XML 28 R17.htm IDEA: XBRL DOCUMENT v3.19.2
Accumulated Other Comprehensive (Loss) Income
 6 Months Ended
Jun. 30, 2019
Accumulated Other Comprehensive (Loss) Income [Abstract]  
Accumulated Other Comprehensive (Loss) Income
Note 10. Accumulated Other Comprehensive (Loss) Income

The Company’s other comprehensive income (loss) consists of (i) unrealized foreign currency net gains and losses on the translation of the assets and liabilities of its foreign operations; (ii) realized and unrealized foreign currency gains and losses on intercompany notes of a long-term nature and certain hedges of net investments in foreign operations, net of income taxes; (iii) unrealized gains and losses on cash flow hedges (consisting of interest rate swaps), net of income taxes; and (iv) pension and other postretirement prior service cost and actuarial gains or losses, net of income taxes.  See Note 7 “Pension and Other Postretirement Benefits” and Note 11 “Hedging Activities and Fair Value Measurements.”

The before tax income (loss) and related income tax effect are as follows.


  
For the Three Month Period Ended
June 30, 2019
    
For the Six Month Period Ended
June 30, 2019
  
   
Before-Tax
Amount
    
Tax Benefit
or
(Expense)
    
Net of Tax
Amount
    
Before-Tax
Amount
    
Tax
(Expense) or
Benefit
    
Net of Tax
Amount
  
                                     
Foreign currency translation adjustments, net
  
$
(8.6
)
  
$
2.2
    
$
(6.4
)
  
$
(4.1
)
  
$
(2.4
)
  
$
(6.5
)
Unrecognized (losses) gains on cash flow hedges, net
    
(0.7
)
    
0.2
      
(0.5
)
    
0.6
      
0.8
      
1.4
  
Pension and other postretirement benefit prior service cost and gain or loss, net
    
1.3
      
(0.1
)
    
1.2
      
1.5
      
(0.1
)
    
1.4
  
Other comprehensive loss
  
$
(8.0
)
  
$
2.3
    
$
(5.7
)
  
$
(2.0
)
  
$
(1.7
)
  
$
(3.7
)


 
For the Three Month Period Ended
June 30, 2018
    
For the Six Month Period Ended
June 30, 2018
  
   
Before-Tax
Amount
    
Tax
(Expense)
or Benefit
    
Net of Tax
Amount
    
Before-Tax
Amount
    
Tax
(Expense) or
Benefit)
    
Net of Tax
Amount
  
Foreign currency translation adjustments, net
  
$
(58.1
)
  
$
(9.4
)
  
$
(67.5
)
  
$
(28.5
)
  
$
(4.6
)
  
$
(33.1
)
Unrecognized gains (losses) on cash flow hedges, net
    
6.2
      
(1.5
)
    
4.7
      
21.3
      
(5.2
)
    
16.1
  
Pension and other postretirement benefit prior service cost and gain or loss, net
    
3.3
      
(0.6
)
    
2.7
      
2.1
      
1.0
      
3.1
  
Other comprehensive loss
  
$
(48.6
)
  
$
(11.5
)
  
$
(60.1
)
  
$
(5.1
)
  
$
(8.8
)
  
$
(13.9
)

On January 1, 2019, the Company adopted ASU 2018-02 which reclassified stranded tax effects resulting from the Tax Cuts and Jobs Act from accumulated other comprehensive (loss) income to retained (deficit) earnings.  The Company recorded a cumulative-effect adjustment which increased “Accumulated other comprehensive loss” in the Condensed Consolidated Balance Sheet by $8.2 million.  Changes in accumulated other comprehensive (loss) income by component for the six month periods ended June 30, 2019 and 2018 are presented in the following table (1).


  
Foreign
Currency
Translation
Adjustments, Net
    
Unrealized
(Losses) Gains
on Cash Flow
Hedges
    
Pension and
Postretirement
Benefit Plans
    
Total
  
Balance as of December 31, 2018
  
$
(190.6
)
  
$
(11.4
)
  
$
(45.0
)
  
$
(247.0
)
Other comprehensive (loss) income before reclassifications
    
(6.5
)
    
(4.4
)
    
0.5
      
(10.4
)
Amounts reclassified from accumulated other comprehensive (loss) income
    
—
      
5.8
      
0.9
      
6.7
  
Other comprehensive (loss) income
    
(6.5
)
    
1.4
      
1.4
      
(3.7
)
Cumulative effect adjustment upon adoption of new accounting standard (ASU 2018-02)
    
(1.5
)
    
(6.7
)
    
—
      
(8.2
)
Balance as of June 30, 2019
  
$
(198.6
)
  
$
(16.7
)
  
$
(43.6
)
  
$
(258.9
)


 
Foreign
Currency
Translation
Adjustments, Net
    
Unrealized
(Losses) Gains
on Cash Flow
Hedges
    
Pension and
Postretirement
Benefit Plans
    
Total
  
Balance as of December 31, 2017
  
$
(129.6
)
  
$
(29.8
)
  
$
(40.4
)
  
$
(199.8
)
Other comprehensive (loss) income before reclassifications
    
(33.1
)
    
10.1
      
2.3
      
(20.7
)
Amounts reclassified from accumulated other comprehensive (loss) income
    
—
      
6.0
      
0.8
      
6.8
  
Other comprehensive (loss) income
    
(33.1
)
    
16.1
      
3.1
      
(13.9
)
Cumulative effect adjustment upon adoption of new accounting standard (ASU 2017-12)
    
—
      
0.3
      
—
      
0.3
  
Balance as of June 30, 2018
  
$
(162.7
)
  
$
(13.4
)
  
$
(37.3
)
  
$
(213.4
)

(1)
All amounts are net of tax. Amounts in parentheses indicate debits.

Reclassifications out of accumulated other comprehensive (loss) income for the six month periods ended June 30, 2019 and 2018 are presented in the following table:

Amount Reclassified from Accumulated Other Comprehensive (Loss) Income
  
Details about Accumulated
Other Comprehensive
(Loss) Income Components
  
For the
Six Month
Period Ended
June 30,
2019
    
For the
Six Month
Period Ended
June 30,
2018
    
Affected Line in the
Statement Where Net
Income is Presented
  
Loss on cash flow hedges
                  
Interest rate swaps
  
$
7.6
    
$
7.9
    
Interest expense
  
     
7.6
      
7.9
    
Total before tax
  
     
(1.8
)
    
(1.9
)
  
Benefit for income taxes
  
   
$
5.8
    
$
6.0
    
Net of tax
  
Amortization of defined benefit pension and other postretirement benefit items
  
$
1.2
    
$
1.0
        
(1) 
     
1.2
      
1.0
    
Total before tax
  
     
(0.3
)
    
(0.2
)
  
Benefit for income taxes
  
   
$
0.9
    
$
0.8
    
Net of tax
  
Total reclassifications for the period
  
$
6.7
    
$
6.8
    
Net of tax
  

(1)
These components are included in the computation of net periodic benefit cost.  See Note 7 “Pension and Other Postretirement Benefits” for additional details.