in any prior period), (iii) unrealized non-cash gains resulting from foreign currency balance sheet adjustments required by GAAP, and (iv) non-cash minority interest income.

We use this Non-GAAP Financial Measure to calculate debt covenant ratios, to the extent it differs from Adjusted EBITDA as described above. We believe that our presentation of this measure provides investors with greater transparency with respect to the inputs utilized to determine covenant compliance. For the last twelve months ended September 30, 2015, our Credit Agreement EBITDA is $127.3 million.

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	Three months ended September 30,				Nine months ended September 30,
	2015		2014		2015		2014
	(in thousands)
Adjusted EBITDA (Non-GAAP)	$	27,519	$	38,952	$	81,912	$	116,745
Plus:
Additional reorganization and restructuring charges	—		—		261		—
Additional effect of Inventory Optimization Program	143		—		143		—
Production curtailment	737		—		1,861		—
Impact of nonrecurring resin procurement costs	920		—		920		—
Impact of nonrecurring and unusual items in Brazil	—		—		3,745		—
Pro forma SG&A expense savings	—		1,175		2,000		3,525
Additional other adjustments	—		—		202		—
Credit Agreement EBITDA (Non-GAAP)	$	29,319	$	40,127	$	91,044	$	120,270

LIQUIDITY AND CAPITAL RESOURCES

Overview

Our principal sources of liquidity consist of cash from operations and borrowings under our Revolving Loan Facility. Our principal uses of cash are to fund working capital and capital expenditures, support operations and service our debt. Our liquidity is influenced by many factors, including the amount and timing of cash collections from our customers and fluctuations in the cost of our raw materials. Based on our current assessment of our operating plan, we believe that our cash and cash equivalents balance, cash flow from operations, and availability under our Revolving Loan Facility will be adequate to fund anticipated operating, capital and debt service requirements and other commitments over the next twelve months.

Our debt financing consists of secured credit facilities due in February 2017 and senior notes due in May 2017. While these maturity dates are not impending, we have begun preliminary diligence on optimizing our capital structure. We are constantly evaluating capital markets and will be ready to refinance when market conditions are appropriate.

Total available liquidity, defined as availability under our Revolving Loan Facility plus cash and cash equivalents, was $123.4 million at September 30, 2015 compared to $133.5 million at December 31, 2014. Availability under the Revolving Loan Facility is based upon the maximum borrowing capacity of $145.0 million, less outstanding borrowings, letters of credit and if applicable, further restricted by certain covenants in our credit agreements. On June 24, 2015, we entered into a third amendment (the “Amendment”) to the credit agreement dated as of July 12, 2012 (the "Credit Agreement"). The Amendment, among other things, amended the Credit Agreement to (i) update the Interest Coverage Ratio financial covenant for fiscal quarters ending June 30, 2015 and thereafter from a range of 1.75x to 2.00x to a fixed ratio covenant of 1.50x and (ii) reduce incremental capacity to the greater of (a) $75.0 million and (b) 2.25:1.00 Senior Secured Leverage from the greater of (a) $125.0 million and (b) 2.75:1.00 Senior Secured Leverage. We do not anticipate that the Amendment will have a material impact on our available liquidity.

We reinvest the earnings of substantially all of our subsidiaries in those respective operations. The foreign operating subsidiaries use cash generated from earnings to fund working capital, invest in capital expenditures and service interest and principal payments on intercompany debt. Our outstanding debt is issued by the U.S. operating subsidiary and there are intercompany loans within the Company's legal structure that are paid with earnings from the operating subsidiaries in foreign jurisdictions to provide liquidity in the U.S. for interest and principal payments on our outstanding debt. Of the consolidated cash and cash equivalents balance of $34.6 million at September 30, 2015, cash and cash equivalents held by our foreign subsidiaries were $30.9 million, of which $5.1 million was in U.S. dollars. The cash balances in currencies other than the U.S. dollar are primarily in the euro and can be readily converted to U.S. dollars. It is our present intention to permanently reinvest the undistributed earnings associated with our foreign subsidiaries, and our current plans do not require repatriation of these earnings other than servicing intercompany loans.

Adjusted Working Capital

Within our asset base, working capital management is our largest opportunity for cash generation. During these challenging market conditions, we continue to monitor working capital and our cash conversion cycle. Working Capital, which is all current assets minus all current liabilities, decreased from $283.1 million at December 31, 2014 to $243.5 million at September 30, 2015. Adjusted Working Capital, a Non-GAAP Financial Measure defined as accounts receivable plus

31

inventories less accounts payable and customer advances, decreased from $263.5 million at December 31, 2014 to $247.8 million at September 30, 2015. The decrease in Working Capital and Adjusted Working Capital was primarily due to foreign currency exchange rate fluctuations. During this downturn in certain end markets, we are trying to manage inventory levels in line with the demand. Also, we saw declines in accounts receivable and accounts payable related to the reduced demand in certain key end markets of our business. Our days sales outstanding increased from 61 days at December 31, 2014 to 64 days at September 30, 2015 due to supporting customers in our challenging end markets with longer terms. Our days payable outstanding decreased from 56 days at December 31, 2014 to 46 days at September 30, 2015 due to a large number of our rod suppliers having third quarter year-ends. Adjusted Working Capital as a percentage of annualized third quarter sales was 36.2% for the third quarter of 2015 compared to 32.5% for the fourth quarter of 2014 with a cash conversion cycle of 150 days and 136 days for the respective periods. We use Adjusted Working Capital to monitor our liquidity and believe that Adjusted Working Capital provides a meaningful measure of our efforts to manage inventory, our customer collections and vendor payments.

The following is a reconciliation of Adjusted Working Capital to working capital:

	September 30, 2015			December 31, 2014
	(in thousands)
Accounts receivable, net	$	134,297		$	143,068
Inventories, net	192,211			225,075
Accounts payable	(66,738		)	(98,914		)
Customer advances	(11,964		)	(5,716		)
Adjusted Working Capital (Non-GAAP)	247,806			263,513
Plus: All other current assets	53,049			78,908
Less: All other current liabilities	(57,331		)	(59,320		)
Working capital (GAAP)	$	243,524		$	283,101

Cash Flow Information

The following tables summarize our cash flows from operating, investing and financing activities for the nine months ended September 30, 2015 and 2014, respectively:

	Nine months ended September 30,
	2015			2014
	(in thousands)
Cash flows provided by (used in)
Operating activities	$	36,003		$	48,426
Investing activities	(22,829		)	(18,835		)
Financing activities	(32,363		)	(20,954		)
Effect of exchange rates on cash and cash equivalents	(4,399		)	(1,906		)
Increase (decrease) in cash and cash equivalents	(23,588		)	6,731
Cash and cash equivalents, beginning of period	58,195			34,987
Cash and cash equivalents, end of period	$	34,607		$	41,718

Cash from Operating Activities

	Nine months ended September 30,
	2015			2014
	(in thousands)
Net loss	$	(24,305	)	$	(37,333	)
Adjustments to reconcile net loss to net cash provided by operating activities	43,658			83,170
Changes in assets and liabilities	16,650			2,589
Net cash provided by operating activities	$	36,003		$	48,426

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Cash flows from operating activities decreased in the nine months ended September 30, 2015 over the prior period primarily due to less cash earnings related to business performance. Cash earnings is our net loss adjusted for non-cash items, such as depreciation and amortization among other reconciling items.

Cash from Investing Activities

	Nine months ended September 30,
	2015			2014
	(in thousands)
Capital expenditures	$	(22,829	)	$	(16,213	)
Acquisition of business	—			(4,573		)
Other investing activities	—			1,951
Net cash used in investing activities	$	(22,829	)	$	(18,835	)

We expect capital expenditures to be between $25.0 million and $30.0 million for the year ended December 31, 2015. A significant portion of the anticipated capital expenditures in the fourth quarter of 2015 is committed. During the second quarter of 2014, we purchased certain assets from Endenburg B.V. for approximately $4.6 million.

Cash from Financing Activities

	Nine months ended September 30,
	2015			2014
	(in thousands)
Principal payments on long-term debt	$	(17,116	)	$	(5,621	)
Debt issuance costs paid	(1,067		)	—
Retirement of long-term debt	—			(26,946		)
Net borrowings (repayments) under revolving credit agreement	(14,180		)	12,050
Other financing activities	—			(437		)
Net cash used in financing activities	$	(32,363	)	$	(20,954	)

During the nine months ended September 30, 2015, we paid down our long-term debt $32.4 million.

Long-term Debt

For a detailed discussion of our long-term debt, see Note 7—“Borrowings” to our audited consolidated financial statements in Item 8, Financial Statements and Supplementary Data, of our annual report on Form 10-K for the year ended December 31, 2014.

Net Debt

At September 30, 2015, our total debt, including capital leases, was $844.3 million compared to Net Debt of $808.1 million, with the difference being cash currently and eventually available to pay down our outstanding debt. Net Debt is a Non-GAAP Financial Measure defined as consolidated total debt at face value plus capital lease obligations less cash and cash equivalents and restricted cash. Total debt decreased $32.3 million from year-end due to repayments on our revolver, routine principal payments and passage of time with our capital lease contracts. Net Debt increased because the decrease in our cash and cash equivalents balance was greater than the reduction in total debt. Our Net Leverage ratio, Net Debt to the last twelve months of Adjusted EBITDA, increased to 6.36x at September 30, 2015, compared to 5.42x at December 31, 2014, due to the decline in Adjusted EBITDA. We believe Net Debt is meaningful to investors because management assesses our leverage position after factoring in available cash and restricted cash that eventually could be used to repay outstanding debt.

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The following is a reconciliation of total debt to Net Debt:

	September 30, 2015			December 31, 2014
	(in thousands)
Borrowings under Revolving Loan Facility	$	54,570		$	68,750
Term Loan due 2017	307,246			324,362
9.00% Senior Notes due 2017	56,000			56,000
9.50% Senior Notes due 2017	425,000			425,000
Other indebtedness	—			157
Capital lease obligations	1,460			2,328
Total debt at face value plus capital lease obligations (GAAP)	844,276			876,597
Less: Cash and cash equivalents	(34,607		)	(58,195		)
Less: Restricted cash	(1,584		)	(1,565		)
Net Debt (Non-GAAP)	$	808,085		$	816,837

Free Cash Flow

We generated cash flow from operations of $36.0 million during the nine months ended September 30, 2015 compared to a consumption of $8.8 million in Free Cash Flow during the same period. Free Cash Flow, a Non-GAAP Financial Measure, is defined as cash flows from operating activities less capital expenditures, and further adjusted by effect of exchange rates on cash and cash equivalents and other items. Our Free Cash Flow is lower than cash flow from operations primarily due to capital expenditures.

We believe that the Free Cash Flow measure is meaningful to investors because it represents the cash flow we have available to pay down debt and/or invest for future growth. We use Free Cash Flow internally for incentive compensation purposes. It is important to note that Free Cash Flow does not represent the residual cash flow available for discretionary expenditures since other non-discretionary expenditures, such as mandatory debt service requirements, are not deducted from the measure. Free Cash Flow is also equivalent to the change in Net Debt.

The following is a reconciliation of net cash provided by operating activities to Free Cash Flow:

	Nine months ended
	September 30,
	2015			2014
	(in thousands)
Net cash provided by operating activities (GAAP)	$	36,003		$	48,426
Less: capital expenditures	(22,829		)	(16,213		)
Less: acquisition of business and other investing activities	—			(2,622		)
Effect of exchange rates on cash and cash equivalents	(4,399		)	(1,906		)
Other items	(23		)	312
Free Cash Flow (Non-GAAP)	$	8,752		$	27,997

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Contractual Obligations and Commitments

As of September 30, 2015, the only material change in our contractual obligations and commitments from those reported in Item 7, Management’s Discussion and Analysis of Financial Condition and Results of Operations, of our annual report on Form 10-K for the year ended December 31, 2014 is related to an operating lease agreement entered into for our corporate headquarters relocation.

	Payments due by period
		2015		2016		2017		2018		2019		Thereafter		Total
Obligations:	(in thousands)
Long-term debt (1)		$	830	$	3,318	$	838,668	$	—	$	—	$	—	$	842,816
Interest on long-term debt (2)		16,860		67,292		25,601		—		—		—		109,753
Capital leases		432		323		138		122		299		1		1,315
Operating leases		1,508		3,554		2,514		1,559		956		3,814		13,905
Pension benefits		53		277		315		292		343		1,883		3,163
Total contractual obligations		$	19,683	$	74,764	$	867,236	$	1,973	$	1,598	$	5,698	$	970,952

⁽¹⁾  The Revolving Loan Facility is classified as long-term and amounts drawn are denoted as due based on the contractual maturity date.

⁽²⁾  Amounts include contractual interest payments using the interest rates as of December 31, 2014 applicable to our variable interest debt instruments and stated fixed rates for all other debt instruments.

Off-balance Sheet Arrangements

Our liquidity is not dependent on the use of off-balance sheet financing arrangements other than in connection with our operating leases, which have only materially changed from the disclosure in our annual report on Form 10-K for the year ended December 31, 2014 in relation to our corporate headquarters relocation. We also periodically maintain standby letters of credit for purchase of inventory, contract performance on certain sales contracts and other guarantees of our performance.

Critical Accounting Policies

A discussion of our critical accounting policies can be found in Item 7, Management’s Discussion and Analysis of Financial Condition and Results of Operations, of our annual report on Form 10-K for the year ended December 31, 2014. There have been no significant changes in our critical accounting policies since year-end.

Recently Issued Accounting Standards

Refer to Note 1—“Interim Financial Statement Presentation” to our unaudited interim consolidated financial statements in Part I, Item 1 of this quarterly report for recently issued accounting standards.

Item 3.Quantitative and Qualitative Disclosures About Market Risk

Other than as described below, there was no material change from the information included in Item 7A, Quantitative and Qualitative Disclosures about Market Risk, in our annual report on Form 10-K for the year ended December 31, 2014.

Foreign Currency Exchange Rate Risk. The volatility in foreign currency exchange rates resulted in significant unrealized foreign currency exchange losses of $22.1 million on intercompany loans denominated in U.S. dollars for the nine months ended September 30, 2015. At September 30, 2015, we had intercompany loans that required remeasurement in the aggregate amount of $383.7 million, of which $282.7 million were with a subsidiary whose functional currency is the euro.

35

The unrealized foreign currency exchange gains (losses) due to a hypothetical 10% change in the exchange rates of the U.S. dollar to the euro, Polish złoty and Mexican peso are shown in the following table:

	Nine months ended September 30,
	2015
	(in thousands)
	+10%			-10%
Unrealized foreign currency exchange gains (losses) due to hypothetical 10% rate movement:
U.S. dollar to euro	$	(69,737	)	$	22,116
U.S. dollar to Polish złoty	(20,127		)	6,286
U.S. dollar to Mexican peso	(1,588		)	(308		)

At times, we have partially hedged foreign currency exchange rate volatility through the use of derivative instruments. During 2014, we entered into cross-currency swaps with an aggregate notional value of $300.0 million to hedge exposures to foreign currency exchange rate risk. During 2015, we entered into a cross-currency swap with a notional value of $125.0 million to hedge exposures to foreign currency exchange rate risk. Among other things, the table below includes the potential change in fair value of these instruments related to a hypothetical 10% change in the foreign currency exchange rates. Refer to Note 5—“Derivative Financial Instruments” to our unaudited interim consolidated financial statements in Part I, Item 1 of this quarterly report for further information on these cross-currency swap contracts.

Cross-currency swaps:
Fair value at December 31, 2014	$	16,133
Unrealized gain for the nine months ended September 30, 2015	23,428
Fair value at September 30, 2015	39,561
Change in fair value due to hypothetical 10% foreign currency exchange rate movement	44,803

Notwithstanding our efforts to mitigate some foreign currency exchange rate risk, we do not hedge all of our foreign currency exposures, and there can be no assurance that our mitigating activities related to the exposures that we hedge will adequately protect us against risks associated with foreign currency fluctuations.

Item 4.Controls and Procedures

Evaluation of Disclosure Controls and Procedures

We maintain disclosure controls and procedures designed to provide reasonable assurance that information required to be disclosed in reports filed under the Securities Exchange Act of 1934, as amended (the "Exchange Act"), is recorded, processed, summarized and reported within the specified time periods and accumulated and communicated to our management, including our CEO and CFO, as appropriate to allow timely decisions regarding required disclosure.

The Company's management, under the supervision and with the participation of our CEO and CFO, has evaluated the effectiveness of the Company's disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d - 15(e) under the Exchange Act) at September 30, 2015. Based on this evaluation, the Company's CEO and CFO concluded that the Company's disclosure controls and procedures were effective as of September 30, 2015.

Changes in Internal Control over Financial Reporting

There was no change in the Company's internal control over financial reporting that occurred during the Company's third quarter that has materially affected, or is reasonably likely to materially affect, the Company's internal control over financial reporting.

PART II – OTHER INFORMATION

Item 1.Legal Proceedings

We are not a party to any material legal proceedings. From time to time, we are involved in routine litigation arising in the ordinary course of business, which is incidental to our operations. For further information required by this item, refer to Note 11

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—“Commitments and Contingencies” to our unaudited interim consolidated financial statements in Part I, Item 1 of this quarterly report.

Item 1A.Risk Factors

There have been no material changes in our Risk Factors from those disclosed in Item 1A, Risk Factors, in our annual report on Form 10-K for the year ended December 31, 2014.

Item 2.Unregistered Sales of Equity Securities and Use of Proceeds

None.

Item 3.     Defaults Upon Senior Securities

None.

Item 4.Mine Safety Disclosures

Not applicable.

Item 5.     Other Information

None.

Item 6. Exhibits

Exhibit No.	Description of Exhibits Filed with this Report
31.1		CEO Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
31.2		CFO Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32.1		CEO Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
32.2		CFO Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
101.INS		XBRL Instance Document
101.SCH		XBRL Taxonomy Extension Schema Document
101.CAL		XBRL Taxonomy Extension Calculation Linkbase Document
101.LAB		XBRL Taxonomy Extension Labels Linkbase Document
101.PRE		XBRL Taxonomy Extension Presentation Linkbase Document
101.DEF		XBRL Taxonomy Extension Definition Linkbase Document

37

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

			WireCo WorldGroup Inc.
			(Registrant)
Dated:	November 10, 2015	By:	/s/ Brian G. Block
			Brian G. Block
			Senior Vice President and Chief Financial Officer (Principal Financial Officer)

38

EX-31.1

Exhibit 31.1

CERTIFICATION PURSUANT TO 17 CFR 240.13(A)-14(A)

(SECTION 302 CERTIFICATION)

I, Christopher L. Ayers, certify that:

1. I have reviewed this quarterly report on Form 10-Q of WireCo WorldGroup Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-(f)) for the registrant, and have:

(a) Designed such disclosure controls and procedures or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any changes in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal controls over financial reporting.

November 10, 2015	/s/ Christopher L. Ayers
	Christopher L. Ayers, President and Chief Executive Officer (Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATION PURSUANT TO 17 CFR 240.13(A)-14(A)

(SECTION 302 CERTIFICATION)

I, Brian G. Block, certify that:

1. I have reviewed this quarterly report on Form 10-Q of WireCo WorldGroup Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant, as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-(f)) for the registrant, and have:

(a) Designed such disclosure controls and procedures or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any changes in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal controls over financial reporting.

November 10, 2015	/s/ Brian G. Block
	Brian G. Block, Senior Vice President and Chief Financial Officer (Principal Financial Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the quarterly report on Form 10-Q of WireCo WorldGroup Inc. for the period ended September 30, 2015, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Christopher L. Ayers, President and Chief Executive Officer, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

1 The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

2 The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of WireCo WorldGroup (Cayman) Inc.

November 10, 2015	/s/ Christopher L. Ayers
	Christopher L. Ayers, President and Chief Executive Officer (Principal Executive Officer)

EX-32.2

Exhibit 32.2

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the quarterly report on Form 10-Q of WireCo WorldGroup Inc. for the period ended September 30, 2015, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Brian G. Block, Senior Vice President and Chief Financial Officer, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

1 The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

2 The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of WireCo WorldGroup (Cayman) Inc.

November 10, 2015	/s/ Brian G. Block
	Brian G. Block, Senior Vice President and Chief Financial Officer (Principal Financial Officer)

XML

Fair Value Measurements - Long-term Debt (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Jul. 16, 2014	May. 19, 2010
9.00% Senior Notes due 2017
Debt Instrument
Stated Interest Rate of Debt Instrument		9.00%
9.50% Senior Notes due 2017
Debt Instrument
Stated Interest Rate of Debt Instrument			9.50%
Line of Credit | Borrowings under Revolving Loan Facility
Debt Instrument
Carrying Amount of Debt Instrument	$ 54,570
Estimated Fair Value of Debt Instrument	54,570
Secured Debt | Term Loan due 2017
Debt Instrument
Carrying Amount of Debt Instrument	306,050
Estimated Fair Value of Debt Instrument	307,246
Senior Notes | 9.00% Senior Notes due 2017
Debt Instrument
Carrying Amount of Debt Instrument	56,000
Estimated Fair Value of Debt Instrument	49,350
Senior Notes | 9.50% Senior Notes due 2017
Debt Instrument
Carrying Amount of Debt Instrument	425,343
Estimated Fair Value of Debt Instrument	$ 374,000
Stated Interest Rate of Debt Instrument			9.50%

XML

Condensed Consolidating Financial Statements - Condensed Consolidating Statements of Operations and Comprehensive Income (unaudited) (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Condensed Consolidating Statements of Operations and Comphrehensive Income (Loss)
Net sales	$ 171,356	$ 217,076	$ 525,526	$ 654,086
Cost of sales	(130,686)	(170,293)	(402,072)	(493,839)
Gross profit	40,670	46,783	123,454	160,247
Other operating expenses:
Selling expenses	(8,904)	(10,787)	(28,592)	(33,328)
Administrative expenses	(19,117)	(21,499)	(54,875)	(62,971)
Amortization expense	(2,255)	(2,318)	(6,738)	(8,056)
Total other operating expenses	(30,276)	(34,604)	(90,205)	(104,355)
Operating income	10,394	12,179	33,249	55,892
Other income (expense):
Interest income (expense), net	(19,597)	(19,603)	(55,221)	(59,357)
Equity earnings (losses) from subsidiaries	0	0	0	0
Foreign currency exchange gains (losses), net	5,626	(31,816)	(1,341)	(35,131)
Loss on extinguishment of debt		(617)	0	(617)
Other income (expense), net	(169)	125	(397)	703
Total other expense, net	(14,140)	(51,911)	(56,959)	(94,402)
Loss before income taxes	(3,746)	(39,732)	(23,710)	(38,510)
Income tax benefit (expense)	(1,446)	4,540	(595)	1,177
Net loss	(5,192)	(35,192)	(24,305)	(37,333)
Less: Net income attributable to non-controlling interests	2,073	113	1,827	527
Net loss attributable to WireCo WorldGroup (Cayman) Inc.	(7,265)	(35,305)	(26,132)	(37,860)
Comprehensive income (loss)	(16,441)	(48,115)	(54,845)	(54,562)
Elimination Adjustments
Condensed Consolidating Statements of Operations and Comphrehensive Income (Loss)
Net sales	(22,473)	(35,659)	(72,813)	(99,029)
Cost of sales	22,981	35,741	73,239	99,696
Gross profit	508	82	426	667
Other operating expenses:
Selling expenses	0	0	0	0
Administrative expenses	0	585	0	342
Amortization expense	0	0	0	0
Total other operating expenses	0	585	0	342
Operating income	508	667	426	1,009
Other income (expense):
Interest income (expense), net	0	0	0	0
Equity earnings (losses) from subsidiaries	43,092	39,832	49,779	45,414
Foreign currency exchange gains (losses), net	0	0	0	0
Loss on extinguishment of debt		0		0
Other income (expense), net	(14,250)	0	(14,250)	0
Total other expense, net	28,842	39,832	35,529	45,414
Loss before income taxes	29,350	40,499	35,955	46,423
Income tax benefit (expense)	0	0	0	0
Net loss	29,350	40,499	35,955	46,423
Less: Net income attributable to non-controlling interests	0	0	0	0
Net loss attributable to WireCo WorldGroup (Cayman) Inc.	29,350	40,499	35,955	46,423
Comprehensive income (loss)	29,350	58,349	35,955	69,844
WireCo WorldGroup (Cayman) Inc. (Parent)
Condensed Consolidating Statements of Operations and Comphrehensive Income (Loss)
Net sales	0	0	0	0
Cost of sales	0	0	0	0
Gross profit	0	0	0	0
Other operating expenses:
Selling expenses	0	0	0	0
Administrative expenses	(229)	(199)	(842)	(495)
Amortization expense	0	0	0	0
Total other operating expenses	(229)	(199)	(842)	(495)
Operating income	(229)	(199)	(842)	(495)
Other income (expense):
Interest income (expense), net	6	(103)	(198)	(307)
Equity earnings (losses) from subsidiaries	(21,174)	(35,003)	(39,223)	(37,058)
Foreign currency exchange gains (losses), net	(118)	0	(119)	0
Loss on extinguishment of debt		0		0
Other income (expense), net	14,250	0	14,250	0
Total other expense, net	(7,036)	(35,106)	(25,290)	(37,365)
Loss before income taxes	(7,265)	(35,305)	(26,132)	(37,860)
Income tax benefit (expense)	0	0	0	0
Net loss	(7,265)	(35,305)	(26,132)	(37,860)
Less: Net income attributable to non-controlling interests	0	0	0	0
Net loss attributable to WireCo WorldGroup (Cayman) Inc.	(7,265)	(35,305)	(26,132)	(37,860)
Comprehensive income (loss)	(16,441)	(48,115)	(54,845)	(54,562)
WireCo WorldGroup Inc. (Issuer)
Condensed Consolidating Statements of Operations and Comphrehensive Income (Loss)
Net sales	49,367	74,566	156,029	221,559
Cost of sales	(40,268)	(64,889)	(125,631)	(178,369)
Gross profit	9,099	9,677	30,398	43,190
Other operating expenses:
Selling expenses	(2,600)	(3,040)	(8,523)	(8,954)
Administrative expenses	(8,861)	(14,248)	(28,678)	(39,253)
Amortization expense	(757)	(757)	(2,272)	(1,981)
Total other operating expenses	(12,218)	(18,045)	(39,473)	(50,188)
Operating income	(3,119)	(8,368)	(9,075)	(6,998)
Other income (expense):
Interest income (expense), net	(11,181)	(10,660)	(29,916)	(32,808)
Equity earnings (losses) from subsidiaries	0	0	0	0
Foreign currency exchange gains (losses), net	(731)	1,734	23,218	1,836
Loss on extinguishment of debt		(617)		(617)
Other income (expense), net	(16)	(198)	(143)	(570)
Total other expense, net	(11,928)	(9,741)	(6,841)	(32,159)
Loss before income taxes	(15,047)	(18,109)	(15,916)	(39,157)
Income tax benefit (expense)	(399)	(1,117)	(531)	(1,144)
Net loss	(15,446)	(19,226)	(16,447)	(40,301)
Less: Net income attributable to non-controlling interests	0	0	0	0
Net loss attributable to WireCo WorldGroup (Cayman) Inc.	(15,446)	(19,226)	(16,447)	(40,301)
Comprehensive income (loss)	(15,446)	(19,226)	(16,447)	(40,301)
Guarantor Subsidiaries
Condensed Consolidating Statements of Operations and Comphrehensive Income (Loss)
Net sales	102,777	130,647	328,564	389,617
Cost of sales	(79,840)	(103,742)	(258,832)	(306,605)
Gross profit	22,937	26,905	69,732	83,012
Other operating expenses:
Selling expenses	(3,564)	(4,859)	(11,716)	(15,210)
Administrative expenses	(7,974)	(6,813)	(20,703)	(20,034)
Amortization expense	(1,210)	(1,179)	(3,590)	(5,121)
Total other operating expenses	(12,748)	(12,851)	(36,009)	(40,365)
Operating income	10,189	14,054	33,723	42,647
Other income (expense):
Interest income (expense), net	(9,528)	(10,301)	(29,108)	(30,636)
Equity earnings (losses) from subsidiaries	(21,985)	(5,812)	(11,289)	(10,620)
Foreign currency exchange gains (losses), net	(524)	(39,856)	(37,206)	(44,281)
Loss on extinguishment of debt		0		0
Other income (expense), net	(164)	301	(273)	1,223
Total other expense, net	(32,201)	(55,668)	(77,876)	(84,314)
Loss before income taxes	(22,012)	(41,614)	(44,153)	(41,667)
Income tax benefit (expense)	(981)	(1,559)	(2,036)	(1,637)
Net loss	(22,993)	(43,173)	(46,189)	(43,304)
Less: Net income attributable to non-controlling interests	(488)	(618)	(537)	(1,324)
Net loss attributable to WireCo WorldGroup (Cayman) Inc.	(22,505)	(42,555)	(45,652)	(41,980)
Comprehensive income (loss)	(34,242)	(56,096)	(76,729)	(60,533)
Non-Guarantor Subsidiaries
Condensed Consolidating Statements of Operations and Comphrehensive Income (Loss)
Net sales	41,685	47,522	113,746	141,939
Cost of sales	(33,559)	(37,403)	(90,848)	(108,561)
Gross profit	8,126	10,119	22,898	33,378
Other operating expenses:
Selling expenses	(2,740)	(2,888)	(8,353)	(9,164)
Administrative expenses	(2,053)	(824)	(4,652)	(3,531)
Amortization expense	(288)	(382)	(876)	(954)
Total other operating expenses	(5,081)	(4,094)	(13,881)	(13,649)
Operating income	3,045	6,025	9,017	19,729
Other income (expense):
Interest income (expense), net	1,106	1,461	4,001	4,394
Equity earnings (losses) from subsidiaries	67	983	733	2,264
Foreign currency exchange gains (losses), net	6,999	6,306	12,766	7,314
Loss on extinguishment of debt		0		0
Other income (expense), net	11	22	19	50
Total other expense, net	8,183	8,772	17,519	14,022
Loss before income taxes	11,228	14,797	26,536	33,751
Income tax benefit (expense)	(66)	7,216	1,972	3,958
Net loss	11,162	22,013	28,508	37,709
Less: Net income attributable to non-controlling interests	2,561	731	2,364	1,851
Net loss attributable to WireCo WorldGroup (Cayman) Inc.	8,601	21,282	26,144	35,858
Comprehensive income (loss)	$ 20,338	$ 16,973	$ 57,221	$ 30,990

XML

Condensed Consolidating Financial Statements - Narrative (Details)	9 Months Ended
	Sep. 30, 2015	May. 19, 2010
Debt Instrument
Percentage Of Common Stock Voting Rights	100.00%
9.50% Senior Notes due 2017
Debt Instrument
Stated Interest Rate of Debt Instrument		9.50%
Senior Notes | 9.50% Senior Notes due 2017
Debt Instrument
Stated Interest Rate of Debt Instrument		9.50%

XML

Intangible Assets and Goodwill -Indefinite-Lived Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Trade names
Indefinite-lived Intangible Assets [Line Items]
Indefinite-Lived Intangible Assets	$ 70,754	$ 76,451

XML

Share-based Compensation (Tables)

9 Months Ended

Sep. 30, 2015

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Schedule of Stock Option Activity

Changes in the Company's outstanding service-based stock option awards since December 31, 2014 were as follows:

Options	Number of options	Weighted average exercise price		Weighted average remaining contractual term (years)
Outstanding at December 31, 2014	513,491	$	172.76
Granted	10,000	194.69
Exercised	—	—
Expired	—	—
Other	—	—
Outstanding at September 30, 2015	523,491	$	173.18	4.30
Vested and expected to vest as of September 30, 2015	523,491	173.18		4.30
Exercisable at September 30, 2015	417,458	150.61		3.33

Schedule of Stock Options Valuation Assumptions

The fair value of the service-based stock option awards granted during 2015 were estimated on the date of grant using the Black-Scholes option-pricing model that uses the assumptions noted in the following table.

	2015
Expected volatility (1)	35.51%
Risk-free interest rate (2)	1.80%
Expected term of the option (years) (3)	6.50
Expected dividend yield	—%
Grant-date fair value	$75.43

⁽¹⁾  Based on the average historical volatility of similar entities with publicly traded shares since the Company's shares are privately held.

⁽²⁾  Based on the U.S. Treasury interest rate whose term is consistent with the expected term of the stock options.

⁽³⁾  Based on the expected term considering vesting and contractual terms.

XML

Income Taxes (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Income Tax Disclosure [Abstract]
Effective Income Tax Rate	(38.60%)	11.40%	(2.50%)	3.10%

XML

Derivative Financial Instruments (Details) € in Thousands, $ in Thousands		3 Months Ended	9 Months Ended
	May. 13, 2015 USD ($)	Sep. 30, 2015 USD ($) € / $	Sep. 30, 2015 USD ($) € / $	Sep. 30, 2014 USD ($) € / $	Sep. 30, 2015 EUR (€) € / $	Mar. 31, 2015 USD ($) € / $	Sep. 30, 2014 EUR (€) € / $
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Foreign Currency Transaction Gain (Loss), Unrealized			$ (22,137)	$ (35,722)
Cross-currency swaps
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Derivative Asset, Notional Amount		$ 125,000	$ 125,000	$ 300,000
Foreign currency exchange rate translation (in euro per USD) | € / $		0.9125	0.9125	0.7820	0.9125		0.7820
Derivative Liability, Notional Amount | €					€ 114,062		€ 234,597
Derivative, average fixed interest rate		8.94%	8.94%	8.79%	8.94%		8.79%
Derivative, fixed interest rate				9.50%			9.50%
Derivative settlement		$ 2,773	$ 2,773
Cross-currency swaps | Foreign currency exchange gains (losses)
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Foreign Currency Transaction Gain (Loss), Unrealized		$ (221)	$ 23,428
Foreign exchange forward contract
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Foreign currency exchange rate translation (in euro per USD) | € / $						0.9700
Derivative notional amount						$ 3,093
Foreign exchange forward contract | Foreign currency exchange gains (losses)
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Foreign Currency Transaction Gain (Loss), Realized	$ 253

XML

Condensed Consolidating Financial Statements - Condensed Consolidating Balance Sheets (unaudited) (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014	Sep. 30, 2014	Dec. 31, 2013
Current assets:
Cash and cash equivalents	$ 34,607	$ 58,195	$ 41,718	$ 34,987
Restricted cash	1,584	1,565
Accounts receivable, net	134,297	143,068
Intercompany accounts receivable	0	0
Other receivables	4,200	2,305
Inventories, net	192,211	225,075
Current deferred income tax assets	3,197	3,867
Prepaid expenses and other current assets	9,461	12,976
Total current assets	379,557	447,051
Long-term intercompany notes receivable	0	0
Property, plant and equipment, net	291,170	319,198
Intangible assets, net	110,234	125,578
Goodwill	182,978	188,925
Investments in subsidiaries	0	0
Deferred financing fees, net	10,924	15,425
Non-current deferred income tax assets	969	1,123
Derivative assets	42,931	16,133
Other non-current assets	9,951	11,418
Total assets	1,028,714	1,124,851
Current liabilities:
Current maturities of long-term debt	3,318	19,113
Interest payable	17,960	6,322
Accounts payable	66,738	98,914
Accrued compensation and benefits	18,932	19,117
Intercompany accounts payable	0	0
Current deferred income tax liabilities	938	311
Other current liabilities	28,147	20,173
Total current liabilities	136,033	163,950
Long-term debt, excluding current maturities	838,645	854,042
Long-term intercompany notes payable	0	0
Non-current deferred income tax liabilities	42,393	46,735
Other non-current liabilities	16,446	15,861
Total liabilities	1,033,517	1,080,588
Stockholders’ equity:
Total stockholders’ equity attributable to WireCo WorldGroup (Cayman) Inc.	(6,111)	44,234
Non-controlling interests	1,308	29
Total stockholders’ equity	(4,803)	44,263
Total liabilities and stockholders’ equity	1,028,714	1,124,851
Elimination Adjustments
Current assets:
Cash and cash equivalents	0	0	0	0
Restricted cash	0	0
Accounts receivable, net	0	0
Intercompany accounts receivable	(132,563)	(165,644)
Other receivables	0	0
Inventories, net	0	0
Current deferred income tax assets	0	0
Prepaid expenses and other current assets	0	0
Total current assets	(132,563)	(165,644)
Long-term intercompany notes receivable	(560,992)	(602,070)
Property, plant and equipment, net	0	0
Intangible assets, net	0	0
Goodwill	0	0
Investments in subsidiaries	(82,436)	(162,238)
Deferred financing fees, net	0	0
Non-current deferred income tax assets	0	0
Derivative assets	0	0
Other non-current assets	0	0
Total assets	(775,991)	(929,952)
Current liabilities:
Current maturities of long-term debt	0	0
Interest payable	0	0
Accounts payable	0	0
Accrued compensation and benefits	0	0
Intercompany accounts payable	(132,705)	(165,558)
Current deferred income tax liabilities	0	0
Other current liabilities	0	0
Total current liabilities	(132,705)	(165,558)
Long-term debt, excluding current maturities	0	0
Long-term intercompany notes payable	(560,966)	(602,050)
Non-current deferred income tax liabilities	0	0
Other non-current liabilities	0	0
Total liabilities	(693,671)	(767,608)
Stockholders’ equity:
Total stockholders’ equity attributable to WireCo WorldGroup (Cayman) Inc.	(82,320)	(162,340)
Non-controlling interests	0	(4)
Total stockholders’ equity	(82,320)	(162,344)
Total liabilities and stockholders’ equity	(775,991)	(929,952)
WireCo WorldGroup (Cayman) Inc. (Parent)
Current assets:
Cash and cash equivalents	23	24	25	53
Restricted cash	0	0
Accounts receivable, net	0	0
Intercompany accounts receivable	(311)	27,454
Other receivables	0	0
Inventories, net	0	0
Current deferred income tax assets	0	0
Prepaid expenses and other current assets	0	0
Total current assets	(288)	27,478
Long-term intercompany notes receivable	0	0
Property, plant and equipment, net	0	0
Intangible assets, net	0	0
Goodwill	0	0
Investments in subsidiaries	(44,189)	25,057
Deferred financing fees, net	0	0
Non-current deferred income tax assets	0	0
Derivative assets	42,931	0
Other non-current assets	0	0
Total assets	(1,546)	52,535
Current liabilities:
Current maturities of long-term debt	0	0
Interest payable	0	0
Accounts payable	0	0
Accrued compensation and benefits	0	0
Intercompany accounts payable	905	1,572
Current deferred income tax liabilities	0	0
Other current liabilities	230	0
Total current liabilities	1,135	1,572
Long-term debt, excluding current maturities	0	0
Long-term intercompany notes payable	0	6,700
Non-current deferred income tax liabilities	0	0
Other non-current liabilities	3,430	0
Total liabilities	4,565	8,272
Stockholders’ equity:
Total stockholders’ equity attributable to WireCo WorldGroup (Cayman) Inc.	(6,111)	44,234
Non-controlling interests	0	29
Total stockholders’ equity	(6,111)	44,263
Total liabilities and stockholders’ equity	(1,546)	52,535
WireCo WorldGroup Inc. (Issuer)
Current assets:
Cash and cash equivalents	3,972	4,178	6,216	2,564
Restricted cash	0	0
Accounts receivable, net	29,858	45,159
Intercompany accounts receivable	67,379	64,043
Other receivables	686	0
Inventories, net	66,477	71,924
Current deferred income tax assets	1,384	1,384
Prepaid expenses and other current assets	3,674	2,935
Total current assets	173,430	189,623
Long-term intercompany notes receivable	432,956	467,127
Property, plant and equipment, net	52,355	54,302
Intangible assets, net	31,781	34,052
Goodwill	116,842	116,842
Investments in subsidiaries	0	0
Deferred financing fees, net	10,924	15,425
Non-current deferred income tax assets	0	0
Derivative assets	0	16,133
Other non-current assets	251	207
Total assets	818,539	893,711
Current liabilities:
Current maturities of long-term debt	3,318	19,098
Interest payable	17,826	6,038
Accounts payable	11,994	23,830
Accrued compensation and benefits	5,304	5,009
Intercompany accounts payable	43,203	75,197
Current deferred income tax liabilities	0	0
Other current liabilities	5,807	2,927
Total current liabilities	87,452	132,099
Long-term debt, excluding current maturities	838,645	853,899
Long-term intercompany notes payable	0	0
Non-current deferred income tax liabilities	11,949	11,949
Other non-current liabilities	481	414
Total liabilities	938,527	998,361
Stockholders’ equity:
Total stockholders’ equity attributable to WireCo WorldGroup (Cayman) Inc.	(119,988)	(104,650)
Non-controlling interests	0	0
Total stockholders’ equity	(119,988)	(104,650)
Total liabilities and stockholders’ equity	818,539	893,711
Guarantor Subsidiaries
Current assets:
Cash and cash equivalents	17,898	35,792	17,394	11,798
Restricted cash	317	656
Accounts receivable, net	72,749	69,645
Intercompany accounts receivable	39,662	55,654
Other receivables	2,522	1,914
Inventories, net	95,085	122,025
Current deferred income tax assets	1,696	1,902
Prepaid expenses and other current assets	3,963	6,378
Total current assets	233,892	293,966
Long-term intercompany notes receivable	18,597	22,461
Property, plant and equipment, net	196,958	220,675
Intangible assets, net	60,219	70,186
Goodwill	47,672	50,906
Investments in subsidiaries	118,233	129,522
Deferred financing fees, net	0	0
Non-current deferred income tax assets	969	1,123
Derivative assets	0	0
Other non-current assets	9,692	11,202
Total assets	686,232	800,041
Current liabilities:
Current maturities of long-term debt	0	6
Interest payable	36	131
Accounts payable	40,553	62,158
Accrued compensation and benefits	10,806	10,558
Intercompany accounts payable	77,675	74,251
Current deferred income tax liabilities	311	311
Other current liabilities	15,946	12,940
Total current liabilities	145,327	160,355
Long-term debt, excluding current maturities	0	143
Long-term intercompany notes payable	532,521	564,740
Non-current deferred income tax liabilities	22,945	25,084
Other non-current liabilities	11,194	13,825
Total liabilities	711,987	764,147
Stockholders’ equity:
Total stockholders’ equity attributable to WireCo WorldGroup (Cayman) Inc.	(21,682)	39,399
Non-controlling interests	(4,073)	(3,505)
Total stockholders’ equity	(25,755)	35,894
Total liabilities and stockholders’ equity	686,232	800,041
Non-Guarantor Subsidiaries
Current assets:
Cash and cash equivalents	12,714	18,201	$ 18,083	$ 20,572
Restricted cash	1,267	909
Accounts receivable, net	31,690	28,264
Intercompany accounts receivable	25,833	18,493
Other receivables	992	391
Inventories, net	30,649	31,126
Current deferred income tax assets	117	581
Prepaid expenses and other current assets	1,824	3,663
Total current assets	105,086	101,628
Long-term intercompany notes receivable	109,439	112,482
Property, plant and equipment, net	41,857	44,221
Intangible assets, net	18,234	21,340
Goodwill	18,464	21,177
Investments in subsidiaries	8,392	7,659
Deferred financing fees, net	0	0
Non-current deferred income tax assets	0	0
Derivative assets	0	0
Other non-current assets	8	9
Total assets	301,480	308,516
Current liabilities:
Current maturities of long-term debt	0	9
Interest payable	98	153
Accounts payable	14,191	12,926
Accrued compensation and benefits	2,822	3,550
Intercompany accounts payable	10,922	14,538
Current deferred income tax liabilities	627	0
Other current liabilities	6,164	4,306
Total current liabilities	34,824	35,482
Long-term debt, excluding current maturities	0	0
Long-term intercompany notes payable	28,445	30,610
Non-current deferred income tax liabilities	7,499	9,702
Other non-current liabilities	1,341	1,622
Total liabilities	72,109	77,416
Stockholders’ equity:
Total stockholders’ equity attributable to WireCo WorldGroup (Cayman) Inc.	223,990	227,591
Non-controlling interests	5,381	3,509
Total stockholders’ equity	229,371	231,100
Total liabilities and stockholders’ equity	$ 301,480	$ 308,516

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Intangible Assets and Goodwill

9 Months Ended

Sep. 30, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets and Goodwill

(3) Intangible Assets and Goodwill

The components of finite-lived intangible assets were as follows as of the dates indicated:

	September 30, 2015							December 31, 2014
	Gross carrying amount		Accumulated amortization			Net carrying amount		Gross carrying amount		Accumulated amortization			Net carrying amount
Finite-lived assets
Customer relationships	$	118,618	$	(89,493	)	$	29,125	$	124,856	$	(87,406	)	$	37,450
Patented and unpatented technology	21,534		(11,179		)	10,355		22,216		(10,539		)	11,677
Other	6,283		(6,283		)	—		6,505		(6,505		)	—
Total finite-lived intangible assets	$	146,435	$	(106,955	)	$	39,480	$	153,577	$	(104,450	)	$	49,127

Using the exchange rates in effect at period end, estimated amortization of finite-lived intangible assets as of September 30, 2015 was as follows:

Remainder of 2015	$	2,178
2016	8,633
2017	7,085
2018	3,509
2019	3,270
Thereafter	14,805
Total	$	39,480

Intangible assets with indefinite lives are not amortized. The carrying values of trade names as of September 30, 2015 and December 31, 2014 were $70,754 and $76,451, respectively.

The change in the carrying value of goodwill was as follows as of the dates indicated:

December 31, 2014	$	188,925
Foreign currency translation	(5,947		)
September 30, 2015	$	182,978

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Related Party Transactions (Details) - USD ($) $ in Thousands	3 Months Ended				9 Months Ended
	Sep. 30, 2015	Mar. 31, 2015	Sep. 30, 2014	Mar. 31, 2014	Sep. 30, 2015	Sep. 30, 2014
Paine & Partners | Management Fee
Related Party Transaction
Payment for Annual Management Fee		$ 3,112		$ 3,042
Management fee expense recognized during period	$ 778		$ 761		$ 2,334	$ 2,282
Spain Joint Venture
Related Party Transaction
Revenue from related party	378		139		824	585
Greece Joint Venture
Related Party Transaction
Purchases from related party	$ 449		$ 1,293		$ 1,773	$ 3,816

XML

Interim Financial Statement Presentation Out-of-Period Error (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2015 USD ($)
Increase in foreign currency exchange gain due to incorrect functional currency | Foreign currency exchange gain
Quantifying Misstatement in Current Year Financial Statements [Line Items]
Misstatement amount in current period financial statements	$ 3,051

XML

Condensed Consolidating Financial Statements (Tables)

9 Months Ended

Sep. 30, 2015

Condensed Consolidating Financial Statements [Abstract]

Condensed Consolidating Balance Sheets

Condensed Consolidating Balance Sheets

	September 30, 2015
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Elimination Adjustments			Consolidated
Assets
Current assets:
Cash and cash equivalents	$	23		$	3,972	$	17,898	$	12,714	$	—		$	34,607
Restricted cash	—			—		317		1,267		—			1,584
Accounts receivable, net	—			29,858		72,749		31,690		—			134,297
Intercompany accounts receivable	(311		)	67,379		39,662		25,833		(132,563		)	—
Other receivables	—			686		2,522		992		—			4,200
Inventories, net	—			66,477		95,085		30,649		—			192,211
Current deferred income tax assets	—			1,384		1,696		117		—			3,197
Prepaid expenses and other current assets	—			3,674		3,963		1,824		—			9,461
Total current assets	$	(288	)	$	173,430	$	233,892	$	105,086	$	(132,563	)	$	379,557
Long-term intercompany notes receivable	—			432,956		18,597		109,439		(560,992		)	—
Property, plant and equipment, net	—			52,355		196,958		41,857		—			291,170
Intangible assets, net	—			31,781		60,219		18,234		—			110,234
Goodwill	—			116,842		47,672		18,464		—			182,978
Investments in subsidiaries	(44,189		)	—		118,233		8,392		(82,436		)	—
Deferred financing fees, net	—			10,924		—		—		—			10,924
Non-current deferred income tax assets	—			—		969		—		—			969
Derivative assets	42,931			—		—		—		—			42,931
Other non-current assets	—			251		9,692		8		—			9,951
Total assets	$	(1,546	)	$	818,539	$	686,232	$	301,480	$	(775,991	)	$	1,028,714
Liabilities and Stockholders’ Equity
Current liabilities:
Current maturities of long-term debt	$	—		$	3,318	$	—	$	—	$	—		$	3,318
Interest payable	—			17,826		36		98		—			17,960
Accounts payable	—			11,994		40,553		14,191		—			66,738
Accrued compensation and benefits	—			5,304		10,806		2,822		—			18,932
Intercompany accounts payable	905			43,203		77,675		10,922		(132,705		)	—
Current deferred income tax liabilities	—			—		311		627		—			938
Other current liabilities	230			5,807		15,946		6,164		—			28,147
Total current liabilities	$	1,135		$	87,452	$	145,327	$	34,824	$	(132,705	)	$	136,033

Long-term debt, excluding current maturities	—			838,645			—			—		—			838,645
Long-term intercompany notes payable	—			—			532,521			28,445		(560,966		)	—
Non-current deferred income tax liabilities	—			11,949			22,945			7,499		—			42,393
Other non-current liabilities	3,430			481			11,194			1,341		—			16,446
Total liabilities	$	4,565		$	938,527		$	711,987		$	72,109	$	(693,671	)	$	1,033,517
Stockholders’ equity:
Total stockholders’ equity attributable to WireCo WorldGroup (Cayman) Inc.	(6,111		)	(119,988		)	(21,682		)	223,990		(82,320		)	(6,111		)
Non-controlling interests	—			—			(4,073		)	5,381		—			1,308
Total stockholders’ equity	$	(6,111	)	$	(119,988	)	$	(25,755	)	$	229,371	$	(82,320	)	$	(4,803	)
Total liabilities and stockholders’ equity	$	(1,546	)	$	818,539		$	686,232		$	301,480	$	(775,991	)	$	1,028,714

	December 31, 2014
	WireCo WorldGroup (Cayman) Inc. (Parent)		WireCo WorldGroup Inc. (Issuer)		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Elimination Adjustments			Consolidated
Assets
Current assets:
Cash and cash equivalents	$	24	$	4,178	$	35,792	$	18,201	$	—		$	58,195
Restricted cash	—		—		656		909		—			1,565
Accounts receivable, net	—		45,159		69,645		28,264		—			143,068
Intercompany accounts receivable	27,454		64,043		55,654		18,493		(165,644		)	—
Other receivables	—		—		1,914		391		—			2,305
Inventories, net	—		71,924		122,025		31,126		—			225,075
Current deferred income tax assets	—		1,384		1,902		581		—			3,867
Prepaid expenses and other current assets	—		2,935		6,378		3,663		—			12,976
Total current assets	$	27,478	$	189,623	$	293,966	$	101,628	$	(165,644	)	$	447,051
Long-term intercompany notes receivable	—		467,127		22,461		112,482		(602,070		)	—
Property, plant and equipment, net	—		54,302		220,675		44,221		—			319,198
Intangible assets, net	—		34,052		70,186		21,340		—			125,578
Goodwill	—		116,842		50,906		21,177		—			188,925
Investment in subsidiaries	25,057		—		129,522		7,659		(162,238		)	—
Deferred financing fees, net	—		15,425		—		—		—			15,425
Non-current deferred income tax assets	—		—		1,123		—		—			1,123
Derivative assets	—		16,133		—		—		—			16,133
Other non-current assets	—		207		11,202		9		—			11,418
Total assets	$	52,535	$	893,711	$	800,041	$	308,516	$	(929,952	)	$	1,124,851
Liabilities and Stockholders’ Equity
Current liabilities:
Current maturities of long-term debt	$	—	$	19,098	$	6	$	9	$	—		$	19,113
Interest payable	—		6,038		131		153		—			6,322
Accounts payable	—		23,830		62,158		12,926		—			98,914
Accrued compensation and benefits	—		5,009		10,558		3,550		—			19,117
Intercompany accounts payable	1,572		75,197		74,251		14,538		(165,558		)	—
Current deferred income tax liabilities	—		—		311		—		—			311
Other current liabilities	—		2,927		12,940		4,306		—			20,173
Total current liabilities	$	1,572	$	132,099	$	160,355	$	35,482	$	(165,558	)	$	163,950
Long-term debt, excluding current maturities	—		853,899		143		—		—			854,042

Long-term intercompany notes payable	6,700		—			564,740			30,610		(602,050		)	—
Non-current deferred income tax liabilities	—		11,949			25,084			9,702		—			46,735
Other non-current liabilities	—		414			13,825			1,622		—			15,861
Total liabilities	$	8,272	$	998,361		$	764,147		$	77,416	$	(767,608	)	$	1,080,588
Stockholders’ equity:
Total stockholders’ equity attributable to WireCo WorldGroup (Cayman) Inc.	44,234		(104,650		)	39,399			227,591		(162,340		)	44,234
Non-controlling interests	29		—			(3,505		)	3,509		(4		)	29
Total stockholders’ equity	$	44,263	$	(104,650	)	$	35,894		$	231,100	$	(162,344	)	$	44,263
Total liabilities and stockholders’ equity	$	52,535	$	893,711		$	800,041		$	308,516	$	(929,952	)	$	1,124,851

Condensed Consolidating Statements of Operations and Comprehensive Income (Loss)

Condensed Consolidating Statements of Operations and Comprehensive Income (Loss)

	Three months ended September 30, 2015
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net sales	$	—		$	49,367		$	102,777		$	41,685		$	(22,473	)	$	171,356
Cost of sales	—			(40,268		)	(79,840		)	(33,559		)	22,981			(130,686		)
Gross profit	—			9,099			22,937			8,126			508			40,670
Other operating expenses:
Selling expenses	—			(2,600		)	(3,564		)	(2,740		)	—			(8,904		)
Administrative expenses	(229		)	(8,861		)	(7,974		)	(2,053		)	—			(19,117		)
Amortization expense	—			(757		)	(1,210		)	(288		)	—			(2,255		)
Total other operating expenses	(229		)	(12,218		)	(12,748		)	(5,081		)	—			(30,276		)
Operating income (loss)	(229		)	(3,119		)	10,189			3,045			508			10,394
Other income (expense):
Interest income (expense), net	6			(11,181		)	(9,528		)	1,106			—			(19,597		)
Equity income (loss) from subsidiaries	(21,174		)	—			(21,985		)	67			43,092			—
Foreign currency exchange gains (losses), net	(118		)	(731		)	(524		)	6,999			—			5,626
Other income (expense), net	14,250			(16		)	(164		)	11			(14,250		)	(169		)
Total other income (expense), net	(7,036		)	(11,928		)	(32,201		)	8,183			28,842			(14,140		)
Income (loss) before income taxes	(7,265		)	(15,047		)	(22,012		)	11,228			29,350			(3,746		)
Income tax expense	—			(399		)	(981		)	(66		)	—			(1,446		)
Net income (loss)	(7,265		)	(15,446		)	(22,993		)	11,162			29,350			(5,192		)
Less: Net income (loss) attributable to non-controlling interests	—			—			(488		)	2,561			—			2,073
Net income (loss) attributable to WireCo WorldGroup (Cayman) Inc.	(7,265		)	(15,446		)	(22,505		)	8,601			29,350			(7,265		)
Comprehensive income (loss)	$	(16,441	)	$	(15,446	)	$	(34,242	)	$	20,338		$	29,350		$	(16,441	)

	Three months ended September 30, 2014
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net sales	$	—		$	74,566		$	130,647		$	47,522		$	(35,659	)	$	217,076
Cost of sales	—			(64,889		)	(103,742		)	(37,403		)	35,741			(170,293		)
Gross profit	—			9,677			26,905			10,119			82			46,783
Other operating expenses:
Selling expenses	—			(3,040		)	(4,859		)	(2,888		)	—			(10,787		)
Administrative expenses	(199		)	(14,248		)	(6,813		)	(824		)	585			(21,499		)
Amortization expense	—			(757		)	(1,179		)	(382		)	—			(2,318		)
Total other operating expenses	(199		)	(18,045		)	(12,851		)	(4,094		)	585			(34,604		)
Operating income (loss)	(199		)	(8,368		)	14,054			6,025			667			12,179
Other income (expense):
Interest income (expense), net	(103		)	(10,660		)	(10,301		)	1,461			—			(19,603		)
Equity income (loss) from subsidiaries	(35,003		)	—			(5,812		)	983			39,832			—
Foreign currency exchange gains (losses), net	—			1,734			(39,856		)	6,306			—			(31,816		)
Loss on extinguishment of debt	—			(617		)	—			—			—			(617		)
Other income (expense), net	—			(198		)	301			22			—			125
Total other income (expense), net	(35,106		)	(9,741		)	(55,668		)	8,772			39,832			(51,911		)
Income (loss) before income taxes	(35,305		)	(18,109		)	(41,614		)	14,797			40,499			(39,732		)
Income tax benefit (expense)	—			(1,117		)	(1,559		)	7,216			—			4,540
Net income (loss)	(35,305		)	(19,226		)	(43,173		)	22,013			40,499			(35,192		)
Less: Net income (loss) attributable to non-controlling interests	—			—			(618		)	731			—			113
Net income (loss) attributable to WireCo WorldGroup (Cayman) Inc.	(35,305		)	(19,226		)	(42,555		)	21,282			40,499			(35,305		)
Comprehensive income (loss)	$	(48,115	)	$	(19,226	)	$	(56,096	)	$	16,973		$	58,349		$	(48,115	)

	Nine months ended September 30, 2015
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net sales	$	—		$	156,029		$	328,564		$	113,746		$	(72,813	)	$	525,526
Cost of sales	—			(125,631		)	(258,832		)	(90,848		)	73,239			(402,072		)
Gross profit	—			30,398			69,732			22,898			426			123,454
Other operating expenses:
Selling expenses	—			(8,523		)	(11,716		)	(8,353		)	—			(28,592		)
Administrative expenses	(842		)	(28,678		)	(20,703		)	(4,652		)	—			(54,875		)
Amortization expense	—			(2,272		)	(3,590		)	(876		)	—			(6,738		)
Total other operating expenses	(842		)	(39,473		)	(36,009		)	(13,881		)	—			(90,205		)
Operating income (loss)	(842		)	(9,075		)	33,723			9,017			426			33,249
Other income (expense):
Interest income (expense), net	(198		)	(29,916		)	(29,108		)	4,001			—			(55,221		)
Equity income (loss) from subsidiaries	(39,223		)	—			(11,289		)	733			49,779			—
Foreign currency exchange gains (losses), net	(119		)	23,218			(37,206		)	12,766			—			(1,341		)
Other income (expense), net	14,250			(143		)	(273		)	19			(14,250		)	(397		)
Total other income (expense), net	(25,290		)	(6,841		)	(77,876		)	17,519			35,529			(56,959		)
Income (loss) before income taxes	(26,132		)	(15,916		)	(44,153		)	26,536			35,955			(23,710		)
Income tax benefit (expense)	—			(531		)	(2,036		)	1,972			—			(595		)
Net income (loss)	(26,132		)	(16,447		)	(46,189		)	28,508			35,955			(24,305		)
Less: Net income (loss) attributable to non-controlling interests	—			—			(537		)	2,364			—			1,827
Net income (loss) attributable to WireCo WorldGroup (Cayman) Inc.	(26,132		)	(16,447		)	(45,652		)	26,144			35,955			(26,132		)
Comprehensive income (loss)	$	(54,845	)	$	(16,447	)	$	(76,729	)	$	57,221		$	35,955		$	(54,845	)

	Nine months ended September 30, 2014
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net sales	$	—		$	221,559		$	389,617		$	141,939		$	(99,029	)	$	654,086
Cost of sales	—			(178,369		)	(306,605		)	(108,561		)	99,696			(493,839		)
Gross profit	—			43,190			83,012			33,378			667			160,247
Other operating expenses:
Selling expenses	—			(8,954		)	(15,210		)	(9,164		)	—			(33,328		)
Administrative expenses	(495		)	(39,253		)	(20,034		)	(3,531		)	342			(62,971		)
Amortization expense	—			(1,981		)	(5,121		)	(954		)	—			(8,056		)
Total other operating expenses	(495		)	(50,188		)	(40,365		)	(13,649		)	342			(104,355		)
Operating income (loss)	(495		)	(6,998		)	42,647			19,729			1,009			55,892
Other income (expense):
Interest income (expense), net	(307		)	(32,808		)	(30,636		)	4,394			—			(59,357		)
Equity income (loss) from subsidiaries	(37,058		)	—			(10,620		)	2,264			45,414			—
Foreign currency exchange gains (losses), net	—			1,836			(44,281		)	7,314			—			(35,131		)
Loss on extinguishment of debt	—			(617		)	—			—			—			(617		)
Other income (expense), net	—			(570		)	1,223			50			—			703
Total other income (expense), net	(37,365		)	(32,159		)	(84,314		)	14,022			45,414			(94,402		)
Income (loss) before income taxes	(37,860		)	(39,157		)	(41,667		)	33,751			46,423			(38,510		)
Income tax benefit (expense)	—			(1,144		)	(1,637		)	3,958			—			1,177
Net income (loss)	(37,860		)	(40,301		)	(43,304		)	37,709			46,423			(37,333		)
Less: Net income (loss) attributable to non-controlling interests	—			—			(1,324		)	1,851			—			527
Net income (loss) attributable to WireCo WorldGroup (Cayman), Inc.	(37,860		)	(40,301		)	(41,980		)	35,858			46,423			(37,860		)
Comprehensive income (loss)	$	(54,562	)	$	(40,301	)	$	(60,533	)	$	30,990		$	69,844		$	(54,562	)

Condensed Consolidating Statements of Cash Flows

Condensed Consolidating Statements of Cash Flows

	Nine months ended September 30, 2015
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net cash provided by (used in) operating activities	$	(14,251	)	$	9,422		$	38,996		$	1,836		$	—		$	36,003
Cash flows from investing activities:
Capital expenditures	—			(5,409		)	(12,288		)	(5,132		)	—			(22,829		)
Repayments from intercompany loans	—			28,144			2,044			—			(30,188		)	—
Intercompany dividends received	14,250			—			—			—			(14,250		)	—
Net cash provided by (used in) investing activities	$	14,250		$	22,735		$	(10,244	)	$	(5,132	)	$	(44,438	)	$	(22,829	)
Cash flows from financing activities:
Principal payments on long-term debt	—			(17,116		)	—			—			—			(17,116		)
Debt issuance costs paid	—			(1,067		)	—			—			—			(1,067		)
Decreases in intercompany notes	—			—			(29,204		)	(984		)	30,188			—
Borrowings under revolving credit agreement	—			55,400			—			—			—			55,400
Repayments under revolving credit agreement	—			(69,580		)	—			—			—			(69,580		)
Intercompany dividends paid	—			—			(14,250		)	—			14,250			—
Net cash used in financing activities	$	—		$	(32,363	)	$	(43,454	)	$	(984	)	$	44,438		$	(32,363	)
Effect of exchange rates on cash and cash equivalents	—			—			(3,192		)	(1,207		)	—			(4,399		)
Decrease in cash and cash equivalents	$	(1	)	$	(206	)	$	(17,894	)	$	(5,487	)	$	—		$	(23,588	)
Cash and cash equivalents, beginning of period	24			4,178			35,792			18,201			—			58,195
Cash and cash equivalents, end of period	$	23		$	3,972		$	17,898		$	12,714		$	—		$	34,607

	Nine months ended September 30, 2014
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net cash provided by (used in) operating activities	$	(256	)	$	(15,394	)	$	51,038		$	13,038		$	—		$	48,426
Cash flows from investing activities:
Capital expenditures	—			(4,198		)	(8,635		)	(3,380		)	—			(16,213		)
Acquisition of business	—			—			—			(4,573		)	—			(4,573		)
Other investing activities	—			—			1,951			—			—			1,951
Repayments from intercompany loans	—			43,713			7,997			819			(52,529		)	—
Investment in subsidiaries	—			—			—			(4,573		)	4,573			—
Net cash provided by (used in) investing activities	$	—		$	39,515		$	1,313		$	(11,707	)	$	(47,956	)	$	(18,835	)
Cash flows from financing activities:
Principal payments on long-term debt	—			(5,621		)	—			—			—			(5,621		)
Retirement of long-term debt	—			(26,500		)	(446		)	—			—			(26,946		)
Borrowings under revolving credit agreement	—			152,350			—			—			—			152,350
Repayments under revolving credit agreement	—			(140,300		)	—			—			—			(140,300		)
Capital contributions received	—			—			—			4,573			(4,573		)	—
Repayments of intercompany loans	—			—			(44,532		)	(7,997		)	52,529			—
Other financing activities	228			(398		)	(267		)	—			—			(437		)
Net cash provided by (used in) financing activities	$	228		$	(20,469	)	$	(45,245	)	$	(3,424	)	$	47,956		$	(20,954	)
Effect of exchange rates on cash and cash equivalents	—			—			(1,510		)	(396		)	—			(1,906		)
Increase (decrease) in cash and cash equivalents	$	(28	)	$	3,652		$	5,596		$	(2,489	)	$	—		$	6,731
Cash and cash equivalents, beginning of period	53			2,564			11,798			20,572			—			34,987
Cash and cash equivalents, end of period	$	25		$	6,216		$	17,394		$	18,083		$	—		$	41,718

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Commitments and Contingencies Commitments (Details) $ in Thousands	3 Months Ended
	Sep. 30, 2015 USD ($)
Commitments and Contingencies [Abstract]
Operating Lease Term (years and months)	10 years 5 months
Operating Lease Commitment	$ 6,700
Accrued Rent	$ 2,406
Gain Contingency, Period of Grant Offered	10 years

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Inventories, net (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Inventory Disclosure [Abstract]
Raw materials, net	$ 69,628	$ 86,669
Work in process, net	8,754	10,487
Finished goods, net	113,829	127,919
Inventories, net	$ 192,211	$ 225,075

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Intangible Assets and Goodwill - Finite-lived Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	$ 146,435	$ 153,577
Accumulated amortization	(106,955)	(104,450)
Net carrying amount	39,480	49,127
Customer relationships
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	118,618	124,856
Accumulated amortization	(89,493)	(87,406)
Net carrying amount	29,125	37,450
Patented and unpatented technology
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	21,534	22,216
Accumulated amortization	(11,179)	(10,539)
Net carrying amount	10,355	11,677
Other
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	6,283	6,505
Accumulated amortization	(6,283)	(6,505)
Net carrying amount	$ 0	$ 0

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Inventories, net

9 Months Ended

Sep. 30, 2015

Inventory Disclosure [Abstract]

Inventories, net

(2) Inventories, net

The major classes of inventories were as follows as of the dates indicated:

	September 30, 2015		December 31, 2014
Raw materials, net	$	69,628	$	86,669
Work in process, net	8,754		10,487
Finished goods, net	113,829		127,919
Inventories, net	$	192,211	$	225,075

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Intangible Assets and Goodwill - Estimated Amortization Expense of Finite-Lived Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Remainder of 2015	$ 2,178
2016	8,633
2017	7,085
2018	3,509
2019	3,270
Thereafter	14,805
Net carrying amount	$ 39,480	$ 49,127

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Share-based Compensation (Details) $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2015 USD ($) $ / shares shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Document Period End Date	Sep. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract]
Total compensation cost not yet recognized, unvested stock options | $	$ 11,232
Number of Shares Available for Grant	19,779
Employee Stock Option
Share-based Compensation Arrangement by Share-based Payment Award, Outstanding Options Roll Forward
Number of outstanding options, beginning balance	513,491
Number of granted options	10,000
Number of exercised options	0
Number of expired options	0
Number of options subject to other activity	0
Number of outstanding options, ending balance	523,491
Number of outstanding options vested and expected to vest	523,491
Number of outstanding options exercisable	417,458
Share-based Compensation Arrangement by Share-based Payment Award, Outstanding Options Weighted Average Exercise Price Roll Forward
Weighted average exercise price of outstanding options, beginning balance | $ / shares	$ 172.76
Weighted average exercise price of options granted | $ / shares	194.69
Weighted average exercise price of options exercised | $ / shares	0.00
Weighted average exercise price of expired options | $ / shares	0.00
Weighted average exercise price of options subject to other activity | $ / shares	0.00
Weighted average exercise price of outstanding options, ending balance | $ / shares	173.18
Weighted average exercise price of outstanding options vested and expected to vest | $ / shares	173.18
Weighted average exercise price of outstanding options exercisable | $ / shares	$ 150.61
Weighted average remaining contractual term of outstanding options	4 years 3 months 18 days
Weighed average remaining contractual term of outstanding options vested and expected to vest	4 years 3 months 18 days
Weighted average remaining contractual term of outstanding options exercisable	3 years 3 months 29 days
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract]
Expected volatility (1)	35.51%
Risk-free interest rate (2)	1.80%
Expected term of the option (years) (3)	6 years 6 months
Expected dividend yield	0.00%
Grant-date fair value | $ / shares	$ 75.43
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition	2 years 5 months 19 days

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Consolidated Balance Sheets (unaudited) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 34,607	$ 58,195
Restricted cash	1,584	1,565
Accounts receivable, less allowance for doubtful accounts of $2,103 and $2,223, at September 30, 2015 and December 31, 2014, respectively	134,297	143,068
Other receivables	4,200	2,305
Inventories, net	192,211	225,075
Current deferred income tax assets	3,197	3,867
Prepaid expenses and other current assets	9,461	12,976
Total current assets	379,557	447,051
Property, plant and equipment, less accumulated depreciation of $192,959 and $181,728, at September 30, 2015 and December 31, 2014, respectively	291,170	319,198
Intangible assets, net	110,234	125,578
Goodwill	182,978	188,925
Deferred financing fees, net	10,924	15,425
Non-current deferred income tax assets	969	1,123
Derivative assets	42,931	16,133
Other non-current assets	9,951	11,418
Total assets	1,028,714	1,124,851
Current liabilities:
Current maturities of long-term debt	3,318	19,113
Interest payable	17,960	6,322
Accounts payable	66,738	98,914
Accrued compensation and benefits	18,932	19,117
Current deferred income tax liabilities	938	311
Other current liabilities	28,147	20,173
Total current liabilities	136,033	163,950
Long-term debt, excluding current maturities	838,645	854,042
Non-current deferred income tax liabilities	42,393	46,735
Other non-current liabilities	16,446	15,861
Total liabilities	$ 1,033,517	$ 1,080,588
Commitments and contingencies
Stockholders’ equity:
Common stock, $0.01 par value. 3,000,000 shares authorized; 2,054,374 and 2,005,205 shares issued and outstanding, respectively at September 30, 2015 and December 31, 2014	$ 21	$ 21
Additional paid-in capital	238,662	232,883
Accumulated other comprehensive loss	(78,571)	(48,579)
Accumulated deficit	(151,758)	(125,626)
Treasury stock, at cost. 49,169 shares at September 30, 2015 and December 31, 2014	(14,465)	(14,465)
Total stockholders’ equity attributable to WireCo WorldGroup (Cayman) Inc.	(6,111)	44,234
Non-controlling interests	1,308	29
Total stockholders’ equity	(4,803)	44,263
Total liabilities and stockholders’ equity	$ 1,028,714	$ 1,124,851

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Segment Reporting (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015 USD ($)	Sep. 30, 2014 USD ($)	Sep. 30, 2015 USD ($) reportable_segment Operating_segment	Sep. 30, 2014 USD ($)
Entity's Reportable Segments
Number of Operating Segments | Operating_segment			1
Number of Reportable Segments | reportable_segment			1
Concentration Risk [Line Items]
Total net sales	$ 171,356	$ 217,076	$ 525,526	$ 654,086
Product Concentration Risk
Concentration Risk [Line Items]
Concentration Risk Percentage	100.00%	100.00%	100.00%	100.00%
Product Concentration Risk | Rope
Concentration Risk [Line Items]
Concentration Risk Percentage	72.00%	72.00%	72.00%	73.00%
Product Concentration Risk | Specialty wire
Concentration Risk [Line Items]
Concentration Risk Percentage	17.00%	17.00%	18.00%	16.00%
Product Concentration Risk | Engineered products
Concentration Risk [Line Items]
Concentration Risk Percentage	11.00%	11.00%	10.00%	11.00%
Product Line Net Sales
Concentration Risk [Line Items]
Total net sales	$ 171,356	$ 217,076	$ 525,526	$ 654,086
Product Line Net Sales | Rope
Concentration Risk [Line Items]
Total net sales	123,946	155,675	380,410	477,219
Product Line Net Sales | Specialty wire
Concentration Risk [Line Items]
Total net sales	29,623	37,631	93,470	106,198
Product Line Net Sales | Engineered products
Concentration Risk [Line Items]
Total net sales	$ 17,787	$ 23,770	$ 51,646	$ 70,669

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Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flows from operating activities:
Net loss	$ (24,305)	$ (37,333)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	33,746	38,140
Amortization of debt issuance costs, discounts and premium	5,830	6,268
Loss on extinguishment of debt	0	(617)
Share-based compensation	5,779	5,539
Unrealized gain on derivative instruments, net	(23,428)	(1,882)
Unrealized foreign currency exchange losses, net	22,137	35,722
Provision for deferred income taxes	(28)	(3,710)
Other adjustments	(378)	2,476
Changes in assets and liabilities:
Accounts receivable	10,038	5
Inventories	19,439	(12,103)
Prepaid expenses and other assets	(1,704)	(9,722)
Interest payable	11,656	9,603
Accounts payable	(31,761)	8,673
Other accrued liabilities	8,982	6,133
Net cash provided by operating activities	36,003	48,426
Cash flows from investing activities:
Capital expenditures	(22,829)	(16,213)
Acquisition of business	0	4,573
Other investing activities	0	(1,951)
Net cash used in investing activities	(22,829)	(18,835)
Cash flows from financing activities:
Principal payments on long-term debt	(17,116)	(5,621)
Debt issuance costs paid	1,067	0
Retirement of long-term debt	0	26,946
Borrowings under revolving credit agreement	55,400	152,350
Repayments under revolving credit agreement	(69,580)	(140,300)
Other financing activities	0	(437)
Net cash provided by (used in) financing activities	(32,363)	(20,954)
Effect of exchange rates on cash and cash equivalents	(4,399)	(1,906)
Increase (decrease) in cash and cash equivalents	(23,588)	6,731
Cash and cash equivalents, beginning of period	58,195	34,987
Cash and cash equivalents, end of period	34,607	41,718
Supplemental Disclosure of Cash Flow Information:
Cash paid for interest, net of interest capitalized	39,594	41,462
Cash paid for income taxes, net of refunds	$ 4,087	$ 6,632

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Borrowings - Long Term Debt (Details) $ in Thousands	3 Months Ended
	Sep. 30, 2015 USD ($)	Jun. 24, 2015 USD ($)	Dec. 31, 2014 USD ($)	Jul. 12, 2012 USD ($)
Debt Instrument
Total debt at face value	$ 842,816		$ 874,269
Less: Unamortized discount, net	(853)		(1,114)
Less: Current maturities of long-term debt	(3,318)		(19,113)
Total long-term debt	838,645		854,042
Borrowings under Revolving Loan Facility
Debt Instrument
Maximum Borrowing Capacity				$ 145,000
Line of Credit | Borrowings under Revolving Loan Facility
Debt Instrument
Total debt at face value	54,570		68,750
Line of Credit Facility, Remaining Borrowing Capacity	88,767
Letters of Credit Outstanding	$ 1,663
Line of Credit Facility, Interest Rate at Period End	5.06%
Debt Instrument, Debt Compliance, Required Interest Coverage Ratio		1.50
Line of Credit Facility, Incremental Borrowing Capacity		$ 75,000		$ 125,000
Debt Instrument, Debt Compliance, Required Senior Secured Net Leverage Ratio		2.25		2.75
Debt Issuance Cost	$ 1,067
Secured Debt | Term Loan due 2017
Debt Instrument
Total debt at face value	$ 307,246		324,362
Term Loan, Interest Rate at Period End	6.00%
Senior Notes | 9.00% Senior Notes due 2017
Debt Instrument
Total debt at face value	$ 56,000		56,000
Senior Notes | 9.50% Senior Notes due 2017
Debt Instrument
Total debt at face value	425,000		425,000
Other indebtedness
Debt Instrument
Total debt at face value	$ 0		$ 157
Minimum | Line of Credit | Borrowings under Revolving Loan Facility
Debt Instrument
Debt Instrument, Debt Compliance, Required Interest Coverage Ratio				1.75
Maximum | Line of Credit | Borrowings under Revolving Loan Facility
Debt Instrument
Debt Instrument, Debt Compliance, Required Interest Coverage Ratio				2.00

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Intangible Assets and Goodwill (Tables)

9 Months Ended

Sep. 30, 2015

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Finite-Lived Intangible Assets

The components of finite-lived intangible assets were as follows as of the dates indicated:

	September 30, 2015							December 31, 2014
	Gross carrying amount		Accumulated amortization			Net carrying amount		Gross carrying amount		Accumulated amortization			Net carrying amount
Finite-lived assets
Customer relationships	$	118,618	$	(89,493	)	$	29,125	$	124,856	$	(87,406	)	$	37,450
Patented and unpatented technology	21,534		(11,179		)	10,355		22,216		(10,539		)	11,677
Other	6,283		(6,283		)	—		6,505		(6,505		)	—
Total finite-lived intangible assets	$	146,435	$	(106,955	)	$	39,480	$	153,577	$	(104,450	)	$	49,127

Schedule of Future Amortization of Finite-Lived Intangible Assets

Using the exchange rates in effect at period end, estimated amortization of finite-lived intangible assets as of September 30, 2015 was as follows:

Remainder of 2015	$	2,178
2016	8,633
2017	7,085
2018	3,509
2019	3,270
Thereafter	14,805
Total	$	39,480

Rollforward of Goodwill

The change in the carrying value of goodwill was as follows as of the dates indicated:

December 31, 2014	$	188,925
Foreign currency translation	(5,947		)
September 30, 2015	$	182,978

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Borrowings - Interest Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Interest Expense
Interest on long-term debt	$ 17,498	$ 17,413	$ 49,182	$ 53,527
Amortization of debt issuance costs, discounts and premium	1,994	2,091	5,830	6,268
Capitalized interest	(58)	(265)	(181)	(635)
Other	163	364	390	197
Interest expense, net	$ 19,597	$ 19,603	$ 55,221	$ 59,357

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Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2015

Fair Value Disclosures [Abstract]

Schedule of Financial Instruments Measured at Estimated Fair Value on a Recurring Basis

The table below sets forth by level, within the fair value hierarchy, the fair value of the Company's derivative financial instruments that are measured on a recurring basis. The Company estimates the fair value of its derivative instruments using present value measurements based on the spot rate, forward option spreads and other relevant market conditions.

		September 30, 2015
		Level 1		Level 2		Level 3
Derivatives Designated	Balance Sheet Classification
Cross-currency swaps	Derivative assets	$	—	$	42,931	$	—
Cross-currency swap	Other non-current liabilities	$	—	$	3,370	$	—

		December 31, 2014
		Level 1		Level 2		Level 3
Derivatives Designated	Balance Sheet Classification
Cross-currency swaps	Derivative assets	$	—	$	16,133	$	—
Cross-currency swap	Other non-current liabilities	$	—	$	—	$	—

Schedule of the Carrying Amounts and Estimated Fair Values of the Company's Long-term Debt

The carrying amounts and estimated fair values of the Company’s long-term debt at September 30, 2015 were as follows:

	Carrying amount		Estimated fair value
Revolving Loan Facility	$	54,570	$	54,570
Term Loan due 2017	306,050		307,246
9.00% Senior Notes due 2017	56,000		49,350
9.50% Senior Notes due 2017	425,343		374,000

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Interim Financial Statement Presentation

9 Months Ended

Sep. 30, 2015

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Interim Financial Statement Presentation

(1) Interim Financial Statement Presentation

The financial information included in this quarterly report on Form 10-Q are those of WireCo WorldGroup (Cayman) Inc., its wholly-owned subsidiaries, including WireCo WorldGroup Inc., and subsidiaries in which it has a controlling interest (collectively, the “Company”). The accompanying unaudited interim consolidated financial statements included herein have been prepared in United States ("U.S.") dollars and in accordance with U.S. generally accepted accounting principles (“GAAP”). In the opinion of management, all material adjustments, which are of a normal and recurring nature necessary for a fair presentation of the results for the periods presented, have been reflected.

Pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for quarterly reports on Form 10-Q, certain information and note disclosures normally included in annual financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. These unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes included in the Company’s annual report on Form 10-K for the year ended December 31, 2014.

New Accounting Standards

In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2014-09, Revenue from Contracts with Customers, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. ASU 2014-09 will replace most existing revenue recognition guidance in U.S. GAAP. As a result of a deferral of the effective date enacted in July 2015, the new standard would be effective for public entities on January 1, 2018. ASU 2014-09 allows the use of either the retrospective or cumulative effect transition method. The Company is evaluating the effect of ASU 2014-09 and has not yet selected a transition method nor has it determined the effect of the standard on its ongoing financial reporting.

In April 2015, the FASB issued ASU 2015-03, Interest - Imputation of Interest,to reduce complexity in accounting standards and make the presentation of debt issuance costs consistent with the presentation of debt discounts. This ASU requires debt issuance costs to be presented in the balance sheet as a direct deduction from the carrying amount of the associated debt liability, rather than as an asset. ASU 2015-03 is limited to simplifying the presentation of debt issuance costs and there will be no effect on the income statement. This ASU requires retrospective adoption and is effective for the Company during the first quarter of 2016, with early adoption permitted. Upon adoption, the Company will present its remaining unamortized debt issuance costs as a direct deduction from the carrying amount of the related debt liability.

In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory, which changes the measurement principle for inventory from the lower of cost or market to the lower of cost and net realizable value. This ASU requires prospective adoption and is effective for annual reporting periods beginning after December 15, 2016 and interim periods within those annual periods, with early adoption permitted. The Company does not expect the adoption of this standard will have a material impact on its consolidated financial statements.

Out-of-period Error

During the third quarter of 2015, the Company identified an error related to Foreign currency exchange gains within the consolidated statements of operations in the amount of $3,051. These foreign currency exchange gains should have been recorded in the three and six month periods ending June 30, 2015. This amount was determined to be immaterial to the consolidated financial statements for both the three and six month periods ended June 30, 2015.  The gains have been excluded from the consolidated financial statements for the three month period ended September 30, 2015 but are properly reflected in the results for the nine month period ended September 30, 2015.  The adjustment will be included in the consolidated financial statements for the three and six month periods ended June 30, 2015 when subsequently issued.

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Consolidated Balance Sheets (unaudited) - Parenthetical - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 2,103	$ 2,223
Accumulated depreciation	$ 192,959	$ 181,728
Common shares, $0.01 par value.	$ 0.01	$ 0.01
Common Shares, Shares authorized	3,000,000	3,000,000
Common Shares, shares issued	2,054,374	2,054,374
Common Shares, shares outstanding	2,005,205	2,005,205
Treasury shares, at cost	49,169	49,169

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Commitments and Contingencies

9 Months Ended

Sep. 30, 2015

Commitments and Contingencies Disclosure [Abstract]

Contingencies

(11) Commitments and Contingencies

The Company relocated its corporate headquarters during the third quarter of 2015. The Company entered into a noncancelable, renewable operating lease agreement for the term of 10 years and 5 months, with a total aggregate commitment of approximately $6,700. The Company accrued $2,406 related to the early termination of its previous corporate headquarters lease, which is included in Administrative expenses within the consolidated statements of operations. As an incentive to relocate, the Kansas Department of Commerce offered the Company grants, which allow businesses adding jobs in Kansas to retain a significant amount of eligible employees' state payroll withholding taxes for a period of 10 years. The Company will recognize a reduction of expense related to these grants as actual payroll withholding taxes are incurred for the respective period.

The Company is involved in various claims and legal actions arising in the ordinary course of business, which are incidental to its operations. Insurance coverage is maintained for certain risks, such as product liability and workers’ compensation. The Company is not currently a party to any legal proceedings or other contingencies that it believes would have a material adverse effect on its financial position, results of operations, or cash flows.

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Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2015	Nov. 01, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	WireCo WorldGroup Inc.
Entity Central Key Index	0001522182
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Document Type	10-Q
Document Period End Date	Sep. 30, 2015
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q3
Amendment Flag	false
Entity Common Stock Shares Outstanding		100

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Segment Reporting

9 Months Ended

Sep. 30, 2015

Segment Reporting [Abstract]

Segment Reporting

(12) Segment Reporting

The Company reports the manufacturing, marketing, selling and distribution of wire and synthetic ropes, specialty wire and engineered products as one operating and one reportable segment. The Company's net sales by product line for the periods presented was as follows:

	Three months ended								Nine months ended
	September 30,								September 30,
	2015				2014				2015				2014
Product line net sales	($)		(%)		($)		(%)		($)		(%)		($)		(%)
Rope	$	123,946	72	%	$	155,675	72	%	$	380,410	72	%	$	477,219	73	%
Specialty wire	29,623		17	%	37,631		17	%	93,470		18	%	106,198		16	%
Engineered products	17,787		11	%	23,770		11	%	51,646		10	%	70,669		11	%
Total net sales	$	171,356	100	%	$	217,076	100	%	$	525,526	100	%	$	654,086	100	%

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Consolidated Statements of Operations (unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Income Statement [Abstract]
Net sales	$ 171,356	$ 217,076	$ 525,526	$ 654,086
Cost of sales	(130,686)	(170,293)	(402,072)	(493,839)
Gross profit	40,670	46,783	123,454	160,247
Other operating expenses:
Selling expenses	(8,904)	(10,787)	(28,592)	(33,328)
Administrative expenses	(19,117)	(21,499)	(54,875)	(62,971)
Amortization expense	(2,255)	(2,318)	(6,738)	(8,056)
Total other operating expenses	(30,276)	(34,604)	(90,205)	(104,355)
Operating income	10,394	12,179	33,249	55,892
Other income (expense):
Interest expense, net	(19,597)	(19,603)	(55,221)	(59,357)
Foreign currency exchange gains (losses), net	5,626	(31,816)	(1,341)	(35,131)
Loss on extinguishment of debt		(617)	0	(617)
Other income (expense), net	(169)	125	(397)	703
Total other expense, net	(14,140)	(51,911)	(56,959)	(94,402)
Loss before income taxes	(3,746)	(39,732)	(23,710)	(38,510)
Income tax benefit (expense)	(1,446)	4,540	(595)	1,177
Net loss	(5,192)	(35,192)	(24,305)	(37,333)
Less: Net income attributable to non-controlling interests	2,073	113	1,827	527
Net loss attributable to WireCo WorldGroup (Cayman) Inc.	$ (7,265)	$ (35,305)	$ (26,132)	$ (37,860)

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Fair Value Measurements

9 Months Ended

Sep. 30, 2015

Fair Value Disclosures [Abstract]

Fair Value Measurements

(6) Fair Value Measurements

The Company’s short-term financial instruments include cash and cash equivalents, accounts receivable and accounts payable. The carrying amounts reported on the consolidated balance sheets for these items approximate fair market value due to their relative short-term nature.

The table below sets forth by level, within the fair value hierarchy, the fair value of the Company's derivative financial instruments that are measured on a recurring basis. The Company estimates the fair value of its derivative instruments using present value measurements based on the spot rate, forward option spreads and other relevant market conditions.

		September 30, 2015
		Level 1		Level 2		Level 3
Derivatives Designated	Balance Sheet Classification
Cross-currency swaps	Derivative assets	$	—	$	42,931	$	—
Cross-currency swap	Other non-current liabilities	$	—	$	3,370	$	—

		December 31, 2014
		Level 1		Level 2		Level 3
Derivatives Designated	Balance Sheet Classification
Cross-currency swaps	Derivative assets	$	—	$	16,133	$	—
Cross-currency swap	Other non-current liabilities	$	—	$	—	$	—

The carrying amounts and estimated fair values of the Company’s long-term debt at September 30, 2015 were as follows:

	Carrying amount		Estimated fair value
Revolving Loan Facility	$	54,570	$	54,570
Term Loan due 2017	306,050		307,246
9.00% Senior Notes due 2017	56,000		49,350
9.50% Senior Notes due 2017	425,343		374,000

As the Revolving Loan Facility is a revolving credit agreement, the carrying amount approximates fair value. The estimated fair value of the Term Loan due 2017 is based on rates currently available for obligations with similar terms and maturities (Level 2 inputs). The estimated fair value of the 9.00% Senior Notes is based on a model that incorporates assumptions a market participant would use in pricing the liability (Level 3 inputs), and the estimated fair value of the 9.50% Senior Notes is based on current market rates in inactive markets (Level 2 inputs).

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Derivative Financial Instruments

9 Months Ended

Sep. 30, 2015

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Financial Instruments

(5) Derivative Financial Instruments

During September 2014, the Company entered into cross-currency swaps with three counterparties to economically hedge exposures to foreign currency exchange risk related to its global operations. The cross-currency swaps notional value is $300,000, at a weighted average foreign currency exchange rate of $1.00 to €0.7820, and matures in February 2017. In accordance with the cross-currency swap agreements, on a semi-annual basis, the Company pays interest on €234,597 at a weighted average fixed rate of 8.79% and receives interest on $300,000 based on a fixed rate of 9.50%, which is included in Interest expense, net within the consolidated statements of operations.

During June 2015, the Company entered into a cross-currency swap with a counterparty to economically hedge exposures to foreign currency exchange risk related to its global operations. The cross-currency swap notional value is $125,000, at a foreign currency exchange rate of $1.00 to €0.9125, and matures in February 2017. In accordance with the cross-currency swap agreement, on a quarterly basis, the Company pays interest on €114,062 at a fixed rate of 8.94% and receives interest on $125,000 based on a fixed rate of 9.50%, which is included in Interest expense, net within the consolidated statements of operations.

The Company incurred settlements with each of its counterparties during 2015, which resulted in a net reduction in Interest expense, net of $2,773 for the nine months ended September 30, 2015.

In March 2015, the Company entered into a foreign currency forward contract to mitigate the exchange rate risk associated with fluctuations of the U.S. dollar to euro on internal cash movements associated with its global operations. Pursuant to the contract, the Company received a notional value of $3,093 at a foreign currency exchange rate of $1.00 to €0.9700 on the settlement date of May 13, 2015. Upon cash settlement, the Company realized a $253 foreign currency exchange loss, which is included in Foreign currency exchange gains (losses) within the consolidated statements of operations.

The Company's derivative financial instruments do not qualify for hedge accounting treatment and accordingly, changes in fair value are recorded in Foreign currency exchange gains (losses) within the consolidated statements of operations. The Company recognized an unrealized loss of $221 during the three months ended September 30, 2015 and an unrealized gain of $23,428 during the nine months ended September 30, 2015 that were recorded in Foreign currency exchange gains (losses) in the consolidated statements of operations.

Refer to Note 6—“Fair Value Measurements” for additional information regarding the fair value of the Company’s derivative arrangements included in the consolidated balance sheets.

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Borrowings (Tables)

9 Months Ended

Sep. 30, 2015

Debt Disclosure [Abstract]

Summary of Long-Term Debt

Long-term debt consisted of the following as of the dates indicated:

	September 30, 2015			December 31, 2014
Borrowings under Revolving Loan Facility	$	54,570		$	68,750
Term Loan due 2017	307,246			324,362
9.00% Senior Notes due 2017	56,000			56,000
9.50% Senior Notes due 2017	425,000			425,000
Other indebtedness	—			157
Total debt at face value	842,816			874,269
Less: Unamortized discount, net	(853		)	(1,114		)
Less: Current maturities of long-term debt	(3,318		)	(19,113		)
Total long-term debt	$	838,645		$	854,042

Schedule of Components of Interest Expense

Net interest expense consists of:

	Three months ended						Nine months ended
	September 30,						September 30,
	2015			2014			2015			2014
Interest on long-term debt	$	17,498		$	17,413		$	49,182		$	53,527
Amortization of debt issuance costs, discounts and premium	1,994			2,091			5,830			6,268
Capitalized interest	(58		)	(265		)	(181		)	(635		)
Other	163			364			390			197
Interest expense, net	$	19,597		$	19,603		$	55,221		$	59,357

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Condensed Consolidating Financial Statements

9 Months Ended

Sep. 30, 2015

Condensed Consolidating Financial Statements [Abstract]

Condensed Consolidating Financial Statements

(13) Condensed Consolidating Financial Statements

Guarantees of the 9.50% Senior Notes

WireCo WorldGroup Inc. has registered 9.50% Senior Notes, which are unsecured obligations. These obligations are jointly and severally and fully and unconditionally guaranteed by WireCo WorldGroup (Cayman) Inc. Certain entities controlled by WireCo WorldGroup (Cayman) Inc. (collectively referred to as the “Guarantor Subsidiaries”) also jointly and severally and fully and unconditionally guarantee these obligations, subject to customary release provisions. All voting shares for the entities presented in the “Guarantor Subsidiaries” column are 100% owned directly or indirectly by the Company. Certain subsidiaries with locations primarily in the Netherlands, Brazil and France do not guarantee the debt (collectively referred to as the “Non-Guarantor Subsidiaries”). The following condensed consolidating financial statements are prepared with each entity’s investment in subsidiaries accounted for under the equity method. The adjustments eliminate investments in subsidiaries, related stockholders’ equity and other intercompany balances and transactions. There are currently no significant restrictions on the ability of WireCo WorldGroup Inc. or any guarantor to obtain funds from its subsidiaries by dividend or loan.

Condensed Consolidating Balance Sheets

	September 30, 2015
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Elimination Adjustments			Consolidated
Assets
Current assets:
Cash and cash equivalents	$	23		$	3,972	$	17,898	$	12,714	$	—		$	34,607
Restricted cash	—			—		317		1,267		—			1,584
Accounts receivable, net	—			29,858		72,749		31,690		—			134,297
Intercompany accounts receivable	(311		)	67,379		39,662		25,833		(132,563		)	—
Other receivables	—			686		2,522		992		—			4,200
Inventories, net	—			66,477		95,085		30,649		—			192,211
Current deferred income tax assets	—			1,384		1,696		117		—			3,197
Prepaid expenses and other current assets	—			3,674		3,963		1,824		—			9,461
Total current assets	$	(288	)	$	173,430	$	233,892	$	105,086	$	(132,563	)	$	379,557
Long-term intercompany notes receivable	—			432,956		18,597		109,439		(560,992		)	—
Property, plant and equipment, net	—			52,355		196,958		41,857		—			291,170
Intangible assets, net	—			31,781		60,219		18,234		—			110,234
Goodwill	—			116,842		47,672		18,464		—			182,978
Investments in subsidiaries	(44,189		)	—		118,233		8,392		(82,436		)	—
Deferred financing fees, net	—			10,924		—		—		—			10,924
Non-current deferred income tax assets	—			—		969		—		—			969
Derivative assets	42,931			—		—		—		—			42,931
Other non-current assets	—			251		9,692		8		—			9,951
Total assets	$	(1,546	)	$	818,539	$	686,232	$	301,480	$	(775,991	)	$	1,028,714
Liabilities and Stockholders’ Equity
Current liabilities:
Current maturities of long-term debt	$	—		$	3,318	$	—	$	—	$	—		$	3,318
Interest payable	—			17,826		36		98		—			17,960
Accounts payable	—			11,994		40,553		14,191		—			66,738
Accrued compensation and benefits	—			5,304		10,806		2,822		—			18,932
Intercompany accounts payable	905			43,203		77,675		10,922		(132,705		)	—
Current deferred income tax liabilities	—			—		311		627		—			938
Other current liabilities	230			5,807		15,946		6,164		—			28,147
Total current liabilities	$	1,135		$	87,452	$	145,327	$	34,824	$	(132,705	)	$	136,033

Long-term debt, excluding current maturities	—			838,645			—			—		—			838,645
Long-term intercompany notes payable	—			—			532,521			28,445		(560,966		)	—
Non-current deferred income tax liabilities	—			11,949			22,945			7,499		—			42,393
Other non-current liabilities	3,430			481			11,194			1,341		—			16,446
Total liabilities	$	4,565		$	938,527		$	711,987		$	72,109	$	(693,671	)	$	1,033,517
Stockholders’ equity:
Total stockholders’ equity attributable to WireCo WorldGroup (Cayman) Inc.	(6,111		)	(119,988		)	(21,682		)	223,990		(82,320		)	(6,111		)
Non-controlling interests	—			—			(4,073		)	5,381		—			1,308
Total stockholders’ equity	$	(6,111	)	$	(119,988	)	$	(25,755	)	$	229,371	$	(82,320	)	$	(4,803	)
Total liabilities and stockholders’ equity	$	(1,546	)	$	818,539		$	686,232		$	301,480	$	(775,991	)	$	1,028,714

	December 31, 2014
	WireCo WorldGroup (Cayman) Inc. (Parent)		WireCo WorldGroup Inc. (Issuer)		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Elimination Adjustments			Consolidated
Assets
Current assets:
Cash and cash equivalents	$	24	$	4,178	$	35,792	$	18,201	$	—		$	58,195
Restricted cash	—		—		656		909		—			1,565
Accounts receivable, net	—		45,159		69,645		28,264		—			143,068
Intercompany accounts receivable	27,454		64,043		55,654		18,493		(165,644		)	—
Other receivables	—		—		1,914		391		—			2,305
Inventories, net	—		71,924		122,025		31,126		—			225,075
Current deferred income tax assets	—		1,384		1,902		581		—			3,867
Prepaid expenses and other current assets	—		2,935		6,378		3,663		—			12,976
Total current assets	$	27,478	$	189,623	$	293,966	$	101,628	$	(165,644	)	$	447,051
Long-term intercompany notes receivable	—		467,127		22,461		112,482		(602,070		)	—
Property, plant and equipment, net	—		54,302		220,675		44,221		—			319,198
Intangible assets, net	—		34,052		70,186		21,340		—			125,578
Goodwill	—		116,842		50,906		21,177		—			188,925
Investment in subsidiaries	25,057		—		129,522		7,659		(162,238		)	—
Deferred financing fees, net	—		15,425		—		—		—			15,425
Non-current deferred income tax assets	—		—		1,123		—		—			1,123
Derivative assets	—		16,133		—		—		—			16,133
Other non-current assets	—		207		11,202		9		—			11,418
Total assets	$	52,535	$	893,711	$	800,041	$	308,516	$	(929,952	)	$	1,124,851
Liabilities and Stockholders’ Equity
Current liabilities:
Current maturities of long-term debt	$	—	$	19,098	$	6	$	9	$	—		$	19,113
Interest payable	—		6,038		131		153		—			6,322
Accounts payable	—		23,830		62,158		12,926		—			98,914
Accrued compensation and benefits	—		5,009		10,558		3,550		—			19,117
Intercompany accounts payable	1,572		75,197		74,251		14,538		(165,558		)	—
Current deferred income tax liabilities	—		—		311		—		—			311
Other current liabilities	—		2,927		12,940		4,306		—			20,173
Total current liabilities	$	1,572	$	132,099	$	160,355	$	35,482	$	(165,558	)	$	163,950
Long-term debt, excluding current maturities	—		853,899		143		—		—			854,042

Long-term intercompany notes payable	6,700		—			564,740			30,610		(602,050		)	—
Non-current deferred income tax liabilities	—		11,949			25,084			9,702		—			46,735
Other non-current liabilities	—		414			13,825			1,622		—			15,861
Total liabilities	$	8,272	$	998,361		$	764,147		$	77,416	$	(767,608	)	$	1,080,588
Stockholders’ equity:
Total stockholders’ equity attributable to WireCo WorldGroup (Cayman) Inc.	44,234		(104,650		)	39,399			227,591		(162,340		)	44,234
Non-controlling interests	29		—			(3,505		)	3,509		(4		)	29
Total stockholders’ equity	$	44,263	$	(104,650	)	$	35,894		$	231,100	$	(162,344	)	$	44,263
Total liabilities and stockholders’ equity	$	52,535	$	893,711		$	800,041		$	308,516	$	(929,952	)	$	1,124,851

Condensed Consolidating Statements of Operations and Comprehensive Income (Loss)

	Three months ended September 30, 2015
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net sales	$	—		$	49,367		$	102,777		$	41,685		$	(22,473	)	$	171,356
Cost of sales	—			(40,268		)	(79,840		)	(33,559		)	22,981			(130,686		)
Gross profit	—			9,099			22,937			8,126			508			40,670
Other operating expenses:
Selling expenses	—			(2,600		)	(3,564		)	(2,740		)	—			(8,904		)
Administrative expenses	(229		)	(8,861		)	(7,974		)	(2,053		)	—			(19,117		)
Amortization expense	—			(757		)	(1,210		)	(288		)	—			(2,255		)
Total other operating expenses	(229		)	(12,218		)	(12,748		)	(5,081		)	—			(30,276		)
Operating income (loss)	(229		)	(3,119		)	10,189			3,045			508			10,394
Other income (expense):
Interest income (expense), net	6			(11,181		)	(9,528		)	1,106			—			(19,597		)
Equity income (loss) from subsidiaries	(21,174		)	—			(21,985		)	67			43,092			—
Foreign currency exchange gains (losses), net	(118		)	(731		)	(524		)	6,999			—			5,626
Other income (expense), net	14,250			(16		)	(164		)	11			(14,250		)	(169		)
Total other income (expense), net	(7,036		)	(11,928		)	(32,201		)	8,183			28,842			(14,140		)
Income (loss) before income taxes	(7,265		)	(15,047		)	(22,012		)	11,228			29,350			(3,746		)
Income tax expense	—			(399		)	(981		)	(66		)	—			(1,446		)
Net income (loss)	(7,265		)	(15,446		)	(22,993		)	11,162			29,350			(5,192		)
Less: Net income (loss) attributable to non-controlling interests	—			—			(488		)	2,561			—			2,073
Net income (loss) attributable to WireCo WorldGroup (Cayman) Inc.	(7,265		)	(15,446		)	(22,505		)	8,601			29,350			(7,265		)
Comprehensive income (loss)	$	(16,441	)	$	(15,446	)	$	(34,242	)	$	20,338		$	29,350		$	(16,441	)

	Three months ended September 30, 2014
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net sales	$	—		$	74,566		$	130,647		$	47,522		$	(35,659	)	$	217,076
Cost of sales	—			(64,889		)	(103,742		)	(37,403		)	35,741			(170,293		)
Gross profit	—			9,677			26,905			10,119			82			46,783
Other operating expenses:
Selling expenses	—			(3,040		)	(4,859		)	(2,888		)	—			(10,787		)
Administrative expenses	(199		)	(14,248		)	(6,813		)	(824		)	585			(21,499		)
Amortization expense	—			(757		)	(1,179		)	(382		)	—			(2,318		)
Total other operating expenses	(199		)	(18,045		)	(12,851		)	(4,094		)	585			(34,604		)
Operating income (loss)	(199		)	(8,368		)	14,054			6,025			667			12,179
Other income (expense):
Interest income (expense), net	(103		)	(10,660		)	(10,301		)	1,461			—			(19,603		)
Equity income (loss) from subsidiaries	(35,003		)	—			(5,812		)	983			39,832			—
Foreign currency exchange gains (losses), net	—			1,734			(39,856		)	6,306			—			(31,816		)
Loss on extinguishment of debt	—			(617		)	—			—			—			(617		)
Other income (expense), net	—			(198		)	301			22			—			125
Total other income (expense), net	(35,106		)	(9,741		)	(55,668		)	8,772			39,832			(51,911		)
Income (loss) before income taxes	(35,305		)	(18,109		)	(41,614		)	14,797			40,499			(39,732		)
Income tax benefit (expense)	—			(1,117		)	(1,559		)	7,216			—			4,540
Net income (loss)	(35,305		)	(19,226		)	(43,173		)	22,013			40,499			(35,192		)
Less: Net income (loss) attributable to non-controlling interests	—			—			(618		)	731			—			113
Net income (loss) attributable to WireCo WorldGroup (Cayman) Inc.	(35,305		)	(19,226		)	(42,555		)	21,282			40,499			(35,305		)
Comprehensive income (loss)	$	(48,115	)	$	(19,226	)	$	(56,096	)	$	16,973		$	58,349		$	(48,115	)

	Nine months ended September 30, 2015
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net sales	$	—		$	156,029		$	328,564		$	113,746		$	(72,813	)	$	525,526
Cost of sales	—			(125,631		)	(258,832		)	(90,848		)	73,239			(402,072		)
Gross profit	—			30,398			69,732			22,898			426			123,454
Other operating expenses:
Selling expenses	—			(8,523		)	(11,716		)	(8,353		)	—			(28,592		)
Administrative expenses	(842		)	(28,678		)	(20,703		)	(4,652		)	—			(54,875		)
Amortization expense	—			(2,272		)	(3,590		)	(876		)	—			(6,738		)
Total other operating expenses	(842		)	(39,473		)	(36,009		)	(13,881		)	—			(90,205		)
Operating income (loss)	(842		)	(9,075		)	33,723			9,017			426			33,249
Other income (expense):
Interest income (expense), net	(198		)	(29,916		)	(29,108		)	4,001			—			(55,221		)
Equity income (loss) from subsidiaries	(39,223		)	—			(11,289		)	733			49,779			—
Foreign currency exchange gains (losses), net	(119		)	23,218			(37,206		)	12,766			—			(1,341		)
Other income (expense), net	14,250			(143		)	(273		)	19			(14,250		)	(397		)
Total other income (expense), net	(25,290		)	(6,841		)	(77,876		)	17,519			35,529			(56,959		)
Income (loss) before income taxes	(26,132		)	(15,916		)	(44,153		)	26,536			35,955			(23,710		)
Income tax benefit (expense)	—			(531		)	(2,036		)	1,972			—			(595		)
Net income (loss)	(26,132		)	(16,447		)	(46,189		)	28,508			35,955			(24,305		)
Less: Net income (loss) attributable to non-controlling interests	—			—			(537		)	2,364			—			1,827
Net income (loss) attributable to WireCo WorldGroup (Cayman) Inc.	(26,132		)	(16,447		)	(45,652		)	26,144			35,955			(26,132		)
Comprehensive income (loss)	$	(54,845	)	$	(16,447	)	$	(76,729	)	$	57,221		$	35,955		$	(54,845	)

	Nine months ended September 30, 2014
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net sales	$	—		$	221,559		$	389,617		$	141,939		$	(99,029	)	$	654,086
Cost of sales	—			(178,369		)	(306,605		)	(108,561		)	99,696			(493,839		)
Gross profit	—			43,190			83,012			33,378			667			160,247
Other operating expenses:
Selling expenses	—			(8,954		)	(15,210		)	(9,164		)	—			(33,328		)
Administrative expenses	(495		)	(39,253		)	(20,034		)	(3,531		)	342			(62,971		)
Amortization expense	—			(1,981		)	(5,121		)	(954		)	—			(8,056		)
Total other operating expenses	(495		)	(50,188		)	(40,365		)	(13,649		)	342			(104,355		)
Operating income (loss)	(495		)	(6,998		)	42,647			19,729			1,009			55,892
Other income (expense):
Interest income (expense), net	(307		)	(32,808		)	(30,636		)	4,394			—			(59,357		)
Equity income (loss) from subsidiaries	(37,058		)	—			(10,620		)	2,264			45,414			—
Foreign currency exchange gains (losses), net	—			1,836			(44,281		)	7,314			—			(35,131		)
Loss on extinguishment of debt	—			(617		)	—			—			—			(617		)
Other income (expense), net	—			(570		)	1,223			50			—			703
Total other income (expense), net	(37,365		)	(32,159		)	(84,314		)	14,022			45,414			(94,402		)
Income (loss) before income taxes	(37,860		)	(39,157		)	(41,667		)	33,751			46,423			(38,510		)
Income tax benefit (expense)	—			(1,144		)	(1,637		)	3,958			—			1,177
Net income (loss)	(37,860		)	(40,301		)	(43,304		)	37,709			46,423			(37,333		)
Less: Net income (loss) attributable to non-controlling interests	—			—			(1,324		)	1,851			—			527
Net income (loss) attributable to WireCo WorldGroup (Cayman), Inc.	(37,860		)	(40,301		)	(41,980		)	35,858			46,423			(37,860		)
Comprehensive income (loss)	$	(54,562	)	$	(40,301	)	$	(60,533	)	$	30,990		$	69,844		$	(54,562	)

Condensed Consolidating Statements of Cash Flows

	Nine months ended September 30, 2015
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net cash provided by (used in) operating activities	$	(14,251	)	$	9,422		$	38,996		$	1,836		$	—		$	36,003
Cash flows from investing activities:
Capital expenditures	—			(5,409		)	(12,288		)	(5,132		)	—			(22,829		)
Repayments from intercompany loans	—			28,144			2,044			—			(30,188		)	—
Intercompany dividends received	14,250			—			—			—			(14,250		)	—
Net cash provided by (used in) investing activities	$	14,250		$	22,735		$	(10,244	)	$	(5,132	)	$	(44,438	)	$	(22,829	)
Cash flows from financing activities:
Principal payments on long-term debt	—			(17,116		)	—			—			—			(17,116		)
Debt issuance costs paid	—			(1,067		)	—			—			—			(1,067		)
Decreases in intercompany notes	—			—			(29,204		)	(984		)	30,188			—
Borrowings under revolving credit agreement	—			55,400			—			—			—			55,400
Repayments under revolving credit agreement	—			(69,580		)	—			—			—			(69,580		)
Intercompany dividends paid	—			—			(14,250		)	—			14,250			—
Net cash used in financing activities	$	—		$	(32,363	)	$	(43,454	)	$	(984	)	$	44,438		$	(32,363	)
Effect of exchange rates on cash and cash equivalents	—			—			(3,192		)	(1,207		)	—			(4,399		)
Decrease in cash and cash equivalents	$	(1	)	$	(206	)	$	(17,894	)	$	(5,487	)	$	—		$	(23,588	)
Cash and cash equivalents, beginning of period	24			4,178			35,792			18,201			—			58,195
Cash and cash equivalents, end of period	$	23		$	3,972		$	17,898		$	12,714		$	—		$	34,607

	Nine months ended September 30, 2014
	WireCo WorldGroup (Cayman) Inc. (Parent)			WireCo WorldGroup Inc. (Issuer)			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elimination Adjustments			Consolidated
Net cash provided by (used in) operating activities	$	(256	)	$	(15,394	)	$	51,038		$	13,038		$	—		$	48,426
Cash flows from investing activities:
Capital expenditures	—			(4,198		)	(8,635		)	(3,380		)	—			(16,213		)
Acquisition of business	—			—			—			(4,573		)	—			(4,573		)
Other investing activities	—			—			1,951			—			—			1,951
Repayments from intercompany loans	—			43,713			7,997			819			(52,529		)	—
Investment in subsidiaries	—			—			—			(4,573		)	4,573			—
Net cash provided by (used in) investing activities	$	—		$	39,515		$	1,313		$	(11,707	)	$	(47,956	)	$	(18,835	)
Cash flows from financing activities:
Principal payments on long-term debt	—			(5,621		)	—			—			—			(5,621		)
Retirement of long-term debt	—			(26,500		)	(446		)	—			—			(26,946		)
Borrowings under revolving credit agreement	—			152,350			—			—			—			152,350
Repayments under revolving credit agreement	—			(140,300		)	—			—			—			(140,300		)
Capital contributions received	—			—			—			4,573			(4,573		)	—
Repayments of intercompany loans	—			—			(44,532		)	(7,997		)	52,529			—
Other financing activities	228			(398		)	(267		)	—			—			(437		)
Net cash provided by (used in) financing activities	$	228		$	(20,469	)	$	(45,245	)	$	(3,424	)	$	47,956		$	(20,954	)
Effect of exchange rates on cash and cash equivalents	—			—			(1,510		)	(396		)	—			(1,906		)
Increase (decrease) in cash and cash equivalents	$	(28	)	$	3,652		$	5,596		$	(2,489	)	$	—		$	6,731
Cash and cash equivalents, beginning of period	53			2,564			11,798			20,572			—			34,987
Cash and cash equivalents, end of period	$	25		$	6,216		$	17,394		$	18,083		$	—		$	41,718

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Income Taxes

9 Months Ended

Sep. 30, 2015

Income Tax Disclosure [Abstract]

Income Taxes

(9) Income Taxes

The Company determines the interim tax provision by applying an estimate of the annual effective tax rate to the year-to-date pretax book income (loss) and adjusts for discrete items during the reporting period, if any. Tax jurisdictions with losses for which tax benefits cannot be realized are excluded. Additionally, for certain tax jurisdictions where a reliable estimate of year-to-date income tax expense or benefit cannot be made, the Company applied the actual effective tax rate to year-to-date income.

The effective income tax rate for the three months ended September 30, 2015 and 2014 was (38.6)% and 11.4%, respectively. The effective income tax rate for the nine months ended September 30, 2015 and 2014 was (2.5)% and 3.1%, respectively. The Company's effective income tax rates differ from the applicable statutory tax rate primarily due to valuation allowances on deferred tax assets in various jurisdictions, mix of earnings (losses) by jurisdictions and the effects of foreign tax rate differences.

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Share-based Compensation

9 Months Ended

Sep. 30, 2015

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Share-based Compensation

(7) Share-based Compensation

Changes in the Company's outstanding service-based stock option awards since December 31, 2014 were as follows:

Options	Number of options	Weighted average exercise price		Weighted average remaining contractual term (years)
Outstanding at December 31, 2014	513,491	$	172.76
Granted	10,000	194.69
Exercised	—	—
Expired	—	—
Other	—	—
Outstanding at September 30, 2015	523,491	$	173.18	4.30
Vested and expected to vest as of September 30, 2015	523,491	173.18		4.30
Exercisable at September 30, 2015	417,458	150.61		3.33

The fair value of the service-based stock option awards granted during 2015 were estimated on the date of grant using the Black-Scholes option-pricing model that uses the assumptions noted in the following table.

	2015
Expected volatility (1)	35.51%
Risk-free interest rate (2)	1.80%
Expected term of the option (years) (3)	6.50
Expected dividend yield	—%
Grant-date fair value	$75.43

⁽¹⁾  Based on the average historical volatility of similar entities with publicly traded shares since the Company's shares are privately held.

⁽²⁾  Based on the U.S. Treasury interest rate whose term is consistent with the expected term of the stock options.

⁽³⁾  Based on the expected term considering vesting and contractual terms.

At September 30, 2015, total unrecognized compensation cost related to the unvested portion of the Company's service-based stock option awards that remains to be expensed was $11,232, with the weighted average remaining years to vest of approximately 2.47 years. There were 19,779 awards available for future grants under the 2008 Long Term Incentive Plan at September 30, 2015.

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Restructuring Charges

9 Months Ended

Sep. 30, 2015

Restructuring and Related Activities [Abstract]

Restructuring Charges

(8) Restructuring Charges

As part of the Company's initiatives to manage costs in response to the challenges in certain end markets, the Company reduced its production and administrative workforce during 2015. Restructuring charges related to employee termination and related benefits were recorded in Administrative expenses in the consolidated statement of operations. The accrual balance is included in Other current liabilities on the consolidated balance sheet.

A rollforward of this restructuring activity is set forth below:

Balance at December 31, 2014	$	—
Restructuring charges incurred in 2015	1,576
Payments made in 2015	(964		)
Balance at September 30, 2015	$	612

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Related Party Transactions

9 Months Ended

Sep. 30, 2015

Related Party Transactions [Abstract]

Related Party Transactions

(10) Related Party Transactions

Paine & Partners, LLC (“Paine & Partners”), which manages the funds that control the Company, has entered into a management agreement with the Company to provide administrative and other support services. During the first quarters of 2015 and 2014, the Company paid an annual management fee of $3,112 and $3,042, respectively. This annual management fee is deferred as a prepaid and recognized ratably over the year as the services are provided. The Company recognized management fee expense of $778 and $761 during the three months ended September 30, 2015 and 2014, respectively, and $2,334 and $2,282 during the nine months ended September 30, 2015 and 2014, respectively, that was recorded in Administrative expenses in the consolidated statements of operations.

During the three months ended September 30, 2015 and 2014, the Company had product sales of $378 and $139, respectively, and during the nine months ended September 30, 2015 and 2014, the Company had product sales of $824 and $585, respectively, to its Spanish joint venture, Lankhorst Euronete Espana SA. The Company purchased $449 and $1,293 of product for the three months ended September 30, 2015 and 2014, respectively, and purchased $1,773 and $3,816 of product for the nine months ended September 30, 2015 and 2014, respectively, from its Greek joint venture, Eurorope Performance Rope Producers SA.

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Intangible Assets and Goodwill - Goodwill (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2015 USD ($)
Goodwill Rollforward
December 31, 2014	$ 188,925
Foreign currency translation	(5,947)
September 30, 2015	$ 182,978

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Inventories, net (Tables)

9 Months Ended

Sep. 30, 2015

Inventory Disclosure [Abstract]

Schedule of Inventories

The major classes of inventories were as follows as of the dates indicated:

	September 30, 2015		December 31, 2014
Raw materials, net	$	69,628	$	86,669
Work in process, net	8,754		10,487
Finished goods, net	113,829		127,919
Inventories, net	$	192,211	$	225,075

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Restructuring Charges (Tables)

9 Months Ended

Sep. 30, 2015

Restructuring and Related Activities [Abstract]

Rollforward of Restructuring Activities

A rollforward of this restructuring activity is set forth below:

Balance at December 31, 2014	$	—
Restructuring charges incurred in 2015	1,576
Payments made in 2015	(964		)
Balance at September 30, 2015	$	612

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Condensed Consolidating Financial Statements - Condensed Consolidating Statements of Cash Flows (unaudited) (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flows from operating activities:
Net cash provided by (used in) operating activities	$ 36,003	$ 48,426
Cash flows from investing activities:
Capital expenditures	(22,829)	(16,213)
Acquisition of business	0	(4,573)
Other investing activities	0	1,951
Repayments from intercompany loans	0	0
Intercompany dividends received	0
Investment in subsidiaries		0
Net cash used in investing activities	(22,829)	(18,835)
Cash flows from financing activities:
Principal payments on long-term debt	(17,116)	(5,621)
Debt issuance costs paid	(1,067)	0
Increase (Decrease) in Notes Receivable, Related Parties	0
Retirement of long-term debt	0	(26,946)
Borrowings under revolving credit agreement	55,400	152,350
Repayments under revolving credit agreement	(69,580)	(140,300)
Capital contributions received		0
Repayments of intercompany loans		0
Intercompany dividends paid	0
Other financing activities	0	(437)
Net cash provided by (used in) financing activities	(32,363)	(20,954)
Effect of exchange rates on cash and cash equivalents	(4,399)	(1,906)
Increase (decrease) in cash and cash equivalents	(23,588)	6,731
Cash and cash equivalents, beginning of period	58,195	34,987
Cash and cash equivalents, end of period	34,607	41,718
Elimination Adjustments
Cash flows from operating activities:
Net cash provided by (used in) operating activities	0	0
Cash flows from investing activities:
Capital expenditures	0	0
Acquisition of business		0
Other investing activities		0
Repayments from intercompany loans	(30,188)	(52,529)
Intercompany dividends received	(14,250)
Investment in subsidiaries		4,573
Net cash used in investing activities	(44,438)	(47,956)
Cash flows from financing activities:
Principal payments on long-term debt	0	0
Debt issuance costs paid	0
Increase (Decrease) in Notes Receivable, Related Parties	30,188
Retirement of long-term debt		0
Borrowings under revolving credit agreement	0	0
Repayments under revolving credit agreement	0	0
Capital contributions received		(4,573)
Repayments of intercompany loans		52,529
Intercompany dividends paid	14,250
Other financing activities		0
Net cash provided by (used in) financing activities	44,438	47,956
Effect of exchange rates on cash and cash equivalents	0	0
Increase (decrease) in cash and cash equivalents	0	0
Cash and cash equivalents, beginning of period	0	0
Cash and cash equivalents, end of period	0	0
WireCo WorldGroup (Cayman) Inc. (Parent)
Cash flows from operating activities:
Net cash provided by (used in) operating activities	(14,251)	(256)
Cash flows from investing activities:
Capital expenditures	0	0
Acquisition of business		0
Other investing activities		0
Repayments from intercompany loans	0	0
Intercompany dividends received	14,250
Investment in subsidiaries		0
Net cash used in investing activities	14,250	0
Cash flows from financing activities:
Principal payments on long-term debt	0	0
Debt issuance costs paid	0
Increase (Decrease) in Notes Receivable, Related Parties	0
Retirement of long-term debt		0
Borrowings under revolving credit agreement	0	0
Repayments under revolving credit agreement	0	0
Capital contributions received		0
Repayments of intercompany loans		0
Intercompany dividends paid	0
Other financing activities		228
Net cash provided by (used in) financing activities	0	228
Effect of exchange rates on cash and cash equivalents	0	0
Increase (decrease) in cash and cash equivalents	(1)	(28)
Cash and cash equivalents, beginning of period	24	53
Cash and cash equivalents, end of period	23	25
WireCo WorldGroup Inc. (Issuer)
Cash flows from operating activities:
Net cash provided by (used in) operating activities	9,422	(15,394)
Cash flows from investing activities:
Capital expenditures	(5,409)	(4,198)
Acquisition of business		0
Other investing activities		0
Repayments from intercompany loans	28,144	43,713
Intercompany dividends received	0
Investment in subsidiaries		0
Net cash used in investing activities	22,735	39,515
Cash flows from financing activities:
Principal payments on long-term debt	(17,116)	(5,621)
Debt issuance costs paid	(1,067)
Increase (Decrease) in Notes Receivable, Related Parties	0
Retirement of long-term debt		(26,500)
Borrowings under revolving credit agreement	55,400	152,350
Repayments under revolving credit agreement	(69,580)	(140,300)
Capital contributions received		0
Repayments of intercompany loans		0
Intercompany dividends paid	0
Other financing activities		(398)
Net cash provided by (used in) financing activities	(32,363)	(20,469)
Effect of exchange rates on cash and cash equivalents	0	0
Increase (decrease) in cash and cash equivalents	(206)	3,652
Cash and cash equivalents, beginning of period	4,178	2,564
Cash and cash equivalents, end of period	3,972	6,216
Guarantor Subsidiaries
Cash flows from operating activities:
Net cash provided by (used in) operating activities	38,996	51,038
Cash flows from investing activities:
Capital expenditures	(12,288)	(8,635)
Acquisition of business		0
Other investing activities		1,951
Repayments from intercompany loans	2,044	7,997
Intercompany dividends received	0
Investment in subsidiaries		0
Net cash used in investing activities	(10,244)	1,313
Cash flows from financing activities:
Principal payments on long-term debt	0	0
Debt issuance costs paid	0
Increase (Decrease) in Notes Receivable, Related Parties	(29,204)
Retirement of long-term debt		(446)
Borrowings under revolving credit agreement	0	0
Repayments under revolving credit agreement	0	0
Capital contributions received		0
Repayments of intercompany loans		(44,532)
Intercompany dividends paid	(14,250)
Other financing activities		(267)
Net cash provided by (used in) financing activities	(43,454)	(45,245)
Effect of exchange rates on cash and cash equivalents	(3,192)	(1,510)
Increase (decrease) in cash and cash equivalents	(17,894)	5,596
Cash and cash equivalents, beginning of period	35,792	11,798
Cash and cash equivalents, end of period	17,898	17,394
Non-Guarantor Subsidiaries
Cash flows from operating activities:
Net cash provided by (used in) operating activities	1,836	13,038
Cash flows from investing activities:
Capital expenditures	(5,132)	(3,380)
Acquisition of business		(4,573)
Other investing activities		0
Repayments from intercompany loans	0	819
Intercompany dividends received	0
Investment in subsidiaries		(4,573)
Net cash used in investing activities	(5,132)	(11,707)
Cash flows from financing activities:
Principal payments on long-term debt	0	0
Debt issuance costs paid	0
Increase (Decrease) in Notes Receivable, Related Parties	(984)
Retirement of long-term debt		0
Borrowings under revolving credit agreement	0	0
Repayments under revolving credit agreement	0	0
Capital contributions received		4,573
Repayments of intercompany loans		(7,997)
Intercompany dividends paid	0
Other financing activities		0
Net cash provided by (used in) financing activities	(984)	(3,424)
Effect of exchange rates on cash and cash equivalents	(1,207)	(396)
Increase (decrease) in cash and cash equivalents	(5,487)	(2,489)
Cash and cash equivalents, beginning of period	18,201	20,572
Cash and cash equivalents, end of period	$ 12,714	$ 18,083

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Restructuring Charges (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2015 USD ($)
Rollforward of Restructuring Activities
Balance at December 31, 2014	$ 0
Restructuring charges incurred in 2015	1,576
Payments made in 2015	(964)
Balance at September 30, 2015	$ 612

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Consolidated Statements of Comprehensive Income (Loss) (unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Statement of Comprehensive Income [Abstract]
Net loss	$ (5,192)	$ (35,192)	$ (24,305)	$ (37,333)
Other comprehensive income (loss):
Foreign currency translation gain (loss)	(11,249)	(12,923)	(30,540)	(17,229)
Comprehensive loss	(16,441)	(48,115)	(54,845)	(54,562)
Less: Comprehensive income (loss) attributable to non-controlling interests	2,367	150	1,279	(440)
Comprehensive loss attributable to WireCo WorldGroup (Cayman) Inc.	$ (18,808)	$ (48,265)	$ (56,124)	$ (54,122)

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Borrowings

9 Months Ended

Sep. 30, 2015

Debt Disclosure [Abstract]

Borrowings

(4) Borrowings

Long-term debt consisted of the following as of the dates indicated:

	September 30, 2015			December 31, 2014
Borrowings under Revolving Loan Facility	$	54,570		$	68,750
Term Loan due 2017	307,246			324,362
9.00% Senior Notes due 2017	56,000			56,000
9.50% Senior Notes due 2017	425,000			425,000
Other indebtedness	—			157
Total debt at face value	842,816			874,269
Less: Unamortized discount, net	(853		)	(1,114		)
Less: Current maturities of long-term debt	(3,318		)	(19,113		)
Total long-term debt	$	838,645		$	854,042

For a detailed discussion of the Company's borrowings, see Note 7—“Borrowings” to the Company's audited consolidated financial statements in Item 8, Financial Statements and Supplementary Data, of the annual report on Form 10-K for the year ended December 31, 2014.

Senior Secured Credit Facilities - Revolving Loan Facility and Term Loan due 2017

The Company's maximum borrowing capacity under the Revolving Loan Facility is $145,000. As of September 30, 2015, availability under the Revolving Loan Facility was $88,767. Availability is based upon the maximum borrowing capacity, less outstanding borrowings and letters of credit, and if applicable, further restricted by certain covenants in the Company's credit agreements. Outstanding letters of credit were $1,663 at September 30, 2015. The variable interest rate on the Revolving Loan Facility and Term Loan due 2017 at September 30, 2015 was 5.06% and 6.00%, respectively.

On June 24, 2015, the Company entered into a third amendment (the “Amendment”) to the credit agreement dated as of July 12, 2012 (the "Credit Agreement"). The Amendment, among other things, amended the Credit Agreement to (i) update the Interest Coverage Ratio financial covenant for fiscal quarters ending June 30, 2015 and thereafter from a range of 1.75x to 2.00x to a fixed ratio covenant of 1.50x and (ii) reduce incremental capacity to the greater of (a) $75,000 and (b) 2.25:1.00 Senior Secured Leverage from the greater of (a) $125,000 and (b) 2.75:1.00 Senior Secured Leverage. During 2015, the Company paid $1,067 in debt issuance costs in connection with this Amendment that are being amortized to interest expense over the term of the debt instrument.

Interest expense, net

Net interest expense consists of:

	Three months ended						Nine months ended
	September 30,						September 30,
	2015			2014			2015			2014
Interest on long-term debt	$	17,498		$	17,413		$	49,182		$	53,527
Amortization of debt issuance costs, discounts and premium	1,994			2,091			5,830			6,268
Capitalized interest	(58		)	(265		)	(181		)	(635		)
Other	163			364			390			197
Interest expense, net	$	19,597		$	19,603		$	55,221		$	59,357

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Segment Reporting (Tables)

9 Months Ended

Sep. 30, 2015

Segment Reporting [Abstract]

Schedule of Product Information

The Company's net sales by product line for the periods presented was as follows:

	Three months ended								Nine months ended
	September 30,								September 30,
	2015				2014				2015				2014
Product line net sales	($)		(%)		($)		(%)		($)		(%)		($)		(%)
Rope	$	123,946	72	%	$	155,675	72	%	$	380,410	72	%	$	477,219	73	%
Specialty wire	29,623		17	%	37,631		17	%	93,470		18	%	106,198		16	%
Engineered products	17,787		11	%	23,770		11	%	51,646		10	%	70,669		11	%
Total net sales	$	171,356	100	%	$	217,076	100	%	$	525,526	100	%	$	654,086	100	%

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Fair Value Measurements - Derivatives (Details) - Fair Value, Measurements, Recurring - Cross-currency swaps - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Derivative assets | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets fair value	$ 0	$ 0
Derivative assets | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets fair value	42,931	16,133
Derivative assets | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets fair value	0	0
Other non-current liabilities | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative liabilities fair value	0	0
Other non-current liabilities | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative liabilities fair value	3,370	0
Other non-current liabilities | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative liabilities fair value	$ 0	$ 0

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Interim Financial Statement Presentation (Policies)

9 Months Ended

Sep. 30, 2015

Organization, Consolidation and Presentation of Financial Statements [Abstract]

New Accounting Standards

New Accounting Standards

In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2014-09, Revenue from Contracts with Customers, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. ASU 2014-09 will replace most existing revenue recognition guidance in U.S. GAAP. As a result of a deferral of the effective date enacted in July 2015, the new standard would be effective for public entities on January 1, 2018. ASU 2014-09 allows the use of either the retrospective or cumulative effect transition method. The Company is evaluating the effect of ASU 2014-09 and has not yet selected a transition method nor has it determined the effect of the standard on its ongoing financial reporting.

In April 2015, the FASB issued ASU 2015-03, Interest - Imputation of Interest,to reduce complexity in accounting standards and make the presentation of debt issuance costs consistent with the presentation of debt discounts. This ASU requires debt issuance costs to be presented in the balance sheet as a direct deduction from the carrying amount of the associated debt liability, rather than as an asset. ASU 2015-03 is limited to simplifying the presentation of debt issuance costs and there will be no effect on the income statement. This ASU requires retrospective adoption and is effective for the Company during the first quarter of 2016, with early adoption permitted. Upon adoption, the Company will present its remaining unamortized debt issuance costs as a direct deduction from the carrying amount of the related debt liability.

In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory, which changes the measurement principle for inventory from the lower of cost or market to the lower of cost and net realizable value. This ASU requires prospective adoption and is effective for annual reporting periods beginning after December 15, 2016 and interim periods within those annual periods, with early adoption permitted. The Company does not expect the adoption of this standard will have a material impact on its consolidated financial statements.

Interim Income Tax Policy

The Company determines the interim tax provision by applying an estimate of the annual effective tax rate to the year-to-date pretax book income (loss) and adjusts for discrete items during the reporting period, if any. Tax jurisdictions with losses for which tax benefits cannot be realized are excluded. Additionally, for certain tax jurisdictions where a reliable estimate of year-to-date income tax expense or benefit cannot be made, the Company applied the actual effective tax rate to year-to-date income.