XML 35 R23.htm IDEA: XBRL DOCUMENT v3.19.2
Selected Condensed Consolidating Financial Statements of Parent, Issuer, Guarantors and Non-Guarantors
9 Months Ended
Jun. 30, 2019
Organization Consolidation And Presentation Of Financial Statements [Abstract]  
Selected Condensed Consolidating Financial Statements of Parent, Issuer, Guarantors and Non-Guarantors

Note 13.

Selected Condensed Consolidating Financial Statements of Parent, Issuer, Guarantors and Non-Guarantors

 

The 2024 Notes, the 2025 Notes, the 2026 Notes, the 2027 Notes, the 2028 Notes, the June 2028 Notes, the 2029 Notes and the 2032 Notes (the “Notes”) were issued by WRKCo (the “Issuer”). Upon issuance, the 2024 Notes, the 2025 Notes, the 2027 Notes and the 2028 Notes were fully and unconditionally guaranteed by the Subsidiary Guarantors. On November 2, 2018, in connection with the consummation of the KapStone Acquisition, Whiskey Holdco, Inc. became the direct parent of the Issuer, changed its name to WestRock Company (“Parent”) and fully and unconditionally guaranteed the 2024 Notes, the 2025 Notes, the 2027 Notes and the 2028 Notes. The 2026 Notes, the June 2028 Notes, the 2029 Notes and the 2032 Notes were issued by the Issuer subsequent to the consummation of the KapStone Acquisition and were fully and unconditionally guaranteed at the time of issuance by Parent and the Subsidiary Guarantors. Accordingly, each series of the Notes is fully and unconditionally guaranteed on a joint and several basis by Parent and the Subsidiary Guarantors.

 

In accordance with GAAP, we retrospectively account for changes in our legal structure that constitute transfers of businesses between issuers, guarantors and non-guarantors. As such, our prior period financials may vary from those previously reported. The information in the tables reflect such revisions, as well as revisions to correct immaterial errors in the prior presentation of our financial statements.

 

In accordance with Rule 3-10 of Regulation S-X, the following tables present condensed consolidating financial data of the Parent, the Issuer, the Subsidiary Guarantors, the non-guarantor subsidiaries and eliminations. Such financial data include the related Condensed Consolidating Statements of Income for the three and nine months ended June 30, 2019 and June 30, 2018, Condensed Consolidating Balance Sheets as of June 30, 2019 and September 30, 2018 and Condensed Consolidating Statements of Cash Flows for the nine months ended June 30, 2019 and June 30, 2018.

 

 

CONDENSED CONSOLIDATING STATEMENTS OF INCOME

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended June 30, 2019

 

(In millions)

 

Parent

 

 

Issuer

 

 

Guarantor Subsidiaries

 

 

Non-Guarantor Subsidiaries

 

 

Eliminations

 

 

Consolidated Total

 

 

 

 

 

Net sales

 

$

 

 

$

 

 

$

643.0

 

 

$

4,676.3

 

 

$

(629.3

)

 

$

4,690.0

 

Cost of goods sold

 

 

 

 

 

 

 

 

475.6

 

 

 

3,844.9

 

 

 

(619.4

)

 

 

3,701.1

 

Selling, general and administrative,

   excluding intangible amortization

 

 

 

 

 

(0.4

)

 

 

26.0

 

 

 

416.8

 

 

 

 

 

 

442.4

 

Selling, general and administrative

   intangible amortization

 

 

 

 

 

 

 

 

26.1

 

 

 

76.3

 

 

 

 

 

 

102.4

 

Loss on disposal of assets

 

 

 

 

 

 

 

 

0.1

 

 

 

6.4

 

 

 

 

 

 

6.5

 

Multiemployer pension withdrawals

 

 

 

 

 

 

 

 

 

 

 

(1.7

)

 

 

 

 

 

(1.7

)

Restructuring and other costs

 

 

 

 

 

1.4

 

 

 

0.1

 

 

 

16.4

 

 

 

 

 

 

17.9

 

Operating profit (loss)

 

 

 

 

 

(1.0

)

 

 

115.1

 

 

 

317.2

 

 

 

(9.9

)

 

 

421.4

 

Interest expense, net

 

 

 

 

 

(66.5

)

 

 

(36.9

)

 

 

(7.7

)

 

 

 

 

 

(111.1

)

Intercompany interest (expense) income, net

 

 

 

 

 

(2.5

)

 

 

(33.3

)

 

 

25.9

 

 

 

9.9

 

 

 

 

Loss on extinguishment of debt

 

 

 

 

 

(0.8

)

 

 

(2.3

)

 

 

(0.1

)

 

 

 

 

 

(3.2

)

Pension and other postretirement non-

   service (expense) income

 

 

 

 

 

 

 

 

(1.4

)

 

 

20.3

 

 

 

 

 

 

18.9

 

Other (expense) income, net

 

 

 

 

 

 

 

 

(35.2

)

 

 

38.9

 

 

 

 

 

 

3.7

 

Equity in income of unconsolidated entities

 

 

 

 

 

 

 

 

 

 

 

1.7

 

 

 

 

 

 

1.7

 

Equity in income (loss) of consolidated

  entities

 

 

252.6

 

 

 

268.2

 

 

 

(19.5

)

 

 

 

 

 

(501.3

)

 

 

 

Income before income taxes

 

 

252.6

 

 

 

197.4

 

 

 

(13.5

)

 

 

396.2

 

 

 

(501.3

)

 

 

331.4

 

Income tax benefit (expense)

 

 

 

 

 

17.9

 

 

 

(1.9

)

 

 

(93.6

)

 

 

 

 

 

(77.6

)

Consolidated net income (loss)

 

 

252.6

 

 

 

215.3

 

 

 

(15.4

)

 

 

302.6

 

 

 

(501.3

)

 

 

253.8

 

Less: Net income attributable to

   noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

(1.2

)

 

 

 

 

 

(1.2

)

Net income (loss) attributable to common

   stockholders

 

$

252.6

 

 

$

215.3

 

 

$

(15.4

)

 

$

301.4

 

 

$

(501.3

)

 

$

252.6

 

Comprehensive income attributable to

   common stockholders

 

$

282.7

 

 

$

244.9

 

 

$

12.0

 

 

$

332.2

 

 

$

(589.1

)

 

$

282.7

 

 

CONDENSED CONSOLIDATING STATEMENTS OF INCOME

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended June 30, 2019

 

(In millions)

 

Parent

 

 

Issuer

 

 

Guarantor Subsidiaries

 

 

Non-Guarantor Subsidiaries

 

 

Eliminations

 

 

Consolidated Total

 

 

 

 

 

Net sales

 

$

 

 

$

 

 

$

1,906.0

 

 

$

13,648.2

 

 

$

(1,916.8

)

 

$

13,637.4

 

Cost of goods sold

 

 

 

 

 

 

 

 

1,503.3

 

 

 

11,370.7

 

 

 

(1,906.9

)

 

 

10,967.1

 

Selling, general and administrative,

   excluding intangible amortization

 

 

 

 

 

 

 

 

53.3

 

 

 

1,234.1

 

 

 

 

 

 

1,287.4

 

Selling, general and administrative

   intangible amortization

 

 

 

 

 

 

 

 

78.4

 

 

 

219.3

 

 

 

 

 

 

297.7

 

Loss (gain) on disposal of assets

 

 

 

 

 

 

 

 

0.1

 

 

 

(37.4

)

 

 

 

 

 

(37.3

)

Multiemployer pension withdrawals

 

 

 

 

 

 

 

 

 

 

 

(1.7

)

 

 

 

 

 

(1.7

)

Land and Development impairments

 

 

 

 

 

 

 

 

 

 

 

13.0

 

 

 

 

 

 

13.0

 

Restructuring and other costs

 

 

 

 

 

5.3

 

 

 

0.2

 

 

 

101.6

 

 

 

 

 

 

107.1

 

Operating profit (loss)

 

 

 

 

 

(5.3

)

 

 

270.7

 

 

 

748.6

 

 

 

(9.9

)

 

 

1,004.1

 

Interest expense, net

 

 

 

 

 

(178.5

)

 

 

(128.8

)

 

 

(10.0

)

 

 

 

 

 

(317.3

)

Intercompany interest income (expense), net

 

 

 

 

 

1.0

 

 

 

(87.9

)

 

 

77.0

 

 

 

9.9

 

 

 

 

Loss on extinguishment of debt

 

 

 

 

 

(2.6

)

 

 

(1.9

)

 

 

(0.2

)

 

 

 

 

 

(4.7

)

Pension and other postretirement non-

   service (expense) income

 

 

 

 

 

 

 

 

(4.8

)

 

 

59.7

 

 

 

 

 

 

54.9

 

Other (expense) income, net

 

 

 

 

 

(4.0

)

 

 

(35.6

)

 

 

37.3

 

 

 

 

 

 

(2.3

)

Equity in income of unconsolidated entities

 

 

 

 

 

 

 

 

 

 

 

8.3

 

 

 

 

 

 

8.3

 

Equity in income of consolidated entities

 

 

552.1

 

 

 

664.9

 

 

 

397.8

 

 

 

 

 

 

(1,614.8

)

 

 

 

Income before income taxes

 

 

552.1

 

 

 

475.5

 

 

 

409.5

 

 

 

920.7

 

 

 

(1,614.8

)

 

 

743.0

 

Income tax benefit (expense)

 

 

 

 

 

46.9

 

 

 

(3.2

)

 

 

(231.2

)

 

 

 

 

 

(187.5

)

Consolidated net income

 

 

552.1

 

 

 

522.4

 

 

 

406.3

 

 

 

689.5

 

 

 

(1,614.8

)

 

 

555.5

 

Less: Net income attributable to

   noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

(3.4

)

 

 

 

 

 

(3.4

)

Net income attributable to common

   stockholders

 

$

552.1

 

 

$

522.4

 

 

$

406.3

 

 

$

686.1

 

 

$

(1,614.8

)

 

$

552.1

 

Comprehensive income attributable to

   common stockholders

 

$

552.0

 

 

$

522.0

 

 

$

406.5

 

 

$

686.9

 

 

$

(1,615.4

)

 

$

552.0

 

 

CONDENSED CONSOLIDATING STATEMENTS OF INCOME

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended June 30, 2018

 

(In millions)

 

Parent

 

 

Issuer

 

 

Guarantor Subsidiaries

 

 

Non-Guarantor Subsidiaries

 

 

Eliminations

 

 

Consolidated Total

 

 

 

 

 

Net sales

 

$

 

 

$

 

 

$

673.1

 

 

$

4,138.2

 

 

$

(673.8

)

 

$

4,137.5

 

Cost of goods sold

 

 

 

 

 

 

 

 

529.7

 

 

 

3,414.5

 

 

 

(673.8

)

 

 

3,270.4

 

Selling, general and administrative,

   excluding intangible amortization

 

 

 

 

 

 

 

 

20.9

 

 

 

359.8

 

 

 

 

 

 

380.7

 

Selling, general and administrative

   intangible amortization

 

 

 

 

 

 

 

 

26.1

 

 

 

49.5

 

 

 

 

 

 

75.6

 

Loss on disposal of assets

 

 

 

 

 

 

 

 

 

 

 

2.7

 

 

 

 

 

 

2.7

 

Multiemployer pension withdrawal

 

 

 

 

 

 

 

 

 

 

 

4.2

 

 

 

 

 

 

4.2

 

Land and Development impairments

 

 

 

 

 

 

 

 

 

 

 

1.7

 

 

 

 

 

 

1.7

 

Restructuring and other costs

 

 

 

 

 

3.0

 

 

 

0.1

 

 

 

14.0

 

 

 

 

 

 

17.1

 

Operating profit (loss)

 

 

 

 

 

(3.0

)

 

 

96.3

 

 

 

291.8

 

 

 

 

 

 

385.1

 

Interest expense, net

 

 

(0.6

)

 

 

(21.6

)

 

 

(43.0

)

 

 

(11.5

)

 

 

 

 

 

(76.7

)

Intercompany interest income (expense),

   net

 

 

 

 

 

8.5

 

 

 

(19.7

)

 

 

11.2

 

 

 

 

 

 

 

Gain (loss) on extinguishment of debt

 

 

 

 

 

 

 

 

1.0

 

 

 

(0.1

)

 

 

 

 

 

0.9

 

Pension and other postretirement non-

   service income

 

 

 

 

 

 

 

 

 

 

 

21.3

 

 

 

 

 

 

21.3

 

Other (expense) income, net

 

 

 

 

 

(0.3

)

 

 

(8.9

)

 

 

18.9

 

 

 

 

 

 

9.7

 

Equity in income of unconsolidated entities

 

 

 

 

 

 

 

 

5.0

 

 

 

10.5

 

 

 

 

 

 

15.5

 

Equity in income of consolidated entities

 

 

 

 

 

281.7

 

 

 

159.3

 

 

 

 

 

 

(441.0

)

 

 

 

Income (loss) before income taxes

 

 

(0.6

)

 

 

265.3

 

 

 

190.0

 

 

 

342.1

 

 

 

(441.0

)

 

 

355.8

 

Income tax benefit (expense)

 

 

 

 

 

3.5

 

 

 

(4.9

)

 

 

(83.1

)

 

 

 

 

 

(84.5

)

Consolidated net income (loss)

 

 

(0.6

)

 

 

268.8

 

 

 

185.1

 

 

 

259.0

 

 

 

(441.0

)

 

 

271.3

 

Less: Net income attributable to

   noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

(3.1

)

 

 

 

 

 

(3.1

)

Net income (loss) attributable to common

   stockholders

 

$

(0.6

)

 

$

268.8

 

 

$

185.1

 

 

$

255.9

 

 

$

(441.0

)

 

$

268.2

 

Comprehensive income (loss) attributable to

   common stockholders

 

$

(0.6

)

 

$

36.2

 

 

$

(38.2

)

 

$

23.1

 

 

$

15.1

 

 

$

35.6

 

 

CONDENSED CONSOLIDATING STATEMENTS OF INCOME

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended June 30, 2018

 

(In millions)

 

Parent

 

 

Issuer

 

 

Guarantor Subsidiaries

 

 

Non-Guarantor Subsidiaries

 

 

Eliminations

 

 

Consolidated Total

 

 

 

 

 

Net sales

 

$

 

 

$

 

 

$

1,916.9

 

 

$

12,096.2

 

 

$

(1,964.6

)

 

$

12,048.5

 

Cost of goods sold

 

 

 

 

 

 

 

 

1,489.3

 

 

 

10,093.8

 

 

 

(1,964.6

)

 

 

9,618.5

 

Selling, general and administrative,

   excluding intangible amortization

 

 

 

 

 

0.4

 

 

 

70.2

 

 

 

1,086.7

 

 

 

 

 

 

1,157.3

 

Selling, general and administrative

   intangible amortization

 

 

 

 

 

 

 

 

78.2

 

 

 

145.1

 

 

 

 

 

 

223.3

 

Loss on disposal of assets

 

 

 

 

 

 

 

 

0.1

 

 

 

6.5

 

 

 

 

 

 

6.6

 

Multiemployer pension withdrawal

 

 

 

 

 

6.5

 

 

 

12.5

 

 

 

165.2

 

 

 

 

 

 

184.2

 

Land and Development impairments

 

 

 

 

 

 

 

 

 

 

 

29.3

 

 

 

 

 

 

29.3

 

Restructuring and other costs

 

 

 

 

 

6.3

 

 

 

5.4

 

 

 

53.4

 

 

 

 

 

 

65.1

 

Operating profit (loss)

 

 

 

 

 

(13.2

)

 

 

261.2

 

 

 

516.2

 

 

 

 

 

 

764.2

 

Interest expense, net

 

 

(0.7

)

 

 

(65.5

)

 

 

(130.7

)

 

 

(22.9

)

 

 

 

 

 

(219.8

)

Intercompany interest income (expense),

   net

 

 

 

 

 

20.3

 

 

 

(52.0

)

 

 

31.7

 

 

 

 

 

 

 

(Loss) gain on extinguishment of debt

 

 

 

 

 

(1.6

)

 

 

1.9

 

 

 

(0.3

)

 

 

 

 

 

 

Pension and other postretirement non-

   service (expense) income

 

 

 

 

 

 

 

 

(0.3

)

 

 

70.8

 

 

 

 

 

 

70.5

 

Other income (expense), net

 

 

 

 

 

0.7

 

 

 

(4.6

)

 

 

17.2

 

 

 

 

 

 

13.3

 

Equity in income of unconsolidated entities

 

 

 

 

 

 

 

 

7.5

 

 

 

23.7

 

 

 

 

 

 

31.2

 

Equity in income of consolidated entities

 

 

 

 

 

1,676.1

 

 

 

1,182.4

 

 

 

 

 

 

(2,858.5

)

 

 

 

Income (loss) before income taxes

 

 

(0.7

)

 

 

1,616.8

 

 

 

1,265.4

 

 

 

636.4

 

 

 

(2,858.5

)

 

 

659.4

 

Income tax benefit

 

 

 

 

 

10.4

 

 

 

119.5

 

 

 

840.0

 

 

 

 

 

 

969.9

 

Consolidated net income (loss)

 

 

(0.7

)

 

 

1,627.2

 

 

 

1,384.9

 

 

 

1,476.4

 

 

 

(2,858.5

)

 

 

1,629.3

 

Less: Net income attributable to

   noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

(2.8

)

 

 

 

 

 

(2.8

)

Net income (loss) attributable to common

   stockholders

 

$

(0.7

)

 

$

1,627.2

 

 

$

1,384.9

 

 

$

1,473.6

 

 

$

(2,858.5

)

 

$

1,626.5

 

Comprehensive income (loss) attributable to

   common stockholders

 

$

(0.7

)

 

$

1,410.2

 

 

$

1,191.3

 

 

$

1,256.7

 

 

$

(2,448.0

)

 

$

1,409.5

 

 

CONDENSED CONSOLIDATING BALANCE SHEETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

June 30, 2019

 

(In millions)

 

Parent

 

 

Issuer

 

 

Guarantor Subsidiaries

 

 

Non-Guarantor Subsidiaries

 

 

Eliminations

 

 

Consolidated Total

 

 

 

 

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

 

 

$

 

 

$

12.5

 

 

$

166.6

 

 

$

 

 

$

179.1

 

Accounts receivable

 

 

 

 

 

 

 

 

25.8

 

 

 

2,404.8

 

 

 

(32.5

)

 

 

2,398.1

 

Inventories

 

 

 

 

 

 

 

 

241.6

 

 

 

1,832.6

 

 

 

 

 

 

2,074.2

 

Other current assets

 

 

0.1

 

 

 

0.7

 

 

 

6.7

 

 

 

508.2

 

 

 

 

 

 

515.7

 

Intercompany receivables

 

 

 

 

 

654.7

 

 

 

 

 

 

592.8

 

 

 

(1,247.5

)

 

 

 

Assets held for sale

 

 

 

 

 

 

 

 

 

 

 

26.6

 

 

 

 

 

 

26.6

 

Total current assets

 

 

0.1

 

 

 

655.4

 

 

 

286.6

 

 

 

5,531.6

 

 

 

(1,280.0

)

 

 

5,193.7

 

Property, plant and equipment, net

 

 

 

 

 

 

 

 

19.2

 

 

 

11,150.1

 

 

 

 

 

 

11,169.3

 

Goodwill

 

 

 

 

 

 

 

 

1,151.4

 

 

 

6,170.5

 

 

 

 

 

 

7,321.9

 

Intangibles, net

 

 

 

 

 

 

 

 

1,511.0

 

 

 

2,663.8

 

 

 

 

 

 

4,174.8

 

Restricted assets held by special purpose

   entities

 

 

 

 

 

 

 

 

 

 

 

1,276.0

 

 

 

 

 

 

1,276.0

 

Prepaid pension asset

 

 

 

 

 

 

 

 

 

 

 

463.3

 

 

 

 

 

 

463.3

 

Intercompany notes receivable

 

 

 

 

 

155.0

 

 

 

175.5

 

 

 

3,026.8

 

 

 

(3,357.3

)

 

 

 

Investments in consolidated subsidiaries

 

 

12,036.8

 

 

 

18,366.0

 

 

 

20,055.3

 

 

 

 

 

 

(50,458.1

)

 

 

 

Other assets

 

 

 

 

 

15.0

 

 

 

190.4

 

 

 

1,018.5

 

 

 

(10.8

)

 

 

1,213.1

 

Total Assets

 

$

12,036.9

 

 

$

19,191.4

 

 

$

23,389.4

 

 

$

31,300.6

 

 

$

(55,106.2

)

 

$

30,812.1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current portion of debt

 

$

 

 

$

354.3

 

 

$

110.3

 

 

$

314.5

 

 

$

 

 

$

779.1

 

Accounts payable

 

 

 

 

 

1.0

 

 

 

32.9

 

 

 

1,705.4

 

 

 

(32.5

)

 

 

1,706.8

 

Accrued compensation and benefits

 

 

0.1

 

 

 

 

 

 

10.1

 

 

 

417.6

 

 

 

 

 

 

427.8

 

Other current liabilities

 

 

 

 

 

47.3

 

 

 

129.0

 

 

 

500.5

 

 

 

 

 

 

676.8

 

Intercompany payables

 

 

209.1

 

 

 

 

 

 

1,038.4

 

 

 

 

 

 

(1,247.5

)

 

 

 

Total current liabilities

 

 

209.2

 

 

 

402.6

 

 

 

1,320.7

 

 

 

2,938.0

 

 

 

(1,280.0

)

 

 

3,590.5

 

Long-term debt due after one year

 

 

 

 

 

6,694.1

 

 

 

1,986.5

 

 

 

1,078.5

 

 

 

 

 

 

9,759.1

 

Intercompany notes payable

 

 

 

 

 

636.3

 

 

 

2,390.5

 

 

 

330.5

 

 

 

(3,357.3

)

 

 

 

Pension liabilities, net of current portion

 

 

 

 

 

 

 

 

135.1

 

 

 

110.9

 

 

 

 

 

 

246.0

 

Postretirement benefit liabilities, net of

   current portion

 

 

 

 

 

 

 

 

27.8

 

 

 

114.7

 

 

 

 

 

 

142.5

 

Non-recourse liabilities held by special

   purpose entities

 

 

 

 

 

 

 

 

 

 

 

1,147.4

 

 

 

 

 

 

1,147.4

 

Deferred income taxes

 

 

 

 

 

 

 

 

255.5

 

 

 

2,721.1

 

 

 

(10.8

)

 

 

2,965.8

 

Other long-term liabilities

 

 

 

 

 

14.6

 

 

 

133.4

 

 

 

968.2

 

 

 

 

 

 

1,116.2

 

Redeemable noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

3.3

 

 

 

 

 

 

3.3

 

Total stockholders’ equity

 

 

11,827.7

 

 

 

11,443.8

 

 

 

17,139.9

 

 

 

21,874.4

 

 

 

(50,458.1

)

 

 

11,827.7

 

Noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

13.6

 

 

 

 

 

 

13.6

 

Total equity

 

 

11,827.7

 

 

 

11,443.8

 

 

 

17,139.9

 

 

 

21,888.0

 

 

 

(50,458.1

)

 

 

11,841.3

 

Total Liabilities and Equity

 

$

12,036.9

 

 

$

19,191.4

 

 

$

23,389.4

 

 

$

31,300.6

 

 

$

(55,106.2

)

 

$

30,812.1

 

 

CONDENSED CONSOLIDATING BALANCE SHEETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

September 30, 2018

 

(In millions)

 

Parent

 

 

Issuer

 

 

Guarantor Subsidiaries

 

 

Non-Guarantor Subsidiaries

 

 

Eliminations

 

 

Consolidated Total

 

 

 

 

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

 

 

$

0.2

 

 

$

490.8

 

 

$

145.8

 

 

$

 

 

$

636.8

 

Accounts receivable

 

 

 

 

 

0.1

 

 

 

196.5

 

 

 

1,840.2

 

 

 

(26.1

)

 

 

2,010.7

 

Inventories

 

 

 

 

 

 

 

 

233.4

 

 

 

1,596.2

 

 

 

 

 

 

1,829.6

 

Other current assets

 

 

 

 

 

0.4

 

 

 

17.2

 

 

 

230.9

 

 

 

 

 

 

248.5

 

Intercompany receivables

 

 

 

 

 

27.7

 

 

 

269.8

 

 

 

792.8

 

 

 

(1,090.3

)

 

 

 

Assets held for sale

 

 

 

 

 

 

 

 

 

 

 

59.5

 

 

 

 

 

 

59.5

 

Total current assets

 

 

 

 

 

28.4

 

 

 

1,207.7

 

 

 

4,665.4

 

 

 

(1,116.4

)

 

 

4,785.1

 

Property, plant and equipment, net

 

 

 

 

 

 

 

 

21.3

 

 

 

9,061.2

 

 

 

 

 

 

9,082.5

 

Goodwill

 

 

 

 

 

 

 

 

1,151.3

 

 

 

4,426.3

 

 

 

 

 

 

5,577.6

 

Intangibles, net

 

 

 

 

 

 

 

 

1,589.4

 

 

 

1,532.6

 

 

 

 

 

 

3,122.0

 

Restricted assets held by special purpose

   entities

 

 

 

 

 

 

 

 

 

 

 

1,281.0

 

 

 

 

 

 

1,281.0

 

Prepaid pension asset

 

 

 

 

 

 

 

 

 

 

 

420.0

 

 

 

 

 

 

420.0

 

Intercompany notes receivable

 

 

 

 

 

884.2

 

 

 

33.1

 

 

 

2,865.4

 

 

 

(3,782.7

)

 

 

 

Investments in consolidated subsidiaries

 

 

 

 

 

13,260.3

 

 

 

15,066.3

 

 

 

 

 

 

(28,326.6

)

 

 

 

Other assets

 

 

3.4

 

 

 

12.4

 

 

 

172.8

 

 

 

910.8

 

 

 

(7.1

)

 

 

1,092.3

 

Total Assets

 

$

3.4

 

 

$

14,185.3

 

 

$

19,241.9

 

 

$

25,162.7

 

 

$

(33,232.8

)

 

$

25,360.5

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current portion of debt

 

$

 

 

$

 

 

$

609.5

 

 

$

131.2

 

 

$

 

 

$

740.7

 

Accounts payable

 

 

 

 

 

0.8

 

 

 

40.3

 

 

 

1,701.8

 

 

 

(26.1

)

 

 

1,716.8

 

Accrued compensation and benefits

 

 

 

 

 

0.2

 

 

 

10.7

 

 

 

388.4

 

 

 

 

 

 

399.3

 

Other current liabilities

 

 

 

 

 

3.2

 

 

 

77.7

 

 

 

395.6

 

 

 

 

 

 

476.5

 

Intercompany payables

 

 

13.0

 

 

 

506.6

 

 

 

570.4

 

 

 

0.3

 

 

 

(1,090.3

)

 

 

 

Total current liabilities

 

 

13.0

 

 

 

510.8

 

 

 

1,308.6

 

 

 

2,617.3

 

 

 

(1,116.4

)

 

 

3,333.3

 

Long-term debt due after one year

 

 

 

 

 

2,179.4

 

 

 

2,460.1

 

 

 

1,035.0

 

 

 

 

 

 

5,674.5

 

Intercompany notes payable

 

 

 

 

 

 

 

 

2,865.4

 

 

 

917.3

 

 

 

(3,782.7

)

 

 

 

Pension liabilities, net of current portion

 

 

 

 

 

 

 

 

135.9

 

 

 

125.4

 

 

 

 

 

 

261.3

 

Postretirement benefit liabilities, net of

   current portion

 

 

 

 

 

 

 

 

28.1

 

 

 

106.7

 

 

 

 

 

 

134.8

 

Non-recourse liabilities held by special

   purpose entities

 

 

 

 

 

 

 

 

 

 

 

1,153.7

 

 

 

 

 

 

1,153.7

 

Deferred income taxes

 

 

 

 

 

 

 

 

291.0

 

 

 

2,037.6

 

 

 

(7.1

)

 

 

2,321.5

 

Other long-term liabilities

 

 

 

 

 

16.1

 

 

 

106.2

 

 

 

872.5

 

 

 

 

 

 

994.8

 

Redeemable noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

4.2

 

 

 

 

 

 

4.2

 

Total stockholders’ equity

 

 

(9.6

)

 

 

11,479.0

 

 

 

12,046.6

 

 

 

16,280.0

 

 

 

(28,326.6

)

 

 

11,469.4

 

Noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

13.0

 

 

 

 

 

 

13.0

 

Total equity

 

 

(9.6

)

 

 

11,479.0

 

 

 

12,046.6

 

 

 

16,293.0

 

 

 

(28,326.6

)

 

 

11,482.4

 

Total Liabilities and Equity

 

$

3.4

 

 

$

14,185.3

 

 

$

19,241.9

 

 

$

25,162.7

 

 

$

(33,232.8

)

 

$

25,360.5

 

 

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended June 30, 2019

 

(In millions)

 

Parent

 

 

Issuer

 

 

Guarantor Subsidiaries

 

 

Non-Guarantor Subsidiaries

 

 

Eliminations

 

 

Consolidated Total

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net cash provided by (used for) operating

   activities

 

$

430.7

 

 

$

(512.4

)

 

$

445.9

 

 

$

1,035.4

 

 

$

 

 

$

1,399.6

 

Investing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital expenditures

 

 

 

 

 

 

 

 

(2.5

)

 

 

(974.3

)

 

 

 

 

 

(976.8

)

Cash paid related to business combinations,

   net of cash acquired

 

 

 

 

 

 

 

 

 

 

 

(3,368.3

)

 

 

 

 

 

(3,368.3

)

Investment in unconsolidated entities

   equipment

 

 

 

 

 

 

 

 

 

 

 

(10.4

)

 

 

 

 

 

(10.4

)

Proceeds from sale of property, plant and

   equipment

 

 

 

 

 

 

 

 

 

 

 

108.3

 

 

 

 

 

 

108.3

 

Proceeds from property, plant and equipment

  insurance settlement

 

 

 

 

 

 

 

 

 

 

 

16.5

 

 

 

 

 

 

16.5

 

Intercompany notes issued

 

 

 

 

 

 

 

 

(0.1

)

 

 

(75.7

)

 

 

75.8

 

 

 

 

Intercompany notes proceeds

 

 

 

 

 

9.2

 

 

 

4.3

 

 

 

3,870.2

 

 

 

(3,883.7

)

 

 

 

Intercompany capital investment

 

 

(563.0

)

 

 

(563.0

)

 

 

 

 

 

 

 

 

1,126.0

 

 

 

 

Other

 

 

 

 

 

 

 

 

28.2

 

 

 

1.8

 

 

 

 

 

 

30.0

 

Net cash (used for) provided by investing

   activities

 

 

(563.0

)

 

 

(553.8

)

 

 

29.9

 

 

 

(431.9

)

 

 

(2,681.9

)

 

 

(4,200.7

)

Financing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Proceeds from issuance of notes

 

 

 

 

 

2,498.2

 

 

 

 

 

 

 

 

 

 

 

 

2,498.2

 

Additions to revolving credit

   facilities

 

 

 

 

 

35.3

 

 

 

 

 

 

12.4

 

 

 

 

 

 

47.7

 

Additions to debt

 

 

 

 

 

4,101.8

 

 

 

(1.0

)

 

 

340.2

 

 

 

 

 

 

4,441.0

 

Repayments of debt

 

 

 

 

 

(2,187.1

)

 

 

(958.6

)

 

 

(1,519.3

)

 

 

 

 

 

(4,665.0

)

Changes in commercial paper, net

 

 

 

 

 

445.6

 

 

 

 

 

 

 

 

 

 

 

 

445.6

 

Other financing additions

 

 

 

 

 

 

 

 

 

 

 

13.2

 

 

 

 

 

 

13.2

 

Issuances of common stock, net of related

   minimum tax withholdings

 

 

8.6

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

8.6

 

Purchases of common stock

 

 

(88.6

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(88.6

)

Cash dividends paid to stockholders

 

 

(350.7

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(350.7

)

Cash distributions paid to noncontrolling

   interests

 

 

 

 

 

 

 

 

 

 

 

(3.4

)

 

 

 

 

 

(3.4

)

Intercompany notes borrowing

 

 

 

 

 

 

 

 

75.7

 

 

 

0.1

 

 

 

(75.8

)

 

 

 

Intercompany notes payments

 

 

 

 

 

(3,800.0

)

 

 

(70.2

)

 

 

(13.5

)

 

 

3,883.7

 

 

 

 

Intercompany capital receipt

 

 

563.0

 

 

 

 

 

 

 

 

 

563.0

 

 

 

(1,126.0

)

 

 

 

Other

 

 

 

 

 

(27.8

)

 

 

 

 

 

20.7

 

 

 

 

 

 

(7.1

)

Net cash provided by (used for)

   financing activities

 

 

132.3

 

 

 

1,066.0

 

 

 

(954.1

)

 

 

(586.6

)

 

 

2,681.9

 

 

 

2,339.5

 

Effect of exchange rate changes on cash,

   cash equivalents and restricted cash

 

 

 

 

 

 

 

 

 

 

 

3.9

 

 

 

 

 

 

3.9

 

(Decrease) increase in cash, cash

  equivalents and restricted cash

 

 

 

 

 

(0.2

)

 

 

(478.3

)

 

 

20.8

 

 

 

 

 

 

(457.7

)

Cash, cash equivalents and restricted cash

   at beginning of period

 

 

 

 

 

0.2

 

 

 

490.8

 

 

 

145.8

 

 

 

 

 

 

636.8

 

Cash, cash equivalents and restricted cash

   at end of period

 

$

 

 

$

0.0

 

 

$

12.5

 

 

$

166.6

 

 

$

 

 

$

179.1

 

 

 

The condensed consolidating statements of cash flows for the nine months ended June 30, 2019 do not include non-cash transactions between Parent, Issuer, Guarantor Subsidiaries and Non-Guarantor Subsidiaries. From time to time, we may enter into non-cash transactions for simplicity of execution of intercompany transactions. These may include intercompany non-cash capitalizations, intercompany non-cash returns of capital, intercompany debt-to-equity conversions or other transactions of a similar nature. The table below summarizes these non-cash transactions.

 

 

 

Nine Months Ended June 30, 2019

 

(In millions)

 

Parent

 

 

Issuer

 

 

Guarantor Subsidiaries

 

 

Non-Guarantor Subsidiaries

 

 

Eliminations

 

 

Consolidated Total

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Intercompany receivables

 

$

(140.9

)

 

$

 

 

$

 

 

$

 

 

$

140.9

 

 

$

 

Intercompany payables

 

$

 

 

$

 

 

$

 

 

$

140.9

 

 

$

(140.9

)

 

$

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Intercompany capital investment

 

$

(10,396.2

)

 

$

(5,895.5

)

 

$

(6,880.5

)

 

$

 

 

$

23,172.2

 

 

$

 

Intercompany return of capital

 

$

606.7

 

 

$

1,479.6

 

 

$

1,021.4

 

 

$

 

 

$

(3,107.7

)

 

$

 

Intercompany notes issued

 

$

 

 

$

(3,800.0

)

 

$

(4,666.4

)

 

$

(8,715.4

)

 

$

17,181.8

 

 

$

 

Intercompany notes proceeds

 

$

 

 

$

4,519.8

 

 

$

4,519.8

 

 

$

4,759.6

 

 

$

(13,799.2

)

 

$

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Financing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Intercompany capital receipt

 

$

 

 

$

10,396.2

 

 

$

5,413.7

 

 

$

7,362.3

 

 

$

(23,172.2

)

 

$

 

Intercompany capital distribution

 

$

(563.0

)

 

$

(606.7

)

 

$

(457.5

)

 

$

(1,480.5

)

 

$

3,107.7

 

 

$

 

Intercompany notes borrowing

 

$

 

 

$

4,436.3

 

 

$

479.1

 

 

$

12,266.4

 

 

$

(17,181.8

)

 

$

 

Intercompany notes payments

 

$

 

 

$

 

 

$

(959.6

)

 

$

(12,839.6

)

 

$

13,799.2

 

 

$

 

Intercompany dividends paid

 

$

 

 

$

 

 

$

(302.2

)

 

$

(1,419.6

)

 

$

1,721.8

 

 

$

 


 

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended June 30, 2018

 

(In millions)

 

Parent

 

 

Issuer

 

 

Guarantor Subsidiaries

 

 

Non-Guarantor Subsidiaries

 

 

Eliminations

 

 

Consolidated Total

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net cash provided by operating

   activities

 

$

4.0

 

 

$

359.2

 

 

$

67.2

 

 

$

733.5

 

 

$

(28.3

)

 

$

1,135.6

 

Investing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital expenditures

 

 

 

 

 

 

 

 

(4.4

)

 

 

(661.1

)

 

 

 

 

 

(665.5

)

Cash paid related to business combinations,

   net of cash acquired

 

 

 

 

 

 

 

 

 

 

 

(188.2

)

 

 

 

 

 

(188.2

)

Cash receipts on sold trade receivables

 

 

 

 

 

 

 

 

 

 

 

346.1

 

 

 

 

 

 

346.1

 

Investment in unconsolidated entities

 

 

 

 

 

 

 

 

 

 

 

(111.1

)

 

 

 

 

 

(111.1

)

Proceeds from sale of property, plant and

   equipment

 

 

 

 

 

 

 

 

 

 

 

22.4

 

 

 

 

 

 

22.4

 

Proceeds from property, plant and equipment

   insurance settlement

 

 

 

 

 

 

 

 

 

 

 

6.2

 

 

 

 

 

 

6.2

 

Intercompany notes issued

 

 

 

 

 

 

 

 

(1.4

)

 

 

 

 

 

1.4

 

 

 

 

Intercompany notes proceeds

 

 

 

 

 

 

 

 

3.9

 

 

 

 

 

 

(3.9

)

 

 

 

Intercompany return of capital

 

 

 

 

 

 

 

 

82.6

 

 

 

 

 

 

(82.6

)

 

 

 

Other

 

 

 

 

 

 

 

 

32.3

 

 

 

14.0

 

 

 

 

 

 

46.3

 

Net cash provided by (used for)

   investing activities

 

 

 

 

 

 

 

 

113.0

 

 

 

(571.7

)

 

 

(85.1

)

 

 

(543.8

)

Financing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Proceeds from issuance of notes

 

 

 

 

 

1,197.3

 

 

 

 

 

 

 

 

 

 

 

 

1,197.3

 

(Repayments) additions to revolving credit

   facilities

 

 

 

 

 

(106.7

)

 

 

 

 

 

107.0

 

 

 

 

 

 

0.3

 

Additions to debt

 

 

 

 

 

2.7

 

 

 

 

 

 

851.4

 

 

 

 

 

 

854.1

 

Repayments of debt

 

 

 

 

 

(1,025.2

)

 

 

(22.5

)

 

 

(975.0

)

 

 

 

 

 

(2,022.7

)

Other financing repayments

 

 

 

 

 

 

 

 

(7.3

)

 

 

(13.0

)

 

 

 

 

 

(20.3

)

Issuances of common stock, net of related

   minimum tax withholdings

 

 

 

 

 

23.2

 

 

 

 

 

 

 

 

 

 

 

 

23.2

 

Purchases of common stock

 

 

 

 

 

(100.8

)

 

 

 

 

 

 

 

 

 

 

 

(100.8

)

Cash dividends paid to stockholders

 

 

 

 

 

(329.7

)

 

 

 

 

 

 

 

 

 

 

 

(329.7

)

Cash distributions paid to noncontrolling

   interests

 

 

 

 

 

 

 

 

 

 

 

(26.6

)

 

 

 

 

 

(26.6

)

Intercompany notes borrowing

 

 

 

 

 

 

 

 

 

 

 

1.4

 

 

 

(1.4

)

 

 

 

Intercompany notes payments

 

 

 

 

 

 

 

 

 

 

 

(3.9

)

 

 

3.9

 

 

 

 

Intercompany capital distribution

 

 

 

 

 

 

 

 

 

 

 

(82.6

)

 

 

82.6

 

 

 

 

Intercompany dividends

 

 

 

 

 

 

 

 

 

 

 

(28.3

)

 

 

28.3

 

 

 

 

Other

 

 

(4.0

)

 

 

(20.0

)

 

 

 

 

 

30.0

 

 

 

 

 

 

6.0

 

Net cash used for financing activities

 

 

(4.0

)

 

 

(359.2

)

 

 

(29.8

)

 

 

(139.6

)

 

 

113.4

 

 

 

(419.2

)

Effect of exchange rate changes on cash, cash

   equivalents and restricted cash

 

 

 

 

 

 

 

 

(0.1

)

 

 

(23.9

)

 

 

 

 

 

(24.0

)

Increase (decrease) in cash, cash

  equivalents and restricted cash

 

 

 

 

 

 

 

 

150.3

 

 

 

(1.7

)

 

 

 

 

 

148.6

 

Cash, cash equivalents and restricted cash

   at beginning of period

 

 

 

 

 

 

 

 

43.3

 

 

 

260.7

 

 

 

 

 

 

304.0

 

Cash, cash equivalents and restricted cash

   at end of period

 

$

 

 

$

 

 

$

193.6

 

 

$

259.0

 

 

$

 

 

$

452.6

 


The condensed consolidating statements of cash flows for the nine months ended June 30, 2018 do not include non-cash transactions between Parent, Issuer, Guarantor Subsidiaries and Non-Guarantor Subsidiaries. From time to time, we may enter into non-cash transactions for simplicity of execution of intercompany transactions. These may include intercompany non-cash capitalizations, intercompany non-cash returns of capital, intercompany debt-to-equity conversions or other transactions of a similar nature. The table below summarizes these non-cash transactions.

 

 

 

Nine Months Ended June 30, 2018

 

(In millions)

 

Parent

 

 

 

 

Issuer

 

 

 

 

Guarantor Subsidiaries

 

 

 

 

Non-Guarantor Subsidiaries

 

 

 

 

Eliminations

 

 

Consolidated Total

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Intercompany capital investment

 

$

 

 

 

 

$

(755.3

)

 

 

 

$

(335.3

)

 

 

 

$

 

 

 

 

$

1,090.6

 

 

$

 

Intercompany return of capital

 

$

 

 

 

 

$

1,356.3

 

 

 

 

$

766.0

 

 

 

 

$

 

 

 

 

$

(2,122.3

)

 

$

 

Intercompany notes issued

 

$

 

 

 

 

$

 

 

 

 

$

 

 

 

 

$

(392.1

)

 

 

 

$

392.1

 

 

$

 

Intercompany notes proceeds

 

$

 

 

 

 

$

 

 

 

 

$

 

 

 

 

$

83.0

 

 

 

 

$

(83.0

)

 

$

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Financing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Intercompany capital receipt

 

$

 

 

 

 

$

 

 

 

 

$

736.9

 

 

 

 

$

353.7

 

 

 

 

$

(1,090.6

)

 

$

 

Intercompany capital distribution

 

$

 

 

 

 

$

 

 

 

 

$

(1,356.3

)

 

 

 

$

(766.0

)

 

 

 

$

2,122.3

 

 

$

 

Intercompany notes borrowing

 

$

 

 

 

 

$

 

 

 

 

$

392.1

 

 

 

 

$

 

 

 

 

$

(392.1

)

 

$

 

Intercompany notes payments

 

$

 

 

 

 

$

(69.0

)

 

 

 

$

(14.0

)

 

 

 

$

 

 

 

 

$

83.0

 

 

$

 

Intercompany dividends paid

 

$

 

 

 

 

$

 

 

 

 

$

 

 

 

 

$

(285.9

)

 

 

 

$

285.9

 

 

$